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TEXTILE

VALUE CHAIN

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June 2016 Volume 4 Issue 6 Pages 40 Registered with Registrar of Newspapers under | RNI NO: MAHENG/2012/43707 Postal Registration No. MNE/346/2015-17 published on 5th of every month,TEXTILE VALUE CHAIN posted at Mumbai Patrika Channel Sorting Office,Pantnagar- 75, posting date 17/18 of month


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EDITORIAL

Expected Scenario of Cotton Production and Prices in the forthcoming new Cotton season When on the threshold of a New Year, everybody is interested to know how the New Year will turn out to be. The cotton season starts on 1st October and ends on 30th September of the next year. Thus, cotton season 2016-2017 will herald its arrival on 1st October 2016 and will end on 30th September 2017. ‘Cotton price is the function of cotton production and demand, which in turn depend upon opening stock, bumper monsoon, reliable seed and area under cotton.’ At the start of Agricultural year, the prediction was for a bumper monsoon being 106% of the average of the Long-Term Period. This had naturally created an atmosphere of joy and happiness. But the performance and prediction of monsoon in the last 2/3 days was not very satisfactory. First came the report that monsoon has further delayed by 3/4 days. Concurrently, IMD (Indian Meteorological Department) advised farmers to postpone sowing of seeds till the onset of monsoon. But the subsequent progress of the monsoon cleared the doubt harboured in the minds of people. The weak point of the incoming cotton season is that opening stock for the season 2016-17 is 38 lakh bales, as per the estimate of Cotton Advisory Board which met on 3rd November, 2015, against the opening stock of 52 lakh bales for the cotton season 2015-16. But there are other factors which will influence cotton prices. Because of sombre global economic scenario, exports of cotton textiles and ready-made garments may be weak, thus affecting the demand for cotton. On the policy side, it is gratifying to note that Government is very much concerned about relatively high prices of cotton seed and its reliability aspect. If the monsoon turns out to be kind, there will be no room for pessimism. The real problem of the textile industry is the lack of efforts for unbiased projection of cotton production which currently depends mostly on hearsay. Unless this basic problem faced in the past several decades is not corrected immediately, the industry will keep on groping in the dark and the planners may not be able to make correct assessment of the prevailing situation. Government is very keen to develop Cotton Textile Industry in rural areas, which is obvious from the schemes targeted in that direction. All such efforts will drastically change the fortune of the textile industry.

Shri V.Y. Tamhane Editorial Advisor All rights reserved Worldwide; Reproduction of any of the content from this issue is prohibited without explicit written permission of the publisher. Every effort has been made to ensure and present factual and accurate information. The views expressed in the articles published in this magazine are that of the respective authors and not necessarily that of the publisher. Textile Value chain is not responsible for any unlikely errors that might occur or any steps taken based in the information provided herewith.

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June 2016


CONTENT NEWS 9- ATE & ARVIND

June 2016 ISSUE EDITORIAL TEAM Editor & Publisher Ms. Jigna Shah Editorial Advisor Shri V.Y. Tamhane Consulting Editor Mr. Avinash Mayekar Graphic Designer Mr. Anant A. Jogale Marketing & Advertising Mr. Md. Tanweer

INDUSTRY

Mr. Devchand Chheda City Editor - Vyapar ( Janmabhumi Group) Mr. Manohar Samuel President, Birla Cellulose, Grasim Industries Dr. M. K. Talukdar VP, Kusumgar Corporates Mr. Shailendra Pandey VP (Head – Sales and Marketing), Indian Rayon Mr. Ajay Sharma GM RSWM (LNJ Bhilwara Group)

EDUCATION / RESEARCH

Mr. B.V. Doctor HOD knitting, SASMIRA Dr. Ela Dedhia Associate Professor, Nirmala Niketan College Dr. Mangesh D. Teli Professor, Dean ICT Dr. S.K. Chattopadhyay Principal Scientist & Head MPD Dr. Rajan Nachane Retired Scientist, CIRCOT

CONSULTANT / ASSOCIATION

Mr. Shivram Krishnan Senior Textile Advisor Mr. G. Benerjee Management & Industrial Consultant Mr. Uttam Jain Director PDEXCIL; VP of Hindustan Chamber of Commerce Mr. Shiv Kanodia Sec General, Bharat Merchant Chamber Mr. N.D. Mhatre

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10- DANFOSS

COVER STORY: HOME TEXTILE trends 11- Market Trends by Mr. Avinash Mayekar 12- Home , Art & Smart by Mr. Vishnu Govind 14- Home Textile : An Eldorado by Mr. V.Y. Tamhane 15- Market Trends of Home textiles

ARTICLES 16- Create brands & not products : Emotional Connection to Customer by Mr. Rushin Vadhani 17- Lines aligned to look fine by Professor from Punjab Agriculture University 19- What is TPP? by Mr. Arvind Sinha 21- Catalyzing Technical textile business in India through Indigenous Machinery by Mr. B.S. Pancholi

MARKET REPORT 25- Yarn Report by YNFX 29- Cotton Report by Cotton GuruTM 30- Surat Report by TVC Reporter 34- Trend Forecast in Home Textiles

SHOW/ EVENT REPORT 27- SIMA TEXFAIR 28- ITAMMA 32- LIVA Confluence 2016

Advertiser Index Back Page : Raymond

Page 7 : Luthra Pneumsys

Back Inside : Liva

Page 8 : Gartex 2016

Front Inside : Raysil

Page 34 : Sanjay Plastic

Page 3: Citizen Synthetics

Page 38 : RSWM

Page 5 : SGS Innovation

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June 2016


NEWS A.T.E. ties-up with Savio Macchine Tessili group from Italy A.T.E. Enterprises Private Limited of India and Savio Macchine Tessili group from Italy have entered into a strategic partnership at parity position for sales & marketing of Automatic Winders, Two-For-One Twisters (TFO), Continuous Yarn Shrinking Machines, OE Rotor Spinning Machines in India from 1st April 2016. The Savio group for more than 100 years after its modest beginning in 1911 has played major role in development of textile industry worldwide and with its manufacturing facilities in Italy, India and China that offers state of the art machines. Savio India Ltd., the advanced TFO manufacturing set up of Savio group in India, will continue to provide and ensure state of the art Customer Support and Spare Parts Services. The A.T.E. group, with its strong marketing network through 11 offices across India and a knowledgeable sales and marketing force, complements the competence of the Savio group as Savio’s sales and marketing partner in India. A.T.E. is in the unique position of being the only company with a presence across the entire textile value chain for textile machinery & accessories, utilities and complete after sales service solutions (for key segments). A.T.E. thus is the only company with the capability of offering to Indian customers a ‘one window solution’

from spinning to garment making. The Savio group has taken a quantum leap and cemented it’s technological trend setter position with its new automatic winder series EcoPulsarS, launched during the recently held ITMA at Milan. Through the new winder EcoPulsarS, Savio has introduced an entirely new concept, which has a capability of giving users up to 30% energy savings and up to 10%, enhanced productivity. Savio’s well proven and the best selling automatic winder model Polar is still the #1 winder in many world markets. Savio is also a front runner with a wide range of Two-For-One twisters diversified for different market requirements. The Savio twisting technology combined with an ingenious machine design offers low investment costs together with minimum power consumption, low maintenance times and the lowest life-cycle costs. With two models : the new generation machine Sirius with an Electronic Drive System (EDS) and the traditional twisting machine Cosmos, Savio has been able to address the different needs of different segments of

the markets, offering long term benefits to its customers through cost effectiveness, energy saving and low investment cost. The partnering of Savio with A.T.E., is set to immensely benefit the Indian textile industry, as the expertise from these two leading groups, offer complete winding and twisting solutions to the Indian customers which will give them a sustainable competitive advantage in their business Savio and A.T.E. will soon be organising customer days across India for presenting the most advanced winding and twisting technology solutions to the Indian customers.

Arvind OG Nonwovens launches five brands for bag house filtration Arvind OG Nonwovens, a joint venture between Arvind Ltd (India) and OG Corporation (Japan), today announced the launch of five globally respected brands for Bag House Filtration in India at Non-Woven Tech Asia 2016 event in Mumbai. “The five brands namely– Fiberlox, Duotech, Checkstatic, Glasstech and Mircofelt will make Arvind OG a player with largest portfolio of world class products manufactured in India for Bag House Filtration. The technology and processes required to manufacture these brands were an integral part of acquisition of Andrew Industries”, said a spokesperson from Arvind Limited. AOG has installed custom-built machines specifically designed to achieve Japanese quality standards and capable of handling various fibres such as M-Aramid, Homopoly-

June 2016

mer Acrylic, Poly-phenelyene Sulfone (PPS), Polyimide, Polypropylene and Polyester. These are manufactured to deliver highest global standards of quality. Arvind OG Nonwovens Pvt. Ltd., inaugurated its manufacturing facilities near Ahmedabad, Gujarat, on 31st May 2014. The JV manufactures high quality Nonwoven fabrics using Needle-punch technology for Bag house filtration. The JV also has technology alliance with Kureha Ltd of Japan. About Arvind Ltd: Arvind Limited is India’s largest textiles & clothing conglomerate, having achieved a turnover in excess of US$ 1.2 bn in FY2015-16. About OG Corporation (Japan): OG Corporation of Japan, established in 1923 and with a reported turnover of US$1.1 Bn in 2015, is a specialized trading company that sells, exports, imports and manufac-

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tures a variety of high value products in Japan and world-wide. They serve over 3,300 customers in Japan with strong established bases in China, India and South East Asia that continue to grow and expand rapidly in North America and Europe as well as branching into adjacent businesses. About Kureha Ltd. Kureha Ltd, established in 1960, is a leading Nonwoven fabrics manufacturer of Japan. It is a group company of the Toyobo Group which is a US $3.4 Bn giant and pioneer in the field of technical fibres and fabrics. Kureha R&D aims to create new generation of products with their unique technologies and developmental power, with the objective of producing high quality products in shorter time with high customer satisfaction.

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NEWS

Danfoss launches “Energy Efficiency Yatra” to redefine industrial motor efficiency in India DANFOSS ENERGY EFFICIENCY YATRA Theyatra will cover • 32 cities • 11000 kms • Sectors like metal, steel, cement, power, chemicals, mining, industrial equipments manufacturing etc The yatra will showcase tools that can be employed by industries inorder to achieve energy efficiency from the perspective of cost saving as well as reduced carbon emissions. PRODUCTS ON DISPLAY: VLT DRIVES-FC51-MICRO, FC 102, FC103, FC360, FC302, FC280, OGD VACON-VACON 20, VACON100 FLOW, VACON 100 HPD, VACON NXP, VACON NXP, VACON 100X, VACON 20 COLD Aligned with objectives of initiatives like the PAT scheme to reduce energy consumption in energy intensive industries, this yatra will showcase sustainable interventions prompting industry leaders to take the leap towards a greener and economical future New Delhi, 15 June 2016:Danfoss, India a key player in the energy efficiency space today launched its flagship campaign “Danfoss Energy Efficiency Yatra” highlighting that a better tomorrow is driven by drives in an effort to promote and educate industrialists and policy makers on the need for adoption of better standards ofindustrial motors.Currently, with almost non-existent regulations for motor standardization, the industrial sector in the country is witnessing an increase in energy intensity, weighing more on the rising energy demand. With the need for energy constantly on the rise, it has been encouraging to note that the government has been actively introducing schemes like PAT (Perform, Achieve and Trade) to enhance cost effectiveness of improvements in energy efficiency in energy intensive large industries and facilities like aluminium, cement, chlor-alkali, fertilizers, iron and steel pulp and paper, textiles and thermal power plants. While sectors like cement are ahead in terms of Specific Energy Consumption (SEC) as compared to global standards, there is still scope for efficiency improvement in sectors like paper and pulp, aluminium, iron and steel. An impressive market opportunity for sustainable solutions has further renewed

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interest for technologies that drive sustainability. Industrial energy efficiency is estimated to beRs. 34,000 crore investment opportunity with cross sectoral interventions such as VFD, WHR accounting for 21% and 24% of the estimated investment potential respectively. “This initiative is primarily aimed at raising awareness on the need for stringent regulations and standardisations that have the potential to not just reduce overall carbon emissions from heavy industries but also catalyse productivity and thus profitability.Reports have suggested that energy efficiency measures like equipment and appliance standards along with building performance standards have the capacity to reduce CO2 emission by half, which can go a long way helping us reduce greenhouse gas emissions. The IEA reports that targeted energy efficiency measures would reduce global energy-related emissions by 1.5 gigatons in 2020-which said Mr. Ravichandran Purushothaman, President, Danfoss India. Flagging off the initiative, Mr.Soren said, “In India, industries consume nearly 42% energy of which manufacturing sector contributes more than 60% of consumption. Heavy industries like metals, cement and pulp& paper fertilizer are the major contributors for this high energy consumption. We want to tap this huge opportunity that we have in heavy industries which are energy intensive. With our established leadership in the drives division and with an installed base of 18.5 Million drives, we believe by 2025 more than 5 billion people worldwide will benefit directly or indirectly by Danfoss Drives in their everyday lives. We willalso be able to save the equivalent of 60 hours of global electrical energy consumption.” The multi-city tour of Danfoss Drives Energy Efficiency Yatra aims to empower industries to adopt brand new innovations in energy efficient technology. Beginning its journey in NCR Delhi, the bus will cover 11000kms through Ludhiana, Patnagar, Satna, Jamshedpur, Durgapur, Kolkata, Rourkela, Angul, Raigarh, Vizag, Guntur, Hyderabad, Chennai, Pondicherry, Cuddalore, Salem, Coimbatore, Bellary, Gulbarga, Kolhapur, Pune, Raigad, Nagpur, Indore, Vapi, Surat, Ahmedabad and Jamnagar in a span of four months.

About Danfoss India Danfoss India is an industry leader focused on energy efficient solutions, is a 100-percent owned subsidiary of Danfoss Group. Danfoss India serves a wide range of industries that rely on Danfoss products for like VLT® Drives, heating valves, controls & solutions for refrigeration, air conditioning, HVAC, district cooling and under floor heating applications. Danfoss engineers technologies that enable the world of tomorrow to do more with less. Established in 1998, Danfoss India is headquartered in Oragadam Chennai. True to its promise of energy efficiency, the 500 cr manufacturing facility at Danfoss’ Oragadam campus is a LEED Platinum rated facility with an on ground solar installation and has a focus on R&D and also houses an application lab. The focus of this centre is to design and innovate products for climate and energy for both India and outside market. Danfoss’ nation-wide sales and support network comprises of 10 offices and a strong network of channel partners and employs over around 800* people. Mr. Ravichandran Purushothaman is the President of Danfoss in India. About Danfoss Danfoss engineers technologies that enable the world of tomorrow to do more with less. We meet the growing need for infrastructure, food supply, energy efficiency and climate-friendly solutions. Our products and services are used in areas such as refrigeration, air conditioning, heating, motor control and mobile machinery. Our innovative engineering dates back to 1933 and today Danfoss is a world-leader, employing 24,000 employees and serving customers in more than 100 countries. We are still privately held by the founding family. Read more about us at www.danfoss.com

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June 2016


COVER STORY

“Market trends in Home Textiles” Shri Avinash Mayekar

MD, Suvin Advisor Pvt. Ltd. Home textiles reflects the choiceof an individual. It helps in setting internal environment of house. When you have busy, hectic day at the office, it is necessary to have soothing and charming environment at home. The home furnishing plays major role in relaxing the mind which includes cozy sofa, attractive curtains, smooth and soft towel & last but not the least, a very good bed. Sound Sleep plays a vital role in good health and well-being throughout the day. Sleep helps the brain work properly. Right kind of bed is equally important to have sound sleep. Thus home textiles directly affect human body & this is the reason, global awareness of home textile products is increasing. Continuous research is done to improve functional properties of home textile products considering the way it has shown its importance in human health. But, we Indians hardly give importance to such products. Though, there is slight awareness in metro cities in India but still it is negligible as compared to western countries. Home textile is one of the fastest growing categories in global textile and apparel trade.Global home textile industry is estimated at USD 63.13Bn in year 2015 and growing at a CAGR of 7%. The Indian home textile market is estimated to reachUSD 4.20Bn by year 2016. The industry is estimated to grow at a CAGR of 8%. Globally, US, EU & Japan are major importers of home textiles whereas China, India & Pakistan are major exporters of home textiles. The majority of home textiles are produced in Asia. Japan, Australia, New Zealand are largest consumer of home textiles. European countries are one of the biggest markets for Home Textiles.Total import in year 2013 stands at USD 10.43Bncontributing to 21% of total world’s import. Germany, UK & France are majorimporters. European countries majorly focus on the high-end of the market, with more technically advanced and design-oriented products, leading to a relatively high export value. Home textiles are classified into five categories namely bed linen, bath linen, table linen, kitchen linen & furnishing. Global Home Textiles Exports & Imports – In Bn USD

Source: WTO, ITC & Suvin Analysis

June 2016

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Today, consumer is equally cautious about the functional properties of the product along with color, styles, texture, pattern & fashion. Increasing awareness of health is also contributing to the growth of home textile sector. Innovative techniques, innovative products are coming up in the market & today’s consumer is bold enough to try those products with all confidence. With higher disposable income & rising retail culture, Indian customer taste is evolving day by day. Old laggard approach is no more in existence & this is all together a new business opportunity for entrepreneurs. Global Bed Linen market share was USD10.82 Bn in year 2014.The Indian market size of Bed Linen is estimated to reach USD 2.02 Bn by 2016 and expected to grow at CAGR of 8 %. Hospitality sector is one of the demand drivers in bed linen segment. Variety of innovations is being done to improve customer’s sleeping experience. For example, Westin’s heavenly bed is very popular. The bed is specially designed of 10 layers considering human body structure. Antimicrobial treatments are applied to blankets, bed sheets & pillow covers

to keep it fresh, clean & comfortable after repeated washes. Other innovative products like reversible sheets which can be used from both sides , cancer causing formaldehyde free sheets, sheets which are embedded with minerals in to core of the fibres which help in recycling body energy, micro twill sheets giving softer hand feel, sheets with various finishes like anti-bacterial conditioned finish, bioneem-protection against dust mites, sleep fresh finish, stress free finish, actiguard finish for dust mites protection, sanitized finish for antimicrobial protection, sheets made up of various special fibres like Tencel, Kanebo&Coolmax with inherent properties are gaining importance in the market. The annual world demand for cotton terry towels is estimated at 3 Mn. MT and growing @ 5 % p.a. while the current Indian market size of towel is USD5.9 Mnand expected to grow at CAGR of 8%. In terry towels, design& hand-feel has great importance as it

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COVER STORY comes in intimate contact with body. Different blends of yarns, fine counts are being used to achieve softer hand feel. Hollow core yarn is used to impart softness which makes it loftier wash after wash. Polyester slubs are also used to get softer hand-feels. Various fibres having inherent functional properties are becoming populare.g.eco-friendly recycled fibres having same look, touch & feel as conventional fibres, fibres having antimicrobial properties, light weight fibres for convenience during transportation, fibres with flame retardant properties, water repellant fibres. These fibres are used on various applications of home furnishes like table cloths, kitchen cloths, curtains, upholstery fabrics. Kitchen linen market size is estimated to reach to USD2.7 Mn by year 2016 in India. Table & kitchen linen market is strongly fueled by growing demands from western countries. Various products in these categories include tablecloths, table runners, napkins, table mats, aprons, gloves and mittens. Stain resistant and fire retardant are some of the popular finishes in these categories. The new trends are seen in home textiles where there is a possibility of disposable home textiles produced on nonwoven technology are likely to gain importance. This trend will be especially for hygiene related home textiles used in hospitals, hotels, etc. Spun lace nonwovens may replace this hygiene market segment totally because of low operating costs as water is the media which is used to bond the fibre web. The technology also facilitates embossed designs and embossed name plates for branding purpose. This sector may bring revolution especially for disposable bed linens, table

covers, napkins and for some curtain cloth fabric. Global trend is shifting towards organic products. Consumer is giving preference to ecofriendly, natural products over conventional products; hence many Home Textile manufacturers are focusing more on organic products. E-commerce is showing tremendous growth into Indian market. It is forecasted to grow at the CAGR of 75%. Indian customer is now moving from electronicssegment towards textile & apparel segments for online shopping. Home furnishing products will be adopting E-commerce as selling medium in future due to ease of selling & no challenge of size & fit. Today customer is investing more time & money on his home décor.In fact, many of innovative products are resulted from need of today’s customers. This gives huge opportunity for Indian entrepreneur to capitalize on up-coming trends on Home Textile market. We have all the resources from raw material to work force. What we lack is strategy and technology awareness. Investors can take professional help from consulting firms having expertise & technical knowledge of up-coming technologies. Investors have to be clear in their mind with a market entry strategy. With the professional help, they can even evaluate different business options & select most suitable one. It’s time to assess demand-supply gap in Home TextileIndustry & choose a right path with highly professional strategy. With the help of right consultants like us entrepreneurs can easily identify global markets, upcoming developments & innovations & can forecast market trends as a part of successful market strategy

Home – The Art and the Smart Shri Vishnu Govind Brand Consultant & Start up mentor Founder -Add Velorem consulting Necessity is the mother of invention and shelter, along with food and clothing, is a basic need for mankind. We need to protect ourselves from the elements and this need has manifested itself in the dwellings we built for ourselves, right from the early days of civilization. The buildings we construct make us feel safe and are always there for us when we need them. Architecture in its most basic of formsis therefore, a very old field of knowledge. Over the years, as mankind made progress with time, architecture also kept on evolving continuously. Different parts of the world had different architectural styles and represented the cultures that were prevalent in their respective geographies at different points in time. Today, in the second decade of the 21st century, we are in a world that is more connected than ever before. We travel a lot more to different countries and get exposed to the ways of life there; as a result what we have today is a situation where we see around us changes that are all coming out of global trends, in terms of living habits, where the common factors in theelements of different regions come together and represent a direction in which we are moving towards, as a race. Fair to say, today the pace of life in urban India is quite high. In this materialistic world we are all in pursuit of our dreams, to attain success, which could mean different things to different people, whether it is expressed in terms of financial net worth, or cor-

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porate positions, or even your span of control. The common thing for everyone is the place where you come back to after your daily grind- where you recharge the batteries, yours as well as those of all the electronic gadgets you carry with yourself, and reflect on the proceedings of your day, and catch up with your family and spend quality time with them. Your home is such an integral part of your daily life. Let me ruminate over the early days of my corporate career. I started my career with an MNC in the food space. We used to deal with indulgence products and had a few household names with us, about which I am not getting into specifics at this point of time. These products were bought by customers from regular retailers and just consumed, without being flaunted. The consumer is, to a certain extent, not meant to be seen using them- these productsdo not define the user’s personality. After a few years, I joined the apparel industry, again in a company that had a few well-known brands. While business processes differ from industry to industry, there was one word, that as a marketing manager I started hearing lot more frequently in my new job– Lifestyle. Over the years the concept of marketing your brand as a lifestyle brand became so ingrained in my way of thinking that it became second nature. From apparel to fashion to lifestyle, is a laddering that brands in different stages of evolution would go through.

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June 2016


COVER STORY Well, it is clearly established nowadays that apparel is a lifestyle-oriented category. As a consumer, you are seen using those products and they define the kind of person you are, your likes and dislikes, the places you go to and the kind of people you hang out with. Increasingly, I have been noticing more and more product categories adopting the lifestyle route to advertise their products. Real estate, for instance, is one space whereaspiration value is used in a big way to sell the property. That real estate should be seen as and treated like a lifestyle category is quite logical too, for your home is the place where you lead your real life. Doesn’t your home tell a whole lot of things about yourself? Talking of home and about product categories that describe it, is it possible to restrict our discussion to just the house and its construction? Our home is made of lot more right? Otherwise the interiors of all the flats in a certain apartment complex will look the same, or at least have the same character; which is certainly not the case. Of course, a home is about the people who live in it, but right now we are talking about aspects which create the look and feel of the home, like furniture, soft furnishing material, wall decorations, the choice of white goods and other electronic appliances- all those elements that count very significantly in converting your vision for your own home into a reality. Hence, isn’t it fair to say that home décor is also a lifestyle category? The fact, however, is that it is not quite at the same stage of evolution as a business category as apparel is in our country. In the business of fashion, in India, brands started mushrooming a few decades ago. Over time more and more of them started coming up and way back in the 1980s there were at least couple of aspirational labels in India, in menswear. The 90s saw the emergence of quite a few brands that clearly came up as leaders in their segments.Womenswear, in the meanwhile, also started seeing the participation of branded players. We know how in recent years foreign brands have raised the bar in the market by catering to the needs of the Indian consumers with rising disposable incomes. Brand play, in soft furnishing, has been to a lower extent in the same period of time. Yes, even in this space there has been household names which set the standards in the category; the point being made here is that the level of clutter is far lower. The brands that are established in this space have also not been able to scale up their businesses like some groups in readymade business have been able to. It is a fact that the volume of purchases per consumer or per household is much higher in the case of apparel. Given that your home is what gives the strongest impression of yourself, it is important that you curate it with choices that de-

fine you and the things you appreciate. The well-aware customer of today wants to have products that are up to speed in terms of latest trends. For instance, one trend that is coming up in forecasts for 2016 is about the well-travelled person’s collection cabinet that represents an appreciation for crafts and culture in different parts of the world through an eclectic mix of furnishing and home décor items. The modern home is also a place where classic looks are recreated with a more contemporary treatment. In this busy world where there is no time to pause and look back at times gone by; these inspirations evoke a strong sense of nostalgia. Color trends keep changing from time to time and find ramifications in different product categories that form important parts of your home. In the market for home décor products, bold and high saturation colors, which were once reserved for accent purposes, will find their way into regular household products. Black and White will also continue to make strong presence with unique interplays giving simple as well as complex patterns. Metallic accents on them will provide the necessary bling and fashion quotient. When we talk of trends, the role of technology cannot be emphasized enough. With improved connectivity and increasing comfort levels with technology products, we will soon find ‘Internet of Things’ (IoT) products reaching more and more Indian households. Security and convenience are two major needs in the urban Indian societies and there are eco-systems coming up around fulfillment of these needs. These smart devices are products that help you keep an eye on your own house while you are away, they use the power of the internet and work in sync with your mobile phone and, well, make you even more dependent on your phone! Because of the strong benefits they come with, they are here to stay for the long run. Smart Homes, as such IoT connected homes are called, are high on automation, and certainly are a thing for the future. We are, in fact, in the early stages of IoT consumer goods revolution as far as home automation is concerned. There is no place like home. It is the place you come back to after your battles for the day, where you spend time with the people you are closest to. Your home is the place where relationships are built, where dreams are woven, where you look forward to the future as a family. Your home says more about you than your clothes do or your resume does; it therefore correlates highly with your aspirations and lifestyle. Home is where the heart is, so is the art that defines the look of it, and so are the devices that make it Smart.

Aide Memoire y

The GDP growth in January –March 2016 as scaled to 7.9 percent, justifying the claim of fast growing economy of India.

y

In 2015-16, the economy grew at 7.6 per cent.

y

All this bodes well for 2016-17, when the growth rate is expected to touch 8 per cent.

Revision in Service Tax With the introduction of Krishi Kalyancess of 0.5 per cent, service tax with effect from 1-6-2016 is 15 per cent. Disclosure of black money Tax evaders get an opportunity to come clean by paying tax, penalty and surcharge of 45% of undisclosed income. Bumper Rains Good news for manufacturing and marketing staff is the assurance given publicly by the Indian Metrological Department that conditions are congenial for early onset of the monsoon and good showers are expected in the second half of June. Quantitatively monsoon rains are projected to be 106 per cent of the long period average.

June 2016

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COVER STORY

HOME TEXTILES- An ELDORADO. [ by V.Y.Tamhane *] It is a general desire of every person to lead a life of comfort and happiness. Every person also desires that his residence should be well-appointed exuding a feeling of exuberance and satisfaction. Naturally people are by and large great choosy about home textiles. Home textiles normally covers items like bed sheets, bed spreads, covers for comforters, bed linen, towels, napkins, furnishings, Pillow covers, wall hangings etc. Home textiles sell on colours, designs, weaves, novelty and innovation. Since textile fashion changes fast, people are always in search of new, lovely and refreshing colour combinations, designs, weaves and novelty. India is best suited for buying of home textiles where the order size is relatively small with vast scope for display of talent and imagination in the field of colour combination, design, weave etc. With the installation of new production and processing machinery, the international retailers count on India to supply the best wares for leading marketing chains, malls and prestigious stores.

give a fairly representative picture of export of home textiles.

Production. Separate figures for all items which are classified as home textiles are not available, yet the following data give the extent of proITEM

Chaddar Bed sheets Towels Terry towels Blankets Furnishings

2010 Million Numbers Meters in Million 343 439 697 25 3 161

153 195 465 17 1 N.A

2011 Million Numbers Meters in Million 358 466 742 27 4 172

159 207 495 18 1 N.A

2012 Million Numbers Meters in Million

gress made by India in the realm of home textiles:

373 490 785 27 4 186

166 218 585 18 1 N.A

Exports Figures of export of Home Textiles are not readily available. What is available are figures of export of made-ups, which practically covers all items of Home Textile plus a few other items, which may not be classified as Home Textiles. However, the figures do

Source: GTA/Ministry of Commerce

The table below gives export of home textiles to major importing countries: Export performance in 2015-16 was marginally down by 1.2 per cent over 2014-15. It is largely because of sombre global situation and the performance should not be looked down upon. In fact, it is much better compared to export of textiles and nothing. Of the 15 destinations, 10 have reported a decline ranging from 1 per cent to 14 per cent. Destinations which reported increase in exports were the USA, Australia, Spain, South Africa and UAE. If efforts are made to recapture international markets at least to the level which is the best in any one of the three years of 2013-14, 201415 and 2015-16, it is possible to exceed the US $ 5 billion mark and even more if growth is recorded over the best exporting year in the three years of 2013-14, 2014-15 and 2015-16. From the present reckoning, it appears that India will retain its dominance in home textiles for a long time to come.

Global Home Textiles Market: Trends and Opportunities Presentation by Ms. Ratna S. Handayani (Euromonitor International) In her presentation Ms. Handayani provided the Committee with very interesting and informative data and insights about the global home textile markets. It was most interesting to see that the global home textiles market has recorded a relatively strong growth since 2009. In USD the retail value increased from just over USD 85 billion to just below USD 105 billion in 2013. The annual growth rate was well above 4% per annum. Growth was especially strong in China where the Combined Average Growth Rate (CAGR) from 2008-2013 was almost 14%. Also, other countries like India, Turkey and Russia recorded strong growth rates between 5 and 8%.

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June 2016


COVER STORY With a share of approx. 25% bed textiles are still by far the most important category within home textiles followed by bath textiles (15%), rugs (10%), living room textiles (8%) and kitchen & dining textiles (7%).

In advanced economies the main drivers of this growth are a tendency towards smaller households, stronger demand for more comfort, added value and convenience for use. In emerging countries the drivers are an increase in the number of new homes for a rising middle class who prefer affordable prices and convenient shopping opportunities.

Manufacturers of textiles are successfully attracting the attention of consumers by applying innovative technologies and using additional fibres/materials. Looking at the retail channels it is interesting to note that spe-

cialist retailers still dominate the retail landscape with almost 40% and that both grocery retailers and

sales through the internet have increased between 2008 and 2013. Looking at the period 2013-2018 Ms. Handayani presented estimates by Euromonitor that bed textiles will remain the dominant segment (CAGR of 2.2%) but that also bath and living room textiles will also grow strongly by 2.3% and 2.2%, respectively. This growth will come from China’s expanding middle class, higher online sales

(convenience) and more added-value products (comfort). Despite China’s very strong growth rate and high absolute retail value it is important to note that China’s per capita consumption of home textiles is still only one third of the US. The future potential in China and other emerging economies, especially India, is enormous.

IKEA

Retail, Distribution and Production

June 2016

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BRAND FOCUS

Create Brands & not Products – Emotional Connect to Customers!

Shri Rushin H.Vadhani AGM – Market Research & Product Development AYM Syntex Limited (Formely Welspun Syntex Ltd)

A lot of market research goes in the entire product life cycle of the products. Market research is one of the most important marketing activities. Products are introduced depending on the taste, preference and keeping the price point in mind. Three P’s – Popularity, Positioning and Pricing of the product matters in the market. Thus, consumer buying behavior, purchase pattern and complex buyer behavior play a key role in deciding on the lines of introducing products/entering a target market. The customers are more influenced by emotion centered marketing strategies than logic & fact based marketing strategies when it comes to selecting specific products like of personal use , lifestyle products & high value brands.Although consumers are not going to strictly be influenced by emotional aspects over logical aspects ,the goal is to prove that emotional aspects are considered before logical aspects. Consumers, at times, appear to be more concerned with how the product looks, feels & appears to other .Its like a woman wears a beautiful dress & she receives compliments for self !It makes her emotionally happy & feel good. She believes in brand she is wearing. The logical factors only comes into the consumer’s mind after more superficial characteristics are satisfied. Various marketing strategies which will enable marketer to launch , market & brand products to segmented markets to target customers. Rational Vs Emotional Consumer Behavior : A)

Marketing Mix Strategy : Features & Objectives

1. It determines where the company should place its product, how to promote the product, how the product can be marketed itself & how to price the product effectively 2. Gives importance either on product benefits, what value it has for customers or how it is different from a competing brand or competition 3. The distribution & pricing objectives would depend on the target segment 4. The promotional medium would also depend on the target segment & positioning but the basic mediums are T.V,radio,billboards,magazines & internet (social media) 5. The strategy is based on very logical & factual elements which has little to do with consumer emotions. B) Porter’s Theory of Generic Strategies : Features & Objectives

age

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*Source: Google Im-

1. Overall Cost leadership – Achieve an overall cost leadership in an industry through a set of functional policies aimed at this basic objective It requires aggressive construction of efficient-scale facilities,vigorous pursuit for cost reductions from experience,tight cost & overhead control,avoidance of marginal customer accounts & cost minimization 2. Differentiation – Differentiates the product or service in order to create something that is perceived industry wide as being unique or innovative.This strategy can take many forms & ideally the firm should differentiate itself along several dimensions. 3. Focus – Focus on a particular buyer group, segment of the product line or demographics. The entire focus is built around serving a particular target segment very well & each functional policy is developed with this in mind. The firm is thus able to serve its narrow target more effectively or efficiently than competitors who are competing more broadly. C) Experiential : Features & Objectives: 1. Focuses valuable deal on how customer experiences a product & eventually chooses from competition 2. The consumption situation is examined to discover what the meaning of these situations are for consumers & how important they are for them 3. Customers are seen as emotional as well as rational beings by nature which means that more emphasis will be put on entertaining ,stimulating & emotionally affecting the customer 4. Methodologies of an experiential marketer are very diverse & there are a lot of various ways that this type of marketer can get their research D) Sensory :Features & Objectives 1. Appeals of five senses with overall purpose to give customer excitement & satisfaction through sensory stimulation 2. Overall goal is to get customer completely immersed with the product so when the customer thinks of the product will be reminded of how senses reacted 3. Differentiator – Stimulates & creates new feelings & emotions for customer because product is presented in new & innovative way. 4. Motivator – Motivate customers to try new products by preciselyentice them in through a perfect amount of stimulation so that they feel that this new product is exactly right for them for consumption & experience its benefits. 5. Value provider – Needs to be a sense of value perceived by the customers & that the product is giving the customers & that the product is giving the customer a unique value E) Feel (Emotional/Experience centered) : Features & Objectives

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BRAND FOCUS 1. Causes consumer to have effective experience linked to the brands within inner feelings & emotions 2. Works best when there are strong emotions linked during consumption or use of the product which can range from feelings of anger or excitement 3. Tries to attach specific emotions to the brand so consumer can relate to & connection with it 4. Contains a great deal of emotions in the advertisements to create & dredge up emotions within customer to try to connect them to the products 5. Works best with more complex products but can work with low involvement products with a lot of customer interaction prior to the purchase 6. Hard to see if it works because most of the analysis needs to be done during consumption stage of purchase cycle & normally this occurs once the customer is at leisure The first strategy discussed is the marketing mix strategy which is essentially traditional approach. It emphasizes elements of particular product, price, promotion & distribution. Generally, the firm does very traditional & logic based elements for the strategy such as differentiating it from other brands, pushing the products quality characteristics or positioning based on how it is built.

Eg. FabIndia & Khadi products

The next strategy is based on combination of Michael Porter Model strategies of cost leadership, differentiation & focus. The strategy is based on efficient cost it has over other companies, how the firm can differentiate its products from other products & focusing on particular segment to fully concentrate on serving particular one segment.

Eg- Ikea &Walmart Experiential marketing strategy focuses on how the consumer experiences the product & how consumer encounters it. The emotions of consumer are very important to this approach since the firm wants to know exactly how the consumer feels about the product in every aspect. Eg- Apparel Designer labels The sensory strategy is centered in the five senses & how consumer reacts to product. It meant to differentiate the product to create new feelings & emotions, to motivate the consumers to try new things by focusing on their emotions & give the product value which also makes it unique. Eg- Levis is iconic brand for denim but creates a different experience with its new line of creations –theme base The feel marketing strategy tries to create an effective experience that would link the consumer’s emotions to the brand. The overall goal is to attach specific emotions to the brand so the customer can relate to it & connect. Eg – Brands like Louis Vuitton & Hermes connect to customers more emotionally by enhancing overall experience. Its class apart . The above marketing strategies needs to be adopted judiciously as per market dynamics & positioning strategies. A well crafted strategies & timely execution will surely assure good sales & branding for company .Connect to customers emotionally & win their trust, you will have a loyal customer for lifetime! References : 1) 2) 3) 4)

Positioning-The battle for your mind –Al Ries& Jack Trout Buy.ology –Martin Lindstrom Consumer behavior – M S Raju& Dominique Xardel Consumer behavior strategy – Praveen Sahu

Lines aligned to look fine In this era of style and execution everyone wants to present themselves as perfect to the world. Confidence is the main factor required to win the game. But many a times is what we love the most about a dress won’t suit and look best on our built as our body is changing throughout the years, because we put on weight or lose weight that may lead to changein our body shape. An undesirable body shape will act as confidence reducing agent. But today is the world where every problem is born with its solution. Improper body shapes can be shown as perfect bodies by creating optical illusions for viewers and will always make you look and feel the best no matter the occasion and age. Therefore our dressstyle will change in regards how to create visual balance in our body silhouette. Lines:as optical illusion Optical illusions are best created by different types of lines. The amazing thing is that a bulgy part of the body can be hidden with silhouettes and heaviness can be shown on some parts by adding designer lines in the form of pleats, tucks,seams and necklines. . Physiologically, lines make the eyes twist and control our brain in such a way that our eyes follow and fix on the design. When lines come together (converge), the eyes follow them to the point at which they meet and become a focal point making that part of your body look smaller. Conversely, when lines move away (diverge) from each other, the eyes follow them to the end, which become

June 2016

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By: Vaishally Verma and Prerna Kapila

PUNJAB AGRICULTURAL UNIVERSITY a focal point, and make you look wider. So the idea is to have lines come together or move away from each other to that point on your body that you either want to look smaller or wide. Thick line conveys strength and alertness while thin line implies firmness and stability in one’s character. There are an infinite number of physical features and each person has their own unique combination of these. Types of lines The illusion of balance and proportion can be created with basic knowledge of some important style lines.The lines are classified as Structural or Designer or Printed. • Structural lines are the silhouettes that provide the outline and basic structure to the dress. For example: A- line, sheath, empire etc. •

Designer Lines not only adds beauty and details in the dress but also their placement and types allows a person to emphasize on desired part or hide the bulgy part. It is the design added to the structure of dress.E.g.; tucks, gathers, pleats, princess seams or panels, hem lines etc. •

Printed Linesare referred to the prints of fabric that symbolizes many things and helps to look lean, heavy, long or short. These are of different types like vertical lines, horizontal lines, diagonal lines, curved lines etc. Vertical lines give the impression of height and slimness when

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FASHION FOCUS repeated at equal intervals by leading the eyes from top to bottom.Vertical lines close together will make you thinner while two vertical lines far apart will make you look wider.Avoid placing vertical lines at unflattering points. E.g. bigger hips and/or thighs- never a good option for pears. Apples and women with fuller tummies should stay away from any detail that adds more volume or brings the wrong attention to this area.Vertical lines include pressed pleats, vertical tucks, buttoned front closures, V-necklines and vertical visible seams, such as a princess seam. Although vertical lines in clothing may be created by stripes, vertical lines can also be created by seam lines,panels, hemlines, pleats, tucks etc. in clothing that run up and down. Individual height, arm and leg length must be strong considerations in selecting the location of your hemlines and lengths. When wearing striped clothing, take into consideration that stripes that are too wide may not be in proportion with a petite frame. Also, too many stripes may appear too overwhelming for petites. You wouldn’t want to wear a striped blouse with striped pants, for example. However, a striped dress, if the style is right for your body type, may work very well. Suits in neutral colors with pinstripes can be good investment pieces because you can wear the suit pieces either together or as separates to expand your work wardrobe. Horizontal linestend to broaden and shorten the figure by emphasizing width. They divide height, especially when more than one line is used at a time.Avoid placing horizontals at unflattering points e.g. bigger bust, fuller tummy and thighs or the wrong sort of attention can be drawn to this part of the body.They are great for pears, women with a long waist and those who are flat chested. They will shorten a longer waist, add volume to the top for pears and create curves for flat chested women.Styles that accent the horizontal line are: yokes, wide waistbands, extended shoulders, bateau necklines dropped and empire waistlines. The only exception might be when the horizontal stripes are confined to a small area on a garment and are framed on each side by either solid color or vertical stripes. Example, a camisole with horizontal stripes might be worn under a solid colored Vneck sweater. Although very slender runway models and very tall women can often get away with wearing horizontal stripes, short women will look better in clothing that emphasizes vertical line. A Diagonal Linecan have two effects, depending on whether it is at a more vertical or horizontal angle.Eyes always move from the upper to the lower end of a diagonal line.A shorter diagonal (more horizontal) will cause the eye to move quickly from one end of the line to the other, creating an illusion of width.On the other hand, the longer diagonal (more vertical) will lead the eye more slowly, creating a longer, thinner appearance.Remember, for the most pleasing results, the diagonal should follow the same direc-

tion the eyes move: from left to right, top to bottom.The rules are the same as for horizontals and verticals in regards to who should avoid what. Also women with a short waist or women with an unbalanced body shape need to be very cautious of wearing this design line. Diagonal lines can also help create a flattering fashion illusion, although usually it’s a softer, curvier feel, which can be very effective, depending on the style of the garment. Chevron stripes work well because they create a series of flattering V-shapes, which makes petites look longer and leaner. Curved Lines: it produces the same effect as straight line of similar placement. Curves add beauty to the garment and the tailor’s style like frills, flounces. The visual impact is softer and more graceful. Curved lines can be used to re-emphasize or define your figure because the female body is naturally curved. Often a less desirable straight line can be modified into a more appealing curved line. Produce the same illusion as straight lines; however, curves are more flattering in clothing. The curved line used in the bodice seam of front closures creates the illusion of softness, while a horizontal or vertical line is more pronounced. These are not suggested to use in men’s wear as it is more feminine and it shows gentleness and smoothness. Zigzag Lines: This is a mixture of different emotions such as erratic, intense, abrupt, fun, busy, Confusing and diverse. Visually it is

the eye catching nut and the person’s character cannot be defined as zigzags create confusions in one at the sight of it. These lines are perfectly creates illusion for hour glass figure. Perfect dress on body contributes to quality of life and pleasure and satisfaction from human sensation through experience of sight. Fashion and style will allow for flexibility and creativity .There is a unique method of looking for lines that will create balance and harmony in your overall personality. Creation of illusion to gain perfect dress fit for all the body types to look smart with the use of different lines assembles the happiness and confidence of the wearer to execute its perfection to the world and go ahead to enhance its ambitions. References www.joyofclothes.com https://googleweblight.com

life in all possible ways -- good-bad, bitter-sweet, dark-light, “ Experience summer-winter. Experience all the dualities. Don’t be afraid of experience, because the more experience you have, the more mature you become.

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― Osho

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June 2016


GLOBAL FOCUS

What is TPP? Mr. Arvind Sinha CEO & Chief Advisor Business Advisors Group E:lionasinha@gmail.com The Trans-Pacific Partnership (TPP) is a secretive, multinational trade agreement that threatens to extend restrictive intellectual property (IP) laws across the globe and rewrite international rules on its enforcement. What is TPP(The Trans-Pacific Partnership) and why does it matter? The Trans-Pacific Partnership (TPP) is one of the most ambitious free trade agreements ever attempted. Its supporters have billed it as a pathway to unlock future growth of the countries involved in the pact. The critics have been equally vociferous, not least because of the secrecy surrounding the negotiations of the agreement. But despite the criticism, the countries involved have been pushing for a deal to be reached soon and they are confident that even more economies will want to join the pact in the coming years. y So what exactly is the TPP? It is a proposed free trade deal currently being negotiated between 11 countries. These are Australia, Brunei Darussalam, Canada, Chile, Malaysia, Mexico, New Zealand, Peru, United States, Singapore and Vietnam. The pact is aimed at deepening economic ties between these nations. It is expected to substantially reduce tariffs, and even eliminate them in some cases, between member countries and help open up trade in goods and services. It is also expected to boost investment flows between the countries and further boost their economic growth. The member countries are also looking to foster a closer relationship on economic policies and regulatory issues. y What is the foundation of the TPP? The 11 nations involved are looking to build up on a trade agreement that was originally signed between Brunei Darussalam, Chile, New Zealand and Singapore. That agreement was called the Trans-Pacific Strategic Economic Partnership, or the P4, and came into effect in 2006. It resulted in most tariffs on goods traded between these countries being removed immediately, with an agreement to gradually phase out remaining tariffs. They also agreed to open government procurement contracts to businesses operating in any of the four countries. The members of the P4 also said they will co-operate on issues such as customs procedures, labour practices, intellectual property and competition policies. y Why does TPP matter? Well, it’s all about numbers. The 11 countries that are currently part of the negotiations are all members of the Asia-Pacific Economic Co-operation (Apec). They have a combined population of more than 650 million people. A free trade agreement could turn this into a potential single market for many businesses. The average per capita income in the participating countries was $31,491 in 2011 and their combined gross domestic product (GDP) stood at more than $20 trillion.

June 2016

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One cannot ignore the fact that the initiative is being led by the US, the world’s biggest economy and biggest trading nation, and one that sees Asia-Pacific as key to its future growth. Some analysts have even suggested that the US may be trying to use the TPP as a means to undermine China’s growing economic might in the region. Many believe that other members of the Apec bloc may also join the agreement in the coming years, making it an even more important pact. In all, 21 Apec countries account for about 44% of global trade. They also make up some 40% of the world’s population. y What is the status of the negotiations? There are various dates during which talks were held at different levels. However, it is safe to say that real negotiations of an expended treaty started only in 2010. Since then, delegates and trade representatives have met for 16 rounds of discussion, focusing on a range of issues. According to the US Trade Representative’s (USTR) office, at the latest round of discussions held in Singapore this month, delegates “succeeded in finding solutions” to many issues in areas such as customs, telecommunications and regulatory coherence. However, the USTR said that there are still challenging issues that need to be agreed on, including those related to intellectual property, competition and environment. But there has been an increased push, not least from the US President Barack Obama, to finalise the pact soon. The next round of TPP negotiations will be held in Lima, Peru, from 15 till 24 May. y Is there any criticism of the deal? Yes, there is and it is on various fronts. Like many other free trade agreements, there are fears over the impact TPP may have on certain products and services in member countries. Some campaign groups have raised concerns about the impact such a wide-ranging agreement may have on intellectual property laws and patent enforcement. The fear the deal may extend the scope of patents in sectors such a medicine and prevent the distribution of generic drugs. Meanwhile Japan, which has expressed an interest to join the negotiations, has raised concerns about the agreement impacting its agriculture sector. But the biggest criticism has been of what the campaigners allege to be secretive negotiations. They say that the delegates have not been forthcoming about details of the issues that they have been discussing, and what the scope of agreement in those areas is likely to be, and how it will impact trade. Last year, a group of lawyers even sent a letter to Ron Kirk, the US Trade Representative, to express what they called “profound concern and disappointment at the lack of public participation, transparency and open government processes in the negotiation of the intellectual property chapter of the TPP”. However, some analysts say the reason why the negotiations

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GLOBAL FOCUS have not been made public is because there is no formal agreement on them as yet. They also point out that free trade agreements generally attract a lot of criticism from campaign groups, and that in this case the delegates may be wanting to keep the discussions under wraps to avoid any pressure from such groups. y Who benefits from Trans-Pacific Partnership? A new free trade agreement that will eventually cover over 40% of global trade is being hailed as one of the most ambitious plans in the Asia-Pacific region. Eleven Asian nations have signed up to take part in what is called the Trans-Pacific Partnership (TPP). But what do participants and non-participants of the TPP want from the deal? Michelle Fleury gives the view from the US, which is leading negotiations, and Lucy Williamson reports from South Korea, which has so far resisted getting involved. y Is Japan set to join the Trans-Pacific Partnership A new free trade agreement that will eventually cover over 40% of global trade is being hailed as one of the most ambitious plans in the Asia-Pacific region. Eleven Asian nations have signed up to take part in what is called the Trans-Pacific Partnership. Japan is the latest country to announce that it is thinking about joining those countries already at the negotiation table. However, it is not an easy decision for the third largest economy in the world. There has been serious opposition from farmers who argue they’re livelihood will suffer. Rupert Wingfield-Hayes reports from Tokyo. y Obama outlines pan-Pacific trade plan at Apec summit US President Barack Obama has announced the broad outlines of a plan to create a trans-Pacific free trade zone at an annual regional summit in Hawaii. “I’m confident we can get this done,” Mr Obama said at the Asia-Pacific Economic Co-operation (Apec) talks. Nine Apec nations are involved in the Trans-Pacific Partnership (TPP), but China has so far not expressed interest in joining the talks. In all, 21 Apec countries account for about 44% of global trade. They also make up some 40% of the world’s population. Speaking in Honolulu on Saturday, Mr Obama said: “Together we can boost exports and create more goods available for our consumers, create new jobs. Compete, win in the markets of the future.” y Iran response Describing the region as an engine for growth, he expressed hopes that the TPP deal could be finalised as early as next year. The US leader also said the TPP could serve as a model for other trade pacts. He did not provide further details about the plan. Mr Obama had separate meetings with the Chinese and Russian Presidents, on the sidelines of the Apec summit. In his meeting with the Chinese President, Hu Jintao, Mr Obama pressed him to allow the Chinese currency, the yuan, to rise, and on the need for a rebalancing of the global economy, White House officials said. Mr Obama also warned the Chinese president that Americans were becoming impatient over US-China economic ties. In his meeting with the Russian President, Dmitry Medvedev, Mr Obama discussed Afghanistan, Iran and Syria, among other sub-

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jects. Mr Obama said they “reaffirmed our intention to work and shape a common response so we can move Iran to follow its international obligations when it comes to its nuclear programme”. y Japan ‘boldness’ The TPP currently includes Chile, New Zealand, Brunei and Singapore - all relatively small economies - with the US, Australia, Malaysia, Vietnam and Peru negotiating to join. And Japan, the world’s third largest economy, has now said it also wants to join the discussions. President Obama said he had been “extremely impressed with the boldness” of the Japanese Prime Minister, Yoshihiko Noda, whose decision to join free trade talks is strongly opposed by Japan’s farmers. Mr Obama spoke after holding his first substantive talks with the new Japanese Prime Minister at the Apec summit. Mr Noda told the US president that he was beginning steps to “review Japan’s beef import restrictions and expand market access for US beef”, the White House said in a statement. While not taking part in the TPP discussions, Chinese President Hu Jintao said in Honolulu that he backed a long-term goal of negotiating a free trade area in the region, which could in future include all Apec members. Mr Hu said Beijing would focus on innovation and encourage investment overseas. The BBC’s Kim Ghattas in Washington says the US sees Asia as essential to America’s future, both economically and strategically. y What is Trans-Pacific Partnership? How is it important to India? The Trans-Pacific Partnership (or the TPP as it is generally known) is a free-trade agreement being negotiated between 11 countries of the Pacific rim including Australia, Brunei Darussalam, Canada, Chile, Malaysia, Mexico, New Zealand, Peru, Singapore, the United States of America and Vietnam. Japan is the 12th country that has entered into the negotiations to join the TPP. The US administration under President Barack Obama seems to have prioritised the TPP as the economic component of its “rebalancing” to Asia strategy. Some have suggested that the TPP would compete with existing and proposed free trade arrangements in Asia and pose a challenge to the economic unity between the ASEAN (Association of Southeast Asian Nations) states since some of them are members of the TPP and, moreover, the ASEAN itself is involved in negotiating a large trade agreement – the Regional Comprehensive Economic Partnership or the RCEP. The RCEP involves negotiations between 16 countries - the 10 members of the ASEAN and six regional partners (India, Japan, China, South Korea, Australia and New Zealand). There is clearly an overlap in the membership of these two trade agreements. However, this does not necessarily imply that the goals of the two agreements are antagonistic. The TPP seeks to vastly reduce tariff levels among member countries and standardise policies on various issues including safeguarding intellectual property rights. The ambit of the RCEP is not quite as vast. The two can therefore be seen as different rungs on a free-trade agreement ladder. Although some American officials have stated that the US would welcome India’s participation in the TPP, India has not made any official statement on the issue suggesting such a move. It may be reasonable to expect that it will take some time before India would be amenable to joining a trade agreement such as the TPP, whose scope extends well beyond other trade agreements India has partnered in.

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June 2016


TECHNICAL TEXTILE

CATALYZING TECHNICAL TEXTILE BUSINESS IN INDIA THROUGH INDIGENOUS MACHINERIES B.S. PancholiMarketing Officer MANTRA

Abstract

The discussion about Technical Textiles (TT) in India has shifted from passion to action after decades of deliberations though it is yet to progress to note worthy market size. It is not that no one is interested, it is not that no one has money to invest, it is not that market is not existing but it is the story of typical Indian business style and the typical Indian bureaucracy. For investing in a business the investor should have clear information about the product, raw material, machines, process, legalities/compliances, market, economic viability and business dynamism. Unfortunately all these are not properly available to investors and the biggest hurdles are raw materials and machineries. For many products raw materials are imported and they become extremely expensive due to very high duties, taxes and charges. The machineries are neither manufactured nor represented by any agency for sales and services. In TT business the share of machines on total capital invested is very high and one has to go abroad even for a glance at such machines. This obviously discourages the investor from entering into TT and anxiety about after sales services will be quite obvious. If somebody ventures into manufacturing of machines for products in demand, that can catalyze investment in TT. The investor always likes to gain confidence on machines and technology before opening the strings of his purse. The indigenous machines provide such opportunity and after sales service would also be more ensured. The conventional textiles could progress well in India and achieve appreciable global market share because they have indigenous supply of raw material and machineries. The author has indentified the medical textiles and hygiene products that have sizable market presence and rapid growth potential as sectors for investment. The scope for manufacturing machines and their technical viability are briefly explained. This would provide clear guidelines to investor in those sectors of TT and in manufacturing the machineries. 1.INTRODUCTION Discussing about Technical Textile (TT) had been the topic of passion at business circles of textile and others. All who is heard of TT believes that future of textile lies in TT in India. Couple of decades back many experts predicted growth rates as high as 13 to 15% and investment worth several thousand crores rupees. These predictions failed to pick the pace even after all hard efforts by government and other agencies including many foreign consultants. No doubt today lot of industrialists and investors are aware of TT sectors and the business potential in them. However the industry has failed to witness sizable investment so far. This paper discusses the potential sectors that an investor can think of entering and setting-up business. the investment in manufacturing indigenous machines and the boost-up to industries by that are dealt with in detail. 2.CURRENT STATUS OF TECHNICAL TEXTILES

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The TT industry in India has grown from 47,000 cr in 2007-08 to 57,000 cr in 2010-11 registering a CAGR close to 11% which is far below the targeted growth of 11th plan. The current market size is said to be 64,000 cr. The Government of India has set a target of achieving 1,58,540 cr by the end of 12th plan i.e. 2016-17 with a CAGR of 20%. Though there are over 3000 units manufacturing TT the industries that have recognizable position in industry are less than 2%. Out of the total 12 different types of TTs only Packtech, Hometech, Clothtech and Sporttech have major shares in this 57000 cr. market. The Packtech being the largest of TT has woven sacks as the major product and is of very low-tech product. The product range in other types is also limited to simple basic products and has no R & D value in them. In other types of TT the products are mainly import dependent and dominated by multinational brands. 3.POTENTIAL SECTORS OF TECHNICAL TEXTILES If one looks at current market size the above listed 4 types are leading TT in India. The first three i.e. Packtech, Hometech and Clothtech have, obviously, large market presence because they have graduated from conventional textile to TT and they have been in use for decades. However, if the emerging types are to be considered then one finds Meditech, Geotech, Buildtech, Indutech and Mobiltech as potential sectors. Though Geotech is in discussion for quite a long time it has not yet picked-up the pace because it is dependent of government initiative and growth will not happen till government makes it mandatory at Highways and in major infrastructure projects. Buildtech and Mobiltech are the areas where again some government regulations can drive the growth. For example if government makes flame retardant finish or the minimum functional requirements as mandatory for fabrics used at commercial buildings and vehicles then the end user starts adopting technically suitable fabrics. The Meditech is the area that is not dependent on government but on society. The society is changing very fast and is maturing to quickly adopt the one which is good for it. There are various reasons why rapid growth rate is assured in Meditech products. The author considers this as the highly potential area among TT for investment in India. 3.1 Increasing affordability of consumer

Fig. 1 India’s Population Spectrum

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TECHNICAL TEXTILE The income of Indian consumer in the middle, upper middle and rich class (350 mn) is also growing very fast. This rise will enable them to make more discretionary spending on products that makes them more comfortable. Sometime the status symbol plays a major role in usage of such fabrics. For example earlier people used to keep fancy or superior quality handkey in pocket; now it is changing to wipes of various types. Per Capita income of Indian consumer has increased from Rs. 46,492 in the year 2009-10 to 54,527 in the year 2010-11 at 17% growth rate. This section of the population is also well educated and has high enough disposable income to afford nonwoven disposable products. The high birth rate also ensures a recurring huge demand for infant-related nonwoven products. 3.2 Increasing adaptability level/acceptance of products Not only the capacity of consumers to spend is growing, but also their willingness to spend on products which were not used previously is increasing. Such products include wipes, diapers, sanitary napkins, disposable sheets, pads, etc. With growing awareness, consumer will realize, and be willing to pay for the superior functionality of such technical textile products. According to the report titled, “Medical Nonwoven Disposables: A Global Strategic Business Report”, Asia-Pacific offers massive potential in the long run largely driven by some of the fastest growing global economies, including China and India. A large consumer base in these countries coupled with improving healthcare system and safety awareness bodes well for the medical nonwovens disposables market. AsiaPacific is the fastest growing medical textiles market in the world.

easy care and many times lower cost. •

Nonwovens have good breathability and higher barrier to blood or body fluids. •

Safe for doctors, nurses and patients. • Bacterial filtration efficiency-95-98%. •

Lower lint than linen.(Lint is source of infection) •

Reusable Textiles can develop tears, holes and lint during the washing process. •

Washing, sterilizing, etc are very rigorous and expensive. May not be free from infecting microbes. • Patients feel confident about freedom from cross infection

An example of bacteria filtering efficiency of reusable gown is given in table 1. Very significant reduction in bacterial filtration efficiency with successive washes has been noticed in research studies. Table 1. Bacteria filtering efficiency of reusable gowns

3.3 Graying world Aging population worldwide is also fueling demand for medical nonwovens disposables. The old age is characterized by increased incidences of acute diseases, necessitating the need for more number of surgical procedures. Nonwovens disposables are more preferred in such procedures due to higher safety and usage convenience. As the population of old people continues to grow alarmingly throughout the world, surgical procedures using nonwoven disposables such as surgical gloves, masks, and adult diapers are also expected to multiply. 3.4 Need for disposables in Medical Textiles Use of disposables in hospitals and operation theatre has become essential rather than a comfort. Over 1.4 million people worldwide are suffering from ‘Hospital Acquired Infection’ and the figures are still increasing at an alarming rate. Infection rate at hospitals vary from 10 to 20% in India compared to 0.8% to 2% in the developed countries, due to the usage of disposables. About 56% of reusable textiles have significant defects that could sacrifice their performance in the long run. Usage of disposables reduces ‘Surgical Site Infection’ by 2.5 times when compared to the use of linen gowns and drapes. In US 2 mn persons get cross infection (HAIHospital acquired infection) during hospitalization, of which 3.25 lakh (1992) are surgical site infection! The material cost for treatment was $10 bn. It is 3 mn in Europe! Estimated direct and indirect effect is $1.5 lakh per person! HAI caused 19,027 deaths and contributed for additional 58,092 deaths (1992) in US. It was evaluated that gowns are the major means of patient-to-patient transmission of microbes. A doctor in Pune had died due to HAI of H1N1 during last year. The danger has further aggravated due to entry of many new viruses and diseases. The disposables medical textiles provide many advantages and cost benefits. In Indian market they are at nascent stage but can expand rapidly if a serious attempt is made. Their merits are, • Prevents and controls cross infection, protection, comfortness,

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3.5Destiny for investment From above arguments one can realize that India has huge potential in Medical Textile field. The estimated market size for the year 2011-12 was 3500 crores. There are many conventional products like surgical dressings, sutures, gowns, drapes, masks, slippers, shoe covers, caps, disposable under garments, etc. with sizable market presence. But many new products are essential due to points sited above. Hence disposable medical textiles, advanced wound care products, implantable materials, etc. have great potential for investment. The manufacturing process, machines required for making, technology and compliances are not very complicated. If one studies the economic feasibility and marketing strategy for such products then he gets convinced in investment. All necessary data for decision making are available and one has to make-up mind for venturing in these areas. Similarly hygiene is another segment under medical textiles and they cover sanitary napkins, baby diapers, incontinences and wipes. These hygiene products are considered as Gold Mines of technical textiles. There are few global players but space for domestic players is equally good. Earlier all raw materials were required to be imported and now many are available from Indian source or from Indian dealers. The fear of competing with multinationals has discouraged the Indian investors but if a proper strategy is adopted

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June 2016


TECHNICAL TEXTILE then one can mint money. There are around 500 NGOs in the market producing very crude products, still they are sustaining and making profit too. There are quite a few unfamiliar products but have entered Indian market which the investor can think of manufacturing and become pioneer in the field. 4. INDIGENOUS MACHINERIES FOR TECHNICAL TEXTILES India’s share in global TT is only 8% which appears too small. But in terms of rupee if one looks at the size is 64207 crores (2012-13) at 12% rate of growth which is definitely not a small figure for the one who is interested in entering for business in the sector. The conventional textiles has 10 times the size and is supported by availability of indigenous machines not just today but right from thousands of years. The machines are available for fiber extraction or spinning to garment making. Wherever imported machines are used, such as weaving, knitting, garmenting, their local dealers and service providers are available. The use of imported machines in these processes started almost 45 years back; hence the confidence in investing on imported machines has crossed the initial anxiety period. The number of machines installed is more and the number of industries spread across the country is also high. Due to crossing of initial anxiety phase of installing imported machines the conventional textile has technology of global standard and manufacturing is well established. The machine is the backbone of any manufacturing process and availability of indigenous machine is very crucial for growth at initial phase. Unfortunately in India presence of indigenous machine manufacturers for TT are as good as zero. The technology is less known, products are uncommon, raw materials are import dependent, machines are not available even to glimpse, so are the sales and services. Further the imported machines are complicated, high speed/productive and market demands are low, a big miss match between market demand and the production. Hence the investor gets unnerved to shell out money. If anybody starts manufacturing machines for this sector then the investment is bound to happen, no second thought about it. However, it may not happen with every sector of TT but there are quite a few segments under TT that throws huge opportunity. 4.1 Technology requirement The industry is looking for, – Local technology

age crates, saree cases, etc. •

Disposables – slippers, under garments, table covers, decorative sheets, wall papers, etc.

One can easily understand that products listed above have huge demand in market and they will continue to grow at high rate. The machines required to make them are also simple. But the imported machines are costly, high productive and automated. For example, even a less complicated machine of Taiwan or China make for a simple product, a mask, costs $40,000 to $90,000 per machine. They are capable of massive production, 50 to 100 thousand pieces per day. The figure of 100 thousand pieces of production and selling them from the day one unnerves anybody venturing into this new business. Similarly a doctor’s cap making machine produces not less than a lakh piece per day and again the cost of machine is 30 to 50 lakh rupees. These machines will cost anywhere in the range of 50 to 75 lakh after the freight, tax, duties and installation. Another example is of ultrasonic sealing machines. These machines are currently used in large number in Indian industry for shopping bag making

and they can be used for other applications such as gowns. These machines are again sourced from China. The wet wipes and various other types of wipes have made

– Slow speed machines, – Sturdy and reliable in working, – Indigenous and low cost machines – Sophisticated machines can be in future or in specialized fields

inroads into Indian market. Their usage is going to expand in an unimaginable rate in near future. These machines are supposed to dip the nonwoven fabric in solutions, squeeze to required percentage, cut the fabric sheet to size, fold and pack. Operations are very

4.2 Converter machines – to begin with The converter machines are the best bet for indigenous machine making. As discussed under section 3 of this paper, medical and hygiene sectors have excellent potential to grow. They need simple and low cost machines for making products listed below. • Medical Textiles – gowns, caps, masks, shoe covers, drapes, bed linen, gloves, trey covers, hospital under pads, bandages, etc. •

Hygiene – sanitary napkins, panty liners, maternity pads, baby diapers, adult diapers, sweat pads, breast pads, etc. •

Wipes – wet wipes, baby wipes, dry wipes, industrial wipes, clinical wipes, body wipes, etc. •

Scrubs – dish washers, industrial washers, polishing scrubs, etc. •

Packaging – shopping bags, packing liners, storage bags, stor-

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simple, yet the machine costs 50 to 300 lakh rupees and produces a

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TECHNICAL TEXTILE •

Technical expertise – available •

Please note this sector is predicted to explode shortly in India

million to two million pieces per day. Fig. 4 Shopping bag making machine

Shopping bag has already picked up market quite considerably. But machines are still imported and they are expensive. The sector of great potential and badly in need of such development is of sanitary napkin making machine. Those available in global market are of high speed, automatic and very expensive. The potential for making such machines can be understood once their market demand is understood. A simple and logical calculation is given below.

Similarly the potential for baby diapers is shown in table 3.

Table 3. Potential for baby diaper machines in India

One may consider this as hypothetical but if example of China is taken as a guideline today they have 75% penetration level in sanitary napkins and diapers. They too had situation similar to India, no local machine suppliers and market dominated by foreign brands. But today they have more than 850 industries making hygiene products and their top 3 brands are not any multinational but their own local brands. They are supported by not less than 50 indigenous machine makers few of them are rated better than European companies. China also started from slow speed, non- automated, indigenous machines and grown strong in TT market.

5.

Table 2. Potential for sanitary napkin (SN) machines in India The imported machines cost as low as 1.5 crore to as high as 15 crore rupees and their landed cost will be 50% more than their basic cost. No doubt they are capable of producing 3 to 10 times the production shown above. But the investor likes to match the production to his marketability at first and then may expand once established. The approach for making such machines should be, Sanitary napkin machines: •

Type – Mechanical •

Scope – at least 125 machines in next 5 years, •

Current price range – Rs.1.5 cr. and above •

Focus – simple, slow speed, low cost, reliable •

Target price – Rs. 25 lakh and above, speed no bar

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CONCLUSION

The TT industry should progress at targeted growth rate of 20% in 12th five year plan. The technical textiles are not for luxury but are essential to the society. Even after a lot of effort by government and other agencies the investment is not picking up. One of the major reasons is non-availability of indigenous machines. No doubt for entering into the business of manufacturing machines their sales have to be ensured. Though there might not be good scope in many sectors of TT the converter machines used for making medical and hygiene products throw huge potential. Those who think for business in TT shall consider investing in manufacturing products under medical and hygiene or the converter machines for making them. The expertise and resources are available. Once began with these simple machines extending to complicated machines are not very difficult. In conventional textiles Indian machines compete with European machines and are much better than Chinese machines. The Technical Textile industry growth can be catalyzed if indigenous machineries are made available.

To be creative means to be in love with life. You can be creative only if you love life enough that you want to enhance its beauty, you want to bring a little more music to it, a little more poetry to it, a little more dance to it. ― Osho

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June 2016


YARN REPORT

PRICEWATCH REPORT CRUDE OIL: STRONG US$ AND SUPPLY GLUT PRESSURED OIL MARKET

Crude oil prices settled down 3% weekend after data showed that the US oil drilling rig count rose for a second week in row and a stronger US$ weighed on demand for greenback-denominated crude futures. A slide in Wall Street share prices, the largest since April, also prompted pre-weekend profit-taking in Brent and US crude futures, which had rallied earlier in the week. The US$ jumped its most in nearly two months, as jittery global financial markets sent investors towards safe haven currencies. US oil drillers added three oil rigs during the week, after a nine-rig added in the previous week, said Baker Hughes in its weekly survey of the rig count. European Brent front-month settled at US$50.54 a barrel, losing 2.7% weekend its largest drop in a month. The front-month in US crude West Texas Intermediate futures settled at US$49.07, down 3%, marking the largest slide since early April. However, for the week, Brent rose nearly 2% and WTI about 1%, helped by gains in the first three days that boosted the Brent to an eight-month peak and the US benchmark to July highs.

Polyester Chain: PFY, PSF markets mixed

Asian ethylene prices were flat to down amid thin trade and bearish derivatives outlook. However, the decline was limited as firm styrene triggered demand by weekend. In Europe, ethylene markets were hit by production issues and spot was at 3-4% discount to MCP. In US, spot neared twomonth high as three producers suffered production disruptions. Paraxylene prices in Asia moved in line with oil prices, surging day on day throughout the week only to fall back on weekend seeing crude declining on last two days of the week. In US, spot continued to rise behind Asia as it remained major export destination. Production economics were better, but unattractive. European paraxylene prices gained but edged down week-end. As crude oil prices firmed up MEG prices in Asian markets were lifted in most actively traded August MEG futures. Several traders were

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Vidya Vadgaonkar

Email: Vidya@ynfx.com Tel: +91 22 66291122 Mobile: +91 9619 293725

heard to be short-covering H2 June and July physical positions and picking up some H2 July cargoes. In US, traders did not see much spot as recent rains caused problems for barges. European MEG demand was moderately balanced amid tight supply. PTA prices firmed up in Asian markets amid rising feedstock price and expected supply cuts. In China, spot PTA market was quiet as a whole for lack of indication from PTA futures. European PTA contract price remained range bound and unchanged over the week. Polyester chip markets were modest amid Dragon Boat holiday atmosphere. In China, producers maintained prices stable for semi dull chips due to lack of directions from futures market. Super bright chip market mirrored the trend in semi dull chip market. PFY markets in Asia were under the influence of firming crude oil early in the week which tumbled by weekend. In China, overall spot activity was passable, and prices remained steady. In India, POYs were mainly offered stable but saw thinner activity. In Pakistan, selling indications for DTY yarn were flat seeing PTA values in mild corrections. PSF markets were range bound on the back of a sustained price rise in crude oil benchmarks, and producers held wait-and-see stance. In China, prices in Jiangsu and Zhejiang were slightly up while in Fujian offer were down. In India, producers’ offers rolled over, but enquiries were lackluster. In Pakistan, PSF prices declined due to a lack of demand from downstream yarn spinners. Nylon Chain: Benzene prices surge across regions Asian benzene prices surged tracking firming crude oil but the drop in crude prices weekend pressured the markets and prices fell. Benzene prices were on the uptrend throughout the week. In US, spot gained on lower inventories while low shipment from Europe tightened prompt supply. In Latin America, spot was up following stronger USG. European benzene prices rose supported by higher demand from styrene, phenol and acetone markets. Caprolactum prices were firm on range-bound feedstock benzene cost and decent downstream demand. Mainstream values for liquid goods stood firm at previous week’s level while values for East European goods were pegged at a roll over. Nylon chip prices firmed up but hike met with some resistance and received limited support from upstream. Liquidity was slow owing to cautious buying from majors on existing losses. Stepping into slack season, downstream converters’ operation intentions were low citing flat nylon yarn prices. NFY prices moderated to a lesser extent with most goods firm in view of stable nylon chip. Otherwise, prices hike met with some resistance. With low

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YARN REPORT operating intentions against weak buying interest, the supply demand fundamentals were under pressure. Demand was lackluster for staple fiber, fishing-net yarn and monofilament market.

Acrylic Chain: Propylene, ACN surges across markets

Asian propylene prices inched up on unsteady supply while demand was on the upward trend. However, prices remained unmoved for three days as demand in China remained flat. In Europe, production outages boosted prices as polymer grade spot rose to meet the June contract price. Chemical grade propylene prices were assessed up. In US, propylene June contracts was talked at a rollover while refinery grade was at two-month high. Acrylonitrile prices in Asia continued to track higher following a spike in prices last week amid continuing tight supply and also supported by rise in propylene cost. European acrylonitrile prices ascended on demand from Asia while limited availability pushed US prices to 9-month high with spot rising for 10th straight week. Demand remained healthy while export spot assessment rose to a 10-month high. ASF prices remained stable although acrylonitrile cost surged over past few week which has put ASF margins into red. Overall, trading activity was mute, given low buying interest ahead of the Dragon Boat Festival early in the week. Prices in India and Pakistan also rolled over given stable downstream yarn prices.

Viscose Chain: Prices stable to firm

VSF markets were generally stable seeing modest buying interest in China before and after the Dragon Boat Festival holidays. Some mills reportedly maintained regular procurement. Producers with tight supplies on ample orders concluded deals at high level, while others who provided discounts for negotiated deals. Prices in India remained unchanged seeing downstream makers holding on to high prices. Similarly, VSF prices in Pakistan also rolled over. VFY prices were stable on the whole with steady liquidity. In China, VFY market sentiment was stable, and is likely to remain stable later, with the prices for sporadic specs possibly hiked. VFY prices in India remained unchanged from last week, supported by modest demand in both domestic as well as export markets. Upstream, dissolving pulp market saw fresh offers emerged mostly at an increase from the levels in May. Offers for softwood pulp from North America were at US$920 a ton, while mainstream offers for hardwood pulp were hiked US$10 to US$870 a ton. Cotton: Prices up on falling inventory and delayed rains in India Cotton prices were seen surging across markets on the week.

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US cotton futures although settled lower weekend after the USDA cut its outlook for global inventories, largely on a decrease in inventories in China, the world’s largest consumer, December cotton contract on ICE Futures US settled up 1.8% on the week. The July contract ended the week up 1.3%. The Cotlook A index was up 2.8% while the China Cotton Index gained 19 Yuan a ton. In Pakistan, lean business activity was seen on the cotton market as a result of less buying interest by mills. The official spot rate was down PakRs100 on the week. Reports indicate that the kind of dullness persisted for a long time was owing to directionless business. In India, delay in arrival of monsoon could adversely impact cotton acreage in the key growing regions. Thus, cotton prices were seen surging INR1,200-1,900 per candy.

Spun yarn: Yarn prices moving in search of demand

Cotton yarn prices in China were in mild upward correction given bullish sentiment in cotton market, and spinning mills enjoying healthy offtake volumes. In India, cotton fiber prices surged further, but yarn prices did not follow the trend. Carded yarn prices stayed unchanged but combed cotton losing value. In Pakistan, demand was weak post new changes in taxation announced in the budget. Prices declined but failed to attract buying interest. Offers for spun polyester yarns in China were stable amid limited transaction volume. In Pakistan, polyester yarn prices moved lower as demand was at a low level. PSF prices too declined due to a lack of demand from the yarn makers. In India, polyester yarn prices moderated slightly as they had remained in line with fiber prices for past weeks, reflecting weakening demand. Spun viscose yarn market activity in China softened a bit due to Dragon Boat Festival holidays. Discussions for ring-spun and sirospun yarns remained flat and prices remained unchanged. In India, although viscose yarn prices were flat in INR terms, they moved up more than 1% on the week, implying stronger currency. In Pakistan, viscose yarn prices retreated PakRs1-2 per pound, implying that demand was very weak on the domestic market. Blended yarn prices remained relatively stable in China lacking demand from downward processors. In Pakistan, the government released a series of decisions to boost exports after they remained very depressed last months. The stimulating measures are however expected boosting demand for blended yarns in the coming weeks. In India, PV prices were seen rolling over while PC yarn prices edged down on the week.

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June 2016


POST SHOW REPORT

10th Edition of SIMA Texfair - overwhelming response The Southern India Mills’ Association (popularly known as SIMA) established in the year 1933 at the initiative of Sir R K Shanmugam Chetty, the first Finance Minister of independent India has been rendering various services relating to policy matters, industrial relations and resolving unit level issues with the strong Secretariat consisting of highly competent professionals. The Association has been closely partnering with various National apex bodies, State/ Central governments relating to textiles, labour, power, environment and industry and playing a pivotal role for the development of the textile industry across the Nation. SIMA is the single largest employers’ organization representing the textile industry across the value chain in South India. Texfair event is normally organized once in two years. It is a unique event organized by the user industry Association for the mutual benefit of the manufacturers / suppliers of textile machinery, spares, accessories, equipments, etc., and the textile mills. This international event has been attracting the suppliers from all over the world and the visitors from all over the country. Many small and medium manufacturers, who participated in our earlier events, have grown to a greater size today. Textile mills in this part of the country have been taking full advantage of the fair and make the investment prudently and reduce the cost of production. Coimbatore being the hub of textile business, all the earlier fairs had attracted large number of visitors and very good business to all the exhibitors. Texfair 2016 is the 10th event organized during May 20-23, 2016 at CODISSIA Trade Fair Complex, Coimbatore having international standard, infrastructure facilities including air conditioning, pillar less halls. Though the industry has been reeling under continuous recession, 200 exhibitors participated with full enthusiasm and interest and made the event a grand success. The event attracted around one lakh visitors. The conservative estimate made from the feedback given by the exhibitors reveal that they could get orders worth over Rs.1000 crores apart from reconfirming their earlier orders. Most of the exhibitors have show cased their new inventions which would enable the mills to conserve energy, improve quality, enable automation, online quality and production monitoring facilities, better ambient conditions, improving the working performance of the machine, producing value added products, low cost automation, etc. Exhibitors from Gujarat, Delhi, Goa, Maharashtra, Punjab, be-

June 2016

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sides Tamil Nadu from India and also overseas exhibitors from China, Japan and EU countries participated in the event. Coinciding Texfair 2016, National seminars on the topics “Value addition opportunities in weaving”, “A right choice for Value addition and Diversification – Technical Textiles”, “Improving energy efficiency & productivity in Textile Mills” “Condition Monitoring applied in Textile Mills”, “Enhancing Spinning Mills profitability by value addition yarn”, “Benefits of “Structured water” for Textile Industry” were also conduct on 21st and 22nd May 2016 which attracted over 150 participants. The inaugural function of Texfair was held on May 20, 2016. Dr Palani G Periasamy, President, The Southern India Chambers of Commerce & Industry (SICCI), Chennai was the Chief Guest and Mr.E K Ponnuswamy, President, CODISSIA was the Guest of Honour. In his Welcome Address, Mr.M.Senthilkumar, Chairman of the Association referred the international studies which projected the potential of Indian textile business to grow at 10 to 12% in the domestic industry and 15% in the export market besides creating new jobs to the tune of 20 to 22 million and would increase the business size of US $ 350 billion by 2025 from the current level of US $ 110 billion. Mr.E.K.Ponnusamy, President, CODISSIA in his address as Guest of Honour appreciated the organizers of Texfair for giving opportunity to show case textile machines, spares, materials, additives, dies, etc., under one roof to help the textile value chain. He emphasized the need for redesigning new equipments, adopting new principles as being done in the world with conducive atmosphere in India. He described Texfair event as a single window to address the needs of today and tomorrow which include new innovations, ideas and knowledge about new products. Dr.Palani G Periasamy, President, SICCI in his inaugural address appreciated SIMA for its role in developing entire textile value chain right from cotton research & development. He mentioned that since China is drifting away from textile manufacturing activities, India, the second largest textile manufacturing country in the world would become the clothier of the globe in the coming decade. He urged all the textile machinery, spares and accessories manufacturers to fully concentrate on innovation, energy services, automation, online contracts, etc., to make our Nation globally competitive. Mr.K.Vinayakam, Vice-Chairman, SIMA proposed vote of thanks.

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POST EVENT REPORT

ITAMMA’s Networking Dinner ---- Proved successful platform for Business interaction during Indo Inter Tex 2016 at Jakarta, Indonesia. ITAMMA is one of the Oldest and Largest Textile Engineering Association in the world. It has organized many events helping its members from the Textile Engineering Industry by providing a platform for business interaction with the Industrialists and Entrepreneurs from the Textile Industry. ITAMMA has always organized events like Catalogue shows, B2B meetings, Seminars, Workshops, etc, at National level, to give a opportunity to our members to enhance their business in the domestic market. In regard with the International Market, since two decades, ITAMMA have been participating in most of the important International Exhibitions, organized in the developing countries with a good potential of business. While doing so, it was found that events like Networking dinner gave a good opportunity for more interaction with the Business visitors on a personal level, and so accordingly ITAMMA organized such events at Bangladesh, Vietnam and Indonesia, which received overwhelming response from the Industrialists of that country. Also, such events give an opportunity to our members to know about the growth of the Textile Industry of various countries and also to interact with the foreign delegates, and to get to know the latest technological development available with them. Thus, ITAMMA is promoting the ‘Make In India’ concept through this event. During this event, ITAMMA has also given a special opportunity for its members to introduce their company profile and products, and also a Catalogue Display Show was organized. A Networking Event was organized on 29th April, 2016 at Ho-

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tel Danau Sunter (Sunlake Hotel) which registered a very good response from more than 115 visitors, comprising of Industrialists/ Entrepreneurs from Jakarta and Bandung textile clusters. During this event, Mr. Mayank Roy, President, ITAMMA welcomed the audience which was followed by presentations from : Mr. P. Kaushik, Partner of M/s. Bea Electronics, Gwalior, who gave details about a special development available with them for developing Slubs in the Yarn as a requirement of Fancy Yarn, Mr. Sanjay Kovarkar, Head – Marketing of M/s. Inspiron Engineering Pvt. Ltd, Ahmedabad, gave a presentation on various range of Spinning and Wet Processing Machines, manufactured by them. Mr. Suhas Sawant of M/s. Super Tex Industries, Mumbai, explained about the different varieties of Cots and Aprons manufactured by them, while Mr. Dharmar, Proprietor of M/s. Texsonics Systems, Coimbatore gave a brief information in regard with the Technological development made by him to control the defect slubs in the Yarn. Mr. N.D. Mhatre gave a presentation on behalf of M/s. Yash Textiles Machines Pvt. Ltd, Mumbai as Mr. Navin Sharma was not available. We are pleased to mention that this is the fifth time ITAMMA was allotted a Complimentary Stall 91D in hall C3 of 9 sq.mtr by the Organizer. In this stall, ITAMMA had displayed the Catalogues of 25 member participants who received a tremendous response from more than 150 visitors from different categories viz about 15% from Spinning, 1% from Weaving, 15% from Wet Processing, 19% from Traders and Consultants and 11 % were from Others and remaining were students.

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June 2016


COTTON REPORT

Mr. Manish Daga

MD, COTTON GURU cottongurutm@gmail.com

INDIA Arrivals: (as on 14-06-2016)

CCI Arrival 30.6 million bales: (as on 13-06-2016)

Government Reports: 1) The Centre has set up a production target of 36 million bales (of 170 kg each) for cotton this year. The minimum support price has been hiked by INR 60 for both the medium and long staple variety to INR 3,860 and INR 4,160 per quintal. 2) The Indian government will cover as many as 585 agricultural markets electronically by the next year, which will allow farmers to sell their produce anywhere in the country. The government launched the project on a pilot basis, beginning with 21 markets covering 8 states. 3) India’s forecasting of the monsoon - the lifeblood for farmers in the country of 1.3 billion people - is getting a high-tech makeover. India’s meteorology office is spending $60 million on a new supercomputer to improve the accuracy of one of the world’s most vital weather forecasts in time for next year’s rains.

Sowing report:

Sowing of cotton in 2016-17 is estimated at 11 million hectors by the CAI which is a 7 year low.

Area under cotton is projected to register a significant fall in the north-west of India. Sowing is almost completed in the states of Punjab, Haryana and Rajasthan. It has been observed that farmers have been moving towards other crops, particularly pulses to safeguard against the pest attack (whitefly) and diseases like leaf curve virus in cotton crop like last year. The state agriculture departments have informed that cotton acreage in Punjab may reduce to 0.32 million hectares from 0.54 million hectares last year, indicating a 40% fall in area. Haryana is likely to witness a decline of up to 20% in cotton acreage. Rajasthan may also see a reduction in cotton area as the canal water is at a low level. The farmers who have alternative sources of irrigation can retain area under cotton but others may have to divert. Sowing in Gujarat and Maharashtra, the 2 major cotton producing states, would commence after the arrival of the monsoon which has been delayed by a fortnight. It may be premature to comment on overall cotton acreage as the monsoon is yet to cover the whole of India which is a prime requisite for sowing. Though there are enquiries for Bt cottonseeds, farmers are waiting for the monsoon to arrive to commence planting. But the fact that delayed planting in the last two years that impacted the yields, could weigh against cotton.

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Experts say better forecasting could help India raise its farm output by nearly 15 %, by helping farmers plan what to sow and when to sow. This would be a major boon for a country which is already the world’s biggest or second-biggest producer and consumer of rice, wheat, sugar and cotton. 4) The Union government is working to develop a suite of Bt cotton genes that can be integrated into traditional varieties and be made available to farmers as a viable alternative to the current technology, which is largely sourced from Mahyco Monsanto Biotech India Ltd. (MMB). Cotton is the only geneticallymodified seed that’s legally allowed in India. 5) The Pradhan Mantri Fasal Bima Yojana (PMFBY) launched this year, replaces the existing two crop insurance schemes National Agricultural Insurance Scheme and Modified NAIS, which have had some inherent drawbacks. More than 50,000 farmers in Gujarat have already registered for PMFBY via the State portal. Farmers’ premium has been kept between 1.5-2 % for food grains and oilseed crops and up to 5 % for horticultural and cotton crops without any cap on the premium. Following 2 years of successive droughts, farmers have started taking crop insurance seriously. Source -The Hindu, etc International Market: Pakistan: The last month has seen a hot debate between the Senate Committee and Textile Mill Association of Pakistan. The Pakistan Senate Committee on National Food Security and Research has asked the government to stop the import of cotton lint from India. The Committee believes that Pakistan’s agricultural economy would be ruined if the imports of cotton from India through the Wagah border are not stopped, as there is a sufficient stock of cotton lint available with the Pakistan Trading Corporation. In recent times Pakistan has replaced Bangladesh and emerged as the largest buyer of Indian cotton. Much of the Indian cotton has been exported to Pakistan, which stood at 2 million bales so far this year. The All Pakistan Textile Mills Association (Aptma) Chairman

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Tariq Saud said that it is a misconception that adequate cotton stocks are available with the Trading Corporation of Pakistan (TCP). The country’s agriculture economy would have been ruined if bales of cotton were not imported from India. He asked the Senate committee that instead of suggesting a ban on cotton imports, it should take up the matter of crop failure and discuss ways to prevent such failures in the future. At present, the industry needs 16 million bales per year whereas local production stands at less than 10 million bales. Currently, Pakistan is looking for an opportunity of exporting cotton to India as the new crop has started to arrive and the prices are competitive compared to Indian cotton. Bangladesh: Bangladesh is the Top cotton importer of the world, importing 100% of its requirements from USA, Australia, Africa, Uzbek, Turkish, C.I.S., Pakistan and India. Indian cotton selling share is almost 50%. Bangladesh cotton buyers are silent since some time as they are unable to digest the sudden spurt in prices. China: Since 1st week of May, China has been selling cotton from its domestic reserve in the range of 11500-13500 Yuan /Ton. Good demand observed in Australian and USA Cotton. Chinese Buyer waiting for fresh import quota to cover quality cotton. Due to recent severe weather conditions, some replanting might be required in the Xinjiang region. As a result of time and cost factors, Xinjiang’s overall planting area is likely to decrease further. US : The USDA announced last week that US cotton producers will receive one-off payments totaling US$300 million under the Cotton Ginning Cost Share Program to assist cotton growers in ginning costs and to facilitate marketing, Since the announcement

was made, some US trading partners have been critical of the new payments. Although cotton prices have fallen dramatically since peaking at US$2 per pound in 2011, they have returned to levels that are close to historical averages for the previous decade, with prices today back at around 63 cents per pound. Source- Bridges News Vietnam: Vietnam is the 2nd largest cotton importer after Bangladesh annually importing about 7 million bales from USA, West Africa & India. This year, most of the mills have focused on West African cotton. Egypt: Cotton Production is expected to fall in 2016.The latest field surveys indicate a major reduction of about 50 % in planted area compared to the last season. The farmers are not very keen to plant cotton without a strong government commitment to market the crop. As a result, production is revised down from 0.395 million bales to an all-time low of 0.16 million bales, a drop of 53 % from last year’s production of 0.32 million bales.

SURAT REPORT

Synthetic yarn price rise by 4 rs./kg. The countinued hike in crude oil prices over recent days has led to increased prices of synthetic yarn. High cost of key polyester yarn raw materials such as PTA, MEG has forced yarn makers to rise the prices of yarn. In last ten days, the prices of roto and crimp based quality has increased by rs. 2/kg. Various deniers of filament yarn has incresed upto rs. 4/kg. in surat yarn market. The yarn manufacturers of south gujarat are also facing short suply of PTA. This has further pushed the price of yarn in the local market. Weavers of Surat are in a wait-and-watch mode, to stock yarn in their factories. They are purchasing yarn in a small quantity and as per requirement, because of high prices of yarn. The raw grey fabrics demand is weak in local wholesale textile market. The traders of finished synthetic fabrics are waiting for festival season to fill their inventories. -‘Source india 2016’ will be held in Surat to push US$ 9 billion MMF textile exports The Synthetic & Rayon Textiles Export Promotion Council(SRTEPC) and the ministry of textiles, has organised ‘Source india-2016’, a global buyer sellers mett for man made fabrics(MMF) in the textile city Surat. The two days event will be held in Surat on 13-14 August. A roadshaw for source india-2016 event was organised by SRTEPC in Surat on 11th june. Mr. Anil Rajvanshi, Chairman SRTEPC said, The man made fibre

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from india today reachesas many as 140 countries and is worth US$ 6.32 billion. There is a lot more potential for indian MMF industry to spread its reach to both traditional and emerging markets. Global buyer seller meet Source india-2016 will be organised with the view to achieve the target of $9 billion(55,000 crore) worth of MMF exports from india. From over 34 countries more than 100 international textile buyers are expected to participate in Source India 2016. He informed that two fashion shows and fashion forecast programme will also be held during the two days meet. ‘Gujarat has been the leading state in india in the advencement of the textile trade and Surat is one of the 18 textile clusters of the state. 40% of the man made fibre industry of the nation is served by Surat’ said, STREPC vice-chairman Narain Agarwal. ‘Source india 2016’ will be the largest sourcing show for international buyers who are looking to source synthetic and blended textile from india. Surat is producing 4 crore meters synthetic fabric per day. Mr. Agarwal said, The main finished product of Surat is synthetic saree and dress material. 70% of world’s total textile consumption is synthetic textile. There are huge opportunities available in the international market. Now the time has come when manufacturers of Surat has to focus on garment industries also. The office bearers of SRTEPC has urged the textile enterpreneurs of surat to participate in the two days Source india meet in order to get the maximum exposer to the fabrics, yarns and fibres manufactured in Surat.

www.textilevaluechain.com

June 2016


SHOW CALENDAR

July 2016 1st

1-3

1-3

ATEXCON Place : Mumbai/ India, info: www.citiindia.com HGH INDIA 2016 Place : Mumbai/ India, info : www.hghindia.com IIGF- INDORE Place : Indore/ MP, info : www.iigfindia.com

13-15 National Garment Fair Place : Mumbai/ India, info : www.cmai.in 18-20 IIGF - GARMENT Place : New Delhi/ India, info: http://indiaapparelfair.com/ 21-23 F&A - FABRIC Place : New Delhi/ India, info : http://delhi.fnashow.in/ 26-28 Fashion Connect Place : Banglore/ India, info: www.fashionconnect.co.in

August 2016 7-9

KNIT SHOW 2016 Place : Tirupur/ India, info: www.knitshow.in

13-14 Source India 2016 Place: Surat / India, info: http://www.srtepc.org/gallery/view/13564 17-19 Homtex –IRAN Place : Tehran/ Iran, info: www.pineex.com

16-18 YARNEX Place : Tirupur/ India, info: www.yarnex.in 16-17 World Textile Conference Place : Mumbai/ India, info: www.textileassociationindia.org 30th Digital Textile Conference Place : Milan/ Italy, info: http://dtc.fespa.com/en/ October 2016 11-13 FILTECH 2016 Place: Cologne/ Germany, info : www.filtech.de 11-13 Inter textile – Autum Edition Place : Shanghai/ China, i nfo: https://intertextile-shanghai-apparel-fabricsautumn.hk.messefrankfurt.com 12-14 CINTE TECHTEXIL Place: Shanghai/ China, info: www.techtextilchina.com 18-21 IFAI EXPO 2016 Place : CHARLOTTE, NC, info : http://ifaiexpo.com/ 21-25 ITMA ASIA + CITME 2016 Place: Shanghai/ China, info : www.itmaasia.com.in 10-12 ICTN 2016 Place : Delhi, India, info : www.textileconferenceiitd.com 23-26 YFA Place: New Delhi/ India, info: www.yfatradeshow.com

19-20 FESPA MEXICO 2016 Place : MEXICO / North America, info: http://mexico.fespa.com/en/

23-25 Textech Indonesia 2016 Place : Jakarta/ Indonesia, info: http://textechonline.org/textechindo/

27-29 Textile Asia International Trade Fair 2016 Place : Lahor/ Pakistan, info: http://textileasia.com.pk/

December 2016

31-03/09 Textech Bangladesh 2016 International Expo Place : Dhaka/Bangladesh, info: http://textechonline.org/textechbd/ September 2016 7-9 7-9

CAITME Place : Uzbekistan, info: http://www.caitme.uz/ FESPA AFRICA Place : Johannesburg, info: www.fespaafrica.com

June 2016

www.textilevaluechain.com

1-2

Make in India Conference Place: Mumbai/ India, info: www.textileassociationindia.com

3-8

10th INDIA ITME 2016 Place: Mumbai/ India, info: www.india-itme.com

8-11 FESPA Eurasia 2016 Place : Istanbul/ Turkey, info: http://eurasia.fespa.com/en/

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POST EVENT REPORT

LIVA brand set to double its store presence to 4,000 outlets this year …..LIVA CONNECT launched to bring unorganised and organised sector across industry under one roof in order to drive per capita viscose fibre consumption in apparel retail Having caught the imagination of the designers and top retail brand, LIVA –fabric from the Aditya Birla Group, has embarked upon a larger plan to grow further in the domestic market to 4,000 stores from the prevailing 2,000 stores. Speaking at Confluence – a LIVA Accredited Partner Forum platform – Mr. Dilip Gaur, MD of Grasim Industries and Business Director pulp and fibre division, Aditya Birla Group said, “In Spring Summer 2016, LIVA has presence in over 2000 stores across 140 cities with 7 million garments tagged to the brand and we intend to double the outlets to 4000 stores in the next two season. The growth of the brand is accelerating with each season. With the launch of LIVA CONNECT, a b2b digital platform we aim to give access to the unorganised sector and ensure that we widen and deepen the market at the same time.” The Confluence conference saw presence of over 600 top industry players from across the country to deliberate various trends and options to grow the viscose pie in the domestic market. “Currently, the per capita consumption of viscose fibre is 0.2 kg in India while the globally it is 0.75 kg and the same is twice in China at 1.5 kg. Globally, man-made fibres have growing faster than cotton, with viscose based fibre growing at 27% CAGR while normal textiles have grown at 5% CAGR over the past few years. Since the domestic market has been stagnant, we intend the portal to be an ideal platform for the trade to come on board to drive the ecofriendly vision of LIVA fabric,” Gaur said. Birla Cellulose has also been working on speciality fibre within the viscose segment that accounted for 36% of the total portfolio in the just concluded year compared to 28% in the previous year,

June 2016

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Gaur said referring to the innovation initiatives undertaken within the company. The rising influence of LIVA in the organised retail sector would aid the non-branded segment with trickled down effect and create the necessary consumer pull and awareness, he said. At the conference, Narendra Kumar, renowned fashion designer pointed out that the demand for high fashion apparel is not restricted to metro cities only but also in Tier-II and Tier-III cities like Patna and Kanpur and LIVA has the potential to satisfy this growing demand. LIVA is focussed on women’s clothing - western, ethnic, fusion wears, leggings, palazzos, harem pants, stoles, etc and has ambitious plans to exponentially ramp up the women’s wear sale in India based on the inherent potential it envisages. After leggings, LIVA’s has forayed into sarees based on consumer insights with more developments in more categories in the coming months. LAPF Confluence witness participation from the Who’s who of the textile and clothing industry in India. The participation was enriching and extensive value exchange program.

About LIVA

LIVA is a natural fluid fashion fabric, from Birla Cellulose – a part of Aditya Birla Group. LIVA is created from natural cellulosic fibres and transforms the way you wear garments, giving them the most liquid and soft drape. LIVA is the preferred ingredient fabric brand for leading women’s brands including BIBA, Lifestyle, Shopper Stop, Van Heusen, Pantaloons, Allen Solly FBB, Fusion Beats, Maxx, Park Avenue, Wills Lifestyle and many more in over 140 cities and around 2000 stores. Currently more than 7 million garments carry LIVA tags. About 900 stores adorned the LIVA visual merchandise and training sessions conducted across India.

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TREND FORECAST

NEO GLOBAL Well-curated style influences from around the world blend to create a look that is worldly in feel and eclectic in execution. Artisanal, crafted looks embrace traditional forms while irreverent use of color and pattern bring a new and youthful appeal. A new appreciation for culture and craftsmanship are key. Woven basketry, rustic metals, patch-worked textiles and hand-worked leather lend a classic appeal to this new interpretation of worldly style.

Well-Traveled

Cultural Accents

Global style comes alive with

Global motifs are given objects from around the world updated applications

Tribal Influence

Black & White

Animal prints and tribal patterns are reinterpreted and newly combined

Tribal, animal skin and new geometrics combine under this unifying palette

Wooden Wonders

Moorish

Reinvented Tribal

Hand-Crafted Metals

Nature’s beauty is recreated in unique forms and functions

N. African influence continues as patterns and forms echo throughout home style

Deconstructed and modernized tribal patterns

Hand-burnished finishes of

create the newest style statements

copper, nickel, bronze and gold give metals a new warmth and sophistication

e-CRAFTCIL • Issue 14, 2015

June 2016

www.textilevaluechain.com

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TREND FORECAST

Metals Shine

Worldly Possessions

Equestrian Themes

The New Library

Accessories speak of travel with global appeal

Expect updated tributes to an ancient sport

Well appointed rooms recreate Copper, newer Bronze and Brass are among favored stories of global experiences finishes

Mixed Materials Combinations of wood , metal, leather and even enamels create depth

NOVEL ROMANCE

Reimagined Lace

Boudoir Chic

Unexpected scales, colors and Classicism and feminine application bring excitement details blend seamlessly to tradition

Powdery Pinks

Tea Time

In textiles, glazes and even glass, warm pinks abound, often accented with Gold

References to a golden era, literal and fanciful, honor tea’s long traditions

e-CRAFTCIL • Issue 14 , 2015

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www.textilevaluechain.com

June 2016


TREND FORECAST

Heimtextil Takes a New Approach: ‘Theme Park’ and Trend Prognosis for 2015/2016 Presented THEME I – Sensory

The well-being factor Designers create new products for the home, which appeal to our growing interest in tactile and sensory im pulses. They find solutions via the link between science and design and thus increase our feeling of well-being. To this end, they use intelligent textiles with builtin responsive technologies that, for example, react to changes in the source of light. Inspiration also comes from the beauty and wellness industry. Super-sensory fabrics draw on the huge variety of tactile effects that excite our senses: light, feminine and transparent. As a sensory contrast, fabrics with polished surfaces or varnish-like lustre and uniformity are used together with paper surfaces and oily finishes. THEME II – Mixology Inter-cultural exchange Variety is trumps. Cultural fusion has given rise to a modern ethnic heritage. From now own, experimentation and the interaction of different identities is the name of the game. Patterns, prints and colors collide almost chaotically with each other. African tribal design meets 3D rave motifs, retro with futuristic, digital with organic. At the same time, people are enthusiastic about recycling and product hacking. New applications are found for waste materials with due consideration being given to material properties. The result is valuable design objects and – no less important – the feeling of independence from conformity of any kind.

THEME III – Discovery

Predicting the future Designers are taking ever greater account of our planet’s valuable resources. They look over the shoulder of astrophysicists and investigate the properties of lunar rock and meteorites, the haptic qualities and dark strength of which are particularly fascinating. Observing the cosmos and the micro-cosmos, they come across dark, light-absorbent space black and stellar coruscation. Light plays a key role in this connection: it dazzles and illuminates, it sketches and plays tricks with the eye.

THEME IV – Memory

Reflection and re-evaluation People strive for a simpler, purer and more ethically correct way of modern life: away from consumption stress and rigid must-haves – towards favourites and a genuine feeling of well-being. The materials that decorate life together in the home will be honest, us eful fabrics, e.g., denim, wool and linen. Familiar patterns stimulate the capacity for recall. Tomorrow’s designers will combine handicrafts and tradition with an innovative sense for modernity whereby their software abilities are an additional benefit. Thus, handicrafts and technology can join forces to create new, timeless values.

June 2016

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June 2016  

Home Textile Trend Forecast of Home Textiles Cotton & Yarn Report Technical Articles

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