From the Sector

World Natural Fibre Production in 2022 is estimated at 32.6 million tonnes, down 1.1 million tonnes from the estimate one month ago. Production reached 33.3 million tonnes in 2021 and 31.6 million in 2020.

A drought in Texas where over half of cotton produced in the United States is grown, and flooding in Pakistan, the fifth largest cotton producer, account for the decline (www.ICAC.org).

• Nearby cotton futures on the Intercontinental Exchange rose 14% from the end of July and finished August at $2.60 per kilogram.
• The Eastern Market Indicator of wool prices in Australia, fell 1% from mid-July to mid-August to US$9.27 per kilogram.
• Prices of jute fibre in India quoted by the Jute Balers Association (JBA) at the end of August converted to US$ fell 4% from a month earlier to 79 cents per kilogram.
• Prices of silk in China equalled US$ 28.7 per kilogram at the end of August, compared with US$29.5 per kilogram in July 2022, a change of 3%.
• Coconut coir fibre in India held at US cents 21 per kilogram in August.

World production of jute and allied fibres is estimated unchanged at 3.2 million tonnes in 2022 compared with 2021. High market prices in 2021 motivated farmers to expand planted area in both Bangladesh and India, but dry weather during June and July will limit yields per hectare. Normal monsoon rains resumed in South Asia during August, too late for the 2022 jute crop (https://www.wgc.de/en/).

Production of coir fibre rose by an average of 18,000 tonnes per year during the past decade, and production was at a record high of 1.12 million tonnes in 2021. Production is expected to remain high in 2022.

Flax has also been trending upward, rising by an average of 27,000 tonnes per year, and production in 2022 is estimated to remain above one million tonnes.

World wool production is forecast up by 5% in 2022 to 1.09 million tonnes (clean), the highest since 2018. Wetter weather in the Southern Hemisphere, following eight years of drought, is allowing farmers to rebuild herds (https://www.wool.com/market-intelligence/).

Natural fibres are heavily-traded commodities, and supply chain disruptions are causing significant economic losses as freight costs remain high and deliveries are delayed.

About 40% of world cotton production moves as fibre in international trade each season. Over half of world jute production moves as fibre or product, and around 55% of world wool production is exported as raw wool. Abaca, flax, and sisal are also heavily traded.

Most natural fibre exports traverse back-haul ocean freight routes from the Western Hemisphere to East Asia and the Middle East, from South Asia to East Asia and Europe, from Africa to East Asia and the Middle East, and from Australia and South Africa to China. Such routes are relatively underserved in the best of times, and reduced sailings since the start of Covid are restricting trade volumes.

As of the end of August, Freightos (https://fbx.freightos.com/) quoted the cost of moving a 40’ container from the United States West Coast to East Asia at $793, compared with $1,020 in March 2022. Nevertheless, average freight costs on back -haul routes used by natural fibres remain approximately triple their pre-covid levels. In addition to ocean freight costs, inland transportation is also affected by high fuel prices and a lack of containers. As one example, charges for inland handling of export containers in Bangladesh, the largest exporter of raw jute, increased by 48 per cent during August.

Akzo Nobel N.V.  publishes results for second quarter 2022

Highlights Grow & Deliver (compared with Q2 2021)

• Revenue up 14% and 10% higher in constant currencies1, pricing up 16%
• ROS2 at 8.7% (2021: 13.3%), resulting from lower volumes and continued raw material and freight costs inflation
• Adjusted EBITDA at €337 million (2021: €419 million)
• Acquisition of Grupo Orbis completed in April 2022. Intended acquisition of Kansai Paint’s business in Africa announced in June 2022. Intended acquisition of the liquid wheel coatings business of Germany-based Lankwitzer Lackfabrik GmbH announced in July 2022

Highlights Q2 2022 (compared with Q2 2021)

• Pricing up 16%; offsetting the increase of raw material and other variable costs. Volumes 9% lower
• Operating income at €205 million (2021: €384 million), includes €44 million negative impact from Identified items (2021: €49 million net positive impact). OPI margin 7.2% (2021: 15.3%)
• Adjusted operating income3 at €249 million (2021: €335 million)
• Net cash from operating activities decreased to negative €52 million (2021: positive €168 million)
• Net income attributable to shareholders at €106 million (2021: €261 million)
• EPS from total operations at €0.60 (2021: €1.40); adjusted EPS from continuing operations at €0.84 (2021: €1.20)

The Spanish recycling company Anviplas has been involved in plastics recycling for more than 30 years, during which time it has built up extensive know-how that now benefits customers throughout Europe, in Africa and in Asia. Their cooperation with EREMA is almost as long. Since 1991, Anviplas has relied on the technology and service provided by the Austrian recycling machine manufacturer.

Employing 64 people, Anviplas recycles post-industrial and post-consumer plastic waste, especially HD and LD-PE as well as PP, to make recycled pellets in all colour variations. The production capacity is 1,800 tonnes per month. An EREMA type INTAREMA® 1716 TVEplus® recycling machine with screen changer is in operation at the site in Navarcles (Barcelona) for processing the PP material stream. This patented extruder system was developed for handling difficult-to-process materials, such as heavily printed films as well as very moist waste. This machine is characterised by its optimised 3-stage degassing system; firstly by preheating and predrying the material in the preconditioning unit, secondly because the screw design allows reverse degassing, and thirdly in the degassing zone of the extruder.

Anviplas customers manufacture a huge bandwidth of products made using their recycled pellets. They range from various film products, such as stretch, shrink, mulch and silage films, to irrigation, corrugated and high-pressure pipes, as well as containers such as tubs, bottles, barrels and crates.

In February 2022 the Repeats Group, a pan-European platform for LDPE recycling, and Anviplas announced, that Repeats has made an investment in the Spanish recycling company. For Repeats this investment in Anviplas represents an important step in building a pan-European plastics recycling platform.

Kornit Digital Ltd. announced that Portuguese textile specialist Blur has installed the Kornit Presto S with Softener solution for sustainable, single-step direct-to-fabric production of multiple fabrics in any quantity. The print services provider, which supports the production needs of high fashion brands has previously installed multiple Kornit Atlas and Avalanche systems for industrial-scale digital direct-to-garment (DTG) production on demand.

Using Kornit’s efficient, eco-conscious, proprietary technology and consumables, Blur provides rapid fulfillment of orders ranging from a single piece to mass production, with an average order of about 500 items. Since implementing the Kornit Presto S, the system has been in operation day and night, producing samples during normal business hours and fulfilling diverse incoming orders overnight.

Mariano Dias, CEO at Blur, believes Kornit technology empowers his business to adapt quickly to the constantly evolving needs of his clients, which include both larger established brands seeking large quantities and ambitious designers seeking to build a brand with limited risk or investment. In many cases, they are fulfilling different types of designs for clients serving both Europe and North American markets.
“The quality is just outstanding, and some clients only want to print with Kornit technology”, said Dias. “We are extremely happy with Kornit’s collaboration, and our printers are working perfectly around the clock. Any textile printing company looking to move into fashion and work with famous brands will need both roll-to-roll and DTG capabilities. Our recommendation for success is to buy the Kornit Atlas and Kornit Presto printers.”

He added that Blur’s success with its current Kornit systems, as well as increased demand for sustainably-produced textiles, has the business considering the addition of a second Kornit Presto S to accommodate additional volumes.

“As with many of our customers, Blur was built around more traditional textile operations—in their case embroidery—before discovering the vast potential for growth and versatility offered by quick, efficient, digital production on demand,” said Chris Govier, Kornit Digital Europe, Middle East, and Africa President. “Whether you’re serving an internationally-known fashion house looking for more agile fulfillment and simpler supply chains, or the independent creator hoping to bring unique inspirations to life, Kornit’s product portfolio offers continuous opportunities to answer market needs, create new markets, and scale upwards under any conditions.”

In a move to optimize interactions and simplify customer access to one of the printing industry’s largest portfolios of process-improvement and consumables technologies, Baldwin Technology Company Inc. is excited to announce changes across its print and packaging sales teams for Europe, the Middle East, Africa and Russia, as well as the Americas, effective October 1. After this realignment, customers will benefit from having a single point of contact for all of Baldwin’s product lines.

“Effective October 1, our sales teams in EMEAR and the Americas will be realigned to cover smaller regional geographies, and our regional teams will have access to the full Baldwin portfolio of equipment, consumables and service products, as well as industry product expertise, powered by our new Industry 4.0 AMP IoT (Internet of Things) data-aggregation and process-monitoring software platform,” said Peter Hultberg, Baldwin’s Chief Commercial Officer. “This means our customers will have a single sales point of contact for all products, while simplifying their access to the technical experts throughout our business.”

The 26th edition of Intertextile Shanghai Home Textiles concluded on 26 August, following a successful three-day run at the National Exhibition and Convention Center (Shanghai). It was Messe Frankfurt’s first event to take place in Shanghai in 2020 following disruptions from the pandemic. Amid the challenges presented by the pandemic, this year’s fair provided a vital opportunity for the international home and contract textile industries to source and reconnect through virtual and in-person meetings. Offering a comprehensive range of home and commercial textile products, the fair welcomed over 600 exhibitors and attracted more than 25,000 trade buyers.

Speaking as the fair concluded, Ms Wendy Wen, Senior General Manager of Messe Frankfurt (HK) Ltd commented: “Intertextile has always been dedicated to providing an ideal platform for the international home textile industry and we are delighted to continue to do so during these unprecedented, challenging times. In view of the current global travel restrictions, this year’s fair offered a series of digital tools in addition to the traditional exhibition, allowing the fair to reach as wide an audience as possible. We are glad that this new format was highly recognised by the participating exhibitors and buyers alike.”

“Whilst economic activity in China is progressively recovering and domestic consumption continues to grow, the country’s exports are taking longer to rebound,” Ms Wen added. “One of the main objectives of this year’s fair was to connect domestic and international suppliers and buyers who are eager to make personal contacts and get back to business. As evidenced by feedback from numerous exhibitors and visitors, the fair has been able to help and support the industry’s recovery, so we are delighted with the results.”

Online business matching platform connected worldwide companies
 
In view of the current international travel restrictions, this year’s fair launched a brand new online business matching platform, which connected around 200 buyers from over 50 countries and regions to 60 exhibitors. The platform introduced multiple new functions, such as live-stream product presentations and a real-time chat platform to better facilitate business exchanges between suppliers and buyers from around the world. One exhibitor participating in the platform was Suzhou Roufang Textile Technology Co Ltd. “Yesterday we had a live-stream product presentation, which attracted around 200 buyers. The online platform is useful for us as we could showcase our new products and design concepts to overseas buyers, and let them know that we are still here to serve them,” the company’s Business Manager Ms Yu Qian Ru explained.

Mr Azam Osman, Manager of the Factory Depot (Pty) Ltd from South Africa expressed his satisfaction about the online platform: “I am glad that the fair provided the online business matching service where I have seen a lot of quality furniture and decorative fabric exhibitors. I’m interested in connecting with them.” Another buyer, Ms Elena Freyuk from Ziptown Trading Inc. said: "I am pleased that the fair offered both live-stream and video recording product presentations as I was unable to watch the live presentation due to time difference. The services were very thoughtful!”

A source of inspiration for the industry
 
To ensure fairgoers can discover the latest design and industry trends and insights, this year’s fringe programme presented a series of high quality events, covering the industry’s hottest topics. Some of the highlights included the 2021 Intertextile Trend Forum, which was led by Shen Lei, the Chinese representative of the Intertextile International Lifestyle Trend Committee. The forum brought together five prominent Chinese designers including Ben Chen, Ben Wu, Meng Ye, Paul Pang and Xie Ke, who presented an in-depth interpretation of the theme of 2021 Intertextile Trends, “BOUND”. Other events included Ride the Storm – Home Textile Digital Printing Forum, Tmall Seminar on industry digitalisation, Furniture & Home Textile Direct Negotiation Event and more.

Focus on Sustainability and Climate Change

Passion for Cotton: The 35th International Cotton Conference Bremen starts on 25 March in the Hanseatic city’s historic Town Hall. But before subject-specific questions are discussed in depth in the individual sessions, the concise and inspiring keynotes by leading business experts from science and industry will draw attention to the current trends and challenges in the industry at the start of the conference. A large part of the presentations is shaped by the current discussion on environmental and sustainability issues and the resulting consequences for the global economy.

Climate Change and Sustainability

“Climate change - a storm in a teacup?” asks Kai Hughes, Executive Director of the International Cotton Advisory Committee, Washington D.C., USA, in a provocative speech. The aim of his presentation is to work out the challenges of climate change especially for agriculture and cotton production. This should form the basis for later discussion on concrete approaches and solutions within the cotton community.

With his lecture “The HUGO BOSS sustainability programme ... and what our customer has to do with it” Andreas Streubig, Director of Global Sustainability at Hugo Boss AG, Metzingen, Germany, rolls up the textile value chain from a different angle, starting at the consumer level. As a representative of a premium brand for women's and men's clothing, Streubig discusses sustainability as a strategic element of the corporate strategy and provides information on how elements of the strategy are being implemented at Hugo Boss.

Rüdiger Senft, Head of Sustainability at Commerzbank, Frankfurt am Main, Germany, looks at the changing role of banks in financing the cotton market. In addition to a general introduction to the topic of sustainability and banking regulation, Senft's presentation deals with the financing of the cotton trade from a social and ecological point of view.
The opening session on 25 March is hosted by Bill Ballenden, founder and owner of Dragontree, Swindon, UK, an online auction platform for the cotton trade. As a former cotton manager for Louis Dreyfus in Europe and Asia, Bill Ballenden has many years of experience in the industry.

Cross-Cutting Issues: Digitalisation, Gender, Value Chains

The subsequent session in the conference programme with the headline “A Wider View” is devoted to currently defining trends and important cross-cutting issues in the industry. This goes far beyond classic cotton themes.

A lecture by Mark Messura, Senior Vice President, Global Supply Chain Marketing for Cotton Incorporated, Cary, North Carolina, deals with the role of cotton in an increasingly digitally controlled supply chain. Significant keywords here are faster delivery times, vertical integration, transparency and traceability.

The presentation by Roger Gilmartin, Managing Director of Tri-Blend Consulting, Charlotte, USA, entitled “The secret recipe for timely, cost-optimised and high-quality cotton clothing” promises exciting and enlightening insights. Tri-Blend Consulting conducts studies on the performance of different cotton varieties during the entire consumption process to the finished yarn and evaluates them from an economic point of view.

Amy Jackson, from the Better Cotton Initiative, London, UK, presents ICA Liverpool's “Women in Cotton” initiative. With this commitment, the initiative aims to increase the influence of women in the cotton industry and give them a stronger voice, for example by building networks in cooperation.

Navdeep Singh Sodhi, International Strategic Management Consultant at the Gherzi Textile Organisation, Switzerland, gives an insight into the current development of the value chain for cotton, textiles and clothing in Africa. Looking ahead to the coming decades, also in view of population growth, Africa is seen as having a high potential for building economic structures to improve income and prosperity.

Thomas Schneider, Professor at the University of Applied Sciences in Berlin and active in the field of production planning and control, textile materials and materials testing will host the session. A leading light in his field, Thomas Schneider has more than 30 years of experience in scientific and application-oriented research in the textile and fibre sector, including at the Fibre Institute Bremen e.V.

As a member of the Swiss Textile Machinery Association, Saurer will give visitors the opportunity to learn about the company and to gain an overview of its spinning and embroidery offerings at ITME Africa from 14 to 16 February 2020. At the exhibition, visitors will learn more about Saurer’s extensive spinning offerings, which enable customers to process a wide range of fibres depending on their needs using ring-, worsted- and compact- or rotor-spinning technologies. Autoairo, the group’s new double-sided air-spinning machine, will also be introduced to prospective clients.

Govier plans to scale the organization and take customer focus to the next level to drive growth
Kornit Digital, (NASDAQ: KRNT), a global market leader in digital textile printing technology, announced today that Chris Govier has been named Managing Director at Kornit Digital Europe GmbH.

Govier is a proven leader who brings broad experience of supporting customers with industrial digital transformation, a proven record of driving growth, and solid experience building and managing world class teams. In his new role, Govier will oversee Kornit Digital’s operations in Europe, the Middle East and Africa (EMEA) and will be instrumental in scaling up Kornit’s business.

Govier previously served in sales and general management roles at Xerox Corporation, and holds a BA from the University of Wellington, New Zealand.

Commenting on the appointment, Gilad Yron, Kornit Digital’s Executive Vice President of Global Business, said, “I welcome Chris on board as the new Managing Director of Kornit Digital Europe. He brings with him solid experience in the analog-digital transition in industrial print and deep regional understanding. Europe has traditionally been a strong performer for Kornit, and Chris’ expertise will help us grow the organization to the next level.”

“This is an incredibly exciting time to join Kornit Digital – their technology, coupled with a passion and drive will significantly disrupt the textile printing industry.” said Chris Govier. “EMEA represents a huge opportunity and I look forward to building on the fantastic success achieved so far.”

Exhibitors from over 30 countries participating at Kenya's Biggest Int'l. Multi-Sector Trade Exhibition

The largest international trade exhibition in Africa for multi-sector products, equipment and machinery will take place at KICC, Nairobi, Kenya from 04 - 06 September with record breaking numbers. Exhibitors and trade visitors are said to increase by 27% and 24% respectively at the 21st edition of the Kenya International Trade Exhibition (KITE). The exhibition has grown in stature from its inception 22 years ago, as the key networking and sourcing platform for the industries. As the largest event of its kind, it ensures direct access to over 150 exhibitors from 30 countries and more than 12,000 trade visitors.

With an amazing array of products and services from all over the world, it gives visitors the opportunity to source cutting edge products and services as well as learn about and discuss the latest market trends. There is no other related trade exhibition in East Africa that delivers the same quality, quantity and variety of buyers and distributors.

Concentrating on some of the largest growth categories within the multi sector industry, Kenya International Trade Exhibition (KITE) 2018 has five distinct sub categories, namely: FOODAGRO, MEDEXPO, PPPEXPO & INDUSMACH which will cover the food, hotel & agricultural sectors, medical & pharmaceuticals, plastic, printing & packaging sector, the industrial and finally the consumer sector. Being centrally located, Kenya emerges as one of the largest importers in Africa. Kenya also has the largest economy in east Africa and is a regional financial and transportation hub.