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Blockchain Fashion Transparency ©Martine Jarlgaard Provenance
10.07.2018

How blockchain paves its way through the fashion industry

For most people, blockchain technology is still quite an abstract concept. We can think of it as some kind of virtual database that saves all transactions in so-called blocks. This creates transaction or block chains, which are perpetuated with every subsequent transaction. Through the high degree of transparency, the system can do without a central controlling entity, as it is permanently controlled by many. The blockchain can be changed afterwards. So far, this technology has been used mainly to materialize cryptocurrencies, but it increasingly paves its way also through the fashion industry. The following section outlines a few blockchain concepts from the fashion industry:
 
Blockchain makes fashion forgery-proof

For most people, blockchain technology is still quite an abstract concept. We can think of it as some kind of virtual database that saves all transactions in so-called blocks. This creates transaction or block chains, which are perpetuated with every subsequent transaction. Through the high degree of transparency, the system can do without a central controlling entity, as it is permanently controlled by many. The blockchain can be changed afterwards. So far, this technology has been used mainly to materialize cryptocurrencies, but it increasingly paves its way also through the fashion industry. The following section outlines a few blockchain concepts from the fashion industry:
 
Blockchain makes fashion forgery-proof
The Berlin-based startup business Lukso has created an opportunity to take action against trademark counterfeiting and forgeries by using blockchain. A chip replaces traditional QR codes, which can be copied easily. The data stored on the chip are locked in and thus cannot be edited. Thus, the authenticity of the garment can be verified. The founder of Lukso, Fabian Vogelsteller, used his experience he had gained as a developer for the Ethereum cryptocurrency in order to develop this chip.
„The Fashion industry is the perfect industry for a blockchain-network, since it is forward thinking and eager to try out new things. Especially the interaction between users is an important factor here. Also forgery-proof is still an unsolved problem,“ explains the founder of LUKSO, Fabian Vogelsteller.    

The data stored on the chip can be analysed, but not read. Thus, the information about the products is disclosed in the blockchain in a transparent way for the customers and retailers. However, by not disclosing the system, the information can neither be changed nor copied, making the history of the garment traceable at any time. This technology provides protection against counterfei¬ting in particular with regard to brand and luxury goods. The system is also suitable for second-hand shops selling high-quality products, as the buyers are given a guarantee that they have bought a genuine product.

…and its origin transparent
SourceMap is another development using blockchain for the fashion sector. SourceMap is a kind of social network based on blockchain technology developed by the software company Provenance.
 
It allows everyone from the farmer to the textile mill to the cut-and-sew factory to communicate directly with the brand that buys from them, and it is using Provenance’s blockchain technology to verify those communications. They envision a world in which every fashion product has traceable, transparent origins. The developers promise that for example organic and Fair Trade certifications cannot be faked. The designer Martine Jarlgaard from London produced smart labels from Provenance using blockchain technology already in 2017, allowing the customers to scan these labels to track every step in the production.
 
Also, the fashion label Babyghost has launched a kind of social network. With specific chips woven into the garments, the customers are able to track the entire history of the clothes using their smartphone. The blockchain technology behind that even allows the consumers to add their own photos, videos and messages. This way, each garment gets its own story that is accessible at any time.

Berlin-based business wants to revolutionize online shopping experiences with blockchain
Wysker is an app developed by Tobias Haag and his team from Berlin to revolutionize online fashion shopping. With the blockchain system, users can decide on whether and what data they want to disclose to the retailers. Those who provide data will be rewarded with discounts. The Wysker app itself shows only photos, prices and the providers of the products. Those who find what they are looking for will be forwarded to the respective business partner. The developers expect that the bonus model will become a small revolution. Every app user is given bonus points, so-called Wys tokens. The more intensive the app is used, the more tokens are given. The tokens can be redeemed with the participating retailers. They are based on blockchain technology and connected to the Ethereum cryptocurrency. The value of the bonus points increases with the popularity of the app, as the number of tokens is limited. Thus, increased demand leads automatically to a higher value. The app is still in the initial stage. However, many users have already been generated during the first few months.
 
The fashion industry shows once again its innovative strength and uses blockchain to embark on new paths, with blockchain technology being a means to the end. It creates transparency that can reward the users and bring new shopping experiences.

Further information:
https://www.lukso.io/ 
https://www.wystoken.org/ 
http://martinejarlgaard.com/Home 
https://www.mybabyghost.com/ 
http://www.sourcemap.com/ 

Industry Check in Asia Photo: Pixabay
19.06.2018

TEXTILE AND CLOTHING INDUSTRY IN ASIA: GTAI CHECKING THE SECTOR

Every day, GTAI experts observe and analyze the development of the most important German export industries on the world markets. Here you will find summarized information on the textile and clothing industry in Asian markets.
 
GTAI Industry Check - Vietnam
Textile and clothing industry: Vietnam needs more than sewing

Every day, GTAI experts observe and analyze the development of the most important German export industries on the world markets. Here you will find summarized information on the textile and clothing industry in Asian markets.
 
GTAI Industry Check - Vietnam
Textile and clothing industry: Vietnam needs more than sewing
The textile and clothing industry is one of the most important pillars of the Vietnamese industry and accounted for around 6 percent of total exports in 2017 with exports amounting to USD 26 billion. For 2018, the industry is aiming for growth of 7 to 8 percent and exports are expected to rise to over USD 33 billion. In order to comply with the rules of origin of the free trade agreements concluded by Vietnam, the country must achieve a higher added value. Domestic companies such as the Vinatex Group or Garco10, but also foreign companies are increasingly investing in technical innovations and expanding processes such as spinning, weaving and dyeing upstream of pure sewing. In addition, the first companies are beginning to automate their production processes.

GTAI Industry Check - Uzbekistan
Textile and clothing industry: Investments of more than USD 2 billion planned
The industry program for 2017 to 2020 lists around 130 projects with a total value of USD 2 billion. About half of the planned investments are to be
accounted for foreign commitments. The aim is to double the annual output of finished textile products during this period. With an annual production of more than 3 million tons of raw cotton, Uzbekistan is one of the world's largest producers of the white gold. A second industry programme foresees the implementation of five projects for the production of raw silk, silk wadding and silk fabrics and finished silk products between 2018 and 2021. The minimum investments required are estimated at USD 26 million.
 
GTAI Industry Check – Myanmar
Textile and clothing industry: Export strength through low wages
The lifting of sanctions by the EU and the US has noticeably revived the investment climate in the sector, especially as this was linked to the reactivation of the EU's GSP import status (Generalized System of Preferences). Most investors came from China, Hong Kong, Taiwan or South Korea, and Western brands such as GAP, H & M, Primark or Marks & Spencer were also included. Currently, about 400,000 workers are employed in almost 400 factories, mostly geared to CMP (cut-make-pack), including 171 foreign investors and 22 joint ventures. According to the Myanmar Garment Entrepreneurs Association, exports are expected to have increased by 40 percent to over USD 3 billion by 2017. For the first time the largest customer was the European Union, primarily Germany, ahead of Japan and South Korea.

GTAI Industry Check – Georgian Republic
Textile and clothing industry: Several expansion projects planned
The apparel industry produces garments for up to USD 70 million annually. The main products manufactured are international brands for export. Several new projects in the industry are in preparation. For example, the Turkish jeans manufacturer Baykanlar Textil plans to build a factory for the production of brand jeans in Ozurgeti by the end of 2018. A total of USD 15 million will be invested in the project. The Romanian company MGMtex, a subsidiary of the Swiss company Ottorose, is planning to start production of branded clothing in Kutaisi in cooperation with a local partner. The investments for the first and second project phases amount to more than USD 1.5 million. For the procurement of equipment, the company benefits from subsidies from the state program Produce in Georgia.

GTAI Industry Check - Turkmenistan
Textile and Clothing Industry: Investments of around 300 million US dollars planned
The textile and clothing industry represents 20 percent of Turkmenistan's industrial production and 30 percent of its manufacturing industry. A good USD 300 million will be invested in 2018 to 2020/21. The project list includes the construction of a large textile complex for the annual processing of up to 5,000 tons of fine-fibred cotton into semi-finished and finished products. Start March 2021; contractor: Cotam Enterprises Ltd, British Virgin Islands/Turkey) and a factory for the annual production of 6,000 tons of cotton yarn (2019/20, Hilli yol), the modernization of a textile factory (Daschogus), a cotton spinning mill (Tachtabasar) and a factory for medical wadding and cosmetic cotton (Ashgabat; 2018/2019 each). The potential of medical textiles, cotton fabrics, man-made fibers and the processing of wool and cocoons is still little used.
 
GTAI Industry Check – Azerbaijan
Textile and clothing industry: Light industry business park attracts investors
Azerbaijan launched several projects to revive the industry (output in 2017: USD 100 million). An industrial park for light industry has been under construction in Mingachevir since autumn 2016. Nine new factories are planned for cotton, acrylic and woolen yarn, clothing, hosiery and leather shoes. The project is worth up to USD 150 million. The first factory for the annual production of 20,000 tons of yarn is under construction. Under the umbrella organization for the Azerkhalcha carpet weaving mill founded in 2016, ten further smaller factories will be put into operation in 2018. Gilan Textil Park, Sumqayit, wants to expand its exports of home textiles. In the medium term, the construction of a silk spinning mill with an annual capacity of 3,000 tons of yarn is also planned.
 
GTAI Industry Check - Armenia
Textile and clothing industry: interest from abroad increases
Rising exports of clothing to Russia and western markets lead to expect further investments in the textile and clothing industry in 2018. Italian investors are planning to build a large jersey factory in Kapan (Sjunik region). The company SASSTEX in Artik (Schirak region) invests in two factories for the production of fashion (ZARA brand) and workwear. The Egyptian Wassef Group is considering the production of cotton fabrics and products therefrom. Yerevan-based hosiery and children's apparel manufacturer Alex Textile will continue its USD 28 million investment program in 2018 to expand apparel and hosiery production at several sites in Armenia.

More information:
Asia Export
Source:

Germany Trade & Invest www.gtai.de

Photo: Pixabay
29.05.2018

ITALIAN FASHION INDUSTRY ON COURSE FOR INNOVATION

  • FOCUS ON DIGITIZATION AND SUSTAINABILITY

Mailand (GTAI) - The Italian fashion industry is changing. The digitalization of production and the growth in online trading are forcing a rethinking in the traditional sector. The topic of sustainability is becoming increasingly important. Against this background, Italian fashion houses are increasingly investing in their future strategies. German companies see good business opportunities as technology partners.

The Italian fashion industry is one of the core sectors of the Italian economy. In 2017, the sector increased its sales by 2.4 percent to EUR 54.1 billion, as reported the industry association Confindustria Moda. For 2018, the association expects a further increase of 2.6 percent to EUR 55.4 billion. The goal is to exceed the EUR 60 billion by 2020.

  • FOCUS ON DIGITIZATION AND SUSTAINABILITY

Mailand (GTAI) - The Italian fashion industry is changing. The digitalization of production and the growth in online trading are forcing a rethinking in the traditional sector. The topic of sustainability is becoming increasingly important. Against this background, Italian fashion houses are increasingly investing in their future strategies. German companies see good business opportunities as technology partners.

The Italian fashion industry is one of the core sectors of the Italian economy. In 2017, the sector increased its sales by 2.4 percent to EUR 54.1 billion, as reported the industry association Confindustria Moda. For 2018, the association expects a further increase of 2.6 percent to EUR 55.4 billion. The goal is to exceed the EUR 60 billion by 2020.

But the sector is developing inconsistently. Sales of intermediate products such as fabrics have been stagnating for years, while sales of end products such as clothing, shoes and bags are increasing. Both areas grew in 2017. End products (+2.9 percent) continue to be more successful than primary products (+2.2 percent). The main reason for the positive development of the fashion industry in recent years is the strong export demand for Italian products. In 2017 exports rose by a total of 3.5 percent and exceeded the EUR 30 billion mark for the first time.

The main export hits are clothing (one third of fashion exports), leather goods (around 20 percent) and shoes (around 18 percent), followed by fabrics (9 percent) and home textiles (9 percent). Sector representatives are concerned about developments in some important sales markets. Exports to the USA and Japan declined in 2017, the rising demand from China and Russia could not compensate these losses.

Significant rise in fashion imports
Domestic demand for fashion stagnated in 2017, while significantly more preproducts from the Far East and end products from industrialized countries were imported. Overall, imports increased by 2.2 percent to EUR 21.1 billion in 2017, Confindustria is expecting a further increase of 2.4 percent in 2018.

Germany is one of the most important markets for Italian fashion manufacturers; Italian shoes and bags are particularly popular with German customers. In return, Germany, with imports worth EUR 1.3 billion (plus 4.1 percent), ranked fourth as a supplier country in 2017, behind China, France and Spain. Clothing accounts for about half of German fashion imports and textiles for the other half. Germany is an important supplier of technical textiles, including sports goods and for the automotive industry.

Many companies strengthen their online presence  
The digitalization of the Italian industry does not stop at the fashion industry either. Thanks to the new technologies, traditional manufacturers can increasingly reach their customers directly without intermediaries.

How well this works was demonstrated by the Italian start-up company Yoox, an online luxury fashion retailer. Founded in 2000, the company merged with the French online fashion company and strong competitor Net-a-Porter in 2015. The Group is now active in 180 countries and generated sales of EUR 2.1 billion in 2017.
Many companies are strengthening their online presence and using their stores primarily as showcases to promote brands or new collections. The company Beste with the still new brand for men Monobi is an actual example. The traditional fashion houses Loro Piana and Zegna have been active in this direction already for several years.

Industry 4.0 sets impulses
Digitalization also makes new production processes possible for fashion houses. The networking of machines reduces production times, increases efficiency and reduces electricity and water consumption. In addition, manufacturers get the opportunity to offer tailormade solutions. Digitalization also ensures through just-in-time concepts that inventories and sales areas can be reduced, which leads to falling costs.

Well-known Italian fashion houses are investing heavily into the future. The luxury company Gucci has invested around EUR 100 million in a new innovation center, the so called ArtLab, in the greater Florence area. The company Beste has started two research projects in the field of Industry 4.0. The intensive research focuses on the development of new, environmentally friendly materials and the development of a digital platform for the planning, production and distribution of garments.

Sustainability is increasingly becoming a sales argument
The topic of sustainability is becoming increasingly important. The National Chamber of Italian Fashion (CNMI), for example, organizes discussion rounds on the subject. The fashion house Ferragamo has presented a sustainability plan to reduce greenhouse gas emissions and energy consumption. A new development by Ferragamo is also a sustainable fabric made from orange peels.

Gucci, Armani, Bulgari, the list of the world-famous Italian fashion companies is long. At the same time, Italy also has a large number of small and very small companies in the fashion sector. In 2017, the average number of employees in the companies was 9. Small and medium-sized com-panies also rely on sustainability.

The major Italian bank Unicredit, together with the European Investment Bank, is providing low interest loans for small and medium-sized fashion companies (up to 250 employees) for relevant investments. Similar programs are provided by the major bank Intesa Sanpaolo.

Source:

Robert Scheid, Germany Trade & Invest www.gtai.de

mtex+ and LiMA 2018 (c) Messe Chemnitz
22.05.2018

mtex+ and LiMA 2018: BRIDGE BUILDING BETWEEN TECHNICAL TEXTILES AND LIGHTWEIGHT

At May 29/30, 2018, 147 exhibitors from six countries present application-oriented textil and lightweight-solutions for all sectors from A to Z and introduce numerous innovations in Chemnitz - Special exhibitions and specialiced events deepen the trade fair topics and give inspiration for innovation development and business contacts

At May 29/30, 2018, 147 exhibitors from six countries present application-oriented textil and lightweight-solutions for all sectors from A to Z and introduce numerous innovations in Chemnitz - Special exhibitions and specialiced events deepen the trade fair topics and give inspiration for innovation development and business contacts

With a 10 % plus of exhibitors and an exhibition area which rose 20 % the trade fair duo mtex+ and LiMA starts at May 29/30, 2018. At hall 1 of the Messe Chemnitz 147 companies and research institutes present on 4.200 square metres application-oriented textil and lightweight-solutions for sectors from architecture to railway technology. On 3.500 square metres 134 exhibitors were represented at the previous trade fair in 2016 in Chemnitz. „We are pleased that the merging of the fields of technology technical textiles and lightweight becomes even more visible at our trade fair duo. Not only exhibitors from the Central German industry and research region demonstrate their know-how. We can as well welcome companies and research institutes from all over Germany adding Belgium, France, Austria, Switzerland and the Czech Republic in Chemnitz. To us this is the proof that the further merge of mtex+ and LiMA under the new slogan ‚Excellent connections: Technical textiles meet lightweight construction‘ works out“, emphasises Dr. Ralf Schulze, director C³ Chemnitzer Veranstaltungszentren GmbH, to which the Messe Chemnitz belongs.

Innovations from textil circuit boards to railway-components made of basalt and bamboo
The international trade fair for technical textiles mtex+ and the lightweight trade fair LiMA focus on functionalised and intelligent textiles as well as lightweight materials and –products, digitised production, process development-, process- and technology development, refinement and recycling. The exhibitors in 2018 put various innovations forward. The nonwoven-manufacturer Glatzeder arrives with a protective suit made of an entirely new material, which is suitable for work under extreme conditions. A especially for security forces made protective clothing will be shown by Wattana. Flexible textil circuit boards made of conductive nonwovens are the new development from Norafin. Vowalon presents a surface sealing for imitation leather padding which extends its service life. Light interactive components as well as tables and seating areas made of textile concrete will be shown by the TU Chemnitz. HÖRMANN Vehicle Engineering demonstrates trim - and interior components  for railway vehicles with basalt- and bamboo fibre.
New and proven special exhibitions offer insights into innovative developments besides the exhibition stands. A new addition at the program is „light.building“ belonging to lightweight in architecture and building trade and „flexible.protect“ belonging to  protection- and safety textiles for humans, nature, mobile and immobile goods. The successful exhibition „health.textil” with medicine-, health- and wellness textiles from 2016 will be continued.

Compact, intensive and international
The exhibition stand- and special exhibition-presentations demonstrate the growing application range of technical textiles and lightweight. „Hightech-textiles and lightweight solutions conquer more and more new fields of application. Compact seen should be the various possibilities in the Central German industrial metropolis Chemnitz, that is and was a centre of innovative textile industry. The atmosphere of the small but fine trade fair duo of short distances and intensive contacts is not only appreciated by the actors of the strong Saxon-Thuringian textile region but also by foreign companies and research institutes. So are the textile federation ATOK and the Techtex-Cluster CLUTEX from the Czech Republic with a multicompany stand and the Smart-Textiles-Network from Austria our guests again“, informs Dr. Jenz Otto, general manager of the Noth-Eastgerman textile- and clothing industry association (vti) and amends: „The exhibiton is not only an obligatory date for the specialised insiders but also the federal policy shows a great interest in the textil- and lightweight- competences of the region. Because of this the Commissioner for middle class and for the new Länder, Christian Hirte, follows our trade fair duo invitation.“ The vti is from the very beginning major partner and a generator of inputs for the continuous further development of the event.

You can find further information about the program as well as the trade fairs under: www.mtex-lima.de

 

Foto: Pixabay
08.05.2018

IN INDONESIA DEMAND FOR TEXTILE MACHINERY STAGNATING

  • Clothing exports stagnate
  • Shoe production becomes more important
  • Investment in modern technology necessary

Bonn (GTAI) - The Indonesian textile industry faces strong regional competition. Since their demand for machinery and clothing exports peaked about five years ago, the industry's exports have stagnated. Nevertheless, the archipelago is important for international market participants at least as a second location alongside the major producing countries. In the meantime, the country has developed into an important shoe manufacturer and is further expanding its production capacities.

  • Clothing exports stagnate
  • Shoe production becomes more important
  • Investment in modern technology necessary

Bonn (GTAI) - The Indonesian textile industry faces strong regional competition. Since their demand for machinery and clothing exports peaked about five years ago, the industry's exports have stagnated. Nevertheless, the archipelago is important for international market participants at least as a second location alongside the major producing countries. In the meantime, the country has developed into an important shoe manufacturer and is further expanding its production capacities.

Indonesia is one of the top 15 clothing exporters. Over the past decades, the archipelago has continuously increased its production and thus created a growing demand for textile machinery. But the market has been stagnating for five years: exports are at around USD 7.5 billion per year, and imports of textile machinery have fallen from USD 1 billion per year to only around 800 million US dollars.

The most important supplier of textile machinery is the PR China, which has expanded its import share to around 30 percent in recent years and displaced Japan from first place. According to Indonesian import statistics, the German delivery ratio fluctuates by 10 percent.

The Indonesian textile association API cites the lower demand for clothing, especially from the USA and Europe, as the reason for the weak export development. About half of industry exports goes to North America. The largest customers are Japan, Germany, South Korea and the United Kingdom. What the association does not say: Bangladesh, Vietnam, India, Cambodia and Myanmar have all significantly increased their clothing exports in the past five years.

Indonesia's import of textile machinery *) (in USD million)
2007 360.5
2008 580.9
2009 339.9
2010 641.1
2011 952.1
2012 1.021.7
2013 973.8
2014 940.2
2015 804.3
2016 822.9

*) SITC 724
Source: UN Comtrade

Shorter production cycles
Indonesia's textile companies must therefore invest in order to remain competitive. Even though, according to API, more than half of the member companies are already technologically advanced, many market participants still have an outdated machinery. And especially against the background of fiercer competitive conditions, this is a decisive disadvantage. According to the association, larger fashion chains insist on ever shorter delivery times. Where the producers used to have three months, today it is only three weeks.

Regional competition is also a problem for manufacturers. The archipelago has good conditions for a labor-intensive industry such as the textile industry. Wages are low - outside the conurbations - and the labor supply is inexhaustible (also because many men work as sewers in the factories). Nevertheless, the country has not yet managed to become serious competition for the main export countries of cheap mass-produced goods.

Indonesia's import of textile machinery by supplier countries *) (in USD million; Change in % compared to previous year)
  2014 2015 2016 Change
PR China 279.4 269.2 524.7 -5.4
Taiwan 79.7 86.8 98.3 13.2
Germany 104.5 68.4 93.6 36.8
Japan 163.7 91.3 85.1 -6.8
Korean Rep. 60.5 65.8 57.0 -13.4
India 48.3 43.1 42.6 -1.2
Singapur 37.1 33.4 41.3 23.7
Italy 47.1 39.1 36.3 -7.2

*) SITC 724
Source: UN Comtrade

The archipelago also has locational disadvantages: it is further away from the European sales markets than other manufacturing countries and has a greater distance to China also, which, due to the high wage increases, is increasingly relocating its clothing production to its immediate neighbors. Moreover, in Indonesia, which is comparatively wealthy due to its large raw material exports, the minimum wages of India, Cambodia, Bangladesh or Myanmar cannot be undercut.

Asia's top clothing exporters 1) (USD billion;
change 2016 compared to 2011 in %)
  2011 2016 Change
PR China 153.7 158.2 2.9
Bangladesh 19.2 29.5** 53.6
Vietnam 13.1 22.9** 74.8
India 14.7 17.9 21.8
Indonesia 8.0 7.5 -7.1
Cambodia 4.0 6.6** 65.0

1) SITC 84; 2) Mirror statistics of partner countries
Source: UN Comtrade

Investments at previous year's level
After all, Indonesia has managed to become an important second location for international apparel companies, mitigating risks in major manufacturing countries. Most of the manufacturers are located in populous Java. For the government, further expansion of the industry is important in order to bring the large number of unskilled workers to work.

According to the latest available data from the Federal Statistical Office (BPS), the number of employees in the roughly 2,600 medium and large companies in the sector has increased from 470,000 (2008) to 550,000 (2014). In addition, there are just under 210,000 workers in small and micro companies (2015), most of whom are one- or two-person businesses.

The BKPM investment agency reports FDI of USD 184 million for the first half of 2017 for 494 projects. This corresponds almost exactly to the sum of the same period of the previous year. For the full year of 2016, USD 321 million of FDI had flowed into the sector.

Shoe manufacturers expand capacities
The domestic footwear industry is developing far more dynamically than the textile industry. Indonesia has become the third most important exporter in terms of cheap mass production in a few years, but it is far behind China and Vietnam. After all, the corresponding exports between 2011 and 2016 have steadily increased from USD 3.3 billion to USD 4.6 billion.

Asia's most important footwear exporters 1 (in USD bn, change 2016 compared to 2015 in %)
  2011 2016 Change
PR China 41.7 47.2 13.1
Vietnam 6.7 13.0** 93.5
Indonesia 3.3 4.6 40.5
India 2.1 2.7 31.4

1) SITC 82; 2) General Statistics Office of Vietnam
Source: UN Comtrade

And the signs are still on expansion: In the first six months of 2017, the leather and footwear sector had FDI of USD 187 million, a third more than in the total year 2016. Domestic market participants are also expanding. The Indonesian manufacturer SCI is currently building a new production facility in the central Javanese Salatiga, near the port city of Semarang. It should be completed in October. In the first phase 300,000 to 500,000 pairs of shoes per year could be produced, the maximum capacity is 1 million pairs.
 

Source:

Frank Malerius, Germany Trade & Invest www.gtai.de

THE POLISH FURNITURE INDUSTRY CONTINUES TO INVEST Photo: Pixabay
01.05.2018

THE POLISH FURNITURE INDUSTRY CONTINUES TO INVEST

  • Exports increase
  • Domestic demand rises

Poland strengthens its position as a major furniture producer. Many companies are expanding their capacities. The industry structure is very fragmented. Among the small to large companies, a certain consolidation trend is noticeable. There are also numerous micro-companies on the market. Furniture exports are expected to increase again in 2018, and the demand for housing, office and shop fittings is also growing in the country itself.

  • Exports increase
  • Domestic demand rises

Poland strengthens its position as a major furniture producer. Many companies are expanding their capacities. The industry structure is very fragmented. Among the small to large companies, a certain consolidation trend is noticeable. There are also numerous micro-companies on the market. Furniture exports are expected to increase again in 2018, and the demand for housing, office and shop fittings is also growing in the country itself.

Poland is an important producer of furniture that is heavily exported, especially to Germany. The producers are expanding their capacities: For example, at the end of October 2017 the Austrian company Egger started construction of a large chipboard factory in the south of Biskupiec (Bischofsburg), which is scheduled to start operations in the fourth quarter of 2018. It is being built on 85 hectares of land within the Warmia-Masuria Special Economic Zone (SEZ) and is expected to produce around 650,000 cubic meters of slabs annually.

The value of this investment amounts to almost EUR 240 million. The products are intended for both domestic and foreign customers. They should meet strict environmental standards and be up to 30 percent of recycled wood. 400 new jobs will be created in the new factory itself and another 600 will be created in cooperating companies.

An important buyer of chipboard will be the furniture industry, which also invests by itself. According to the daily Rzeczpospolita, the company Meble Wojcik plans to build a production facility as well as a warehouse and logistics warehouse for a total of EUR 12 million. These are to be equipped with automated production lines and logistic equipment. In addition, the further development of the IT system is planned so that the production can be adapted very fast to individual customer requirements. The investment project will create at least 120 jobs. The sales of Meble Wojcik in 2017 amounted to more than EUR 100 million.

New sawmill planned
A project of comparable value is being undertaken by the manufacturer of upholstery furniture DFM, which wants to produce wood frame elements in Dobre Miasto (Guttstadt). A modern sawmill is being built there, the construction elements of which are not only intended for DFM itself, but for other customers also.

The furniture manufacturer Szynaka Meble wants to raise more than EUR 5.3 million to build a new warehouse in Ilawa (German Eylau). There 30 employees will be employed. Among other things, the procurement of a modern software for material management is planned.

The six plants of Szynaka Meble produced furniture worth around EUR 235 million in 2017 (on a zloty basis) +5 percent compared to 2016. For 2018 the company expects a growth of 15 percent, mainly due to increased exports to North America, where it intends to sell one-fifth of its production.

Location of the Meble Wojcik, DFM and Szynaka Meble projects is also the Warmia-Masuria SEZ, located in a wood rich area. According to press reports, the manufacturer of shop fittings Modern-Expo plans to build a factory in Lublin. In the first three quarters of 2017, the Polish furniture industry invested a total of around EUR 200 million, according to the main office of CIS. On a zloty basis, the amount stagnated compared to the same period of the previous year.

The sector structure is fragmented
The furniture industry plays an important role in the Polish industry. Around 25,800 companies in Poland are involved in the manufacture of furniture and interiors. Nevertheless, elements and components are also imported, including from Germany. More than 90 percent of the companies are micro-companies, which, according to the market research firm B + R Studio, together however account for 10 percent of the domestic sales only. Only about 90 companies are classified as being large. Together with the approximately 320 medium-sized companies, they sell about three quarters (76 percent) of the relevant products. Small businesses account for a part of 14%. According to CIS at the end of 2017 there were around 161,000 employees in the furniture industry, around 6,000 more than the year before - (+4 percent).

Turnover of Polish furniture manufacturers (in EUR billion)
2013 2014 2015 2016 2017 1)  2018 2)
7.5 8.4 9.3 10.0 10.5 11.1

1) Estimation; 2) Forecast

Source: B+R Studio

For 2018 B + R Studio expect total domestic sales of more than EUR 11 billion, which represents a 3.1% increase on Zloty basis compared to 2017. For years the market leader has been the Polish subsidiary of the Swedish Ikea Group, with revenues of around EUR 1 billion in 2016. Far off is the domestic group Black Red White, which raised a total of EUR 335 million in 2016. It estimates its turnover in 2017 at around EUR 400 million (on Zloty basis +16 percent); the export share is 35 percent.

The company Nowy Styl, which specializes in office furniture and chairs, comes third, with revenues estimated at EUR 340 million in 2017 (+8 percent compared to 2016). The mattress manufacturer Correct follows with a turnover of EUR 291 million in 2016, ahead of the stock exchange listed company Fabryka Mebli Forte with EUR 252 million, which aims to reach EUR 400 million revenues for 2020. Forte will take its 5th factory in operation in late 2019 / early 2020, increasing its production capacity to 6.5 million pieces of furniture annually.

Of importance is also the manufacturer of upholstery furniture Com.40 Limited. Seating is by far the most important category of furniture produced in Poland, accounting for almost half of the total sales.

Exports revive
According to the B + Studios the furniture exports are expected to rise to EUR 10.6 billion in 2018. On a zloty basis this means an increase of about 2 percent compared to 2017 with an estimated EUR 10.1 billion, when the exports fell by 1 percent. Domestic demand for furniture is also increasing thanks to residential and commercial property construction. The increasing purchasing power of the population also makes it possible to replace old facilities with new ones. Imports complement the offer of domestic industry.

Furniture sales in Poland (in EUR billion)
2013 2014 2015 2016 2017 1) 2018 2)
1.2 1.2 1.3 1.3 1.4 1.5

1) Estimation; 2) Forecast

Source: B+R Studio

The industry is suffering from an increasing labor shortage, which leads to higher wages. According to CIS, the average gross wages in 2017 were EUR 833 per month compared to EUR 738 in 2016. On Zloty basis, this corresponds to a nominal growth of 7.3 per cent.

Contact addresses:

Ogolnopolska Izba Gospodarcza Producentow Mebli (OIGPM)
(Polish Chamber of Commerce of Furniture Producers)
Contact: Michal Strzelecki
Al. Stanow Zjednoczonych 51, pok. 614
04-028 Warszawa, Polen
T +48 (0)22 517 78 39
oigpm@oigpm.org.pl
http://www.oigpm.org.pl

B+R Studio Analizy Rynku Meblarskiego
Market research institute for the furniture market:
Head of the Analysis Department: Martin Czyrnia
MD Connect Sp.z o.o.
ul. Oleska 35
46-380 Dobrodzien, Polen
T +48/507 96 66 23
brstudio@brstudio.eu
http://brstudio.eu

Furniture producers     Internet addresses
Egger      http://www.egger.com
Meble Wojcik http://www.meblewojcik.com.pl
DFM http://www.dfm.com.pl
Szynaka Meble http://www.szynaka.pl


 
  

More information:
Poland Furniture market
Source:

Beatrice Repetzki, Germany Trade & Invest www.gtai.de

Furniture market in France Photo: Pixabay
24.04.2018

FURNITURE MARKET IN FRANCE IS GROWING VIGOROUSLY

  • Sales of Kitchens and Beds is outperforming
  • E-commerce puts pressure on the Sector

Paris (GTAI) - Furniture sales in France rose sharply in 2017 for the third year in a row, although the record level of 2011 has not yet been reached. This is reported by the association FNAEM in its annual balance sheet and refers to the close connection with the booming housing market. This also should push the furniture sector in 2018.

  • Sales of Kitchens and Beds is outperforming
  • E-commerce puts pressure on the Sector

Paris (GTAI) - Furniture sales in France rose sharply in 2017 for the third year in a row, although the record level of 2011 has not yet been reached. This is reported by the association FNAEM in its annual balance sheet and refers to the close connection with the booming housing market. This also should push the furniture sector in 2018.

After growth rates of 2.4 and 2.3 percent in 2015 and 2016 the French furniture market has again achieved a stable growth of 2 percent in 2017. According to the FNAEM Federation (Federation française du negoce de la ameublement et de equipement de la maison), the market developments are closely linked to the housing and real estate markets. According to the association, every third furniture purchase was made by a household that has moved within the last 24 months.
 
In 2017 16 percent more homes were built in France compared to the previous year. By the end of October 2017, the real estate market also had also registered 16 percent more transactions. The FFB (Federation française du batiment) expects a strong total construction activity again but with a slight decline of 2.5 per cent in the construction of new housing in 2018.

The development of the overall economy and the political environment also have a strong influence on the furniture market. For example, the presidential elections and the change of government in France led to an initial uncertainty among consumers and delays in the awarding of public contracts. Sales of furniture initially developed weakly in the first half of 2017, but then all the more dynamically.

Furniture market in France 2017
  Sales 2017 (in Euro billion) Change  2017/16 (in %) Share (in %)
Kitchen furniture 2.57 4.0 26.3
Upholstered furniture (sofas, armchairs and benches) 2.42 2.3 24.8
Beds 1.34 3.0 13.8
Bathroom furniture 0.24 -1.6 2.5
Garden furniture 0.13 2.0 1.4
Other home furniture (tables, chairs, chests, drawers) 3.06 0.1 31.2
Total 9.76 2.0 100.0

Source: IPEA (Institut de prospective et d'etudes de l'ameublement)

Most strongly grew the kitchens segment in 2017, whereas in recent years in particular bedroom furniture led the sales. Kitchens are particularly benefiting from the improving housing market and a continuing trend in French households to pay more attention to kitchen equipment.

Fitted kitchens gain market share
According to an analysis by the market research company IPEA (Institut de prospective et d'étes de l'ameublement), only 60 percent of households in France have fitted kitchens, much less than in other Western European countries (Germany: around 80 percent). This difference promises good growth rates for this segment for years to come.
According to the market researchers, the gap between the well-running segment of sofas and armchairs over benches is increasing in favor of upholstered furniture. Above all, folding sofas, which are always offered cheaper, continue to make competition to banks.

Other home furniture such as tables, chairs or chests, which continue to make the majority of the market, were, according to the FNAEM association, unable to make up much ground in retailing compared to kitchens and beds in 2017. Also, in 2018, according to the association's expectations, there will be no signs of recovery. According to FNAEM at most the online trade should continue to grow in the home furniture segment.
The sales of garden furniture benefited from warm weather periods in spring 207, which extended the sales season. According to IPEA bathroom furniture could not fully benefit from the upturn in the housing market in 2017. The business often depends on the hardware stores, which often promote low-cost products. Installers would have sold less bathroom furniture in favor of heating systems.
 
Good sales forecasts for beds
The bedroom segment, the leader in growth in recent years, has developed less strongly in 2017. IPEA attributes this to a tougher competition with more price promotions. Lower prices had slowed the sales despite good volumes. The buyers continue to ask for larger beds sizes with a width of 160 cm.

According to a study by the market research firm Xerfi, the bedding segment is expected to grow steadily by 3.3 percent per year until 2019, supported by the housing market and higher disposable income. French consumers would also exchange their mattresses now more often. According to the trade Frenchmen buy a new mattress every 14 year, whereas this happens in the US every eight years. The association of the mattress industry calls 13,5 for Germany.

Retailers operate multichannel strategy
However, the competition in the bed and mattress market is growing, above all due to the success of e-commerce. Online mattress suppliers such as Casper from the USA (with production in Germany), Tediber and Ilobed from France or Simba and Eve Sleep from the UK have launched massive advertising campaigns in France. According to estimations of the providers, they now have reached a market share of about 5 to 6 percent in the mattress segment.

The stationary trade with furniture stores like Ikea, Conforama or But and the bed specialists Maison de la literie, Compagnie du lit or Litrimarche defend themselves against the pure on-line offerors. All major retailers now operate a multichannel strategy, meaning that they try not only to sell in their furniture stores but also via their own online channels. At the same time the shops are upgraded by events, more advice or more frequently changing exhibitions.

Leading in France are the large furniture stores Ikea, Conforama and But. Market leader Ikea claims a market share of 19.4 percent in 2017. Conforama and But did not publish any shares for 2017 but came to 16.1 and 13.4 percent respectively in 2016. According to estimates by IPEA, online commerce accounts for a total market share of around 12 percent. Half of this is accounted for by pure online providers and internet sales by conventional, previously purely stationary, providers.

Ikea aims for a 10 percent online share in France. Conforama claims to already generate 10 percent of its sales via the Internet. However, the company also offers entertainment and household electronics. Of the online furniture purchases, 82 percent are still being picked up at the stores. Conforma wants to do justice to this with additional furniture markets in the low-price segment. At the same time, other sales rooms should be created in which new furnishing ideas will be presented.

Furniture retail in France by sales channel 2017
  Sales 2017 (in EUR billion) Change 2017/16 (in %)
Furniture stores 4.91 +0.9
Kitchenhouses 1.30 +6.0
Furniture stores, medium segment 1.02 +1.4
Luxury furniture stores 0.37 +2.0
Craft 0.33 -0.4
E-Commerce, catalog-trading and others 1.83 +3.3
Total 9.76 +2.0

Source: IPEA

Conforama joined the French online pioneer Showroomprive.com in 2017 as an investor, hoping to gain expertise in online marketing. Due to the impending bankruptcy of the South African parent company Steinhoff Conforama sold its shares in early 2018 to the supermarket chain Carrefour.

However, the company intends to take advantage of the increased customer interest in the bedding segment with a new high-end store chain under the brand "Il etait une nuit" and is buying additionally more smaller bed houses. The chain But was for a long time for sale until it was taken over in mid-2016 by the third largest furniture retailer Lutz from Austria together with financial investors.

Contacts
Name Internet address Comments
AHK Frankreich http://frankreich.ahk.de Advises on entering the market in France
Federation française du negoce de l'ameublement et de l'equipement de la maison (FNAEM) http://www.fnaem.fr Association of the furniture trade
Union nationale des industries de l'ameublement français http://www.ameublement.com Association of the French furniture manufacturers


      

More information:
France Furniture market
Source:

Peter Buerstedde, Germany Trade & Invest www.gtai.de. Translation Textination.

German Shopping Miles attract Turkish Merchants Photo: Pixabay
10.04.2018

GERMAN SHOPPING MILES ATTRACT TURKISH MERCHANTS

  • Companies expand branch network

Bonn (GTAI) - Thanks to the constantly good economic situation, the Germans are in best consumer mood. Turkish retailers also want to benefit from this and are expanding their store network in Germany. However, in order to be successful in the country, they have to respect a lot. Turkish investments in production facilities are seldom in Germany. However -the location offers a decisive advantage to the companies.

  • Companies expand branch network

Bonn (GTAI) - Thanks to the constantly good economic situation, the Germans are in best consumer mood. Turkish retailers also want to benefit from this and are expanding their store network in Germany. However, in order to be successful in the country, they have to respect a lot. Turkish investments in production facilities are seldom in Germany. However -the location offers a decisive advantage to the companies.

Modern furnished industrial lofts characterize the picture of the Düsseldorf Schwanenhöfe. Scenery restaurants, studios and companies have recently established themselves on the former chemical site in the district of Flingern. Since September 2017, the Turkish glass manufacturer Pasabahce became represented here with a showroom. On nearly 300 square meters expensive wine glasses, carafes and numerous other glass products are exhibited. After New York, Madrid, Milan, Shanghai and Moscow, it is the sixth outlet outside Turkey for the Istanbul company. Pasabahce is part of the Sisecam Group and one of the largest glass producers in the world.
 
Most Turkish investors come from the clothing industry
Turkish companies are currently focusing on the consumer goods market in Germany and are opening up business like Pasabahce. The investment focus is on the apparel market. Of the 211 projects by Turkish companies listed the Financial Times fDi-intelligence database between 2003 and 2017, every fifth is assigned to the textile and clothing industry. Another 11 percent comes from areas such as the furniture or cosmetics industry. For most traders, the local Turkish community does not play a major role as a target group. The Turkish companies are competing with other international brands in the German market for a broad western consumer group.

Turkish fashion houses are expanding
This includes the newcomer Yargici, which opened  four stores in top location throughout Germany in 2017. It was the first foreign engagement of the Istanbul clothing company. "In this and the coming years, more branches will be added, after all, we did not come to Germany to open just a few stores only", Germany boss Erik Schaap explains confidently.

The Turkish fashion company Sarar has been present here for over 17 years. In the year 2000 it opened its first branch on the Düsseldorf Königsallee. Since then, the company has invested about EUR 15 million in the country and opened eight boutiques. Sarar also wants to continue growing and is planning to reach 20 stores by 2020. However, Turkish retailers in Germany do not find it easy, as Sarar Europe GmbH marketing manager Salim Ünyeli admits: "The competition is very strong due to the ubiquity of Zara, H & M and Co. Most consumers do not know Turkish labels and prefer for the same price known Western brands."
"The tensions between Germany and Turkey have damaged our business, and potential customers are deterred from buying from a Turkish company." (Marketing Manager Salim Üniyeli of Sarar Europe GmbH.

Who thinks Turkish, fails
Turkey expert Suat Bakir knows the typical pitfalls for Turkish companies looking to start a business in Germany. Bakir is the capital representative of the German-Turkish Trade Association (DTW) and was previously managing director of the Turkish-German Chamber of Commerce and Industry for seven years. "Many fail because they do not spend money on professional advice and ask a Turkish acquaintance for advice instead," Bakir said. Gastronomy and clothing chain in particular have a high fluctuation rate, because it is particularly important in these segments to find and use the right location and a suitable marketing. "Anyone who thinks in Germany like a Turk and does not adapt its products to German consumer taste will not succeed on the long term," Bakir says. Because of the strained relations between the two countries, he advises against introducing a Turkish brand on the German market right now: "The German tourist, who is currently avoiding Turkey, will probably not buy from a Turkish company."
 
Deutsche Bogenn opens factory
Although only very few Turkish companies have invested in production facilities in Germany so far, Suat Bakir recognizes potential in this area. Turkish companies could adopt the positively occupied brand made in Germany, if they would manufacture in the country. The most recent example is the company Deutsche Bogenn, which opened a new plant for plastic pipes last year on Rügen. Behind the extra German sounding name the Turkish Dizayn Group is hided. From its new location, the company wants to produce pipes for various infrastructure projects with 100 employees and sell them worldwide.

Low investment volume
Turkey so far has played a minor role as an investor in Germany - despite the many bilateral relations. Turkish companies have invested just EUR 1.8 billion in the Federal Republic. According to Suat Bakir a key reason is the low level of internationalization of Turkish companies. Another obstacle are the visa restrictions for Turkish business people. The DTW estimates that so far 1,300 companies of Turkish origin have settled in Germany, one in three in North Rhine-Westphalia alone. That is a merit of a committed location marketing. Suat Bakir recommends that all federal states should exploit the interest of Turkish companies and promote their state more in Turkey. Mecklenburg-Vorpommern has already recorded a recent success with the establishment of Deutsche Bogenn on Rügen.

More information:
Retail Turkey
Source:

Sofia Hempel, Germany Trade & Invest www.gtai.de

INTERTEXTILE SHANGHAI HOME TEXTILES  SPRING (c) Messe Frankfurt (HK) Ltd.
03.04.2018

INTERTEXTILE SHANGHAI HOME TEXTILES SPRING: OCCASION FOR CONCRETE BUSINESS OUTCOMES AND BRAND BUILDING IN CHINA

  • Quality suppliers satisfied buyers with a wide range of sourcing needs
  • Fringe programme brought insights to fairgoers

The 2018 Spring Edition of Intertextile Shanghai Home Textiles concluded last week with positive business outcomes generated. Being held during the peak sourcing season for home textiles finished products in China, the three-day show attracted 12% more buyers than last year. A total of 20,870 visitors (2017: 18,596) from 68 countries and regions came to source a wide range of finished products including bedding, towelling and table & kitchen linen.

  • Quality suppliers satisfied buyers with a wide range of sourcing needs
  • Fringe programme brought insights to fairgoers

The 2018 Spring Edition of Intertextile Shanghai Home Textiles concluded last week with positive business outcomes generated. Being held during the peak sourcing season for home textiles finished products in China, the three-day show attracted 12% more buyers than last year. A total of 20,870 visitors (2017: 18,596) from 68 countries and regions came to source a wide range of finished products including bedding, towelling and table & kitchen linen. 232 exhibitors from 11 countries and regions (2017: 204, eight countries and regions) including well-known international brands such as Cotton Council International and Asahi Kasei as well as domestic big names like Ruyi, Sunvim and Yueda participated and praised the show as one of the most effective trade platforms at this time of the year for home textiles industry.

“Thanks to the revitalised market conditions in China and the increased number of buyers, our exhibitors have had a successful show. Not only did they receive onsite orders and make contact with new clients, but they also valued Intertextile Shanghai as a channel to build up their brand so as to expand their business network in China. Apart from the stronger Chinese market, another reason for the buyer increase this year was the large growth of the four concurrent fairs. This resulted in a more diverse buyer profile with increased demand from different textile industry sectors,” Ms Wendy Wen, Senior General Manager of Messe Frankfurt (HK) Ltd said.

Exhibitor opinions:

Mr Wang Si Qi, Representative of Fibers Sales Dept, Asahi Kasei Advance (Shanghai) Co., Ltd, Japan
“We came to the fair to gain exposure and to promote our brand. Since our products are rare in the market and are a perfect substitution for traditional materials, most of the buyers that visited our booth were interested. We succeeded in promoting our brand and letting more industry players know about it. We are really satisfied with the visitor number. People from different sectors with different products in different price ranges are all here. It does help increase our reputation in the industry.”

Ms Allisa Lau, Senior Manager, Chain Supply, Chain & Consumer Marketing, Cotton Council International, USA
“We are happy with the visitor number this year as we made contacts with a lot of manufacturers. Most of them are our target users. The fair has always been helpful for our Council as we can connect with existing clients and explore potential new customers at the same time.”

Mr Trevor Beuth, Managing Director, The Australian Alpaca Bedding Company Pty Ltd, Australia
“We exhibit in Intertextile Shanghai because I believe that it is the premier show in Asia at this time of the year, and it has a wide global reach too. We hope to establish our brand and reputation here at the fair and in China. Our products received very strong interest from Chinese buyers. Overall, we had a very busy show and we are satisfied. We have worked with some major Chinese companies and they came to see us again this edition, but nearly all of the visitors that have come to our booth this time are new to us.”
 
Mr Tetsuo Tosaki, Manager, Tamurakoma & Co., Ltd, Japan
“The reason we come here is that it’s the largest show in Asia at this time of the year, and the Intertextile brand is very famous in Japan. We met almost 100 customers every show day, including manufacturers, brand traders and wholesalers. This show helps us to know our customers better and expand our business in China. The Chinese market is developing rapidly in recent years, so attending this show is a good start for us and the result is beyond my expectation.”
 
Mr Sunwei, Marketing Manager, Shanghai Yueda Xiangyun Home Textile Co., Ltd, China
“Among our visitors, 80% are our existing clients who placed orders directly and the remaining ones are new clients who are interested to be our franchisees. It is surprising that we have received such a huge amount of orders in just two show days. Nearly 90% of our existing clients we met at the show placed orders, and we’ve met more than 10 potential franchisees. This is really a fruitful show as it helps us to connect with old customers and establish new business.”

Mr Gao Qi, District Manager, Sunvim Co., Ltd, China
“This edition we showcased towelling and bedding products especially designed for the 2018 spring season. Intertextile Shanghai is one of the most important platforms for us to launch new products for the year. On the one hand, many suppliers and brand buyers are looking for new items during this peak sourcing season. On the other hand, many quality buyers and decision makers are invited to the show. The visitor flow is high so we can both enhance our brand popularity and receive orders after the show.”

Quality suppliers satisfied buyers with a wide range of sourcing needs. While exhibitors were delighted about meeting new customers and receiving orders on the spot, international and domestic buyers also appreciated the wide range of products they discovered at the fair.
 
Buyer opinions:

Mr Anil Miglani, President, SawHill Intl Ltd (Toronto), Canada
“The show has always been a satisfying one as we can meet some interesting and potential suppliers every time. So far, we’ve found two to three exhibitors that we look forward to working with. As a Chinese fair, Intertextile Shanghai is highly recommended as the exhibitors, domestic ones in particular, are of good quality and friendly to foreign visitors. The product range on offer is getting wider and wider, so I come to this show every year to look for potential Chinese suppliers.”

Mr Abdelkrim Boussehra, Yiwu Mingyu Import & Export Co., Ltd, Morocco
“This is my first time attending this fair. I didn’t know any of the Chinese brands here beforehand, but I think the quality of their products is really good. I met two machine suppliers, TPET & Richpeace, and will place orders with one of them. I’ve been to several shows in China, and I think this one is an effective sourcing platform because I can find everything I want.”

Mr Paul Chen, Business Supervisor, Jiangsu Yueda Hometex R and D Co., Ltd, China
“Compared to the previous editions, there are more and more high level and innovative products. Big domestic brands like Mercury, Goldsun and Bermo are all here and we are interested to work with them. This is an excellent platform that facilitates our sourcing with these exhibitors all under one roof.”

Fringe programme brought insight to fairgoers
Apart from concrete business outcomes, the fair’s fringe programme, including the Intangible Cultural Heritage Zone and a series of forums, further enriched the three-day show. Fairgoers were fascinated by the presentation of unique and traditional textile production and processing techniques from Chinese ethnic minorities in the Heritage Zone. While the forums that discussed topics from consumption upgrade to the newest technology applications were another success as they provided extra opportunities for industry players to share their insights and learn the latest developments.

The next Intertextile Shanghai Home Textiles fair, the 2018 Autumn Edition, will be held from 27 – 30 August at the same venue. Intertextile Shanghai Home Textiles – Spring Edition is organised by Messe Frankfurt (HK) Ltd; the Sub-Council of Textile Industry, CCPIT; and the China Home Textile Association (CHTA). 

13.03.2018

CONVERSION OF THE CLOTHING INDUSTRY IN BANGLADESH NOT YET COMPLETED

  • Eports grow slowly
  • Industry needs new concepts

Dhaka (GTAI) - The garment industry is the main industry in Bangladesh. The state of the companies has improved since 2013 - when a building with several factories collapsed. Domestic and foreign companies have invested in new processes. Government and associations want to further increase the security. Exports are growing slower. The international competition forces the companies to produce not only more sustainable, but also more efficient and innovative.

On April 24th 2013, north of the Bangladeshi capital Dhaka, the Rana Plaza building collapsed, housing five clothing factories. The disaster claimed 1,138 lives and more injuries. The disaster in-cised deep into the country's largest industrial sector. The massive problems with building and safety as well as violations of workers' rights became internationally visible at once and then vigor-ously tackled.

  • Eports grow slowly
  • Industry needs new concepts

Dhaka (GTAI) - The garment industry is the main industry in Bangladesh. The state of the companies has improved since 2013 - when a building with several factories collapsed. Domestic and foreign companies have invested in new processes. Government and associations want to further increase the security. Exports are growing slower. The international competition forces the companies to produce not only more sustainable, but also more efficient and innovative.

On April 24th 2013, north of the Bangladeshi capital Dhaka, the Rana Plaza building collapsed, housing five clothing factories. The disaster claimed 1,138 lives and more injuries. The disaster in-cised deep into the country's largest industrial sector. The massive problems with building and safety as well as violations of workers' rights became internationally visible at once and then vigor-ously tackled.

Foreign companies have invested heavily in the textile and clothing industry in recent years, with a record high in the year after the disaster. According to the Central Bank, foreign direct investment (FDI) in the textile and clothing industry in June 2017 reached a respectable USD 2.6 billion. Com-panies from South Korea have been the largest contributors with USD 766 million, followed by Hong Kong investors with USD 448 million and the United Kingdom with USD 243 million

FDI inflows into the Bangladeshi textile and clothing industry (in USD millions.)
Financial year 2011/12 2012/13 2013/14 2014/15 2015/16 2016/17
FDI inflows, net 241 412 446 352 396 360

      *) Financial year from July 1st to June 30th

Several successful programs for more security
Government and international organizations responded with many measures and initiatives at Rana Plaza. The International Labor Organization (ILO) launched programs to improve work-ing conditions. Buyers and industry representatives were looking for solutions.

International traders, trade unions and non-governmental organi-zations finally signed a binding agreement for more fire and building safety in 2013 (Accord on Fire and Building Safety). Employees of Accord have since reviewed more than 1,600 tex-tile and garment factories. Approximately 86 percent of the iden-tified deficiencies were eliminated according to an interim report dated January 2018. Accord will expire in November 2018 after five years. Some participants of the alliance have agreed an ex-tension of the program of three years.

In particular North American importers launched the Alliance (Al-liance for Bangladesh Worker Safety) program in 2013. The Al-liance has since reviewed 666 factories that, as of February 2018, have remedied approximately 87 percent of the deficien-cies. The program will expire also after five years in May 2018.
Representatives of industry and government, trade unions, ILO, the Bangladesh Garment Manufacturers and Exporters Association (BGMEA) and international buyers want to co-ordinate the control and rehabilitation measures together. The BGMEA and the government rely on the NI National Initiative, which they developed together with ILO. The Department of Inspection of Factories and Establishments is responsible for NI controls. Under the NI program 1,500 factories have been inspected which are working for do-mestic customers. The program is to be extended to exporting companies and will replace Accord and Alliance.

Workers demand more rights and higher wages
The government made it easier to found and to engage in trade unions after the Rana Plaza disas-ter. According to observers, the approximately 4 million workers in the textile and clothing industry continue to have little formal organization and went repeatedly on strike for higher wages.

A government commission recently increased the monthly minimum wage in the garment industry from Taka 3,000 to 5,300 in 2013. This amount corresponds currently with EUR 52 only. (1 EU-RO = Taka 102.13, exchange rate of March 5th 2018). Trade unions demanded tripling of the minimum wage at the beginning of 2018, because unskilled workers are given this low pay when they are first employed, which is barely enough to survive. The reward grows only later with the skills and experience.

Employees often change their jobs. According to observers, the fluctuation should average be-tween 5 and 7 percent per month. Fair wages and good working conditions would give a good in-fluence on this issue in the companies concerned.

Bangladesh is the second largest exporter of clothing after China
The globally active clothing retailers are buying in Bangladesh on a large scale. Some have offices with hundreds of employees. Major clients include Inditex (Spain), H & M (Sweden), C & A and Tchibo (Germany).

Clothing exports, however, stagnated in the financial year 2016/17. One reason for the weak growth was the strengthened exchange rate. Taka's national currency increased against the US dollar, making exports more expensive and less competitive.

The government is targeting an export growth of 8.1 percent to USD 30.2 billion in 2017/18. The industry is on track indeed, reaching 7.8 percent in the second half of 2017 compared to the same period of the year before. The most important customers are the USA and Germany.

Bangladesh's Apparel Exports (in USD million) 2014/15 *) 2015/16 *) 2016/17 *)
Total     25,491 28,094   28,150
Thereof           
.Weaving goods             13,065 14,739 14,393
.Knitting goods  12,427  13,355 13,757
Customers        
.USA            5,288 5,625 5,204
.Germany  4,339 4,653 5,135
.Great Britain  2,904  3,524 3,307
.Spain        1,626 1,864 1,879
.France  1,618 1,714 1,765
.Italy       1,243 1,278  1,349
.Canada             929 998 946
.Netherlands  627  660 814
.Belgium   772 835 753
.Japan            653 774  744
Poland         548  616 720

*) Financial year from July 1st to June 30th
Sources: Export Promotion Bureau, Bangladesh Garment Manufacturers and Exporters Association

Exports from this emerging country enjoy exemption from duty in many developed countries. The European Union grants duty-free and quota-free access. Australia and Japan grant preferential access to the Generalized Scheme of Preferences (GSP). , The USA however has suspended the GSP status in 2013 and imposed tariffs and duties on imports from Bangladesh.

Companies want to grow and become more efficient
The Association of Garment Export Companies BGMEA estimates that over 3,000 garment factories work exclusively for international clients. Another 800 to 1,000 companies sew for local retailers who sell clothing to the country's 160 million inhabitants.

There are no data on company sizes or on the companies with the highest turnover. Clothing companies are mostly registered as private companies and do not publish business figures. The larger ones belong to local conglomerates operating in different economic sectors.

The companies are investing in more modern production facilities to process larger orders faster and at lower unit costs. Imports of machinery and equipment for the textile and clothing industry totaled USD 1.4 billion in 2015. The BGMEA believes that the garment industry has increased its purchases of equipment since.

The added value along the local textile chain is expandable. Simple fabrics and materials are produced locally. The production capacities for fabrics however are not sufficient and need to be increased. The clothing industry is also switching to higher quality synthetic fiber products. Producers hope for higher margins, if, for example, they produce clothing made of elastic fibers or functional clothing made from mixed fibers.

Many pre-products are imported from China and South Korea. Imports however are difficult due to the limited handling capacities of seaports and airports. Logistics costs are high. The clothing sector still has some challenges to overcome.

 

 Bangladesh Garment Manufacturers and Exporters Association

http://www.bgmea.com.bd
Vereinigung der Bekleidungsexportfirmen
Bangladesh Textile Mills Association http://www.btmadhaka.com
Accord on Fire and Building Safety in Bangladesh   http://bangladeshaccord.org  
Alliance for Bangladesh Worker Safety  http://www.bangladeshworkersafety.org

 

 

 

Source:

Thomas Hundt, Germany Trade & Invest www.gtai.de

06.03.2018

POLES BUY MORE ARTICLES FOR THEIR CHILDREN

  • Child benefit fills household budgets
  • Half of spending is on clothing

Demand for children's needs in Poland is expected to increase by 4% to 5% annually in the medium term. The child benefit introduced in 2016 and the good economy are boosting spending on the offspring. Clothing, including shoes, gets the biggest part. There is also a considerable domestic production of hygiene and personal care products as well as food. There is an increasing emphasis on organic products, which also opens up supplier opportunities for German suppliers.

  • Child benefit fills household budgets
  • Half of spending is on clothing

Demand for children's needs in Poland is expected to increase by 4% to 5% annually in the medium term. The child benefit introduced in 2016 and the good economy are boosting spending on the offspring. Clothing, including shoes, gets the biggest part. There is also a considerable domestic production of hygiene and personal care products as well as food. There is an increasing emphasis on organic products, which also opens up supplier opportunities for German suppliers.

Demand for basic children's items, such as clothing, toys, personal care and food, is expected to increase by 4% to 5% annually in Poland in the medium term. This accelerates growth over the period 2011-2015, as the market research firm PMR (http://www.pmrpublications.com) expects in its market analysis on children's products 2015 and forecast 2015-2020. In 2015, such articles were sold for PLN 9.4 billion (about EUR 2.2 billion, EUR 1 = 4,1841, average price in 2015) compared to EUR 8.5 billion in 2011.
 
The economic recovery and falling unemployment increase the general propensity to consume. This is additionally stimulated by the child allowance paid since spring 2016, which gives households more than ZI 20 billion annually; in 2017 alone some ZI 23 billion.
So the number of births rose again after years of decline in 2016. 382,500 were born in Poland, around 13,000 more than in 2015. Nevertheless, the birth rate, the number of births per woman be-tween the ages of 15 and 49, is just over 1.3 children per woman only. A sufficient quota for main-taining the population was found last time in 1991.

Birth rate in Poland (number of births per woman between the ages of 15 and 49)

1999 2010 2011 2012 2013 2014 2015
2.07    1.41 1.33 1.33 1.29 1.32 1.32

Source: Eurostat

By the end of February 2017, more than 3.82 million children up to the age of 18 years were covered by the child benefit program, which re-ceive ZI 500 per month. As a result, more than 2.57 million families have received a total of nearly ZI 21 billion in state resources by that time. Nationwide 55% of all children under the age of 18 years benefit from the program. In the countryside, this percentage reaches as much as 63%, compared with only 49% in cities. Single kids of well-situated families are not included.    

Largest demand potential in Mazovia
Most of the beneficiary children live in the capital region, the Mazowieckie voivodship (Mazovia, al-most 554,000), followed by Slaskie (Upper Silesia, 383,800) and Wielkopolskie (Greater Poland, 379,600). In Pomorskie (Pommern) 25,860 children were born in 2016, so that 11.2 babies were born per 1,000 inhabitants. This was the highest proportion nationwide closely followed by Ma-zowieckie (11.1) and Wielkopolskie (11.0).
However, spending on the next generation is not only geared to the number of children, but the individual children are given more gifts or receive additional or higherquality clothing and others. Natu-ral and ecological products have a high priority, which can also benefit German suppliers.
 
In addition to namedays, birthdays, Christmas and Easter, the day of the child on June 1st of each year, is an important occasion for gifts. According to a survey by the price comparison portal Ceneo (http://www.ceneo.pl), 35.0% of those who were surveyed have planned for the June 1st 2017 from ZI 101 to 300 and 31.4% from ZI 51 to 100. Each half of the rest looked approximately each half to higher or lower expenses.
Industry experts estimate the annual sales of toys at about ZI1 billion. The strongest positions here have international companies such as Lego, Hasbro and Mattel. But, also domestic manufacturers such as Cobi S.A. (http://www.cobi.pl) and Trefl S.A. (http://www.trefl.com) benefit from the growing demand.
Cobi produces building blocks and imports and sells a wide range of other toys. The predominant products of Trefl are board games and puzzles that are being also heavily exported. Anna Skorzynska was able to place her stuffed animals, which create a sleep sound, successfully on the market. (http://szumisie.pl). Other manufacturers are Wader (http://www.wader-zabawki.pl), Hemar (http://hemar.com.pl) and St. Majewski (http://www.st-majewski.pl).

Robust eco-fashion on the rise
For children's clothing, the importance of locally sewn items is increasing. Popular brands include "Ekoubranka" (http://www.ekoubranka.pl, durable and ecological clothing) and "Pampicio" (http://www.pampicio.pl) from Sieradz.
While such smaller brands are mainly sold online, large ones such as "5-10-15" (http://www.51015kids.eu) of Komex S.A. also offered in its own chain of over 220 conventional stores.
Other children's clothing retailers include Coccodrillo (http://www.coccodrillo.eu) with 187 stores and Wojcik Fashion (https://wojcikfashion.com). The big children's toy chain Smyk (Bengel, http://www.smyk.com) also sells clothing, including its own brands "Cool Club" and "Smiki". Apparel and footwear account for the largest share of spending for children, which, according to PMR, to-taled almost ZI 5 billion, including apparel estimated at ZI 3,517 billion and shoes at Zl 1,419 billion in 2016.

The sales of food for babies and children is estimated at around ZI 1 billion per annum. Here, the market research firm PLM expects higher increases in the future than for food in total. Leading here are the French group Danone and the Swiss Nestle Group. The at Danone Nutricia Zaklady Produkcyjne (http://www.nutricia.com.pl) belonging company has large factories in Opole and Krotoszyn.
Among others Nestle produces in Kalisz (Kalisch) and in Rzeszow the brands "Nestle Nutrition" and "Gerber". Major domestic manufacturers include Geo-Poland (https://geo-poland.com/pl), Helpa (http://www.helpa.pl), Maspex (https://maspex.com, juices and the like), Wosana (http://www.wosana.pl, fruit juices) and Dary Natury (http://www.darynatury.pl, tea).

Source:

Beatrice Repetzki, Germany Trade & Invest

Schlussbericht Ambiente Foto: Messe Frankfurt GmbH/Pietro Sutera
27.02.2018

Rekord auf der Besucherseite

  • Einkäufer aus 168 Ländern machen die Ambiente 2018 zur internationalsten aller Zeiten

Mit bester Stimmung geht nach fünf energiegeladenen Tagen die Weltleitmesse der Konsumgüterindustrie heute zu Ende. Fachbesucher aus mehr Ländern als je zuvor vernetzten sich, orderten für ihre Geschäfte die neuesten Produkte aus der ganzen Welt und holten sich Impulse für eine digitale Zukunft.

  • Einkäufer aus 168 Ländern machen die Ambiente 2018 zur internationalsten aller Zeiten

Mit bester Stimmung geht nach fünf energiegeladenen Tagen die Weltleitmesse der Konsumgüterindustrie heute zu Ende. Fachbesucher aus mehr Ländern als je zuvor vernetzten sich, orderten für ihre Geschäfte die neuesten Produkte aus der ganzen Welt und holten sich Impulse für eine digitale Zukunft.

Auf einer Fläche von 308.000 Bruttoquadratmetern [1] präsentierten 4.441 Aussteller aus 89 Ländern [2] die Trends des kommenden Geschäftsjahres. 81 Prozent [3] aller Aussteller kamen aus dem Ausland und machten die Ambiente zur internationalsten Konsumgütermesse aller Zeiten. Internationale Topentscheider aller Handelsformen waren um sechs Prozent stärker vertreten als vor einem Jahr und stellen damit erstmals 60 Prozent der Besucher. Das sorgte für gute Exportgeschäfte und beste Stimmung in den Hallen. Insgesamt 134.600 Einkäufer aus 168 Ländern [4] besuchten die Ambiente in Frankfurt am Main. Bedingt durch zum einen den Veränderungen in der deutschen Handelslandschaft als auch zum anderen der Parallelität mit Karneval und der Überlappung mit der Feriensaison in den südlichen Bundesländern, die sich aus dem internationalen Messekalender ergab, kamen erwartungsgemäß weniger Besucher aus Deutschland nach Frankfurt.

„Konsum ist in! Auf der Ambiente ist die ganze Welt zu Gast. Hier werden im Februar für die internationale Konsumgüterindustrie die Weichen für das ganze Jahr gestellt. Das belegen eindrucksvoll das Orderverhalten und die Qualität der deutschen und internationalen Einkäufer“, so Detlef Braun, Geschäftsführer der Messe Frankfurt GmbH. Auch Thomas Grothkopp, Hauptgeschäftsführer Handelsverband Wohnen und Büro e.V. (HWB) zieht ein positives Resümee: „Die Messe Ambiente hat wieder gezeigt: Der persönliche Kontakt mit bekannten und neuen Lieferanten und ihren Neuheiten ist durch nichts zu ersetzen. Die Messe in Frankfurt hat die Erwartungen des Fachhandels voll erfüllt!“

Die Top-Ten-Besuchernationen nach Deutschland waren Italien, China, Frankreich, USA, Großbritannien, Niederlande, Spanien, Türkei, Korea und die Schweiz. Bei den Besuchern blieben die Zufriedenheitswerte mit 96 Prozent stabil auf höchstem Niveau. Überproportionale Besucherzuwächse gab es aus China und Korea, Russland, den nordafrikanischen Ländern, Südafrika und ganz Südamerika, der Türkei sowie dem Libanon und Zypern.

Ausstellerstimmen

Trotz leicht geringerer Besucherzahlen stimmten auf der Ambiente Besucherqualität und -frequenz. Darin waren sich die Aussteller der Messe einig.

Dining

Birgit Dubberke, Bereichsleiterin Marketing, BHS Tabletop:

„Die Ambiente ist für uns hinsichtlich ihrer Internationalität immer wieder beeindruckend. Nicht nur bezogen auf die Aussteller, auch in Hinblick auf die Besucher. Sie ist der Treffpunkt der Branche. Hier erhält man wertvolle Kontakte zu Ländern, in die man sonst nicht kommen würde. In meinen Augen ist der HoReCa-Markt im Aufwind. Die Gäste sind andere, sie möchten sich emotionaler und als Privatmenschen angesprochen fühlen und das spiegelt sich in den Restaurants und Hotels sowie in den Speisen. Und das zeigt sich auch auf der Ambiente. Die Nachfrage ist da.“

Maren Lehmann, Director Internal Sales, Staatliche Porzellan-Manufaktur Meissen:
„Die Ambiente 2018 lief sehr gut für uns, wir haben unsere Ziele erreichen können und deshalb sind wir zufrieden. Meissen hat sich neu aufgestellt, wir wollten zeigen, dass wir viel mehr können als nur Tradition, und das ist uns geglückt. Die Messe hat dafür eine sehr gute Bühne geboten. Auch die Organisation war super.“

Living

Alexander Haas, Vertriebsleiter, Scholtissek:

„Ob Architekten, Hotellerie oder Gastro – auf die Ambiente kommen die B2B-Besucher, die wir ansprechen möchten. Auch in diesem Jahr lief Contract Business wieder prima: Sowohl die Besucherqualität als auch die Frequenz hat gestimmt. Wir haben unsere Umsatzziele erreicht und sind zufrieden.“

Michael Rossmann, Geschäftsführer, PAD Home:
„Die Ambiente bietet ein internationales Publikum und einen sehr guten Standort. Wir bieten gute Stimmung auf dem Stand, schöne Produkte und engagierte Mitarbeiter. Deshalb lief es bei uns auf der Ambiente 2018 hervorragend. Was die Internationalität der Messe betrifft, war sie in diesem Jahr noch besser aufgestellt: Wir hatten ungewöhnlich viele Italiener am Stand und auch Argentinier und Südamerikaner und das ist ein Novum.“

Giving

Rebecca Staton, Sales Managerin Frankreich & Deutschland, Jellycat:

„Die Messe lief für uns ziemlich gut. Das war schon letztes Jahr der Fall, wir sind daher zufrieden. Zwar wird viel geguckt, doch es wird auch gut geordert. Die Besucherqualität stimmt und auch die Internationalität. Frankreich war dabei, viel Deutschland, Luxemburg, die Schweiz und ein paar asiatische Länder. Auch die Anzahl der Neukunden, die wir gewinnen konnten, entsprach unseren Vorstellungen.“

Ralf Vogt, Eigentümer, Noi:

„Wir sind mit dem Ergebnis zufrieden. Die Ambiente lief gut für uns, unsere Kollektion kam sehr gut an und ist generell gefragt. Auch über die Orderbereitschaft und die Besucherqualität kann ich nicht klagen: Wer auf die Ambiente kommt, hat Orderbefugnis.“

Vaarwel Niederlande, Namaskar Indien!

Die Weltleitmesse stand 2018 ganz im Zeichen von Oranje. Die traditionelle Partnerlandpräsentation wurde vom niederländischen Industriedesigner Robert Bronwasser inszeniert. DO DUTCH setzte Konsumgüter des Königreichs in einen neuen überraschenden Kontext. Am Partnerlandtag gab es darüber hinaus zahlreiche Aktionen und Events unter niederländischer Federführung. Als Ehrengast der Ambiente stand gestern Sylvie Meis im Zentrum aller Aufmerksamkeit. Die bekannte TV-Moderatorin und Unternehmerin, die selbst gebürtig aus dem Königreich stammt, entdeckte auf einer Tour durch die Messehallen modernes Design aus den Niederlanden und Deutschland. Im nächsten Jahr findet die Ambiente vom 8. bis 12. Februar 2019 ganz im Zeichen des Subkontinents statt.

 

[1] FKM-zertifiziert, 2017: 308.000 Bruttoquadratmeter

[2] FKM-zertifiziert, 2017: 4.460 Aussteller aus 94 Ländern

[3] 2017: 80 Prozent

[4] FKM-zertifiziert, 2017: 140.963 aus 153 Ländern

Ambiente 2018 Photo: Messe Frankfurt GmbH/Pietro Sutera
24.02.2018

Record number of visitors – Buyers from 168 countries make Ambiente 2018 the most international ever

After five action-packed days the world’s leading trade fair of the consumer goods industry finished in an upbeat mood today. Trade visitors from more countries than ever before spent their time networking and ordering the latest products from all over the world for their companies. They also obtained worthwhile stimuli for a digital future.

After five action-packed days the world’s leading trade fair of the consumer goods industry finished in an upbeat mood today. Trade visitors from more countries than ever before spent their time networking and ordering the latest products from all over the world for their companies. They also obtained worthwhile stimuli for a digital future.

Occupying an exhibition space of 308,000 square metres (gross), [1] 4,441 exhibitors from 89 countries [2] revealed the trends of this coming business year. 81 per cent [3] of all exhibitors came from outside Germany, making Ambiente the most international consumer goods trade fair of all times. The proportion of senior international decision-makers across all trade sectors had gone up by six per cent compared with last year, making up 60 per cent of visitors. It was the highest share ever recorded. This led to good export transactions and an excellent mood in the halls. In total, 134,600 buyers from 168 countries [4] visited Frankfurt am Main to attend Ambiente. As expected, there were fewer German visitors in Frankfurt. This was partly due to changes in the German retail landscape, and partly because the event coincided with Carnival as well as school holidays in Germany’s southern states, while being dependent on the international trade fair calendar.

“Consumerism is fashionable! Ambiente hosts the entire world. Every February, the international consumer goods industry receives direction here for the entire year. This is impressively borne out by the number of orders and the quality of German and international buyers,” says Detlef Braun, Member of the Executive Board of Messe Frankfurt GmbH. A similarly positive conclusion is reached by Thomas Grothkopp, Managing Director of the German Trade Association for Residential Accommodation and Offices (HWB): “Ambiente has shown us once again that nothing can replace personal contact with new and existing suppliers and their innovative products. This trade fair in Frankfurt has totally met the expectations of the retail trade.”
The top ten visitor nations after Germany were Italy, China, France, the United States, the UK, the Netherlands, Spain, Turkey, Korea and Switzerland. Satisfaction ratings among visitors remained stable at an extremely high level of 96 per cent. Above-average growth in visitors’ numbers was recorded from China, Korea, Russia, the North African countries, South Africa, all of South America, Turkey, Lebanon and Cyprus.

Exhibitors’ voices

Despite a slight dip in Ambiente’s visitor numbers, the quality and number of visitors were just right. On this point all exhibitors at Ambiente were unanimous.

Dining

Birgit Dubberke, Marketing Director at BHS Tabletop, says:
“We keep being impressed by the internationalism of Ambiente – not just in terms of exhibitors, but also visitors. It’s the meeting point of the industry. It’s a place for making valuable contacts with countries we’d normally never get to. As I see it, the HoReCa market is very much up and coming. The visitors are different, requiring a more emotive appeal – as private individuals – and this is reflected in the restaurants, hotels and the food. And we can also see it at Ambiente. The demand is there.“
Maren Lehmann, Director of Internal Sales at the porcelain company Staatliche Porzellan-Manufaktur Meissen, says:
“Ambiente 2018 went very well for us. We reached our targets, and so we can be pleased with the results. Meissen presented itself in a new way. We wanted to show that we can do far more than be traditional – and we’ve succeeded. The trade fair provided us with an excellent platform. And the organisation was first class, too.”

Living

Alexander Haas, Sales Manager at Scholtissek, says:
“Whether it’s architects, hotels or restaurants and cafés, Ambiente attracts the B2B visitors we want to appeal to. Contract business went extremely well again this year: Both the quality and the number of visitors were just right. We achieved our sales targets, and we are pleased.”
Michael Rossmann, Managing Director at PAD Home, says:
“Ambiente has an international audience and a very good venue. Our stand had a great atmosphere, lovely products and committed staff. This is why things went so amazingly well for us at Ambiente 2018. When it comes to internationalism, then the trade fair was in an even better position this year: Our stand was visited by an unusual number of Italians, as well as Argentinians and other South Americans, which was quite new to us.”

Giving

Rebecca Staton, Sales Manager for France and Germany at Jellycat, says:
“The trade fair went pretty well for us. This was already the case last year, and so we are very pleased. Although there were lots of people just having a look, we also received a good number of orders. The quality of visitors was good, and so was the level of internationalism. France was there, lots of visitors from Germany, Luxembourg and Switzerland, and a few Asian countries. Another figure that met our expectations was the number of new customers we gained.”
Ralf Vogt, owner of Noi:
“We are pleased with the result. Ambiente went well for us, our collection was well received, and there is a general demand for it. Also, I can’t complain about the quality of visitors or their willingness to place orders: those who come to Ambiente are also authorised to place orders.”

Vaarwel Netherlands, Namaskar India!

The world’s leading trade fair ran very much under the Dutch banner in 2018. The traditional partner country presentation had been staged by the Dutch industrial designer Robert Bronwasser. DO DUTCH put consumer goods from the Netherlands into a new and unusual context. Also, numerous activities and events were held on the partner country day – all masterminded by Dutch organisers. The guest of honour attracting everyone’s attention at Ambiente yesterday was Sylvie Meis. The well-known TV presenter and entrepreneur, who is also from the Netherlands, went on a tour round the exhibition halls exploring modern design from the Netherlands and Germany. Next year’s Ambiente will be held from 8 to 12 February 2019 and will be focused very much on the Indian subcontinent.

06.02.2018

POLES ARE INCREASINGLY BUYING CLOTHING ONLINE

  • Retail consolidates 
  • Market leader LPP continues to expand

Apparel and footwear sales in Poland are rising by around 5 percent annually. An increasing proportion of sales is generated online. The German discounter chain KiK is spreading successfully. There are market niches for high-quality fashion from Germany. The leading domestic retail chain LPP is expanding at home and abroad. It not only invests in new designs but also in the online segment. The retail structure is becoming firmer.

The Polish retail trade in clothing and footwear is consolidating. The number of stores drops by about 1,000 a year. The main reason, according to the daily Rzeczpospolita, is the growing online trade. For large retail chains, active in both local and virtual trading, this trend is not negative: they are even opening up more traditional sales stores and increasing their sales.

  • Retail consolidates 
  • Market leader LPP continues to expand

Apparel and footwear sales in Poland are rising by around 5 percent annually. An increasing proportion of sales is generated online. The German discounter chain KiK is spreading successfully. There are market niches for high-quality fashion from Germany. The leading domestic retail chain LPP is expanding at home and abroad. It not only invests in new designs but also in the online segment. The retail structure is becoming firmer.

The Polish retail trade in clothing and footwear is consolidating. The number of stores drops by about 1,000 a year. The main reason, according to the daily Rzeczpospolita, is the growing online trade. For large retail chains, active in both local and virtual trading, this trend is not negative: they are even opening up more traditional sales stores and increasing their sales.

Sales of clothing and footwear in Poland (EUR billion)
2013 2014 2015 2016 2018 *)
6.9 7.4 7.7 7.8 8.4

*) Estimation

Source: Market research Company PMR

Small businesses do not have these options. They have difficulties to survive in the tough price competition and are in part pushed out of the market. Additional competition is coming d from discount and hypermarkets that are further broadening their apparel range. These include not only large grocery chains such as Biedronka, Tesco and Lidl, but also the specialized textile discounters Pepco with almost 780 and KiK with over 200 clothing stores. They are also pursuing further expansion plans.

Number of shops for clothing and shoes
2016 2017 2018 *)
39,000 38,000 37,000

*Forecast

Source: Euromonitor International

According to a report by the market research firm Gemius apparel and accessories form the product group that Internet users most frequently order on the net,. By contrast shoes occupy only the seventh place. In Poland, however, only a few percent of the sales of clothing account for the Internet. The growth potential therefor is still considerable. Large companies could double their online sales annually.

Online purchases of individual product groups by Internet users 2017
Product group Entries in %
Clothing, accessoires 72
Book, CD 68
Small electronic devices 56
House, audio-, video equipment 55
Cinema and theatre tickets 54
Cosmetics, parfumes 51
Shoes 49
Computer and similar devices 48
Sportswear 46

Source: Gemius

So far, auction platforms have played the biggest role in online apparel purchases, according to Instytut Badan Rynkowych i Spolecznych (IBRiS, Institute for Market and Society Research) in a survey of Internet users for Rzeczpospolita..

Proportion of online procurement sources of clothing in Poland (in %)
Auction platforms Brand stores Stores with many brands Others
39.2 38.2 13.7 8.9

Source: IBRiS

LPP opens 50 sales salons

Notwithstanding the e-commerce boom, the leading retailer LPP, which includes the brands Reserved, Mohito, Cropp, Sinsay and House is continuing to expand its retail space. This contains already a total of just over 1 million square meters. By mid-2017, LPP owned 1,710 stores in just under 20 countries. In September, the company from Gdansk opened the first Reserved boutique in the United Kingdom on London's Oxford Street. LPP revenue increased on a zloty basis in by 17% in 2017 to almost EUR 1.7 billion.

LPP wants to expand further in 2018, according to its Deputy Chairman Przemyslaw Lutkiewicz. The chain plans to open around 50 new sales stores at home and abroad. New markets are to be developed: Kazakhstan, Israel and Slovenia. In the future, LPP wants also to be represented with its most important brand Reserved in Paris and Milan. In addition to an internet shop since mid-2017, the company already operates 19 sales salons in Germany.

LPP is constantly bringing new products to market. According to its chairman, Marek Piechocki, the company aims to have 2,000 people working on its research and development (R & D) projects by the end of 2018. That would be a number of 800 specialists more than in autumn of 2017. The research and development budget should be increased to EUR 48 million and will be used especially for the design of new clothes.

So far, 810 fashion designers have been designing around 40,000 garments annually for LPP. The shops are staffed by 40 architects and coordinators. About 250 programmers introduce new technologies, especially in the field of e-commerce. LPP wants to triple the number of IT experts in a medium term. In fall of 2017 the share of online sales of LPP brands was 4 percent. It should even double by 2020.

Premium brands are increasing

The Spanish company Inditex with its brands Zara, Oysho and Pull & Bear is not missing in any shopping center in Poland. It should therefore continue to expand there as well. The Swedish H & M is developing not only its online business but its retail business as well and will open a new store in Tychy in March 2018.
In view of the increasing employment rate and the purchasing power of the Poles, the sales opportunities for high-quality clothing from Germany are also rising. Among other things the potential can be seen in the domestic Grupa Vistula, which increased the Polish retail space of its elegant brands Vistula, Wolczanka, Deni Cler and W.Kruk in 2017 by 9 percent to almost 33,500 square meters. Additional space is added on a franchise basis. The men's outfit Bytom, whose merger with Vistula persist in persistent rumors, is expanding its trading base.

Footwear company CCC is growing abroad

The Polish shoe group CCC, consisting of the largest domestic shoe manufacturer and the operator of the CCC retail chain, generated revenues of more than EUR 984 million in 2017. This was around EUR 235 million more than in 2016. The stationary CCC stores earned EUR 796 million (+24 percent on a zloty basis).
The group wants to expand accordingly. Among others seven stores should be opened or expanded in Austria in 2018 while three new branches will be set up in Croatia and Slovenia. CCC operates more than 900 shoe stores in 16 countries, including 77 in Germany and 45 in Austria.
In September 2017, CCC secured EUR 127 million from investors for the expansion of its online activities through the issue of new shares at the Warsaw Stock Exchange. In some markets, such as Greece, CCC is exclusively virtual on a customer hunt. In Poland e-commerce is also picking up its speed: the online business of the eObuwie.pl group increased its revenue in 2017 by 111.5 percent over the previous year to more than EUR 142 million.

30.01.2018

TEXTILE AND CLOTHING MANUFACTURERS INVEST IN EGYPT

  • Chinese companies are planning several major projects
  • Germany is supplying more textile and clothing machinery

Several Egyptian and Chinese companies have announced some heavy manufacturing investments in textiles and clothing. The government is committed to creating new production priorities for textiles and wants to increase added value. Labor-intensive industries benefit from the low value of the Egyptian pound for their exports. For textile and clothing machinery, Germany achieved a delivery share of around 20 percent in 2016. In the Egyptian textile and clothing industry, the signs point to expansion and modernization. Local media reported on a series of investment plans by Chinese and Egyptian companies. According to the newspaper Al Gomhouria, a Chinese producer is planning the world's largest textile factory for USD 6 billion in the economic zone on the Suez Canal.

  • Chinese companies are planning several major projects
  • Germany is supplying more textile and clothing machinery

Several Egyptian and Chinese companies have announced some heavy manufacturing investments in textiles and clothing. The government is committed to creating new production priorities for textiles and wants to increase added value. Labor-intensive industries benefit from the low value of the Egyptian pound for their exports. For textile and clothing machinery, Germany achieved a delivery share of around 20 percent in 2016. In the Egyptian textile and clothing industry, the signs point to expansion and modernization. Local media reported on a series of investment plans by Chinese and Egyptian companies. According to the newspaper Al Gomhouria, a Chinese producer is planning the world's largest textile factory for USD 6 billion in the economic zone on the Suez Canal. The Chinese companies TIDA and Shoon Dong Roy want to build a clothing factory for USD 800 million. Sino-Egypt Minkai plans to build a textile industry complex for around USD 750 million. The local paper and stationery manufacturer Mintra plans to start the production of sports shoes with an initial investment of USD 50 million. Manufacturing in the 10th of Ramadan City is scheduled to begin in mid-2018, serving both the domestic and overseas markets. Egypt is still importing about 85 percent of the shoes sold in the country.
Oriental Weavers plans to purchase new production lines, machinery and equipment in 2018. For this purpose, EUR 6 million are to be invested. According to the newspaper Al Shorouk, the expansion will be financed by a bank loan.

State relies on new textile cities and more value added
The Egyptian state also wants to strengthen textile and clothing production. The Ministry of Investment and International Cooperation, the Supreme Council for Textile Industries and an unnamed Chinese partner want to set up a free zone for textile production in Minya. The ministry plans to provide part of the funding through international institutions and create specialized training programs for workers. According to media reports, the project value should be at USD 324 million.

In early 2017 the Egyptian Ministry of Industry announced that it would set up new textile production centers at a total of ten locations. In particular, spinning mills and weaving mills are in the spotlight. This perspective is shared by the Ministry of the Public Sector. It is aimed primarily at increasing value adding and therefore carried out a study in 2017.

Import demand for textile and clothing machinery is expected to increase
Egyptian textile and clothing companies often produce with a lot of manual work and partly outdated machines. On the one hand, the government is keen to ensure that as many jobs as possible are created for the approximately 800,000 young people who enter the market each year. On the other hand, a more automated and modern production of textiles and clothing would enable more complex products. These could be sold at a higher profit, but may also require less human labor.

An Indian company has secured a contract to modernize cotton processing. In compliance with a framework agreement with the Cotton and Textile Industries Holding, Bajaj Clothing automates cotton ginning systems. A total of eleven companies in different parts of the country will be equipped with the new machinery until August 2018. In late December 2017, Egypt Today announced that the government wants to modernize the spinning and weaving mills in Northern Egypt. The investment volume will amount to a total of one billion Euro over a period of five years.

The newly announced projects are expected to increase the demand of import machinery in the near future. Like other types of equipment, the vast majority of textile and clothing machinery will be imported into Egypt. Deliveries from Germany were able to improve both in absolute terms and relatively in 2016, despite an overall shrinking of the volume of imports. The German supply share jumped from 15.8 to 20.4 percent compared to 2015.

Import of textile and clothing machinery into Egypt (in USD  1,000)
HS Category 2015 thereof from Germany 2016 thereof from Germany
8444 1,135 0 4,481 2,025
8445 34,550 10,653 26,105 5,429
8446 18,902 984 23,591 13,346
8447 26,040 5,940 15,713 3,052
8448 23,39 5,158 20,574 3,365
8449 440 0 299 0
8451 34,796 3,335 36,512 2,334
8452 30,456 1,264 23,186 1,698
8453 3,087 5 3,678 137
Summe 173,145 27,339 154,139 31,386

Source: UN Comtrade

The consequences of the release of the Egyptian pound in November 2016 will mainly benefit labor-intensive industries and those that are processing mainly local raw materials. After October 2016, the value of the EURO soared from just under 9 to 21 Egyptian pounds and has stabilized at this level. According to various figures the textile and clothing companies in the country employs between 1.0 and 1.2 million workers. It is reported that state-owned enterprises are strongly represented in the textile sector, while the private sector plays a greater role in the clothing sector.

The advantage is dampened by the import requirements for cotton. In Egypt, especially soft and high-quality long-staple cotton is grown and exported. By contrast, domestic textile and clothing companies mainly use short-staple cotton from abroad as a raw material. Their import as become more expensive due to the currency developments. Nevertheless the competitiveness of Egypt's textile and clothing exporters has improved as a result of the new foreign exchange situation. Their exports should have developed better in 2017 than at the peak of the currency liquidity crisis in the previous year. At that time, exports fell by12.6 percent to around USD 1.7 billion.

Egyptian exports of textiles and clothing
(Selection, in USD millions, Change in %)
HS Category 2015 2016 Change 2016/2015
57 339.8 303.5 -10.7
60 2.0 35.7 1,685.0
61 483.6 388.0 -19.9
62 870.4 756.6 -13.1
63 262.2 227.2 -13.3
Summe 1,958.0 1,711.0 -12.6

Source: UN Comtrade

Increasing labor costs at Asian production sites, long transport routes and sometimes dissatisfaction with the product quality make some customers look for new sources of supply for textile and clothing products. According to a report by the news portal Middle East Eye, Egypt lies at least with USD 100 as a monthly salary for workers roughly equivalent on a level with India or Bangladesh and about half of Chinese salaries. In addition, the country at the Suez Canal is capable of fast deliveries to Europe and the United States. Regional competitors include Turkey and Tunisia. Egyptian manufacturers are not always recognizable as such, as they often manufacture for major international brands. Middle East Eye names Calvin Klein, Decathlon, Tommy Hilfiger and Zara as examples. In November 2017, Dice Sport and Casual Wear agreed to supply Levi Strauss & Co. with children's clothing.

Since 2017, Egypt became part of the Better Work Program of the International Labor Organization. The program includes 30 apparel factories in which the working conditions should be improved. Such confirmations could then give Egyptian products competitive advantages in export. However, to stand up to the tough international price warfare and at the same time to meet by the customers expected production standards will be a challenge.

DOMOTEX 2018 (c) Deutsche Messe
23.01.2018

GLOBAL FLOOR COVERINGS INDUSTRY ENTHUSIASTICALLY EMBRACES NEW DOMOTEX

  • Record-breaking event in terms of exhibitor turnout and booked space
  • Strong visitor turnout a clear signal that new concept is right on target
  • New “Framing Trends” showcase a big hit among exhibitors and visitors alike

DOMOTEX 2018 featured a fresher, more modern, trendier look and feel than ever. Running from 12 to 15 January in Hannover, Germany, the event sported an all-new site and hall layout, plus a new Friday-to-Monday run and an array of immersive displays exploring the lead theme of UNIQUE YOUNIVERSE. This all added up to optimal visitor orientation and a fresh take on the world of floor coverings. As the world’s leading trade fair for carpets and floor coverings, DOMOTEX once again delivered top performance as a driver of new business, trends and innovations.

  • Record-breaking event in terms of exhibitor turnout and booked space
  • Strong visitor turnout a clear signal that new concept is right on target
  • New “Framing Trends” showcase a big hit among exhibitors and visitors alike

DOMOTEX 2018 featured a fresher, more modern, trendier look and feel than ever. Running from 12 to 15 January in Hannover, Germany, the event sported an all-new site and hall layout, plus a new Friday-to-Monday run and an array of immersive displays exploring the lead theme of UNIQUE YOUNIVERSE. This all added up to optimal visitor orientation and a fresh take on the world of floor coverings. As the world’s leading trade fair for carpets and floor coverings, DOMOTEX once again delivered top performance as a driver of new business, trends and innovations. 1,615 exhibitors and 45,000 trade visitors from over 100 nations traveled to Hannover to kick off an exciting year of business. The new DOMOTEX was enthusiastically received by the global floor coverings industry, which sported a record number of exhibitors and a record amount of booked space (106,000 square meters), thus underscoring a tangible turnaround in the floor coverings industry. “Significant growth in the number of participating exhibitors and the amount of booked space, a strong visitor turnout, an abundance of new products and innovations as well as an upbeat mood throughout the exhibition halls all bear witness to the great success of this year’s event”, commented Dr. Andreas Gruchow as the responsible member of Deutsche Messe’s Managing Board at the close of the event. “With UNIQUE YOUNIVERSE as this year’s chosen keynote theme, DOMOTEX provided a brightly lit stage for the individualization trend and all the inspiration and innovation associated with it, thus enhancing the show’s image as a prime source of orientation on interior furnishing and lifestyle trends.”

“Framing Trends” showcase provided a huge source of inspiration
The special “Framing Trends” showcase in Hall 9 was where visitors could most fully experience the significance of “UNIQUE YOUNIVERSE” as the exhibition’s keynote theme. Exhibitors, young designers and artists used Framing Trends to explore the topic of individuality in 20 different “framed” rooms. This special display proved hugely popular among attendees and offered a wealth of inspiration. “Framing Trends was a big success. Its fresh approach gave rise to lots of new ideas and made DOMOTEX more attractive than ever,” remarked Gruchow. “This special showcase will therefore also be a key offering at future editions of DOMOTEX,” he added.

A visit to Framing Trends was particularly high on the agenda of architects, designers and planners, who used this creative hotspot to gather new inspiration for their work – all the more so since Framing Trends covered the full spectrum of floor covering products. “‘Framing Trends’ in Hall 9 attractively featured and summarized everything on offer at DOMOTEX. With its fresh approach and central location, it served as the beating heart of the show and proved especially appealing to architects, interior designers and designers,” commented Chris Middleton, an architect at KINZO based in Berlin.

Highly international mix of attendees
More than 65 percent of the event’s 45,000 visitors came from abroad – around 60 percent of them coming from Europe, with some 25 percent from Asia and 11 percent from the Americas. Attendance from the United States and South and Central America increased. The majority of DOMOTEX visitors were buyers from specialist retailers and wholesalers as well as architects and interior designers and workers from the skilled trades. A strong increase in attendance was particularly evident among home furnishing and furniture stores, architects, interior designers, contract floorers and skilled tradesmen. As usual, DOMOTEX visitors once again demonstrated a high degree of decision-making authority.

Visitors were delighted at the many innovations on display. “SÜDBUND takes part in DOMOTEX every year. This time we organized our first-ever delegation trip to DOMOTEX for our members. We’re thrilled about all the inspiration we were able to gather, including insight into the latest floor covering advancements and trends. It’s already clear to us that we’ll be back with an even larger delegation in 2019,” said Michael Kovac, Purchasing Manager for Floor Coverings & Accessories at SÜDBUND – the Purchasing Association for Home Textiles based in Backnang, Germany).

Strong contributions by architects and designers
The rich supporting program of talks and presentations on the keynote theme provided further inspiration, and met with a very enthusiastic response on the part of exhibitors and visitors alike. Among the featured speakers were such renowned architects as Werner Aisslinger (Studio Aisslinger, Berlin), Andreas Krawczyk (NKBAK, Frankfurt/Main), Chris Middleton (KINZO, Berlin) and Jürgen Mayer H. (J.MAYER.H and Partners, Berlin). Intriguing architecture and design projects were presented and discussed, covering everything from initial conceptualization to the design process and on to production and sales strategies. Daily guided tours led by big-name architects and designers such as Peter Ippolito (Ippolito Fleitz Group, Stuttgart), Jürgen Mayer. H. (J.MAYER.H and Partners, Berlin) and Susanne Schmidhuber (SCHMIDHUBER, Munich) gave visitors special insight into products and the show’s keynote theme while putting them in direct touch with exhibitors of particular interest to them.

The talks given by the internationally acclaimed interior design blogger and author Holly Becker from Decor8 also met with very enthusiastic audiences. Becker explained how DOMOTEX exhibitors could collaborate with bloggers to raise the market profile of their products. Together with other well-known bloggers, she also delved into the topic of tomorrow’s furnishing trends. The use of virtual reality as an interior design tool was an equally exciting topic in Hall 9, where many visitors donned virtual reality glasses to experience the many possible uses and benefits of this new technology.

Further inspiration was provided by the “Art Day Workshops” staged within the context of Framing Trends by Canadian design firm Creative Matters. Participants were invited to experiment with colors, coal, tint and wax on paper to create fresh new designs pertaining to the keynote theme, UNIQUE YOUNIVERSE. At the so-called floorCODES WorkLabs held by the Institute of International Trend Scouting (of the University of Applied Research and Art, Hildesheim, Germany), participants had an opportunity to apply the institute’s “IIT HAWK” method to generate visionary scenarios for the future of floor coverings.

The presentation of the Carpet Design Awards on the Saturday of the show was another highlight in Hall 9. These internationally renowned awards were given in eight different categories, in recognition of the world's most beautiful handmade designer carpets. Also worthy of special mention is that Hall 13 established itself as a new magnet for parquet layers and other floor-laying professionals as well as interior decorators and painters, while the many Treffpunkt Handwerk offerings gave skilled tradespeople a valuable source of tips and tricks for their everyday work.

The next Hannover edition of DOMOTEX will be staged from 11 to 14 January 2019.

Starting in 2019, DOMOTEX will also be staged in North America. The debut of DOMOTEX USA will be from 28 February to 2 March 2019 at the Georgia World Congress Center in Atlanta, Georgia.

imm cologne 2018 (c) far.design; Koelnmesse
16.01.2018

IMM COLOGNE 2018: MEGATRENDS AND THE WAY WE LIVE

Megatrends are becoming increasingly visible in the way we live.
Be it globalisation, urbanisation, digitalisation, individualisation or neo-ecology: German and international manufacturers are keeping pace with the times and are offering more and more options in their range of furniture and fittings. Customer needs can no longer be deduced from socio-demographic characteristics and target groups alone - people's lifestyles are too different for that these days. The megatrends influence the directions in which the additional options develop: They drive things forward and point out new directions at the same time.

The megatrend of individualisation has intensified in the furniture sector on at least two levels: The catalogues are bursting with diverse options and the internet is the first port of call to get an idea of what's on offer. Several portals offer tailored advice or allow you to furnish your own home in a virtual reality setting.

Megatrends are becoming increasingly visible in the way we live.
Be it globalisation, urbanisation, digitalisation, individualisation or neo-ecology: German and international manufacturers are keeping pace with the times and are offering more and more options in their range of furniture and fittings. Customer needs can no longer be deduced from socio-demographic characteristics and target groups alone - people's lifestyles are too different for that these days. The megatrends influence the directions in which the additional options develop: They drive things forward and point out new directions at the same time.

The megatrend of individualisation has intensified in the furniture sector on at least two levels: The catalogues are bursting with diverse options and the internet is the first port of call to get an idea of what's on offer. Several portals offer tailored advice or allow you to furnish your own home in a virtual reality setting.

The megatrend of digitalisation has also impacted on the way we live in two very clear ways. When it comes to the products themselves, the "smart home" is becoming increasingly important. Many household appliances, doors and windows, white goods and heating control systems now come with applications that improve comfort and convenience in everyday life. The second element has far-reaching effects on our mood. The honest ones among us will admit their overexposure to various media. Within a minute of waking, most people have their smartphone in hand as they start their day. The sensory overload immediately begins, if not with a smartphone then with the television or radio triggering constant distraction and a desire for a multitude of things. We lose ourselves in the face of so many options (the weather, the stock market, breaking news, emails, recipes, music). When the back of your mind wakes up too - and with that a torrent of terms such as digital transformation, chatbots, bitcoins, blockchain, dash buttons begins to flow - you suddenly feel an urgent need to get a grip on reality. Old favourites are making a come-back. Vinyl records, classic cars and filter coffee are all enjoying a boom. In home furnishing, models from the "good old days" are hugely popular: the vintage look, retro, boho-chic, mid-century design. In our fast-paced age, it comes as no surprise that many people in the developed world have fallen in love with this style of furnishing. In the virtual world, we are looking for something real, or at least something purportedly real … and Pantone declares ultra violet the Colour of the Year 2018. It is an old acquaintance: clerical power, feminism, extravagance, drama, creativity, "the last attempt", mystical and spiritual, both future-oriented and traditional, but a counterculture most certainly. Denmark has given the world the "Hygge" phenomenon, a countervailing measure that brings cosiness back into our homes.

Two-thirds of Germans want their home to exude cosiness. Most people find that easier to achieve with an organic design language, authentic materials and warm colours than with cool, angular and minimalist furniture designs. Colourful combinations of furniture, wall colours, wallpaper, decorations and accessories are also popular because they help express the desired feeling of individuality.
 
Good lighting is becoming ever more important for the overall atmosphere in the home. LED lighting technology is now cost-effective, and can be found in the glass display case, behind the shelf or under the bed, making an important contribution to the home's cosy lighting ambience. The lighting industry's latest highlight is improved LED light batteries with long run-times. These flexible, portable and cable-free light sources are very handy for small apartments. This kind of small lamp can be used as a functional light in the kitchen, as a reading lamp at the table and as indirect illumination when chatting in the evening. In former times, candles were carried around the home, today we carry cutting-edge LED battery lamps. Talking about candles, the consumption of real candles has been growing steadily over the last five years. According to the European Candle Association (eca), each EU citizen consumed an average of 1.45 kg of candles (+6.2%) in 2016, with further growth expected. Opulent, Baroque-like candlesticks are in fashion, and help to create cosy living spaces. Candlelight is highly prized. Indeed, we could speak in terms of a digitalisation by candlelight. There is a close link between living style and the longed-for attitude to life. In times like these, it is not surprising that more and more people divide their world in two. On the one hand, they have a "private shire", as Stephan Grünewald from the Rheingold Institute calls it, in which they feel snug and safe. Then they have an external "grey country", an often frightening world of terror, globalisation, food scandals, Brexit and capricious political leaders. The private sphere is often designed as an idyllic retreat to make it easier to filter out the external world. This idyll is the counter-world to the hard and digital reality. It's all about nest-building, comfort, security and cosiness - a means of escaping the often-overwhelming anonymity of the external world.
 
Before the backdrop of globalisation, the home becomes the central location of identity. Furnishing their homes in a personal way gives people a sense of belonging. Identity is a matter of self-creation, not only in terms of the personality but also of the private environment. We form our identity on a day-to-day basis through the way we live. Many people perceive the world as an excess, and they see their own home as an identity-forming protected zone. The home is guarded, fashioned and loved. Security technology and creativity are spreading and the home is becoming the only enclave of informality. Following the maxim "The world is too much for me, I'm enough for myself", the home is a retreat, a refuge and an idyllic world.
 
In the modern age, populations tend to move from rural areas to the cities. For the first time in history, more than half the world's population now live in urban conglomerations. Major cities face two challenges that have long been identified: The constant need to find more living space, and managing the growing volume of traffic. When it comes to the way we live, the megatrend of urbanisation becomes more concrete in a number of respects. There is already a growing longing for ruralisation among city dwellers, while - paradoxically - new digital innovations are making possible new ways of working and living, far away from the smoke and smog of the city. It is already possible to work without a fixed base in a number of occupations. In future, the toilet lid in the smart home will regularly test the urine for signs of disease, taking care of prevention and making medical care plannable. Villages could experience a renaissance when drones deliver shopping, and electric driverless cars take children to school.

In the season ahead we will see the introduction of more organic forms, especially in the seating furniture sector. Organic design takes its cue from organic nature. Dynamic curves and powerful cambers come to the fore as striking characteristics. Organic design is soft and is therefore distinct from geometric and functional shapes. A wide range of natural fibres is on offer as upholstery fabrics for padded furniture, with corduroy and velvet playing a prominent role.   

The blue colour spectrum - from European blue and light blue to turquoise and petrol - remains popular. Blue represents harmony, imparts a sense of reliability, and has a pleasant calming effect. Olive green is the new trend colour, representing naturalness, spring, hope, health, youth, nature and vegetation. However, olive is not gaudy; the grey aspect in it makes it a quiet and inconspicuous choice.

Linoleum is making a come-back. The material was invented in 1860 and consists mainly of linseed oil, ground cork dust and jute fabric. It was originally intended for use as an elastic floor covering and it is still used in that way to this day. The furniture industry utilises linoleum as a tabletop surface, sideboard front and bureau inlay. It is a robust, green material that stands for healthy living.

Solid wood is about to strengthen its position further. The designs for tables, cupboards and sideboards are delicate and elegant, having moved away from the rustic look of the past. Oak remains the top seller, but walnut and cherry wood are maintaining their position. Wood combined with other natural materials such as glass and metal is also a popular choice for the visible parts of cabinets.

The visual quality of furniture in all price categories is generally improving. In future, furniture that looks cheap in whatever way will not sell well. With the smart home, the bathroom show and the lighting show - in addition to all the other furniture and fittings exhibited at imm cologne 2018 - we will experience an explosion of innovation and inspiration. By passionately opening oneself up to something, that thing is freed from the vortex of the ordinary and everyday. That is just as true for good food as it is for good furniture at imm cologne. Only those who dare to do so can discover the new.

More information:
imm cologne Megatrend
Source:

Ursula Geismann, Press Officer and Trend Analyst, German Furniture Industry Association, VDM

Heimtextil: 2975 companies present design innovations © Messe Frankfurt Exhibition GmbH / jochen günther
09.01.2018

Heimtextil: 2975 companies present design innovations

  • As of today, textile interior design is the focus of international attention at Heimtextil in Frankfurt am Main.
  • From 9 to 12 January 2018, representatives from industry, commerce, design, architecture and the hotel industry will gather at the world's leading trade fair for home and contract textiles.

‘With 2,975 exhibitors from 64 countries (2017: 2,949)*, Heimtextil is on a growth course for the eighth consecutive year and is continuing its remarkable success story in a challenging market. Over the next few days, we will be experiencing a globally unique design show with a variety of product innovations and textile inspirations by international market leaders’, says Detlef Braun, CEO of Messe Frankfurt. A high-calibre event programme with well-known guests and renowned industry experts will highlight themes relating to furnishing trends and design, architecture and the hotel industry.

  • As of today, textile interior design is the focus of international attention at Heimtextil in Frankfurt am Main.
  • From 9 to 12 January 2018, representatives from industry, commerce, design, architecture and the hotel industry will gather at the world's leading trade fair for home and contract textiles.

‘With 2,975 exhibitors from 64 countries (2017: 2,949)*, Heimtextil is on a growth course for the eighth consecutive year and is continuing its remarkable success story in a challenging market. Over the next few days, we will be experiencing a globally unique design show with a variety of product innovations and textile inspirations by international market leaders’, says Detlef Braun, CEO of Messe Frankfurt. A high-calibre event programme with well-known guests and renowned industry experts will highlight themes relating to furnishing trends and design, architecture and the hotel industry.

Martin Auerbach, Managing Director of the Association of the German Home Textiles Manufacturers, is pleased about the continuation of the trend towards more materiality in private and public spaces. ‘Home textile products are again significantly more visible than they were a few years ago. This confirms the signals we have observed over the past one to two years,’ says Auerbach happily. ‘The diversity of home textiles products, designs and colours makes the international trade fair platform for home textiles a trailblazing annual event to start the year. Although the economy over the past year is likely to remain below expectations – not all of the figures from German industry are available yet – the overall mood in the sector is good’.

VIP guests: Barbara Schöneberger presents wallpaper collection   

In hall 3.0, DecoTeam is celebrating its 30th birthday and inspiring with a varied programme, exciting trend showcases and renowned guests such as TV presenter Enie van de Meiklokjes and star chef Alexander Hermann. Highlights in hall 3.1 include presentations by international textile manufacturers such as Alhambra / Tormes Design from Spain, Damaceno & Antunes / Evo Interior Fabrics from Portugal, Fryett's Fabrics from the UK, Kobe from Germany and Wind from Belgium. Visitors can also look forward to the world's largest wallpaper presentation with international market leaders and celebrity guests. Star entertainer Barbara Schöneberger presents her first collection for the wallpaper factory Gebr. Rasch.

VDT targets wallpapering world record

In cooperation with Heimtextil, the Association of the German Wallpaper Industry (VDT) is aiming for a world record in continuous wallpapering on a 100-metre-long action area. In hall 5.1 (east side), the area will be wallpapered both day and night from 8 to 12 January. Through this, the audience will experience how wallpaper can create atmosphere and noticeably enhances rooms. Trade visitors, journalists and manufacturers are invited to join in with celebrity guests such as interior designer and RTL presenter Resi Colter.

Upholstery: new presentation area in hall 4.2

The upholstery section in hall 4 will see renewed growth in the number of exhibitors thanks to the participation of well-known manufacturers such as Beaulieu Fabrics from Belgium, Konrad Hornschuch from Germany, Luilor and Vigano from Italy and Dina Vanelli from Turkey. Due to the great demand, presentation possibilities for high-quality upholstery and decorative fabrics have been created for the first time in hall 4.2. Trevira is also present here with a promising highlight. For the first time in several years, the company will take part in a big community presentation with its CS partners. These include Engelbert E. Stieger and Getzner Textil from Austria, Jenny Fabrics and Swisstulle from Switzerland, Pugi from Italy and Spandauer Velours from Germany.

Bed, bath & table: Wide range of ready-made products

The home textiles sector also impresses with its strong range. In halls 8 to 11, around 1,500 suppliers will be presenting ready-made products in the bed, bath and table segments. The bedding offer stands out here as the world's largest range of such products.

Hall 8.0, which is completely booked out, has become the central contact point for the bedding industry. Numerous market-leading companies such as Irisette, Billerbeck and Frankenstolz will be present. Mascioni from Italy and Dún or Fior from Iceland are new to the fair. In Rössle & Wanner, Heimtextil also welcomes a renowned supplier of premium mattresses and a market leader in the field of manually and motor-driven adjustable slatted frames. Rössle & Wanner will exhibit its Röwa brand products in Galleria 1.    

Home collections by international fashion labels such as Joop Living, Marc O' Polo and Esprit can be seen in hall 11.0. In addition, premium providers will also be presenting their new products in a lifestyle-oriented environment. The companies will present their contemporary and modern as well as classic and elegant approaches in hall 11.1. Among those represented with collections of the highest quality are Schlossberg from Switzerland, Collection Stiegler and Curt Bauer from Germany, Kas International from Australia, Martinelli Ginetto from Italy, Sorema from Portugal and Welspun from the UK.

Heimtextil will also be introducing a new product group:

the “All about pets” section presents selected suppliers of textiles and accessories for animals. In Galleria 0, beds for dogs and cats, pillows, cosy blankets and much more are on offer. Darling Little Place and Studio am Meer from Germany, Lex & Max from the Netherlands and Volentis from Switzerland will be among the exhibitors.

“Interior. Architecture. Hospitality”: contract furnishing as a top theme

A central role in the trade fair’s programme is played by the range of contract furnishings and fittings, which Heimtextil sums up under the title “Interior.Architecture.Hospitality”. With the Interior.Architecture.Hospitality Expo, Heimtextil is launching a new event format in hall 4.2. The following renowned suppliers will be presenting their textile products and material solutions in an exclusive setting: Drapilux-Schmitzwerke, Low & Bonar, Gerriets and Maasberg from Germany, Forster Rohner from Switzerland, Chieftain Fabris from Ireland as well as The Cotting Group (Griffine) and Senfa from France. They are aimed specifically at architects, interior decorators, interior designers, project planners and hoteliers. 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. A four-day lecture programme, guided tours of the exhibitors and a special catalogue of exhibitors (the “Contract Guide”) also provide in-depth information on the subject of contract furnishings.

Carpet show reveals benefits of textile floor coverings

Whether in hotels, restaurants, theatres, on trains or in private residences – with textile flooring, rooms can be designed to be comfortable, warm underfoot and individual. The numerous advantages of textile floor coverings will be showcased in a tangible way at Heimtextil 2018. With its presentation in hall 4.2 “Carpet by Heimtex”, the German Association of Home Textile Manufacturers is targeting architects and contract decision-makers in an architectural environment in particular. Employees of the Heimtex member companies such as Findeisen, German Rugs, Object Carpet, TOUCAN-T, Vorwerk and Weseler Teppich will offer advice on acoustics, modularity and design in relation to textile floor coverings.

Heimtextil “Theme Park”: the furnishing trends of the future

The programme highlight for those interested in design is the “Theme Park” in hall 6.0. In this trend and inspiration area, visitors and exhibitors alike can look forward to a wealth of material innovations, colour trends and new designs. The overarching theme is “The Future is urban”. An accompanying programme of talks and guided tours will give far-reaching insights into new design projects. For the 2018/19 season, a team of seven international design studios have isolated the most important themes from various general trends. The London-based studio Franklin Till was in charge of the design of the “Theme Park” in hall 6.0.

02.01.2018

THAILAND'S TEXTILE INDUSTRY ON NEW PATHS

  • Good chances for synthetic fibers and functional textiles

Bangkok (GTAI) - Thailand's textile industry is in transition and is increasingly positioning itself in new markets with higher added value. Synthetic fibers became an important foothold on the basis of innovative raw materials, while functional textiles are grateful to customers in a dozen sectors. In addition, there is the traditional silk craft, which can be marketed by international design and attractive fashion shows - and this at top prices.

  • Good chances for synthetic fibers and functional textiles

Bangkok (GTAI) - Thailand's textile industry is in transition and is increasingly positioning itself in new markets with higher added value. Synthetic fibers became an important foothold on the basis of innovative raw materials, while functional textiles are grateful to customers in a dozen sectors. In addition, there is the traditional silk craft, which can be marketed by international design and attractive fashion shows - and this at top prices.

The Thai textile industry is changing. As a part of the long-term national development strategy “Thailand 4.0” , new technologies are designed to help innovative products breakthrough in key emerging markets, backed by concerted efforts in design, fashion and marketing. The industrial foundation ensures the availability of a complete value chain from fiber production, yarn spinning, fabric weaving and processing to the production of clothing.
The long-term strategy has been outlined by the Thailand Textile Institute (THTI) in its "Thailand Textile and Fashion Industries Development Strategy 2015-2030". Three phases are planned from the regional center for textile and fashion retail, to the development of creative products for international brands, and finally the breakthrough as the global market leader in fashion design, including Thai components. The concrete catalog of measures includes an industrial fashion zone, a pilot fiber plant, a development center for yarn, fabrics and fashion products as well as a regional fashion academy.

Broad spectrum for innovations
A diversified petrochemical industry with high-quality downstream products provides a rich foundation for a wide variety of synthetic fibers. The main products are polyester, nylon, rayon and acrylic polymers. The range of applications is quite broad, including apparel, medical technique, hygiene and automotive manufacturing. For polyester, Thailand ranks ninth in the world with an annual production of 621,000 tons, the larger producers include Indorama Polyester, Teijin Polyester or Thai Toray.

Increased research and development efforts with both artificial and natural textile fibers are paving the way for functional textiles. There are a dozen applications in this broad future market: Agrotex, Mobiltex, Medtex, Hometex, Oekotex, Packtex, Buildtex, Clothtex, Indutex, Geotex, Protex and Sportex. The leaders in this branch are companies such as Asahi Kasei, Perma, Saha Seiren, PJ Garment or TP Corporation. Thailand also wants to play an active role in shaping the future market of "smart fabrics" - such as fabrics with UV protection or antibacterial and fire-resistant properties.

Renaissance of the silk
On elegant paths also the traditional over generations grown art of silk crafts is moving. Thanks to the rich raw material base, the kingdom is considered to be the world's fourth largest silk producer. In the preference of visitors from abroad, silk products are at the eighth place in the souvenir statistics 2015 with USD 149 mio.
The origins of silk were characterized by the craftsmanship weaving with regional origin characteristics such as at the Lumphun Broocade Thai Silk, the Phu Thai Praewa Silk or the Surin Hole Silk. The change to innovative products took place with the growing demands of customers. New technologies produced goods of higher value, which were also became promoted with new stronger marketing ideas.

Jim Thompson and Passaya are considered two major pioneers of world-class luxury silk brands. Jim Thompson generates USD 72 mio thanks to modern design and premium products. Passaya won international awards for outstanding innovations in design as well as in the production process. Public support has been provided by promotional events such as "Proud Pastra", which recently completed USD 1.5 mio  in trade surplus. The Ministry of Commerce also intends to establish a silk center in the northeastern Korat under the state-sponsored so-called OTOP scheme (One Tambon One Product).

The entire industry has currently  4,700 textile and garment manufacturers with over 500,000 workers, including 730 textile companies for technical textiles. The export value amounted to USD 6.45 billion in 2016, which represented about 3 percent of total exports. The national retail sector recorded steady growth rates averaging 3.5 percent per year over the period 2011-2016.

In addition to production, Thailand also tries to profile itself as a fashion hub for regional and international fashion shows. The most important events are the "Bangkok International Couture Fashion Week", "Elle Bangkok Fashion Week" and the "Bangkok International Fashion Fair". The first national designer brands have already made their debuts on the catwalk, such as Sretsis, Naraya, Dry Clean Only or Disaya. Sretsis, founded by three sisters, became successfully supported by some big names such as Beyoncé, Paris Hilton, January Jones and Zooey Deschanel.

More information:
Thailand
Source:

Waldemar Duscha, www.gtai.de

05.12.2017

TURKISH CLOTHING MANUFACTURERS RELY ON DESIGN AND OWN BRANDS

  • Companies want stay away from cheap contract manufacturing

Istanbul (GTAI) - The highly export-oriented Turkish textile and clothing industry wants to increase its competitiveness on world markets by investing in design. The hitherto widespread contract manufacturing for foreign brand manufacturers is losing importance in favor of own collections. With a law from 2016, the Turkish state explicitly promotes investment in design.

  • Companies want stay away from cheap contract manufacturing

Istanbul (GTAI) - The highly export-oriented Turkish textile and clothing industry wants to increase its competitiveness on world markets by investing in design. The hitherto widespread contract manufacturing for foreign brand manufacturers is losing importance in favor of own collections. With a law from 2016, the Turkish state explicitly promotes investment in design.

The Turkish textile and clothing industry is going through a structural change: While the garment industry was once particularly interesting because of the comparatively low labor costs for contract manufacturing orders from Western companies, Turkish manufacturers are increasingly working as designers for international clients. In addition to well-known Turkish fashion manufacturers such as Ipekyol, Vakko and Zorluteks, more and more Turkish textile companies are also manufacturing and marketing their own brands. In parallel, they are expanding their online sales network. For example, Ipekyol intends to close half of its stores in the next 20 years.

In order to meet the changing demand of foreign cooperation partners, Turkish clothing companies are increasingly investing in research and development projects, as the Turkish business magazine Ekonomist reports.

For example, Hassan Tekstil (http://www.hassan.com.tr) based in Istanbul, founded in 2017, has a 45-member R & D department. The company, whose revenues of USD 232 mio in 2016 were generated 35 percent from exports, plans to spend1.5 percent of its revenue on R & D activities.    

Another company that is increasingly investing in R & D and design is TYH Tekstil (http://www.tyh.com.tr) in Istanbul. This purely export-oriented company with a turnover of around USD 100 mio (2016) employs 15 fashion experts. About 1.5 to 2 percent of sales, which will reach around USD 130 mio in 2017, will be used for design projects and the development of collections, according to the Economist's report. In addition to contract manufacturing for well-known international brands such as Gant and COS, TYH Tekstil also developed its own brand Roqa for women's outerwear. Meanwhile, 20 to 25 percent of exports are from the supply of private label products.

Innovative workwear for security forces

According to Economist, another manufacturer with increasing R & D activities is Narkonteks (http://www.narkonteks.com) in Izmir. This company, which does not produces for international companies only, produces also goods under its own brand "Blackspade". Narkonteks also supplies customers in the Netherlands with technical textiles for security personnel. The manufacturer employs 30 engineers for its R & D activities. Of the targeted sales of TL 100 mio in 2017, 1.5 percent will be spent on R & D activities.

In 2016 Narkonteks generated around TL 80 mio. (1 Euro = 4.50 TL). The company Farb Textile (http://www.farbetextile.com) in Izmir, which sews for European fashion companies such as Bestseller, Inditex and Mango, emphasizes increased design activities also, according to Economist. About 60 percent of the production are own brands. The turnover of TL 100 mio (2016), should be increased to TL 130 mio.
 
One of the larger R & D investors is the clothing manufacturer Taypa Tekstil in Istanbul (http://www.taypa.com.tr) with a turnover of EUR 100 million, which exports about 80 percent of its production. The parent company TAy Group, which supplies large fashion houses such as Levis, Inditex and Tommy Hilfiger, uses 5 percent of its revenue for research and innovation projects and employs 25 designers, writes the magazine Ekonomist. The share of own brands in sales of currently 21 percent is to be increased to 50 percent in the foreseeable future.

Taypa invests in major project in Algeria

In addition to the existing production in Egypt Taypa Tekstil manufactures in Serbia and Algeria. In a clothing factory in Kraljevo, Serbia, EUR 35 mio should be invested over the next five years. A large-scale project called "TayalSPA" is being planned in Algeria for the construction of an integrated textile and clothing factory in the Sidi Khetab industrial zone in the province of Relizane. According to Taypa CEO Burak Karaarslan, quoted in the business paper "Dünya", this project, with an support of 50 percent by the Algerian government will receive investments totaling USD 2 billion in three phases until 2023.

USD 800 mio will be invested in the recently started initial construction phase. The company will start with yarn production first. Thereafter, from the end of 2018, the production of denim and other fabrics will commence. After completion of the first phase, the annual production will reach 30 million meters of denim and non-denim fabrics, 14 million meters of fabrics for shirts, 3,200 tons of knitwear and 30 million pieces of ready-made garments.    

Government encourages investment in research and development

The Turkish state has been promoting investments in design since 2016: By Law No. 6676 of February16th 2016 (Government Gazette "Resmi Gazete" No. 29636 of 26.02.16) amending Law No. 5746 of 28.02.08 on the promotion R & D activities, in contrast to the previous practice, investment in design projects were concluded in the government support. Thus, companies that employ at least 15 people (previously 30) in the R & D sector can benefit from tax and customs privileges. Imported products for research projects are exempt from import duties.

Comprehensive support measures in the form of project-based grants for the marketing of Turkish brands abroad also include Regulation No. 2016/1 of the Turkish Monetary Credit and Coordination Council, which was announced in the Official Gazette No. 29898 of November 24th 2016. The implementation of subsidies is the responsibility of the Ministry of Economy.

According to figures from the Ministry of Science, Industry and Technology, there are a total of 38 R & D and 29 design centers nationwide in the textile and clothing industry.

Germany is most important target market

Turkey is a major exporter of textiles and clothing. According to official statistics, the country exported USD 24.3 billion worth of textiles and clothing in 2016 (including USD 16.7 billion in ready-to-wear articles). The export association IHKIB is targeting USD 60 billion in ready-to-wear exports in 2023. In apparel, Germany is the most important customer with a share of 18.8 percent. For textiles and textile raw materials, the country is the fourth largest market for Turkish exporters with 5 percent.     

Turkish foreign trade in confectionery (in USD mio)
Year   Export Import
2014 18,484.6 3,062.4
2015 16,756.3 2,846.9
2016 16,739.3 2,690.7

Source: Export Association IHKIB; Turkish Ministry of Economy

Turkish foreign trade in textiles and textile raw materials (in USD mio.)
Year Export Import
2014 8,535.9 9,172.9
2015 7,590.8 8,270.4
2016 7,568.8 8,171.0

Source: IHKIB; Ministry of Economy

Turkish export of garments by country (in USD mio) 
  2015 2016 Share 2016 (%)
Total    16,756.3 16,739.3 100.0
Germany  3,156.4 3,139.9 18.8
United Kingdom 2,187.2 2,015.1    12.0
Spain 1,666.0  1,738.8    10.4
France 871.3   837.2   5.0
Netherlands 803.1 774.9 4.6
Italy 592.4 610.9 3.6
Irak 741.1 558.9 3.3
Polen 445.6 556.1 3.3
USA 493.2 533.6 3.2
Denmark 401.0 422.3 2.5

Source: IHKIB; Ministry of Economy

Turkish exports of textiles and textile raw materials by country (in USD mio)
  2015 2016 Share 2016 (%)
Total 7,590.8 7,568.8 100
Italy 748.9 729.5 9.6
Bulgaria 309.6 598.1 7.9
Iran 319.2 387.9 5.1
Germany 384.4 380.7 5.0
USA 346.1 313.1 4.1
United Kingdom 330.5 303.7 4.0
Spain 251.2 284.9 3.8
Romania 285.7 278.2 3.7
Polen 269.1 275.1 3.6
Egypt 246.7 225.0 3.0

Source: IHKIB; Ministry of Economy