5 May 2023, Mumbai 

Impact on South Asia

Proposed reforms to the General System of Preferences (GSP) program threaten Southeast Asian countries such as Thailand, Indonesia, Cambodia, and the Philippines, which have been significant beneficiaries of the tariff reductions provided under the program.

What all you need to know

The GSP scheme, which has been inactive since the end of 2020, requires renewal and reauthorization by the US Congress. The latest revision introduces new eligibility criteria for tariff reductions, including considerations of human rights, environmental enforcement, poverty reduction, corruption, and women's empowerment.

Critics argue that the program should recognize the efforts made by beneficiary countries in addressing discrepancies in law. However, introducing too many eligibility requirements could render the GSP impractical and unenforceable, impacting low-income countries with limited government capacity.

The final decision on GSP renewal remains uncertain, and there are calls for balancing eligibility changes with expanded product coverage to aid compliance for Southeast Asian countries. Failure to renew the GSP could have disastrous consequences for industries in these countries.

Inside Indian story

Art of possible; The commodity market bubble has deflated due to monetary tightening and slowing growth in major economies like China, the European Union, and the United States. This, coupled with temporary export restrictions on key products, has adversely affected India's exports.

After experiencing robust growth of 20-25 percent in the first half of the year, India's merchandise exports slowed down in the third quarter and contracted significantly by 16.8 percent year on year in October.

Despite these challenges, India has the potential to increase its exports. Currently, India's share in the global export market is less than 2 percent, amounting to $421 billion out of a $22 trillion market. Even if global exports remain stagnant, India can enhance its export share by implementing several corrective measures.

The continuous rise in cotton and cotton yarn prices has been a major concern for the industry, affecting its cost competitiveness. The council has actively addressed this issue by explaining the factors and trends influencing cotton prices and submitting suggestions to stabilize yarn prices.

In response, the government temporarily removed the 10 percent import duty on cotton from April to September 2022 to enhance supply from countries like Australia, the US, and Africa and alleviate yarn prices until the next cotton harvest in October.

The Apparel Export Promotion Council (AEPC) has consistently raised concerns about the rising prices and advocated for export calibration to mitigate the impact. India is already losing ground to competitors like Bangladesh, which benefits from FTAs and GSP privileges in prominent export markets.

With Bangladesh surpassing India's garment exports by 2.9 times, AEPC emphasizes the need for action.

During a meeting chaired by the Minister of Commerce and Industry, Textiles, stakeholders in the cotton textile value chain discussed high raw material prices. AEPC's chairman highlighted the challenges posed by increased yarn prices and the industry's struggle to meet customer demands.

The Commerce Minister urged the textile industry to reduce cotton and yarn exports by 25% compared to the previous year. Furthermore, duty-free import of cotton was announced for a bill of lading dates up to September 30, 2022.

The Minister emphasized the importance of collaboration over competition and excessive profit-seeking, encouraging stakeholders to resolve the cotton and yarn price issue without relying on government intervention, which could have long-term consequences.

The establishment of the Cotton Council of India was also announced to address these concerns. The baggage of history; At the outset, it is goldilocks time for India as India is doing something right.

Impact on Bangladesh's garment industry

EuroCommerce, the European body representing retail and wholesale sectors, has raised concerns about the forthcoming European Union Generalised System of Preferences (GSP) scheme, stating that it does not favor Bangladesh.

The proposed safeguard measures in the new GSP could have severe implications for Bangladesh, which currently benefits from the "Everything but Arms" arrangement of GSP for least developed countries (LDCs).

As Bangladesh's per-capita income has reached $2,457, classifying it as a low-middle income country, the new GSP Regulation set to take effect in 2024 could remove the zero custom duty and most favored nation tariffs currently enjoyed by Bangladesh.

With 58% of the country's exports directed to the EU and UK markets, the potential exit of Bangladesh from the group of LDCs in 2024 poses significant challenges in terms of preferential market access. Upgrades in status could lead to average duties of 8.7% for exports, and 12% for readymade garments.

EuroCommerce has highlighted the detrimental impact of these proposed measures on Bangladesh's overall economy and has urged for negotiations on the new GSP regulation to mitigate potential job losses and ensure sustainable development in the sector.

To address these concerns, Bangladesh aims to qualify for the GSP+ scheme, which offers a special incentive arrangement for sustainable development and good governance. Qualification requires ratification of 27 international conventions and meeting vulnerability criteria set by the EU.

The government of Bangladesh, in collaboration with relevant stakeholders, has been actively working towards fulfilling these criteria and has developed an action plan shared with the European Union.

However, the pandemic has temporarily halted progress, and a tripartite committee has been established to address the issues, consisting of representatives from the government, entrepreneurs, and workers. The fact that over 50% of Bangladesh's exports go to the EU poses a significant roadblock, triggering the new GSP Regulations.

It is crucial for the EU lawmakers, EuroCommerce, and the Bangladesh government to engage in tripartite discussions and find a balanced solution that safeguards the well-established textile and readymade garment sector, which serves as the backbone of Bangladesh's export-based economy, without causing extensive damage to revenue and job generation.

GSP and Pakistan apparel exports

Role of FTAs & GSP; Pakistan benefits from a free trade agreement with the EU. Pakistan's textile sector has helped to foster positive relations with the EU. Pakistan is no longer subject to import duties from the European Union, and a bill passed in December 2013 gave it a Generalized Scheme of Preferences status (GSP Plus).

Pakistan's eligibility for the European Union's Generalised Scheme of Preferences Plus (GSP+) benefits beyond 2023 is being questioned. The GSP+ scheme, which provides duty-free access to most of Pakistan's goods in the EU in exchange for adherence to international standards, has not achieved its intended objectives, according to a report by Geo-Politik.

Despite experiencing significant growth in exports to the EU, Pakistan has been slow in implementing necessary reforms, particularly in areas such as human rights, labor rights, women's working conditions, and environmental protection. The report highlights the lack of improvement in the quality of life for workers, especially women, and criticizes the government's insufficient response to these issues.

The textile and apparel industry, which constitutes approximately 60% of Pakistan's exports, has played a significant role in the country's increased exports to the EU under the GSP+ scheme.

However, the report argues that the benefits of the scheme have not been adequately reciprocated with compliance with EU values and economic cooperation.

The EU now faces a decision on whether to continue the GSP+ scheme beyond 2023 or explore alternative approaches to promote adherence to international standards in Pakistan.

Srilanka & GSP factor

Recovering the GSP+ status in 2017 was a significant achievement for Sri Lanka, as it reinstated duty-free access to the EU market for a wide range of products, including textiles and fisheries. However, concerns have arisen once again regarding the potential loss of GSP+ concessions due to Sri Lanka's human rights obligations.

The apparel sector, a key contributor to Sri Lanka's export revenue, is particularly vulnerable to the outcome of GSP+ discussions. The EU is the second-largest market for Sri Lankan apparel, and any fallback from GSP+ to standard GSP would result in increased import tariffs, impacting the competitiveness of Sri Lankan apparel in the EU market.

Despite the importance of GSP+ concessions, it is interesting to note that only 49% of Sri Lanka's apparel exports have taken full advantage of these benefits since 2017. This can be attributed to the stringent rules of origin requirements imposed by the GSP+ scheme.

Duty-free access is granted only to apparel manufactured in Sri Lanka from the yarn stage, excluding garments made from imported fabric. However, fabrics produced in SAARC countries and the EU are exempt from this rule.

In conclusion, while the retention of GSP+ concessions is crucial for Sri Lanka's economic prospects, the low utilization rate suggests that the strict rules of origin requirements pose challenges for exporters.

Sri Lanka's ability to comply with human rights obligations and effectively leverage the GSP+ scheme will play a vital role in securing its continued access to the EU market under preferential terms.

Decoding GSP factor

The Generalized System of Preferences (GSP) is a significant U.S. trade preference program that offers opportunities for impoverished nations to foster economic growth and escape poverty through trade.

Established in 1974, GSP plays a crucial role in promoting sustainable development by eliminating duties on a wide range of products imported from 119 designated beneficiary countries and territories. By encouraging increased trade and diversification of exports,

GSP contributes to the economic expansion of developing nations. Furthermore, the program provides additional benefits for products originating from least-developed countries.

The comprehensive list of eligible products for duty-free treatment can be found in the GSP Guidebook, facilitating access to the U.S. market.

Latest Textile Events

13 May 2023, Mumbai 

Bangladesh's garment industry is facing a challenging situation due to a significant decline in garment exports to major destinations, raising concerns about its future.

What all you need to know

The decline in exports to the United States and the European Union has prompted Faruque Hassan, the President of the Bangladesh Garment Manufacturers and Exporters Association (BGMEA), to urge the government to implement measures to address the crisis.

The devil lies in details

According to the BGMEA's report, there was a 12.65% year-on-year decline in garment exports to the US in terms of US dollars between November 2022 and April 2023, with a decline of approximately 25.95% in quantity.

Apparel exports to major markets such as the USA, Germany, and Canada have experienced negative growth during the January-March period of 2023.

In contrast, garment exports to the EU increased by 7.10% in terms of US dollars, but there was a decline of 4.12% in quantity. The increase in unit price can be attributed to the rising costs of raw materials and freight charges, leading to international retailers and brands adjusting their pricing strategies.

Bangladesh's RMG Transformation

In an eventful journey spanning more than 40 years, the RMG industry of Bangladesh has come across a good number of formidable challenges and risen to them, even becoming stronger with renewed vigour and zeal to move ahead.

Although they may not have physically visited Bangladesh, countless individuals have experienced the country's warmth through its production of world-class apparel.

Despite pandemic setbacks, Bangladesh is set to become a middle-income country, with the ready-made garment industry accounting for 84% of its exports.

The RMG sector's growth and modernization over the past decade have been remarkable, though global fashion sourcing shifts could affect Bangladesh's position in the industry supply chain.

Improved factory safety and value-chain responsibility have led to the sector's success, though challenges persist in maintaining its economic vibrancy.

Vision

Bangladesh Garment Manufacturers and Exporters Association (BGMEA) has unveiled its vision -- a vision for a sustainable future, a better future. BGMEA consistently maintained that “sustainability is a marathon, not a sprint”. The industry has made a silent revolution in green transformation.

“The BGMEA has announced its 'Vision 2030' committed to hitting USD 100 billion in apparel export which ambitiously is aiming to account for some 10 percent of the world's apparel market share and, stated confidently that the same is quite achievable by taking multi-stakeholders work coherently for a collective cause.”

BGMEA appeals

Faruque Hassan, President, of BGMEA has emphasized the need for more collaboration between industry and academia to support the development of the RMG industry.

Hassan called on the government to implement several measures to address the challenges, including reducing the source tax to 0.5%, lowering the corporate tax on subcontracting incomes to 12%, and withdrawing the 10% tax on cash incentives for export earnings.

Additionally, he urged the government to provide a special 10% stimulus for the export of garments made from manmade fibers (MMF) and emphasized the importance of diversifying the types of garment items exported.

Hassan also highlighted the high global demand for non-cotton items, as 75% of all garment items sold worldwide are made from non-cotton fibers. Encouraging investment in MMF-based garments could enable Bangladesh to capture a larger share of the global garment market.

BGMEA sees $5bn from recycled garments

The RMG industry of Bangladesh is increasing the capacity of renewable energy generation in the sector. 

The Bangladesh Garment Manufacturers and Exporters Association (BGMEA) estimated that exporting value-added garments made from recycled yarn could generate $5bn in revenue.

During a pre-budget discussion, the BGMEA suggested Bangladesh could become a hub for recycled garments and highlighted the export potential of recycled ready-made garments (RMG) products. BGMEA sought policy support from the government and suggested exempting local textile mills from the value-added tax on selling scraps to encourage investment in recycling.

BGMEA Urges VAT Waiver, Duty-Free Textile Waste Imports to Boost Recycled Fiber Production

The Bangladesh Garment Manufacturers and Exporters Association (BGMEA) is urging the government to waive the 7.5% and 15% VAT imposed on locally recycled fiber to attract foreign investment in the industry. The BGMEA also calls for the establishment of an HS code and duty-free facilities for importing textile waste to meet demand from buyers.

As international consumers shift towards circular fashion and recycled products, the BGMEA believes it is crucial to focus on reusing post-industrial waste or jute cloth as raw materials to increase the use of recycled fiber in the industry and ensure access to the European market for apparel items made from recycled fibers.

Measures undertaken

On 21 December 2022, the National Board of Revenue (NBR) of the Government of Bangladesh issued a gazette that permits the import of yarns from India through four new land customs ports, namely Bhomra of Satkhira, Sonamasjid of Chapainawabganj, Darshana of Chuadanga, and Banglabandha of Panchagarh. Furthermore, the government has waived the restriction on partial/multiple shipments while importing raw materials through Benapole port.

The government is currently working to enhance the infrastructure and administrative capacity of all land customs ports, including building road and rail networks and warehousing capacity.

BGMEA seeks duty-free access for US cotton exports

The Bangladesh Garment Manufacturers and Exporters Association (BGMEA) has once again requested duty-free access to cotton imported from the United States for the country's RMG exporters.

The move aims to reduce production costs, enhance competitiveness, and foster bilateral trade relations between the two countries.

While this appeal is a step towards strengthening the garment sector, Bangladesh must also address challenges such as worker safety, compliance with international labor standards, and diversification of its product range to move up the value chain.

The outcome of the BGMEA's appeal remains uncertain, but it signifies Bangladesh's efforts to strengthen its garment sector.

Snapshot

BGMEA analysis puts it like this, the top exportable apparel items of Bangladesh in 2022 were cotton t-shirts, men's or boys' cotton woven trousers, women's or girl’s cotton woven trousers, cotton jerseys & pullovers, MMF jerseys & pullovers, men's or boys cotton woven shirts, w/g cotton knitted trousers, men or boys synthetic woven trousers, men or boys cotton knitted shirts, and men or boys cotton knitted trouser.

True potential

The COVID-19 pandemic and shifting global markets have presented significant challenges to Bangladesh's garment industry, which is a key contributor to the country's economic success.

The sector has made great strides in improving conditions for its workers and achieving transparency in factory safety and value-chain responsibility since the tragic workplace disasters of 2012 and 2013.

However, the pandemic has slowed the industry's growth, and competition from other sourcing countries, particularly Vietnam, threatens Bangladesh's position in global supply chains.

To maintain its economic vibrancy, the sector must invest in innovation, upgrade its infrastructure, and diversify its offerings to include more sustainable and flexible options while continuing to prioritize worker welfare.

Despite facing increasing competition, Bangladesh's RMG sector remains attractive to global sourcing executives, but it must take transformative steps to capture its full potential and remain a leading garment exporter in the years ahead.

Bangladesh’s garment export to India will continue to grow, says Faruque Hassan, president of the Bangladesh Garment Manufacturers and Exporters Association (BGMEA).

Panorama

While the export growth for RMG in Bangladesh has shown positive year-over-year growth for July to March in FY2022-23, the recent decline in export earnings in March 2023 highlights the challenges posed by the global economic depression and rising inflation.

The garment industry is a crucial pillar of Bangladesh's economy, and the decline in exports has raised concerns about its future

The Bangladesh Garment Manufacturers and Exporter Association (BGMEA), in partnership with Bangladesh Apparel Exchange (BAE), organized the Week between 12th–18th November 2022 which included events such as Dhaka Apparel Summit.

However, by implementing measures to address the challenges and diversifying the types of garment items exported, Bangladesh can potentially capture a larger share of the global garment market and secure the industry's future.

Latest Textile Events

 18 May 2023, Mumbai

The time is now for change. Success & Change go hand in hand. As a result of recent leadership changes, India's appearance is changing. The storied Indian textile industry has finally come to terms with the fact that change is unavoidable and moving in a new direction.

One of India's oldest businesses, Indian textiles have a rich history dating back to ancient times, with a diverse range of techniques and styles. The sector enjoys a clear-cut credible distinction of playing a considerable role in building India's economy and cultural identity.

Technical textiles in the sweet spot

Entrepreneurs are already turning away from traditional textiles and considering investing in technical textiles, which are the future textiles. Many technological textile projects have recently come to mind. Even though India is the world's second-largest textile economy behind China, our contribution to the rapidly expanding technical textile market is insignificant.

Case of missed opportunity

This is a sobering reminder of how far behind the technical textile sector's curve is. The penetration of our roots into technical textile areas like pack tech (36%), clothtech, and hometech is another sobering reality about the Indian specialized textile market.

Even though these categories produce highly technical textile items with significant growth, the final products' monetary value is relatively modest. On the other hand, Mobitech, a high-value product, dominates the global market for technical textiles with a 23% share, followed by Indutech and Sportech.

Use case

Given the enormous expansion in the automobile industry, the vast potential of the Mobitech sector is clear to the layperson when it comes to demand-supply analysis. The demand for cars is rising daily due to a developing economy, increased disposable income, and a rising standard of living.

While 36 lakh automobiles were created in India in 2016, approximately 7.2 crore cars were made worldwide. One of the biggest automobile industries in the world is in India. Its share of the nation's Gross Domestic Product (GDP) is 7.1%. During FY06–16, the commercial vehicle segment grew at a CAGR of 9.4%, and the passenger vehicle segment at a CAGR of 10.09%.

Since cars are considered a status symbol in India, there is an ever-increasing demand for them. Recently, this demand has intensified due to the introduction of rental car services, as more people have access to them.

Sunrise sector

In addition to the enormous demand for automotive necessities like seat covers, car flooring, seat belts, etc. The need for airbags has recently increased along with people's awareness of their safety. Today, people place a high priority on security.

Gone are the days when people insisted on buying cars without airbags to get them for a reasonable price. There are cars on the market right now that are only advertised based on how many airbags they have, protecting as many passengers as possible.

In India, the government recently mandated that all cars have airbags and three other safety features starting in October 2017 to protect the occupants from accidents.

Due to the lack of airbags in most of today's cheap cars, like the Alto, Aeon, Santro, Nano, and the Datsun GO, this need will drastically boost the demand for airbags.

A minimum requirement of 2 airbags per automobile in vehicles with the highest market dominance in India may ultimately result in a sizable market for airbag manufacturers.

Sunset or sunrise? Context setting; All is not hunky dory here in India's textile space, once upon a time the sector which was construed to be a global leader is losing its sheen/colour owing to ever-increasing competition and lack of innovations required to keep its growth and help maintain its existing status.

Differentiability

PLI Scheme for textiles is designed to fuel & spur the sector's growth prospects augmenting India's Textile Sector producing capabilities and harnessing exports' heft with an allocated capital outlay of Rs 10,683 crore through the next five-year period we have to stress here that it has been the game changer in some of the sectors where PLI schemes have been introduced.

Textile Industries Poised for Growth: PLI Scheme to Generate Jobs and Boost Turnover

India's textile industries are set to experience a significant upturn with the implementation of the Production Linked Incentive (PLI) Scheme. This strategic move by the government aims to reestablish India's dominance in the global textile trade while creating a favorable environment for Indian companies to emerge as global champions.

Potential limitless; One of the key benefits of the scheme is the generation of over 7.5 lakh jobs directly, with the potential to create several lakhs more employment opportunities in supporting activities. Notably, the scheme is designed to encourage the active participation of women, paving the way for their increased involvement in the industry.

The PLI Scheme comes with substantial incentives, amounting to Rs. 10,683 crores over a span of five years. These incentives will act as a catalyst for fresh investments, projected to exceed Rs. 19,000 crores. Moreover, the scheme is expected to drive an additional production turnover of over Rs. 3 lakh crore in the span of five years, further boosting the textile sector's economic growth.

Inclusive growth

With a focus on inclusivity, the scheme prioritizes investment in Aspirational Districts and Tier 3/4 towns, ensuring that the benefits reach regions beyond major cities. States such as Gujarat, Uttar Pradesh, Maharashtra, Tamil Nadu, Punjab, Andhra Pradesh, Telangana, Odisha, and others are expected to experience significant positive impacts from the scheme, revitalizing their textile industries.

Through leveraging economies of scale and providing a supportive ecosystem, the PLI Scheme sets the stage for a thriving textile sector in India. With increased investments, job creation, and enhanced turnover, India is poised to regain its position as a global leader in the textile trade, benefiting both the industry and the economy as a whole.

COVID-19's Impact on Indian Textiles

The COVID-19 pandemic has caused widespread disruption and challenges across various sectors, including the textile industry in India. This study aims to examine the implications of the pandemic on the demand and supply sides of the textile sector, highlighting major issues and challenges faced. By analyzing secondary data from reputable sources, the study emphasizes the need for innovative approaches to navigating this crisis.

Incentives galore

Suggestions include providing tax compliance relaxation for small-scale segments and implementing comprehensive financial relief packages tailored to the export- and labor-intensive nature of the industry.

Future research is encouraged to further explore the long-term effects of the pandemic and develop effective strategies. This study serves as a foundation for future investigations and supports policymakers in preparing for unforeseen crises in the textile industry.

Global tailwinds

Can India pull it off as the 'China Plus One Global Strategy' is putting India on an Upward Growth trajectory provided all the hands are on deck? With increasing demand from sectors such as healthcare, automotive, and construction, the industry is projected to generate exports worth $40 billion by 2025.

Latest Textile Events

 16 May 2023, Mumbai 

The need for intelligent textiles and bright clothes increases with the demand for fitness trackers and wearable technology. A new industry analysis projects that by 2025, the size of the world market for exquisite textiles will be USD 5.55 billion.

What all you need to know

The evolution from analog to digital technology was accomplished using integrated systems found in the developments in fiber optics cables, microprocessors, telecommunication domains, and software domains.

In the last decade or so, technology has transformed many businesses. Business paradigms are in for a transformation on the back of the internet playing a vital role.

Decrypt

Within the context of this revolution, cyber-physical systems and the Internet of Things (IoT) can interconnect with everyone and persons in real-time.

Artificial intelligence (AI) describes the simulation of human intelligence in intelligent devices designed to act and think like people. Building machines that can carry out tasks that traditionally need human intelligence is the focus of this broad area of computer science. Any machine that demonstrates characteristics of the human intellect, such as learning and problem-solving, can also be referred to as AI.

The formerly labor-intensive textile sector has transformed on the back of the steady adoption of AI and the Internet of Things (IoT). Nowadays, broadly it has been experienced that most textile companies use computerized equipment, which is far more effective than human laborers in producing precise patterns on a large scale.

The core idea of delving into the possibility of automation AIs of the world replacing human element will be orchestrated by, the labor-intensive processes, methodology as a pre-condition needs to be converted into automated processes achievable only by nothing else but the use of computers, tailored models, specified digital components, and artificial intelligence (AI)/IoTs to optimize production processes, reduce costs, and improve product quality.

Technology is a big enabler today

The widespread adoption of artificial intelligence (AI) has transformed various industries, including the textile sector.

By leveraging AI capabilities like machine learning and neural networks, the textile industry has been able to automate labor-intensive tasks and enhance quality control operations.

This review highlights the application of computer algorithms in textile manufacturing, where AI is utilized in yarn manufacturing, fabric production, and coloration processes.

With access to historical and real-time data, textile businesses can improve efficiency and augment human capabilities through AI. Although AI adoption in the textile industry is still in its early stages, it holds significant potential to revolutionize the industry in the next two to five years.

AI technologies such as robotics, intelligent sensors, and machine learning algorithms have already made a notable impact in the fashion industry, enabling production optimization, trend analysis, personalized marketing, and improved consumer engagement.

This chapter aims to provide insights into the current and future applications of AI in the fashion industry, showcasing its potential to enhance productivity and sustainability economically and theoretically.

Transformative

The formerly labor-intensive textile sector has transformed due to new technologies like artificial intelligence (AI) and the Internet of Things (IoT). Nowadays, most textile companies use computerized equipment, which is much more effective than human laborers at producing detailed designs on a large scale. Every day, new innovative clothing products are developed.

Smart textiles can track and transmit the wearer's information, including biometric data like blood pressure, heart rate, sweat, temperature, and more, by integrating AI with technologies like Bluetooth Low Energy (BLE), edge computing, and cloud data.

Challenging the stereotypes

AI is revolutionizing the production process and commercial practices for textile businesses. AI can access and gather past and current operational data, offering insights to increase operational effectiveness. It is simpler to adjust processes to maximize the skills of human workers when you have a thorough understanding of your operations.

AI impacts every process step, whether it be product cost, textile production, quality control, just-in-time manufacturing, data collection, or computer-integrated manufacturing. Defect identification, pattern inspection, and color matching are some frequently used AI applications in textile production.

AI-enabled "smart clothes" that use IoT and electrical sensors to enhance user experience are now possible. Bright clothing can employ these technologies to provide a more cozy and healthcare-focused experience. We'll look at some new options for the textile sector below.

Labour intensity is central to textiles

Many of the world's most significant fashion, clothing, and apparel brands appear to have a sizeable portion of their products manufactured in Asian nations such as China, India, Bangladesh, Vietnam, etc., suggesting that garment and textile manufacturing has historically been a labor-intensive industry.

Technology is disruptive

Bright clothing mixed with electronic sensing technologies can help users lead healthier and more attentive lives, much like fitness trackers.

However, bright clothing can offer more physiological signal assessments because it has a broader area of contact with your body than a device like a smartwatch. Important biometrics, like our heart rate, may be continuously monitored with the help of intelligent clothes.

The possibility of long-term monitoring makes it easier for doctors to recognize or classify potential heart problems.

Through regular monitoring over a longer time, bright clothing assists patients in gathering complete and comprehensive heart-related data, tracking long-term heart illness, and improving the detection and diagnosis of heart disorders.

Multiple use cases

In PPC, AI is being used more and more in fabric spreading, cutting, bundling, various sewing operations, pressing, ironing, packing, quality control, SCM, and several other processes.

Smart clothing/wearables

Consumers have prioritized healthcare and medical attention in their wearable gadgets since the COVID-19 epidemic, and this trend is now expanding to intelligent clothing. BLE-enabled clothing can feel, sense, and control data, and the advancement of fabric-based sensors should only enhance the overall wearing experience.

A reliable and practical energy source from their inbuilt battery is needed for smart clothing, especially for models that rely on BLE and IoT technologies.

Way forward

Artificial intelligence is bringing a revolutionary and disruptive change to the textile business that has never been witnessed before as we are living in the most eventful years.

"Artificial intelligence revolutionizes manufacturing with increased automation, improved efficiency, and enhanced quality control processes."

Artificial intelligence, in particular, is advancing the textile business. Additionally, required elements include edge computing, precise sensors, cloud data, and ultra-low power technologies.

Latest Textile Events

12 May 2023, Mumbai 

Sustainability in the fashion sector has been a topic of concern for several decades now.

It all started when apparel companies began to introduce environmental practices into their businesses in the late 1980s. This was part of a more significant movement that aimed to create awareness about various environmental problems since the 1960s.

What all you need to know

Global events

The movement started gaining momentum as disastrous events in the textile and apparel industry impacted the world, consumers, and businesses alike, and contributed to the rise of sustainable fashion over the last 30 years. The catastrophic event in Dhaka’s Rana Plaza in 2013 was perhaps the watershed moment after which sustainability in fashion was no longer just on paper and in seminars.

Huge environmental impact

The fashion industry's environmental impact is enormous, as it is among the largest polluters globally. The industry is responsible for producing massive amounts of waste, and its production processes consume significant amounts of natural resources.

Furthermore, the use of unsustainable materials and poor working conditions in garment production has led to concerns about the ethical implications of fashion production.

Sustainability drives ethical consumerism

In recent years, there has been a growing trend towards sustainability and ethical consumption.

The evolved consumer of the 2020s is perhaps the most heightened in their consciousness of what climate change means and how the wasteful consumption culture is degrading the planet continuously with business models like fast fashion.

The indulgent ‘selfi-moments’ social influencers are no longer icons of style and trend as they are being edged out by social influencers who understand what environmental consciousness is and have changed the narrative to ‘less is more’.

Consumers' Dilemma

Consumers are becoming more aware of the impact of their purchasing decisions and are looking for sustainable and ethical options. From pre-loved fashion items going on sale to increasing the longevity of clothing and accessories, ethical consumption is gaining ground.

It is not only about wasteful consumption but also the use of material that does not deplete the Earth’s natural resources and the working and living conditions of people who produce textiles and garments.

Sustainability vs Convenience

According to Europe’s Institute of Entrepreneurship Development, 85 percent of consumers today are conscious of the effect their behavior has on the planet, and 34 percent are willing to spend more to support sustainable and ethical consumerism with their product choices.

The Horizon program run by the EU is about supporting young European entrepreneurs to build sustainability and ethical sourcing as one of their businesses’ key pillars.

However, consumers are facing a dilemma. The recession in several Western societies is making it difficult for them to make ethical choices as prices of necessities such as food and utilities continue to escalate.

A report published by Deloitte Netherlands in February 2023 titled ‘Conscious Consumerism’ analyzed the ground reality by interviewing over 2000 Dutch adults 18 years and above.

The most important finding was the dilemma between being an ethical consumer and surviving Europe’s worst recession in decades, wherein substantial lifestyle sacrifices were being made.

Is Fast fashion slowing down?

As the recession continues worldwide, particularly in the larger Western economies, it doesn't look like fast fashion will cease anytime soon.

However, as Gen Z is spearheading the conscious consumer movement and is willing to purchase pre-loved clothing, repair old ones, and most importantly read labels to understand the provenance of fashion items, the sector is already making massive changes through innovation, technology, and the digital world.

Being seen as a fashion brand that mirrors the consumers’ consciousness is going to make brands continue doing business rather than have short-term goals of making profits.

Balancing Style and Sustainability

Sustainable yet affordable; The fashion industry has to find a middle ground between being sustainable, ethical, and profitable. This can be achieved through innovations that focus on using sustainable materials, minimizing waste, and reducing environmental impacts, and creating transparent supply chains.

In addition, brands should focus on educating consumers about the impact of their choices and working towards making ethical and sustainable fashion more affordable.

The Hidden Environmental Costs of Fashion; The textile industry is the second greatest polluter of local freshwater in the world and is culpable for roughly one-fifth of all industrial water pollution.

The environmental price

The fast fashion industry is notorious for its negative impact on the environment and occupational hazards, from the production of synthetic fabrics to the cultivation of cotton. Synthetic fabrics require a significant amount of crude oil and emit harmful pollutants such as volatile organic compounds and acid gases.

On the other hand, cotton production has a substantial environmental footprint, driven by its subsidized low prices. In contrast, sustainable fashion aims to promote eco-friendly consumption, create thriving communities, and preserve natural resources.

Despite its growing popularity, critics question whether sustainable fashion is an oxymoron, given the perceived incompatibility of fashion and sustainability. However, sustainable fashion offers solutions to reduce the environmental impact of clothing manufacturing, improve working conditions, and support resource conservation.

The slow fashion movement is gradually gaining momentum, advocating for conscious and responsible consumer choices. According to a National Institute of Standards and Technology (NIST) textile workshop, clothing production has almost doubled since 2000, with nearly 50 billion items being discarded within a year of their creation.

The report also revealed that an article of clothing has been worn an average of seven times in the US before being thrown away. NIST links this surge to the rise of fast fashion, which offers trendy apparel at low prices by using inexpensive materials and shoddy construction.

Setting Green Goals for the Textile Sector

What augers well for global trade are developments in advanced markets like the EU aspiring/mandating for textile goods to be resilient, recyclable, safe, and made with consideration for both people and the environment by the year 2030 aiming to make growth sustainable, climate-neutral, and energy- and resource-efficient as a single biggest agenda separating 'Greenwashing from Genuine Sustainability' in Fashion.

Short point

Finding Fashion's Middle Ground; The evolution of sustainable fashion from environmental has to be well understood by manufacturers and the entire supply chains in the given eco-system as it's critical for brands to be cited for their customer centricity.

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