Apparels

Ugandan think tank Economic Policy Research Centre is concerned over the government’s planned initiative to ban second-hand clothes and footwear in the country, saying the decision will lead to short-term job losses, reduce import tax revenue and increase imports of cheaper new clothes from low-cost producing countries in Asia, especially China.
The ban will affect the poor more, it noted.

Bangladesh’s RMG exports rose by 11.38 per cent to $12.811 billion in the first four months of fiscal 2024-25, driven by strong growth in knitwear and woven apparel.
Knitwear exports increased by 12.08 per cent, while woven garments rose by 10.48 per cent.
Home textiles grew modestly, and cotton product exports surged 20.39 per cent.
The new regime reversed last fiscal’s decline.

Vietnam aims to strengthen trade ties with Canada under the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP).
Canada, the fifth-largest market for Vietnamese apparel, saw exports drop 7.65 per cent to $1,217.683 million in the first ten months of 2024, representing 4.83 per cent of Vietnam’s total apparel exports.

India is contemplating significant hikes in GST on RMG, with proposed rates increasing up to 35 per cent for items above ₹10,000.
Industry leaders argue that such steep tax increases could devastate small retailers and the millions dependent on the garment sector.
The GST Council will make a final decision on these proposals during their meeting on December 21 in Jaisalmer, Rajasthan.

UK’s coat imports from China have steadily declined in value and volume over recent years, with the average price per unit dropping 11.92 per cent to $14.26 in Jan-Aug.
Inflation and geopolitical unrest have pressured exporters and reduced consumer purchasing power.
Total coat imports from the world fell, with the UK importing 10.685 million units at an average price of $15.37 per unit in 2024.

Reliance and Tata are once again competing in the Indian retail market, with Reliance Retail challenging Tata Group’s Zudio with its new brand, Yousta. Launched in August 2023, Yousta aims to tap into India’s rapidly growing value fashion segment, which is known for offering stylish and affordable apparel.

Sportswear firms have reported 1-25% year-on-year increase for 2023-24, down from 35-85% increase for the previous financial year, according to the latest regulatory filings. While demand for fitness wear and sports equipment for disciplines other than cricket grew as people prioritised health with the onset of Covid-19, consumers cut back on discretionary spends across categories over the past six to eight quarters.

Bulgari, a renowned Italian luxury brand, is expanding its presence in India due to a decrease in demand in China. The company sees strong potential in India’s growing luxury market. Other global luxury brands are also considering India as a prime market due to its increasing affluent population and rising disposable incomes.

Gautam Adani highlighted the 14% decline in India’s gems and jewellery exports as a significant challenge indicating the need to rethink strategies. He emphasized the industry’s vast employment and economic impact, and discussed the transformative potential of lab-grown diamonds using advanced technologies, reflecting on his own entrepreneurial journey starting in Mumbai.

Two advisory firms, SES and IiAS, recommend shareholders vote against Gautam Singhania’s appointment as Raymond Lifestyle executive chairperson, citing concerns over his prior appointment approval, remuneration policies, and potential reputational risks. Singhania’s multiple roles, open-ended remuneration, and ongoing personal legal issues are key factors for their recommendation.