FROM THE EDITOR-IN-CHIEF’s DESK…

It was a satisfying moment for me when officials of Niti Aayog cited the

example of the apparel sector to push the point that labour-intensive

sectors should be the focus for the Government and policies that impede

their growth should get special attention. The official on national TV shared

that firms in the apparel sector in India are usually smaller than those in

other countries and that even these small firms employ huge workforce.

I was also happy to hear that the Government think tank agreed that

labour market rigidities arising from wide-ranging and complex laws

and regulations have been identified as perhaps the most important

impediment to the rapid growth of this sector. Even the budget has hinted

that labour laws may be reassessed… Well, finally the Government is

accepting ground realities!

Of late, there has been an increasing awareness of the importance of the

garment industry in boosting the economy, both at the national and state

level. It all started with skill development programmes for rural youth and

the realisation that it was the garment industry that could absorb so many

trained workers, and that too with basic training of just few weeks.

What followed was like the opening of the floodgates, with state after

state announcing garment industry-friendly policies to attract investment

in the region. Gujarat, Madhya Pradesh, Odisha, Jharkhand and the

north-eastern states have presented policies that promise to support

employment generation.

Jharkhand is the first state to actually bring out a separate ‘garment

policy’, promising revolutionary incentives for setting up garment units in

the state. They include cashback incentives on wages, tax benefits, labour

law flexibility, dedicated apparel parks with plug and play facilities, among

other things. Last year we did a detailed coverage on the policy.

Following closely, Odisha has also announced an ‘apparel policy’ on

similar lines wherein stand-alone production units for apparel employing

a minimum of 200 workers will get an incentive of Rs. 1,500 per worker

per month for 36 months. The companies can also avail interest subsidies.

Capital grants amounting to 20 per cent of the project cost would also

be provided to the companies setting up units within the upcoming

apparelparks.

From the buzz, it appears that Haryana and Maharashtra are also on

the verge of new textile policies, with special emphasis on garmenting as

an engine of employment generation. According to advance reports, the

Maharashtra Government is likely to unveil a new textile policy that will

include measures such as cotton-to-garment-manufacturing at a single

point and reasonable electricity tariffs for setting up textile units.

Of course, we cannot forget the ‘special package’ for the industry, which has

yet to make an impact… The year ahead looks very exciting for the apparel

industry and how things actually play out is something we are all waiting to

see, but for sure the spotlight has finally been trained on the industry. Now

it is for the industry to seize these opportunities of growth and move out of

their comfort zone to explore new and competitive manufacturing regions.

EDITORIAL TEAM

EDITOR-IN-CHIEF Deepak Mohindra

EDITOR Ila Saxena

COPY EDITOR Veereshwar Sobti

ASST. COPY EDITOR Sahil Sehgal

ASST. EDITOR-NEWS Dheeraj Tagra

ASST. EDITOR Neha Chhetri

SR. CORRESPONDENT-TEXTILES Sanjogeeta Ojha

SR. CORRESPONDENT-FASHION Kalita Lamba

SR. EXECUTIVE-ADVERTISING D KChugh

CREATIVETEAM Raj Kumar Chahal Peeush Jauhari Satyapal Bisht Deepak Panwar

PHOTO EDITOR Himanshu Kumar

OPERATION DIRECTOR Mayank Mohindra

PUBLISHER & MANAGING DIRECTOR Renu Mohindra

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MIND TREE

Most Export Promotion Councils (EPCs) are recognizing companies based on turnovers, though there

are many other exporters who may be small but are doing excellent work in various categories/areas

like sustainability, niche products, new processes, innovative working styles…, etc. Do you think that

‘turnover’ alone should be the criteria for awards… If yes, why; and if no, what are the areas that need to be

acknowledged and need encouragement?

Q-and-A

M. Anbukani,MD,

Penguin Apparels,

Madurai

I have a different viewregarding

the question you have raised.

First, is the percentage of

export sales turnover duringthe

year compared to the whole

annual sales turnover… And

for this, say if they exported

100 per cent they will get 75

marks, else it will be done ona

pro rata basis. Second, is the

percentage of incremental

export turnover ever compared

with the last year export turnover

and if that, the incremental

turnover when exceeds 20 per

cent, they will get 10 marks,

otherwise prorated. Lastly, if the

management system is certified

under ISO: 9001; SA: 8000;OHS:

18001 – each shouldhave

5 points (total 15points).

Rakesh Madan,Director,

V. K. Fashions,Noida

It is right that EPCs are giving

awards based on turnover basis

for last several years, but they

are giving in differentcategories

too. Yes, positively there should

be an award for ‘sustainability’

and ‘consistency’ for the person

or company that has served the

industry and sustained itself for so

long, earning valuable foreign

exchange for the country

consistently. The time period

for such a company to be

rewarded may be set at ahigher

period of say 25 to 30years.

R Sabhari Girish,CEO,

Award Associates, Tirupur

There are lots of innovations

coming up in the industry,

with many manufacturers

now venturing intosustainable

production and products too.

Recycled polyester or recycled

cotton is one such product

where exposure is very limited,

and that if properly marketed

and supported by EPCs, they

will be inclined to put more

efforts into developing these

products as there is a huge

demand for the same. Due to

lack of exposure, the recycled

manufacturers who should pose

themselves as environment-

friendly manufacturers, pose as

‘rag pickers’, thus keeping a very

low profile. Separate categories

of awards should bebrought

into this criteria and small

players must beencouraged

who show more interest in

product diversification and value

addition through the sustainable

productionmethods.

little subjective. As any factory

may be good enough from

my point of view, but may not

be from yours… One thing is

sure that nobody wants any

controversy, so we did not

continue with that award. Your

question is quite valid, andgoing

forward I think we wouldlike

to bring back some ofthese

categories.

Rahul Mehta,

President, CMAI, Mumbai

Associations or councils toohave

different criteria for their awards.

As far as CMAI isconcerned,

we are mainly survey-based; for

example, one of the awards for

the brands we have is on the

basis of ‘popularity’ and being

not the ‘largest’. Moreover, we

have categorized brands into

three main categories – Large,

Small and Medium. Normally

we conduct survey among 300

retailers, and based on that

which brand is doing best in

their stores is judged. We also

finalized two or three interesting

categories; like we arebasically

manufacturers’ association,

so we should have a category

of ‘best factory’ and ‘most

interesting brand launch’, and

‘new innovations’, etc. For some

years we announced award in

these categories but what we

felt was that it was becoming

Narinder Pal Singh,

MD, Nancy Krafts,Delhi

It is clear that giantcompanies

are no more interested in such

awards. Turnover is just like a

data which can’t be avoided.

As far as new categories are

concerned, there are already

many categories, and I don’t

think that there is something

new which can be added as

a parameter. Whatever main

business is there, that isalready

with the top giants while rest

of the industry is working with

small- or medium-level buyers

or boutique buyers. Indian

exporters, should focus mainly on

R&D and product development

that will enhance their business

and which in fact will be a real

award for their team.

WORLD WRAP

ith the Government encouraging

W consumption and consumers

returning to physical outlets, sales for

retailers have also gone up. According

to experts, the retail industry in South

Korea region will expand at CAGR of

6.13 per cent over 2013-2018 and the

overall size of South Korea retail

market is expected to reach

US $ 524.91 billion by 2018. Ever

since a period of sluggish spending

and sliding consumer sentiment,

Korea has seen a slow but steady

improvement in the retail sector. PwC

reports that Korean retail volumes

were at US $ 307 billion in 2014 and

US $ 331 billion in 2015, while the firm

is projecting US $ 378 billion for 2017.

The retail scenario in South Korea

is continuously changing with

various new international players

entering the market. This is further

noticed through Starfield Hanam, the

western style mall that is performing

above expectations. It is a 4,56,000

sq. metres (4.9 million sq. feet) retail

location with a gross leasable area

of 1,58,000 sq. metres (1.7 million

sq. feet), jointly developed by the

Shinsegae Group and Taubman

Asia. It opened in September 2016

as South Korea’s largest Western-

style shopping mall, the nation’s

second-largest retail destination

(the largest being Lotte World Mall,

which measures 8,26,000 sq. metres).

In October 2016, Prada, the Italian

luxury fashion house, specializing in

leather handbags, travel accessories,

shoes, ready-to-wear, perfumes

and other fashion accessories, has

expanded in Korea with the opening

of a new store in Shinsegae Starfield

Hanammall.

Being one of the fastest growing

markets in the world for luxury

goods over the last five years, fuelled

by Seoul’s sophisticated shopping

South Korea’s

retail market

shows an upward

trajectory

PUSH COMING THROUGH TOURISM,

RISING CONSUMER CONFIDENCE AND

DISPOSABLE INCOME

Home of the third largest retail market in Asia Pacific

(APAC-region), South Korea continues to maintain

its momentum, driven by robust economic growth,

rising population, increasing purchasing power and

deeper penetration of international players. The

previous year registered strong growth in retailing, with

consumer sentiments recovering and the Government

emphasizing on consumption. South Korea is definitely a

market with huge potential for business opportunities in

fashion clothing.

Key

information

on the

South Korea

e-commerce

market:

South Korea ishome

to the third largest

Asia-Pacific retail

e-commerce market.

Mobile sales have

increased 64 per cent

over the past two years.

82.5 per cent of the

population is urban,

with Korean (97 per

cent) the most popular

language.

The country has the

second highest digital

buyer percentage in

the Asia-Pacific region,

with 65 per cent of

internet users shopping

online.

Major holidays like

White Day and

Thanksgiving bolster

e-commerce sales.

Because of the small

country size and high

population density,

South Korea has

exceptionally fast

fulfilment rates.

ESSENTIALS

culture and its competitive prices

for prestigious international brands,

South Korea is still on an upward

trajectory. From brands such as Gucci,

Ferragamo, Louis Vuitton, Bally,

etc. South Korea is being favoured

amongst the best luxury brands. Apart

from international brands opening

shop in Seoul, the tourism industry is

further helping the South Korea retail

industry to grow. With Tokyo only

two hours from Seoul, there is strong

tourism flow between the two cities.

Many Chinese are now buying their

luxury products in the country and

it is expected that by 2020, Chinese

luxury consumers will spend US $ 29

billion at South Korea luxury retailers.

Enabling the retail market further

are high disposable incomes that are

supporting stable growth for luxury

goods. Of the South Korean population

having an annual gross income of US

$ 1,50,000+, 23.7 per cent belonged

to the 45-49 age band, with another

22.7 per cent in the 40-44 cohort. With

the country’s 40-somethings making

up 16.9 per cent of the total population

in 2014, demographics play a critical

role in the retail industry. Through to

2030, South Korea’s rapidly ageing

population will inflate the share of

seniors in the uppermost income

band. In 2030, while the 45-49 cohort

will comprise the largest slice of the

population in receipt of an annual

gross income of US $ 1,50,000, at

16.3 per cent, the 65+ demographic

– which will encompass 24.2 per cent

of the total population that year, will

surge to account for 15.2 per cent.

Furthermore, the country’s 2016

e-commerce Market totalled nearly US

$ 38 billion last year and is expected

to surpass US $ 50 billion by 2018. As

the most popular mobile country in the

world, 90 per cent of South Koreans

own a smartphone, with mobile sales

increasing at an impressive rate.

Government stats are projecting that

e-commerce in the country reached

9.8 per cent of total retail sales for

2016, making South Korea the third-

largest e-commerce market in the

Asia-Pacific, after China and Japan.

Although consumer sentiment was

better in 2016 than in 2015, the

South Korean economy continued

to experience uncertainty. This has

led to consumers being more price-

conscious and therefore buying

cheaper products. And while luxury is

still a major draw, local manufacturers

have been motivated to launch

products at reasonable prices and

market them as “cost-effective”, which

is the buzz word today. The trend has

also influenced retailers to develop

and market their own private label

products at cheap prices. In fact, the

designer scene in the country is very

active and many home-grown labels

stand tall among international brands.

While the country’s retail sector gets

a thrust through higher disposable

income, tourism and e-commerce,

South Korea is still a retail destination

less explored. Though Seoul’s retail

sector continues to grow, but other

Korean cities with equally high

living standards and disposable

income are now providing more

room for international retailers. As

the Korean Government pushing for

higher consumption and consumer

confidence seems to be slowly

improving, there are significant

opportunities in the Korean retail

market still to be explored.

AvedisH. Seferian (R) President &CEO, and K.T. Ramakrishnan, Head of Operations India / Sri Lanka – WRAP

SUSTAINABILITY

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W R A PMORE THAN

COMPLIANCE/

CERTIFICATION,

ADDING VALUE

TO BOTTOM LINE

Completing 16 years of

its inception, Worldwide

Responsible Accredited

Production (WRAP) has more

than 250 certified factories in

India and 2,300 factories across

the world which employs more

than 2 million workers.One

of the largest independent

factory-based certification

standards for this industry,

WRAP is more than just a

certification and management

system audit agency; in fact it

has become a way to add value

to the bottom line of apparel

manufacturers. Though satisfied

that the Indian apparel industry

is moving in the right direction,

Avedis H. Seferian, President

& CEO, WRAP strongly believes

that a lot of things still needs to

be done. During his recent visit

to India, Seferian had a long

discussion with Team Apparel

Online on many issues that he is

very passionate about…

Value from WRAP when

there are many other such

certifications

WRAP is more acceptable to buyers

compared to other such standards;

so WRAP opens up many doors for

apparel manufacturers and reduces

the need of multiple audits. The

certification gives a strong reliability

and assurance to the buyers that the

factory has been verified with required

due diligence. These factories already

have some kind of audit or inspection

in place. Secondly, and equally

important point is that it directly

benefits by making sure that one runs

the factory in a way that gives comfort

and profitability. As apparel industry

has high labour turnover which costs

a lot, WRAP certification helps to

reduce employee turnover, because

if the factory is run responsibly, why

would anybody leave. WRAP is not

just a check audit, it is a management

system audit, where it is made sure

that all relevant kinds of policies

and procedures are being properly

followed and executed. It is a more

human, proactive, preventive and

predictive approach to compliance.

We do not give just a programme, we

back the programme in a way that

helps further enhance the confidence

of the factory. Garment factories are

very dynamic places, and audits just

give you a snapshot of that time; and

even if you have a good audit, things

change, like expansion, downsizing,

etc. and all these things can bring

changes later. When we go to

factories we don’t behave or work like

policemen. Our job is to promote social

responsibility, so we want to help the

factories achieve that. We promote

‘ability’ of factories by providing them

resources be it documentary support

or open training to make sure that

The salient points of these discussions are narrated below

compliance as a cost that needs to

be minimized. This has to change.

Factories have to recognize that this

is an investment and not a cost. Once

this happens, recognition of the return

on such investment, that it is making

the factory more competitive, will gain

prominence. It takes almost US $ 2000

(which includes WRAP fees and audit

charges) to get certified. WRAP does

not see that as a huge cost, looking at

it from an investment perspective, as

it can probably bring orders worth,

may be US $ 2 million.

Despite all initiatives,

still a lot is to be done

It is not enough to stand and see

where we are today, vis-à-vis where

the industry was 20 years ago; no

doubt a lot of progress has been

made, one can argue about the

pace, but we are moving in the right

direction. It is a reality that the

numbers of non-compliant factories

are diminishing and there are

several reasons for that, like the

market is changing. We are now at

a point where social compliance is

necessary for any reputable brand

of manufacturer. It is a threshold

requirement like price, quality and

delivery. In a 24X7 global social

media scenario, everybody is a

reporter; there is no place to hide

things anymore, so companies are

coming forward for a change. We

are confident that we will get more

and more factories certified as

manufacturers are realizing the

benefit of compliance. It helps them to

fulfil the law of the land which is not

as easy as it seems. WRAP is giving

them peace of mind.

Biggest issue for

apparel industry

Sustainability is the biggest issue

today across all the industries

and same will continue in future

as well. In regard to India and the

the factory knows not only what they

need to do, but also why it matters and

how they can achieve it. And these

things distinguish WRAP from other

certifications. Our pro-activeness is

something that prevents anything

from happening rather than taking

care of any problem once ithappens.

WRAP, acrossthe

world andIndia

Our efforts in the last few years have

seen good results and we are proud

of whatever WRAP has achieved

by supporting the industry; but do

agree that these certified factories

are very small part of the apparel

manufacturing industry across

the world, so there is much work

to be done. As far as our target

is concerned, it is like moving the

goalpost; our target is growing day by

day to support the industry. We want

to touch 3,000 factories this year.

India has more than 2,000 good

factories, and out of these 14 per cent

are WRAP-certified. Multiplicity of

standards is also one of the reasons

for this. Factory’s first priority is to

satisfy their buyers, no matter if it is

by a particular certification or their

own audit or any other way. 85 per

cent of the WRAP-certified factories

in India are at gold level, 14 per cent

are at platinum level (it takes at

least three years to get a platinum

certification), and 1 per cent is at

silver level.

Current market conditions

and compliance cost

Whatever market conditions prevail,

it is always about competitiveness,

social responsibility and certifications

that make any company a desirable

partner. A mind shift has to occur,

as many factories still see social

compliance as a necessary evil or

obstacle, something they have to

do. An unfortunate consequence of

this thought-process is that you see

apparel industry, I must say that

there are some pockets where we

have made good progress. Similarly

in some pocket we have not made

good progress, while in other

cases, we are missing a lot. Overall

increasing awareness is one of

the good examples. There is good

progress on the child labour front, but

on migrant workers issues we need

to do more. Environment too needs a

lot to be done. All in all, we are in right

direction but need more energy for

thesame.

Will world ever havesingle

accepted certification?

After spending 15 years in this

industry, Avedis has concluded that

probably we are never going to have a

single accepted code because even if

all of us agree that 99 per cent things

we do is the same, 1 per cent differs

from organization to organization on

value basis and this will never change.

But, having said that what is possible

is greater harmonization among

existing codes; so we are closer to

mutual recognition of standards so

that more coordination spreads. And

this is already happening. WRAP is

at the forefront of this movement as

more and more people are coming

on board.

More negative reports

by NGOs in recent years

Reports are not completely false nor

are it is true that some companies

are missing on compliance, or that

they have double standards. All

these reports are reflection of the

fact that more people are involved

now in these things; more debates

and conversations are taking place,

so more reports are comingout.

These reports are going to have a

positive impact by recognizing just

how widespread these problems are

and the need to tackle them with

systematic approach.

Indian domestic companies are also coming forward for certification as they are also concerned for their image, as well as customers’ reactions. In coming days, the movement will pick up more pace. Entry of more and more western brands is also impacting positively.Some Indian brands have startedcertification efforts of their vendors. Tosome extent it is right that compliance is more buyer-driven, so it is taking much more time to comeintothe domestic market, but some NGOs are playing good role in this regard.

18 Apparel Online India | FEBRUARY 1-15, 2017 |www.apparelresources.com

SUSTAINABILITY

Indian apparel exporters need to gear up

‘Redress' to host sustainable fashion design competition

orldwide established apparelWbrands and buyers strongly

believe that this is the best time

when Indian apparel exporters

need to gear up for overall

improvement to fetch the maximum

orders from across the world.Be

it quality, delivery, compliance or

product development, as China is

vacating the place, Indian exporters

should grab the opportunities

rather than letting it go to

other competitor countries like

Bangladesh orVietnam.

Top- and middle-levelmanagement

of various major apparel buyers

like NEXT, Marks & Spencer, top

buying house Impulse, and export

houses like Modelama Exports,

Pearl Apparel, Wear Well, Fashion

Maker International, Team Krian,

etc. totally agree on this. All of

these were present to celebrate

the annual day of AIDER(All

India Development for Education

and Rehabilitation) NGO which

is proactively working tosupport

women empowerment in theapparel

industry of Delhi-NCRregion.

The environment NGO, Redress,

working to reduce waste in

the fashion industry, will host

the EcoChic Design Award –

a sustainable fashion design

competition. The contest is an

international platform for next-

generation designers to cut waste

out of fashion. Through this

competition, fashion designers and

students will develop sustainable

womenswear collection with

minimal textile wastage. The

competition will see participation

of fashion designers with less

than three years’ experience and

fashion designing students living

in Asia, Europe and the US. The

On this occasion, Union Minister

of Railways Manoj Sinha honoured

Vikram Pandita, Regional Manager

– South Asia, NEXT Code of

Practice; Arvind Rai of Modelama

Exports; and Amit Gupta, Director,

Pearl Apparel for their support

to the NGO and upliftment of the

industry. AIDER NGO is one of the

participants will showcase six

outfit sustainable collections

developed by using one or more

best examples in Indian apparel

industry where famous buyers like

NEXT and AIDER are working

together for the weaker section of

society and focusing specifically

on areas of Delhi-NCR for their

overallwelfare.

Virender K Jha, Founder of AIDER

NGO thanked the industry for its

Ten finalists will be selected to

showcase their minimal waste

collections at Hong Kong’s Fashion

Week Centrestage. Before

showcasing their respective

creations at the Hong Kong event’s

grand final fashion show that will

be held in early September 2017, the

finalists will also attend a one week

knowledge exchange programme,

various design challenges and

several networking events with

top industry professionals.

Initiated in Hong Kong in 2011, the

EcoChic Design Award inspires

young fashion talents to create

mainstream clothing with minimal

textilewaste.

support and assured that the NGO

will work more towards the benefit

of apparel sector; be it training,

education and health of workers

and their children. Students

associated with the NGO presented

interesting cultural shaws, while

stalwarts from different sectors

were also present at the event.

Industry representatives with Minister of State for RailwaysManoj Sinha. Virender KJha, Founder of AIDER NGOis also seen

of the environmental-friendly

design techniques of zero-waste,

upcycling and reconstruction.

HAVE YOUR SAY

Tell us your news by emailing at

news@apparelresources.com

BREAKING NEWS

To read the latest sustainability news, go to

http://news.apparelresources.com/sustainability-news/

Orient Craft hosts Cancer Screening Camprient Craft regularlyOorganizes various health

check-up camps across its

manufacturing facilities in

the country but the recent one

– Cancer Screening Camp in

Noida was special for everyone

associated with the factory as

it took place on the birthday

of Manju Dhingra, Managing

Director of Orient Craft Ltd.

(Noida Division).

The camp was for women

employees (above 40 years of

age). Dr. Satinder Kaur (HOD

Gyne) of Dharam Shila Cancer

Hospital, New Delhi with her team

attended to the women employees

and carried “Pap Smear” test on

65 employees. Other top officials

of the company, including

Neeraj Verma, Mohinder Garg,

President, and Ashok Sharma,

Head of Production were also

present at the camp.

Welfare team leader of the

company Suranjana Dey and

Medical Officer Jessy Mol along

with Administration Manager

Lalit Gupta put in best of their

efforts to make this event

successful. Pawan Aarya, AVP

(Operations) of the company

told Apparel Online, “It was

a pleasant experience and

motivation for all of us as our MD

and CMD Sudhir Dhingra spent

time with the staff. Everyone

was happy to celebrate this day

for a noble cause.”

Team Orient Craft during Cancer Screening Camp

ith increasing focus oncomfort

W and fitness, there has been a

rise in the demand for knitwear inthe

global market. Products like T-shirts,

polos, sportswear, undergarments

and leggings are popular categories

with the bigger umbrella of knitwear.

While flat knits are more high-end

and season-driven, circular knits

have a very wide spectrum from very

basic tees to specialized sportswear.

India has traditionally been a woven

garments industry with shirts, ladies’

blouses/dresses, shorts and skirts

being among the key categories in

exports, but the shift towards knitwear

is are now evident, and besides theknit

capital of the country – Tirupur, other

destinations like Kolkata, Bangalore

and Delhi-NCR are also increasing

their share in the export basket.

The export of knitwear from India

accounts for around 45 per cent of

total garment exports and ofthat

44.29 per cent is coming fromTirupur.

Riding high on increasing demand,

the hub is looking at around15-20

per cent growth year-on-year over

the next few years. In fact, the hub is

so well established that manybuyers

are not really exploring the potential

of upcoming hubs. “We have been

doing knits from Tirupur since last

20-22 years and have a small office

set up there. We tried Delhi-NCR too

but our prices are verycompetitive

and only Tirupur suppliers are able to

meet them,” admits Shalini Bhindra,

Manager Admin/Finance, KappAhl.

With time buyers have categorized

the hubs on their strengths and

understand from where to source,

depending on global demand. So,

while Tirupur is the competitive hub,

giving even Bangladesh a run for its

orders in certain categories, it is the

Delhi-NCR manufacturers that are the

preferred choice if fashion or semi-

fashion knitwear is the demand. “The

core strength in this region is fashion

garments as this region is not good

for basics. Any kind ofembroideries,

embellishment or hand-work is good to

do here,” says Sanjeev Jain of TQM

Buying. According to a roughestimate,

more than 700 big and small factories

are working on knitted garments in the

region.

Though no new players are coming in,

exporters who already had strength in

value addition are now using it to gain

share in knitwear too. “We started our

knit operation very recently as wedon’t

want to miss any buyer or any order

which we can do. Knits is currently 20

per cent of our total business andevery

buyer wants styles with value additions

for which Delhi-NCR is knownfor,

like we do hand-work/adda work etc.,

while Tirupur or any other hub can’t

do such work. As labour ischeap in

all other hubs compared to this place,

they still prefer and will continue to

focus on majorly basics items,” reasons

Praveen Sharma, Director, Click

Clothing Company, Faridabad. The

company is committed to increase

capacities in knits after six months,

once the buyer demand for their

products becomeclearer.

It cannot be denied that with the

changing scenario across the world

and greater emphasis on knitwear,

as both casual and formalwear,

exporters are compelled to add/

enhance knit segment. “Knits market

is overall growing across the world

so I feel that Delhi-NCR as a hub will

also grow at least by 10 to 12 per

cent in knitted segment. As far as

buyers’ interest for knitted garments

of Delhi-NCR is concerned more than

any other hub, innovations, product

development which is thestrength

of Delhi-NCR is driving buyers to

come here for knitted products too.

And this is despite the fact that

Delhi-NCR is costly compared to any

other knitted hub. But the factories

working with proper systemsare

managing cost too,” argues MLYadav,

Marketing & Merchandiser Head,

Pasupati Spinning & Weaving Mills,

Dharuhera (Haryana).

The big names of the knitting segment

in the region include Shivalik Prints,

DELHI-NCR, A GROWING

VALUE-ADDED SUPPLY

CHAIN IN KNITWEAR

With time buyers have categorized the hubs on their strengths and understand from where to source, depending on the global demand.So, while Tirupur is the competitive hub, giving even Bangladesh a run for its orders in certain categories, it is the Delhi-NCR manufacturers that are the preferred choice if fashionor semi-fashion knitwear is the demand.

ESSENTIALS

DELHI-NCR KNITTING HUB

OC Knits, Dhruv Global, Shahi Exports,

Pearl Global, Maral Overseas, Celestial

Knits, Matrix Clothing and Shree

Bharat International. While integrated

setups are quite common in knitwear,

as installing circular knits is much

easier than having weaving capacities,

there is always a need for differential

fabrics and different processes to

meet buyer demands, which are not

necessarily viably availablein-house.

Earlier Faridabad was the centre

for fabric and processing units, but

now many of them have moved to

the outskirts to be more compliant

to environmental concerns, andalso

expand capacities to meet thegrowing

demand. Some of the best suppliers of

international quality knitted fabric are

Mercury Fabrics, Richa Knits, Shyam

Tex, Syndicate Fabrics, Bir Horizon,

Hotz Industries and Raj Knitter to

namesome.

Most of the companies have invested

in latest technologies in knitting,

printing, washing and finishing to

give fabric that is being appreciated

by global buyers. Mercury Fabrics,

being one of the largest knittedfabric

manufacturers in India, is a significant

supplier to many leading fashionlabels

of the world including H&M, C&A and

M&S. The factory in Bawal, Haryana

on the outskirts of Delhi-NCR has been

built on the lines of a European factory

and equipped with best technologies

from Europe. Currently, the company

produces 600+ tonnes of finished

fabric every month out of which more

than 50 per cent of its production is

into blended fabric. “The range and

quality of knitted fabric, especially in

prints that we have, no one else has in

the Indian market,” claims Tajinder

Sachdeva, MD, Mercury Fabrics.

Though the company has clients across

the country, Sachdeva agrees that in

the last five years the demand from the

Delhi-NCR has increased manifolds.

Printing on knits has becomestrength

of the region and there arenow

two strong companies in the north

doing all-over prints – Mercury

and Bir Horizon. Also with mostof

the processing units moving to the

outskirts for bothenvironmental

reasons and to expand, theprocessing

not trust worthy, which needs to be

improved. The mantra to success is

to put up big factories as the prices

are workable only on huge scale,

that is what other hubs are doing,”

argues Sanjeev. Jas bats for better

policy support for the knit industry in

general. “The knit segment as a whole

in India suffers and the problem is the

import duty structure for the goods

shipped from India in comparison with

Bangladesh. Customers save straight

11-12 per cent. Even if we compare

with our Tirupur source, then also the

bigger-budget customers, especially

from Europe, prefer to visitBangladesh

because they save 12 per cent.We

need some sort of treaty to promote

manufacturing and that will benefit the

industry as a whole,” imploresJas.

Yet, buyers are sure that the Delhi-

NCR will survive as a knitting source

for its inherent qualities.“Bangladesh

has very big factories, I have been

buying from there for past eight

years. The smallest factory Ifind

is like 250 machines, and I work

with factories even as big as 4,300

machines. So, there is literally no

competition. In Tirupur, still there

are factories which are workable (on

price), but the advantage we havein

this region is that Bangladeshcannot

do fashion jobs and thus sticks to

basics and gets volumes; thisforte

is not easy to replicate in ahurry,”

concludesSanjeev.

strength of the region is now among

the best in the country. Buyers

acknowledge this strength and

appreciate the potential. “Technically

the Delhi-NCR supply chain in knits

is very sound and workable, but only

from a high-end product point of

view,” says Jas Mahindru of MEGA

BRANDS. Even knit exporters in other

regions accept that the Delhi-NCR has

certain unique niches. “Delhi has its

unique strengths, be it connectivity or

image of established export hub, after

Tirupur; Delhi is much more organized

as a sourcing hub than other smaller

hubs; also the type of value-added

strength in processing of knits that

they have, is not there with Tirupur

even, despite being the ‘knit capital’

of India. No doubt, the Delhi-NCR is a

very potential market and will be much

more potential in the future with the

recent initiatives of Government, aswe

anticipate more expansions in knitted

segment across the country, including

in Delhi-NCR,” avers Manoj Tandon,

VP – Garments, TT Ltd., who is

stationed in Delhi to interact with

buyers for their knitproducts.

Though the region has all that it

takes to be different, the buyersare

still sceptical. “Though in termsof

technology and PD, it has worked very

well for players in the region, but the

price economics is pushing itdown.

Secondly, the quality aspect and time

commitments of small players are

“Our factory in Bawal, Haryana on the outskirtsofDelhi-NCR hasbeen built on the lines of a European factory, equipped withbest technologies from Europe. The range and quality of knitted fabric, especially in prints that we have, no one else has in the Indian market.”

– Tajinder

Sachdeva, MD,

MercuryFabrics

EARLIER FARIDABAD WAS THE CENTRE FOR FABRIC AND PROCESSING

UNITS, BUT NOW MANY OF THEM HAVE MOVED TO THE OUTSKIRTS TO

BE MORE COMPLIANT TO ENVIRONMENTAL CONCERNS.

Withlatest machinesat all levels, Mercury Fabrics ensures consitentquality. Seenhere is a finishing machine

DELHI-NCR KNITTING HUB

is where our integration and in-house

capabilities come in handy,” saysAnkit.

Besides T-shirts, the company also

makes ladies knitted dresses for the

US market since there is no duty onthe

same. With lots of specialized washing

and dyeing, the company tries to

make a 100-dollar product for around

10-15 dollars inknits.

Now, as more and more consumers

are moving towardsactivewear

in the US, the company is pretty

bullish about good growth in the near

future. “Nowadays, when everything

is changing so fast, we are doing

many things, both in-houseand

with the buyers on different levels.

Whichever strategy works, we adopt

that. Whichever buyer is good we go

with him. We work with European

customers too who are very fast

tracked. They want maximum 17-18

days’ lead time, but we are not shying

away from these orders.” revealsKunal

adding that buying agents don’t have

future as the vertical set up isproving

overwhelmingly beneficial for both

buyers and manufacturers in a direct

relationship.

Having all the factories/facilities

within a radius of 4-5 kilometres,

Shivalik Group is able to ensure

that everything is done just within

six hours after getting an order.

Catering to US and European

markets, their core customers are

Walmart, GAP, George, H&M, Old Navy,

Target, American Eagle, C&A, Max,

Sansbury’s, among others. Workingon

being updated with latest technology

to support efficiencies, the company

has recently installed one automatic

cutting machine, with plans to bring

all cutting into automation in a phased

manner. Apart from that, they keep

updating sewing machines after every

3years.

The management systems are equally

responsive and apart from the

monthly meetings with the DMs, where

they discuss challenges and best

practices, the young team always has

a discussion with their elders while

encountering a complicated situation.

The philosophy is to remain ahead in

providing service. “I think people get

lost when they say they provide on-

time delivery or good quality products

to their buyers, so they are preferred

suppliers. These parameters are now

basic requirements, which we can’t

ignore. But what counts in modern

epoch are the added services you

render and what relationship you have

with your buyers. In the contemporary,

competitive era, ethics have become a

high priority,” reasons Nishant.

With high focus on service, the

company always keeps 15-20 per

cent of capacity free for emergency

orders so as to remain a priority for

their customers. Still, if the demand

exceeds their capacity, they go for

outsourcing the part of converting

yarn into fabric which hasn’t exceeded

2 per cent of their overall processing

yet. The company has also created an

experimental setup with a Sri Lankan

consultant on lean principles which

will be the first of its kind factoryin

roducing 50 tonnes of knittedfabric

Pper day and processing 98 per cent

of its in-house to convert into 2,00,000

knitted garments for exports by the

end of the day is just not the only

thing that makes Shivalik Group the

largest knitting company in northern

India. Apart from the available water

recycling facilities, its processing

units are solar equipped which

generate 1.5 MW power and is headed

to become the largest biologically

zero-discharge apparel factory in

Haryana. The achievements of the

company are laudable, considering

that it started doing garmenting

only in 2007, much after many of the

other Delhi-NCR leaders had already

established themselves well in the field.

Having already crossed a turnover of

Rs. 1,200 crore in exports, this fast-

growing company is being led by avery

motivated team of GenNext inheritors,

who are ready for everychallenge.

With Narindera Aggarwal,

as Chairman, the ‘young brigade’

of Directors – Nishant, Ankit and

Kushal – are very optimistic ofgrowth

potential. “We have grown from

scratch. Our norms are highly efficient

and we are all very deeplyinvolved

in the operations. Even if there is a

percentile difference in ourestimation

of loss, we have a meeting on it. We

challenge everything and if we have

a problem, we approach it withinfive

minutes,” says Nishant, shunning

the perception that the company has

too much flab. He adds that though

the company has come out of SPL

which they bought in 2007, they have

not inherited its working principles

that led to its downfall and instead,

set their own standards. “What SPL

used to do in 120 days, we are doing

it in 70 days,” shares Nishant. The

result is a whopping 99.8 per cent on

time shipping record with zero air

shipments.

Though the company specializes in

basic knits in huge quantities, of late

the company has shifted some of its

capacities to semi fashion knit items

with an average FOB of US $ 3 for

both men and women. “Today, there is

nothing which is really basic,everyone

wants some fashion element andthat

A COM PANY TH AT B E L I E V E S IN TAK ING C H A L L E N G E S

SHIVALIK PRINTS

Though the company specializes in basic knits in huge quantities, it has lately shifted some of its

capacities to semi fashion knit items

Besides T-shirts, the company also makes ladies knitted dresses for the US market since there isno duty on the same. With lots of specialized washing and dyeing, the company tries tomake a 100-dollar product for around 10-15 dollars in knits.

ESSENTIALS

eing one of the top fabric

Bmanufacturing and process

houses in Delhi-NCR region, Bir

Horizons is known for its knitting,

dyeing, rotary printing, raising

and sueding capabilities. The

company derives its strength from

real assets – manpower and

experienced management, besides

manufacturing in-house fabric with

installed machines to deliver an

array of premium quality fabrics. In

conversation with Apparel Online,

Jasbir Singh, MD of Bir Horizons

shares how Delhi-NCR is growing as

a knitting hub and firming the

internal strengths of his company in

fabric and processing.

Primarily known for value-added

services such as beadwork andhand-

embroidery, the Delhi-NCR hub is

continuously finding favour amongst

buyers, as ‘differential’ products are

becoming a norm. Added to the above

good quality processing houses for

washing and finishing, and the latest

demand for beadwork or value-added

services in knits, mostly printing, has

Reet Arora and Jasbir Singh, Directors, Bir Horizons are very passionate

about rotary printing

Bir Horizons creating niche in rotary printingUnique value-added services favour

growth of Delhi-NCR knitting hub

The company derives its strength from real assets –manpower and experienced management, besides manufacturing in-house fabric with installed machinesto deliver an arrayof premiumquality fabrics.

this part of the country in knits and

is expected to absorbthe day-to-day

growing demand for knitwear in a

highly competitive environment.

The company is also involved in

training its workers and recently

it has initiated a Recognition of

Prior Learning (RPL) programme

in partnership with ILFS. This

programme is under the PMKVY

scheme. Shivalik is the first industry

partner of this scheme inthe

NCR. RPL is a platform to provide

recognition to informal learning or

learning through work to get equal

acceptance as the formal levels of

education. It aims to appreciate prior

learning irrespective of the medium

of achieving it to give due importance

to learning as an outcome rather

than learning as process. With the

initiative, IL&FS Skills Development

Corporation Limited has been given

responsibility to train 20,000 sewing

machine Operators underthe

programme.

For the company, the year 2016 was

highly competitive and they believe

that the new year 2017 would be more

challenging. However, according to

company’s plans and projections,

they think that year 2018 wouldbe

a good year. The company believes

in preserving the value additions to

their product and invest according to

the earnings they make. “I think the

challenges will keep coming, but we

don’t have to sit on them. If you are

passionate about working, then you

don’t see these challenges as mere

challenges, but rather see them as

opportunities. Like, if something is a

challenge for three months, you have to

be optimistic that after three months, it

will turn into an opportunity. The way

we have dealt with challenges is the

answer to why we are here, at the top,”

concludesNishant.

‘Theyoung brigade’ of Directors at Shivalik Prints – (L to R) Nishant, Ankitand Kushal

The launch of RPL programme in partnership with ILFS saw Deepak Mohindra, Editor-in-Chief, Apparel Resources Pvt. Ltd.

(sitting second from left) as the guest of honour

DELHI-NCR KNITTING HUB

made this region grow significantly as

a knitting hub. “It is not investment

in machines which makes this region

good in value addition, rather it is the

quality and expertise that is available

in Delhi-NCR, which gives the region

its reputation. Exporters are not

interested in doing only stitching,

they need beadwork which is the

niche of this area. Though knits are

mostly popular in Bangladesh and

Vietnam, but there is no one who does

these kinds of products globally. Also,

Turkey does it but it’s more expensive

than us. The demand started with

beadwork in knit tops,” claims Jasbir.

Taking advantage of the growing

popularity of the hub in knits, the

company has also ventured into

overall printing that is visible on

the fashion circuit for the past two

seasons, even in men’s T-shirt. Earlier

AOP (all over prints) had very little

application, as 80 per cent knits

produced were solids (without print)

and only 20 per cent was with a print,

out of which 15 per cent was taken

over by placement prints and only

5 per cent was AOP. “Our printing

unit was supposed to start in 2009,

but it was delayed because AOP in

menswear or ladieswear was missing

and it made no sense to invest at that

time. But now we are doing AOP,”

confirms Jasbir. The company’s

USP lies in rotary printing to ensure

perfect prints with a capacity of 50,000

metres of printed fabric per day.

Skilled and competent, the company

can print on any fabric irrespective of

it being viscose, 100 per cent cotton,

georgette, pima cotton, etc. Of late the

company has also stated processing

and printing on woven fabrics,

creating expertise in both segments.

“Printing is a tough game. It’s

difficult to achieve a perfect print,

quantity and price is regardless. You

need to have sound knowledge and

expertise in it. I am an opponent of

digital printing; I feel technically

if you see a good rotary print,

it’s far better than digital. The

manufacturers of digital printing

highlight only the beauties of digital,

but if anyone can create that in

rotary, which is possible, it has so

much depth,” asserts Jasbir. He

points out that the manufacturers of

digital printing highlight the shading

effects of a print because Rotary

technicians are not taking initiative

to do it, but it is possible and gives

better lustre. The only real problem

is that Rotary needs longer runs to

be viable while digital prints are only

for smaller runs.

In times of the growing popularity of

digital printing, the company relies

on rotary printing and is passionate

to create better designs from the

technology. Jasbir refutes, “Water

consumption is not more in rotary,

but it is only in techniques/inks used.

Pigment uses less water and not the

machine that uses less water; it is

after wash that it consumes more

water depending on the ink. Also,

depth of colour is only inrotary

and nowhere in digital, although

manpower and speed is much better

in digital as compared to rotary.”

The washing and finishing expertise

includes various and latest techniques

as also colour perfection in dyeing.

With a production capacity of 500

tonnes of knitted fabric per month

from 11 circular knit machines –

from the best European companies,

Bir Horizons has a processing

capacity of 500 tonnes per month and

caters to 50 per cent of the fabric

produced for job-work and another

50 per cent for its own consumption

for final product. Currently the

company is nominated by 3 groups –

Inditex, M&S and NEXT, demanding

for their factories to be compliant

and their processes transparent.

The company’s unit is integrated

by highly developed ERP system,

which thoroughly checks all the

stages of production efficiently

and improves the department

coordination in the unit. Bir Horizons

has also been accredited with the

‘Certificate of Compliance’ by Global

Organic Textile Standard (GOTS) and

‘Certificate of Confidence in Textiles’

as per Oeko-Tex Standards, ensuring

best quality in fabric and processes

used in manufacturing.

Currently the company, which has its

manufacturing unit in Greater Noida,

is in process to implement a Zero

Liquid Discharge plant, which should

be operational in a month’s time.

With a 24-hour R&D laboratory that

dedicatedly put efforts in making

technical innovation and research

in improving the quality of several

fabric and structures, the company

also has a team of designers.

Going forward, the company and

its Managing Director have a

mission that will make them a very

niche player. “Right now I am in a

run to do more prints; and I want

to copy digital prints on my rotary.

We have to do that otherwise in NCR

we cannot survive. Also, if Delhi-NCR

continues to do unique value-added

work in knits, it will grow in the

segment, otherwise it cannot compete

on price alone,” concludes Jasbir.

With a 24-hour R&D laboratory that dedicatedly

put efforts in making technical innovation

and research in improving the quality of

several fabric and structures, the company

also has a team of designers.

With a production capacity of 500 tonnes of knitted fabric per month from 11 circular knit machines from best European companies,Bir Horizon has a processing capacity of 500tonnes per month and caters to 50 per cent of the fabric produced for job-work and another 50 per cent for its own consumption for final product.

ESSENTIALS

Lincell after proper dyeing

and finishing looks as

luxurious as pure linen;

the structure of the fabric

surface is just like pure

linen due to high ratio of

refined linen in it. Linen

and lyocell both are of

natural origins and have

high moisture regains of

12 per cent and 13 per

cent, respectively (cotton

has 8.5 per cent). High

breathability of linen which

is due to its irregular

polygonal fibre cross

section when blended with

lyocell is fully retained.

Lincell fabrics keep the

body temperature of

the wearer lower by 3-4

degrees than that of their

counterparts wearing

cotton fabrics.

ith cost cutting to stay

W competitive being a norm today,

effective substitutes or new options

to hitherto expensive raw materials

is something the apparel industry is

aggressively looking at. In regards

to fabric blends, there are some

interesting options and one of them

is lincell which is touted as the best

substitute of linen. Lincell has been

available in the industry since the

last 3½ years and is being offered

in India by Sundarams Texventures

LLP (Indian partner of Kingdom

Holding, China, world’s largest linen

yarn manufacturing company). The

product is an intimate blend of fine

quality refined bleached flax fibre

with Lyocell (high tenacity, high

wet modulus viscose fibre) that can

be used for wide range of end uses

where presently pure linen is being

used. Manish Mehta, Founder,

Sundarams Texventures LLP,who

is a 1986 pass-out of TIT, Bhiwani,

talks to Apparel Online on various

aspects of lincell, linen and overall

marketscenario.

Contemplating the overall textile

scenario in India, Manish strongly

feels that India needs more and more

innovations at mass level to grow.

“There is no vision, when a favourable

policy of a specific state came; people

started investing in spinning, they

didn’t look at competitiveness or even

why they need to expand. Industry

has to understand what business they

are doing and what further they can

or should do. We have to have many

R&D centres before schemes like TUF

or such others can be successfully

executed. Infact, such level of

education is not there; proper mind

set has to be there as these kinds of

incentives only overcrowd the space,

which is detrimental to the industry.

Nobody is ready to put money in

processing or weaving technology

even though there is already a glut

in spinning while there is under

capacity in processing. If we create

huge capacity in fabric than how can

Chinese fabric enter into India…, it

is coming because we have a gap,”

argues Manish.

TEX-FILE

“LINCELL WILL HAVE BETTER

ACCEPTANCE IN THE MARKET THAN

LINEN IN COMING YEARS”

Walking the path of innovation, the

company is offering lincell, which is

claimed to be the best replacementof

pure linen yarn, especially in women

and kidswear, as both categories

prefer a softer material as against

the stiffness which is common in 100

per cent linen fabric. Thecompany

is constantly investing in product

development to create newer fabric

and fresh options in different products

of home textile to popularize the

yarn. With the increased demand the

company plans to further expand the

capacity. Analysing the current market

scenario with regards to linen, Manish

is upbeat about the futureprospects

of lincell. “The demand for traditional

linen and lincell are going hand-in-

hand, and though lincell is very new

in the market, it has shown steady

growth. The product is a veryhigh-end

product as the fibre which we take

from Kingdom, is an expensive fibre

compared to the waste fibre which

many other people are importing

from Belgium for the same use. In this

way, the product coming out from our

fibre is also expensive due to quality.

For example, in 21 counts, pure linen

price is Rs. 900 while for the same

quantity lincell costs Rs. 450, but other

companies are offering it for Rs. 300or

Rs. 320 also. So our product is 25 to 30

per cent costlier compared to similar

compositions available with other

spinners, but in purity and proximity

to pure linen, lincell will win in the

long run,” says Manish. However, the

company is happy that despitebeing

a price-sensitive market, the product

has grown by 25 per cent this yearover

lastyear.

As of now, 50 to 60 per cent ofgarments

made from lincell are for the export

market while rest is for the Indian

domestic market. At garment stage,

lincell outsmarts even pure linen

garments; as such, garments can be

dyed as pure cotton or linen andcan

be bio polished to get a smooth, bouncy

garment with soft handle. This unique

property of lincell fabrics makes it the

preferred linen for women and kids.

Bleached lincell fabrics are completely

resistant to turning pale even after

multiple washes, unlike cottonor

pure linen fabric, which is another

attractive feature of the product.

Manish further adds, “India is the

biggest market of linen for domestic

consumption in the world. Only China

uses more linen yarn than India, but

80 per cent of that is used in making

knitted/woven fabric which is being

exported, while only 20 per cent is

consumed within China. In case of

India, around 70 per cent of the linen

yarn is being used to make garments

for Indianconsumers.”

In FY 2015-16, consumption of linen

yarn in India was 16,000 metrics

tonnes which has reduced in this

Financial Year (2016-17) by around

30-40 per cent and is expected toclose

at around 10,000 tonnes. The major

factor that has impacteddemand

of linen yarn is the continuous rise

in prices over the last few years

(which started increasing from2009,

and continued its upward rising till

August 2015). When initial resistance

came from the market, linen spinning

companies started reducing prices.

There was a continuous reduction in

price from August 2015 to October

2016, which added to the confusion

leading to further reduction indemand,

but now things are more stabilised.

“I feel that prices have now come to

a viable level, so the linenyarn/fabric

consumption will increase over the

next three/four years by at least 10 to

15 per cent CAGR,” concludes Manish.

The company has collaboration with

one spinner in India which ensures

that all the specifications of lincell

are met; this guarantees continuous

stream of yarn to the supply chainand

that deliveries are always ontime.

As of now, the current capacity is 100

tonnes permonth.

Sundarams Texventures LLP is growing by leaps and bounds. The

company started in, October 2015 and did business of Rs. 8.5

crore in FY 2015-16, whereas in this year the company is aiming

to achieve a turnover of Rs. 75 crore.

Nahar Fabrics, a vertically integrated textile manufacturer of

India with operations ranging from spinning to weaving and

processing, is aiming to increase its production capacity with the

installation of two Monfortsunits.

Installed during latter half of 2016 by A.T.E. Enterprises Private

Ltd., Monforts’ representative in India, the units will beable

to increase Nahar’s fabrics output from 1.5 million metres per

month to 2.2 million metres. The two units include: Monforts

Montex stenter and a Thermex continuous dyeingrange.

“Fabrics No. 1 unit is producing 2.5 million metres per month

and No. 2 unit is producing 1.5 million metres, but the capacity

of our preparation range is for about 2.2 million metres. We have

not been able to run at our full capacity before, as we did not

have the dyeing capacity. Installing the Thermex dyeing range

and the Montex stenter will enable us to reach our full capacity

of 2.2 million metres within the next 12 months,” said SS Basu,

President of NaharFabrics.

Across Nahar there are 550 looms and a modern dyeinghouse

with a capacity of 7 tonnes of yarn per day. According to Basu,

the company has always believed in the technology they have

had from Monforts hence for this latest expansion, they did

not consider investing in any other make of machine than

Monforts, which is a Germany-based global leader engaged in

manufacturing and exporting textilemachines.

Textile industry in India is expected to generate 50 million jobs,

majority of them for women by 2025, if the industry achieves

breakout growth as per its potential. This has been stated in

a report – ‘Weaving the Way: Breakout Growth Agenda for

the Indian Apparel, Made-ups and Textile Industry’ – by the

Confederation of Indian Industry (CII) and Boston Consulting

Group (BCG). The potential economic benefits have been

identified as revenue of US $ 300 billion by 2025, a multiple of

three from the current position. In this, the domestic market

could account for a 2½ times jump to US $ 150 billion andeven

the foreign exchange earnings could go up to a similar size.

Small scale, fragmented clusters, restrictive labour laws and

unpredictable wage movements, high operating costs due to

taxation and subsidy structures, market access barriers in key

markets such as the EU and the US, high cost of working capital,

low brand visibility, poor infrastructure, logistics delays,and

lack of product development and process improvement have

emerged as key obstacles in meeting this potential.

The report has also suggested some labour regulation changes

like more flexible work hours and fixed-term employment, as per

industry concerns. The report found that job-linkedscale through

a ‘Make in India’ scheme could provide a slab-based incentive

linked to the number of additional jobs created, to be availed of

by entrepreneurs or industrial parks.

Nahar Fabrics aims to increase production with two Monforts units

Indian textile industry togenerate 50 million jobsby 2025

towels. “As

far as India

is concerned,

over thepast

few years, the

country has

emergedas

a preferred

supplier and is

currentlyamong

one of the top

exporters in

this space. Our

country accounts

for a 7 per cent

share of the

global home

textiles trade.

The growth in

the home textiles

segment would

besupported

bygrowing

household

incomes,

increasing

population

and growth of end-user sectors like

housing, hospitality, healthcare,

among others,” predicts Rajinder

Gupta. As of now, India, China and

Pakistan contribute more than

85 per cent of the home textile

exports to the US, and India enjoys

a dominant position in cotton bed

sheets and terry towels, with a total

US imports share of 50 per cent and

40 per cent, respectively.

In anticipation of business growth,

Trident, which has recently added a

new product category, is completely

geared up to grab major share in

this growing market. “Given our

experience in the terry towels

segment, we are very well positioned

to capture the growth opportunity

in bed-linen in the years to come.

Bed-linen will further boost the

overall home textiles portfolio. Our

focus is on increasing our global

scale capacities in the home textiles

segment,” shares Rajinder Gupta.

Over the past few years, Trident has

focused on moving up the textile

value chain with a view on rising

share of high-margin business to

emerge as the largest integrated

home textiles manufacturer in the

world. By 2018 it expects that the

home textiles segment will contribute

around 70 per cent of total revenue,

up from 46 per cent in FY 2016.

Rajinder Gupta strongly believes that

innovation, product development and

design solutions will be key pillars of

growth for the Indian home

furnishing industry. Believing in the

same, the company has established

an in-house design studio to develop

products that have an aesthetic

appeal and rank high in terms of

functionality. “Towels made with

Air Rich Technology have been a

huge success and taking a cue from

this, we are extending the same

With regardto textile products, the companyhasrecorded revenues of Rs.29,043million, out of which70per

cent is earned through export business. For towel, the company has installed 688 looms with a production

capacity of 88,775 metric tonnes of towel per annum at optimum utilization with a balanced product mix. It

recently commenced production at its integrated bed linen facility, which is capable of producing 43.2million

metres of bed linen per annum and also added 1.9 lakh yarn spindles to produce 14,400 tonnes per annum

of high count compact yarn for captive consumption. [Source: Trident’sAnnual Report, Trident 2015-16]

Home Furnishing will be 70 per cent of Group

Revenue by 2018 for Trident

elebrating 25 years of its journey,

CTrident Group from Ludhiana

has risen to become the world’s

largest manufacturer of terry towels.

Not many textile companies can claim

to be world leaders, but this US $ 1

billion Indian business conglomerate,

whose almost 46 per cent share is

coming from home textiles business,

is looking to increase the share to

70 per cent by 2018. Confident of the

future, Rajinder Gupta, Chairman

of the group shared his views on the

global and Indian home furnishing

industry, as well as the strategy

forward for his home business, with

Apparel Online.

Being an industry leader in home

furnishing, Rajinder Gupta’s views

really matter to other players and it

is quite heartening to see positivity

and enthusiasm in his observations.

He is not only enthusiastic about

2017, but even for the long term he

has a positive outlook for the entire

industry. “The coming years would be

laden with opportunities in the home

textiles space. Currently, the global

home textile market is estimated to

be worth more than US $ 75 billion

and by 2020 it may touch US $ 100

billion mark. In advanced economies,

the main drivers of this

growth will be an increasing

preference for smaller households, as

well as stronger demand for value-

added and easy-to-use products. In

emerging countries, the drivers will

be a rising middle-class that prefers

affordable prices and convenient

shopping opportunities,” reasons

Rajinder Gupta.

The company is equally enthusiastic

about India’s opportunities, especially

for products like bedsheets and terry

Rajinder Gupta, Chairman, Trident Group

H2F

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technology to our bedsheet range,”

he adds.

Competition from Asian countries,

according to Rajinder Gupta isanother

big challenge which would needto

be overcome as some countries get

huge benefits under Free Trade

Agreements (FTAs). “We understand

that our Government is also working

towards procuring a level playingfield

in the near future. Excluding these

barriers, Indian players who have the

wherewithal can compete effectively

with any domestic or international

player, as we have built global scale

capacities,” says RajinderGupta.

Trident has been able to maintain

its leadership position in the home

textiles segment because of its

continuous focus on innovative and

value-added products combined with

highest service standards for global

clientele. Its world class infrastructure

and vertical integration give the

edge to be globally competitive. The

capabilities have allowed the company

to service buyers from different

segments of the retail chain. Trident’s

customer base spans 100 countries

and 6 continents comprising of leading

global retailers and brands like

Ralph Lauren, Vera Wang, Macy’s,

JCPenney, Bloomingdale, Kohl’s,

Target, Walmart, House of Fraser of

UK and Myer’s of Australia among

others. “Our newly launched home

textiles products segment, themed

around sustainability, besides offering

a soft feel, has already generated a

lot of excitement in the overseas and

the domestic markets and we expect

this momentum to continue further,”

concludes RajinderGupta.

Growing strong on sustainability front

The company, which was recently awarded for its outstanding

contribution to social welfare at PHD Chamber Awards for

Excellence, is working to add new ways to support the society as

well as its own staff. To promote education in Punjab, the company

has started notebook distribution in Government as well as private

schools. Every student is being provided three notebooks, free of

cost. It recently distributed more than one lakh notebooks among

many schools of Barnala(Punjab).

It is also organizing health check-up camps. At a recently organized

eye check-up camp, the doctors carried out operations of 225

people and distributed spectacles to another 4,500 people. The

CSR team of the company is also distributing flour packets in the

nearby areas of its manufacturing units. To enhance the motivation

level of its staff, Trident Group initiated ‘Member Speak’ where their

staffs share his/her journey and experience with the organization.

Richesh Samantaray, Mechanical Engineer and Manager,

Sustainability, who is with the company from last two years shared,

“The thing I like the most at Trident is the work ethics, transparency,

equality and the single version of truth in our organization.”

noted turnover of Rs. 84.28 crore

in 2015-16 is catering mainly to

domestic market and working with

apparel brands like Pepe Jeans,

Benetton, Numero Uno, Crimsoune

Club, Life Style, Bioworld, etc. Out

of its total apparel production, the

apparel manufacturer exports 25per

cent and will continue the same

strategy in future also as Ajit says,

“Though there is growth in export

business but domestic has more

scope and growth opportunities,

so we will have major focus on

domestic.” In its total business,

fabric sales contribute almost 40

per cent. Currently, the company

has two manufacturing units in

Ludhiana with the workforce of

more than 500. The company is also

active on sustainability front as it

is using solar power in its factory

which is not common in Ludhiana’s

textile & apparel industry.

INDUSTRY WIRE

ounded by S P Gupta in 1973,

FGurgaon-based garment

export house Virender Textiles

is moving into multi direction

and expecting good growth also.

The company with the capacity

of one lakh pieces per month

had C category of BSCI (The

Business Social Compliance

Initiative) earlier and now it got

B category of the same. “We are

following all the compliances

and are continuously improving

on the same so that we can

serve our clients better,” said

Naveen Gupta, Director of the

company. Moving further the

company is restructuring its

domestic brand ‘Neo Trendz’

which is currently available

online only and offering Indo-

Western wear.

Superf ine Kn i t ters br ings its IPO Sarah Trading Co. planning to start k idswearexport

platform of Bombay Stock

Exchange (BSE). It appears to be

a trend that apparel companies

across the nation are now moving

toward IPOs as recently Jaipur-

based apparel manufacturer and

online retailer Nandani Creation

also listed itself for the same

amount. The company which

Mainly offering complete range of

ladies and kidswear, the company

is into knits as well as woven and

is exporting mainly to Europe and

Germany. Its average FOB starts

from US $ 3 and goes up to US $ 10.

“Yes, Europe still has not picked

up as we were expecting but our

in-house manufacturing and quality

production is something that we are

expecting 20 to 25 per cent growth

in current fiscal,” says Naveen.

elhi-based Sarah Trading

Dco. which is currently into

kidswear import from China,

Hong-Kong and Bangkok for Indian

domestic market is now planning to

export kidswear. Rajesh Agarwal,

Proprietor of the company who is

into this trade from one decade,

told about this turnaround:

“Initially we will source from

job workers and if things move

according to our plan/expectations,

we will go for own manufacturing

also. Apart from kidswear, we will

try to add women’s wear too. No

doubt conditions are tough but

it can work in our favour also as

buyers are always looking for new

vendors, those who can offer some

what better or on a lesser price. To

catch buyers, we are working to

participate in some international

sourcing exhibitions.”

uperfine Knitters, one of the

Swell-known fabric and apparel

manufacturers based in Ludhiana,

is coming up with its IPO (Initial

Public Offering) of Rs. 4.08 crore.

Thrilled about the move, Ajit

Lakra, MD of the company,who

is also associated with many

industry associations of the city,

told Apparel Online, “It is better

to go in public for funds rather than

paying interest to the banks. With

funds we will however improve

overall, but there are four key

points that we have on priority.

These are Technology upgradation

for fabric manufacturing, Energy

audit; System upgradations; and

Increased efficiency. All these

four areas will lead to further

profitability of our company.”

Superfine Knitters is the first

apparel company in Ludhiana

which will be listed on an SME

Virender Texti les moving in mul t ip le d i rectionsRajesh Agarwal, Proprietor, Sarah Trading Co.

Ajit Lakra, MD, Superfine Knitters

Naveen Gupta, Director, Virender Textiles

Taking a 360-degree turn,

Sarah Trading Co., which as of now is importing

kidswear from China,

Hong Kong and Bangkok, will

now outsource from Indian

manufacturers and export the same products overseas.

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Key Menswear Trends from

London and Milan

Menswear shows at London and Milan have just taken a bow, giving us a preview of what the

approaching Fall/Winter season looks like. Silhouettes borrowed from the opposite sex, trends

from last season charting new territories, classics hinting at innovation in sync with the times –

the runways had it all.

From bigwigs like Prada, Coach, J.W.Anderson, to the much talked-about designers like

Moschino, Marni and Craig Green, the industry had a mutual inclination towards casual

outerwear pieces being included in their collections for the inherent streetstyle stars in all of

us. Here, we put together the most coveted trends that made an intriguing appearance on the

recent runways of the menswear collections.

Fall / Winter 2017-18

DIRECTIONS BY

Mixed

Media

Art of the Matter

OVERSIZE REIGNS

'Go big or go home' seemed

to be the moto this season.

The Vetements popularized

trend from last year refuses to

mellow down its presence for the

approaching season. This year

though, the silhouette has found

itself embracing the likes of utility

outerwear – puffer jackets and

pants, gigantic, robe-like boxy

coats and oversized, super baggy

trousers. The waist sits higher this

season, channelling in a vintage

old-school vibe to it, for the lovers

of the ’80s sartorial style.

Miharayasuhiro Prada Casely Hayford Dsquared2 ChristopherShannon

J W Anderson Vivienne Westwood Matthew MillerChristopherShannon Wales Bonner

MIXED MEDIA

Though patchwork is not a new

concept, this season saw an

enigmatic approach towards the

trend by introducing a mixture

of prints, fabrics, colours and

layers – all in a single ensemble.

Designers did not shy away from

going OTT with the trend, mixing

the likes of fur, velvet, faux leather

altogether to create a bold and

stand-outish look. What deserves

a special mention here though, is

patchwork-inspired knitwear that

was seen on the runways of

J.W.Anderson and Alex Mullins.

CAMO BLAST

Since the past few seasons,

camouflage has been slowly

making its way known and this

season it has finally gained

centre stage. Although, camo as

a print never really goes away,

Fall 2017 is all about how one

wears the print – with more casual

references; the trend is expected

to prove big for the outerwear and

streetstyle wear category.

ART OF THE MATTER

No longer limited to wall hangings,

graffiti and canvases, abstract

prints and patterns lent an art-

school inspired vibe to recent

collections presented at the

runways of London and Milan.

Graffiti patterns on sweatshirts,

scenic strokes over button down

shirts and jackets, painted denims

and trousers made multiple

appearances rendering this a

major trend for Fall 2017.

Camo

Blast

Sibling

Moschino

Oversize Reigns

The classic turtleneck has decided

to size up for the coming season.

Oversized knitted turtle necks

were spotted an umpteen number

of times during the shows held

at London and Milan. Layered

with blazers and coats at Casely

Hayford and Oliver Spencer,

channelling in the oversized vibe

at J.W.Anderson or emitting a

sportier vibe with the introduction

of piping at Agi & Sam, the

turtleneck is more versatile than

ever for Fall 2017.

The luxe material continues to cast

its spell on the fashion scene but

dons a more casual appeal for the

season. Velvet lent a more opulent

and elegant vibe to outerwear

pieces like bombers, wide-leg

trousers, hoodies and sweatshirts,

making it a more wearable and

appealing fabric for everyday

looks.

Robes, jackets, coats cinched at

the waist lent a loungewear feel to

designer collections at the runways

for Fall 2017. Long considered

to be feminine, the men-specific

hourglass silhouette was evolved

from the classic V-shape aesthetic

achieved through men’s jackets

and found its way into men’s

casual wardrobe. Craig Green,

Marni, Topman Design gave us

ample innovation to chew on for

the coming season.

New Age Tapestry

VELVETWaist-

Cinching

VELVET

J.WAnderson Marni AstridAndersen CraigGreen Vivienne Westwood

GiorgioArmani Miharayasuhiro MarniKTZ OliverSpencer

Gone are the days when the mere

mention of the term tapestry would

conjure up images of antique

wall adornments and interior

furnishings. Tapestry textures and

prints were spotted decorating

shirts, jackets, robe-like-coats and

pantsuit coordinates. Contrasting

motifs share common threads of

colour, which creates an extremely

rich and sophisticated look

when layered together. Motifs on

luxe velvet, sheer surfaces and

brocade jackets/blazers trailed

their way ablaze on the runways.

NEW AGETAPESTRYTURTLENECK WAIST-CINCHING

Turtleneck

CraigGreen

Casely Hayford

MILAN

FASHION BUSINESS

The year 2016 was a very difficult one, especially

for retail, as consumers struggled to keep their

‘shopping’ mood in place. Weak economies, terrorist

attack, political instabilities, Brexit and finally the US

presidential elections kept the retail scenario ‘dull’.

Though the predictions for the year 2017 are also

conservative, there are many factors that could change

the scenario and among them is the resilientconsumer

who likes to shop when happy and also to drive away

the blues.

As we look back upon the bestsellers of 2016, a year that

can boast (or mull) about much less ups than downs, we

combine sales reports, price points, economic settings

and an actual conversion of runways into retail, in order

to round up the top grossing trends under colours,

products, silhouettes and fabrics that performed well

in the 5 fashion capitals of the world, namely NewYork,

London, Tokyo, Milan and Paris.

As seasons continue to become more and more

transitional with every passing year, gender-specific

and season-specific clothing trends head towards

blurred boundaries. Resortwear, daywear, eveningwear,

loungewear, sportswear and formalwear have started

intermingling as the concepts of geographics and

demographics change. Key season trends bank upon

mixing and layering up products, styles, fabrics and

even prints.

Universally, bestsellers like velvet, bomber jackets,

pleated skirts and sneakers sold out at Godspeed, with

obnoxious numbers of re-stocking being entailed. Velvet

reigned the fabric scene by popping up on everything

from pants to shoes to bags. Bomber jackets continued

to rock the retail sector second year in a row in 2016,

with 61,000 bombers being launched in the US and US

alone. It comes as no surprise then that the bomber has

been revealed to be the most-searched trend of 2016.

Yoox ranked as the trend’s most-stocked retailer with

9,400 different styles to choose from! This wasfollowed

by Farfetch, ASOS, House of Fraser and Walmart.

Sneakers have had their moment under the sun last

year and show little to no signs of backing down just

yet. A figure boasting of more than 3,31,000 newpairs

of sneakers came online alone, in 2016. Thepoint

of interest over here, is that more than 2,40,000 of

these retailed outside the sportswear category, mainly

focusing on fashion and not performance.

RETAIL

BESTSELLERS

2016

PARIS

NEWYORK

TOKYO

LONDON

GENERAL CLIMATE

Preparation for the 2020 Tokyo Olympic Games is fuelling both

expectations that Japan’s economy will grow and fears of an

asset-inflated bubble. But because the economy still faces

uncertainty, all that glitters may not be gold. The recent influx

of foreign tourists, largely helped by the weakening yen, will

likely continue to support the economy in the coming years

by propping up retail sales and encouraging investmentto

capitalize on the tourism boom, while the Bank of Japan’s

monetary stimulus will keep borrowing costs at rockbottom.

However, property sales in Tokyo, a barometer of the underlying

tone of the economy, are showing signs of slowing as major

developers are delaying projects due to a labour shortage,

which raises personnel costs, and shrinking demand as a result

of weak wagegrowth.

The currency depreciated from ¥103 against the dollar to ¥118

following Donald Trump’s victory in the US presidential election

and an interest rate hike by the Federal Reserve, gave new

hope in the battle against chronic deflation. The weaker yen

makes Japanese exports more competitive and raises the price

of imported goods.

RETAIL BESTSELLERS

Luxe velvet and faux fur were arguably the most versatile

products of the season with both high-end designers and high-

street brands embracing the trend with much aplomb. These

fabrics were generously used on everything from tops to shoes

to accessories to bags! A dose of romanticism was in order with

details like ruffles and flares adorning top silhouettes. Calf-

grazing elements made a case for the outerwear category in

coats, dresses and culottes alike.

TOKYO

TOP FABRICS

Velvet

Wool

FauxFur

Tweed

TOP COLOURS

Purple

Blue

Rosequartz

Yellow

Red

TOP PRODUCTS/SILHOUETTES

Bomber Jacket | Flared sleeves

Calf-length dresses/Coats/Trousers

Maxi length coats

Plaid shirt

Turtleneck

FASHION BUSINESS

GENERAL CLIMATE

WThe monthly indicators (in December 2016) suggest that

the Italian economy maintained a slow but broadly steady

pace of growth in Q4 after it had accelerated slightly in Q3,

mainly on the back of stronger fixed investment, which offset

a more negative contribution from the external sector. Inthe

political arena, a lengthy political crisis was averted, yet the new

Government faces an immediate challenge as the clock ticks

towards a year-end deadline for Monte dei Paschi di Siena,

Italy’s third largest bank by assets, to raise EUR 5 billion in

capital after the European Central Bank rejected a petition for

more time.

Going forward, the Italian economy faces a number of

important challenges, one of which is unemployment. Since

the country’s manufacturing sector is specialized in high-quality

goods, Italy plays an important role in the global market of

luxury goods. Though there are now about 18 million online

shoppers in Italy, but still the number of Italian companies

selling products or services online is lagging behind. This will

definitely be a growth area.

RETAIL BESTSELLERS

Frilly fabrics and details proved a strong affair with ruffles that

continued throughout the season. Vintage was king – from

Google to Nasa – logos and monograms were paired with

everything from gowns to ripped denims, layered articulately.

Quirky slogans and motifs found their way onto outerwearand

sporty silhouettes adorning the season with nostalgia, while

bombers revived the sports-luxe trend with experimentations

on velvet and silks.

MILAN

TOP FABRICS

Velvet

Tweed

Fauxfur

Faux leather

Wool blend jumpers/

Knits/Sweaters

TOP COLOURS

Red

Olive

Smoke grey

Navy

Black

TOP PRODUCTS/SILHOUETTES

Bomber jackets

Plisse skirtsOff-the-shoulder & One-Shoulder

Logos

Ruffles

Plaids/Ginghams

Maxi coats

GENERAL CLIMATE

Consumer spending has been the main driving force

behind UK’s relatively strong economic growth since the EU

referendum. But the slowdown in retail sales in December,

wherein sales volumes dropped by 1.9 per cent fannedfears

that consumers will struggle to keep up that support to the

economy. More so as this was the biggest drop since April2012

and far worse than forecasts for a 0.1 per cent dip in a Reuter’s

poll of economists. Compared with a year ago, sales wereup

4.3 per cent, below a forecast for 7.2 per centgrowth.

However, industry experts cautioned against reading too much

into a single month’s figures and instead pointed to news of

continued growth for the final three months of the year as a

whole, as sales from October to December were up by 1.2 per

cent on the previous quarter. Also a positive sign is the factthat

British workers saw their pay grow at the fastest pace in more

than a year in the three months to November, adding to signs

that the country’s economy ended 2016 strongly despite the

shock of the Brexitvote.

RETAIL BESTSELLERS

Pinks, metallics and ornate prints elevate the festiveatmosphere

of the season, ushering in a celebratory vibe. Military green

rules the space for outerwear as patchwork dominates the

denim and bomber arena. Bardot style pieces were the rage

this year and off-the shoulder tops proved to be the most

popular way to make the trend come alive. 2015’s lace-up shoe

trend saw 2016 adding the detail to tops, bodysuits and dresses

while oversized gear popularized the no-pants trend. Frayed,

patchwork and rippeddenim all had their moments this season.

LONDON

TOP FABRICS

Denim

Velvet

Metallic

Faux fur

Soft knits

TOP COLOURS

PinkMilitary green

Golden yellow

Black

Camel

TOP PRODUCTS/SILHOUETTES

Puffer jackets

Silk bombers with patchwork

Off-the-shoulder

Lace up

Patchwork denim

Hoodies

GENERAL CLIMATE

The major issues impacting French retail in the recent past

have been negative macro factors – sluggish economic growth

and terrorism – and according to industry watchers these are

likely to continue to affect the industry in the near future also.

France has been beset by low economic growth for a numberof

years. However, the picture improved in 2015, when the country

posted its strongest annual economic growth in four years, with

GDP rising by 1.3 per cent. The improved performance carried

into 2016, with first-quarter GDP increasing by 0.6 per cent

quarter-over-quarter, compared with 0.4 per cent growth in the

previous two quarters. However, quarter-over-quarter growth

slipped back to zero in the second quarter of 2016.

Shopper traffic declines appear to have eased relativelyquickly

after terror attacks, while tourist numbers have taken a few

months to bounce back. The problem for French retailers is

that the newly emerging pattern of frequent attacks makes it

much more difficult to return to normality. The dominance of

premium names in the French department-store sector has

resulted in it being highly Paris-centric and heavily reliant on

overseas tourists.

RETAIL BESTSELLERS

Sporty separates make a fine balance with eveningwear where

textures and trans-seasonal duality come alive through layered

looks. Flared details in sleeves, trousers and skirts that graze

the calf make a case for the season. Plisse details, mixed with

pleating and ruching, knit coats and faux leather detailing and

trims abound.

PARIS

TOP FABRICS

Tweed

Faux fur

Velvet

Knit

Jacquard

TOP COLOURS

Wine

Camel

Smoke grey

Navy

Black

TOP PRODUCTS/SILHOUETTES

Plisse skirts

Plaids/Ginghams

Flared trousers

Maxi coats

Turtleneck

GENERAL CLIMATE

With major policy shift expected in 2017, as the political

landscape takes on a new face, retail experts are predicting that

more upheaval is ahead for retailers. Retailers are keeping an

eye on potential policy changes under a Trump administration

next year. One particular topic they're monitoring is a proposed

border-adjustment tax for goods that are brought into the US.

After a year in which several bricks-and-mortar players made

big strides on the web the competition is getting fiercer. With

real estate becoming expensive, retailers will be re-evaluating

their needs for space.

Selling merchandise through a department store is a lower-risk,

less expensive way for brands to grow their sales. Yet as these

shops have become more promotional, labels including Michael

Kors, Ralph Lauren and Coach are dialling back their exposure,

in an effort to wean customers off ofdiscounts. As income gains

benefit the wealthy and the stock market soars to new highs,

well-to-do shoppers will drive much of the spending boost in

2017; this could deliver a much-needed lift to personal luxury

goods, which have been seeing downtrend.

RETAIL BESTSELLERS

Ruffle detailing, subtle sparkles, knotted neckerchiefs and

scarves signalled a return to femininity. The ’90s were revived

with slip dresses making a huge comeback and the sales state

the trend is here to stay. Brands continued to recreate the trend,

selling out styles at super speed. A mashup of old-school tweed

with new-age sparkle, varied stripes and colours like cotton-

candy pinks, lemony yellows, deep emeralds and cobalt blues

were a focal point.

NEW YORK

TOP FABRICS

Faux Fur

Faux Leather

Cable and AranKnits

Cable knits

Tweed

Velvet

TOP COLOURS

Cotton CandyPink

Lemon Yellow

Dark Charcoal

Purgundy

Military Green

EarthyBrowns

TOP PRODUCTS/SILHOUETTES

Slip dresses

Bomber jacket

Knit sweaters

Metallic outerwear

Plaid shirt

Biker jacket

Logos

xtensively involved inpolicyEissues and community

mobilization relating to livelihood

and social security, and also the

Co-Founder & CEO of Bangalore-

based LabourNet Services India

(an NSDC partner), Gayathri

Vasudevan has shared her opinion

about hiring trends, progress in

skill development in textile and

apparel sector in the year 2016, and

projections for 2017. She strongly

believes that apparel industryneeds

to consider seriously that it is not

just money which matters, but also

the social infrastructure, medical

facilities or such things which are

equally important, especially when

workers or even the middle-level

management is relocating near to

manufacturing facilities…

roductivity is one of thePbiggest concerns in Indian

apparel manufacturing industry

and many companies are

working in this direction as well.

Interestingly, Lean Manufacturing

Competitiveness Scheme (LMCS),

which is a part of National

Manufacturing Competitiveness

Programme (NMCP) under the

Ministry of MSME, Government

of India, aims at improving the

overall productivity of MSMEs by

reduction of wastes with the help

of lean manufacturing concepts.

National Productivity Council

(NPC), associated with this scheme

since its inception as National

Monitoring and Implementation

Unit (NMIU), claims that the

beneficiary MSMEs have witnessed

‘2017 will see execution for skill development, labour reforms'

Lean Manufacturing Competitiveness Scheme helps increase productivity

More workers to get benefit of EPF

Gayathri Vasudevan from LabourNet Services India

egional offices of EPFOR(Employees’ Provident Fund

Organization) have decided to act

tough against such commercial

organizations that are violating

the Provident Fund (PF) Act. A

massive campaign across India

covering many textile and apparel

hubs like Surat, Gurgaon, etc. has

been started for the employee’s

enrolment, which will run from

January 1 to March 31, under the

EPF Act and scheme. There is a

huge scope of EPF enrolment in

textile sector as well. The average

wage paid in this sector is about

Rs. 15,000, which is enough to

enroll the employees under EPF.

The EPF & MP Act 1952 applies

to any notified establishment

employing 20 or more employees.

Gurgaon, which has numerous

apparel units, too has many such

workers who are unable to get the

benefit of EPF. Surat, India’s largest

man-made fabric (MMF) hub, is

also moving towards increasingthe

number of employees’ enrolment

under the EPF. As per the EPFO

record, the textile sector of the

city has less than 60,000 workers

against the total workforce of 10

lakh covered under EPF. Under the

scheme, any employer can make a

declaration regarding enrolmentof

its employees from April 1, 2009 to

December 31, 2016. The employer

is liable to pay only the employer’s

share in EPF along withinterest

at 12 per cent. For such employees

whose EPF was not deducted by

the employers are not required to

pay employees’ share. The penalty

for late payment which usually

ranges between 5 per cent and100

per cent is reduced to a nominal

Re. 1 per annum in respect ofsuch

employees and the administrative

charges have also beenabolished.

LabourNet Service India is

a social enterprise, enabling

entrepreneurship and employment

through skill development and

education. It is also associatedwith

famous Indian textile company

Raymond for training initiatives

with focus on ‘women training’.

She believes that 2017 will be the

year of execution for theinitiatives

or agendas of skill development

and labour reforms as 2016was

a positive one in this perspective.

Change in Apprentice Act was also a

major decision of 2016. Besides, the

Government worked on recognitions,

guidelines and certifications in

the industry. Recognizing this fact,

many states are now planning and

investing from long-termperspective

for skilldevelopment.

an average increase in productivity

level in the range of 20-25 per

cent. Besides, depending upon

the type of clusters, the average

increase in inventory turnover

has been reported as 25 per cent

and the achievement in respect of

reduction in manufacturing lead

time in the range of 5-30 per cent.

Though in regards to apparel

manufacturing sector, to figure

out a generic overall productivity

enhancement percentage can

be misleading. Pooja Makhija,

Director of Fashion Futures,

Delhi (consultants and trainers for

apparel industry), who has

implemented such projects in

seven apparel companies of Noida,

told Apparel Online, “Due to the

implementation of lean, factories

have recorded huge savings but

there are other factors too that

really matter for the apparel

industry, be it changeover time

or inventory control, so apparel

manufacturers must also get

benefit of such initiatives.”

Kalpana Awasthi, DG, NPC said

that the scheme has also been

able to build the capacity of the

beneficiary units to contribute

to ‘Make in India’ initiative of

Government of India. This scheme

was started in 2009 as a pilot

project in 100 clusters and based

on its success it has been upscaled

for 500 more clusters. Till date, 200

MSME clusters have been formed

encompassing sectors including

Handicrafts, Readymade Garments

& Textile Cluster, etc.

LabourNet Service India is

a social enterprise, enabling

entrepreneurship and

employment through skill

development and education. It

is also associated with famous

Indian textile company Raymondfor training initiatives.

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INDUSTRY LIVE

fter many years, the UnionABudget 2017-18 presented

this year has not disappointed

the Indian textile and apparel

industry as Union Finance Minister

Arun Jaitley focused on some

areas which will be a support to

various industries, including the

textile industry. Industry bodies

have welcomed the Budgetand

are hopeful of a new beginning.

Among the main announcements,

the declaration that MSMEs having

a turnover of below Rs. 50 crore

are likely to get benefits with cut

in Corporate Income Tax by 5 per

cent has been widely welcomed.

Previously, the tax rate was 30 per

cent which, in the recent Budget,

has been reduced to 25 per cent.

The other benefits extended

such as additional allocation

to the banks for NPAaccounts,

cashless transaction, hint at labour

reform, relaxation of FDInorms

by abolishing ForeignInvestment

Promotion Board (FIPB) would

also benefit the textile and

apparel industry.

The Government has approved

a ‘package’ to support Micro

and Small Enterprises (MSEs)

and increased the Corpus of

Credit Guarantee Trust Fund

for Micro and Small Enterprises

(CGTMSE) from Rs. 2,500 crore

to Rs. 7,500crore.

The decision has been taken

with an intension to enhance the

quantum of Credit Guarantee to

larger number of MSEs.Apart

from approval of the package, the

Government has decided the

restoration of duty drawback rates

for babies wear, from 7.3 per centto

7.6 per cent, effective fromJanuary

15, 2017. The duty drawback rates

for babies wear was reducedfrom

7.6 per cent to 7.3 per cent andthe

value cap was also slashed from

Rs. 34 to Rs. 29 while announcing

the new drawback rates on

October 31,2016.

Union Budget has some interesting points that give hope to textile and apparel industry

Loan coverage increases to MSEs

Restoration of dutydrawback rates forbabies wear

roads, railways, aviation would not

only improve competitiveness of

manufacturing and in the exports

sector, but would also reduce the

logistics cost of exports aswell.”

Adding to that, M. Senthilkumar,

Chairman of Southern India Mills’

Association (SIMA) said, “The

objective of doubling farmers’

income, housing for one crore

rural Indians, skilling of youth by

establishing 100 India International

Skill Centres, development of

infrastructure to provide end-to-

end solution by integrating road,

rail and ship would greatly benefit

the textile industry spread across

thenation.”

However, Ujwal Lahoti, Chairman

of TEXPROCIL, has some mixed

opinions on this Budget. He said,

“Overall the Budget is positive, wide

ranging and inclusive.” He, however,

appealed to the Government to

restore some of the incentives

relating to interest subvention for

merchant exporters and cotton yarn

and Merchandise Exports from

India Scheme (MEIS) benefit for

cotton yarns. D. Kumar, Chairman-

EPCH said the Budget did not offer

any specific scheme pertaining to

handicrafts sector but initiatives

towards export infrastructure and

skill development would benefit the

exports sector in the longrun.

In the Budget, Rs. 1,555-crore

outlay for remission of state

levies will benefit exports in

the garments and made-ups

segment. The Budget has also

made provision of Rs. 6,226.50

crore for textiles. Textiles

Minister Smriti Irani claimed

that the decrease of 2.5 per

cent in customs duty on nylon

mono filament yarn will have a

positive impact on the fishing net

export market.

Raja M Shanmugham, President

of Tirupur Exporters’ Association

(TEA), lauded the enhancement

of allocation of funds to Mudra

Bank from Rs. 1,36,000 crore

to Rs. 2,44,000 crore which will

encourage the new entrepreneurs

in the region to invest in sectors

such as knitwear.

Expressing his satisfaction over

the announcements made, S C

Ralhan, President of Federation

of Indian Export Organizations

(FIEO) said, “The investment

of close to Rs. 4,00,000 crore in

the infrastructure encompassing

Government has also given its

nod to the coverage of the loans

sanctioned under the Credit

Guarantee Scheme, under which

the amount has been increased

from Rs. 1 crore to Rs. 2 crore

for MSEs. Industry believes that

this decision as it would be much

helpful to the Tirupur cluster

where large number of Micro and

Small Enterprises are existing,

carrying out job and working as

back bone to the exporting units.

Tirupur Exporters’ Association

(TEA) has thanked the

Government for the move. “The

restoration of rates for babies

garments would increase the

competitiveness when the

knitwear exporters are operating

under wafer thin margin to

sustain in the global market,”

said Raja M Shanmugham,

President,TEA

HAVE YOUR SAY

Tell us your news by emailing at

news@apparelresources.com

BREAKING NEWS

To read the latest sustainability news, go to

http://news.apparelresources.com/sustainability-news/

Some of the

industry leaders

are not very

enthusiastic about

this Union Budget

as SudhirDhingra,

CMD, Orient

Craft Ltd. says,

“In my opinion,

Budget is very

lukewarm, there

are no positives

for the textile

industry and no

negatives either.”

48 Apparel Online India | FEBRUARY 1-15, 2017 |www.apparelresources.com

Saurav Roy (L) Merchandiser and Deepika Agarwal, Fashion Designer of the

Impex V,Delhi

M K Maheshwari (R) and Sumit Kabra, Partners of Sarc Original of Jaipur

Manoj Kumar, GM –Marketing, Genus Apparels (R) from Faridabad in discussion with

buyers. The company participated in IIGF after a long gap

I IGF 2017: A r out ine af fair…

Very few new products; buyer footfall also down

ick-starting the exhibition

Kseason for 2017, the recently

held 58th edition of India

International Garment Fair (IIGF),

New Delhi did not throw up any

surprises with similar products and

buyers from the last few editions

making the event so predictable. As

per AEPC’s press release before the

fair, IIGF was expected to give good

support, especially to small- and

medium-level garment exporters of

the country, but most of the exhibitors

claimed that they did not get much

response from buyers. Some of the

exporters believe that this was due

to weak market sentiments, while on

the other hand the buyers maintained

that even this time there was nothing

new in the collections displayed by

the exporters to excite them enough

to place orders. This is not to say that

the event was unproductive and few

exporters were happy with the

results, but at large the response

was not very enthusiastic. Apparel

Online talked to many participant

exporters and buyers to get the feel

of the fair, their collections and

strategy to get a better share in

presenting the market scenario.

India’s biggest sourcing event,

with almost 1,081 buyers from 94

countries across the globe visiting,

had more than 300 apparel exporters

display their latest collections.

Most of the exporters get satisfied

nowadays from such sourcing fairs

even if they are just able to meet

their regular/old buyers as they have

accepted that the present market

conditions are one of the main

reasons that make it difficult to get

any new buyer. “We do not have high

hopes from the fair and will be happy

even if our old buyers visit us. We are

not expecting much footfall as market

is overall slow from last three years,”

shared M K Maheshwari and Sumit

Kabra, Partners of Sarc Original

of Jaipur, on the first day of the fair.

The company is purely into tie & dye

work on cotton-and rayon-based

garments. Beachwear in low price

range (US $ 3 to US $ 6) is a major

product category for the company so

it is not much impacted by market

sentiments. Having production

capacity of 4,000 pieces per day,

the company has buyers across the

world. Offering variety of accessories

Vijay International, Mumbai was

also of the same opinion, as despite

many trips to Europe, Vijay Sadh,

Owner of the company is not getting

any enthusiastic feedback from

buyers in the region.

But for those exporters having

a positive outlook and seeking

new buyers, the attitude was very

different and many of them had

prepared specific collections for the

event with many developments, like

Impex V of Delhi which highlighted

embroidery and stripes in interesting

ways. Saurav Roy, Merchandiser

of the company informed, “We have

some enquiries which should convert

into orders but we were expecting

much more.” The company is looking

forward to strengthen its compliance

and is in process to get ISO

certification. Abhishek Samdaria

of NRS Exports, Delhi was also

not happy with the buyers’ footfall.

“We need more and new buyers; also

INDIA CANVAS

HAVE YOUR SAY

Tell us your news by emailing at

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BREAKING NEWS

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http://news.apparelresources.com/sustainability-news/

INDIA CANVAS

5 per cent to match the given price,”

said Nobinoor Islam, CEO of the

company, offering products from US

$ 1.5 to US $ 10. The company having

capacity of 70,000 pieces per month

is expecting 10 per cent growth

this year.

IIGF, a fair mainly for small- and

medium-level exporters, witnessed

some new firms in the apparel

industry and they are geared up

for export orders despite all the

market challenges. There were more

than six such emerging apparel

exporters, and their focus on ‘niche’

products is one of the biggest

growth drivers. Yogue Activewear,

Noida added fashion element to a

normal ‘boring’ sports clothing.

Apart from having its own brand

and making for overseas labels, the

company is also exporting to the

US and European markets. Tushar

Sharma, an IIT Delhi pass out and

CEO of the company who initiated

this business two years ago, is happy

till now with the performance of the

company and geared up for further

opportunities.

Every edition of IIGF sees some

participation from remote areas

too and these factories are doing

their best and getting good business

too. Lall Ji Knitwears, having

office in Dalhousie and factory in

Goli, district Chamba (Himachal

Pradesh) participated for first time

at the event. Gaurav Khanna,

Manager – Production of the

company informed, “We have benefit

of labour availability and low

minimum wage/salary otherwise

there is no other benefit of working

from remote area.” The company

got good response at the IIGF as it

had different products (ladieswear

for winter season) from most

other participants.

From a buyers’ perspective, most

of them came looking for regular

suppliers, but even some new

ones enjoyed the experience. “I am

supplying mainly to European

customers and visiting the fair for

the first time. Overall my experience

is okay and will see how the things

work out. Our market is decreasing

as there are many challenges,”

informed Herve Pidou, Redsoul of

France. A regular buyer, Christine

E. Rai, Founder, Indian Inc, Delhi,

working primarily with US and has

some business with Australia, was

disappointed. “IIGF is lacking the

zing compared to my expectations;

the overall event is very uninspiring

as India is doing a lot more products

than what has been displayed here. It

needs a relook, exporters should

rework their products and display

them more creatively. Newness

should reflect in every process. It

should inspire buyers to buy from

India. More trends can be displayed

here,” said a critical Rai. The

company deals in apparels as well as

home products.

Textiles Ministry has

received Rs. 500

crore from Finance

Ministry for therebate

of state levies (ROSL)

scheme to reimburse

exporters for state

levies, said Rashmi

Verma, Textiles

Secretary, during

the inauguration of

IIGF. Though the total

amount under this

scheme is Rs. 1,200

crore but industry is

happy that at least

some beginning has

been made. She

confirmed that these

reimbursements will

start very soon.

ESSENTIALS

AbhishekSamdaria,

NRS Exports, Delhi

Gaurav Khanna, Manager –Production,

Lall Ji Knitwears, Chamba(HP)

Christine E. Rai, Founder,

Indian Inc, Delhi

SandipBhojani,

Krypthm Tradelink Llp, Surat

Vijay Sadh, Vijay International, Mumbai

Nobinoor Islam, CEO, Anisa Overseas, Noida

Herve Pidou, Redsoul,France

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Buyers@IIGF 2017

Lot of opportunities

which India is missing

India International Garment Fair

(IIGF), one of the established

fairs in the international

apparel arena, concluded with

a lower buyer turnout this

year. However, Team Apparel

Online was able to meetsome

good buyers havingsignificant

number of stores. Most of these

buyers were positive about their

current and future business

prospects, while some of the

first-timers were looking to start

sourcing from India. Many of

them were only interested to

work with certified exporters,

and some were even changing

their strategy to get better

benefits from India sourcing.

Even though individual

needs may differ, there was a

consensus on the importance

of having moreexhibitors

with wider variety of products.

Added to this there was focus

on product development, giving

the fair an international feel, but

which many felt wasmissing.

Rayan H. Baeshen,

GM, Glitter

The company: Retailer has in total

7 stores in countries like Saudi

Arabia, Dubai and Abu Dhabi. We

source very high-end range. The

prices of some of our pieces go up

to more than US $ 1,000. We are

targeting high-level customers. Apart

from ladieswear, some of our business

is also inkidswear.

Sourcing from India: Most of my

sourcing is from India; and I am

sourcing from this country since last

14 years. Each year we pick up more

than 40,000 to 50,000 pieces; besides

we are increasing sourcing by 20 to 25

per cent from India alone every year.

Current market/future plans:

Worldwide economy is slow but still

we are able to make profit. Hopefully

we will open new stores, one each in

Dubai, Sharjah and Riyadh.

About IIGF: I am fine with IIGF, this

time I liked some new suppliers.

I must appreciate some of these

collectionstoo.

Jaroslaw Frajda, Buyer,

Top Secret, Poland

The company: The company has 400

stores across Poland, Czech Republic,

Ukraine and Russia. It is present in

the market through various kinds of

stores. The company focuses a lot on

product development, so we have our

own designers too.

Excerpts of conversation with some selected buyers gives a clear

picture of what buyers want from Indian exporters:

Rayan H. Baeshen, GM, Glitter Jaroslaw Frajda, Buyer, Top Secret, Poland

Sourcing from India: We are sourcing

from India from last five years, and

depending on style and order, we can go

up to and even more than 2,000 pieces per

style. As we are regularly coming with

new collections so number of styles are

much more. Value addition techniques like

embroidery is something we like about

Indian products, we are ready to source

from new vendors too if designs impress

us. For sure we are going to increase our

sourcing from India by at least 15 to 20

per cent. Moving further, we are looking

for some exporters who can manufacture

leather jackets.

Current market/future plans: Market

is currently not too supportive, but we

are hoping that it will be better soon, as

policies are changing. The company may

open new stores in countries where it is

not working currently.

Afaf Seyam, Designer and

Hiroya Kniuta, Marketing &

Key Account Coordinator,

RUYI, New York,

The company: A wholesaler of

ladieswear working with hundreds

of retailers (mainly based in US). RUYI

has manufacturing set ups in China and a

design office in NewYork.

Sourcing from India: As of now the

company is not sourcing from India but

will start very soon, probably with a

holiday line. “We are looking for texture

and design work. The products will be

eveningwear (beaded) and accessory. We

will prefer compliance certified exporters

who can happily do small (200 pieces)

as well as medium or big size orders too.

Our quantity depends on further response

from our customers.

About IIGF: It’s quite good as wemet

a lot of people, but I also heard in past

that it used to be more interesting and a

bigger fair.

Elad Ben Zion Vered and

Zeev Binenfeld, Fox Wizel

Ltd., Israel

About the company: The company

which is 40 years old has 600 stores in

Israel and across theworld.

Sourcing from India: Our company is

sourcing from India for the last 15 years

and is also working with China and

Bangladesh in knitted as well as woven

products like ladieswear and Tees.

Current market/future plans: Market

is amazing for us and we are growing at

least 20 per cent every year.

About the IIGF: The fair should have

more participants from Tirupur or at least

from those manufacturing hubs making

Tees. Whatever manufacturers are

here, are showing more or less the same

designs and fabrics. Even I buy more

products/variety from India as compared

to the displayed variety at this fair.

George Zheng, Merchandising

Manager – Apparel, ICA Global

Sourcing (Shanghai) Co. Ltd.

The company: The Swedish company is

having 2,600 retail stores and sourcing

offices in and around Shanghai,

Hong Kong, Bangladesh and Vietnam.

It is sourcing all kinds of garments.

Sourcing from India: I am looking for

some new Indian suppliers for apparel

and accessories since it is my first visit

to IIGF. I feel the show should have even

more knitted garment suppliers. We are

working with Tirupur-based suppliers but

1 3

2 4

India records positive growth in quantities in its exports to EU

J a n u a r y - O c t o b e r 2 0 1 6

According to the world economists, the EU economy outlook will remain stable all through the year. The old

problems such as unemployment, the increasing old age population and persistent inflation are limiting the retail

growth to around 2%. The approaching elections in four countries – France, Germany, Netherlands and Japan – are

also an impediment to growth. However, among all the retail formats, discounters and niche market specialists will

continue to grow, so will the e-commerce market.

4.76%

Total Increase in Volume

0.48%

Total Decrease in Value

[The information has been extracted from

EU custom site and further analyzed.]

Global apparel imports by the EU during

Jan.-Oct. 2016

EU registers positive growth in import of jackets and blazersEU noted surge in jackets and blazers import both in value and volume.

Value increased by 1.09% while volume rose by 7.20%.

India registers negative growth in exports of sweatersIndia holds some good record in sweater exports but the country saw

marginal negative growth of (-) 0.29% in quantities during the defined

period, while the value decreased by (-) 6.26%. However, in the

same category, Bangladesh saw growth of 6.91% in value and 12.39%

in volumes.

1

2

EXPORT STATISTICS

Quantity

5.84%

Value

0.57%

Quantity

3.42%

Value

0.38%

Change in Woven

Apparel imports by EU: Selected countries (Qty. & Value in mn Kg & mn Euro)

Percentage Decrease in UVR

5.00%

Average UVR in first nine months of

the year was Euro 17.28 per kg of

fabric equivalent

Change in Knitted

Country/Category

Jan.-Oct.2015 Jan.-Oct.2016 %Increase/Decrease

Qty Value Qty Value Qty Value

WORLD

Knitted 2090.53 33934.89 2212.54 33740.64 5.84 -0.57

Woven 1678.28 34618.76 1735.71 34486.98 3.42 -0.38

Total 3768.81 68553.65 3948.25 68227.61 4.76 -0.48

CHINA

Knitted 765.28 11844.79 769.80 10710.61 0.59 -9.58

Woven 744.73 13819.31 739.11 12700.63 -0.75 -8.10

Total 1510.01 25664.10 1508.91 23411.24 -0.07 -8.78

INDIA

Knitted 127.99 2213.90 137.79 2230.30 7.66 0.74

Woven 86.89 2265.27 87.87 2240.24 1.13 -1.11

Total 214.88 4479.17 225.66 4470.54 5.02 -0.19

BANGLADESH

Knitted 530.34 6832.77 585.38 7208.20 10.38 5.49

Woven 305.31 4918.27 337.99 5370.29 10.70 9.19

Total 835.65 11751.04 923.37 12578.49 10.50 7.04

SRILANKA

Knitted 40.34 772.99 47.38 736.93 17.46 -4.67

Woven 25.48 574.37 21.43 497.07 -15.89 -13.46

Total 65.82 1347.36 68.81 1234.00 4.55 -8.41

PAKISTAN

Knitted 73.36 796.72 81.81 883.50 11.52 10.89

Woven 76.99 1112.16 82.33 1144.76 6.94 2.93

Total 150.34 1908.88 164.14 2028.26 9.17 6.25

VIETNAM

Knitted 32.16 652.39 35.11 751.17 9.18 15.14

Woven 72.75 1683.78 75.52 1753.12 3.81 4.12

Total 104.91 2336.17 110.64 2504.30 5.46 7.20

Legwear, new category of strength for Vietnam and IndiaIn the first ten months of the year, exports of legwear by Vietnam

registered growth of 150.21% in volumes, while the growth in value

was 57.98%. India too saw an increase of 30.05% in value and

37.42% in volume.

Trousers, a down-falling category for ChinaChina faced downward trend in its trousers export to EU. Values

fell by (-) 14.49%, while quantity wise trend was also down by

(-) 4.70% during the review period.

EU sees stellar growth in ladies blouses importsIn the first ten months of the year, imports of ladies blouses by EU

registered growth of 9.00% in volumes, while the growth in value

was 1.83%. India, Bangladesh and Vietnam noted considerable

boost in the exports in this category during the review period.

China faces negative growth in babies wear exportsChina registered downfall in exports in the babies wear category to

EU. China saw a decrease in volumes of (-) 8.66% while values

were down by (-) 11.61%. During the same period, India registered

gains of 14.50% in value and increase of 24.05% in volumes.

Bangladesh sees growth in exports of ladies dressesBangladesh surged its export of ladies dresses to EU by registering

growth of 30.50% in value and 34.63% in quantity. EU also

registered gains in the value of imports by 1.26%, while volumes

increased by 7.92%.

Undergarments, a straightening export from VietnamUndergarment exporters in Vietnam are achieving heights and this

is evident with the increase in exports of the segment which saw

64.94% growth in quantities, while value of exports increased by a

whopping 72.22%.

3

4

5

6

7

8

Item-Wise Quantity Increase/Decrease in Apparel Imports by EU: Jan.-Oct. 2016 (Qty. in mn kg)

Item-Wise Value Increase/Decrease in Apparel Imports by EU: Jan.-Oct. 2016 (Value in mn Euro)

APPAREL TYPE

Total Imports byEU

Exports toEU

China India Bangladesh Vietnam

2015 2016 %Change 2015 2016 %Change 2015 2016 %Change 2015 2016 %Change 2015 2016 %Change

BabiesWear 101.16 103.95 2.76 44.40 40.55 -8.66 12.92 16.03 24.05 24.67 25.08 1.63 0.96 0.99 3.52

Foundation Garments

44.79 45.32 1.17 28.92 28.23 -2.39 0.24 0.26 8.89 3.74 4.78 28.08 1.06 1.25 17.90

Jackets &Blazers 99.44 106.60 7.20 54.91 56.76 3.38 1.87 2.22 18.59 6.41 8.37 30.63 8.15 8.41 3.17

Ladies Blouses 89.59 97.65 9.00 27.12 28.64 5.60 17.85 19.90 11.49 11.36 13.61 19.89 4.12 4.46 8.44

Ladies Dresses 134.17 144.80 7.92 54.83 55.55 1.32 18.45 18.59 0.77 12.31 16.58 34.63 3.53 4.12 16.74

Ladies Skirts 41.37 39.84 -3.70 14.47 15.16 4.72 3.88 2.97 -23.66 6.28 6.06 -3.48 1.30 1.39 7.02

Legwear 156.25 167.70 7.33 81.18 87.05 7.23 1.35 1.86 37.42 1.59 1.65 4.02 0.22 0.54 150.21

Men's Shirts 234.38 230.61 -1.61 44.89 39.14 -12.82 21.72 21.14 -2.67 88.66 92.60 4.44 9.39 9.25 -1.48

Nightwear 126.39 131.25 3.85 54.21 53.49 -1.32 21.92 23.21 5.88 17.90 21.36 19.28 2.58 2.15 -16.77

Suits /Ensembles 39.46 38.83 -1.59 23.87 22.15 -7.21 1.70 1.64 -3.29 1.92 2.34 22.04 0.54 0.47 -12.58

Sweaters 458.31 483.67 5.53 193.73 194.04 0.16 10.70 10.67 -0.29 122.47 137.64 12.39 5.96 5.90 -0.97

Trousers 897.84 941.40 4.85 260.54 248.30 -4.70 32.49 35.05 7.90 258.34 288.57 11.70 28.14 29.47 4.71

T-Shirts 493.50 506.25 2.58 64.10 58.91 -8.10 41.79 44.03 5.37 224.04 236.27 5.46 5.55 5.83 4.99

Undergarments 85.22 91.01 6.79 38.92 39.56 1.65 12.69 13.44 5.88 14.54 17.31 18.99 0.75 1.24 64.94

APPAREL TYPE

Total Imports byEU

Exports toEU

China India Bangladesh Vietnam

2015 2016 %Change 2015 2016 %Change 2015 2016 %Change 2015 2016 %Change 2015 2016 %Change

BabiesWear 2047.47 2059.31 0.58 906.24 801.02 -11.61 295.95 338.85 14.50 428.35 440.06 2.73 23.16 22.84 -1.37

Foundation Garments

1588.23 1569.55 -1.18 839.36 781.62 -6.88 15.35 14.45 -5.85 137.62 160.23 16.43 51.94 71.29 37.25

Jackets &Blazers 2326.10 2351.48 1.09 1107.19 1032.62 -6.73 49.90 53.61 7.44 104.04 136.73 31.42 174.81 187.75 7.40

Ladies Blouses 2760.03 2810.62 1.83 814.07 764.15 -6.13 596.18 610.09 2.33 256.53 290.15 13.10 89.19 94.36 5.80

Ladies Dresses 3682.87 3729.23 1.26 1548.13 1453.66 -6.10 513.13 495.41 -3.45 191.44 249.83 30.50 79.48 89.50 12.60

Ladies Skirts 902.83 867.53 -3.91 323.54 302.58 -6.48 86.74 80.25 -7.49 91.42 91.94 0.57 25.25 27.67 9.57

Legwear 1615.87 1650.14 2.12 639.27 619.68 -3.06 17.86 23.22 30.05 17.38 17.77 2.22 4.13 6.53 57.98

Men's Shirts 4795.53 4552.50 -5.07 932.51 762.70 -18.21 483.90 460.25 -4.89 1368.70 1383.93 1.11 235.96 235.67 -0.12

Nightwear 1479.04 1431.70 -3.20 566.54 487.25 -14.00 277.30 274.14 -1.14 206.30 235.53 14.17 22.81 22.94 0.58

Suits /Ensembles 642.37 606.32 -5.61 263.44 230.97 -12.33 30.77 30.41 -1.16 25.83 29.51 14.23 8.18 9.11 11.39

Sweaters 8519.31 8310.44 -2.45 3826.57 3417.89 -10.68 202.49 189.82 -6.26 1759.61 1881.13 6.91 113.57 113.90 0.29

Trousers 14829.69 14915.88 0.58 3490.36 2984.57 -14.49 561.68 585.56 4.25 3639.16 3952.40 8.61 521.95 553.76 6.09

T-Shirts 7784.04 7675.55 -1.39 1166.11 1008.90 -13.48 723.19 721.33 -0.26 2577.39 2586.31 0.35 115.21 128.56 11.58

Undergarments 1124.28 1125.61 0.12 427.53 380.73 -10.95 166.06 160.73 -3.21 191.15 226.12 18.29 16.90 29.10 72.22

Japan Apparel ImportsJ a n u a r y - O c t o b e r 2 0 1 6

Japan’s apparel imports still not seeing a positive trend

The world’s third largest economy has been battling deflation for 20 years. The Japanese Government’s plans, such as improving the labour

participation rate, working on apparel business inconsistencies and pushing Japanese companies to stop saving their profits but invest them

instead, have so far failed to spur faster growth during the period Jan.-Oct. 2016. Though, holidays and festive season were about to knock

the doors, yet Japan’s demand of apparels did not boost up the graphs during the period.

Continuing the downward trend, India

registered negative growth during

the review period. Value of exports

was down by (-) 12.30%, while the

volume also fell by (-) 6.22%.

IndiaExports

The country saw increase in

volume of exports to Japan

by 34.80% while values also

increased by 9.76%.

BangladeshExports

During the period under review, the

country registered a growth in

quantity of exports to the Japanese

market. Volume was up 8.74%,

while value was down by (-) 2.49%.

Vietnam Exports

The country continues to see a setback

in exports to Japan with decline of

(-) 16.50% in values, whereas it

registered downfall in the volume of

exports by (-) 1.37%.

ChinaExports

Pakistan records 1.65% decline in textile exports to US

Textile industry, the largest foreign exchange earning sector of Pakistan, has witnessed a decline of 1.65% to US $ 6.156 billion in exports in the first

half of the current fiscal. Despite an improvement in export earnings from value-added sector, textiles export failed to grab a growth in Pakistan,

this was announced by the Pakistan Bureau of Statistics (PBS). Pakistan exported textile worth US $ 6.259 billion in the corresponding period of the

last fiscal year.

The textile sector of Pakistan has an overwhelming impact on the economy, contributing 57% to the country’s exports. Pakistan has inherent advantage

of being 4th largest producer of cotton in the world. In a bid to improve exports, Pakistani Government recently announced an export incentives scheme

of Rs. 180 billion for five export-oriented sectors, includingtextiles.Tra

de

Up

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Quantity Value

12.49%

0.87%

12.01%

0.82%

11.55%

0.83%

14

12

10

8

6

4

2

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2

4

6

8

10

12

14

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Knitted Woven Total