ECONOMIC ANALYSIS

Sectoral Economic Analysis

Vridhi Bhagnari

INTERN AT TEXTILE VALUE CHAIN

Abstract On 15 th August 1947, when India got independence from the British rule the country rejoiced and celebrated. But sooner or later a realization came into picture where India had to independently build itself, its economy and its global importance. The people faced distress but then they realized that India did not need a foreign land dominating the country’s land to manage it. After Independence, systematically organizing the economy became a major challenge for the government. However, by 1956 many important and strategic decisions were taken which are still shaping the India economic journey. Today India is ranked the seventh largest economy, and third largest in terms of Purchasing Power Parity (PPP). The Indian economy’s GDP is pegged at $ 2.9 tn. Sector means the division of one whole subject into sub-divisions. Sectors exist mainly to help divide one huge subject into various sub-divisions. It also helps to understand and evaluate the performance of an individual sector. Today India is ranked the seventh largest economy, and third largest in terms of Purchasing Power Parity (PPP). The Indian economy’s GDP is pegged at $ 2.9 tn.

The economic sector can be defined as the area of an economy in which various businessmen work. The business might be same or different from each other. The economy represents the growth and development of the country as a whole. It is believed that a county’s economy is divided into 5 sectors. They are: 1) PRIMARY SECTOR The primary sector is mainly involved in extracting and harvesting the natural products of the earth. The activities are called Agriculture, Mining and Forestry. The primary sector is also known as extraction sector. The extracted materials are renewable such as fish, wool and wind power or non-renewable in nature such as oil extraction, mining for coal. The primary sector is the key part of a country’s economy. 2) SECONDARY SECTOR The secondary sector is mainly involved in manufacturing, processing and constructing. Basically, the secondary sector produces finished goods from the raw materials which were extracted by the primary sector. The raw materials are in turn converted in to high value-added finished goods. Due to the improved technology, the cost incurred by the secondary sector for production and labour has been reduced. 3) TERTIARY SECTOR The tertiary sector is mainly involved in companies that provide services to the public directly. Tertiary sector is also called the Service sector. The good manufactured by the secondary sector are distributed to the direct consumers by the tertiary sector. This sector consists of retailing the manufactured goods. Due to improved labour productivity and high paid incomes, the tertiary sector has grown and developed. 4) QUARTERNARY SECTOR This sector involves companies working in intellectual pursuits such as educational businesses. This sector is to be called the intellectual aspect of the economy or the knowledge economy. The intellectual services provided this sector help to drive technological advancement. The various activities involved in this sector are educating, training, development of technology and research and development. 5) QUINARY SECTOR The sector is mainly involved in making top-level decisions. The different types of decisions made

COVER STORYECONOMIC ANALYSIS range from the head of a family to making decisions for the society, economy. They are the 5 main sectors of an economy. Even though these sectors are divided, there are sub-divisions of the economy. Latest news about the economy: https://economictimes.indiatimes.com/markets/expert-view/ saurabh-mukherjea-on-3-sectorswhere-we-could-see-a-multi-yearstrong-rally/articleshow/77906253. cms?frm=mailtofriend&intenttarget=no SUB-DIVISIONS OF THE ECONOMY: ( Prices are as on the closing prices of 18 th September, 2020)

• AUTOMOBILE INDUSTRY The automobile industry basically means the business of producing and selling self-powered vehicles. The types of vehicle might be passenger car, trucks, farm equipment’s and other commercial vehicles. As to manufacture these vehicles, the automobile industry needs steel, oil and many other materials. The auto-industry has become one large sector which employs a huge amount of people, thus is considered as a key determinant of economic growth in a country India has the 5 th largest automobile market in the world, India has reached the sales level of 3.81 million unit. In 2019, it became the 7 th largest manufacturer of commercial vehicles. The two-wheelers segment has dominated the market in terms of volume. This segment was most demanded by the growing middle class and the young population. The growing interest of the population in this sector has made various companies gain interest in this sector and have offered to help the sector expand by providing two-wheelers in rural markets too. This idea helped the sector grow and give a positive side. India is an exporter as well as an importer. Even though India imports, the exporting business has been prominent. It is expected in the near future that India will build strong export growth. Several initiatives have been taken by the Government and major automobile players in the Indian market, and thus it is expected that India will become a leader in the two-wheeler and four-wheeler market across the world. DISRUPTIONS CAUSED BY CORONAVIRUSThe Covid-19 pandemic has caused a huge impact on the global automobile markets very quickly. It has caused a huge pressure on this industry which has eventually led to a downshift in the economy and global demand. The pressure might force various companies to get indulged in merger and acquisition activities. 1. Shortage of vehicle parts: China is a massive supplier of vehicle parts to all the parts of the world. Due to lockdowns of various countries and the border lines being shut, it has led to disruptions in the supply chain and thus caused shortage of required parts.

2. Halting the manufactures of vehicles: Due to limited supply of parts and a reduced workforce, it has forced many manufacturers to halt the production. This measure taken by the Original Equipment Manager (OEM) is to secure the liquidity and thus not cause overproduction even though there has been a decrease in sales.

3. Drop in liquidity: Due to drop in sales and manufacturing, many companies are facing a decline in their cash flow. Companies are failing to meet their shortterm liabilities and salaries which have to be paid to their employees. The cash reserve maintained have been exhausted. The companies have failed to minimum generate their working capital requirements. 4. Government aids might be necessary to prevent bankruptcies and job losses, including funding for short-term work, short-term financing, tax deferrals, etc. The Index value of NIFTY AUTO went down to Rs.4452. Current price as on 18/09/’20 is of Rs. 8161.70 Latest news about the automobile industry: https://www.business-standard. com/article/automobile/autosales-bounce-back-in-auguston-low-base-effect-pent-up-demand-120090101705_1.html • BANKING SECTOR The banking sector is also called the financial sector of an economy. The sector is mainly involved in holding of financial assets and investing those financial assets as a leverage in order to create more wealth. The sector mainly handles cash, credit and other financial transactions. To the public, banks are considered as a safe place where an individual can keep their extra money saved. The sector is also involved in banking activities such as insurances, mortgages, investor services and credit cards. Banking is considered as one of key driver of an economy. The banking sector derives its working capital by earning interest. This interest earned is the difference between the interest rate offered and the interest rate asked for.

The different types of banks are: 1) Commercial Banks 2) Retail Banking 3) Community Banks 4) Online Banking 5) Savings and loan banks 6) Investment Banking DISRUPTIONS CAUSED BY CORONAVIRUSThe fact that the pandemic will drastically affect the banking sector cannot be denied. Due to a halt in the world’s trades, this sector has also slowed down. Banks are struggling to meet their basic working capital requirements, which is their main source of earning. In the lockdown period where the economic activities are on a lower side, borrowings in the form of loans are very low. The government gave a 3-month grace payment option but this method might also lead to a rise in the NPA’s- Non-Performing Assets. Job employments have decrease, lakhs of people have lost their jobs, this means even after the 3 months period the loans taken have to be repaid but the question arises How? Coronavirus has challenged the traditional method of banking. Although it has boosted and fuelled the movement of the country towards digital banking. The index value of NIFTY BANK went down to Rs. 16116.25. Current price as on 18/09/’20 is of Rs. 22031.05 Latest news about the Banking sector: https://economictimes.indiatimes.com/industry/banking/ finance/banking/reserve-bank-ofindia-rejigs-priority-sector-guidelines-to-make-banking-more-inclusive/articleshow/77932751.cms • CONSTRUCTION SECTOR The construction sector is mainly involved in the process of making something, the occupation of building or the way that something is put together. After agricultural sector, the construction sector is the 2nd largest employer in India. This sector contributes an average of 8% to the economy. The techniques involved in the assembly and erection of such building structures serve the purpose of providing shelter. The construction sector is mainly involved in building materials, plants and equipment’s. These are generally purchased or hired from other enterprises. For certain specialized services, labour or labour agents are supplied by the contractors. A constructer also helps the contractor in choosing an appropriate professional entity for the designing of the building. The 5 main sectors of construction are1) Residential construction. 2) Heavy Civil construction. 3) Industrial construction. 4) Environmental construction. 5) Commercial construction. DISRUPTIONS CAUSED BY CORONAVIRUSDue to the fear of coronavirus infection, 30% of the labourers denied reporting at the site of construction even though they were ordered to do so. The contractors also did not take part in forcing the labourers to do so as safety concerns are more important. It is expected that there will be a reduction in both supply and demand of land due to the pandemic. Due to a halt in the current construction sites, the contractors are facing a huge loss. It was lately realized that retail contractors as they do not have a supply of cement but cement companies have a huge stock of cement in their production. This means there has been lack of communication and has decreased transportation of the required materials. The halt in on-going projects have led to rise in the overall cost of the project. It is also predicted that the cement demand is to decline by 45-50% in FY 21 due to covid-19. The Index value of NIFTY INFRA went as low as Rs. 2072.60 Current price as on 18/09/’20 is of Rs. 3218.50 Latest news about the construction sector: https://economictimes.indiatimes.com/industry/indl-goods/ svs/steel/construction-activitycan-be-fast-tracked-via-lgs-construction-technology/articleshow/77804021.cms • CONSUMER DURABLES The consumer durables sector includes appliances such as televisions, refrigerators, air conditioners and washing machines. These goods cannot be used up all at once, it keeps on providing services for a longer period of time. The products under durable goods have a minimum life expectancy of 3 years. Instruments such as microwave, grinder, ovens which are basically used in the kitchen are also considered as consumer durables. Watches, jewellery are also considered as consumer durables. Growing awareness, easier access and changing lifestyles have been the key growth driver of this industry. The market of this sector is steadily growing at Rs. 300 million. The sec-

COVER STORYECONOMIC ANALYSIS tor is further classified in to 2 parts. They are: 1) Consumer Appliances. 2) Consumer Electronics. DISRUPTIONS CAUSED BY CORONAVIRUS: The consumer durable sector has been highly dependent on China for various products but the supply chain has been disturbed now. This may lead to rise in the product prices. The sales level dropped by 55% in March. Due to the fear of the virus, various shops declined to reopen as the nationwide lockdowns continued. The Index value of BSE Cons Durable went as low as Rs. 16699.02 Current price as on 18/09/’20 is of Rs. 24081.87 Latest news about consumer durables: https://economictimes. indiatimes.com/markets/stocks/ news/stock-market-update-bseconsumer-durables-index-gains600-points-titan-jumps-5/articleshow/77908321.cms Due to the widespread of Covid-19 in the world, many businesses, industries and sectors have witnessed a down-fall. In order to understand how and how badly they are affected, please continue reading below. •METAL SECTOR: The metals and mining sector has been in the forefront of a nation’s economy and India is no exception. For a country’s development, both ferrous and non-ferrous metals are equally important. This also in turn helps to build up a country’s future. There are 2 types of metals- Ferrous and Non-ferrous. FERROUS METALS: Ferrous metals mean a compound which contains iron as one of its ingredients. The iron can be is an oxidation state. Outside chemistry, “ferrous” means generally “containing iron”, it is derived from the Latin word Ferrum. Ferrous metals have a high carbon content which makes it almost impossible to rust, except for some few exceptions. Example- Alloy steel, carbon steel, cast iron and wrought iron. NON-FERROUS METALS: Non-ferrous metals mean a compound which does not include iron (ferrite) in appreciable amounts. Non-ferrous metals are found in the Earth as chemical compounds. The most important metals happen to be oxides or sulphides. One of the more common groups of non-ferrous materials is copper-based alloys such as bronze and brass. While it is common to use brass and bronze interchangeably, there is a difference. Example- aluminium, copper, tin, zinc, etc. DISRUPTIONS CAUSED BY CORONAVIRUS – The effect of coronavirus has been clearly visible on the economic condition and the metal industry has reached at an uncertain point. For precautionary causes, trade fairs have been postponed, large groups have been limited to certain number of people and office jobs have turned into work from home jobs. The commodity markets have been affected by coronavirus in many ways. Even though there has been a low demand of commodities like copper, iron ore and zinc, Gold has been increasing rapidly as according to the people in India gold is considered as a safe heaven. In the near future it is expected that as China has been resolving the crisis for its own countries and imports and exports might begin, a rise in the price of these commodities are expected in the coming quarters. The index value of S&P BSE METALS went down to Rs. 5335.05 Current price as on 18/09/’20 is of Rs. 8646.90 Latest news about the sector: https://economictimes.indiatimes. com/markets/stocks/news/indiasmetal-sector-severely-hit-by-covid19-to-see-slow-recovery-report/articleshow/77931824.cms •CAPITAL GOODS SECTOR: The capital good sector is also called the Industrial sector. This sector includes a category of stocks which are related to the manufacture or distribution of goods. The companies which are involved in manufacturing machinery which are used for capital goods, electrical equipment’s, aerospace and defence, engineering and construction projects. These are basically physical assets that a company uses in the production process to manufacture products and services which will in turn be provided to the direct customers. Capital goods are not finished goods, instead they are used to produce finished goods. These are tangible in nature. Capital goods are depreciative in nature, and has a course to serve life-time or till the machine is completely worn and torn- whichever comes sooner. Capital goods are not necessarily fixed assets. Core capital goods are a class of capital goods that includes good produced for the Defence department- such as automatic rifles and military uniforms.

DISRUPTIONS CAUSED BY CORONAVIRUS – The companies producing capital goods have been facing a drastic downtrend and believes to see it disrupting the entire capital goods sector till FY21. The companies have yet been assessing their earnings. According to one of the analysts at Emkay Research, “Most companies highlighted deteriorating macroeconomic trends and strained government finances, affecting order outlook, execution challenges and working capital stress emanating from a tightened liquidity situation.” It is believed that the capital goods sector will show some positive sides once the lockdowns are relaxed. In the current times when nation lockdowns are being held, the main concern of the government is to provide basic necessities, production houses, constructions, textile industries, etc have come to a standstill thus there is supply but no demand and has now become a recession in this sector. The index value of S&P BSE CAPITAL GOODS went as low as Rs. 9499.15 Current price as on 18/09/’20 is of Rs. 13930.90 Latest news about the sector: https://economictimes.indiatimes. com/industry/indl-goods/svs/engineering/bhel-sets-up-make-inindia-mii-business-developmentgroup/articleshow/77930873.cms •ENERGY SECTOR: The energy sector is a category of stocks that relate to producing or supplying energy. The energy sector involves exploration and development of oil or gas reserves, oil or gas drilling and refining. The sector involves renewable coal and energy which are provided by integrated power utility companies. The energy sector is divided into 2 partsRENEWABLE ENERGYThe energy which is collected from natural means by humans such as sunlight, winds, rain, tides, etc are the sources renewable in nature. Example: Hydropower, Biofuels, Wind power, solar power. NON-RENEWABLE ENERGYThese are those sources which cannot be humanly reproduced. They are limited and exhaustive in nature. Once it becomes a rare there is no possibility of ever having it in many lifetimes. Examples: Petroleum products and oil, natural gas, gasoline, diesel, heating oil, nuclear. tvcmedia.digital@gmail.com DISRUPTIONS CAUSED BY CORONAVIRUS – The power sector has to be affected drastically but, according to an energy industry body- Independent Commodity Intelligence Services, nuclear power availability in the EU is expected to remain consistent as many countries including the UK and Germany have put safety measures to guarantee the continuation of operations. The disruptions have also caused a fall in demand which has dropped from 100mn BOPD to 73mn BOPD in April. Due to lack of storage facilities and pipeline transmissions capacity, it has forced various energy suppliers to sell oil and gas at a negative price. The oil and energy prices were hit due to an increase in production by OPEC+ lead by Saudi Aramco and rapid fall of demand due to the pandemic. The index value of S&P BSE ENERGY went as low as Rs. 3011.34 Current price as on 18/09/’20 is of Rs.6674. Latest news about the sector: https://energy.economictimes. indiatimes.com/news/power/ hydro-power-requires-100-bn-investment-annually-roger-gill-international-hydropower-associa

tion/78131561

Business Opportunity in Activewear Fabrics

MANOJ JOHN VICE PRESIDENT – STRATEGIC INITIATIVES SUTLEJ TEXTILES LTD.

The business of ‘being active’ The most exciting space within the entire sports and fitness world has been emergence of ‘Activewear’. Unlike sportswear, activewear can be worn anywhere since it is also more flexible in style. Brands have started blurring the distinction between sports gear and activewear. Today this category of garments find usage in gyms, to a casual day out and even work places, hence aptly called ‘athleisure’. As per Statista.com, the combined value of the global sports apparel and footwear markets was $285.7 billion in 2018, with the apparel market accounting for $155.2 billion of that total. The expected CAGR for period 2010 to 2023 is 6.7%. post-covid market scenario The pandemic changed ‘The Normal & The Norm’ of our world; it has disrupted market forecasts and business viability.

There is a clearly identified & immediate business opportunity to set up a dedicated circular knitting unit to produce activewear fabrics with a capacity of about 6 to 8 TPD, that can be scaled to 20

TPD unit in next 5 years.

In this context, a category worth appreciation within textile industry is Activewear(apparel) which has exhibited strong & sustainable trend in the face of adversity. Some encouraging reports from around the world: Forbes [Jun 10, 2020]:According to McKinsey’s State of Fashion report, the industry overall is likely to contract by 27-30% in 2020 compared with the 2019 baseline figure. Meanwhile sportswear, activewear, and loungewear are emerging as the winners in this tough battle for survival.Sales of activewear in the US and the UK were up 40% and 97% respectively during the first week of April, according to retail analytics company Edited. ET Retail [July 13, 2020]NorthAlp, an online shopping portal that exclusively focuses on sports activewear and fitness gear segments, has seen a 300 per cent increase in sales. Revealing figures, the company highlighted that during the lockdown period, 40 per cent of its sales were for activewear, 30 and 13 per cent for yoga mats and footwear, respectively, followed by fitness accessories.Fitmoda, a women’s activewear e-commerce store…. “Our online sales of activewear have almost grown by 100 per cent, about 70 per cent of our total sales were for fitness activewear by women below the age of 35 years.” Break-up of the

total sales of activewear at Fitmoda comprises tops (50 per cent), bottoms including leggings, skirts and shorts (30 per cent) and jumpsuits (20 per cent).

Indian market Opportunity Activewear market in India is growing the fastest among Asian regional markets. Indian consumer preferences have also evolved with the dynamic lifestyle, attention has shifted from a pure athlete-related concept to a transitional usage from gym to casual outing. This has led to development of a very attractive market that’s growing exponentially and not limited to traditional sports brands but a play for every fashion brand worth its salt. Functionality is an important attribute of the fabric used to manufacture Activewear. The fabric provides unique properties that help the user in ‘active zone’ – stretchability, moisture wicking, anti-microbial, anti-odour, anti-UV, temperature regulation, compression etc. Fabrics used for Activewear garments could be Circular knitted, Warp knitted or Woven, using fibres like polyester, nylon, polypropylene, Tencel, neoprene and certain proprietary fibres, with or without spandex. The use of cotton and its blends in Activewear has been diminishing over the years. A. Woven Garments: Jackets,

Wind-cheaters, Shorts, Outdoor legwear B. Warp-knitted Garments: Track suits, Jackets, Tear-proof designs, Swim suits C. Circular Knitted Garments: Yoga pants, Leggings, Joggers, Capris, Shorts, Long Tops, T-shirts (for multiple usage), Crop-tops,

Hoodies, swim suits. It is evident that Circular Knitted fabrics form a major part (about 70 percent) of activewear offering from all major sports & athleisure brands. Nearly 65 percent of all garments by major sports brands are imported for meeting India market demand. Despite a reasonable capacity of garment manufacturing, the unavailability of adequate functional fabrics has discouraged the garments from picking up orders for activewear manufacturing.

Market size for synthetic circular knitted activewear fabrics. Sportswear segment has one of the highest projected CAGR in Indian textile industry at about 14%. During the years from 2015 to 2018, the growth of sportswear market in India has been at CAGR of 22%. Based on the recent & projected growth rate, the market size in 2019 would be closer to ₹65,000 Crs (~US$9Billion). This market size includes garments, shoes and accessories. An independent research built on the financial performance (FY

55 18) of leading MNC sports brands, MNC Athleisure brands and Indian Sportswear brands, indicate that retail value (stores & online) of activewear garments is Rs. 18,400 Crs. This excludes the unorganised market valued at about Rs. 36,000 Crs. that utilises cheaper quality of fabrics.

The derived value of fabrics from the retail value of sportswear garments is Rs.1100 Crs, which translates to demand of 31,430 Tonnes per annum. The share of demand for synthetic circular knitted fabrics is about 22,000 Tonnes per annum [in FY 2018]. Demand: The manufacturing capacity required to produce synthetic knitted fabric to meet domestic demand is about 63 TPD [in FY 2018]. The sportswear brands have been growing at 12% to 20% y-o-y over the last 5 years, hence current domestic demand for synthetic knitted fabric is about 80 TPD. Based on the interactions held with Product & Procurement Heads of select group of leading sports brands in 2018 & 2019, the demand for circular-knitted sportwear fabric was calculated at about 25 tonnes per day (TPD). This data is well corroborated with the demand estimation approach from Retail sales. Supply: The domestic production is only about 15 to 18 TPD by small manufacturing units with capacity

ACTIVEWEAR ranging from 1 to 5 TPD. In many cases, the synthetic circular knits are produced by units that are primarily engaged in cotton knitting. Hence there is a huge market potential for the supply as bulk of its demand is met by imports from China, Taiwan, Thailand, Indonesia etc. Imports: As per the import statistics for the year 2019, the value of knitted fabrics with spandex percentage of 5% or more [Knitted or crocheted fabrics, of a width > 30 cm, containing by weight >= 5% of elastomeric yarn or rubber thread (excluding pile fabrics, incl. “long pile”, looped pile fabrics, labels, badges and similar articles, and knitted] is $62.77 million or 7046 Tonnes in quantity. Majority (about 90%) of these fabrics are likely to be synthetic since large quantities of good-quality cotton-based knits are produced in India which is exported world-wide. This import quantum translates to about 6340 Tonnes per annum, equivalent manufacturing capacity of 18 TPD. It can be inferred that lot more quantity of sportswear fabric is imported under different HSN codes to meet the demand. There is also immense potential for exports of sportswear garments from India, which has remained insignificant due to unavailability of local supply of fabric and trims. Much smaller countries like Vietnam, Cambodia, Sri Lanka and now Bangladesh are exporting sportwear worth billions of dollars. Based on interactions with major garment manufacturers – Brandix, MAS Group, Hirdaramani, there is an addressable market in Sri Lanka of about 100 TPD for circular-knitted sportwear fabric. Bangladesh is another export market that has a demand for about 45 to 50 TPD of circular-knitted sportwear fabric. Business Opportunity There is a clearly identified & immediate business opportunity to set up a dedicated circular knitting unit to produce activewear fabrics with a capacity of about 6 to 8 TPD, that can be scaled to 20 TPD unit in next 5 years. The key success factors for the business unit are product innovation, world class product quality and agile manufacturing. Specific incentives & subsidies are provided by many states under respective Textile policies for technical textiles. The scope of business is not limited to growing Indian market, but can cater to Sri Lanka and Bangladesh that have an existing combined demand of twice that of India.

New COTTON USA SOLUTIONS™ Consultancy Program Enables Businesses to Achieve More

Mr. Bruce Atherley Executive Director, Cotton Council International

email-PNarang@cotton.org https://cottonusa.org/solutions

As pressures throughout the textile supply chain continue to mount, innovative strategies are critical for the cotton industry’s continued success. Amongst those developments, increasing productivity, process efficiency and profitability are priority objectives in securing the future of the industry.

Contributing to already tight margins and timelines seen throughout the supply chain is a new urgency driven by 2020’s global pandemic. From retail store closures to fashion show cancellations, the pandemic has had far and wide effects on the fashion and textile industries that will continue to impact businesses across the globe for the foreseeable future. Equally affected are mills and manufacturers as garment orders continue to see cancellations, global operation shutdowns and increased strain from brands and retailers during cost negotiations.

To enable mills and manufacturers to combat these preexisting and more recent pressures, COTTON USA™ recently introduced its new game-changing COTTON USA SOLUTIONS™ technical consultancy program. With access to our first-of-its-kind industry initiative, businesses can equip themselves with the resources, data and opportunities they need for next-level success and profitability. While developing the program over the last two years, we worked with a team of technical experts with a combined experience of over 200 years to visit mills around the world to understand the inefficiencies suppliers most often face. These experts made it their goal to test out and identify solutions across a range of areas. Throughout visits to over 1,500 mills in 50 countries, we gathered insights on how U.S. cotton could be used to make operations more efficient and productive, with a higher quality output.

Mill Studies – 6 studies, with more in development, based on controlled on-site testing by independent third party companies to identify best practices in spinning cotton

Technical Seminars – one-day sessions with advice on how to use and optimize U.S. cotton

Mill Exchange Program – executive-level tour of COTTON USA licensee signature mills, to exchange ideas with key textile mill leaders from around the world

1:1 Mill Consults – personalized, virtual or in-person, mill examination and consultation

• Mill Mastery Course – soon-to-be-available course of study featuring a collection of advanced practices, covering everything from raw cotton to bale management to quality control

Included in these offerings is the Virtual Mill Doctor™, an easy way to access our 1:1 mill consult benefits. Using Microsoft Remote Assist technology, CCI can visit mills without physically being there. Mills can live stream footage from the factory to our technical experts, who will then provide customized ideas and recommendations that can result in more efficiency and lower costs.

The COTTON USA SOLUTIONS™ consultancy program is a direct reflection of the premium value COTTON USA brings to the textile industry and the dedication we have toward the mills and manufacturers playing a vital role in the supply chain. Elevating these businesses with the latest techniques, methods and data leads to a more profitable operation and strengthens the supply chain as a whole.

While looking at the future of the fashion and cotton industries, mills and manufacturers need to identify and adopt strategies that are cost-effective, time- or resource-saving or that improve quality and processing. This is as critical right now as ever before with the effects of the pandemic as every component of the supply chain – from supplier to retailer – looks toward recovery.

The COTTON USA SOLUTIONS™ program, led by its five data-driven offerings, is positioned to help overcome these many pressures – new and existing – ultimately enabling mills and manufacturers to transform their businesses for the better.

About COTTON USA

Cotton Council International (CCI) is a non-profit trade association that promotes U.S. cotton fiber and manufactured cotton products around the globe with our COTTON USA™ Mark. Our reach extends to more than 50 countries through 20 offices around the world. With more than 60 years of experience, CCI’s mission is to make U.S. cotton the preferred fiber for mills/manufacturers, brands/retailers and consumers, commanding a value-added premium that delivers profitability across the U.S. cotton industry and drives export growth of fiber, yarn and other cotton products.To learn more, visit:https://cottonusa.org/.

About COTTON USA SOLUTIONS™

COTTON USA™ just introduced COTTON USA SOLUTIONS™, the industry’s first-of-its-kind technical consultancy program that helps mills and manufacturers achieve greater productivity, process efficiency, and profit for their businesses. The program will officially launch on October 1, 2020. To learn more, visit: https://cottonusa.org/solutions.