CZECH TEXTILE AND CLOTHING INDUSTRY INVESTS
- 2015 Sales reached eight-year high
- Particularly manufacturers of technical textiles successful
Prague (gtai) - The Czech textile and clothing industry is still on the upswing. Particularly in niche segments and with technical textiles the manufacturers achieve rising revenues since years. The investment climate in the sector therefore has been improved, the equipment suppliers are benefitting. German manufacturers of machinery for the textile and clothing industry were able to expand their exports to the Czech Republic in 2015 by one fifth.
With Czech Crowns 52.4 billion (Kc; EUR 1.9 bn) the Czech textile industry achieved so much revenue in 2015 as not anymore in the last eight years. According to the statistics office the clothing manufacturers output rose by 11%, that of textile manufacturing by 3%. Very good filled are the order books. For companies in the clothing industry the volume of new orders rose by over 13% in 2015, in the textile factories
According to the announcement of the professional association ATOK, the sector would have developed even better, if the growth markets in Asia and Africa would have not weakened. But fortunately the loss became offset by the traditional markets Germany, Italy, Poland, Slovakia, Austria and France. According to ATOK the textile segment of the Czech Republic exported goods worth equivalent of almost EUR 2.5 billion in 2015, corresponding to a trade surplus of almost EUR 30 million. In clothing, the country recorded a negative balance. Here goods were imported for Euro 2 billion and exported of EUR 1.3 Billion.
|Year||Sales in Kc bn.||Change to previous year (in %)|
Source: Association of Textile, Garment and Leather Industry (ATOK, http://www.atok.cz)
Particularly in niche segments the clothing manufacturers can maintain themselves in their position. For example Triola from the northern Bohemia Horni Jiretin specializes in lingerie and successfully with oversizes. Also manufacturers like Timo, Pleas, Upavan or Linia can exist with underwear products on the market. According to reports from the business paper Hospodarske noviny Timo sells 200.000 pc. per year. The company offers among others prosthetic lingerie against breat tumors.In the next two years the family operation will invest more than EUR 700,000 in new technologies at the production site Litomerice (North Bohemia).
Hats and hoods are demanded in 30 countries
Another family company, Kama from Prague, specializes in headwear. With hats, scarves, headbands, gloves or hoods it makes now more than EUR 1 million per year and delivers to 30 countries. In Moravia-Silesia Sky Paragliders from Frydlant nad Ostravici invests around EUR 4 million in a weaving mill including a research center to develop new materials. The company produces emergency parachutes and rescue systems and belongs with annual revenues of EUR 2.7 million (2014) to the top ten manufacturers worldwide. It processes 200 kilometers of fabrics annually.
Thanks to favorable wages and the proximity to areas with good purchasing power smaller suppliers of made to measure products developed well. The company Janek from Roznov in Zlin produces,for example, 30,000 individually tailored shirts per year. Also suits and costumes belong to the assortment. Janes buy the yarn from a German yarn manufacturer which produces in the Czech Republic.
|Borgers CS/Plzen||Nonwovens for
|Juta/Dvur Kralovenad Labem||Nonwovens for
|Nova Mosilana /Brno||Fancy dress fabrics||2.952||3.285||11,3||http://www.novamosilana.cz|
|Kordarna Plus/Velka nad Velickou||Corduroy fabrics
|Veba, textilni zavody/Broumov||Home – and Clothing
|Pleas / Havlickuv
|Under – and Nightwear||1.073||1.123||4,6||http://www.pleas.cz|
|Fabrics for tents,
boats, canvas, sunumbrellas
|Processing of rawwool||800||692||-13,5||http://www.ncv.cz|
|Tessitura Monti Cekia/
Borovnice u Stare
|Cotton shirt fabrics||609||568||-6,7||http://www.monticekia.cz|
|Svitap J.H.J./Svitavy||Tents, canvas, Microfibers,
1) Change 2014 / 113 in%; 2) Fiscal year October 2012, 2013 till September 2013, 2014; 3) December 2012, 2013 till November 2013, 2014; 4) April 2013, 2014 till March 2014, 2015
Sources: Annual company reports, Trade register, Hospodarske noviny, Magazine Ekonom, CzechInvest, Association ATOK
The most actively trading companies in the textile sector are producing mostly for industrial consumers. Largest industry representative is the automotive supplier Borgers from Bocholt, which produces textile moldings, paneling, insulation and curtains for vehicles at four locations near Plzen. The second largest textile company Juta achieves half of its revenue from construction materials such as drainage mats, erosion control fabric or roof insulation. Moreover Juta makes a good business with packaging nets for potatoes or Christmas trees. One other growth area is artificial turf. The company invests nearly EUR 20 million every year, mainly in new production equipment.
Textile Machinery ordered for 250 m Euro
Other companies are expanding too. The manufacturer of workwear Waibel has expanded its site in2015. In Zdar nad Sazavou near Jihlava own collections and custom made programs are being manufactured. Clothing manufacturer Pleas invests annually over EUR 1 million in its equipment. The company belongs to the top 10 of the sector and produces annually 15 million pieces nightwear for the brands Schiesser and Pleas. The German machinery manufacturer Mayer & Cie. builds a factory for knitting machines in Vsetin. The production is expected to comence in summer 2016. The machines are designed for large manufactures particularly in Asia.
|Maschinery group / HS-Position||2014||2015||Veränderung in %|
|Jet-spinning machines / 8444||177||15.369||8.583,1|
|Spinning machines / 8445||12.780||8.838||-30,8|
|Weaving machines / 8446||13.357||12.778||-4,3|
|Knitting machines / 8447||10.556||11.332||7,4|
|Auxiliary machines / 8448||75.082||72.178||-3,9|
|Machines for felting and nonwovens / 8449||3.349||16.306||386,9|
|Cleaning-, dying and ironing machines / 8451||83.874||105.825||26,2|
|Sewing machines / 8452||14.718||17.834||21,2|
|Machines for leather and fur processing resp. footwear production /
Source: Czech Statistical Office