apparel resources

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vol. Xv Issue 12

8 Apparel Online India | SEPTEMBER 16-30 2012

Salut ingTeachersA Teacher’s Day SpecialA tribute to all the teachers who are most often our guides and help us recognize opportunities disguised as hard work which common people fail to see...

Tex-Fi leDebut Show Indigo for DenimThe strong demand of denim wear has been constantly and continuously fuelling capacity expansion in denim fabric...

Trends2013Trends in Buttons and Zippers...Used for a specific purpose of functionality and imparting closure to a garment, Zippers and Buttons have moved far beyond the traditional and the regular, in contemporary times...

H2FGHCL Evolving its Business Module From Commodity to Performance &

Specialized Bed SheetsOver two decades since its inception, GHCL has positioned

itself as one of the major players for sheeting in India...

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FashionBusiness‘Pure London’ Hints A Better Market For

Spring/Summer 2013Known to be one of the most popular fashion trade events of UK,

the recently held 32nd edition of ‘Pure London’ attracted a mega display of over 1000 brands...

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CONTENTSSeptember 16-30, 2012

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BuyerPerspect iveNow it’s not only India…

Buyers Stretching Boundaries to Include Bangladesh, Sri Lanka and Pakistan

Customers worldwide are no longer looking at sourcing in compartments as trade becomes seamless and without boundaries...

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10 Apparel Online India | SEPTEMBER 16-30, 2012

The AEPC is organizing BSMs in many countries including Japan, Russia, South America, Israel and US (New York) to promote garment exporters in relatively unexplored markets… Do you not think it would be more productive to hold small shows in India and invite buyers so that a larger number of exporters can benefit, rather than taking delegations, the better way to penetrate a new market?

Rajeev Singhi, Partner, gad Fashion, jaipur

According to me, there is no need for

small shows in India and more of such events

would just dilute the crowd. As far as business

transactions are concerned, we already have

enough platforms and buyer-seller-meets in

India for the exporters and buyers to interact.

And so, as long as the season is right and the

time is right, the exporters and the buyers

will fall in place as well. If we talk about the

international fairs, Indian exporters don’t really

participate in all of them and visit very limited

fairs like Osaka in japan. BSM’s abroad generate

good and genuine business for the exporters

and so we don’t need the count of these meets

to increase but, the authenticity to be better.

And this is not only meant to be practised in

India and is important for the meets organized

abroad as well.

Biswajit Roy, Partner, jay Maa Export, Kolkata

I personally don’t think having buyer-

seller-meets in India is a good idea. For the past

2-3 years we have been participating in BSMs

and similar fairs in India and I’ve not seen many

buyers at the events. The response to the BSMs

is better abroad as the exporters and buyers are

much selected. I’m not against having fairs in

India. It is only that new buyers have not been

coming for the fairs in India. Leave alone the

new buyers; the existing buyers haven’t been

coming either. Therefore, I really think it’s better

if BSMs happen abroad and not in India.

Reena Patial, Managing Partner, Reet Fashions, New Delhi I really think having

similar buyer-seller interactions in India itself should be a very good idea. This way a larger number of exporters will benefit from it and not the selected few being sent by AEPC abroad. But nevertheless, due to recession, the industry is undergoing a very hard time and hence this is not the appropriate time to practice such a thing. Such topics are fine for discussions but we have to see the current circumstances also before acting upon anything. One can’t even think of coming up with new fairs at the moment considering the investments. As it is, the response in the existing fairs in India has been below average and the footfall has been extremely low for some time now. New set of such shows is pointless currently.

TO P I C O F D E B AT E

MINDTREE

SEPTEMBER 16-30, 2012 | Apparel Online India 11

International container carriers have hiked their shipment rates in order to pull the global shipping industry out of choppy waters. While the move has helped breathe life into the shipping industry, it has become a huge concern for the Indian exporters. How bad could this step hurt the export market which has already shrunk in recent times coupled with the global slowdown?

Virat Kumar, Partner, Zinnia India, Noida

AEPC has been sending delegations

of 20-50 Indian exporters abroad for fairs

happening there, but only a small number

of people have actually benefited through

them. But what I really think could be a better

idea is if delegations of selected and genuine

buyers are invited here instead. These selected

few buyers when they come to India and visit

exporters during these meets, they will be able

to themselves see our infrastructure and the

standards. Lately buyers have been blindly

going to our competitor, China, to place orders.

By inviting buyers to examine work of our

export fraternity, they’ll get an opportunity to

compare us to China which would help in their

decision making. This is what I believe AEPC

should work towards. It would be fair and just.

Akshay Sadh, general Manager, Essay

Fashion, Farrukhabad BSMs in India

will not do as well as they do overseas. Buyers

haven’t been coming to India for some time

now. We have 4-5 fairs in India where exporters

interact with buyers and those fairs are full of

all kinds of exporters from the country, i.e. big

and small. We get a decent response there but

more of such kinds will be pointless. It would

absolutely dilute the seriousness of business.

Also, I think the BSMs overseas, when organized

by organizations like AEPC, do much better. The

kind of the buyers and sellers we meet there

are authentic.

Pankaj Khanna, Director, Hindustan Creation,

Noida I do not believe having shows

to promote exporters like this would have

a benefiting impact. When we participated

in shows like IIgF, which is the largest buyer-

seller-meet in India, we noticed that buyers and

sellers aren’t really categorized. Women’s wear,

menswear, accessories, and jewellery, all are

present for the same fair at the same platform.

It is silly to have a menswear exporter setting

up a stall where only women’s wear buyers are

coming in. Trade fairs overseas are very much

sorted. The buyers and exporters are very

specific, even though few in number the buyers

that come in are genuine. That’s why I really think

that AEPC is sending these selected exporters

overseas for well established fairs which are

becoming a better and more trusted affair.

Write your comments to us by 21st September 2012 at: [email protected] or post your views online through our website: www.apparelresources.com

Q U E S T I O N

MINDTREE

mindtree


A Teacher’s Day SpecialA tribute to all the teachers who are most often our guides and help us recognize opportunities disguised as hard work which common people fail to see. Hope you all had A HAPPY TEACHER'S DAY...

SalutingteaCHerS

Dr. Darlie Koshy DG & CEO, IAM & ATDC, Gurgaon

Memories that made me proud…The most significant one is that of Rahul Mishra, Apparel Design student of NID at that time and now a celebrity Fashion Designer, in a public meeting of over 3,000 he touched my feet before receiving the award for the ‘Best Designer’ in Mumbai at a CMAI’s grand annual function. I am also touched that designers from NIFT like J.J. Valaya, Sabyasachi, Raghuvendra Rathore, Rajesh Pratap Singh etc., though never have been directly taught by me, address me as Sir.

My Achievers…There are many who have done well from the Apparel Marketing and Merchandising/Fashion Management programmes at NIFT, New Delhi which I was heading from 1988 to 2000, viz. like Sanjeev Mohanty, MD, Benetton; Ashish Grover, VP, Raymonds; Gaurav Mahajan, COO, Westside; Atul Ujagar, MD, Nike; and outstanding lady students like Smita Ahuja, ManjulaTiwari, Preeti Mahajan, Aradhika Mehta, Sucharu Mahajan...

Education today…Education is moving from being ‘elitist’ and exclusive as was perceived earlier from the examples of IIM, IIT, NID & NIFT to a system of more democratization of talent, skills and knowledge in the recent years with access and affordability, redefining the system.

“The relationship of a student and a teacher changes through different levels. At the level of Under Graduates students, the

best is to assume the relationship of a ‘teacher and the taught’ and for Post Graduates that of a ‘guide and mentor’ and beyond that of a ‘senior colleague and acquaintance’.”

Dr. Prabir Jana Professor, National Institute of Fashion Technology, New Delhi

Memories that made me proud…

I remember negotiating with an organization in Indonesia to accept few of my NIFT-GMT students as interns. During the process, I appreciated so highly of the students that the organization could not say no and during the final acceptance one of their Directors commented, “Your organization should take pride in such teachers.” I felt I did my duty that day.

My Achievers…

All students are my favourite, particularly those who are keeping the NIFT flag high. Some are working in factories, some are working in offices, and some decided to take up the noble profession of teaching. All are contributing to the society the best way they can... and which is the essence of being a NIFT-ian.

Education today…

With time everything has changed; new generation of students’ expectation has changed, technology as enabler has gone for a sea change, and we teachers still feel education system remains same. The curriculum change is not enough; the whole concept may require change.

“From Guru-Shishya relationship during the 90’s when I started teaching, to a friend-philosopher-guide relationship, it has really

changed. In the coming years the physical entity of teachers will become insignificant and teachers ‘participation in students’ endeavours’ is what that will be counted for…”

Sr. Prof. Banhi Jha Dean, National Institute of Fashion Technology, New Delhi


I remember a student of modest means who hailed from a small town. Yet his motivation level, extreme diligence and will-power helped him to also transcend his physical limitations. In the final semester Design Collection, he won several awards, becoming a role model for his juniors. I am so proud at such moments to have contributed to his development process at the critical stage.

My Achievers…

While there are those in FDCI and LFW, there are others who are in decision-making positions of authority in different organizations, have made commendable contribution to the industry and are achievers in their own right. Among those designers who are the most well-known today are Manish Arora, Rajesh Pratap Singh, Sabyasachi Mukherjee, Puja Nayyar, Gaurav Gupta, Amit Aggarwal, Shalini and Paras...

Education today…

“The old order changes the yielding place to new,” wrote Kipling. Change is the only constant; so it is with fashion education. Earlier NIFT awarded Diplomas and now awards its own Degrees, has 15 centres and PhD programs. The academic rigor is still in place as is our commitment to providing the best fashion education in the country.

“The student-teacher relationship is a dynamic one. It is wonderful to interact with bright, unfettered minds brimming with enthusiasm.

Their capacity for original, unconventional thinking makes teaching a simultaneous opportunity for learning by teachers.”

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Dr. S Dhamija Associate Professor, Head – Textile Technology TITS, Bhiwani

Memories that made me proud…Once there was a student who didn’t take interest in studying my subject. Even he did not appear for the class tests due to which he failed in that particular subject. With my little effort, I made him realize that he can score better if he chalks out a plan. To my surprise he met me in the corridor of the Institute one odd day with his Detailed Marks Certificate and showed me with the saying – “Sir, see with your advice I have scored more than 75 marks in your subject.” This touched my heart and I really felt proud.

My Achievers…The list of achievers during my teaching span of last 26 years is too long. However, I can specifically mention some names as Deepender Hooda (MP), Kaushal Raj Sharma (IAS), Rajeev Mehani, Parveen Dhingra, Vijay Kumar Puniani, Yogesh Parkash, Puneet Chawla, Vikas Chachra, Guneet Chawla, L N Kaushik, Sadanand Gupta, Sandeep Dahiya, Sanjay Chawla, Harit Sardana and the list goes on and on…

Education today…Earlier the education was for drawing happiness and aesthetic pleasure and now the system seems to be working for monetary benefits. The advances in technology have made all information available on finger print and the role of a teacher is largely reduced so far as the transmission of information is concerned.

“A student and a teacher relationship is just like that of a parent and a child relationship. The only difference between the two is, while a

parent the teaches the child how to walk, it is teacher who shows him/her the path to walk.”

Usha Nehru Patel Professor, Head of Foundation Design, Interior Architecture & Product Design Departments, Pearl Academy of Fashion, New Delhi

Memories that made me proud…While attending a recent exhibition with an exclusive invite list, I was totally clueless of who the chief guest was, as the group eagerly waited for him. When he arrived, I managed to catch a glimpse of him and even though he looked familiar, I could not place him. He kept on looking at me throughout his inaugural speech and came up to me right after it ended. He hugged me and said, “I know I was not a good student of yours but I always loved your classes. I still remember all your classroom teachings and what you used to say about design learning and its problem areas, and I still implement those lessons while designing in my studio. Now see where I am…, I am a successful designer.” I felt a kind of electric shock running through my body and gave him a big hug.

My Achievers…To name some well-known… Kakoli Bannerji, Nitin Bal Chohan, Varuna Sadana, Amit Aggarwal, Paras and Shalini, Alpana Niraj, Gaurav Gupta, Konia Khanna.

Education today…Education is no more like dispersing knowledge and information. It is now more interactive and participative where students and teachers are partners in learning. They jointly nurture a healthy partnership and play active role learning from challenges and demands of time.

“A student-teacher relationship is a bond, a connection which is developed through positive and open communication of mutual

learning from both partners. This bond serves creating a better environment for shared learning which gradually helps students to grow into individual personalities.”

Prof. (Dr.) Pradeep Joshi Director, Amity School of Fashion Technology & Amity School of Fine Arts, Noida


You tend to cherish the appreciation, efforts, encouragement and guidance of faculty members even long after the completions of the studies. The teachers also remember performance and traits of all students in a batch even after many years. This relationship is beyond the institutions and makes a personal bond between teacher and students that makes everyone proud.

My Achievers…

The students who have been taught by me are having leading positions in organizations including ROCKPOT, SATYAPAL, LIFESTYLE, PANTALOON, WOODLAND to name a few. There are the students who have become experienced faculty members in the Fashion Institutions including at NIFT.

Education today…

The need of the hour for education system offering programme for Textile and Apparel Sector is to keep connection with global scenario and understand requirement of the industry from professional. The need is for students who are willing to take challenging role and perform. “The aim is to create leaders and innovators who can provide a new direction to industry”.

“Based upon my experience, the linkage between the role of a teacher and the students is continuous process of learning and sharing

which remains much beyond the duration of the course, and marks a relationship of a lifetime...”

Education is no more like dispersing knowledge and information. It is now more interactive and participative where students and teachers are partners in learning...”

SalutingteaCHerS

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Nandita Abraham PV-P Marketing & Corporate Relations, Pearl Academy of Fashion, New Delhi


I have felt most proud when those students who never thought they could achieve success, realized that they can. The look of confidence and accomplishment in a student’s eyes is priceless. I do not know of any other profession that can make you feel as proud.

My Achievers…

There would never be enough places for my list of favourite students; I have been at the Pearl Academy for 11 years. To me an achiever is one who through his honest work is impacting the world around him responsibly – creating ideas, generating employment, making the world a better place to live in. And our young people do this so well.

Education today…

Education today is one of the most dynamic, vibrant and evolving systems that there is... Teaching is no longer the core – it’s all about learning and the learners. Education is student-centric and all pedagogy aims at developing holistic learners. Trained as ‘Educators’ and not just a faculty, it enhances the learning environment and the development and management and of the same. It is my privilege and honour to be a part of Education today.

“A teacher’s role is simply to create an environment which empowers each individual student to learn and motivate the student to do his/her

best – the students are amazing and will do all the rest. A teacher-student relationship is one of the most challenging and mutually fulfilling relationships possible.”

Indu Sodhi Course Coordinator – Textiles, INIFD Hauz Khas Center, New Delhi


Once while taking class, I was disappointed with my students for their colouring skills, so gave them a demo. Quite some time after this batch had passed out from my college, one fine day, I received a courier package having some printed running lengths and stoles. Enclosed with this, was an heartfelt letter written by Deepak Narang from this particular batch and a few laminated sheets of artworks. Deepak had written in his letter “Ma’am, I have saved these sheets after your class that day and practiced a lot...” The printed running lengths were his concepts and artworks.

My Achievers…

Some of my favourite students are Deepak Raj, Amita Saini, Vipul Asija, Sachin Mathur, Aditya Khandelwal, Yashwardhan, Navin, Anshu, Giri, Deepak Narang, Narayan, Sudhakar, Robin Raj, Kabir and many more...

Education today…

We are all aware of lots of technology involved in education today which makes teaching and learning easier, faster and more competitive. But teaching is still challenging because these days, students have a bit lesser patience and prefer to produce output with lesser efforts.

“In my belief professional studies are based on sharing knowledge and industry experience by the teacher reciprocated with student’s

faith on the teacher. My experience is of earning respect and that student’s success is based on this mantra.”

Romanie Jaitly Faculty of Textile Design, Co-Ordinator, Textile Design Discipline, National Institute of Design, Ahmedabad


Incidents that have shown their capacity for being good human beings apart from becoming just professionals have been the ones that have touched me the most…

My Achievers…

There are many such students who have done well in different ways – some as professionals and some as business persons and successful entrepreneurs.

Education today…

Change is inevitable but we do have many good educational institutions in our country which we as a society need to nurture. It is these educational institutions which after all are the foundation of the future in our country.

“The role of the teacher is that of imparting education and more importantly communicating knowledge effectively. The ability to awaken

the students’ interest often hinges on the attitude of the teacher and their ability to communicate with the student.”

Education today is one of the most dynamic, vibrant and evolving systems that there is... Teaching is no longer the core – it's all about learning and the learners...”

SalutingteaCHerS

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Next Plc, UK’s second-largest clothing retailer, was successful in increasing its annual

profit forecast after reporting first half sales that rose above the analysts estimations. Driven by a surge in online and catalog sales, Next posted a 6.6 per cent rise in its pre-tax profits and the retailer raised its profit estimation to $ 976 million dollars for the current financial year. Next Directory, the company’s online and catalogue business, was the biggest contributor to Next’s better-than-expected results, accounting for a third of the company’s sales and 44 per cent of its operating profits. Overall sales of Next Directory including both apparel and non-apparel products were up by 13.3 per cent on last year.

The UK retail sector has been hit hard by a stream of negative retail figures in recent weeks as per the reports of the British Retail Consortium, showing a decline in the number of outlets for the first time in four years. M&S, UK’s biggest clothing retailer by sales’ reported a slump in first-quarter sales this

year and Tesco, world’s No. 3 retailer, issued its first profit warning in 20 years. Despite the prevalent market circumstances, Next was amongst the few retailers that were able to register better-than-expected sales, and a lot of credit for the same goes to the brand’s business model. In the vein of its larger European peers Zara and H&M, Next’s business model proves to be complementary to profits during times of economic crunch, as shoppers struggling to meet the ends turn to cheaper options, cutting down on expensive products.

Though, Next’s fashion credentials are not as strong as Zara or H&M, its tight control of costs, particularly sourcing cheap raw materials has led to consistently strong earnings by the brand. In addition to that, the company’s ability to find profitable new markets also proves to be a help in recessionary times.

Even with the strong online sales, the brand had been actively working towards its retail channel to sustain and perform better, Next outfitted

the British athletes of Team GB (Great Britain) and Paralympics GB in the ceremonies. Improving and developing Next product ranges has always proved beneficial for the brand’s sales performance. Moving on with the same thrust, the new range of lines by Next in 2012 included maternity wear, work wear, a sleepwear range and kids wear collection. Though still criticized by some for its pricing, the brand is working hard to offset the increasing manufacturing costs by sourcing its products from new, cheaper suppliers and putting pressure on the existing ones to control costs.

According to observers, the key strength of the brand lies in the company’s adaptability, which is crucial in the ever evolving retail market. In addition to sustained sales growth, Next has been very strong, not bowing to competitive pressure to cut prices early and erode margins. Despite the success chart, Next is being very cautious for the remaining year to maintain their sales, as predictions indicate that the economy and sales will be anaemic in the second half of the year.

Next Retail: A chain of 500+ retail branches and counting.

Next Directory: A home shopping catalogue and Website with more than 2 million active customers.

Next International: With 180+ international stores.

Next Sourcing: For own brand products; Lipsy, which designs and sells its own fashion products through wholesale, retail and Website channels.

Where on one hand bad weather and weakening economy has affected the footfall of many brick-n-mortar stores in the UK, weeks of rain has actually boosted Next’s online business. With the shoppers turning away from the high street to their computers for their latest purchases, Next’s total garments sales online for the first half were up 4.5 per cent against last year, while the retail sales for the same were up only 0.2 per cent that too because of their new stores, compensating the lower sales from the high street, thus presenting a very decent all-round performance.

bucks recession…

Next’s business model

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H&M Group has put

a global ban on the use of Perfluorinated Compounds (PFCs) across its supply chain

from 1 January 2013. PFC’s that are used to achieve water repellent function mainly on outer wear garments proves to be harmful for the environment and reproduction. The brand claims to be working on alternative treatments to fulfil its demands on water repellence, while maintaining a good environment and health properties for the consumer chain.

Elsewhere, H&M’s most recent sustainability report claimed that it has used more certified organic cotton than any other company in the world in year 2011, and reaffirmed the retailer’s commitment of procuring 100 per cent of its cotton from sustainable sources, including Better Cotton, Organic Cotton and Recycled Cotton by the year 2020. The year 2011 also witnessed the H&M stores using products made from Better Cotton reach, while the company also reduced CO2e emissions by 5 per cent relative to sales by cutting air transport, improving energy efficiency in stores and offsetting.

H&M bans the use of PFC across all its products…

Puma’s First “Sustainable Store” in India…

Opened in a suburb in Bangalore, Puma, the sports retailer has

revolutionized the concept of retail space with their new sustainable outlet. More than 90 per cent of the interior of the store has direct access to natural light and for the other requirements, the 100 per cent solar-powered store relies on a phalanx of photovoltaic cells, enough to generate 10,384 kWh units of energy a year.

The stores architecture comprises of recycled steel from old electronics,

bicycles and tiffin boxes; and for its furniture and fixtures, the company has used recycled wood and low volatile-organic-compound paint for the walls. But the stores sustainable credentials are not limited to its décor, the space will also retail a range of products made from organic cotton along with Puma’s “Wilderness Collection”, a line of apparel, footwear, and accessories primarily sourced and manufactured in Kenya from sustainable materials.

Outdoor Apparel with recycled insulation…

Luxury Italian label Ermenegildo Zegna and active wear brand

Geox have recently launched their collections made by using recycled thermal insulation material from Thermore. While, Zegna Sport’s Autumn/Winter 12-13 collection is equipped with Thermore TMK, made up of 50 per cent recycled post-consumer polyester, Geox has used Thermore Rinnova, the thermal insulation made using 100 per cent

post-consumer recycled polyester for its Performing Concept Collection. All the garments in the collection comprises of qualities like high performance, wind breaking and waterproof. Designed to withstand intensive use, the garments have ultra light-weight technological thermal insulation that guarantees high insulation power, keeping the body at its natural heat and making the garment as soft as a feather.

SuStainability

PFCs across the brand’s supply chain has been banned

Researchers explore alternatives for Mulesing…

After coming under the

scanner and renewed pressure from leading European and US textile and clothing retail industry associations in a bid to outlaw the practice of mulesing sooner rather than later, the Australian wool industry has started to explore options for the process.

Skintraction, the new alternative for mulesing is already in its early research and development phase and has shown some encouraging results for both breech modification and welfare. The technology involves a needle-free intradermal treatment of sodium lauryl sulphate, a harmless surfactant

currently widely used in toothpaste, shampoo and lotions. During the process, this is administered to the skin, breaking down the vascular structure and the nerves in that piece of skin, causes the skin to go hard and form a hard scab which effectively stops wool from growing. The application is said to involve very little stress for the animal and contains powerful local antiseptic, benzol alcohol.

Researchers are now working on skintraction as an alternative for mulesing

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fibre to finished product with capabilities to do a product range from basics to high-fashion in various product categories. “The region as a hub is a paradise with each country having core strengths. While India and Pakistan are fully integrated with India scoring on design, Bangladesh has cheap labour and Sri Lanka the efficiencies,” says Deepika. Between the countries there is labour cost advantage, GSP advantage, raw material availability, product strength to do almost any category including home furnishing and leather, articulation on design, and to top it all the communication skills to understand and feed the buyer.

Yet there are many challenges, the two most important being poor infrastructure and the

reliability factor with vendors in India and Bangladesh, particularly overbooking and failing to meet deadlines. “It has almost become a culture; this has to change,” argues Deepika. She is also critical of the transaction approach to business as against a more strategic approach where business is not build from ‘order’ to ‘order’ but as a basket of key products, wherein the profitability is on the basket not a product.

Going forward, Deepika emphasizes that changes are happening; in India, she points out that roads between cities are almost at par with those found in western countries. Also, more and more factories are moving towards self-certifications, fully committed to issues of sustainability.

However, she does point out that the buyer is yet to fully participate in the evolution, though they are leading the change, but to some extent she blames the ‘lowest cost module’ for the chaos. “In a meeting held recently, some exporters from Bangladesh wanted buyers to give them

better prices so that they could increase the wage rates, while some progressive brands did agree asking the vendors to quote the ‘first lowest cost’, it was found that the same varied from vendor to vendor,” avers Deepika.

“How can you expect the buyers to pay more when vendors themselves are undercutting. There is need for all the vendors to get on a common platform and work out a universal ‘costing’ system so that the buyer is compelled to pay the price,” reasons Deepika. She gives the example of the time when rising yarn prices made costing impossible and all sourcing destinations across the board demanded a revision of the price structure and buyers had to comply.

Customers worldwide are no longer looking at sourcing in compartments as trade becomes

seamless and without boundaries. Today, the four countries in the Indian subcontinent –

India, Bangladesh, Sri Lanka and Pakistan – are considered by most buyers as one identity

and together they are the fastest growing sourcing hub in the world. Highlighting why

the future of garment sourcing is bound to centre on the sub-continent, Deepika Rana,

Executive Vice-President and Country Director, Li & Fung, India is very upbeat of

growth, despite the current market slowdown…

Now it’s not only India… Buyers Stretching Boundaries to Include Bangladesh, Sri Lanka and Pakistan

On the outset, Deepika openly admits that

sourcing from India without including Bangladesh is unviable. Quoting from Shakespeare, Deepika says, “There is a tide in the affairs of men. Which, taken at the flood, leads on to fortune…” Equating the current market scenario to a flood, Deepika is confident that the ‘time’ for the industry has arrived. “Behind all the doom and gloom stories that we hear, there is a fundamentally strong and resilient economy, which is conducive to both consumerism and production,” she says. However, there are challenges, but not ones that are unsurpassable and there are processes and disciplines that need to be adopted.

Today the Indian subcontinent is the fourth largest economy at US $ 5.5 trillion GDP, behind 27 EU countries, US, and China with strong financial regulatory systems in place and controlling 35 per cent of world cotton production, of which 25 per cent is coming from India. Also present is a vertically integrated supply chain from

buyerperSpeCtive

“The region as a hub is a paradise with each country having core strengths. While India and Pakistan are fully integrated with India scoring on design, Bangladesh has cheap labour and Sri Lanka the efficiencies.”Deepika Rana, Executive Vice-President and Country Director, Li & Fung, India

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key vendors that jell perfectly with its varied customers. “China may still be huge, but for long-term sustenance it is important to spread out the risk… while most buyers are already in Vietnam and Cambodia, India and Bangladesh together are an exciting combination to handle both core programmes and fashion,” he reasons, adding that he regrets pulling out of the subcontinent earlier. “We are underinvested in these two countries and the strategy is to consolidate the operations in the first three years, build a strong vendor base and explore product options,” avers Chris. The India office is responsible for developing vendor base in Bangladesh also.

Very clear in his mind as to why India is now critical to the buying strategy of every customer, he says, “One of the biggest fallouts of the slowdown phase has been seen in the shopping preferences of consumers, who now are buying less, but spending more on differential products. When

translated into business, this means that core products which were the bulk of business for most retailers are now shrinking and more focus is now on fast moving fashion items, the strength of Indian exporters.” Contempo is looking for design and inspiration from Indian vendors and Chris holds India’s ability in Product Development in high esteem. “It’s not about creating collections, it’s about the various techniques and design concepts that originate here. Recently, a design team from Contempo was in India looking at what local retailers and designers were doing and they were very impressed. China may be good at execution but very few design ideas can originate from the country,” reasons Chris.

While, acknowledging that more and more sourcing is moving towards fashion, Chris is honest in admitting that the same is the biggest challenge today. “The whole approach to buying has changed… while

Sets itself a 3-year target to cement operations

Started 35 years ago as a small buying operation for sweaters in Hong Kong, Contempo is today a multi-million dollar buying network sourcing out of more than 15 countries with 16 offices in key regions including India. In fact, the buying office in Gurgaon, headed by Leela Kanuga, is the baby of the network having started operations only a year ago. In town to meet some key vendors, Christopher Tse, CEO, Contempo Limited and son of the owner, Betty Wong, took time off for the AO team to share insights into their global operations and the critical question… Why India?

Contempo Looking at India Sourcing for Growth…

“The buyers have to come to us, but we need to be united,” she stresses.

Interestingly, in the last three years 50 per cent of the technology sold in the garment industry has been bought by the sub-continent, which clearly shows that vendors are improving their factories. However, the emphasis now needs to be on efficiencies and Deepika urges the industry to look into this area. One way to become cost-effective is to move ‘inward and outward’, which means that vendors need to either move inwards within the country to be nearer to the labour or move their production outward to cheaper destinations. “Many Indian vendors have opened factories in Bangladesh to offer basics to their buyers, many others are looking at Africa as an option,” says Deepika.

Talking particularly of India’s strength she underlined the design capabilities and advised the industry to look beyond product development and offer product engineering and innovation, more flexibility and liquidity, better service that includes deeper involvement with retail sales and VMI (Vendor Managed Inventory) modules. “Customers want to go narrow and deep with fewer vendors and who will be the chosen one, is in the hands of the vendor,” she says.

For countries that are offering differential products, buying is not about ‘lowest first cost’ but ‘lowest value cost’. The critical question is how to determine value… “Value is not necessarily what you do on the garment, it is also the activity cost that includes how long did it take for approvals; what was the rejection rate; how efficient is the factory; turnaround time; quality, etc… all of which add to the cost. So what is important is the lowest activity cost, which actually is lower than the lowest first cost,” concludes Deepika.

Working mostly with US buyers, with about 80 per cent of the customers

in North America, Contempo has in their customer profile both mass market and niche players which has balanced the operations of the network so that it was not adversely affected with the recession post-2008. “While some of our customers went under, others grew, thriving on the changing economic conditions. So, overall our growth was not retarded. In fact, even customers are looking to spread out their sourcing options to more countries rather than depending only on China,” argues Christopher.

Recalling the quota period of trade when Contempo was forced to source from around 30 countries to meet its customers’ needs, to reducing the destinations to just 4-5 sourcing hubs post-quota, Chris is now looking to build sourcing in around 12-13 countries with

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company still interacts with the customers and as owners we are very much hands on. A lot many of our staff members has been with us for more than 15 years, some have been with us for 20-25 years and more, and customers have a great comfort level working with them,” says Chris.

While every office has the freedom to bring in new customers, the integration is exciting for every Contempo office since the new customers comes into the Contempo family knowing the strength of the network and that is what generates long-term business for the group. “We are very people-oriented and the culture is warm and inviting, something that comes from my mother. The offices are not islands, they are like fingers of the same hand, each supporting the other while also competing for the business,” says Chris with pride.

He goes on to highlight how Contempo is involved in developing vendors, so the fitment between customer and vendor is optimal. “We hold regular meetings with our vendors and they tell us the difficulties they face in complying to norms and we go back to the buyers to work out options. I remember when C-TPAT was introduced we even interacted with US customs office to sort out issues that were being faced by our vendors. For us developing a vendor is more important than rejecting vendors who are not as yet fully compliant,” says

Chris. A separate department looks after compliance norms and regular workshops are held at sourcing bases to update the vendors on new regulations and how to become compliant.

Interestingly, Contempo is doing its own compliance audit and is not charging anything for the same. The idea is to support the vendors to improve their processes and remain compliant to standards of different customers and not shake off responsibility. ‘We are all in it together, there has to be a partnership approach… the old way of managing business through remote control no longer works, as there is no margin left for error,” says Chris. He adds that compliances are no more a big problem area as most vendors are well aware and compliant to ethical codes.

Currently, the India office is sourcing garments, fashion accessories and jewellery. Going forward, leather products are being explored. In a consolidation phase, Contempo is very happy to have Leela at the head of operations. “Working with Leela is a pleasure, as she brings to the table many years of experience sourcing for US customers and a deep understanding of India sourcing weaknesses and strengths, and also a relationship base of vendors at all levels to complement our buyers’ needs. All of which give the confidence to say that the Indian office is an important growth engine for the future,” concludes Chris.

sourcing for core items meant finding the cheapest destination without compromising on quality, working for fashion is a never-ending process where things are moving all the time. It is not the cheapest price but the right price for the value. Buyers are confused as to what will sell, so everyone is watching the streets and ramps; they are increasingly looking to differentiate and that

is exactly where India fits in with its sampling abilities, flexibility and small run capabilities. Giving the buyer the freedom to experiment with new concepts and put something ‘different’ on the shelves,” he says.

The long running relations that Contempo has with many of its buyers has helped to create synergy that allows open discussions between the customer, Contempo and the vendors on product development, quality issues, problem areas and compliance hurdles. “My mother who started this

“One of the biggest edges we enjoy as a buying network is that we are big enough to give an option of global sourcing to our customers allowing them to make choices when deciding where to place the order, yet small enough to service them personally.” Christopher Tse CEO, Contempo Limited

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Debut Show Indigo for DenimThe strong demand of denim wear has been constantly and continuously fuelling capacity expansion in denim fabric with manufacturing capacities over the last few years growing multi-folds. As of today, India produces close to 800 million metres of denim fabric annually, which is expected to grow to 1.2 billion metres by 2015. Seeing great growth potential and innovative development in denim, Denim Club India organized a first ever two-day show – Indigo, recently in Noida.

Turkish denim company was spotted at the show. Majority of the exhibitors shared their view with Team Apparel Online that had the venue been at a central place in Delhi, the footfall could have been much higher.

Along with the exhibition, seminars were conducted in which speakers gave their perspectives about the global denim market along with the Indian market. According to Prashant Agarwal, Jt. Managing Director, Wazir Advisors, the denim industry needs to think strategy in two distinct segments; export and domestic segment, as the needs

Being a first time show, Indigo was not so big in terms of participation of denim fabric mills,

though the companies that exhibited were leading ones. There were six Indian mills, namely LNJ Denim, Modern Denim, Chiripal, Suryalakshmi, Oswal Denim and fairly new entrant Vinod Denim. In the knitted denim category, AGC (A. Ganapathi Chettiar) from Tirupur participated in the show. From Pakistan SM Group and Pak Denim were there. The show was inaugurated by the Turkish Ambassador to India – HE Dr Burak Akcapar, though, disappointingly not a single

in both are very different. “The domestic market is huge and low-cost and it still needs to be tapped. Denim has the potential to penetrate deep into two- and three-tier towns where everybody would like to wear denim. I strongly feel that in the next 10 years, this industry will grow by 10 to 12 per cent every year,” predicts Prashant.

According to industry experts, in the export market there is still a surplus supply of denim and it shall remain like that, therefore there is and will always remain lesser margins. “In India, the mills are just focusing on producing fabrics

The strong demand of denim wear has

been constantly and continuously fuelling capacity

expansion in denim fabric with

manufacturing capacities over

the last few years growing

multi-folds.

Pradip Bhattacharya - Bureau Veritas

Dhaval Mittal - Vinod Denim

P.G. Niyogi - Oswal Denim

Kiran Panchal - Modern Denim

Prashant Agarwal - Wazir Advisors

Junaid Javed - SM Denim

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and not converting that fabric into garments, whereas in Bangladesh whichever denim factory is coming up is not exporting fabric, rather they are exporting garments. However, in India there are very few conversion factories and most of them are not successful as they are not ready to setup economies of scale both in stitching and finishing capacities, hence Bangladesh will always be much more competent than India in denim exports,” opined Prashant.

However, the view has a counter theory, as the kind of capacities Indian denim mills are having and are building up, it’s not possible for the same mill to convert all its produce into garments. Secondly, the whole system of running a mill and a garmenting unit are two very different ball games. “Sometimes backward integration is much better than forward integration. If I have a

totally a different scenario, then we cannot achieve the level of competency we want to achieve in producing value added denim fabrics,” avers P.G. Niyogi, CEO, Oswal Denims, Mohali.

With its seven years of existence, Oswal Denim is producing 36 million metres per annum from its Mohali and Bhopal units. The company is producing 85 per cent cotton/lycra denim and rest is poly lycra. In the next three months the company is going to add 12 lakh metres/month. “With the added capacity we are now looking at entering the export market through the RMG sector and not direct export of fabric, as the latter needs huge quantities,” says Niyogi.

Most industry experts feel that India is today better positioned than other denim manufacturing countries. According to them, Indians have vision and know-how and their capabilities and

In the export market there is still a surplus supply of denim and it shall remain like that, therefore there is and will always remain lesser margins.”

Turkish Ambassador to India – HE Dr Burak Akcapar inaugurating the Indigo show; also seen with him are R. Dudeja, the organiser of the show on his left side and Dr. Ahmet Aykan, MD, Dr. Aykan on his right

production capacity of 20 lakh metres/month, to consume that kind of metreage what would be the size of garmenting unit? Secondly, fabric manufacturing is very skilled and it comes through years of experience. It took us eight years to master the weaving technology and we are now ready to get into more high-end value additions; if we divert our attention to garmenting which is

acceptance by leading brands, private labels and stores worldwide is the proof of this proclamation. Expressing his views on India being one of the strongest players in denim, Kiran Panchal, President (Marketing), Modern Denim Ltd. says, “China has never been a threat to us as far as high-fashion denim fabrics are concerned; they were always


into basics and now with their economy getting stronger, labour getting expensive, India would get much larger share.”

Sharing his view on the China impact, Vinod Mittal, Managing Director, Vinod Denim Ltd., Ahmedabad, a new player with about two years existence and producing 15 million metres/annum says, “Denim worldwide is growing by 20 per cent while other fabrics are growing by 15 per cent, Looking to move up the value chain, China has cut down its denim production by 30 per cent; leaving the field open to India, Turkey and Pakistan. Pakistan’s total production in denim would be lesser than what Ahmedabad alone is manufacturing, so undoubtedly India is the largest contributor in this 20 per cent growth.”

Talking about India’s strength in innovations and his company penetrating into more innovative products, Panchal Shares, “We want to change denim into functional and sustainable fabric. We have recently used 70 per cent bamboo and 30 per cent organic cotton to make eco-friendly, sustainable and biodegradable fabric with vegetable dyes both for knitted and woven applications.”

Besides this, Modern has also made face and back denim in

which one side is denim and the other side is white. Both sides are 3/1 twill, so when a garment is made especially capri pants which has the bottom seam turned up and tint is given to it, it will have the colour effect. In another design idea printing can be done on the white side and bottom turned up. It can be used as reversible garment. Keeping the focus is on innovative weaves and also finishes, coating and lamination, the other innovative product by Modern Denim is knitted denim which has comfort and both way stretchability, which makes it very good feel. Also functional finishes and membrane breathable lamination adds to the functional value.

For rain and cold protection the company has developed denim laminated with denim fleece and transparent waterproof lamination using breathable membrane. The company has also developed wool denim for comfort in cold weather. Modern Denim with a turnover of Rs. 168 crore/annum has recently added its loomage capacity and as on date is producing 22 million metre/annum and will add more loomage to reach 30 million metres per annum by next year.

Dhaval Mittal, Director, Vinod Denim feels that the Indian market is too huge to be explored

fully; however the two- and three-tier cities are the promising growth areas. “As of now we are not looking at exporting our fabric, the demand within India is huge. We are going for capacity expansion from 15 million metres, we’ll make it to 22 million metres/annum in another six months,” avers the young Dhaval who was the man behind introducing denim to his family business. “We entered into denim manufacturing in 2011 that time our turnover was Rs. 60 crore and now it has touched Rs. 90 crore; denim is going to be our focus area in coming times.”

Right now Vinod Denim is making the basic denim fabric as they are very new into the business of denim; however, as they established themselves more, they would like to go for more value-added fabrics. Producing poly cotton and cotton lycra, the company is catering to the mass market. “In about a year’s time when we are more established in the market, then we’ll start building our own R&D team and produce more specialized products,” shares Dhaval.

SM Denim from Pakistan attracted much interest. “There are about 28 denim mills in Pakistan; mainly the denim companies have rope dyeing

but we have slasher dyeing,” shares Junaid Javed, Executive Director, SM Denim, Pakistan specialising in light weight fabrics from 4 ounce to 5 ½ ounce for shirting mainly for women. Catering to brands like Zara, H&M, Hugo Boss and the likes, SM Denim founded in 2002 is producing 12 million metres/annum and exporting its fabrics to Bangladesh, Europe, US, Sri Lanka, Vietnam. “We are looking at doubling our capacity as the demand is increasing especially with Bangladesh,” shares Junaid.

The event also saw many support industries share their offerings. Bureau Veritas Consumer Product Services showcased their capability in the arena of testing, audits, inspection and training for Denim and non Denim products. Pradip Bhattacharya covered the testing and compliance requirements of garments with special focus on denim apparels at the seminar. “Events like Indigo fulfil the primary objective of helping meet the needs of the fast-growing denim industry and a rapidly evolving denim-wear market by enabling all the stakeholders in the entire denim eco-system in coming together on a single platform for networking, exchanging ideas, sharing current experiences and with a vision for the future,” concluded Pradip.

Denim worldwide is growing by 20 per cent while other fabrics are growing by 15 per cent. Looking to move up the value chain, China has cut down its denim production by 30 per cent, leaving the field open to India, Turkey and Pakistan.

Vinod DenimSM DenimModern Denim

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Texworld Paris All Set To Roll…Sustainable Textiles at the ForefrontThe demand for sustainable textiles is one of the driving forces in the textile industry. More and more brands, designers and retailers are choosing to work with environmentally responsible suppliers and manufacturers. Since 2007, the organizers of Texworld, Messe Frankfurt support companies adopting sustainable practices in their product range, policies and business strategies, as also include the eco itinerary and the eco lounge at Texworld. Asian countries dominate the show and this year too, China as usual will have the largest number of exhibitors followed by Taiwan, Hong Kong, South Korea, Japan, Pakistan, Bangladesh and India.

JCT Ltd... Performance Personified JCT which once liked to be just associated with suiting fabrics with its famous punch line “It’s got to be JCT”, is coming to Texworld with its cotton/poly cotton, polyester and nylon fabrics for high-end sportswear and outerwear. The company is exhibiting its wide range of products in line of new weaves and finishes along with bonded

This edition of Texworld showcases about a 100 of organic

cotton and linen, hemp, recycled material and other sustainable textiles. Many of them are holding certificates such as GOTS, Organic Exchange, SA8000, WRAP and other standards. A practical “Eco Itinerary” will guide visitors to all eco suppliers at the trade fair and a selection of sustainable fabrics can be found at the Trend Forum. One whole day is reserved for sustainability issues. Some organizations will also be available for further enquiries during the whole trade fair at the Eco Lounge.

Besides eco friendly fabrics the other big exhibits are from technical textiles/functional fabrics, predominantly from the exhibitors of South Korea followed by China and Thailand. The presence of Indian exhibitors is mainly in embroidery/lace, denim, silk, shirting, wool, cotton CV and prints. The mills in denim, cotton and polyesters are no more sticking to the regular fashion or casualwear fabrics... they are doing innovative performance based fabrics as they feel that is the future.

Apparel Online presents a few exhibitors… fabrics for both fashion and outerwear purposes. With an annual turnover of Rs. 500 crore, JCT which produces 50 million metres/annum feels that it is at par with international mills on washes and finishes. However its speed to market on such products can be improved. Candid enough to say that the company feels that it is still a follower and will need to move in this space to be a leader.

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The company is exhibiting its wide range of products in line of new weaves and finishes along with bonded fabrics for both fashion and outerwear purposes. The specialities are cotton/poly cotton, polyester and nylon fabrics for high-end sportswear and outerwear.

The presence of Indian exhibitors is mainly in embroidery/lace, denim, silk, shirting, wool, cotton CV and prints. The mills in denim, cotton and polyesters are no more sticking to the regular fashion or casualwear fabrics... they are doing innovative performance based fabrics as they feel that is the future.


Modern Denim... Denim not just BlueDenim fabrics from most of the Indian mills now conform to international specifications and these are being supplied to Indian and global brands. However, only a few selected mills make differentiated denim fabrics which are innovative and comparable to products from International mills. For doing this, it is important to understand global trends, customer needs and fashion trends and developing products based on this.

The key areas of differentiation are in speciality fibres/yarns, the ability to make consistent coloured denims and create new finishes. Ahmedabad based Modern Denim Ltd. has taken sustainable, eco friendly and high performance route for its denim. In this edition of Texworld the company is showcasing its innovative developments with focus on

innovative weaves, finishes, coating and lamination.

Some of the interesting offerings include Face & Back Denim wherein one side is denim and other side is white; both sides are 3/1 twill. It can be just folded from the bottom to get different look at the fold; it can also be used as reversible garment. Another innovative offering is knitted denim, which has comfort and both way stretchability that gives very good hand feel. Also the functional finishes and membrane breathable lamination adds functional value. This can be used for ladies and children dresses, jagging and men’s tops.

Also on display will be inherent anti microbial eco friendly, sustainable and natural knit denim with 70 per cent bamboo and 30 per cent organic cotton and herbal dyes which gives the product softness while functionally it remains anti microbial throughout. This fabric is very good for ladies and

children whose skins are very tender and it gives protective support for sensitive skins due to inherent anti microbial properties of bamboo.

Other offerings include laminated denim – laminated with denim fleece and transparent waterproof lamination using breathable membrane is a special product for winterwear and rain protection, Wool denim for cold weather, Corduroy denim and structural denim for bottomwear and outerwear.

tex-file

Coloured denim with coating and tinting sulphur, apt for ladies fashionwear and childrenwear are going to be a major attraction at Texworld from Modern Denim. Also there will be an interesting range of laminated denims


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Digjam’s new developments aimed towards micro structures & subdued stripes and checksComing with its A/W collection at Texworld, Digjam, producer of worsted fabric for suits, trousers and jackets is showcasing its range of designs that include micro structures, stripes, checks, etc. and also flannels in wool as well as wool rich – all with/without lycra.

Suitings & Shirtings… Speaking PerformanceDonear showing Da Vinci, developed especially for the shirting fabricsA well-known player in suiting and shirting fabrics Donear is showcasing its latest developments in suitings and shirtings. The company is presenting its new finish named Da Vinci, developed especially for the shirting fabrics. The in-house developed finish, achieved with the help of Japanese technology induces special features to the shirting material such as wrinkle-free properties in cotton and a soft touch after wash.

In suitings the company is presenting its latest range incorporating 100 per cent wool, PV and stretch. Functional finishes is the key ingredient in this category along with play in new types of weaves. The collection has been made with the help of Italian designers.

The company recently went in for expansion and added 90 looms to their cotton shirting division. With a present turnover of approximately Rs. 450-500 crores, the company supplies around 70 per cent to the domestic market and 30 per cent to the exports. The company’s present capacity in cottons is about 1.5 million metres per month and that of synthetics about 2 million metres/ month.

The company is also offering special finishes like wool washable, Nano finish for oil and water repellency, moisture management, natural stretch, etc.

Exporting substantial quantities to USA and Europe, the company is approved vendors for some of the leading stores and brands. With a turnover of Rs. 200 crore per annum and approximately 5 million metres/annum capacity, Digjam during past two years has focused on new product

development mainly with performances and superior structures & qualities, not specifically emphasised on growth.

The company will be showcasing its range of designs that include micro structures, stripes, checks, etc. and also flannels in wool as well as wool rich – all with/without lycra.

Mafatlal Denim, a reliable producer and supply chain partner of value-added, differentiated and innovative denim fabrics for mid and upper segment Indian and International brands, produces over 200 styles of denim fabrics and claims its products to be “fashion forward”.

The company’s latest developments in denim include light weight and tightly constructed products, stretch denims, coloured denims (which are in vogue currently), over-dyed denims and special finishes which give the fabric a ‘soft’ and ‘glossy’ look .

“Our product development focus is in the use of special fibres and yarns, differentiated-tightly constructed weaves, satin weaves, and a range of yarn colours, which can give a wide variety of garment washes,” says Rajiv Dayal, Managing Director, Mafatlal Denim.

Finishes on the fabrics are being developed for top-end brands including ‘soft’, ‘glossy’ and ‘raw’ feel denims. The company is also working on ecologically friendly denim fabrics. Mafatlal Denim increased its capacity from 10 million metres/annum to 20 million metres/annum of differentiated denim fabrics

in 2008 and now the company is evaluating an expansion to 30 million metres/annum in a phased manner.

Mafatlal Denim has been accredited with ISO 9001, ISO-14001, GOTS (Global Organic Textile Standard), OE (Organic Exchange), and Oeko-Tex Certification, making them reliable supply-chain partners for Global and Indian brands. Constantly endeavouring to reduce carbon and water foot print, Mafatlal Denim also has in place an effluent treatment facility, which treats waste water and also a caustic recovery plant for recycle and re-use of caustic. Always ahead in technology, the company has invested in the latest equipments for manufacturing denim fabric weights ranging from 7 oz to 15 oz, making them suitable for Men’s/Women’s and Children’s wear collection.

Rajiv Dayal Managing Director, Mafatlal Denim

Donear is known for its innovative fabrics

Mafatlal introduces latest developments in Denim, contemplating expansion to 30 million metres per annum

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Crabyon Fabric

Tex Find

The world of textiles continues to break new

ground by introducing the Crabyon fabric. Discovered in Japan, this fabric is a blend of viscose and Chitosan fibre made from Chitin, a “safe” material extracted from the shell of a crab and shell of a fish. The percentage of Chitosan may vary from 5 per cent to 99 per cent, holding a high antimicrobial property making it suitable for its use in the medical, health and pharmacological fields. Having an excellent dye ability and water absorption properties the fabric is already being used in sportswear, apparels, towels and beddings. Excellent for sensitive skin, children’s wear and innerwear, the fibre’s moisture keeping property protects skin from drying and at the same time also gives it velvet like touch. Manufactured now in Europe, USA and Japan, Crabyon fabric is gaining popularity with manufacturers seeking a sustainable fabric with high bio-compatibility and versatility in blending with fibres like wool, cotton, etc.

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Rajasthan Spinning and Weaving Mills Expanding its Spinning …To invest Rs. 400 crores in Gujarat

Arvind and PD FibreGlass JV’s new facility to become global supply hub for glass fabricsFirst phase of new production unit commissioned

Crailar Flax Fibre a new, high-performance natural fibre

produced by NAT (Naturally Advanced Technologies) and Austria based Lenzing fibres are set to create an alternative existing fibre material which can be used in women’s fashion market. Ken Barker, Chief Executive Officer, NAT, gave an insight into the new development saying, “Lenzing would prove to be “a new frontier” not only for the future of Crailar’s natural fibres but would also create a very powerful industry platform in both sustainability and performance.”

Regarding the fibre itself, Barker said that the host fibre can be expanded with which Crailar can blend to identify new performance attributes, applications and industries. In addition to its existing applications as a sustainable complement to cotton this fibre is set to revolutionize the industrial sector where polyester fibres have been the norm.

NAT’s Crailar flax to partner Lenzing’s cellulosic fibre

LNJ Bhilwara Group company, Rajasthan Spinning and Weaving Mills Ltd. (RSWM), is

planning to invest Rs. 400 crores in Gujarat for a spinning and weaving unit. According to M. L. Jhunjhunwala, President of RSWM, the new facility will come up in Rajkot and Anjar in about two years time. “We are keen to expand our yarn manufacturing capacities to 12,000 tonnes per month from current 10,000 tonnes per month. We are scouting for locations in Gujarat, Madhya Pradesh and Rajasthan. But due to presence of buyers in Gujarat and investor-friendly policies of the State, we are keen to come here. We would also study the new textile policy announced by the State on Wednesday,” shares Jhunjhunwala. The facility would come up in two years’ time.

RSWM would install 1 lakh spindles in the new facility and the plant would be fully automated with minimum human intervention. The recently commissioned 52,000 spindles plant at Kharigram in Rajasthan has 200 workers. “Instead of facing labour shortage, it is better to have a fully automated plant,” reasons Jhunjhunwala.

Arvind PD Glass Composites Pvt. Ltd., a joint venture

company setup of Arvind Limited and Germany’s PD FibreGlass Group, commissioned the first phase of its production facility to manufacture glass fabrics recently at Santej, in Ahmedabad, Gujarat. The JV facility will cater to the requirements of a cross section of industries like automobile and transportation, wind energy, aerospace and infrastructure amongst others.

The joint venture, Arvind PD Glass Composites Pvt. Ltd., will have a 51:49 equity participation from Arvind Ltd. and PD Group, respectively. A total investment of Rs. 80 crore over the next three years is planned for this initiative. The goal of the facility would be to reach 30,000 MT per year of glass fabrics in the medium term.

Sanjay Lalbhai, Chairman and Managing Director, Arvind Limited said, “With the commissioning of this new facility, we have taken a major step forward in our long-term strategy to develop the technical textiles business as a major growth engine for Arvind Ltd. in the coming decade. Over the next two to three years we expect this JV to post revenues in the range of Rs. 150 to Rs. 200 crore with a significant share coming from exports.”

Sanjay Lalbhai, Chairman and Managing Director, Arvind Limited

Shri Lakshmi Cotsyn will invest Rs. 1,300 crore

by the end of next year to expand capacity in various segments, including terry towels. The company is planning to invest Rs. 700 crore in terry towel capacity expansion. “We have a capacity of 15,000 tonnes per annum (TPA) currently; with expansion, the capacity will become 33,000 TPA,” informs Rakesh Kumar Srivastava, Company Secretary, according to whom the expansion would be completed by December 2013.

In spinning, the company has 35,000 spindles and 5,000 rotors. Now, the company is planning to setup further 1.50 lakh spindles and 5,000 rotors to fulfil the total requirement and the estimated investment will be Rs. 600 crore.

Shri Lakshmi Cotsyn to Invest Rs. 1,300 crore on expansion

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H O M E F A S H I O N F U T U R E

GHCL Evolving its Business Module From Commodity to Performance & Specialized Bed Sheets

Over two decades since its

inception, GHCL has positioned

itself as one of the major players for

sheeting in India behind Welspun

and Alok Industries, sharing space

with Indo Count in the segment. A

vertically integrated setup GHCL,

owned by well-known industrialist

Sanjay Dalmia, is catering mainly to

the US market to brands/retailers like

Bed Bath & Beyond, Sears, Macy’s,

Walmart, Kmart, to mention a few and

is now consciously making efforts

to move forward both through own

R&D and strategic tie-ups to deliver

performance and has achieved many

firsts on the way. Neeraj Jalan,Vice

President-Home Furnishings – GHCL,

shares with Apparel Online the future

directions in performance sheeting...

“We have introduced sheets with anti-microbial treatment, which kills approximately 90 per cent bacteria and is made from 90 per cent cotton and 10 per cent Lyocel fibre.”

GHCL has integrated well-being features and performances into their sheets

Neeraj Jalan Vice President-Home Furnishings – GHCL

As consumers worldwide are getting more conscious of their health and wellness, manufacturers too are

gearing up to produce products which enhance the well-being of the consumers. “Presently, about 20 per cent of our business is of performance sheeting, which we hope to grow it up to 35-40 per cent in next 2-3 years time,” reveals Neeraj.

Retailers have been selling cotton, polyester and poly-cotton sheets for a long time, now consumers have started asking what a bed sheet can do for them in terms of enhancing their overall well being. Taking the clue GHCL has integrated well-being features and performances into the sheet. Features like anti-ageing, proper blood flow, Vitamin E application for skin to name a few are really picking up nowadays. “We have introduced sheets with anti-microbial treatment, which kills approximately 90 per cent bacteria and is made from 90 per cent cotton and 10 per cent Lyocel fibre. The anti-bacterial

property is inherent and not given by the surface finish, therefore the property is everlasting and also increases the life of the product,” shares Neeraj, who is heading the home textile business for GHCL.

The other product, in performance category which GHCL manufactures, is seaweed sheet made with seashell fibres; the blend consists of 75 per cent cotton and 25 per cent seaweed fibre. Seaweed is actually an anti-oxidant agent that protects the body against free radical damage. “Of particular importance is that free


radical damage accumulates with age, however with this seaweed sheet the impact of aging on the skin doesn’t come in; it makes you look younger by 10 to 15 years,” says Neeraj, who also claims to have technology for anti-dust, mites and allergies, which is again an entire range of differential products.

Growing in the performance domain, GHCL has recently procured license from a US based company for a fibre called Hologenix LLC, which is used for sports apparels by brands like Nike and Reebok. This unique fibre absorbs infra rays light which helps in increasing the oxygen flow in human skin. The other magnificent property of this fibre is that it helps in proper blood circulation and facilitates recovery of minor aches and injuries of the human skin. Another interesting license that GHCL has attained is from Perfect Fit, another American

solution where the polyester is used on the weft so the most part of the body touches only cotton and the polyester is on the back of the sheet. It’s a simple care sheet and you don’t have to iron it at all. It’s like a value sheet. A Teflon sheet with same performance is available in the market for US $ 89-99, whereas this sheet is available for US $ 59-60 with this technology,” shares Neeraj.

A reversible sheet set representing different colours on each side is another first from the house of GHCL. “Already present in Macy’s we are trying to place it in other retail outlets as well,” avers Neeraj. The company has also tried new innovations in its fitted sheeting by giving elasticity so the sheet can fit on any size of the mattress.

With toplines of Rs. 900 crore, GHCL’s home textile business generates a turnover of Rs. 600 crore and spinning adds the

company for their exclusive fibre range. “We are exclusive licensee for them in US so they won’t be selling their sheet application products to anybody but us.”

Pro-active in forging tie-ups, GHCL has tied up with Standard Textiles, an American company for exclusive performance based technology in cross weave, which uses cotton yarns in the warps and textured filament yarns in the weft. “Now that cotton is getting costlier each day, with this technology we have a

balance Rs. 300 crore. In the last one year, the company has added capacities in its spinning and weaving. “By putting additional spindles our yarn capacity has increased by 10 tonnes per day. We have added about 50 airjet looms which has taken our fabric production up by about 10,000 to 11,000 metres per day. In our stitching unit we added around 225 machines; now we have 500 machines,” informs Neeraj who is looking at 25 per cent growth YOY.

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40 Apparel Online India | SEPTEMBER 16-30, 201240 Apparel Online India | SEPTEMBER 16-30, 2012

SEPTEMBER 16-30, 2012 | Apparel Online India 41SEPTEMBER 16-30, 2012 | Apparel Online India 41


HINTS A BETTER MARKET FOR SPRING/SUMMER 2013

‘P U R E L O N D O N’

Emphasizing the fact that fashion accessories are the biggest trend this season, printed scarves were the highlight of the show and a variety of these were there on display,shifting the focus to fashion accessories to brighten up the fashion streets

The response of the buyers at the fair was mixed, while many exhibitors received

good enquiries, some others were unable to grab attention. In an honest admission, first- time Indian participant Bombay High, who was not very happy with the response of the fair said, “Indian trade shows are a better platform for a company like ours as the companies in Europe and especially Pure follow strict forecasting rules looking for the newest of trends and directions every season, which Indian brands are still behind in, though we do offer variety, but not necessary in line with forecast.”

Showcasing for the first time from India was also the new label called ‘EKA’ following the Ethical Fashion Philosophy. Making handcrafted clothes with hand woven and hand block printed textiles; the company displayed the use of Indian traditional crafts at its best on an international platform, coming from the smaller craft cluster belt of eastern and western India. Rina Singh, representing the brand at the fair explains, “Our range is a sight of hand-block printed, natural dyed fabrics, cut

or made out into Indian tunics, bags, scarves from indigenous material – 100 and 200 count Khadi, bringing back the memory of India in the fashion galore of Europe. As we are catering to a niche market here, and it is for our first time, we did not expect an overwhelming response, but enquiries have been interesting.”

Emphasizing the fact that fashion accessories are the biggest trend this season, printed scarves were the highlight of the show and a variety of these were there on display. Companies from all over Europe came to display the accessories that are the highlight of the UK fashion scene. It cannot be denied that as garment purchase fall, the focus is shifting to fashion accessories to brighten up the fashion streets.

Managing to attract a good number of buyers Bolongaro Trevor, a brand started by Bolongaro and Stuart Trevor, the brain behind cult brand All Saints, in the mid ’90s, the company today represents collections that epitomize classic British chic, exploring countless styles to create something new and stylishly casual. Catering to men and women, the company

Known to be one of the most popular fashion trade events of UK, the recently held 32nd edition of ‘Pure London’ attracted a mega display of over 1000 brands of contemporary and premium womenswear, young fashion, footwear and accessories, including over 225 new brands showcasing their S/S 2013 collections. Spread over two floors, with a mix of footfall of buyers, retailers, manufacturers, designers, trend forecasters and fashion followers, the fair also expanded its reach this year, by adding two more sections of ‘Pure Body’ for lingerie, shapewear and swimwear which displayed the best use of knitted and stretch fabric, and ‘Pure Junior’ for kidswear. Hinting a better market condition for the upcoming season, Team Fashion Forward Trends reports live the 3-day event, talking to a few participants on their new products and the buyer response, recording the changing pulse of the fashion and business scene...

faSHionbuSineSS

Printed dresses by ‘Lily & Me’


Pure London is today a platform for fashion in UK and the rest of Europe with popular women’s wear section, Fashion Shows and Seminars that revolves around better buying.

displayed an array of leather jackets for both sexes, women’s dresses with an edgy twist and T-shirts. The best selling item being the lace dress, which is designed in-house, the collection also stands unique with each panel for jackets and dresses individually created with very intricate detailing, famous amongst regular buyers from North England, Europe and America.

Doing good business in spite of the ongoing recession, was Esprit, a leading international lifestyle brand originally from San Francisco, USA. While the old buyers placed the usual orders, the retailer claims that Pure helped them to get some new ones too for the coming summer. Apart from the best selling in-demand ‘sophisticated dresses’, the company was particularly excited about its new denim division which received good response during the fair. “The emphasis was on affordable denim primarily

Latest Spring/Summer 2013 collections by brands like Bolongaro Trevor, Derhy and Esprit displaying sophisticated dresses, Jackets and printed denims...

for the younger generation,” said Magda Beigaj, who was manning the Esprit stall. The range was available in most of the brilliant Olympic season like colours for S/S 13 and also a collection of printed denim.

Branching out from the earlier established ‘AMARI’ by Polly Webb, a new line ‘Lily & Me’ was launched at the fair by Amelia Haywood, both of whom were very positive about the buyer response. Witnessing enquiries from some new buyers, their collection reflected the spirit of a more mature woman, for females between 25 to 60 years of age or even 65 and above. Elaborating on the essence of the range, Amelia says, “We have made sure that the prints, style and cuts of our dresses are feminine and reflect the choice of independent women. Keeping the lengths a little below the knee, cap sleeves and fresh prints, targeting a niche market, we hope for success.”

Pure London is today a platform for fashion in UK and the rest of Europe and to make it more visitor-friendly the popular women’s wear section was divided into Premium, Directional, Boutique and Studio for easy identification of buyer needs. The fair also held fashion shows and seminars all through the three days on topics that revolved around Better Buying, Better Business and Retail Insight. With WGS, FAB (Fashion Association of Britain) and Drapers as supporters for the show there was a lot of emphasis on trend forecasting for buyers and retailers. Lorna Hall, senior retail analyst at WGSN, was the speaker for the Trend Forecast S/S 13. She highlighted the major trends in terms of colour, look, style and cuts that will prevail for the next season, and it was heartening to note that they are in line with what Fashion Forward Trends has also forecasted for the season.

faSHionbuSineSS

The best selling item being the lace dress the collection stands unique with very intricate detailing for Bolongaro Trevor


Evergreen ROMPERS!Continuing to be in demand from brands allover, ‘Rompers’ are yet again spotted as a trend this summer, most likely to become a mass staple even in the coming next few seasons. Cute and flirty, apart from being comfortable, the silhouette also imparts a playful touch to young fashion, best combined with complementing jackets and blazers to complete the look. Versatile in every respect, rompers can further feature the best of trends like lace, peplum, collars, and pockets; also can be buttoned down, or designed to look like a one-piece shirt and shorts combination. They form the perfect base to display solid colours and the popular neons on a variety of fabrics like knits, sheer polyesters, cotton canvas along with blends and also sport the print trend to the fullest. From florals to denims to animal prints to polkas to solids to novelty prints and even sailor inspired nautical look rompers are a safe stay in fashion for times to come.

COLOUR STORY S/S 2013 by FASHION FORWARD TRENDS

faSHionreSourCe

Minnie Mouse, the new fashion muse!

Restoration Hardware to expand into apparel

Nicole Richie is deeply intimate with the ‘Macy’s Woman’

High-end home-furnishings retailer

Restoration Hardware is soon to expand into apparel, accessories, footwear and jewellery as part of reorganization plans aimed at setting the business up for future growth. “The new structure provides a creative and efficient way to develop new businesses,” claims Mr. Chu, a Managing Partner at private equity firm Catterton Partners Corp., who will become its new Chairman.

Latest for Macy’s is again a celebrity collection by

the fashionista and TV star celeb Nicole Richie. Operating with the understanding that the “Macy’s girl” likes an eclectic look, Richie has created a range of mix and-match printed chiffon to combine with things like studded faux-leather leggings and “statement” pieces like emerald velvet dresses and faux-fur-sleeved motorcycle jackets. Sporting a trendy bohemian look the clothes are priced from US $ 49 to US $ 149.

Marks & Spencer shapes denim

Minnie Mouse, the Disney star we all grew up with is

one of the most beloved cartoon characters, which is now the famous icon taking a leading role at Britain’s biggest fashion event. Already spotted in various fashion merchandises with some of the biggest high street brands, it’s now time for British fashion designers to pay homage to Mickey’s famous girlfriend. Inspired by her unique style,

international designers Giles Deacon, Michael van der Ham, Richard Nicoll, Katie Hillier, Lulu Guinness, Tatty Devine and Terry de Havilland will create ‘Minnie Mouse Must Haves’. The one-off garments and accessories will be unveiled at London Fashion Week and sold on auction site eBay.

“We’re thrilled to collaborate with such visionaries to create these one-off designs. Surpassing trends, Minnie Mouse’s iconic silhouette, signature bows and polka dots always remain in style which is why she is as relevant today as the day she first appeared on the fashion scene. London Fashion Week is the perfect stage for Disney, one of the world’s largest apparel brands, to put a spotlight on Minnie Mouse,” claims MarcLow, Vice-President of Fashion and Home for The Walt Disney Company EMEA.

Fashion retailer Marks & Spencer has launched a new

range of women’s jeans designed to offer a better fit by focusing on shape rather than size. Already made available, this new Body Shape Denim range is designed to take the hassle out of jeans shopping by helping the customer find the perfect fit. Keeping every kind of target customer in mind on the basis of the universally

differing proportions of women’s bodies, the range has been developed for three key body shapes in a straight leg, indigo wash in sizes 8-22. The Marilyn jeans are designed with a classic hourglass figure in mind, hugging rounded hips and a smaller waist. The Lana fit is ideal for more straight-up-and-down types. The Eva jeans are perfect for pear shapes.

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Even though the market is slow, some players are

not letting the conditions deter them from expansion and diversification. One such enterprising company is C.A. Patel Textiles of Ahmedabad, which is going to start Garment manufacturing very soon. Currently, the company produces shirting fabric and bed linen for both the export and domestic market. Talking to Apparel Online, Mukesh Bhai C. Patel and Sunil Bhai C. Patel, Directors of the company informed, “We have not witnessed a slowdown either in export or in domestic market and this has encouraged us to go ahead with our expansion plans. We are looking to add garmenting to our capabilities. Our plan is to invest Rs. 30 crore in a new factory of 500 stitching machines, which is being built in Ahmedabad. Production will start in six months as construction is in full swing, initially we will install 100 machines and later the capacity will be enhanced in phases as per strategy. We have cost and other benefit of in-house fabric, so we are expecting good business in garmenting also.”

The company will produce premium casual and premium high-end shirts at the new facility. Established in 1996, by Chaganbhai Patel, C. A. Patel Textiles currently is doing

business of Rs. 150 crore per annum. It is exporting 20 per cent of its production to South African countries and has a good distributor’s network allover India. The manufactured shirts will initially be supplied to the domestic market and later to export market after preliminary feedback.

Hanung planning for Backward Integration

Noida based Hanung Toys and Textiles, the biggest exporter of soft toys from India and one of the leading

players in home furnishings, is now going in for backward integration. “We are looking at putting 1 lakh spindles initially and adding more capacities at a later date. The total investment would be around Rs. 400 crore,” avers AK Bansal, Chairman and Managing Director of Hanung.

Since its inception in 1992, Hanung have come a long way in increasing its turnover from Rs. 92 lakhs then to a staggering Rs. 1400 crore in the last fiscal year. The

company which started in technical collaboration with the Koreans is the biggest soft toy manufacturer of the country. Also it is a well-known giant in home textiles manufacturing with various units working on different process from weaving of the fabric to the finished product.

Starting its business with Ikea for toys, today the company is working with all major brands and retailers in the US and Europe, be it Bed Bath & Beyond, JCPenney, Macy’s to mention a few. Moving forward, Hanung is planning to

get further vertically integrated by including spinning as well in the proud list of its manufacturing capabilities.

Hanung is growing at a steady rate and is looking at 20-25% growth in the coming year. “For us the growth area is our furnishing business as the toy business is highly labour-oriented; we all know that labour is getting critical everyday so it’s better to expand business where the human intervention is least required,” shares Bansal.

C.A. Patel Textiles diversifies into garmenting; to invest Rs. 30 crore

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United India Exports focusing on Gulf for exports

With the traditional markets of the US and Europe not giving orders in quantities that

earlier existed, the question facing most exporters is what to do? Among the most obvious directions is seeking new markets and interestingly, emerging markets like the Gulf countries are proving very potential options. United India Exports, Noida is one of the exporters who have found good results in this market. The company having started its export 10 years ago with Gulf countries, eventually shifted to EU and US for good business and secured payments. However, with the market coming full circles, the company has again started working with Gulf buyers.

Mohammad Aslam, partner of the company who was earlier working as an importer in Gulf was upbeat, but warned of problem areas. “Payment terms were the big problem with Gulf buyers, so we shifted our priority to the EU and US. Now the scene has changed and we are working with them again with little modification in payment system. There is no other way for survival as orders are 70 per cent less from western countries.”

United India Exports is also getting into domestic retail with their in-house brand Lubaba for Indo-western wear and Indian ethnic wear with small but different manufacturing and merchandising staff. The brand will be sold at chain stores.

knits and we did a survey in India and found that there is huge gap in knit supply. So we decided to start a knit process house. We are planning that even in the new process house we will produce mostly organic fabric. Its 60 per cent production will be exported and the rest will be supplied to Indian undergarments manufacturers.”

Apart from new process house, the company is also planning to start garment exports and it will start with its organic garment brand Tvach. “Sampling of Tees for a buyer in France is going on and we are sure to get orders,” says Arvind. Meanwhile, the company will also launch its kids wear brand Gubligee in India in October.

Started in 1999, Yuti is GOTS certified and deals also in herbal dyed fabrics. Currently, most of its stitching job is outsourced from its own certified vendors. With a turnover of Rs. 25 crores, the company is expecting 100 per cent growth after the expansion.

Maharashtra based fabric processing unit

and garment manufacturer Yuti Textile Processors is on expansion mode. The company known for organic and dress material fabric

and garments is putting

in place its knits process

house named Malltex Prints

with the capacity of 5 to 8 tonnes per day, which will be fully operational very soon. Yuti Textile has invested Rs. 7 crore on the

processing unit with all imported and high quality machines. Currently, the company is having the capacity of 250,000 metres woven fabric per day.

Speaking to Apparel Online, Arvind Pawar, CEO of the company said, “At present we are exporting only organic natural dyed woven fabric mainly to European countries. While participating in BioFach, Germany recently we got many enquiries about

induStrywire

Yuti Textile sampling for France;

to start garment export soon


September 2012 edition of India Market Days at Apparel House sees buyers from Emerging Markets

The Fiber to Fashion event going more international

The September edition of India

Market Days, funded under the Market Access Initiative (MAI) Scheme of Ministry of Commerce & Industry, Government of India, for inviting overseas buyers and buying agents under Reverse

BSM, was inaugurated by Sudhir Sekhri, Chairman Export Promotion. Chairman (F & B), HKL Magu and Pritam Goel were also present on the occasion. “The event will help the garment exporters find the right partners for their business. Through Apparel House, we have provided them with the well spaced showrooms wherein they can interact and negotiate good business,” said Sekhri in his welcome address.

More than 100 showroom holders at the Apparel Mart exhibited their latest collections to buyers from countries like Greece, Australia, Botswana, South Africa, Ecuador and USA.

The Annual Fiber to Fashion show

organized by The Southern Gujarat Chamber of Commerce

& Industry (SGCCI) will have a more international flavour this time. To be held at the Surat International Exhibition and Convention Center from 5th to 7th October will see almost thirty machines and textile companies from China, Bangladesh and other countries participating. The last fair was more focused on fabric, but this year it

Some of the leading buying agents like UCB, Numero Uno, Reebok, Li & Fung, Texport India Inc., to name a few also visited the event. Exhibitors from Jaipur, Gurgaon, Noida, New Delhi and Ludhiana, displayed a wide product profile covering the entire value chain of the textile and clothing industry.

The last India Market Days event in July 2012 generated revenue of Rs. 58 lakhs and the next set of Market Days will be organized in the month in November 2012. As the market days progress, more and more buyers from abroad and buying offices are taking keen interest.

will cover the complete supply chain from yarn to apparels and machinery also.

In conversation with Apparel Online, Paresh Patel, President of SGCCI informed, “As the market is slow in these days, such kinds of events will be a push to market. To enhance business opportunities we decided to open the event for complete supply chain solutions and see the response, we are confident that more than 30 foreign companies will display their products along with 250 companies from India.”

Visitors will be able to source and see latest developments in yarn, threads, fabrics, apparels, home, technical textile and textile machinery. “As for the buyers, we are hoping for more than 2,000 visitors; out of which more than 200 will be international buyers from Dubai, Thailand and even from China,” says Patel. He claimed that as the new textile policy for Gujarat State is awaited and the textile and garmenting players of Gujarat are planning to diversify within the textile business. Seminars on various topics will also be held during the event. More than eight associations are supporting the event.

Buyers prefer ‘Made in USA’ products at MAGIC… Low Footfall for India Pavilion

Interrupted by extreme weather and reports of flash

flooding, thunderstorms and delayed flights, the Sourcing Zone at MAGIC opened its doors with exhibits for around 1,200 manufacturers from over 40 countries. The Indian contingents were largely disappointed with the footfall, especially on the third and the fourth day as the visitors preferred to stay in their rooms rather than going to the show in the harsh weather. The first-time participants were particularly disappointed, especially after hearing fairly good reviews of its earlier shows.

MAGIC – A huge platform in terms of sourcing and retail exchange for the country, brought in very little business for the Indian exporters, where some claimed to have done better business than their neighbours, while others were left waiting for buyers to visit them. One of the factors that impacted footfall was the largest ‘Made in America’ pavilion to date, where Sourcing Zone ended up proving to be one of the biggest opportunities and highlight for the US economy and manufacturing units. In fact, it left the Asian manufacturers considering a bit about the future threat of buyers moving closer to their home manufacturing units.

Being one of the largest events of its kind, MAGIC presented American businesses with a unique opportunity to highlight ‘Made in America’ products to the global audience. Many exhibitors confirmed that large numbers of buyers were seen taking rounds of the American stalls, but were conspicuously absent at other pavilions.

Buyers were seen busy talking business at many of the showrooms at Apparel House

Events of SGCCI are always well organized, a view of last event

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Import of Apparel still in the red... Values down (-) 0.64%; Volumes fall (-) 4.22%

US Import Analysis – Jan.-June 2012

Buyer-Seller event in Israel for the first time In a bid to target the Middle East Market, the AEPC recently organized a Buyer-Seller Meet in Tel Aviv, Israel. The show was inaugurated by Secretary (Textiles), Government of India Kiran Dhingra at the Tel Aviv Exhibition Centre. Speaking on the occasion, Dr A. Sakthivel, Chairman AEPC said, “Israel is an important market and with the India-Israel FTA in the anvil, we are hopeful of increased trade between the two countries. AEPC for the first time is organizing a Buyer-Seller Meet in Israel to capture not only the Israel apparel market but also US $ 11 billion apparel market of Middle East region.”

The first day of the two-day show saw over 140 buyers from leading retail chains like Delta, Fox, Co op Israel, Matimli and Crazy line, Dr Yuli Tamir, President, Shenker College of Engineering & Design, besides many leading fashion designers were also present on the occasion. On the occasion a high level delegation was also mounted with the aim of exploring areas of cooperation between Israel and India in the areas of Textiles and Apparel.

Taking this mission forward, Chairman AEPC signed an MoU with Israel Export and International Cooperation Institute. Ramzi Gabby, Chairman of IEICI, signed on behalf of the Institute.

The MoU is aimed at enhancing trade and economic relation by expanding business and cooperation in the sphere of clothing and fashion industries, innovative technologies and possible solutions for the textile industry. AEPC and IEICI will be working towards facilitating linkages of appropriate organizations that can contribute in furthering apparel trade. Sakthivel was hopeful that the MoU will go a long way in knowledge transfer for mutual enhancement of trade.

SNIPS

The first half of 2012 was disappointing for apparel

retailers in the US with imports also down both in value and volumes, while the imports were down (-) 4.22% in volumes, the value took a beating of (-) 0.64%. The average UVR was however higher than the same last year at US $ 3.21. Not surprisingly, there is an obvious shift from cotton apparel to garments made from manmade fibre (MMF) as the imports of MMF garments increased 12.54% in value and 6.17% in volumes, while imports of garments manufactured from cotton took a major blow declining (-) 7.53 in value and (-) 11.23% in volumes. In fact MMF garments was the only segment of growth in US apparel imports.

Although the US economy is expected to improve slightly in the second half of the year, 2012 will be the third straight year of disappointingly slow growth – winding up at around 2% after inflation. The pace of growth in the first half of the year was just 1.8%, the same as for full year of 2011.

In fact, looking back to 2010 – the first full year after the recession ended – with its growth of 2.4%, the three-year span will be the three slowest consecutive years of economic growth, outside of a recession or depression, back to 1930. In the second half, analyst expect consumers to spend a little more freely, encouraged by lower gas prices and shrugging off the modest rise in food prices from the drought. But business investment isn’t likely to improve from its recent slow pace, as owners and managers await clear signs that Congress will avert tax hikes and spending cuts due at year-end. An upturn in housing is a plus, albeit a small one.

As the year progresses, it’s more evident that the impact of the 2008-2009 financial crisis and subsequent recession will linger for a long period, crimping growth at least through 2013. Yet, while the economy is sending warning signals, importers’ order books for the back half of 2012 are

relatively bullish. The recent global Retail Manufacturers and Importers Survey by Capital Business Credit found that 33% of importers selling to major US retailers are seeing an uptick in their holiday orders, while another 44% report their orders are the same as last year. Additionally, 87% of importers said the back-to-school season would be the same or stronger than last year’s.

In the meanwhile, India’s exports to the US continued to decline and in the first six months of 2012, lost out in both value and volumes by (-) 9.73% and (-) 13.66%, respectively. The average UVR of the country stood at US $ 3.65, up from US $ 3.49, same period last year. Bangladesh also registered downfall in both value and volumes during the review period of (-) 1.87% and (-) 7.89%, respectively. The average UVR of Bangladeshi exports to the US was US $ 2.92, up from US $ 2.74 in the same period last year.

exportStatiStiCS

TOTAL US GLOBAL APPAREL IMPORTS — JAN.-JUNE 2012

TOTAL APPAREL EXPORTS TO THE US BY INDIA AND ITS COMPETITORS — JAN.-JUNE 2012

Type of Apparel JAN-JUNE 2009 JAN-JUNE 2010 JAN-JUNE 2011 JAN-JUNE 2012 % Change

Qty Value Qty Value Qty Value Qty Value Qty Value

Cotton 5,994.31 18,685.01 6,846.66 20,176.10 6,595.47 21,878.19 5854.472 20231.21 -11.23 -7.53

Wool 53.23 865.73 57.27 885.15 64.78 1,037.51 56.121 1083.3 -13.36 4.41

MMF 3,348.06 8,433.20 3,992.40 9,455.43 4,606.63 11,655.25 4890.842 13117.097 6.17 12.54

Silk & Veg 192.83 925.53 179.80 826.09 206.71 985.61 187.83 898.114 -9.13 -8.88

Total 9588.43 28909.47 11076.13 31342.78 11473.58 35556.55 10989.27 35329.72 -4.22 -0.64

Qty & Value in mn M2 & US $

Type of Apparel JAN-JUNE 2009 JAN-JUNE 2010 JAN-JUNE 2011 JAN-JUNE 2012 % Change


India 508.75 1,593.75 541.52 1,694.91 542.93 1,894.71 468.776 1710.347 -13.66 -9.73

Bangladesh 699.01 1,741.16 774.36 1,835.45 859.33 2,355.39 791.55 2311.45 -7.89 -1.87

China 3,337.88 9,422.36 4,218.82 11,007.85 4,100.08 11,992.62 4133.05 12034.478 0.80 0.35

Pakistan 307.06 597.90 327.01 666.04 326.02 816.99 282.11 679.241 -13.47 -16.86

Sri Lanka 162.74 634.22 159.12 595.55 170.79 680.03 166.777 745.325 -2.35 9.60

Vietnam 752.04 2,347.60 875.62 2,633.99 1,002.87 3,096.52 1036.158 3298.591 3.32 6.53

Qty & Value in mn M2 & US $

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US Import Analysis – Jan.-June 2012

Though fashion continued to move merchandise in Canadian retail with specialty clothing stores sales seeing growth increase 7.7 per cent in the first half of 2012, the reflection of the same is not seen in the import data. Analysts don’t expect robust improvement in retail sales in the next six months and even in apparel it is the ‘cheaper’ products that are moving…

In the first six months of the year, Canada registered decline in value of imports by (-) 1.95%; while knitted garments registered a decline of (-) 4.17%, the import of woven garments increased marginally by 0.23%.

Indian garments exported to the Canadian market in the review period overall saw a decline of (-) 17.86% in value. The category to lose ground was the knitted segment with downfall of (-) 32.24%, the woven category saw less sharp decline of (-) 5.39%.

Bangladesh too registered decline in its exports to Canada in the first six months of this year, the country registered decrease of (-) 2.54% in value of exports. While the knitted garments were down (-) 11.69%, the woven categories, registered increase of 6.02%.

Even China, the leading supplier to the Canadian market, registered a decline in exports to Canada in the first six months of this year with value of exports down by (-) 7.37%. The country could not register gains in both the knitted and woven category with declines of (-) 7.70% and (-) 7.07%, respectively.

Vietnam, however, registered noteworthy growth in this period and value of exports to Canada saw increase of 16.76%. The increase was registered in both the knitted and woven segment of 18.10% and 15.39%, respectively.

Canada Apparel Imports: Jan.-June 2012

Canada sees marginal growth in woven imports

Trousers register decline in US, India sees major downfall

With US $ 8,654.18 million worth of imports by the US in the first six months, trousers were the second largest product category imported into the US. The volumes too are huge and in the period under review, the US imported 127,174,740 dozen trousers from different manufacturing locations around the world. The category could not register gains in the first half of 2012 and declined (-) 8.62% in value from the same period last year, and (-) 0.51% in volumes.

India has seen major decline in trouser exports to the US in the first six months of 2012 which is very disappointing. The total exports of trousers during the period were 2,761,313 dozens worth US $ 221.75 million. The category saw decline of (-) 11.70% in value, while volumes saw decline of (-) 24.95% against the same period last year.

Bangladesh surprising too registered negative growth in trousers category both in value and volume terms during the first six months of this year, though it is one of their core strengths. In value terms, the export of trousers from the country was worth US $ 1,179.34 million with volumes of 18,644,790 dozens. The product saw decline in values of (-) 0.83% while the volumes were down (-) 16.49%.

Men’s Shirts continues to see downward movement for India

Among the core category of imports for the US, shirts registered decline of (-) 3.55% in value from the same period last year. In volume terms there was a downfall in imports during the first six months of 2012 of (-) 12.31% from the same period last year, total imports in the category was of 18,016,002 dozens, worth US $ 1,592.68 million.

For Bangladesh, shirts are a major category with total exports from the country of 4,448,318 dozens worth US $ 271.09 million in the first six months. The category, however, saw a decline of (-) 6.36 in value and (-) 13.03% in volumes.

For India, shirts have been a growth category and many exporters in the south, particularly in Chennai have thrived on this category. During the period under review, India exported US $ 97.51 million worth of shirts with decline of (-) 24.72% in value, while volumes decreased by (-) 27.44%.

ITEM-WISE PERCENTAGE INCREASE IN APPAREL IMPORTS BY US: JAN.-JUNE 2012

exportStatiStiCS

APPAREL TYPETotal Imports by USA

Exports to USA

China India Bangladesh Vietnam


Babies Wear -12.46 -10.17 -12.56 -11.50 -14.54 -5.13 -8.17 -4.79 -1.75 7.99

Foundation Garments -3.92 2.45 1.20 7.71 21.28 30.49 -24.53 -10.97 6.91 23.18

Jackets & Blazers -14.02 -7.04 -17.15 -15.50 -2.11 -2.41 -5.14 1.62 -4.71 6.04

Ladies Blouses -0.37 0.18 4.21 1.89 -7.51 -1.73 -24.82 -16.08 24.04 17.47

Ladies Dresses 5.77 8.58 10.20 8.27 -10.91 -2.55 -4.50 -10.07 20.06 28.82

Ladies Skirts 23.48 16.08 33.97 18.54 -9.78 -3.88 45.97 33.27 22.84 12.17

Legwear -5.30 2.94 7.17 19.53 2.67 8.28 — — -27.49 2.21

Mens Shirts -12.31 -3.55 -12.35 -5.84 -27.44 -24.72 -13.03 -6.36 -23.83 -11.11

Nightwear -3.03 -5.45 -4.10 -4.10 26.30 13.14 25.75 14.76 -7.65 -13.54

Suits / Ensembles -10.10 11.50 -20.79 -3.40 -13.66 29.10 -26.76 6.10 1.82 -5.18

Sweaters -1.58 9.53 9.89 18.07 9.41 25.22 -51.84 -54.52 -58.87 -54.19

Trousers -8.62 -0.51 -5.05 -3.23 -24.95 -11.70 -16.49 -0.83 4.14 9.80

T-Shirts -5.35 -3.73 2.52 -2.42 -19.18 -16.02 0.60 -6.31 1.89 4.12

Undergarments -11.04 -5.06 8.49 10.00 -33.33 -29.21 15.77 18.65 -6.90 -2.76

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Working together as the mind and soul of the business, Nitin and Vipul give the

company both experience and marketing strength as its edge to prosper and mature in the market. These strengths are the reasons that have propelled this four years old company into the big league, already working with established names and brands like Next, Marks & Spencer, Debenhams, Mother Care, s.Oliver, Max, C & A, Van Heusen, Arrow, Quiksilver and many more. Claiming to be the preferred choice amongst buyers, Vipul asserts they have never felt the need of nominations and are doing fine without them.

While Nitin is a printing specialist with nearly two decades of experience, Vipul is the marketing expert, looking after business promotion and allied activities. “With so much experience between us, starting up our own unit was the next logical step to grow,” reasons Vipul. With a production capacity of 1,00,000 pieces per day, the company works well with bulk orders and products in 21 to 23 working days and final samples within six to seven working days.

‘Print your imagination’ being the company’s motto, Victory International works on a number of customized buttons, with M.O.Q (Multiple Order Quantity) of 30 to 50 gross per design. “We work on various accessories and print on metal snap fasteners, ring snap fasteners, eyelets, rivets, metal

buttons, plastic buttons, shell buttons, wooden, nylon, coconut, jeans buttons, cap snaps and other garment accessories,” informs Vipul. Established with the idea of doing something unique and coming up with new developments in design, the company has never ignored or compromised with the safety parameters and norms.

The company’s printed buttons are free from toxic materials tests, along with being colour fast in water. All test regarding washing, printing and the durability are adhered to. “We have passed all the tests with SGS and Intertek and associate very closely with them to work on our products. We are aware that the safety parameters for kids are extremely stringent, and we take special care of them during our manufacturing process. We are only using OekoTex standard buttons for printing, mostly sourced from the Jindal Buttons and the inks used for printing are of REACH standards,” affirmed Vipul.

Even as the demand for snap closures and buttons are equal in the market at present, brands and buyers of kidswear prefer to use printed buttons in their garments to add an extra appeal and value to the look of the piece. Understanding the potential and demand for the same, the company is working on various buttons for kids including prints on polyester, metal, wood, shell, coconut, acrylic, nylon, etc. “We do manufacture an array of designs for kids in various surface

bases, but the most demanded base at the moment are plastics and metals. Apart from this, there is a huge demand of animal and cartoon prints on buttons for boys and floral prints and polka dots on buttons for girls. As far as designing of the buttons is concerned, since we work with buyers, the art-work is provided by them most of the time. However, we have a fully equipped in-house design setup to cater to the demands of our buyers. Our design team is constantly coming up with new designs for our catalogs,” elaborates Vipul.

With the market conditions witnessing a slowdown globally Vipul feels that this has not affected the kidswear segment as adversely and there is still a very good demand for printed buttons for kidswear both in the domestic and international markets, particularly in Europe and America. “We are not looking forward to expanding for the time being, I think it is more important to sustain business and we are getting good and sufficient orders to pass the storm peacefully,” concludes Vipul.

Following the growth and new advancements in the kidswear segment

globally, companies manufacturing value additions for these garments

have also moved on to developing new styles and variations in their

products. Chennai based Victory International established in 2009

by Nitin N Singhi and Vipul A Bhanushali, is amongst the pioneers of

printing designs on garment accessories and specializes in printed

buttons of all shapes, especially for kidswear…

Victory International Adding value to the kidswear segment…

Vipul A Bhanushali Partner, Victory International

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Packaging ‘sales’ not only products r-pac India ready for every challengeMoving beyond the confines of ‘trim suppliers’, US-based r-pac India is known today as a packaging expert with a very broad product line that includes everything from insert cards, labels, and hang tags to poly bags, vinyl bags, PE sleeves, box trays, corrugated boxes, and master cartons, to name but a few of the options offered. Over the years r-pac has redefined both master and primary product packaging strategy, making packaging an integral element of marketing. In an exclusive interview with Apparel Online, Paulose Parakkadan, Operations Director, r-pac India discusses the changing dimensions of the packaging industry and how r-pac is meeting these challenges.

orging strategic partnerships with top retailers, among them

Walmart, Target, Sears/Kmart, JCPenney, Kohl’s, Macy’s, and Bed Bath & Beyond, r-pac has become a major resource in conceptualizing packaging ideas that maximize a product’s ability to sell… the ultimate aim of every retailer and brand. “Many projects have taken as long as 2 to 3 years to finalize, as presentation discussions start almost the day the product is conceptualized but, on an average, samples take about 10 days after confirmation of concept. The majority of time is spent on the drawing board, and we don’t bill that time,” says Paulose. He emphasizes that packaging is no longer about only safe transportation but it is also a powerful tool to enhance sales, and r-pac has established itself as a creative solution provider for many global brands and retailers.

r-pac has made a major packaging contribution in the field of corrugated packaging and poly bags for US and European retailers and department stores. This includes both offset and flexo printed items like boxes, trays, corners, gift boxes with APET, PDQs, bins, pallet displays, 3-ply master

“Our strength lies in the ability to forge partnerships in each country to offer a flexible and wide product range.The global volume that we execute gives us greater raw material purchasing power which enables us to offer competitive rates.”

Paulose Parakkadan Operations Director, r-pac India

cartons (transit test compliant), header cards, inserts, stickers, hangtags and, most recently, bio-degradable poly bags for Gap, Old Navy and Banana Republic.

Servicing India since the early 1990s, r-pac International Corp opened an India office in 2003 and since then has expanded its partnership model of operating. Packaging, especially poly bags and printed corrugate packaging, was always a challenge for many in India. “Our strength lies in the

ability to forge partnerships in each country to offer a flexible and wide product range.The global volume that we execute gives us great raw material purchasing power which enables us to offer competitive rates,” reasons Paulose.The concept behind r-pac’s working approach is to keep service and supply as local as possible.

A current focus in packaging is sustainable materials, and r-pac is geared to keep pace with

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Packaging is no longer about only safe transportation but it is also a powerful tool to enhance sales, and r-pac has established itself as a creative solution provider for many global brands and retailers. A current focus in packaging is sustainable materials.

the trend. “Earlier, it was white packaging now it’s all brown, because the material used is recycled and the demand for use of ‘natural’ and renewable resources is very strong with international buyers,” says Paulose. r-pac’s structural designers and engineers work to ensure that its packaging is recyclable. Recently they designed a master carton for a major client with cleverly crafted natural lock slits that do not open in transit, replacing the need for cello tape. “New technologies have empowered the sustainable movement with the manufacture of very strong packaging from recycled material,” adds Paulose.

Another aspect of great importance when working on a global platform is consistency of colour on the packaging irrespective of the product’s country of origin. r-pac achieves global colour consistency via a well equipped colour measurement system for exact reproduction and printing of colour on various materials. “On an apple-to-apple basis we are very competitive, as we bill for only the final product and not for the extra miles we go to create a consistent, quality product. Sometimes as many as 100 samples are shown and only a

few are approved, but that is our own quest for excellence,” says Paulose. And with this philosophy, r-pac India has been designing, manufacturing and supplying both primary and secondary packaging to the specifications and standards of global clients over the last few years, including Walmart, Target, K-mart, SAM’s, JCPenney, and Hanes.

The company is also working extensively with Welspun on many towel and sheet set programs for the international market. To share market trends with various Welspun teams, including buyers, r-pac

Display of some of the packaging options r-pac offers

is planning to organize an ‘Inspiration Day’ to showcase the variety of packaging ideas that they have provided and from which the teams can gather concepts that could work for them. Very upbeat of their capabilities Paulose concludes, “We try and address individual needs, ranging from small quantities to unique materials and concepts, and this has made r-pac a preferred choice for many buyers and exporters. Going forward r-pac’s aim is to never say no to any challenge and keep pace with new packaging trends.”

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Sambatur Sourcing Looking to enter the US market soon

Gurgaon based buying house Sambatur Sourcing, catering to the

needs of buyers looking for mass and premium range women’s wear in Germany, Netherlands and France, is shifting its base to a new and more spacious office in the city. The buying agency started its operations 2½ years ago under the leadership of Padma Reddy, a recognized figure in the industry, known for her work and experience in the field. She has been associated with both the buying and manufacturing side of the business since having worked with companies like Triburg and Orient Craft.

The buying office at present is looking to expand into the US as their new market base.

categories and are not taking products of similar nature from any other buying office.

With a collection that ranges from jerseys, woven garments, leather products and accessories, the FOB’s of the buying house vary anywhere between 6 Euros to 70-80 Euros with order sizes starting from 800 pieces and going up to 15,000 pieces. While most of the buying houses are running to rope in big orders, Padma is fine with small quantity orders and is working towards forming credibility for her buying office. “I believe in working towards building a good credibility and providing my buyers with quality products as this brings your buyers back to your doorstep. I am confident that mutual respect will help

us both grow together. Once we have consolidated sourcing for women’s wear, we would like to expand into jerseys for men with the same buyer base,” concludes Padma.

At present, Padma is consulting with some apparel companies for improvement in systems of production and quality. She is all set to launch her book, The Smart Merchant via the Triburg Center for Learning, a ‘must have’ for every merchandiser in all supplier countries. She has also come up with a training programme for the trainers of sewing machine operators, and is working towards conducting training programs in Orissa and other sectors for the trainers of sewing machine operators in institutes set up under the NSDC scheme.

“Despite, what people say, the stock market has shown that the US economy is performing really well and business is on the upsurge. Though, I’m not sure how long this will take but, we’ll definitely enter the US market,” opines Padma. All the buyers working with Sambatur have given them exclusive rights of sourcing on particular product

Padma Reddy Director, Sambatur Sourcing

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