In its final evaluation ended December 31, 2021, The Dutch Agreement on Sustainable Garments and Textile (AGT) took significant steps towards a sustainable garment and textile sector. Under the agreement, companies received advice, tools and training to help them set up and implement their policy. The aim was to analyse risks, improve working conditions, prevent pollution and promote animal welfare in production countries. Achieving substantial improvements in the garment and textile supply chain will require time and effort beyond the agreement period, however.

The independent final evaluation was carried out by KIT Royal Tropical Institute. KIT concludes that the AGT has set up an important multi-stakeholder structure that facilitates a collective approach to complex issues in the supply chain. The AGT steering committee has formulated a response to KIT’s conclusions.

KIT states that it was limited in its ability to assess the impact of the AGT on the supply chain or production countries, because the focus of its analysis was in the Netherlands and on the agreement itself and the participating companies. The data for the final evaluation came from in-depth interviews with stakeholders, a survey among the participating companies and an analysis of the due diligence reports that the companies were obliged to submit annually under the terms of the agreement. No field studies were carried out in production countries.

The market for pure wool is expected to grow at a 5.5 per cent CAGR to $32.2 billion by 2026-end. Growth will be driven by factors like increasing urbanization, constant changes in lifestyle, changing styles and trends. Moreover increase in demand for warm clothing and blankets from cold regions is also expected to boost demand in the pure wool market.

The sheep wool segment held largest share of more than 30 per cent in 20202 pure wool market. Woven wool segment grew at 4.15 per cent CAGR from 2021-26. Woven wools are light weighted and soft wool fabric in plain weave. They can come in various designs and forms and can be used for a wide range of purposes such as casual clothing, covers for furniture and work clothing.

Asia-Pacific region held the largest share of 40 per cent in pure wool market in. The major exporters of wool fabric are from Asia Pacific region, namely China, South Korea and Japan. According to International Wool Textile Organization, China accounted for 21.1 per cent of world exports of wool fabric in the year 2019, Japan accounted for 4.1 per cent and South Korea accounted for 2.5 per cent.

According to the Australian Wool Exchange, prices increased 21.95 per cent since the beginning of 2021. As per Australian Wool Innovation, wool prices increased 0.57 per cent on July 16, 2021, decreased by 1.03 per cent on July 9, 2021, and increased by 2.5 per cent on June 18, 2021. This volatility and fluctuation in prices is majorly impacting growth of pure wool market.

Despite rising prices, India recorded a 79.64 per cent rise in revenues from cotton yarn exports to $4.69 billion in 2021, shows latest official data. As per a Apparel Resources report, India’s cotton yarn exports to Bangladesh increased 162.25 per cent to $1.72 billion in 2021. This was followed by exports to China which totaled $949.90 million during the year.

Fluctuating China-India relationship failed to affect the export of India’s cotton yarns to China. India’s cotton yarn exports to Portugal also increased by 62 per cent to $210.79 million in 2021. Other countries India increased its cotton yarn exports to include Vietnam, Egypt, Peru, South Korea, Turkey, Colombia, Sri Lanka, Guatemala, Germany, Italy, Jordan and USA, etc.

Bangladesh’s apex garment makers’ association, BGMEA has launched an initiative to help member factories, interested in working with European buyers, to get their factories inspected by the Readymade Garment Sustainability Council or RSC. BGMEA recently sent out letters to member factories directing them to share profiles of respective units to be audited under the RSC program.

The consortium of EU buyers, Accord on Fire and Building Safety in Bangladesh conducted fire, electrical and structural safety in the factories and handed over the responsibilities to RSC after its termination. As per BGMEA, more than 1,200 apparel factories were listed under the RSC following which the council took over the charge of the Accord’s work in Bangladesh in June 2020.