Textination Newsline

• Modernization of production facilities required

Thanks to the reactivated GSP import status of the European Union, Sri Lanka's textile and clothing industry is looking to the future with confidence and expects better sales opportunities abroad.

The textile and clothing industry is of macroeconomic importance for Sri Lanka. The sector accounted for almost 43 per cent of the country's total exports in 2018 and provides employment for nearly 350,000 workers in the formal sector and about twice as many in the informal sector. In total, this is about 33 percent of all jobs in the manufacturing industry. The majority of employees are women.

The textile and clothing industry contribute around 6 percent to the gross domestic product (GDP). "In view of the development of other sectors, it is very unlikely that another industry will reach this level of performance in the short to medium term," Jeevani Siriwardena, head of the Export Development Board (EDB), said in an interview with Germany Trade and Invest. The textile and clothing industry will continue to be an important sector for the Sri Lankan economy.

Short to medium-term prospects are good
On May 18th 2017, the European Union (EU) reactivated the Generalized Scheme of Preferences Plus (GSP+) status for Sri Lanka after a seven-year time-out. This means that when goods are exported to the EU, the island state is exempted from customs duties on more than 66 percent of customs tariff lines. "Without GSP status, Sri Lanka's export losses are said to have cost around 32 billion between 2010 and 2017," stressed Ravindi Ranaraja, Deputy Head of the Export Service Division of EDB, in a GTAI interview. In particular, the strongly export-oriented clothing and textile industry will benefit from the regained GSP status. Sri Lanka's textile and clothing industry is looking to the future with confidence and also expects better sales opportunities abroad.

^{*) Estimation}
Sources: Sri Lanka Apparel Exporters Association; press releases; calculations by Germany Trade & Invest; Destatis, February 2019

Positive impulses are already visible. According to the latest foreign trade figures available, Sri Lanka was able to increase its total exports of textiles and clothing (HS codes 61, 62 and 63) by almost 4.8 percent to approximately USD 5 billion in 2018. Exports to the EU increased by 3.9 percent to USD 2.1 billion. Exports to Germany were able to recover a plus of 12.8 percent.

It is not yet certain that Sri Lanka will be able to make up for the losses of the past. In the meantime, countries such as Bangladesh, India and Pakistan, which have already enjoyed tariff concessions in foreign trade with the EU for the entire current decade, have passed by the island state. Bangladesh in particular, recorded a strong increase in its clothing and textile exports compared with Sri Lanka..

¹⁾ Estimation; ^{2) Forecast}
Sources: Press Releases; Calculations Germany Trade & Invest, February 2019

Sri Lanka focuses on higher quality products
Numerous domestic textile producers are switching to the production of higher-quality garments in order to maintain their competitiveness. "In Sri Lanka, the focus is not on mass but rather on higher quality products," confirmed M. Raghuram, Chief Executive Officer of Brandix, one of the country's largest clothing companies, in an interview with GTAI. The island state concentrates on the production of just a few product categories such as underwear, sportswear or lounge wear..

Sri Lanka has become a location for the manufacture of high-quality garments. This is also confirmed by the World Bank. In its 2016 study "Stitches to Riches" (website), it found that Sri Lanka outperformed its competitors India, Pakistan and Bangladesh in terms of quality, delivery times, reliability and sustainable social responsibility.

Sri Lanka serves fastidious international companies such as Victoria Secrets, GAP, Nike or Marks and Spencer. According to expert estimates, the production of the top 10 Sri Lankan textile and clothing companies accounts for around 85 percent of the industry's total exports.

The ambitious goal is to increase the garment industry's export revenues to USD 8 billion by 2025, which will require an annual growth of 6 percent. For this Sri Lanka must improve capacity, technology and resource problems. "It is becoming more and more difficult to find suitable personnel. For many young people working in the garment and textile industry in Sri Lanka is simply unattractive”, Nilanthi Sivapragasam, Chief Financial Officer of the conglomerate Aitkence Spence, told GTAI. The training of the workforce is also a major challenge. "Training new employees is very time-consuming and labor-intensive," confirms Sivapragasam.

Imports of German machinery decline
In addition, Sri Lanka's textile companies must modernize their machinery and expand their capacities in order to further increase productivity and added value. Accordingly, there is a great demand for technically sophisticated textile machines in the country. This offers good opportunities and chances for machine suppliers. According to experts, the demand for textile printing and dyeing machines, stenter frames and finishing technology will develop particularly dynamically in the future.
 
In Sri Lanka itself only relatively simple machines are being produced. High-end technology is mainly imported. China is the most important supplier of textile machinery, accounting for about one third of all imports. India has also been able to significantly increase its machine exports to Sri Lanka in recent years. In 2017, India achieved exports of USD 6.3 million, an increase of 46.7 percent, compared with exports of USD 2.6 million in 2010.

German machine exports suffered enormous losses. Sri Lanka's imports of textile machinery from Germany amounted to USD 16.5 million in 2017, a decrease of 54.2 percent. Over the past years, Germany has lost share of its deliveries. According to industry experts, this trend will continue: Made in Germany stands for quality and continues to be very popular in Sri Lanka; however, German machine manufacturers are often unable to keep up with the low-cost products from China or India.

Source: UN Comtrade, March 2019

More than 400 exhibitors representing 682 brands and approximately 30,000 trade visitors and key opinion leaders (KOLs) took part in ISPO Beijing and Alpitec China held at the China International Exhibition Center (CIEC) from January 16 to 19, 2019. This year, the most important sports trade fair in the Asia-Pacific region was jam-packed with numerous forums, trends and innovative products and services relating to winter sports, outdoors, health & fitness, and manufacturing & suppliers. Soccer also featured for the first time.

“The Chinese have discovered a passion for soccer and their enthusiasm for it continues to grow. European clubs and leagues in particular are a huge source of inspiration for the emerging Chinese soccer market. ISPO Beijing has found a strong new partner in Bundesliga International for continuing to drive the soccer boom in Asia over the next few years,” says a delighted Elena Jasper, Exhibition Director ISPO Beijing. The specially created Football Activation Area played host to seven German first-league teams, namely Bayer 04 Leverkusen, Borussia Dortmund, Borussia Mönchengladbach, Eintracht Frankfurt, FC Schalke 04, VfB Stuttgart and VfL Wolfsburg. They challenged visitors to take part in various activities such as Speed Goal and Goal Wall Shooting and created a thrilling soccer atmosphere for them. The program also featured the Football Forum, which was held on the opening day of the trade fair. High-profile speakers from the clubs set out their strategies for activating the market in China and presented concepts for promoting and encouraging fresh young talents as well as ideas on brand positioning.

Winter sports continue to be popular thanks to Olympics
Winter sports have proven to be hugely popular for several years now, especially in view of the upcoming 2022 Beijing Winter Olympics. As well-known brands and exhibitors in this segment, Burton and Oakley made a welcome return to ISPO Beijing. The Market Introduction Program, designed for brands keen to penetrate the Chinese market, also focused on this area. As part of the two-day seminar program, representatives of 10 brands from across Europe, Asia and the U.S. gained a solid understanding of the specific ins and outs of the Chinese market thanks to industry experts in distribution, online and offline retail and commercial law, and made preliminary contacts.

The Asia Pacific Snow Conference was held for the 11th time in collaboration with the longstanding partner event Alpitec China, the leading trade show for mountain and winter technologies. Representatives from the technology, sports and tourism industries discussed advances being made with China’s ski resorts as well as models and measures for developing, maintaining and expanding them.

Ski Resort Tour participants were given an insight into the infrastructure of the winter sports resorts and treated to a taste of what to expect from the Olympics. Three 2022 Winter Olympics training venues and sites were on the itinerary, namely the Shougang Olympic Park, Wanlong Ski Resort and Genting Ski Resort Secret Garden. “China’s professionalism in preparing for the major sporting event is very impressive. Sports venues are being designed and built in line with the very latest standards. The Olympics will be just the start of China’s development as a winter sports nation,” says Klaus Dittrich, Chairman and CEO of Messe München.

Valuable knowledge transfer throughout all segments
An extensive supporting program was also provided for the other trade fair segments. The Sports Industry Forum focused on the topic of new investment opportunities for the sports business in China, including with regard to digitalization. Sport injuries and rehabilitation options were the main focal points of the Health & Fitness Forum. The China Climbing Report was published as part of the China Rock Summit. In the ISPO Textrends Area, international consultant for textile trends, Louisa Smith, presented the textile trends relating to materials, fibers, cuts and accessories set to take the industry by storm in the next few years. At the ISPO Award Exhibition and the ISPO Startup Village, visitors gained an overview of the most important innovative products and latest ideas to be devised by young entrepreneurs.

Creation of an advisory committee for ISPO Beijing
An international advisory committee has been set up in order to further develop and bring ISPO Beijing even more in line with the needs of the market, exhibitors and trade visitors. Representatives of exhibitors’ interests, industry representatives and partners met for the first time ever on the eve of this year’s event in order to discuss the strategic direction of the trade fair. The consensus amongst all participants was that the current format of ISPO Beijing represents a solid base with plenty of potential. New segments such as Sports Fashion and Travel should be added to the event in the future and the target group of key opinion leaders (KOLs) should be further expanded. Exchanging experience with Europe is the primary focus of interest.

The next ISPO Beijing will be held from February 12 to 15, 2020 at its new location, the China International Exhibition Center (CIEC).

For more information on ISPO Beijing, please visit https://www.ispo.com/en/beijing

• Projects worth USD 52 million planned

Tashkent (GTAI) - Uzbekistan wants to become an international player in the shoe and leather industry. The market offers foreign companies a lot of potential for cooperation.

The Government of Uzbekistan has adopted a new initiative for the modernization and expansion of the leather, footwear, leather goods and fur industries. It is aimed at increasing efficiency and expanding production as well as accelerating integration into the international market. Producers are focusing primarily on Russia and Kazakhstan, but also on Western markets such as France. Foreign companies are welcome to participate in the planned projects. In the long term, value chains are to be created, clusters established and exports promoted.

Cooperation with Uzbek companies are possible in the production of leather goods, passive contract finishing, supply of equipment, auxiliary materials and chemicals to companies or in the trade with footwear, leather and fur goods. There are plenty of high-quality raw materials and a large potential of available and motivated workers.

The framework conditions for companies in Uzbekistan have improved noticeably. Labor and energy costs are low. In 2017, the government initiated economic liberalization and opening of the country. Uzbekistan wants to more than double its shoe exports by 2020. In 2017 Uzbek manufacturers sold shoes worth USD 150 million abroad.

Foreign investors are planning new projects
The O´zcharmsanoat's key 2019 investment program lists projects valued at USD 52 million. In addition, there are other projects which have not yet been included in the program due to ongoing coordination with potential foreign investors or which are planned in companies that operate outside O´zcharmsanoat.
An overview of current and planned projects for the development of the leather, shoe, leather goods and fur industry in Uzbekistan can be downloaded here.

Association O´zcharmsanoat is the main contact partner
The Association of the Leather Industry O´zcharmsanoat acts on behalf of the state as the central regulator and coordinator of the sector. It was restructured in May 2018 and controls, among other things, investments and foreign trade. Almost all notable Uzbek players in the leather industry are active under its umbrella. These include 30 automated slaughterhouses (supplied by livestock farms), 63 tanneries, including pre-tanning facilities, 131 shoe manufacturers and 28 producers of other products, including fur products (as of June 30th 2018). It also operates 13 warehouses for the purchase of raw materials from private animal breeders.

The leather processing companies produce hard leather (foot and insole leather) and upper leather, mainly chrome leather goods and Russia leather. The annual raw material supply amounts to around nine million hides and five million skins. About two fifths of this volume is currently exported. Among the 252 companies, which are employing about 26,000 people, there are 47 companies with foreign capital participation as well as numerous purely private Uzbek companies.

Only about a dozen of the 131 shoe manufacturers, which are currently active at O´zcharmsanoat, employ 100 people or more. The development of efficient medium-sized structures in the sector is still in its infancy and is likely to gain momentum.

Government grants tax and tariff preferences for five years
The slaughterhouses and manufacturers of raw, semi-finished and finished goods as well as the new foreign trade company Uzcharmimpex will receive tax and customs relief. These apply to existing companies of the association O´zcharmsanoat until January 1st 2023. Newly established companies can benefit from the preferences for five years from the date of company foundation.
In detail, the following preferential conditions are granted:

• Exemption from the profit and wealth tax or the uniform tax levy for micro and small companies
• Exemption from compulsory contributions to earmarked central funds
• Exemption from import duties for the import of equipment, completion parts, raw materials and materials which cannot be procured in the country and are intended for production.
• Granting a 60-day deferment of payment of import duties (from the date of the customs declaration) for the import of all other equipment, completion parts, raw materials and supplies and other goods for production needs
• VAT exemption for imports of raw materials and intermediate products for the use in production and of equipment for footwear production

Uzcharmimpex imports equipment for Uzbek companies
The foreign trade company Uzcharmimpex is engaged both in the export of sector products and in the import of equipment, spare parts, auxiliary materials and chemicals. The list of imported capital goods includes butchery, cutting, slicer, splitting and shaping machines, vacuum dryers, electronic measuring instruments for leather surface measurement, sewing machines and footwear assembly equipment.

The industry modernization initiative also provides for the creation of an industry development fund. This is fed by a levy amounting to 5 percent of export earnings from chrome-tanned hides and skins that have not yet been dressed (wet blue). These funds are intended for investment projects, the granting of loan guarantees, the financing of ISO certifications, the promotion of trade fair participations and the promotion of training and further education.

Usbekistan doubles shoe production
According to the Association of the Leather Industry O´zcharmsanoat, about 40 million pairs of shoes were produced in Uzbekistan in 2017, including 17 million pairs of full and partial leather shoes. An output of 34.2 million pairs of leather shoes is planned for 2020. Then the leather production is expected to reach a volume of 1.3 billion square decimeters. For 2018, the association expects 1 billion square decimeters of leather. O´zcharmsanoat aims to increase its total exports to USD 480 million by 2020 and to USD 1 billion by 2025 (Actual 2017: USD 150 million).

The collapse of the Soviet Union, a failed privatization policy and a difficult business climate led to a breakdown in production in the mid-1990s to around 2009/2010. On average, manufacturers produced less than four million pairs of shoes a year. Previously, around 30 medium-sized manufacturers brought 50 million pairs of shoes onto the market each year. In addition, 2.4 million bags and 200,000 pairs of gloves were produced annually. After 2010, there was a start-up boom in the sector thanks to preferential tax arrangements for particularly small companies.

Contact address
O´zcharmsanoat uyushmasi (Association of the Uzbek Leather Industry)
Contact person Sardor Uktamovich Umurzakov, Chairman of the Management Board
109, Mustakillik ave., 100192 Tashkent/Uzbekistan
T +99871 267 58 47, 268 40 66
F +99871 268 40 66rais@uzcharm.uz, info@uzcharm.uz,
Directory of companies http://www.uzcharmexpo.uz/spravochnik
rais@uzcharm.uz, info@uzcharm.uz
http://www.uzcharm.uz

• Production and export on the upswing
• Environmental problems and other challenges remain

The leather industry in Bangladesh reports rising exports and growing domestic demand. The location scores with low labor costs and the availability of leather. However, too many tanneries still burden the environment. The industry structure of the manufacturers of leather goods and shoes ranges from outdated to modern. International, export-oriented companies are showing the way.

Bangladesh's leather industry is the second largest exporter of the emerging market after the apparel industry. The majority of exports in the 2016/17 financial year (July 1st 2016 to June 31st 2017) were USD 537 million on leather shoes (USD 495 million in the previous year), followed by leather goods with USD 464 million (388 million). The export of leather footwear rose again by 9 per cent in the second half of 2017, leather goods were at the same level as in the same period of the previous year.

By contrast, leather exports reached USD 233 million in 2016/17 (USD 279 million), down 29 percent in the second half of 2017. The main reason is lower demand for leather in China. Instead, it is increasingly being processed in Bangladesh into finished products for domestic and foreign customers.

Potential not yet exhausted
The Department of Commerce wants to quadruple the total exports to USD 5 billion by 2021. It has mandated this task at the Bangladesh Leather Sector Business Promotion Council. This should increase with suitable measures both the production quantities and the processing depth in the country. Leather production and processing have potential because they could well repeat the successful development of the domestic textile and clothing industry.

International investments are welcome. Foreign investors can find a subsidiary in their own hands and apply for subsidies and tax exemptions. Eight export processing zones and other special economic zones offer many legal and technical advantages, says the investment authority Bangladesh Investment Development Authority.

The Association of Leather Goods and Footwear Manufacturers & Exporters of Bangladesh (LFMEAB) reports that companies from Taiwan, China, South Korea and Japan are increasingly investing in the industry. Among other things they are relocating production from China to Bangladesh.

Source: Central bank

According to the Central Bank in the fiscal year 2016/17 USD 82 million were directly invested in the leather industry (previous year: USD 48 million).  Taiwan was by far the largest investor with USD 50 million (USD 14 million).

Also, former investors show a successful development. As an example the German company Picard Lederwaren has a joint venture in 1997 and produces now  32.000 leather bags per month and 40.000 small leather goods per month.

Certified manufacturer of leather goods
The most important buyers of leather goods and shoes are the EU, Japan and the USA. The EU and Japan generally do not impose quotas or import duties on Bangladeshi imports under their preference systems for developing countries.

The export-oriented leather goods manufacturers usually produce at a technical level required by the customers. These include certifications and exams. The trade association LFMEAB is committed to meeting industry-standard levels among its 150 member companies. The European Union also supports a sustainable, resource-efficient development of the leather sector with its ECOLEBAN project. Several tanneries and leather factories have been proven to adhere to the labor and social standards of the UN organization ILO and the ISO standard 14001 for environmental management systems.

With increasing demands and volumes, leather processing companies will also import more quality materials such as soles and accessories. Their machines and equipment are also from abroad.

Problematic conditions in leather production
However the leather is manufactured under problematic conditions. The agricultural land has a population of about 24 million cattle and thus about 1.7 percent of the world's total. The meat industry also processes buffalo and goats in larger quantities. Animals suffer from improper slaughter. Modern slaughtering processes and advanced processing steps could improve the quality of leather production.

The number of tanneries is estimated at more than 200, producing approximately 29 million square meters of leather per year, two-thirds of it are leather from beef skins. The industry has a poor reputation, the situation in many companies is criticized by independent observers. In most companies processes and equipment for occupational safety and environmental protection are not available. According to various reports children are working in poorly controlled factories.

The situation in Hazaribagh is dramatic. The Supreme Court has ordered already in 2003 that the approximately 150 small tanneries from this residential area in Dhaka should move to an alternative location. The public company Bangladesh Small and Cottage Industries Corp. was commissioned to set up the leather industry park Savar Tannery Park in a northern suburb of Dhaka. The complete relocation to the new leather cluster in Savar has since been delayed again and again.

According to the Bangladesh Tanners Association, the move to the Savar leather-industrial-park should have taken place in the meantime, however the local central sewage treatment plant seems not to work completely. The tanneries pollute the environment there as well. Media also report still tannery activity in Hazaribagh.

More skilled workers needed
In a recent 2013 survey the number of leatherworking companies was estimated at 3.500. The manufacturers develop their own designs for the domestic market and some want to place their own brands internationally.

But the intensity of training of skilled personnel does not keep up with the industrialization of the industry. Tanneries and leather industry employ directly and indirectly about 75.000 people. Their knowledge and skills are often based on old and traditional procedures and short briefings.

The need for skilled personnel is estimated at 60.000 persons. A center of excellence is involved in the training since 2009. The Center of Excellence for Leather Skills Bangladesh (COEL) has trained around 15.000 people in machinery and design since. Two universities train engineers in this field. The University of Dhaka has established an Institute of Leather Engineering and Technology, and the Khulna University of Engineering has a leather technology department.

The Ministry of Commerce and the association LFMEAB has organized in November 2017 the first edition of the trade fair BLLISS (Bangladesh Leatherfootwear & Leathergoods International Sourcing Show). The organizers were able to present the procurement market and want to continue the event annually. The industry event attracted 30 exhibitors and 20.000 visitors. The next edition will take place from  November 24th- 26th 2018 in conjunction with the leather technology fair Leathertech (http://www.leathertechbangladesh.com).

• Industrial parks should enable a quantum leap
• Progress in infrastructure, Deficits in foreign exchange provision

The Ethiopian textile, clothing and leather industry scores not only with comparatively low wages and high-performing personnel, but also with modern industrial parks. In the meantime the technology has to be fully imported and the supply of materials needs to be greatly expanded. There is a great progress in logistics, but unfortunately not in foreign exchange procurement. German suppliers of relevant equipment should definitely consider Ethiopia in their acquisition.

So far, only Mauritius has made a name for itself as a producer of high-quality clothing south of the Sahara. Attempts to locate textile and clothing companies in Namibia and Lesotho in a larger style have not been very successful. Meanwhile Kenya and Ghana have far too expensive production conditions. "Clothing companies are nomadic,” says a consultant, who is specializing in the trade, "they go where it's cheapest for them."

Meanwhile, Ethiopia offers several advantages: Wages and additional costs are far below the Chinese ones. A worker in the Ethiopian factories earns an average of USD 909 a year, according to a survey by the US Center for Global Development, compared to USD 835 in Bangladesh, USD 1,776 in Tanzania, and USD 2,118 in Kenya. Another advantage is appreciated by employees: Ethiopia has a long tradition of textile and clothing production as well as in leather processing and thus at least an expandable base of skilled workers.

The supply of native cotton and leather meanwhile is considered strongly expandable. In times of drought, such as in 2016 and partly in 2017, the supply of cotton is insufficient. However, the government is cooperative and increasingly open to the needs of producers. Thus, the infrastructure has been currently sustainably improved, in particular the transport routes to the seaport Djibouti, from where Europe is much faster to reach than from the Far East. In addition, the Ethiopian capital Addis Ababa has a capable aviation hub with a dozen direct flights to the EU, including Frankfurt and Vienna. There is also a modern air freight center.

Modern industrial parks as a game changer

Just as important as the delivery routes are the "modern" production conditions in the emerging industrial centers all over the country, Made by China: pothole-free roads, guaranteed electricity and water supply, proper waste and wastewater disposal, workers' settlements in the vicinity. From the Ethiopian point of view, a great many jobs are created, families are fed and foreign exchange is earned.

According to its government, Ethiopia is in a transformation process away from an agrarian economy and towards an industrialized state. By 2025, the country should reach a "middle-income status" and become the largest industrial production hub in Africa. To achieve this, Ethiopia is investing heavily in roads, railways and power generation, in health and education, in urban and rural development, and in the creation of industrial clusters.

Ambitious export specifications

In July 2016 the Hawassa Industrial Park was officially opened, dedicated to the export of textiles and clothing, and is the largest industrial park in sub-Saharan Africa. As early as 2018, the park is expected to employ 60,000 workers and generate USD 1 billion in exports of clothing and textiles - a steep target given in a view of the current export figures. As early as 2030, Ethiopia wants to reach a total of USD 30 billion by exporting textiles and clothing - but it's still a long way off. At present, 15 in-ternational companies are already investing in Hawassa, including the US PVH Corporation (formerly Phillips-Van Heusen Corporation, prominent brands: Calvin Klein and Tommy Hilfinger) and Epic Group (Hong Kong), a supplier of, among others, Walmart , JC Penny, Levi Strauss, VF Corporation, Tesco, Sansbury's, Marks & Spencer and C & A. Epic wanted to go to Kenya first, but then decided for Ethiopia at the last minute, which, according to Epic boss Ranjan Mahtani, is "still unpolished," but has the most potential.

The challenges are considered to be high: "Our seam-stresses have never got a job before and have never seen a sewing machine," Mahtani says training therefore is a top priority. At the same time, however, his company also relies on state-of-the-art automatic machines, for example for attaching bags. The production halls are also all around computerized with RFID technology. The current efficiency Mahtani estimates at 25 to 30 percent. After experience with other production sites, results of 75 to 80 percent are possible after about ten years.

Wide range of new industrial parks under construction

In July 2017, another industrial park was opened in Kombolcha City. A whole range of other parks are in various stages of realization and all are focused on the apparel, textile, pharmaceutical and medical device manufacturing sectors. According to the Ethiopian Government, there is no shortage of interested investors from the PR of China, India, Turkey, the US, Hong Kong and South Korea. Ethiopia benefits from the African Growth and Opportunity Act of the United States, which, for example, reduces its import duties by 16.8 per cent on cotton pants and 30 per cent on synthetic shirts. In addition, Ethiopia has a duty-free access to the EU market under the Everything-but-Arms initiative.

Source: Comtrade, as of 18 October 2017

Note: The import figures mentioned above are based on Ethiopian data, which for various reasons are not considered particularly reliable. Equally not reliable are often the relevant export data of the partner countries, because all sea transports go via Djibouti and deliveries statistically are recorded often as exports to Djibouti.
Source: UN Comtrade, as of 18 October 2017

German exports expandable

German exporters of technology for the textile, clothing and leather industries are not yet well positioned in Ethiopia. According to the preliminary figures of the Federal Statistical Office (SITCM 724), in 2016 only EUR 1.06 mio of relevant technology went to Ethiopia, compared to EUR 1.05 mio in the previous year and EUR 5.02 mio in 2015.

• New event format for interior design:
  Interior.Architecture.Hospitality Expo
• Exhibitors showcase their range of services relating to the focal theme “customised”

Textile solutions for interior design, architecture and hotel furnishing convince above all in terms of their flexibility, functionality and sustainability. With the Interior.Architecture.Hos-pitality Expo, there is now a new exhibition format dedicated to this issue. The Expo will take place in Frankfurt from 9 to 12 January 2018 within Heimtextil, the world's leading trade fair for home and contract textiles.

Selected suppliers will present their textile products and material solutions in the exclusive surroundings of the new Expo in hall 4.2. In this way, they can position themselves to specifically target interior designers, hoteliers and project planners. The Expo's offer encompasses both aesthetic and functional answers to questions regarding modern, sustainable design, as well as fire protection regulations and structural requirements.
Exhibitors at the Expo will present their products relating to the “customised” theme in the form of individual customer-oriented solutions. New products and innovations in acoustic textiles, modular carpets and wall coverings are also included. Trade visitors can discuss their current projects directly with the exhibiting companies in order to find solutions for their concrete design or application-related questions. The first brand companies to announce their participation include Drapilux and Low & Bonar.
 
Interior.Architecture.Hospitality – focal theme: contract furnishing
With the Expo, Heimtextil is expanding its range of offers for the contract segment, bundling them under the title “Interior.Architecture.Hospitality”. In addition to the Expo, this also comprises a high-quality presentation and training program for interior designers, architects and hotel furnishers, the Architecture.Hospitality Lectures and Interior.Architecture.Hospitality Tours, and guided tours of the trade fair that are tailored to the specific interests and requirements of architects or hoteliers. The starting point for the guided tours is the Interior.Architecture.Hospitality Salon in the centre of hall 4.2, which also invites colleagues to network with each other. Well-known industry partners have been secured both for the tours and lectures, such as the Association of German Interior Designers (BDIA), the industry event organiser hotelforum management, trade magazine AIT, the Allgemeine Hotel und Gaststättenzeitung (AHGZ) and, for the first time, the international architect network World Architects.

Inspiration and innovation within the vicinity of the Expo
Hall 4.2 is also the location for a new special presentation on textile floor coverings initiated by the Association of the German Home Textiles Industry (Heimtex). The themes of modularity, acoustics and design are showcased in an architecture-focused environment using textile floor coverings. Architects and contract furnishers will receive comprehensive and expert advice on these three main themes as well as all other issues relating to carpets.
The innovative fibre manufacturer Trevira will also be present in hall 4.2 for the first time as part of a big community presentation comprising 18 participating firms, including Engelbert E. Stieger, Johan van den Acker, Pugi, Spnadauer Velours, Swisstulle and Torcitura Lei Tsu.
A globally unique range of upholstery and decorative fabric offers with over 400 exhibitors can be found in hall 4 in the direct vicinity of the Expo. Visitors to the Expo will benefit from its proximity to the stands of high-quality international suppliers such as Deltracon and Muvantex from Belgium, Erotex from Israel, Loro Piana and Tali from Italy and Blom Liina Maria from Finland. The upholstery and decorative fabrics provide a comprehensive product offer that meets the highest aesthetic and functional requirements of interior design.

• Techtextil and Texprocess present ‘Living in Space’ in cooperation with ESA and DLR 
• Nutrition, mobility, fashion and living: technical textiles make settlements in space possible

Beam me up, Scotty: a large amount of material has to be transported for a journey into space – and technical textiles account for a large proportion of them. Examples of the parts and products in which they are to be found will be on show at the ‘Living in Space’ exhibition during this year’s Techtextil und Texprocess (9 to 12 May 2017), which has been organised by Messe Frankfurt in cooperation with the European Space Agency (ESA) and the German Aerospace Centre (DLR). Among the exhibits to be seen are materials and technologies from Techtextil and Texprocess exhibitors in a ‘Material Gallery’, architecture for space by Ben van Berkel, space-inspired fashions and an original Mars Rover. And – even without having completed a dizzying astronaut training programme – visitors can take a journey through space to Mars via virtual-reality glasses.

“At the ‘Living in Space’ exhibition, Techtextil and Texprocess visitors can see examples of textile materials and processing technologies in an application-oriented setting. In cooperation with our partners and exhibitors, we have created an informative and entertaining area, the like of which has never been seen before at Techtextil and Texprocess”, explains Michael Jänecke, Brand Manager, Technical Textiles and Textile Processing, Messe Frankfurt. Given that technical textiles are to be found in almost every sphere of human life, the materials and processing technologies shown are oriented towards the ‘Architecture’, ‘Civilization’, ‘Clothing’ and ‘Mobility’ areas of application.

Ideal homes in space

Visitors can get an idea of how building in space could function at the ‘Architecture’ area curated by Stylepark architecture magazine. Lightweight construction and canopy specialist MDT-tex joined forces with star architect Ben van Berkel of the international UNStudio firm of architects to create a ‘Space Habitat’ especially for Techtextil. Comprising 60 individual modules, each of which is double twisted and under tension, the lightweight pavilion has an area of 40 square metres and consists of specially designed aluminium profiles covered with PTFE sheets. MDT-tex designed the fabric especially for the pavilion in an extremely light grammage without sacrificing its high-temperature resistance and technical properties.

Ultra-lightweight materials play a leading role in space travel because the lighter the space capsule’s load, the cheaper the transport. Reclining in comfortable seats, visitors to the Space Habitat can also travel to Mars using virtual-realist glasses and, at the same time, find out more about technical textiles and their processing in space.

Hightech-Fashion in orbit

No one likes to be too hot or too cold. Space-wear should not only protect the wearer from extreme temperatures but also regulate their body temperature, drain off moisture and be durable and easy to clean. All the better, then, if it also looks good, as shown by the designs in the ‘Clothing’ segment of the exhibition. The ESMOD Fashion School from Berlin presents outfits made by students within the framework of the ‘Couture in Orbit’ project (2015/2016), which was organised by ESA and the London Science Museum. Additionally, the POLI.design centre of the Politecnico di Milano (Milan University) presents outfits from the followup project, ‘Fashion in Orbit’ under the scientific supervision of Annalisa Dominoni and the technical supervision of Benedetto Quaquaro in cooperation with ESA and garment manufacturer Colmar.

The Hohenstein Textile Institutes present two models from the Spacetex research project, within the framework of which astronaut Alexander Gerst tested the interaction of body, apparel and climate under conditions of weightlessness during the ‘Blue Dot’ mission. In this connection, the model, ‘Nostalgia’ by Linda Pfanzler (Lower Rhine University) reminds the wearer of the earth with an integrated library of fragrances. The suits of the ‘Dynamic Space’ collection by Rachel Kowalski (Pforzheim University) contain electrodes that stimulate important muscle groups under conditions of weightlessness. The outfits by Leyla Yalcin and Sena Isikal (AMD Düsseldorf) come from the ‘Lift off’ collection created in cooperation with Bremen-based silver-yarn manufacturer Statex. They include a sleeping bag for astronauts made from silver-coated textiles, which can also be used as an overall and protects the wearer from electro-magnetic radiation. Thanks to the silver threads, another garment, a raincoat reflects light and stores the wearer’s body heat.

Material Gallery: fibers for space

In addition to the exhibits at the special exhibition, around 40 Techtextil and Texprocess exhibitors offer ideas for fibre-based materials and processing technology suitable for use in space in a ‘Material Gallery’. For the ‘Civilization’ segment, they include spacer fabrics for growing vegetables, for ‘Mobility’ a carbon yarn, which was used to make a fairing for the solid-fuel booster rocket of the Ariane 6. The Material Gallery also shows fibre-composite structures made of carbon fibres, such as a robot arm, a whole-body suit that transmits the wearer’s movements to a 3D model in real-time, functional apparel textiles with flame-retardant, anti-bacterial and temperature-regulating properties, and membrane systems for ventilating aircraft.

Exhibits from ESA, DLR and Speyer Museum of Technology, including an original Mars Rover and space suits, make the exhibition an extraordinary experience. The exhibits are supplemented by impulse lectures by ESA experts for technology transfer throughout the fair.

From 25 to 29 October, at ORGATEC in Cologne, 665 companies from 40 countries will be presenting the current trends in the world of work of the future. Long gone are the days when just desks, filing systems etc. were presented at the leading international trade fair for the modern world of work. Nowadays, it is much more to do with work culture, work processes and work environments. With its wide spectrum of products and concepts from international exhibitors, plus an excellent programme of events, ORGATEC 2016 is once again set to act as a think tank for the international office furniture industry. Topics to be addressed at the fair, which is expected to attract around 50,000 trade visitors from all over the world, will be new ideas on the current trends of team working, digitalisation, holistic interiors and the attractiveness of the workplace. The following is an overview of what is on offer in the supporting programme.
In high-calibre congresses and forums, trade visitors from all over the world can find out about current trends and discuss pressing issues of theory and practice.

ZEIT Work & Style conference
The Work & Style conference, a premium congress format hosted by the renowned German weekly newspaper "DIE ZEIT" will launch this year's ORGATEC and address both sociopolitical and aesthetic questions, in particular the following issues: what role does work play in the identity of the upcoming generation? How will work, life and lifestyle interact? What is it that makes an employer attractive? Which approaches to work will be successful in the future?
26 October 2016, from 10:00 a.m., Congress Centre

ORGATEC  Trend Forum
At the Trend Forum hosted by Hajo Schumacher, creativity and design will be the focus of discussion: with numerous exciting talks on the various different aspects of office design and work culture by distinguished speakers from the International Interior Design Association (IIDA) and the Fraunhofer Institute, among others. On the very first day of the trade fair, it's already all about "Working differently and better!" This is where Bernd Fels, co-founder of if5, will be presenting trends, facts, ideas and examples for the journey into the world of work 4.0. The talk by AECOM, entitled "See further, go further - transformational change" will provide an in-depth exploration of the new challenges facing the world of work in the future and what new approaches global companies are adopting. And trend consultant Brigitte Gebhard will delve into the subject of creative learning environments under the banner of the "New Work Order".
25.-28. Oktober 2016, Halle 6, Stand B 029    

workplace congress
The trade journals "Der Facility Manager" and "industrieBAU" are hosting the second workplace congress at ORGATEC in Cologne. The congress, like its first edition, will focus on all aspects of the challenges posed by the office, in particular how to provide functioning, motivating workplaces. Practical concepts and solutions for office workplaces will be presented. Acclaimed speakers from research, teaching and practice will explore topics such as space and room planning, lighting, acoustics, air conditioning and ergonomics, and discuss current trends and their experiences, gathered over the course of many years in the field. The event is recognised by the Chamber of Construction Engineers of North Rhine-Westphalia as an advanced training course with six time units of 45 minutes each.
27 October 2016, 9:00 a.m. to 2:00 p.m., Offenbachsaal 

SEO Day
Presented for the first time at ORGATEC 2016: the SEO Day is an annual industry meeting of the search machine optimisation scene. Around 800 experts are expected to attend, with more than 40 German-speaking industry experts on hand, holding numerous talks and sharing the latest tips and tricks in the area of search engine optimisation, Google and co.
27 October 2016, Konrad-Adenauer-Saal, Congress Centre North

Speakers' Corner
Following a successful premiere in 2014, exhibitors at ORGATEC will this year once again have the opportunity to present themselves as well as new products and services to a broad trade audience and answer questions directly on site. In half-hour-long presentations, speakers will introduce trends, innovations and methods from their particular field of expertise (daily between 11.00 a.m. and 3.00 p.m).
25 through 28 October 2016,11:00 a.m. to 3.00 p.m., Hall 11.2, Stand J 002

Alongside the congresses and the forum, ORGATEC 2016 also offers numerous special events that offer trade visitors real added value. The offering ranges from the presentation of innovative materials, through Scandinavian design for indoors and outside, to the current trend of co-working spaces.

"RE/WORK - Moments of Inspiration by Ippolito Fleitz Group"
The competence centre "RE/WORK - Moments of Inspiration by Ippolito Fleitz Group" is an inspiring staging that traces valuable moments of inspiration, combines analogue and digital experiences, enabling a fresh view on the world of work from new perspectives. It shows, in a creative and humorous way, what the office of the future might have to look like in order to address changing requirements. The workplace is no longer bound to a particular space, but rather to moments: moments of networking through the perfect integration of technology, moments of well-being, of inspiration, of lifelong, playful experimentation. The competence centre takes ten examples of these moments and brings them to life in three dimensions. The Competence Centre takes ten examples of these moments and brings them to life in three dimensions.
Daily, Hall 11.2, Stand E 031/ F 030

The influence of design on co-working spaces can be seen by visitors to ORGATEC at the special event "The smart working space", in which the "smart co-working lobby" model showcases a module that will be at the core of the modern office block and that enables the co-working philosophy to be adopted in existing buildings. Using this approach, the trend towards co-working can be embraced relatively quickly and economically. The model will be presented in the form of a fully functioning prototype at ORGATEC. The curator of this specially designed area is Michael O. Schmutzer who, as Managing Director of Design Offices, has turned the idea of "New Work" into a remarkable success story. "The Smart Co-working Lobby" was developed in cooperation with the prestigious interior design office, brandherm + krumrey interior architecture (b-k-i), based in Cologne and Hamburg.
Daily, Hall 9, Stand B 010

Innovation of Interior
In Hall 8, the experts from Haute Innovation will be demonstrating the potential offered for modern working environments by the latest innovations in materials. They will be presenting about new sources of raw materials for manufacturers and planners, sketching out scenarios for the deployment of intelligent materials in the context of the smart office or smart home and outlining the opportunities for additive manufacturing in the furniture industry.
Daily, Hall 8, Stand B 010

Design meets movement
Creative design will be lined up for the visitors in the Passage between Halls 10 and 11. In the special exhibition Design meets Movement, leading European designers will present smart solutions from Scandinavia that go beyond working indoors and act instead as an interface to the outside world - a multifunctional installation for outdoor working.
Daily, Passage 10/11

ORGATEC Boulevard - Creativity Works
Exceptional design will also be on display on the Boulevard. This is where Koelnmesse, in cooperation with the German association for the office and working environment (IBA / Industrieverband Büro und Arbeitswelt e.V.) will be presenting various projects on the topic of "Creativity Works". For instance, the magazine FRAME will be staging a captivating exhibition of forward-looking workplace design in collaboration with young creative professionals. The magazine "100 working SPACES" will be presenting 100 current and innovative workplaces and office concepts from Germany, Austria and Switzerland, as well as the best and most amazing projects from the rest of the world. And, presenting the results of their research project, students of design at the University of Applied Sciences, Düsseldorf (HSD / Hochschule Düsseldorf) will be showing an ingenious fusion of fashion, workspace, performance and identity.
Daily, Boulevard

ORGATEC, with its 50,000 trade visitors from all over the world, has also traditionally been the appropriate place for the awarding of important honours. This is also the case in 2016.

Prize ceremony for the "Büro & Umwelt" ("Office & Environment") competition 
Sustainable behaviours in everyday office life and attention to environmental requirements in the procurement of office equipment are extremely important for our environment. The German Association for Environmental Management, B.A.U.M e.V. (Bundesdeutscher Arbeitskreis für Umweltbewusstes Management) aims to draw attention to this with the "Büro & Umwelt" competition. At the heart of the competition is the sustainable handling of resources in everyday office life, as well as the awareness of environmental concerns when procuring office equipment.
25 October 2016, 11:30 a.m. to 1:00 p.m., Trend Forum stage, Hall 6, Stand B 029

"Architektur + Office" Innovation Prize
The 9th Architecture + Office Innovation Prize will be awarded by AIT and xia during ORGATEC 2016. Designers and manufacturers will submit their products to the critical judgment of renowned architects. The aim of the award is to underline the importance of quality in architecture in the office interiors sector. Products on the market that are particularly effective in addressing the concerns of the target group will be awarded a prize. All of the submitted products will be displayed in a special exhibition at ORGATEC 2016 in Cologne.
25. October 2016, Hall 10.1, Stand E 011

Time is money. The same is true for the trade visitors to ORGATEC 2016. In order to get a comprehensive overview of the important new developments and trends on show, guided tours around the trade fair are available.

Guided tours around the fair by the Mensch&Büro-Akademie (People&Office Academy)
The Mensch&Büro-Akademie (MBA) and PRIMA VIER Publishing Frank Nehring (P4) will be offering two guided tours around ORGATEC 2016, based on the topics of "Health & Ergonomics" and "Design & Innovation", both taking place twice daily on 26, 27 and 28 October 2016.
Meeting point: Hall 7, Stand B 073

Guided tours for architects organised by Bauverlag
Actively promote dialogue between architects, interior designers, lighting planners and exhibitors - with this aim in mind, Bauverlag publishers is offering guided tours on four trade fair days to selected trade fair highlights at ORGATEC. The "Bauverlag architects' tours" around the trade fair will be conducted by editors from the magazines "Bauwelt" (Building World) and "DBZ" (Deutsche Bauzeitschrift/German Building Magazine). In the approx. 2 ½ hour tour around 10 important exhibitors will be visited. You will be met by competent representatives at the stands, who will demonstrate their new products and systems specifically from the viewpoint of the architect.
25 through 28 October 2016, 11:00 a.m. to 1:00 p.m., setting off from: Passage 3/11, Stand P 001  
 
SIX-TO-NINE Party
What could be better than bringing the exhibition day to a relaxed close? On the first day of the fair, nothing could be easier - the ORGATEC Boulevard is the perfect setting for the legendary ORGATEC SIX-TO-NINE party. On the evening of the first day of the fair, all exhibitors, visitors and journalists are invited to this industry meeting to engage in lively conversations and exchange ideas in a relaxed atmosphere.
25 October 2016, 6.00 p.m. to 9.00 p.m., ORGATEC Boulevard