Apparel India | EAI 01 | Issue 10

Page 1

EAI 01 ISSUE 10

100

BURBERRY: An incredible transformation story

India emerges strong sourcing destination for global buyers

MSME

package for overall industry development AppArel eXpOrT prOMOTION COUNCIl MAGAZINe

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| January 2019

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AppArel / Chairman’s Message

Dear Friends,

O

n behalf of AEPC and entire garment fraternity I wish all of you a Happy New Year. I think we have a very good reason to welcome 2019, since the garment exports have finally picked up in the last quarter of 2018. I am very optimistic that this positive outlook will continue in 2019. 2019 holds opportunities for better market access in US, given the US- China Trade war. I look forward to a new policy framework under way, which will be shaping our next Trade policy, in the lines of WTO compliances. AEPC has already shared a detailed alternate scheme in this regard. Several logistic and infrastructural changes are underway, towards greater ease of doing business. I look forward to their concretisation and impact on ground in 2019. I also look forward to a renewed Drawback and RoSL scheme that takes into consideration the post GST taxes that are still getting added to our production costs.. With regard to the new All Industry Rates of Duty Drawback announced in Dec 2018, AEPC was expecting higher drawback rates for apparel industry. For many of the important product categories of garment like cotton garments, MMF garment, Blend garments etc, the rates announced are lower than those recommended by AEPC through the cost datas. We are taking up the matter with relevant authorities. Towards market diversification, I would like to share that a high level delegation visited Czech Republic, Slovenia and Croatia to explore the smaller market of European Union to enhance the trade. The delegation

met Ambassadors of each country, Apparel Buyers, Chamber of Commerce. The meetings of the delegation were fruitful and we are expecting boost in trade with these countries. Friends, lets welcome 2019 with some new thought and resolutions – let’s introspect on how to reposition India as a leading apparel supplier. India is fast losing out to its competitors because of scales and productivity issues. The Council is looking at all possible interventions for benchmarking our competitiveness to the best. I look forward to your suggestions on this for shaping our next year’s action plan.

Happy 2019! n HKL Magu, Chairman, AEPC

APPAREL EXPORT PROMOTION COUNCIL MAGAZINE

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| January 2018

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C O N T E N T S EAI 01 ISSUE 10

100

BURBERRY: An incredible transformation story

04 | The brOAdcAsT

India emerges strong sourcing destination for global buyers

India’s Ready-Made Garment (RMG) Export Update for FY (April-November) 2018-19

05 | The brOAdcAsT

MSME

package for overall industry development APPAREL EXPORT PROMOTION COUNCIL MAGAZINE

| January 2019

CHAIRMAN AEPC Mr. HKL Magu CHAIRMAN EP Mr. Sudhir Sekhri ADVISOR AEPC Mrs. Chandrima Chatterjee PUBLISHER Apparel Export Promotion Council

India’s Textile & Ready Made Garment (RMG) Update for Index for Industrial Production (IIP) for FY (April-September) 2018-19

06 | AePc evenTs

Plenary session of the First India-Russia Strategic Economic Dialogue

08 | AePc evenTs

AEPC organises seminar on Investment Opportunities in Haryana

10| busIness

India’s textiles, clothing market, including exports touched $164 bn: Study

12| TrAde TreATIes

• India wary of RCEP due to influx of cheap goods • Tariff hike not to come into effect on January 1, 2019 • India keen on trade with UK post Brexit

13| TrAde TreATIes Editor-in Chief & Publisher & CEO Sanjay Chawla Director - Salil Chawla Managing Editor - Sujata Dutta Sachdeva VP-Corporate Communications Shraboni Mukherjee Assistant General Manager - Saqib Meer Editorial - Narayan Subramaniam Editorial Asst. - Ranjit Kaur Correspondent - Ajay Kumar Goswami, Special Contribution Editorial - Ajanta Ganguly Supported By - Abdul Hussain, Sumit Masand ART DIRECTOR - Sanjeev D. Sonavane Production & Admn. - Dhansukh Rathod, Dinesh Poojary Mumbai Office: 38/314, Unnat Nagar 4, Off M. G. Road, MHADA Colony, Goregaon (W), Mumbai - 400 062. Ph: 022 2875 5181 e-mail: dfuif@yahoo.co.in / dfu@rediffmail.com Dehli Office: Salil Chawla, Business & Mktg: New Delhi - 110017, Mobile: +9193503 18639/ 95601 79633 e-mail: dfudelhi@yahoo.co.in Printing Press: VIBA Press Pvt. Ltd. C-66/3, Okhla Industrial Area, Phase-II New Delhi-110020 e-mail: info.vibappl@gmail.com

• Tirupur to sign Indo-Pacific economic corridor treaty • India’s proposal of bilateral trade in local currencies rejected by China • FTAs with ASEAN, Japan and Korea increases India’s trade deficit

14 | sOurcInG

India emerges strong sourcing destination for global buyers

16| eXPOrT

• India’s apparel exports to Canada increase by 3% • India exports 54 per cent more apparels in October • India’s textiles and apparel exports to grow at CAGR of 12.06%

17| eXPOrT

• Textile associations urge government to set up textile cluster in Ludhiana • Arvind to open third garment facility in Gujarat • India to develop rating system for industrial parks

18| cOver sTOry

Government package for the MSME sector targets overall industry development

21| cOTTOn

• CAB estimates decline in cotton yield from October 2018-September 2019 • India rejects US charge of subsidising cotton beyond WTO limits • Draught and uneven rail to pull down average cotton yield in India

22 | OulOOK

Textile & clothing industry needs to continue innovations to emerge strong

24 | PrOducT secTOr

E-com to boost global knitwear market in future

26 | brAnd reTAIl

An incredible transformation story

29 | reTAIl

Global fast-fashion chains growing aggressively

31| brAnd reTAIl

• Siegle+Gale names Uniqlo as the world’s simplest fashion brand • UK probes retailing strategies of apparel brands/etailers

32| brAnd reTAIl

• Zara expands outerwear collection • Inditex to retail 118 million garments in 20182 • Espirit to overhaul company’s operations

33| brAnd reTAIl

• Guess expects positive results for FY2018-19 • Gap to close underperforming stores

34 | Trends

‘Not the US, more people elsewhere, own denim’

36 | Trends

Streetwear finding immense traction globally

38| Trend

• Great prospects for global sports brands in China • Denim on an upswing in the US • Rise of jeans as streetwear creates new opportunities for women’s denim brand

39| Tech Trends

• Brooks Brothers collaborate with ORS to launch AI-based retail program • LVMH sets up Retail Lab to speed up digital transformation • Levi’s to expand customisation program

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40 | Tech Trends

Micro-textile model promises a new dawn for the industry

42 | FAST FASHION

Fast Fashion industry needs to take positive eco steps

44 | FAST FASHION

SAC’s Higg Materials Tool aids designers in assessing environmental impact

46| Sustainability

• Textile Exchange ranks H&M Group as the world’s biggest user of sustainable materials • C&A launches first Cradle to Cradle certified Gold denim jeans • Lacoste bans the use of mohair in its collection

47| Sustainability

• Inditex launches outwear capsule collection • UK survey the issue of mass waste in the fashion industry • Chanel removes Python skin bags from website

48 | AEPC events

MSME review meeting organized at Tirupur

49 | AEPC events

AEPC organises Open House Session on Updated FTP in Bengaluru

50 | AEPC events

AEPC organises seminar on Digital Trade Banking Solutions

51 | MARKETS

Revolutionising the clothing re-commerce market, some players take lead

53 | event

Global Textiles Conclave 2018 highlights key industry initiatives and plans

55 | event

Weaves 2018: Emerges as a platform for Indian weavers to showcase globally

56 | event

CII organises 10th edition of TEXCON

57 | GSt Update 58 | MINISTRY NOTIFICATIONS 59 | aepc Notifications 60 | AEPC EVENT CALENDAR CALENDAR OF EVENTS 2019

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AppArel / The BrOaDCasT

India’s Ready-Made Garment (RMG) Export Update for FY (April-November) 2018-19 India’s RMG Exports RMG exports were to the tune of USD 1129.02 million in November 2018 with the growth of 8.98 per cent against the corresponding month of November 2017, which was USD 1036.01 million. In rupee term export for the Month of November 2018 was `8112.46 cr. as against ` 8327.42 cr. as against `6719.85 Cr. in November 2017 with the growth of 20.72 per cent. India’s RMG export to World in the April-November of 2018-19 was to the tune of USD 9976.14 mn. which has decreased by -9.70 per cent compared to the same period of previous fi nancial year. During April-November 2017-18, India’s apparel exports were to the tune of USD 11047.52 mn. India’s rmG export to World month

Fy 2017-18

mom Growth of 2018-19 over 2017-18 (%)

Fy 2018-19

In INr Crore In US$ million In INr Crore In US$ million

INr

US$

April

11272.24

1747.44

8859.67

1349.81

-21.40

-22.76

May

10342.55

1605.37

9040.63

1338.57

-12.59

-16.62

June

9979.57

1548.59

9202.63

1357.46

-7.79

-12.34

July

8262.94

1281.95

8757.23

1274.83

5.98

-0.56

August

8552.24

1336.95

8986.67

1292.18

5.08

-3.35

September

10704.85

1661.19

7967.69

1103.32

-25.57

-33.58

October

5401.86

830.02

8327.42

1130.95

54.16

36.26

November

6719.85

1036.01

8112.46

1129.02

20.72

8.98

April-November

71236.10

11047.52

69254.40

9976.14

-2.78

-9.70

Source: DGCI&S, Kolkata, 2018

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AppArel / The BrOaDCasT

India’s Textile & Ready Made Garment (RMG) Update for Index for Industrial Production (IIP) for FY (April-September) 2018-19 INDeX oF INDUStrIAl proDUCtIoN manufacture of textiles

mom Growth rate (In %)

manufacture of wearing apparel

mom Growth rate (In %)

Month

2017-18 2018-19 2018-19/2017-18 2017-18 2018-19 2018-19/2017-18

April

116

114.2

-1.6

155.5

134.6

-13.4

May

116.7

116.1

-0.5

156.8

136.8

-12.8

June

116.4

115.5

-0.8

145.2

151.6

4.4

July

116.4

119.8

2.9

134.2

147.3

9.8

August

116

125.1

7.8

121.4

144.3

18.9

September

115.2

121.4

5.4

118.8

143.6

20.9

October

113.5

120.5

6.2

106.3

136.1

28.0

Total

115.7

119.9

3.6

134

142.1

6.0

Source: CSO, 2018 SUmmAry • Manufacturing of Textiles has shown a growth of 6.2% in October, 2018 and growth of 3.6% for the period of April-October, 2018-19 • Manufacturing of Wearing apparel has shown a growth of 28% in October, 2018 and growth of 6% for the period of April-October, 2018-19

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AppArel / AEPC events

AEPC joins NITI Ayog led High Level Delegation to Russia for 1st India-Russia Strategic Economic Dialogue 6 / APPAREL EXPORT PROMOTION COUNCIL MAGAZINE | January 2019 Apparel_January_2019-1.indd 8

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AppArel / AEPC events

N

ITI Ayog had mounted a high level delegation to Russia for 1st India-Russia Strategic Economic Dialogue which commenced in St Petersburg on 25 November, 2018. The dialogue was chaired by Dr. Rajiv Kumar, Vice Chairman, NITI Aayog & Mr. Maxim Oreshkin, Minister for Economic Development, Russia. Shri HKL Magu, Chairman, AEPC and Mr. J D Giri, Director, M/s Shahi Exports P. Ltd., Faridabad were also the part of the delegation. Both countries have identified priorities for enhancing the economic and trade relation between India and Russia which are strengthening the basis for cooperation, infrastructure, investment and finance, sectorial cooperation, new economy & sustainable development: Five roundtables sessions dedicated to Development of Transport Infrastructure and Technologies, Development of Agriculture and Agro-Processing sectors, Support for Small and Medium-sized Business (SME), Digital Transformation and Frontier Technologies and Industrial Cooperation and Trade have been organized. In the round Table session on support for Small and Medium-sized Business (SME), Chairman, AEPC stated that 80% supply to the apparel exports in India comes from SMEs. There was a time when Ludhiana depended largely on Russia for its supplies like woolen garments. So, there is a huge possibility of cooperation. There is no dearth of suppliers in India ranging from small to big suppliers who export worth more than US$ 1 billion also. Today all the fashion brands are buying from India. There are 8800 members in AEPC who can take care of Russian market. He suggested to create one nodal agency, may be Importers Council from Russian side who will deal with the Exporters councils of India. He suggested that BSMs, seminars, market studies should be conducted for identification of bottlenecks. Both the sides can be informed

NITI Ayog had mounted a high level delegation to Russia for 1st India-Russia Strategic Economic Dialogue which commenced in St Petersburg on 25 November, 2018. The dialogue was chaired by Dr. Rajiv Kumar, Vice Chairman, NITI Aayog & Mr. Maxim Oreshkin, Minister for Economic Development, Russia. Shri HKL Magu, Chairman, AEPC and Mr. J D Giri, Director, M/s Shahi Exports P. Ltd., Faridabad were also the part of the delegation

Five roundtables sessions dedicated to Development of Transport Infrastructure and Technologies, Development of Agriculture and Agro-Processing sectors, Support for Small and Medium-sized Business (SME), Digital Transformation and Frontier Technologies and Industrial Cooperation and Trade have been organized about exhibitions in each other’s’ territories. To overcome customs related problems, Mutual Recognition Agreements will do the custom certification. Mr. J. D. Giri, mentioned about long business and trade relationship which India and Russia have had in the past which was pretty well in Soviet period but declined in the recent past which needs to be geared up again. He stated that reasons for low business are – information gap, logistic issues and banking challenges. India follows complete ecosystem approach, has skilled manpower, different institutes for training in SMEs sector, especially textile (National Institute of Fashion technology, other textile institutions). India is already providing the supplies to top fashion brands of the world. Huge gap in Russian market in terms of color, fiber in textiles can be filled by India. He suggested to set up a target of bilateral trade of US$ 1 billion by 2020 in textiles. This will stimulate the achievement of the larger target of bilateral trade US$ 30 billion by 2025. EAEU FTA should be expedited, logistics problems can be solved by INSTC coming into reality. India can be a good supplier in kid’s apparel section. AEPC also suggested that a counterpart of AEPC may be created by Russian Federation for sourcing and close interactions, North-South corridor to be expedited by Russia, making India member of EAEU FTA, dedicated desk in Indian Embassy for promoting apparel export from India & opening of offices of Russian retailers in India for sourcing.

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AppArel / AEPC events

Participants at Seminar on Investment Opportunities in Haryana at Apparel House, Gurugram

AEPC organises seminar on Investment Opportunities in Haryana

A

EPC organised a seminar on Investment Opportunities in Haryana at Apparel House, Gurugram on November 29, 2018 in collaboration with Invest Haryana & Haryana Enterprise and Promotion Centre (HEPC). The seminar included a presentation on the Haryana Textile & Apparel policy 2018

by MK Sardana, General Manager, HEPC. The session concluded with detailed information on key incentives in policies like financial assistance, stamp duty, support skill development, support for common effluent treatment plant (CETP), Internal and External development charges and financial assistance for zero liquid discharge (ZLD) and investment opportunities in Haryana for apparel sector. n

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AppArel / Business

India’s textiles, clothing market, including exports touched $164 bn: Study

T

he annual ‘Market for Textiles and Clothing (MTC)’: National Household Survey 2017 reveals, India’s overall market size for textiles and

clothing including exports increased to $146.63 billion in 2016 and further to $164 billion in 2018. Aggregate demand for textiles & clothing was 41.06 billion meter in 2016 which touched 45.32 billion meter in 2018, growing at a CAGR of

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AppArel / Business

Power loom sector sees highest demand The mill/power loom sector contributed 33.97 billion meters (82.72 per cent) to the overall demand of textiles in 2016 compared to 31.85 billion meters in 2015. Similarly, the knitted sector contributed 4.94 billion meters to the total basket in 2016 as against 4.77 billion meters (12.39 per cent) in 2015. At the same time, the handloom sector contributed 5.24 per cent to the total demand for textiles in the household sector. Aggregate demand for handloom textiles is 2.15 billion meters in 2016 as compared to 1.91 billion meters in 2015. The aggregate demand for textiles by sector of manufacturing for 2018 for mill made/power loom, knitted/hosiery and handloom sector was 37.24 billion meter, 5.56 billion meter and 2.53 billion meter respectively.

Household sector growth highest The demand for household sector is a major contributor to overall growth with 53.39 percent share in the total market. While export of textile and clothing decreased 4.66 per cent, demand in household and nonhousehold sector grew 2.82 and 1.51 per cent respectively during 2016. 5.34 per cent from 2011 to 2018. In value terms, demand touched Rs 6, 204.02 billion in 2018, with CAGR of 9.54 per cent between 2011- 2018. The per capita demand for textiles in 2016 was Rs 4,081.60 as compared to Rs 3836.13 in 2015. It touched Rs 4,762.90 in 2018. On the other hand, per capita demand for textile in quantity terms increased to 31.85 meter in 2016 and further to 34.58 m in 2018.

Cotton fibers most in demand Aggregate demand for cotton fiber-based products, was 17.22 billion meter in 2016 and increased to 19.29 billion meter in 2018. Comparatively, demand for manmade fiber-based product was 23.34 billion meters in 2016 which increased to 25.46 billion meters by 2018. Similarly, aggregate demand for pure silk and woolen fiber based product was 0.34 billion and 0.16 billion meter respectively in 2016. It is expected to have touched 0.37 and 0.20 billion meter respectively in 2018.

Growth in household demand of textiles has created an additional demand for 2,525 million meter of fabrics, which is an indication of the required capacity expansion in fabrics manufacturing in the country. Similarly, growing demand for newly emerged products like legging etc, provides an indication of the change in preference pattern of consumers in the country during the period. n

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AppArel / Trade Treaties

India wary of RCEP due to influx of cheap goods

I

ndia has some reservations on the Regional Comprehensive Economic Partnership (RCEP) as the deal might deluge its market by cheap goods from the other members, particularly China. The annual year-on-year growth in Chinese imports was about 9 per cent in 2014, which soared to 20 per cent in 2018. The trade deficit with China constitutes more than 40 per cent of India’s aggregate trade deficit. In quantum terms, Chinese goods constitute about one-sixth of all imports into India. Countries in diverse stages of development, from Australia, China, Japan and India to the ten members of Asean, are part of the RCEP, besides South Korea and New Zealand. Once wrapped up, RCEP would foster the largest regional trading bloc, making up 25 per cent of global GDP, 30 per cent of world trade and 26 per cent of cross-country foreign direct investment flows the world over. A modern, comprehensive and mutually beneficial economic partnership agreement for an open trade and investment milieu in the Asia-Pacific region is the core objective of the Regional

Tariff hike not to come into effect on January 1, 2019

T

he 25 per cent hike in tariffs that President Donald Trump had threatened on $200 billion worth of Chinese goods will not come into effect on January 1 as was originally planned. Instead, the 10 per cent tariff will remain in place as the two countries begin negotiations that also address China’s alleged forced technology transfers and cybercrimes. The most recent set of tariffs already affect clothing and accessories, including handbags and wallets, while the fourth set, which would hit $257 billion in goods, can hugely affect the footwear industry. Since the levies encompass a wide variety of consumer products, retailers would have to raise prices to accommodate soaring import costs. A number of companies, including Steve Madden, are planning to relocate their factories from China, which could potentially disrupt their supply chains as well as affect shipping times and sourcing strategies. n

Comprehensive Economic Partnership. n

India keen on trade with UK post Brexit

A

bout 800 Indian firms, that use UK as a getaway to enter the European Union (EU), plan to continue their ties post Brexit. The annual trade between both nations stands at $24 billion. India is reportedly keen on deals facilitating the export of software, the movement of information technology and healthcare professionals, and offering a greater access for generic drugs and pharmaceutical firms. India’s textile and garment sectors are also extremely keen on a trade pact. India’s trade rivals, Bangladesh, Cambodia, Vietnam and Pakistan, receive the benefits of preferential agreements or quotas in garments. Indian exports of garments to Europe attract a 9.6 per cent duty, making such products uncompetitive. India, in its bid to pave the way for a post-Brexit deal, will allow 100 per cent foreign direct investment in insurance brokerages. India is also keen on deals to ease the export of software as well as the movement of IT and healthcare professionals. India’s textile and garment sectors are also extremely keen on a trade pact with the UK. These sectors are major forex earners, after software and gems and jewelry. n

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AppArel / Trade Treaties

Tirupur to sign Indo-Pacific economic corridor treaty

T

irupur is planning to sign the Indo-Pacific economic corridor treaty which will open up traditional apparel markets. This treaty will include 12 countries such as India, the US, Australia, Indonesia, Japan and New Zealand, on board. Under this treaty, each country will provide a conducive climate for trade exchanges for different members and investment to develop infrastructure. The US recently announced an investment worth $113 million for new infrastructure initiatives in the corridor. The corridor will group selected nations who will help others to develop their economies. If the partners are provided preferred status by other nations, it will be a win-win situation for both the sides. Especially in the apparel market, India could utilise the advantage, if the US, which has a traditional apparel market, provides a lower import tariff and a softer approach. Apparel exporters in India could get a huge help from the corridor. Though the economic corridor is mainly mooted to counter the advantages of China, it will not affect the neighboring country much, at least in the apparel market. Since Chinese firms have

India’s proposal of bilateral trade in local currencies rejected by China

C

hina has not accepted India’s proposal to carry out bilateral trade in local currencies. India had suggested to China trade in local currency in order to boost its exports and tackle the widening trade deficit. India’s exports to China stood at only $13.4 billion while imports were $76.4 billion in 2018, leaving a trade deficit of $63 billion. India has proposed trade in national currencies with some other countries, too, including Russia, Iran and Venezuela. New Delhi has a trade deficit with these three countries too. Bilateral trade in domestic currencies will help India only in the case of those countries with which it has a trade balance. There should be no trade imbalance with the country with which India wants to do trade in the rupee. It will not help in bridging the deficit. Indian industry and exporters have time and again raised the issue of increasing trade deficit with China and have sought greater market access for domestic goods in the Chinese market. Recently, China permitted exports of rice and sugar. But India wants to increase exports of several other items, including pharmaceuticals, engineering and services. n

already made big investments in countries such as Bangladesh, Vietnam and Cambodia, which are top competitors of India in the apparel industry, the former may not feel the heat of the corridor. n

FTAs with ASEAN, Japan and Korea increases India’s trade deficit

A

s per a study published by think-tank Third World Network, India’s three free trade agreements with the ASEAN, Japan and South Korea have resulted in growing deficits in merchandise trade. The government is at present focused on how to make India’s free trade agreements deliver more for all stakeholders and has also employed three think-tanks to analyse the on-going RCEP negotiations. After the initial spurt in middle of the previous decade, trade imbalances increased sizably after the three Comprehensive Economic Partnership Agreements (CEPA) with the ASEAN, Japan and Korea came into effect. Trade deficit with the three countries, which stood at $4.5 billion in 2004 and $16.4 billion in 2010, shot up to $29.7 billion in 2015 before cooling down a bit to $26.6 billion in 2016. Available trends in both exports and imports point to a hollowing out of the manufacturing base, which has prompted the present government to initiate measures for the revival of the manufacturing sector. n

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AppArel / SOURCING

India emerges strong sourcing destination for global buyers Italy’s Alessandro Lenzi, Administrator of Lebiz srl, he came to India to explore factories for intimate apparels. And he is not alone as many companies are now exploring India as they face challenges in their existing sourcing destinations, and as customers are pushing them for Indian products. For India, this is perhaps the best time to explore new growth opportunities.

India emerges strong sourcing option

C

ompanies across the globe are facing challenges while operating businesses within their own countries. India therefore, is emerging the preferred sourcing destination for many. Take

Lebiz srl has 26 stores in Bologna and they realised Italian consumers prefer Indian products hence, India is a hub they can’t ignore anymore. They plan to source 20,000 pieces per collection annually with four to five collections a year. Other sourcing companies too are looking at India. For example, Saudi Arabia’s Nama Arabia Apparels, (‘Blooming’ label) was working primarily out of China but now they are impressed with Indian manufacturers and rethinking options. Fawzi Alnahdi, CEO, Nama Arabia Apparels points out around 95 per cent of their products, including underwear and outerwear,

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AppArel / SOURCING

are sourced from China but now they are actively looking to start working with casual womens wear that would appeal to women in Saudi Arabia. Some buyers say they are working hard to ensure timely delivery from Indian exporters and insisting on focusing more on product development. Rayes Gimenez, Manager, Kuini Creation, Spain and Jaime Barba of 360 Streetwear, are upbeat about their sourcing tie-up. And for Ada Kamara, Mykonos, Greece, India is the biggest sourcing destination. They are looking for fresh collections and hope to make new contacts with exporters that will support their growth plans as they plan to become wholesalers and spread their wings. For Sarabjit Singh E.E., Manager, Siba International, Denmark, any exporter who can offer innovative patterns can gain winning contracts. Twinset S.P.A., from Italy has been sourcing from India for the last 15 years and their journey have been impressive. The company is represented by Preeti Walia

in India. Around 70 per cent products are sourced from India, while the remaining 30 per cent basic/core lines are sourced from China. Hand embroidery is at the core of most of the products sourced from India. Meanwhile, Russia is a potential market for Indian exporters. As Valery Sidorenkov, Chief Production Officer and quality assurance, Modis, Moscow points out they are working with six exporters in India and sourcing good volume of women’s, men’s and kid’s wear from India. He says, garment exporters should have proper data and start analysing where they exactly are. Some key areas like good quality can make a company profitable. Strong quality management system and data assessment system will help reduce issues like extra procurement of material, amount of manpower invested on check, rechecks, so proper data would be the starting point. n

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AppArel / Export

India’s apparel exports to Canada increase by 3%

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ndia’s exports to Canada have increased by 3 per cent year on year. However, its share in Canada’s textile and apparel imports has declined over the last five years. Apparel has a 50 per cent share in India’s textile and apparel exports to Canada. This is followed by home textiles and fabrics having a share of 50 per cent and eight per cent respectively. Apparel is the largest imported category by Canada, representing 66 per cent of total textile and apparel imports. This is followed by home textiles, fabrics and others with a share of 16 per cent, six per cent and five per cent respectively. China is the largest supplier to Canada, accounting for a 34 per cent share, followed by the US and Bangladesh with a share of 16 per cent and 8 per cent respectively. The top 10 suppliers account for 85 per cent of textile and apparel imports by Canada. Over the years, apparel production in Canada has fallen while imports continue to increase. So India has a huge scope for expansion of apparel exports to Canada. To cater to this

India’s textiles and apparel exports in November up 14 per cent

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ndia’s textile and apparel exports grew by 14 per cent in November. Textile exports jumped nine per cent and apparel exports jumped 21 per cent. For the period between April and November, textile and apparel exports grew by seven per cent. The old duty drawback rate which was very attractive came to an end in September 2017. Because of this attractive scheme, Indian exporters advanced their delivery schedules to avail of the duty drawback scheme. Consequently, textile and apparel exports skyrocketed in September 2017. Exports one year later in September 2018 declined sharply. From that level, however, exports are normalizing which is believed to continue in future as well to end the current financial year flat. Indian’s textile and apparel exports are destined for all countries including China. The recovery in the US economy has given a boost to India’s textile and apparel exports. Since the US economy is on a continuous growth path, India’s textile and apparel export growth is expected to continue. India registered a growth of 5.37 per cent in textile and apparel exports in 2017. India’s share in world trade in textile and clothing is estimated to be 4.95 per cent. With these exports, India is ranked second among suppliers in the world. n

demand, Indian apparel manufacturers need to undertake suitable investments on product innovation. Focus on technology enhancement and manufacturing excellence will act as a key mantra for raising the trade flow between the two countries. n

India’s textiles and apparel exports to grow at CAGR of 12.06%

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ndia’s total exports of textiles and apparel are expected to grow at a CAGR of 12.03 per cent to reach $82 billion by 2021. The total textile and clothing exports, during AprilSeptember 2018, stood at Rs 1.30 trillion ($18.56 billion). Ready-made garments exports were Rs 52,810.51 crore ($7.53 billion) during the same time. Fiber exports from the country in 2017-18 were valued at $2,481.90 million. During April-September 2018, fiber exports stood at Rs 8,429.05 crore ($1,201.06 million). Total value of yarn, fabrics and made-ups exports of the country was $14.33 billion. During AprilSeptember 2018, the exports stood at Rs 54,422.11 crore ($7.75 billion). n

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Textile associations urge government to set up textile cluster in Ludhiana

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delegation of Knitwear and Apparel Exporters Organisation in Ludhiana recently sent an MoU to the chief minister Captain Amarinder Singh apprising him of their problems. In the MoU, Harish Dua, President of the Association noted that Ludhiana needs a big international class textile cluster with availability of all essential services. An MSME unit cannot afford all kinds of machines and services like embroidery, printing, knitting, dyeing, and electronic computerised cutting. Therefore, it will be in the best interest of exporters and manufacturers of garments that a cluster be made in Ludhiana, where all these facilities — along with the latest state -of -the -art machinery is made available at a subsidised cost to members of the cluster. Narinder Chugh, Executive Council member of Apparel Export Promotion Council emphasised the need to train and mobilise women’s workforce in the state, especially in Ludhiana. The

Arvind to open third garment facility in Gujarat

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rvind will open its third garment facility in Gujarat over the next few weeks. The company already has two manufacturing facilities in the state. These facilities will add a capacity of three million garments a month and generate additional revenues of Rs 1,000 crores. They are aimed at strengthening Arvind’s position in the global textile and garment market as an integrated fiber to fashion provider and solutions provider to global retailers and brands. The facilities will also contribute to the company’s foray into performance and functional wear (active wear) and synthetics. At present only 10 per cent of the fabrics Arvind produces are converted into garments. The aim is to convert 50 per cent of Arvind’s fabrics into garments over the next five years. Some 12,000 people are expected to be employed in these facilities. Arvind plans to invest Rs 500 crores a year for the next four or five years with an aim to double revenue from its textile business to Rs 12,000 crores. Gujarat has been at the forefront of the textile value chain. The state’s progressive textile policy has seen Gujarat become the leader in cotton production, spinning and fabric production. The state is poised to become a large garmenting hub. n

Punjab government, which is already taking several steps to improve business environment in the state, should also start initiatives to set up hostels for working women. The state government can also offer land free of cost for this purpose, besides constructing hostels with aid from the Central government at the earliest. n

India to develop rating system for industrial parks

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ndia plans to develop a rating system for industrial parks which is expected to raise competitiveness of industries and promote manufacturing. This system is being developed based on four parameters: internal and external infrastructure, connectivity, environment and safety management, and business support services. The system could become a reference database for prospective investors. There are suggestions that the parks should occupy a minimum of 1,000 acres, with infrastructure support in the form of readymade factory sheds, warehouse, effluent collection treatment and disposal systems, incubation centers and testing labs, first aid centers, with express connectivity to seaports and airports. The Scheme for Integrated Textile Parks was launched in 2005 to encourage private investments and employment generation in the textile sector. The primary objective of the SITP was to provide the industry with world class state-of-the-art infrastructure for setting up new textile units. The Scheme for Integrated Textile Parks was launched by merging two schemes, Apparel Parks for Exports Scheme and Textiles Center Infrastructure Development Scheme. n

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Government package for the MSME sector targets overall industry development the latest msme package announced by the government will surely boost the textile and apparel sector which has been facing trying times. medium and small players who make up a huge chunk of the sector will be big beneficiaries say experts and industry bodies

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he msme support and outreach programme announced by Prime minister narendra modi has been welcomed by the textile and apparel industry. The programme includes

12 decisions, including a 59-minute loan portal for sanction of up to rs 1 crore for small and medium enterprises. it may be noted that over 75 per cent of india’s garment industry is in the msme sector and the 12 announcements covered in the package would benefit a large segment.

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Features of MSME programme The latest MSME Support & Outreach Programme include is broad and covers many aspects of the industry. Some salient features are: • GST-registered MSMEs will get 2 per cent rebate on an incremental loan of up to Rs 1 crore. • Interest subvention increased on pre and post shipment credit for exports by MSMEs from 3 to 5 per cent. • Rs 6,000 crore package for the technological upgradation in MSMEs. 20,000 hubs and 100 tool rooms will be developed around the country for this. • Mandatory sourcing by PSUs from MSMEs increased to 25 per cent from the previous limit of 20 per cent. • Government companies to buy at least 3 per cent of their purchases from women entrepreneurs. • It is now mandatory that all the companies with a turnover of more than Rs 500 crore will have to join TReDS platform, that is Trade Receivables e-Discounting System. So, MSMEs won’t face trouble in cash flow. • MSMEs will have to file just one annual return on eight labour laws and 10 central rules. • Environment clearance and ease of self-certification for MSME. • Changes in Companies Act and relief to MSMEs from legal complications.

Fast loan disposals to address credit woes Bank credit to micro and small enterprises (MSEs), especially in manufacturing, has shown no signs of growth in the past two fiscal years. In fact, it actually declined for medium enterprises. For a long time, there has been a structural need to address funding and liquidity woes of the entire MSME landscape, particularly working capital. CRISIL’s analysis of nearly 10,000 MSMEs shows average trade receivable is about 75 days — a significant stretch that forces them to resort to high-cost debt to keep business running. As for credit flow from banks and non-banks, a marked improvement will take time because of enduring challenges they face. Under new the package, a portal has been launched through which MSMEs can avail of loans up to Rs 1 crore. The portal will enable principal approval of loans up to Rs 1 crore for MSMEs from Small Industries Development Bank of India (SIDBI) and five public sector banks viz: State Bank of India, Bank of Baroda, Punjab National Bank, Vijaya Bank and Indian

Bank. GST-registered MSMEs will get 2 per cent interest rebate on incremental loan up to Rs 1 crore. Textile minister Smriti Irani also outlined that for the first time banking institutions have been directed to give in-principle approvals to loans in 59 minutes. She urged the industry to avail benefits of the ATUF scheme, as provided under the special package of Rs 6,000 crore for the made-ups and garments sector and assured that the ministry would provide all support to the cotton textile sector in increasing exports. In this milieu, the government’s move to launch the portal to assess and sanction loans of up to Rs 1 crore will help micro enterprises significantly, while TReDS can change the game for small and medium enterprises by engendering their credit history, enabling tracking of receivables’ realisation — or, when and how dues from corporates were received. Indeed the announcement has come as a huge relief for MSME sector with majority of them being in the informal sector they find it extremely difficult to raise funds as credit appraisal is a major challenge.

Export subsidies to boost growth The apparel industry saw a dip in exports from October to December 2017 – a fall of 39 per cent, 11 per cent and 8 per cent year-onyear, respectively. This was mostly attributed to the Goods and Services Tax (GST), which rolled out in July, and discontinuance of certain export incentives. Therefore, from seeking restoration of export incentives at

Under new the package, a portal has been launched through which MSMEs can avail of loans up to Rs 1 crore. The portal will enable principal approval of loans up to Rs 1 crore for MSMEs from Small Industries Development Bank of India (SIDBI) and five public sector banks

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pre-GST rates (7.5 per cent duty drawback on cotton apparel and 3.5 per cent return of state levies or ROSL) to exemption of 18 per cent taxes levied towards air freight charges under GST, industry body Apparel Export Promotion Council (AEPC) made around 8-10 demands. Addressing these demands, interest subvention on pre-shipment and postshipment finance for exports by MSMEs has been increased from 3 to 5 per cent. These measures would provide much-needed support and encouragement to the MSME sector, which contributes significantly to textiles exports. Under the package, GST -- registered MSMEs would get 2 per cent interest rebate on incremental loan up to Rs. 1 crore. The increased subsidy is applicable from November 2. Exporters can avail the subsidy under the ‘Interest Equalisation Scheme on Pre and Post Shipment Rupee Export Credit’. The scheme (earlier called Interest Subvention Scheme) was announced by the government in November 2018 for all exports of MSME and 416 tariff lines. The scheme covers mostly labour intensive and employment generating sectors like processed agriculture/food items, handicrafts, readymade garments, glass and glassware, medical and scientific instruments, and auto components/parts, among others.

LEI code to improve accuracy of financial data As per a notification of the RBI all participants, other than individuals, undertaking transactions in the markets regulated by it -- government securities markets, money markets and non-derivative forex markets -- shall obtain Legal Entity Identifier (LEI) codes. The RBI has given timelines for different types of participants to comply with the directions. The LEI code has been conceived of as a key measure to improve the quality and accuracy of financial data systems for better

risk management post Global Financial Crisis. The LEI is a 20-character unique identity code assigned to entities who are parties to a financial transaction.

Special apparel package to boost employment The garment industry being the most labour-intensive segment of the manufacturing sector, complying with the requirements under various labour laws is a major responsibility for the industry. Textile Commissioner, the Ministry of Textiles had earlier stated the textiles and clothing industry had promised the government to bring an investment of Rs 800 billion along with creation of employment opportunities for 10 million people within three years. Already two years have passed but investment to the tunes of Rs 70 billion and employment of only 100,000 persons were achieved. To fulfil its promise given to the government, the Textile Ministry announced a Rs 60 billion special apparel package in July 2017 and the garment and made ups industry should take advantage of the scheme. The package would complement the Amended Technology Upgradation Fund Scheme, introduced in 2016, to provide capital subsidy for machinery at 15 per cent for garmenting and technical textiles segments with a cap of Rs 30 crore and at 10 per cent for weaving, processing, jute, silk and handloom segments with a cap of Rs 20 crore. The present government had initiated some labour reforms for the segment earlier under a special package. Strict regulation of visits by inspectors and stipulating returns under 8 labour laws and 10 union regulations have to be filed now only on an annual basis, have taken this process ahead. n

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AppArel / Cotton

CAB estimates decline in cotton yield from October 2018-September 2019

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otton Advisory Board (CAB) headed by the Textile Commissioner in its first estimate released this week, forecasted cotton yield will decline to 501.47 kg per hectare (ha) for the cotton season October 2018–September 2019. As a result, average cotton output for the season is the lowest in three years. During the crop year 2016-17, the yield was reported at 459.2 kg per ha. With this, the 2018-19 cotton season is set to become the second slowest year in nearly a decade. The CAB estimates India’s cotton output at 36.1 million bales (1 bale = 170 kg) for 2018-19 compared with 37 million bales in the previous year. The statistics collated by the CAB showed Maharashtra as the least yielding cotton producing state in the India with an average productivity (yield) of 334.3 kg per ha this year compared to 343.48 kg last year. To capitalise on benefits, such as procurement at minimum support price (MSP), offered by the government, farmers had brought additional area under this natural fibre last kharif sowing

India rejects US charge of subsidising cotton beyond WTO limits

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ndia has rejected the US charge of subsidising cotton beyond the limits prescribed by the World Trade Organisation (WTO). It says the support provided is intended to ensure that poor farmers do not resort to sales under distress. The country has been using a consistent reporting approach since 1995 and uses a robust methodology as compared to the US in its calculation of the support. The US has accused India of under-reporting the value of its minimum price support (MPS) for cotton. In its 2015-16 notification to the WTO, India reported Rs 1.2 billion in MPS for cotton whereas the US estimated India’s support at over Rs 504 billion. According to the US these actual support levels mean India is well in excess of its WTO spending limits on cotton support, which is fixed at 10 per cent of the total value of overall production. Other countries that raised red flags over India’s support to the sugarcane sector include Guatemala, Thailand, Paraguay, Brazil and the European Union. Questions have also been raised regarding India’s decision to increase import duties on milk powder from 30 per cent to 40 per cent. n

season. As a result, total acreage under the crop rose to 12.24 million ha from 10.83 million ha in 2016-17. However, uneven distribution of monsoon rainfall in Gujarat — deficient in cotton growing belts and surplus elsewhere — coupled with drought in major cotton cultivating areas in Maharashtra such as Marathwada, is set to pull down India’s average yield this year. n

Draught and uneven rail to pull down average cotton yield in India

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rought and uneven rainfall in Gujarat and Maharashtra is likely to pull down the average cotton yield in India. As per estimates from the Cotton Advisory Board, the country is likely to produce 36 million bales of cotton during the 2018-19 compared to 37 million bales in the previous year. After touching Rs 136 per kg (Sankar-6 variety), cotton prices have eased to Rs 124 per kg. On the other hand, robust demand for yarn both in domestic and international markets has supported yarn prices. A 35 per cent jump expected in yarn exports between April and October from a year ago and a 25 per cent growth in overall textile exports will bolster yarn prices in the near term. Stable demand and production would kick in benefits of operating leverage too. This should help sustain operating margins n

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Textile & clothing industry needs to continue innovations to emerge strong

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he global economy is in a fragile state, poised delicately between a slow recovery and second slide. Therefore, it is important to analyse the current scenario, and jointly consider future strategies. Continuous global crisis, high oil prices and turmoil and political instability are huge concerns for all businesses particularly textiles as crisis leads to a dip in expenditure on textiles. Interestingly even in such a scenario,

China’s textile and clothing exports have risen more than fourfold since 2000, compared to stagnant exports from other top exporting countries. China’s capacity development is also peaking as more than 40 per cent of the world’s production of clothing and textiles is done in China and India.

Discontent among Chinese middle class Over the past few months, China’s middle class has been noticeably critical of the government’s economic and sociopolitical

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China, South Korea, Indonesia, Turkey, India, Pakistan etc. As the Middle East economy is affected, textile business is also affected. Though improving oil prices are offering some relief, it take time as the economy has been adversely affected for last few years.

Innovation and research strengthen base policies, including the way the leadership has handled relations with the US. Some suggest this middle-class discontent threatens President Xi Jinping’s broader position and economic vision and indicates that the US holds the advantage in ztrade dispute with China. But the middle class’ views which are the foundation of Chinese public opinion might be poised to turn in the Communist Party’s favor. Interdependency between emerging economies and developed economies could thwart latent demand in major manufacturing centers, specifically in Southeast Asia.

India to remain strong production centre In all this, India will continue to be a major textile production center catering to a huge domestic market. But imports from China, Bangladesh are causing disturbance in supply chain however, government is taking corrective steps and a lot of favorable initiatives are being taken by textiles ministry to improve production synergies and textile business model.

The Middle East a big consumer Middle East continuous to be a big consumer of textiles based on imports, major exporting countries to Middle East include

Despite odds, textile industry has to constantly innovate and research. It needs to constantly invest in quality control and new opportunities such as defense textile, huge requirement of camouflage fabrics as size of armed forces is increasing all over the world. Similarly coated fabrics, industry textiles have become huge markets now. The textile and apparel industry is buyer-driven and dominated by retailers, brands and sourcing companies. Retailers demand full-package service from their suppliers, but they are reluctant to pay for additional services. It is important in today‘s business environment to select customers who see you as partners. E-commerce platforms are turning out to be a big blessing as online sale is improving eliminating middle man. Amazon, Flipkart, Snapdeal, Shopclues and many other small platforms are helping small manufacturers to produce high quality stuff. Current times are tough but textile manufacturers have seen much harder times in the past. n

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E-com to boost global knitwear market in future

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-commerce will give a huge boost to global knitwear market from 2016 to 26, suggests a study. Online sale of knitwear products has got a boost globally. The global e-commerce business of fashion and apparel is expected to increase from $408 billion in 2017 to over $706 billion in 2022, rising at a CAGR of 11.6 per cent.

Ecom drives up market size Online sales of knitwear products is increasing due to growing penetration of e-commerce in BRICS - Brazil, Russia, India, China, and South Africa countries. Increasing penetration of smartphones, a rise in middle

class population with higher discretionary income, and innovative and advanced e-commerce technologies are driving demand for knitwear. Online knitwear sales are also increasing due to a rise in average revenue per user (ARPU) in e-commerce knitwear products compared to ARPU of offline knitwear product sale. The ARPU of e-commerce clothing market is expected to increase from $270 in 2018 to $301 in 2022. Knitwear products are a major segment of the fashion industry. E-commerce in fashion industry in the US and Europe are expected to expand at a CAGR of 8.8 per cent and 8.7 per cent between 2017 and 2022 respectively; while in China, e-commerce in fashion industry is expected to grow in double digits at a CAGR of 14.1 per cent between 2017 and 2022. Thus, rising penetration of e-commerce is boosting market size for knitwear products across the world.

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Products, fabrics et al rev-up sales The study segments the global knitwear based on product and material types, application, consumer group and distribution channel. Products are classified as: innerwear, t-shirts & shirts, sweaters & jackets, sweatshirts & hoodies, shorts & trousers etc. Based on fabric, the market is classified into natural, synthetic, and blended. On the basis of application, the market is segmented into outerwear, innerwear, sportswear and others. Based on consumer group, the market is segmented into men, women, and kids. Further on the basis of distribution channel, the market is segmented into online and offline. The analysis of these segments is based on present and forecasted global demand for knitwear products and prevailing and future trends across North America, Europe, Asia Pacific, Middle East & Africa, and South America.

Top players in the market The report includes a SWOT (Strength, Weakness, Opportunity, and Threat) analysis of the market, Porter’s Five Force analysis of the market, ecosystem analysis, key macroeconomic indicators influencing the market and raw

material analysis of the knitwear industry. The report highlights major companies operating in the global knitwear market including Adidas, Gap, Gildan Activewear, Hackett, Abercrombie & Fitch, Loro Piana S.P.A., Marks & Spencer, Nike, among others. n

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An incredible transformation story Burberry’s early commitment to digital marketing, and willingness to try new and exciting marketing avenues, has undoubtedly positioned the company as the pre-eminent luxury brand on social media. The numbers speak for themselves – by the time CEO Angela Ahrendts left in mid-2014, share value had trebled since 2006 (to £7 billion), and Burberry enjoyed the greatest combined social followership of any luxury brand and that’s the power of social media we are talking about…

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s a brand, Burberry can come across as a contradiction in terms. The company has historically represented old-world British charm, elegance and refinement. Its use of timeless fabrics like tartan, and enduring styles such as its signature trench coat, give the impression of a brand that is quite comfortable with its place in the market. But its recent marketing efforts have been quite at odds with its conservative and traditional reputation.

Marketing history At 21 years of age, Thomas Burberry, a former draper’s apprentice, opened his first store in Basingstoke in 1856. After gaining a foothold in the local market, he made a name for himself in 1880, after introducing gabardine to the public, a waterproof yet breathable fabric perfect for the often inclement British weather. Burberry’s big break, however, came off the back of World War I. The British war office requested the company to adapt one of its most popular lines, the officer coat, to cope with the challenges presented by the recently developed tactic of trench

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Facebook and Twitter, and in the top 10 on Instagram. No mean feat when you’re competing with the likes of Chanel, Dior and Gucci; noted luxury brand superpowers. Burberry has worked hard to create a uniform look across all of their social platforms. The content that they use across their accounts, while similar, is subtly optimised to cater to the strengths of each platform; using the live streaming abilities of Facebook, saving artfully minimalist photos for Instagram, and posting the material that will promote audience engagement on Twitter.

Burberry used technology to drive its digital strategy. It collaborated with tech companies, streamed content on Snapchat and maximised social media

Facebooks feeds

warfare. The design worked beautifully, and after supplying an incredible amount of uniforms to the armed forces, they released it to the general public at the conclusion of the war, to huge success. The trench coat continues to be Burberry’s most iconic line, and biggest seller, to this day. Through the 20th century Burberry focussed on maintaining this brand perception of elegance and refinement, employing the likes of Audrey Hepburn, Humphrey Bogart and Ronald Reagan as brand ambassadors. Until late 90s, its place as one of the most iconic British fashion houses was without question. That changed with the arrival of the new millennium. An influx of counterfeit Burberry goods entered the market, and were a hit with chavs (lower class, often welfare-dependent Brits) and football hooligans alike. Burberry’s current success can be traced back to 2006. A new CEO, Angela Ahrendts, was appointed, and her first move was to remove the iconic Burberry check pattern from all but 10 per cent of the brand’s designs, to minimise the association with hooliganism. She also announced that Burberry would aim to be the world’s first fully digital luxury company; an incredible statement from a company so steeped in history and tradition.

The Burberry Social Strategy Over the last decade, Burberry has placed heavy focus on digital marketing. Over 60 per cent of their marketing budget is now spent on digital media, a percentage that comfortably outdoes every other luxury fashion brand. Over the years, their social channels have become the centrepiece of this digital strategy, with Facebook, Twitter and Instagram forming their main points of focus. This focus has been generously rewarded, with Burberry sitting in the top three most followed luxury brands on

Facebook is Burberry’s most popular account, with over 17 million likes. This puts them only marginally behind Louis Vuitton (18 million) and Chanel (17 million) in terms of most followed luxury brands, and, up until recently, they very much owned top spot. Burberry posts quite sparingly, averaging an update every 3-4 days. The content Burberry uses for Facebook is essentially a highlight package of their Twitter feed. They save it for large announcements, or high production value videos. The engagement is solid, with each post enjoying a few thousand likes, although it must be said that this communication is very much one way – Burberry doesn’t appear to respond to – or even acknowledge – any of its fans’ comments. This lack of engagement could be the reason behind Burberry losing 1 million fans over the course of the last year, and may be an area that could use some improvement.

Insta imagics Instagram provides Burberry with perhaps the brand’s most natural social network fit. The simplicity of the minimalist platform ties in beautifully with the minimalism of much of Burberry’s content, which results in a very successful account. From 7.5 million followers, 50k+ likes and 100k+ video views isn’t an uncommon occurrence (this video, for example, has 400k+ views). The content is beautifully created, with an almost even mix

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of images and videos getting uploaded daily. There is a strong focus on simple beauty, with the photos, and even videos, never too busy or complex. The healthy engagement numbers show that Burberry is doing Instagram as well as almost any fashion house out there.

Twitter tweets Twitter is the most active of Burberry’s social accounts, with an average of 5 posts uploaded per day. With another 7 million followers, Burberry is behind only Chanel (12 million) in terms of luxury brand Twitter audience size. While the ‘favourite’ and ‘retweet’ numbers may appear to pale in comparison to those that the Burberry Facebook and Instagram accounts enjoy, it needs to be remembered that a retweet on Twitter is extremely valuable, getting a host of fresh eyes on the content. Burberry were also one of the first brands to make use of Twitter’s ‘Buy Now’ function, back in 2014.

Other social marketing efforts Burberry has always been comfortable on the leading edge of digital marketing, breaking ground where many other luxury brands feared to tread. They were one of the first major brands to experiment with Snapchat, using it for nothing less than a seasonal product launch. They are currently one of the first brands to use the new Messenger Codes – a new QR code type portal for Facebook Messenger. One of the company’s most successful social campaigns was initially not intended to spread to social networks at all. Art of the Trench – a 2009 mini-site that collated photos of customers wearing their Burberry trench coats – became so popular that the company expanded it to Facebook, Instagram, Twitter and even Pinterest, using hashtags such as #ArtoftheTrench and #AOTT to spread the word. This campaign kick started Burberry’s social strategy, adding millions of followers across a host of social accounts.

The ultimate positioning Burberry’s understanding of each social platform’s strengths, combined with their beautiful content and their digital innovativeness, firm them as the leading digital luxury brand in the world. They are well on their way to fulfilling that promise made back in 2006. n

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Global fast-fashion chains growing aggressively

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he arrival of fast-fashion brands such as H&M, Zara and Forever 21 has disrupted the specialty apparel sector as these fast-fashion players not only imitate runway fashions at affordable prices, but also beat other retailers in the market to the latest styles.

Making fashion affordable Fast-fashion chains, over the past decade, have grabbed huge market share in the apparel sector and grew aggressively, opening hundreds of stores. The companies boast of short production and distribution lead times

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which allows them to respond to market changes in a matter of just a few weeks. They are largely immune to the problems of the larger specialty apparel industry. However, lately they’ve started to encounter certain roadblocks including increasing competition, changing consumer shopping habits and more intense competition from online players like Amazon and ASOS. Come what may there are certain things in this world that never change ditto for the consumers’ appetite for discounted

fashion apparel. These discounts allow people to buy high fashion at affordable prices. However there’s an increasing competition in the fast-fashion industry, including pressure on existing US chains because it’s become a huge international business.

Increasing competition As consumer appetite has been sustained and actually grown, more and more players are coming into this space, which then obviously creates more competition for existing players and can sometimes affect revenue, expansion, profit margins and things

like that. Online retailers have opened up a lot of options for consumers that didn’t exist before. Two factors are affecting fast fashion. These include: decline in demand many of these brands experienced aggressive growth for years and a slowdown is natural. At least two of the three big ones—Forever 21 and H&M—were due for a slowdown anyways. They were kind of reaching capacity in the marketplace. But that’s not to say that they couldn’t find new markets to exploit and get market share… But the two were at the forefront of growth early.” The second factor is the “encroachment of e-commerce and the rise of the off-price guys. Also, some fast-fashion concepts have been slow to get into online sales and are now paying the price and trying to catch up.

Big players report mixed results Swedish powerhouse H&M reported a dip in total sales by 4.0 per cent on a global basis in 2017. Sales in the US fell by 6.0 per cent. The retailer would close 170 stores while opening 390 new stores globally, and is dealing with $4.3 billion in unsold inventory. In the first half of 2018, H&M opened 10 net new stores in the United States. Los Angeles-based Forever 21 is rethinking the size of its stores and looking at downsizing locations. Their average store is 38,000 sq. ft. and the largest is around 162,000 sq. ft., according to the retailer’s website. Forever 21 is rolling out its 21Red concept that’s going into power and community centers. These stores are in the 10,000- to 12,000 sq.ft. range. Inditex said strong sales and investment in technology for its online and physical stores boosted net profit in the past fiscal 7.0 per cent. The brand’s net profit for the 12 months ending January 31, 2018, rose to $4.11 billion. It posted a 5.0 per cent increase in same-store sales globally for the quarter ending Aprils 30, 2018. Meanwhile, Spanish clothing retailer Zara, revealed same-store sales growth for all regions in which it operates was positive, but didn’t disclose specific figures. n

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Siegle+Gale names Uniqlo as the world’s simplest fashion brand

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niqlo has been named the world’s simplest fashion brand by Siegel+Gale. The brand was ranked on the basis of its philosophy of simplicity, quality and longevity, which resonates around the world. Siegel+Gale ranks companies for delivering on their promise of simple, clear, and intuitive experiences. Topping the overall ranking was Netflix, followed by German discount supermarket Aldi, then Google, Lidl and Carrefour. Siegel+Gale’s study reaffirms an increasing demand for transparent, direct, simple experiences that make peoples’ lives easier. British retailer Marks &Spencer was ranked 77th, followed by department store chain Debenhams at 85, while sportswear brand Under Armour was 87th, and Topshop was

ranked in the 94th place. The simplest global brands have outperformed the average of the major indexes by 679 per cent since 2009. The top performers in the study operate in crowded, highly competitive marketplaces. Their ability to consistently deliver their brands with simple, compelling experiences sets them apart. n

UK probes retailing strategies of apparel brands/etailers

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ourcing practices of UK clothing retailers Boohoo, Asos and Missguided are being probed on charges of below-legal wages and unethical working conditions. Online clothing retailers in the UK such as Primark, H&M, and Zara get 21 per cent of their stock from China, 14 per cent from Bangladesh and India and 12 per cent from Vietnam. All these four e-tailers have manufacturing facilities in the UK. Missguided has reduced its presence in Leicester, after recognising its inability to satisfactorily audit the factories it was using. Having started this year working with 35 manufacturers at 80 different sites, the company now sources from 12 suppliers at 20 factories. There have been allegations Boohoo underpays workers and promotes unsustainable and non-environmental consumer buying patterns. In the meantime, retailers in the UK like John Lewis, Marks &Spencer and Next have agreed to support moves to stop modern slavery in the textile trade. Global fashion brands have increased the overall social and environmental transparency of their sourcing practices by just five per cent since last year. While many have taken widely publicised steps in recent years to ensure the safe working conditions and living wages of their workers, a lot remains to be done. n

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Zara expands outerwear collection

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ara has expanded its outerwear collection. Although the brand had already launched some outdoor clothing pieces in previous seasons, including anoraks, jackets and children’s clothing, the chain is strengthening its presence in the segment with the launch of a dedicated outerwear capsule collection. Called TRF Recycled, the collection reiterates the brand’s commitment to sustainability with pieces made from recycled polyester derived from plastic bottles. Meanwhile, the words ‘Please Recycle; are printed on belts and hoods to remind consumers of the line’s sustainability message.The collection includes silver puffer jackets, puffer coats, joggers, technical backpacks and chunky trainers, and waterproof, two-in-one parkas.

Inditex to retail 118 million garments in 20182

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nditex is on path to achieve its target to retail 118 million garments across all brands under its Join Life label collection in 2018, which flags best practices in the choice of raw materials and production processes. Inditex broadened its sustainable production as it published another set of stellar trading figures for the first nine months of 2018. They showed that net sales at the business increased by 3 per cent on a year-on-year basis to €18.4bn in first nine months, up 7n per cent in local currencies. Besides Net sales mark a record for the nine-month period ending October 31. Sales growth was accompanied by gross margin expansion of 60 basis points to 58 per cent. Net profit also hit a new nine-month record, climbing four per cent to €2.4bn. Likefor-like sales in the second half of 2018 to the end of November grew three per cent, following a good start to the season, an extraordinarily warm September and five per cent like-for-like sales growth in October/ Novemberg Copenhagen and Milan. n

Zara is the signature brand of the Spanish group Inditex. Earlier this month, Zara launched its online store in 106 new markets, bringing the total number of countries where it operates an e-commerce channel to 155. Currently, the chain has a physical presence in 96 markets and is progressing towards its goal of selling all its brands online worldwide by 2020. Zara also has the best conversion rate in the Spanish online fashion sector. Its conversion rate is 12 per cent, which is more than its competitors Asos (nine per cent) or Massimo Dutti (nine per cent). n

Espirit to overhaul company’s operations

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sprit’s new CEO Anders Kristiansen plans to overhaul the clothing company over three years with job cuts and store closures. He plans to close stores, streamline the administration and simplify the product ranges. The restructuring will take two to three years and cost around 1.5 to 1.7 billion Hongkong dollars, or €168 million to €190 million. Kristiansen plans to boost sales of basic garments like sweatshirts, jeans and T-shirts to make Esprit less dependent on fashion trends. In addition, the product range will be reduced by 20 to 30 percent by next June to cut design and production costs. Esprit, like its peers Gerry Weber, Tom Tailor and Hugo Boss, has been expanding its retail network in recent years. Kristiansen wants to shut unprofitable stores but that can’t be done overnight because the company is locked into rental contracts. n

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Guess expects positive results for FY2018-19

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ccording to Herrero, Guess expects positive results in all regions, and profitability across all business segments for the remainder of the fiscal year, which ends Feb. 2, 2019. During the third quarter ended Nov. 3, the company recorded a net loss of $13.4 million compared to $2.9 million for the third quarter. Its GAAP per-share earnings were 17 cents, compared to 4 cents for the prior year. Analysts expected 16 cents per share. The company estimates that currency had a negative impact on diluted earnings per share of 2 cents for the quarter. The company’s revenue during the period was $605 million, beating analyst estimates of $603 million. Same-store sales in the Americas rose by 3 per cent, beating analyst estimates of 2.1 per cent. The fashion retailer has been cooperating with a European Commission investigation into whether the company

violated European competition rules. It is likely to reach an agreement that is expected to result in a fine ranging from $42.4 million to $46.6 million. n

Gap to close underperforming stores

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ap will close a part of its 775 brand specialty stores globally, due to underperformance. Details on the locations and sequencing of the upcoming closures are yet to come, but the specifics should come as part of the forecast for FY2019. The brand will continue to grow its e-commerce business, which makes up roughly 20 percent of revenue, and the more than 500 Gap outlet stores that account for about 30 percent of total Gap Global revenue. The other 50 percent of revenue for Gap stores

all comes from the ailing specialty store segment of Gap Global and there is a wide variance in profitability among the group.The company’s sales declined 7 per cent in Q3 and earnings per share guidance for FY2018 narrowed to $2.55 to $2.60 from the previous guidance of $2.55 to $2.70. Meanwhile, sales were up 4 percent at Old Navy and up 2 percent at Banana Republic. n

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‘Not the US, more people elsewhere, own denim’

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illed with themes and variations that will help create $130 billion sales by 2021, the blue jean is an American original with a global appeal. Consumers, around the world, own an average of 5.4 pairs of blue jeans. It would therefore be natural to expect United States to own the highest per capita in blue jeans, given its seasonal temperatures and the fact that it is its birthplace. The truth however, is that denim enjoys the greatest ownership and frequency of wear in warmer and more humid climates. Cambodian consumers own

an average of nine pairs of blue jeans, the highest in the survey. This is followed by Mexico, with more than seven pairs per person. Germany comes in third for ownership with 6.84 pairs per person. Turkey and Thailand come in fourth and fifth, with an average of 6.10 and 5.12 pairs per person, respectively.

Frequency of wear corresponds to total number owned The number of days per week global consumers wear their jeans is equal to 60 percent of the total number of pairs they own, on average. Germany, for example, owns 6.84 pairs of jeans and wears them 3.24 times per week. Notable exceptions to this corollary are Great Britain and Italy. British own 4.66

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pairs of jeans and wear them 3.74 days per week; Italians own 5.93 pairs and wear them 4.04 days per week. Around 35 percent of the total respondents cite denim as ideal for work, particularly in Mexico (48.5 percent), Italy (45.5 percent) and Turkey (41 percent). For a dinner out, jeans ranked highly among respondents from Germany (52 percent), Colombia (42.7 percent) and Thailand (41.3 percent). Most Americans (87 percent) would pay more for a pair of jeans that fit them ‘perfectly.’ While engineering a pair of jeans with a universally perfect fit may prove elusive, comfort emerged in the survey as a key denim purchase driver for 97 percent of Americans. Since authentic denim is 100 percent or predominantly cotton, there is a comfort component built-in.

Preference for cotton fabric Cotton is the key to the continuing popularity of the denim category. Perhaps buoyed by a general consumer trend towards authenticity, more than three-quarters of American respondents (76 percent) cited cotton content as important to their decision to buy a particular pair of jeans. Around 84 percent of American respondents cited stretch in their denim

as a purchase driver, with 63 percent claiming that they would pay more for a pair of jeans that were made predominantly from cotton, but with some stretch. Almost 67 percent of US respondents claimed the inclusion of performance features would influence their decision to buy a pair of jeans. For example, 40 percent of US respondents said they would pay more for denim that could repel water. This has been achieved already through the STORM Denim™ technology, a textile chemical finish. Forty-eight percent of US respondents cited moisture wicking as a desirable denim feature that they would be willing to pay more to have. Again, textile finishing chemistries such as the TransDRY™ technology offer this without compromising the authenticity of cotton denim. Blue jeans seem as popular as ever with global consumers and, interestingly, are very popular in warmer climates such as Colombia and Mexico. While closet space allocations in Asian markets may hamper ownership totals, the enthusiasm for denim is high. n

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Streetwear finding immense traction globally

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orecasting firm Trendalytics has reported the evolution of streetwear from its start as a 1970’s California social movement defined by the laidback surf style of Shawn Stussy, the founder of Stüssy, into a mainstream global category estimated to be valued at $309 billion. That evolution has been fuelled by influencers—be it celebrities, athletes or the masterminds behind hype machine brands like Ronnie Kith and Virgil Abloh and the prevalence of social media as

a branding tool for both brands and individuals. According to the firm, as digital natives with significant spending power, the millennial and Gen Z consumers have played an integral part in driving the growth of streetwear. The hunt continues for the most Instagrammable products, and consumers looking for unique and exclusive items are willing to pay.

A global phenomenon Today, streetwear has become the urban uniform for people in New York, Tokyo, London and more. A new breed of cities are emerging which is lifting the growth of streetwear globally. These are Kazakhstan, Iceland, South Korea, etc. Kazakhstan,

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companies are quite fast in producing fakes by painting jean jackets, scribbling on white sneakers and making spoofs of popular logos. Iceland has all the vintage look and feel. Classic skate brands like Thrasher and Stüassy are paired with retro furry jackets and sweaters. In Nigeria, streetwear is a blend of Western fashion like jeans, T-shirts and Vans, and native elements like brightly colored and patterned cotton textiles. In South Korea and Mexico, they have punk and rock undertones. Combat boots, leather jackets and piercings make up streetwear in Korea, while Mexico skews toward goth pieces, logo T-shirts and hats. Meanwhile, streetwear in the United Arab Emirates reflects hip-hop’s affinity for luxury brands. The report named side bags, snapbacks and colored sunglasses as key items.

Social media and influencers In such a burgeoning growth, social media has a major role to play. Instead of relying on endorsed posts, important streetwear labels like Vetements, Bape and Palace Skateboards saw the most engagement from their own brand postings, Trendalytics said. The report highlighted that streetwear brands like Fear of God and Undefeated received nearly four-times the social actions per mentioned post than Adidas for the last year. While millennial celebrities like Zayn Malik, The Weeknd and AnselElgort have the highest total social post engagement from their branded posts, Trendalytics said top influencers gaining social buzz include surfers Laura Enever and Kelly Slater, each capturing more than 10-times the engagement per mentioned post than Kanye West.

Luxury marrying streetwear

their popularity to appeal to the affluent, pro-consignment consumer. In appealing to millennials who came of age during the Great Recession, luxury is able to channel the appeal of appreciation, which they had already mastered with handbags, to sneakers. n

Trendalytics stated that ’80s artist Jean-Michel Basquiat was known for combining high and low aesthetics by pairing streetwear and thrift store finds with formal wear, a style that still inspires streetwear influencers like Jay-Z and Kanye West. Meanwhile, Japanese artist Takashi Murakami has a developed new fan bases through his long-running and colorful collaborations with Louis Vuitton and subsequent artwork collaborations with artists like Kanye West and Kid Cudi. The artist is also working with streetwear labels like Billionaire Boys Club. The impact of streetwear on luxury cannot be understated and that influence is poised to grow as the spending power of streetwear-loving millennials surpasses older generations. Luxury brands are prepping up for this shift by attracting young designers with streetwear roots. Sneakers have become the new ‘It’ bag and brands are leveraging

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Great prospects for global sports brands in China

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hina offers great prospects for sports brands. Adidas has more than 11,000 retail outlets across China. It is also expanding operations with 1,000 new store openings a year in the country. The brand registered a year-on-year sales growth of 29 per cent in 2017 in China. Its sales grew by 26 per cent on an annual basis in the third quarter this year. Decathlon, a Francebased sporting goods and equipment retailer, had 267 stores in China by the end of 2017. This rapid growth of overseas sports brands in China has been spurred by increased spending on sporting goods, whether sportswear and active wear, fitness facilities or products like protein powers for body builders. Consumers are spending more and more on sports products as they pursue more outdoor hobbies like diving, kayaking and paragliding. They are buying outdoor gear like clothes, shoes, professional watches, socks and so forth. Overseas sports brands are flourishing at a time when many other overseas brands are facing a tough time with Chinese consumers,

Denim on an upswing in the US

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enim is on the upswing in the US. Retailers are starting to rebuild their denim assortments. The global jeans market is growing at a CAGR of 0.8 per cent from 2018. Brands that are consumers’ favorite are Levi’s, Lee, Wrangler, Gap, Old Navy and so on. Denim jeans are a cornerstone of the American wardrobe and an important cotton product accounting for almost one-fifth of all cotton clothing at retail. Although mostly known as a fashion garment, they are still worn as protective garments by some individuals in the US, such as cattle ranch workers and motorcycle riders, due to their high durability as compared to other common fabrics. Denim jeans are purchased for durability, longevity, and versatility because consumers find greater value in a product they know will last longer and fit better; therefore price is not the main factor in the denim jeans purchase decision, unlike other clothing. This positioning ensures that denim jeans will continue to have a place on store shelves and in consumers’ closets. n

due to the country’s economic downward pressure, fiercer competition from domestic brands, and tough global trade environment. n

Rise of jeans as streetwear creates new opportunities for women’s denim brand

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he rise of street wear has invited new opportunities for women’s denim brands to experiment outside the confines of the skinny jean. The trend has created a shift in women’s silhouettes. A wider and more square aesthetic is now leading. Layering has become more playful and innovative, with a mixing up of weights and lengths. Denim jackets, coats, shirts, vests, skirts and dresses are giving off that nonchalant street wear aesthetic thanks to the casual feel of the fabric. Street wear also has pushed a less gender-defined aesthetic. Street garments have cross-appeal, with women shopping from menswear lines and some brands catering to this with unisex lines. Across genders, there has been a general loosening of silhouette, with wider fit jeans, puffed-out jackets and longer-line top. From drop crotch to baggy denim, voluminous denim shapes are already in stores. n

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Brooks Brothers collaborate with ORS to launch AI-based retail program

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rooks Brothers has collaborated with ORS to introduce an end-to-end AI-based retail program. The program will help the US apparel brand aims to stay fresh and relevant in a constantly changing industry. The brand will use the platform’s algorithm and AI to get insights throughout its value chain which will help the label to enhance and modify decision making for the betterment of the business. The partnership will boost the retailer’s Buy Anything, Get it Anywhere (BAGA) platform that performs the fulfilment across its outlets in the US. With the help of ORS, Brooks Brothers will be able to form an extremely sensitive and responsive digital supply chain to control stock in real-time and to modify work end-to-end. It is a disruptive solution for automated omnichannel fulfilment to help the label build a better customer experience and maximize

LVMH sets up Retail Lab to speed up digital transformation

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uxury brand LVMH has set up Retail Lab- an internal organisation to speed up its own digital transformation. The organisation will help the labels owned by Bernard Arnault’s group develop innovative solutions in the digital and retail field. The Lab is designed to help the group’s labels, whether in the fashion, wine-making, cosmetics, watch-making or selective distribution sector, in their digital and retail transformation. The project commenced a year ago, when the group hired Gautier Pigasse to set up, launch and manage the LVMH Retail Lab. Pigasse is a digital marketing and customer experience expert, and has worked with several brands and major consumer product and media groups, notably in the luxury sector, on their multi-channel strategies. The project manager will bolster this project by sourcing and testing new technologies.n

sales opportunities. The apparel retailer has also launched a cloud-based platform for a hassle-free omni channel shopping experience. Brooks Brothers currently operates 280 stores in the US and over 700 worldwide, featuring high-end, classic family fashion, well-suited to both men and women.n

Levi’s to expand customisation program

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evi’s plans to expand its customisation program next year where consumers can follow Aldridge’s lead and get their denims customised. The brand will install a laser machine, developed by Spanish company Jeanologia, in one of its stores in the U.S. Online and in stores, consumers will use a similar app to personalise their jeans. Levi’s is yet to finalise the cost for customisation of their jeans. Besides beating fast fashion at their own game, customisation delivers what people need when they want it, and giving them the freedom to express their creativity. n

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Micro-textile model promises a new dawn for the industry

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T-shirt manufacturing factory proved to be the torchbearer for digital printing technology and DTG (direct to garment) printing that facilitated customised manufacturing. Today, multiple textile technologies offer a sustainable option to conventional production. They rationalise workflow besides offering the client “just in time� manufacturing. The traditional textile model is risky as both the manufacturer and retailer are unreasonably

exposed during all cycles of this model, be it speed to market, value of stock, or consumer relevance. Also, the market uses extended financial credit lines which leads to reduced yields and offers a meager return on investment. As a result, profits grow slightly; stock grows in line with profits, until the time is reached when all of the profit is in the stock.

Providing a way forward The Digital Textile Revolution including developments in CAD/CAM, augmented reality software, online workflow, laser cutting, and digital textile printing are providing a way forward

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that is not only risk free but also consumes fewer resources. The micro-factory model of “Sell, Produce, Deliver,” and not “Produce, Sell, Deliver” is driven by an online sales presence, alongside AR and AI software. The client selects

buys and pays for their product before the item is produced. The model is capable of producing and delivering in 24 hours through n the speed of image processing, computerised workflow, digital printing and cutting and with computerised sewing (as an option) then dispatch, This business model was first used by direct to garment (DTG) printers, who would deliver a sale within 24 hours of receiving the payment. The producer was able to cater to its consumers demands by creating and approving artwork, sending it to print, then packing and dispatching the blank t-shirts within the timeframe expected by the customer. The model has grown to encompass and attract many other sectors, with athleisure, swimwear and fashion taking up the opportunity to rationalise their production systems. The online e-commerce tool in this model uses all the visual space of the selling website to make an extended offer in terms of product, color, size and design. When online orders are received, they immediately go into a computerised workflow, where the artwork is completed, the customer contacted and, upon approval, the production is initiated, all within a matter of minutes.

Adaptability with efficiency and profitability The micro-factory produces textiles by using digital textile printing. The machinery is a fraction of the size of traditional machinery and also smaller in dimension. It consumes lesser heat, light, water and power than the traditional textile manufacturing model. The micro-factory model is infinitely adaptive. A huge online range can be serviced efficiently and profitably, without enormous warehouses, without the risk of clearances, and without the uneconomic use of scarce cash reserves. It’s no wonder then, that the model is hailed as a new dawn for textiles, with its efficiency and profitability bringing manufacturing back to a more local base and offering jobs for workers in the country of origin. n

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Fast Fashion industry needs to take positive eco steps

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ashion is responsible for 92 million tons of solid waste dumped in landfills each year. There are an estimated two billion new consumers waiting to buy the latest trends. The average number of clothing collections in Europe more than doubled between 2000 and 2011.

The fashion industry is also the second biggest consumer of water, producing 20 per cent of wastewater while also generating more greenhouse gas emissions than all international flights and maritime shipping combined. The equivalent of one garbage truck of textiles is wasted every second. Around one lakh marine animals are killed each year by plastic waste, including microfibers.

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Need to take onus It’s up to apparel brands to take responsibility for the waste they’re creating. Brands need to address head-on the chemicals, use of textiles waste and synthetic fabrics that don’t break

down, and unfair working environments in the clothing industry. No-waste economy must be applied to fashion, just as it is in the food industry. There is a need for action at each stage of the supply chain, starting with sustainable sourcing of fabrics, through to design, exploration of possible alternatives to distribution, and recovery and recycling of clothing. Poorer, developing countries need to be included in sustainable manufacturing models so they can produce clothing locally and more sustainably. n

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SAC’s Higg Materials Tool aids designers in assessing environmental impact

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he Sustainable Apparel Coalition (SAC) has announced an update to the Higg Materials Sustainability Index (Higg MSI), a tool that enables the

apparel, footwear, and textile industry to assess the environmental impact of materials used in global manufacturing. With the most recent update, businesses around the world can more effectively assess the environmental impact of materials as they design more

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sustainable products. The SAC, a global industry coalition that is standardising social and environmental sustainability performance measurement, is constantly improving and expanding the Higg MSI. Higg MSI users are encouraged to contribute material data to the tool’s growing library of materials. Once data is submitted, it is reviewed and verified and scored by third-party experts.

A reliable tool The Higg MSI, the industry’s most trusted tool for accurately measuring and scoring a material’s environmental impact, now features 80 base materials, including cotton, polyester, and silk. When blended, these account for the majority of all materials the industry currently uses. The update includes a new feature that enables suppliers to share sustainability performance information about their materials with brands and retailers. Such upstream communication promotes greater transparency and improved sustainability performance within the industry. Jason Kibbey, CEO, SAC says, “With the opportunity to play a key role in determining a product’s sustainability performance, being a designer today is really exciting. With the Higg MSI, product designers can access an incredible amount of information, and then use it to significantly reduce environmental impacts of materials production.”

and textile industry, this can help companies design products that will attract and retain key consumers, who increasingly demand knowledge of greater transparency in how their clothes and shoes are made. Using more sustainable materials will reduce the environmental impact of global manufacturing and help businesses stay relevant in today’s marketplace of increasingly aware consumers. The Higg MSI originated at Nike about a decade ago. In seeing the benefit global collaboration would bring ongoing development and industry-wide use of the Higg MSI, Nike contributed the tool to the SAC in 2012. Now one of the six tools comprising the Higg Index, the Higg MSI is considered the leading materials assessment tool for the industry. “The Higg MSI has helped us make better choices to reduce our product footprint by providing critical insight and transparency into materials and processing decisions,” points out Joël Mertens, material technologies integrity engineer, MEC

Assessing process Applying trusted metrics, the Higg MSI assesses a material’s environmental performance and scores the results. Calculations account for energy, water, chemistry, and additional impacts used in material production, giving designers greater insight in creating more sustainable apparel. For the apparel, footwear,

(Mountain Equipment Co-op). Sean Cady, VP-Global Responsible Sourcing, VF Corp said, “Across VF Corp and our brands, we integrate material sustainability metrics into design decisions. The Higg MSI provides an objective, comparable metric, which informs our material choices and allows us to meet consumer expectation and brand promises.” The SAC’s global members have demonstrated the apparel, footwear, and textile industry already trusts the sciencebacked data the Higg MSI offers. Kibbey adds, “Other industries have approached us about how they could use the Higg MSI, making us realize there is an opportunity to expand the tool’s application in the coming months.” n

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Textile Exchange ranks H&M Group as the world’s biggest user of sustainable materials

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extile Exchange, in its yearly Preferred Fiber Materials Market Report, has ranked H&M Group as the world’s biggest user of sustainable cotton and man-made cellulosic materials (e.g. lyocell, among others). The group aims to use only recycled or other sustainably sourced materials by 2030. With its yearly and steady increased use of recycled or other sustainably sourced materials, the group not only pushes the demand for widely used materials such as organic cotton, but also influences the scalability of new sustainable materials. Nike tops the list of recycled polyester users. C&A is the world’s

C&A launches first Cradle to Cradle certified Gold denim jeans

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&A has launched the world’s first Cradle to Cradle certified Gold denim jeans. This science-based quality certification acknowledges continuous improvement and innovation of products and processes. The release of C&A’s jeans comes on the heels of the first ever Cradle to Cradle certified Gold, fully compostable T-shirt collection launched in 2017. The denim jeans provide an example of ways to collaborate within the industry to split the materials into biological and technical nutrients to create a closedloop system of design. The challenge to create a garment having the same performance as traditional models but in either 100 per cent technical or 100 per cent biological way to allow them to return to their respective cycles at the end of use. Another option, which was adopted for the jeans, was to separate their components so that the biological and technical nutrients can return to their respective cycles. All the components in the jeans could be easily separated which enabledthe biological and technical nutrients to return to their respective cycles. n

biggest user of organic cotton. IKEA is the biggest user of recycled cotton. Inditex is the second largest user of lyocell and the fourth largest user of preferred manmade cellulosics). Target is the third largest user of recycled polyester and the fifth largest user of preferred down. The North Face is the second largest user of preferred down. All these companies are committed to scale their global value chains of preferred fiber and benchmark their progress against the industry. They have also made significant investments in developing the supply chain needed to achieve the necessary measures of scale in preferred fiber production. n

Lacoste bans the use of mohair in its collection

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acoste has decided to ban the use of mohair from its collection after PETA Asia’s investigation of the industry revealed abuse and exploitation of angora goats, material. Lacoste joins an ever-growing list of brands/ retailers including ASOS, Marks & Spencer, John Lewis, H&M, and, most recently, Notonthehighstreet – that have made this compassionate move. To date, over 330 brands have committed to a ban, proving that cruelty to animals is not in fashion. Famous for its crocodile logo and boasting 1,200 shops and 10,600 outlets spread across 120 countries, Lacoste had also previously committed to angora and fur bans. PETA’s first-of-its-kind video exposé of angora goat farms in South Africa, the world’s top mohair producer, has pulled back the curtain on the violent industry, showing workers dragging, roughly handling, throwing around, mutilating, and even cutting the throats of fully conscious goats, some of whom cried out. n

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AppArel / Sustainability

Inditex launches outwear capsule collection

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nditex, the parent company of the Spanish apparel and accessories retailer Zara has expanded its outwear range by launching outwear capsule collection.The new collection named; ‘TRF Recycled’ portrays its commitment towards a sustainable future. The collection is curated using recycled polyester taken from plastic bottles. In line with the group’s pricing scheme, the collection is marketed at an affordable range for up to £ 160. A silver puffer jacket is sold at £ 95.99, while a puffer coat is placed at £ 119. The sustainable line also offers joggers, a technical backpack and chunky trainers. A waterproof, two-in-one parka in the collection is priced at £ 159.

UK survey the issue of mass waste in the fashion industry

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ccording to a survey in the UK, most consumers aged 18 to 35 never wear the0 garments that they purchase. This highlights the growing issue of mass waste in the fashion industry due to the new generation’s insatiable appetite for the latest trends. These consumers have no interest in quality, long lasting clothing, instead preferring to buy cheaper clothes that only last one season. Twelve per cent consumers choose to throw clothes away rather than recycling them, with only 60 per cent of those who do recycle

saying they buy second clothes – highlighting a peculiar gap in the buying and disposal habits of fashion customers. In general consumers like the idea of wearing sustainable clothing but would not pay more than a certain amount for a sustainable garment. Recycling is not only good for the consumer who can purchase clothes more affordably but also massively reduces the environmental impact of clothes and lessens the personal fashion footprint. n

Earlier this month, Zara forayed into over 100 new markets, as it expanded its online presence, bringing the total number of countries where it operates an e-commerce channel to 155. At present, the chain operates

via brick-and-mortar retail in 96 markets and is progressing towards the group goal of selling all of its brands online globally by 2020. n

Chanel removes Python skin bags from website

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hanel removed Python skin bags from its website recently as it banned the use of exotic animal pelts in its collections. Although the brand still sells secondhand bags on online resale sites. These handbags reportedly sell for up to $10,300. Animal rights groups welcomed the move, with People for the Ethical Treatment of Animals (PETA) hailing Chanel as giving a lead to other luxury brands. Although top fashion brands have been under heavy pressure to renounce fur, with Gucci, Armani, Versace and John Galliano all deciding to go fur free, Chanel’s decision to stop using exotic skins came as a big surprise.Animal rights campaigns against the use of crocodile and snake skin products have not got the same traction with the public as similar crusades against fur, with some luxury brands even investing in reptile farms so they can guarantee that skins are sourced ethically. n

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AppArel / AEPC events

(L to R), Dr. A Sakthivel, Vice Chairman, AEPC, Dr. K.S. Palanisamy, I.A.S., District Collector, Tirupur, Beneficiary (Center), Shri. Bandla Srinivas, I.A.S., Joint Secretary and Prabhari Officer Ministry of MSME, Shri. M.M.Chiniwar, GM, Canara Bank

MSME review meeting organized at Tirupur

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anara Bank, under the Chairmanship of Dr. K.S. Palanisamy, I.A.S., District Collector, Tirupur in presence of Shri. BandlaSrinivas, I.A.S., Joint Secretary and Prabhari Officer Ministry of MSME, Govt. of India, Dr.A.Sakthivel, Vice Chairman, AEPC and M.M.Chiniwar, GM, Canara Bank, officials from the bank, state and central govt. departments, associations, entrepreneurs, garment exporters etc., were also present at the

meeting. The meeting also sanctioned MSME loan approvals/ cheque. Dr. A Sakthivel, Vice Chairman, AEPC complimented District Collector and Canara Bank for putting their strenuous efforts and wished all the beneficiaries to use the loan money for the growth of their business. He has also informed that the Council has opened a Help Desk for this cause to support/ facilitate the trade members. Around 125 applicants have been registered with the Council, out of which nearly 25 per cent applications have got in principle approval for their loans. n

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AppArel / AEPC events

A group photograph session with speaker at the Open House session on updated FTP organized at Bangalore

AEPC organises Open House Session on Updated FTP in Bengaluru

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EPC organised Open House session on Updated Foreign Trade Policy with ADGFT in Bengaluru on December 6, 2018. The session on Updated Foreign Trade Policy was inaugurated by JV Patil, ITS, Addl. Director General of Foreign Trade. IT was followed by a session on Issues and Challenges in Foreign Trade Policy by Siddharth Bhatt S, Jt. Partner,

Lakshmikumaran & Sridharan. The Open House was moderated by G. Shivadas, Sr. Counsel, High Court of Karnataka The open house session was highly interactive and thought-provoking since most of the participants interacted well with the speakers throughout the program. n

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AppArel / AEPC events

Participants at Seminar on Digital Trade Banking Solutions, at Apparel House, Gurugram

AEPC organises seminar on Digital Trade Banking Solutions

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EPC organised a seminar on Digital Trade Banking Solutions at Apparel House, Gurugram on November 29, 2018 in collaboration with ICICI Bank. The seminar covered areas of digital solutions for trade transactions (Paperless trade transactions), regulatory updates

and advisory solutions on EDPMS/IDPMS, packing credit facilities and export bills discounting, simplification and transparency of e-BRC issuance by Naveen Gupta, Zonal Head, ICICI Bank n

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AppArel / MARKETS

Revolutionising the clothing re-commerce market, some players take lead

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s re-commerce, when particularly executed by partners, unleases a low-risk, high-reward market for goods, and offers a straightforward path into a more circular business model, clothing brands are increasingly turning to re-commerce partners to tap into secondary markets. As thredUp’s 2018 Resale Report indicates, the secondary retail apparel market in India, currently valued at $20 billion, is

projected to grow by 15 per cent annually over the next five years. The country offers tremendous opportunities in secondhand clothing sales, with branding making a margin on selling the same garment multiple times while maintaining its quality control. Four companies are catalysing the secondary apparel retail markets in India‌

ThredUp The company offers customers the opportunity to either receive cash or store credit in exchange for their clothes. Its new

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AppArel / MARKETS

marketplace under their own names, without investing in a new website and warehouse or straying from their core competencies. These brands encourage customers to return used goods in exchange for store credit. These goods are then repaired and refurbished by Yerdle enabling apparel companies to sell them again under their own brands in their own online stores, complete with warranties, customer service and return policies.

The Renewal Workshop

program UPcycle offers an additional 15 per cent in value if sellers select payment in the form of a partner brand’s gift card. If a brand agrees to drive traffic to its online thrift store and pay the 15 per cent bonus to sellers, it can drive sales to returning customers without even touching the used clothing. ThredUP manages apparel intake, pricing, marketing, selling and shipping. The program has been initiated with only one brand partner; the sustainable apparel company Reformation. But ThredUP will announce its second partner soon. The company plans to form 10 new partnerships next year.

Yerdle Recommerce This company offers a white label service to its apparel retailers — including Eileen Fisher, Patagonia and REI — which enables brands to develop an online re-commerce

This is a fully outsourced re-commerce service which manages the reverse logistics, repair, cleaning, quality assurance and resale of used clothing to companies such as the North Face, prAna and Icebreaker. To avail this service, apparel brands pay a processing fee at a rate comparable to apparel waste management and can sell “renewed” clothing in their stores or on the Renewal Workshop’s website under a revenue-sharing agreement.

The RealReal An online consignment store that targets the luxury resale market, this was set up in a founding partnership with Stella McCartney. Aiming to be the first $1 billion circulareconomy company, this store offers its sellers that consign pieces from it a $100 Stella McCartney gift card. Similar to thredUP’s approach, a financial incentive drives sales back to the company, while also giving apparel a second life. RealReal recently launched an online “sustainability calculator” to quantify its impact. An initial calculation found that the 2.5 million women’s clothing items consigned to the RealReal since 2012 have offset the equivalent of 65 million car miles worth of greenhouse gases and energy. So far, only a handful of companies are embracing re-commerce. Many fear that by making refurbished versions of their products available, they’ll curb sales of new ones. Whether brands will embrace re-commerce at scale, or if this trend quickly goes out of style, only time will tell. n

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AppArel / EVENT

Global Textiles Conclave 2018 highlights key industry initiatives and plans

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ice President of India, M. Venkaiah Naidu, inaugurated Global Textiles Conclave 2018 on November 27, 2018, in New Delhi. The Union Minister of Textiles, Smriti Zubin Irani also graced the occasion as guest of honour and delivered the keynote address in the inaugural session.

Focus on skill development and technology upgradation Speaking at the session, Venkaiah Naidu stated that innovations and transformations should be focus area for textiles and apparel sector. He advised the industry to focus on backward and forward integration, value addition and diversifying products. He also

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organisation will collate the data of Indian textile retail market by collaborating with office of the Textile Commissioner. To establish the size of Indian market, the government is also going to conduct a Size India survey.

A pat on their backs Naidu conferred the Lifetime Achievement Award to Suresh Kotak, Chairman, Kotak & Co. And also gave away Pioneering Awards to Shekhar Agarwal, Vice Chairman, RSWM Ltd., P. Nataraj, Managing Director, KPR Mill Ltd., Neeraj Jain, Joint Managing Director, Vardhman Textiles Ltd. And Sanjay Jayavarthanavelu, Chairman & Managing Director, LMW Ltd. Global Textiles Conclave 2018 was organized as part of Diamond Jubilee celebrations of Confederation of Indian Textile Industry- CITI .

Awarding excellence and innovation

stated that the industry should consolidate MSME sector by establishing Hubs and Spoke model of cluster development facilities, give major thrust to skill development, upgrade technology and adopt Industry 4.0. The industry also needs to adopt lean manufacturing systems to remain globally competitive.

Key initiatives and schemes for industry development Naidu also highlighted the various initiatives taken by the Indian Government such as establishing textile parks, technology upgradation through TUFS, etc., scheme for integrated textile parks which have fuelled the growth of the textile industry of India. Irani highlighted initiatives like Silk Samagra, Samarth introduced by the Government to support Indian textile value chain. She appreciated the industry captains for supporting the government by adopting GST reforms and urged them to tap the huge potential in technical textiles which has been identified as a sunrise sector. She also stated the national sample survey

Suresh Prabhu, Minister of Commerce & Industry and Civil Aviation, gave away Innotex 2018 Awards to the top three Winners for doing excellent work in their fields. R. Pothiraj received the first prize for his innovation on ‘32 per cent reduction in energy consumption in running airjet looms.’ Dhivagar bagged the second prize and Raj Kumar got third prize for their innovations in “Zero Defect of Spandex Miss Plating in Knitted Fabric” and “Computerised Vertical Embroidery Machine”, respectively.

Support for industry concerns and export promotion The minister advised the industry stakeholders to have brainstorming sessions on the current challenges and opportunities prevailing in the global T&C Sector and prepare a roadmap for the future of the Indian textile sector. He assured them of his government’s willingness to address the genuine concerns of the industry and support export promotion. n

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AppArel / EVENT

Weaves 2018: Emerges as a platform for Indian weavers to showcase globally

W

eaves, South India’s premier textile fair, hosted 250 stalls spread over 20,000 sq. mt. pavilion, acted as a gateway to the textile industry for the weavers and providing them with an opportunity to showcase their products and connect with global customers. The event, held from December 5 to 8, 2018 at Texvalley, Erode, Tamil Nadu, facilitated partnership between Indian and international buyers with manufacturers and traders of this region. Weaves was held in partnership with Confederation of Indian Industry (CII), at Texvalley, largest wholesale textile market in the heart of Erode.

Weaves generates Rs 800 crore revenue The buyer-seller meet Weaves generated

revenues of over Rs 800 crore. The theme of the event was Global Connect for Weaving’. It attracted about 1,000 business visitors and over 250 exhibitors representing the textile industry ranging from fabrics to weaving machines. The event was inaugurated by Dr. A. Sakthivel, Vice-Chairman, Apparel Export Promotion Council and Regional Chairman, Federation of Indian Export Organisations (FIEO), who noted that the state accounted for 60 per cent of yarn and fabric exports, and 85 per cent of knitwear exports. It provides 40 lakh jobs per year, 60 per cent of which are held by women employees. The state this year registered a 15 per cent decline in its exports.

Single point of textile sourcing Texvalley is an integrated textile market, first of its kind in South India. It is an initiative by the government of India with the support of the government of Tamil Nadu to help weavers in this cluster elevate to the next level. The market represents the southern states textile activities, which has grown in terms of value, volume and variety over the decades. It houses domestic textile zone and export zone with a complete eco-system of

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APPAREL / EVENT

business ethics, compliance and certifications. It has thus become a single point of textile sourcing for domestic and global market.

elevating Weavers to tHe next level Texvalley, an integrated textile market, in South India represents the southern states textile activities, which has grown in terms of value, volume and variety over the decades.

It houses the domestic textile and the export zones, with a complete eco-system of business ethics, compliance and certifications. A coffee table book titled “Titans of Textiles� featuring 28 successful entrepreneurs in the textile sector was also released at the event. n

CII organises 10th edition of TEXCON

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onfederation of Indian Industry (CII) in partnership with Ministry of Textiles organised the 10th edition of TEXCON 2018 during December 13-14, 2018. The event, over the past 9 years, has witnessed overwhelming

success and created a platform for the stakeholders to deliberate and work on the growth and development of the Textile Industry in India. n

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AppArel / gsT UPDaTe

Step by step process of Refund of unutilized Input Tax Credit (ITC) under GST Accumulation of Input Tax Credit happens when the tax paid on inputs is more than the output tax liability or the same is accumulated due to zero rated supply under letter of undertaking or bond. The CGST Act, 2017 visualized this situation and prescribe refund of tax in the situation mentioned in section 54 of the act read with section 16 of the IGST Act and Rule 96A of the CGST Rules, 2017. The assessee is entitled for the refund in case of zero rated supply of goods or services made without payment of tax and refund is also given in case credit has accumulated due to higher amount of tax on input and lower amount of tax on output supply. Of course the refunds are subject to restrictions made in the proviso of section 54 of CGST Act, 2017, they are as follows: Provided further that no refund of unutilized input tax credit shall be allowed in cases where the goods exported out of India are subjected to export duty. Provided also that no refund of input tax credit shall be allowed, if the supplier of goods or services or both avails of drawback in respect of central tax or claims refund of the integrated tax paid on such supplies. Section 54 of CGST Act, 2017 itself prescribes documents, procedures and time limit for getting the refund of ITC. The time limit prescribed is 60 days from the date of application and the same is

required to be given to the applicant in case the supply is zero rated supply or also in the case of accumulation of Credit. Steps to get refund of accumulated ITC or refund on account of export without payment of tax: 1. File online refund application in form RFD-01A on the common portal along with statement-3. 2. Mention turnover of Zero-Related supplies and Adjusted Total Turnover for the period refund is sought for and the net ITC. The turnover should pertain to the period of refund only. 3. System will auto calculate the eligible refund amount and post it the last column of table. 4. After submitting application form system will generate proof of debit (ARN – Acknowledgment Receipt Number) 5. All necessary documents in support of refund application (GSTR-3B, GSTR-1 return, Statement-3, GSTR-2A etc) manually submitted to the jurisdictional offi cer. 6. If the jurisdictional offi cer has found that refund application is acceptable then they will issue a refund order. 7. After issuance of refund order the concern authority will transfer the refund amount to the bank account mentioned in the application form. n

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AppArel / minisTrY nOTiFiCaTiOns

Ministry Notifications Sub.: Regarding Registered Exporter System (REX)

DGFT in its Public Notice No. 53/2015-20 dated 30 November, 2018 has amended that, the competent local authorities would undertake post verification of selfcertified Certificate of Origin based on the request of the importers/customs agencies of the importing country. Agencies may also charge TA & DA as per government rates, separately from the unit. For Full Notification: http://dgft.gov.in/sites/default/files/ PN-53-dt-30.11.18%28E%29.pdf

Subject: Availability of Speed Post-dispatch particulars in MEIS module

DGFT in its Trade Notice No. 38/2018 dated 3 December, 2018 has stated that For trade facilitation and furthering lease of doing business’, a system driven automated approval of MEIS claims is in operation from 13.09.2018, the details of which are available in Trade Notice 30 dated 11.09.2018. A new feature is being added, with immediate effect, so that exporters can track the MEIS speed postdispatch made by the Regional Authorities. For Exporter - The exporters need to log in DGFT website MEIS ECOM module -7Query -7 Dispatch details -7and Select File No.

For Full Notification: http://dgft.gov.in/sites/default/files/TRADE%20NOTICE%2038.pdf

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AppArel / aepc Notifications Invites applications for issuance of 5% Duty Free Import of trimmings & embellishments under EPC Scheme available for Readymade Garment exporter. Applications are invited from all members of Apparel Export Promotion Council to avail the benefit of duty free import of embellishments used in manufacturing of Readymade Garments under 5% Export Performance Scheme as per Government notification no.06 /2018-Customs dated 02.02.2018.

The list of eligible items is appended below. Sl. No. in the Table appended to ITEM relevant Customs Notification 288 Lining and Interlining Materials 311 (a) Fasteners including buttons & snap fasteners, zip fasteners including zippers in roll, sliders/ pullers & end stoppers, and parts thereof (b) lnlay Cards (c) Shoulder Pads (d) Buckles (e) Eyelets (f) Hooks and eyes (g) Rivets (h) Collar stays, collar patties, butterfly and other garment stays including plastic stays (i) Fusible and non-fusible embroidery, motifs or prints (j) Laces (k) Badges including Embroidered badges (l) Embroidery threads (m) Sewing Thread (n) Stones (Other than precious & semi-precious) (o) Sequin (p) Tape, Elastic tape & hook (tape of width not exceeding 75 mm (q) Velcro tape (r) Cord & cord stopper (s) Toggles (t) Poly wadding Materials (u) Stud (v) Elastic cloth and elastic band (w) Quilted wadding materials (x) Beads for embroidery (y) Sample fabric of total length upto 1000 metre imported during one financial year (z) Printed Bags (za) Knitted Ribs (zb) Anti-theft devices like labels, tags & sensors (zc) Bobbin Elastic (zd) Textile Flowers (ze) Water soluble lining, poly pouch, high density sticker, heat transfer sticker (zf) Anglets on draw strings-hooded jacket (zg) Bra cup, bust cup, moulded cups for bra and metal underwire for bra (zh) Hook and bar, extra button covers-plain, ribbons, waist bands, shooter pin, O Ring, thermo strips and metal clip (zi) Pin bullets for packing, plastic tag bullets, metal tabs, bows, ring & slider and rings You are requested to avail benefit of this scheme. For full Circular visit - http://www.aepcindia.com/sites/default/files/pdfs/EPC%20CIRCULAR%202018-2019_new_0.pdf

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AppArel / aepc event calendar

CALENDAR OF EVENTS -

1

February, 2019, USA

2

2019

March, 2019, Uruguay & Chile

Sourcing at Magic, Las Vegas, USA

3

July, 2019, HONG KONG

Buyer Seller Meet at Uruguay & Chile

4

July, 2019, JAPAN

Hong Kong Fashion Week at Hong Kong

5

August, 2019, USA

India Trend Fair (ITF) at Tokyo, Japan

6

September, 2019, France

Sourcing at Magic, Las Vegas, USA

7

October, 2019, SPAIN

WHO’s Next, Paris – France

8

November, 2019, AUSTRALIa

India Apparel & Accessories fair at Madrid, Spain

International Sourcing Expo Australia

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BOOK YOUR SPACE

4-7 Febuary 2019

Las Vegas Convention Centre, 3150 Paradise Road, 89109 Las Vegas, Nevada, USA

This one-of-a Kind Convergence of Fashion’s Global Supply Chain connects Established and Emerging Brands to an unparalleled network of Manufacturers, Materials, Technology, Logistic Solutions & Talent

Contact for further details : Mr. K S Bisht, Jt. Director (Fairs & Exhibition) Apparel Export Promotion Council Apparel House, Institutional Area, Sector - 44, Gurgaon-122003, Haryana, (India) Tel: +91 124 2708156(D), 2708000-003, Fax: +91 1242708004, Mobile: +91 9810527747, Email : kbisht@aepcindia.com The Application form may be downloaded from our website www.aepcindia.com (Highlights Section) Limited Stalls available on First Come First Serve Basis

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