Article
THE PROBLEM OF PLENTY
Anurag Swarup Agarwal
It is generally believed “The more, the merrier”. True, but not always. This is particularly true of embroidery industry in India today. Till recently, there was a happy situation of continuing flow of embroidery orders, both from overseas as also domestic markets. This, in turn, prompted the embroiderers (mostly job-workers) to enhance their production capacities to meet this growing demand. What followed was humongous expansion of
industry with the fond hope of continuing and perhaps unending era of heavy embroidery demand. But that has been found not to be. Last year saw the beginning of continuing slowdown in demand for embroidery. But by then, the euphoria of capacity expansion had set up an unusually large number of embroidery units and machines, leading to setting up of something like over 100,000 embroidery machines in the city of Surat alone. This rush,
or may I say competition, to set up newer units and expansion of existing embroidery units had been continuing unabashedly during last 7-10 years, which has now surely slowed but has yet not halted altogether.
As if this was not enough; the embroiderers have been saddled with a number of problems, which are part of the general economic situation that has shown decline in unmistakable terms. While the domestic demand has significantly slumped, garment orders from abroad have also declined and even the die-hard optimist Commerce Ministry officials have acknowledged that there would a decline in the garment exports during the
current year by around 15%. This has also been confirmed by person no less than Premal Udani, Chairman, Apparel Export Promotion Council that a fall in garment exports is inevitable, as the orders from European Union have declined. This has been corroborated by A. Sakthivel, President, Tirupur Exporters Association. This has even rendered the embroidery units set up by exporters in-house seriously under-utilised, ruling out any relief to the job-working embroiderers who could have hoped for getting the overflow of embroidery orders from such customers.
Then, there has been a consistent rise in wages, which are being revised sharply upwards to keep pace with the rising costs. Because of excessive embroidery capacity available in the market, the embroiderers themselves are going out of the way to compromise on terms, in various forms like lower embroidery rates and even longer credit terms that seriously affect their financial working. The unscrupulous customers are resorting to unfair trade practice of issuing unjust debit notes, to the disadvantage of embroidery job-workers. The norm of bad debts has also been stretched. This has left the embroiderers high and dry, saddled with huge and now unviable and redundant stock of embroidery machines.
This has led to unhealthy competition within embroiderers to compete and vie with each other to grab whatever embroidery job work is available in the market. Some of the lesser scrupulous turned more aggressive by offering their services for much less which did bring down not only current market charges, but also inevitably pushed down the quality.
The embroiderers are thus in a multiple whammy. But is it the end of the road for job-working units? Most certainly no. The quality conscious buyers continue to patronize the quality embroiderers but not without re-negotiating the job charges. For this tiny segment, its business as usual, even if it is lot less profitable.
Let us take a look at the common problems being faced by the embroidery industry in general and see as to how they can be tackled.
THE SOLUTIONS
First and foremost of the excessive embroidery capacity that has been set up. I think it is a high time that embroiderers should discard or phase out old and outdated machines that not only need more work force to run and more resources to maintain, but also occupies high-value floor space.
Second, it seems that it has now become inevitable for embroiderers to diversify that business and start finding out what products they can make themselves and sell directly in the overseas or domestic markets. I feel some of the areas that merit to be explored are cushions, bags, religious figures, landscapes, shawls and lamp shades, among others. This would spare them of the need to hanker after embroidery job-work orders that are
becoming difficult to come by.
Third, the problem of rising labour costs could be best settled by relating the wages to the quantity and quality of embroidery done by them. This, however, would need to done by introducing latest technology that needs less labour force, but skilled one. Phasing out of old machines, as mentioned above, would also be helpful. The present tendency of paying workers below minimum wages and failing to fulfil statutory obligations like ESI and PF is neither desirable nor a solution. On the contrary, it would eventually trap the embroiderer in paying more in terms of fines and penalities than the amount saved.
Four, we are in a dire need to attain higher efficiency which is possible by adopting innovation and better management of resources. The areas that I identify for focused attention are better designing techniques and latest technology for better value addition and cost reduction. These would be imperative if one has to stay afloat.
Five, offering credit up to 60 days or more has today become prevalent in this business. Inexperienced or desperate entrepreneurs often have to rely on this option to attract scarce business opportunities. Though a necessary evil, this is not a long-term solution as it seriously interferes with cash flow and dent the credit worthiness of the unit with its creditors. The embroidery unit must rely on better services and quality as a tool for
bargain rather than longer credit terms. A serious customer would almost always give more weight to the former.
And finally, in the absence of any standard industry guideline as also due to the wide variance in the quality that is produced by various embroidery unit, it is impossible to asses the real cause of debit notes and even bad debts that have been plaguing the industry. I would recommend that all possible quality related issues and the extent of
damages resulting in such an eventuality be discussed in details and put on paper before starting work on any order. Since each order has its own peculiarities, the embroiderer must consider all possibilities that can lead to a debit note or the entire payment being forfeited. Depending upon the order quantity, a rejection rate should be mutually agreed upon that can be in the range of 10% for very small orders like 200-300 units to 0.5% or lower for large orders of 40,000 – 50,000 units or more. A quick check on the creditworthiness and track record of the customer often helps.
I feel that if the suggestions given above get due and deserving consideration and adoption, most of the problems that confront the embroiderer would stand settled. For the rest, it would remain business as usual, with problems plentiful.
Product Launch
Radianza® brand dyed fibres from Birlacryl® and Amicor® brand anti-microbial fibers were launched in Tehran, Iran during the “Customer Meet 2011” on 27th November. The event was attended by spinners, carpet manufacturers and delegates of the textile industry from all over Iran.
Ambrish Maheshwari, CEO - Acrylic Fibre Business (Aditya Birla Group), welcomed the delegates and inaugurated the event. The inauguration was followed by a presentation from Biswajit Chaudhuri, CMO - Acrylic Fibre Business (Aditya Birla Group), in which he explained the specialty product portfolio of Birlacryl®, the key product attributes and applications of each product. However, the spotlight was on Radianza® and Amicor® which generated a lot of interest amongst the audience. The program was interactive and the delegates appreciated this session on the special product.
Radianza® fibers are made using a unique Gel Dyed Technology. It is an eco-friendly product and a fiber for the future. Radianza® gives brilliant, vibrant colors with a high uniformity of shade in large batch sizes which is extremely suitable for making Carpets, Rugs, Blankets and Uniforms for Military, Schools & hospitality sectors. Utility costs can be reduced to a considerable extent on using Radianza®. These fibers are available in more than 700 customized shades. It is possible to re-match any color. Radianza® fibers have easy blending with all fibers and have a better spinnability. Radianza® fibres find good application in sweaters, pullovers, cardigans, jackets, overcoats etc.
Amicor® is one of the premium anti-microbial fiber brands in the world. Amicor® brand of anti-bacterial and anti-fungal fibers provide effective and durable microbial control across all textile materials. Amicor® fiber protects textile materials against microbes. It helps in preventing allergies, infection and provides freshness over the lifetime of the product.
Amicor® brand fibers are endorsed by Seal of Approval from Allergy Foundation (UK) and Red Cross Hospital (Barcelona) for its proven benefits against allergens. Amicor® fiber finds excellent application in Carpets and Rugs for allergen control at home and work environment. Amicor® in Carpets provides freshness and hygiene for babies, children and adults. Other applications include Beds and Beddings, Bed Linens, Towels, Apparel, Socks and Innerwear, Hospital Uniforms etc.
The event concluded with a vote of thanks by Ambrish Maheshwari. He re-iterated the commitment of the business to be a long term supplier to Iran market and deliver the best products and services to their customers.
Technology
AVITERA® SE Technology Brings Sustainability Through Innovation
Continuing from the success from its initial launch in October 2010, AVITERA® SE from Huntsman Textile Effects, a leading global provider of high quality dyes and chemicals to the textile and related industries, continues to make strides in contributing to the sustainability of one of the earth’s most precious resources – water.
AVITERA® SE is a revolutionary, ground breaking technology that helps significantly reduce water and energy consumption and CO2 emissions since the dyeing and washing-off processes never exceed 60°C. With only five percent or less unfixed dye needing to be removed instead of the usual 15 percent to 30 percent, the number of rinsing baths to obtain the required fastness properties is greatly reduced.
Huntsman Textile Effects continues to deliver relevant products, experienced knowledgeable people and innovative solutions that are tailor-made to help businesses make real savings. Launching the next wave of AVITERA® SE range of polyreactive dyes for exhaust application on cellulosic fibers, the improved range now features a broad palette color spectrum that includes the palest to the deepest and the darkest shades.
In the first six months after AVITERA®SE was launched in 2010, Huntsman Textile Effects estimates that the cotton mills using the new product have saved 32 million gallons (121 million litres) of fresh water – equivalent to 48 Olympic-size swimming pools. That water-savings potential amounts to one quart (1.3 litres) of fresh water per person per day in major Asian textile processing countries such as China, India and Bangladesh, where water is most scarce. These savings are significant as the world demand for fresh water is expected to increase by 40 percent with up to 26 gallons (100 litres) of water needed to dye just two pounds (one kilogram) of cotton fabric.
Says Paul Hulme, President, Huntsman Textile Effects, “The textile industry as a whole is increasingly facing some very tough challenges in meeting with stricter regulations that govern sustainable and environmental business practice. Huntsman Textile Effects believes that innovative technology is the key to driving environmental sustainability and in making a real global difference.
Garment and Leather Technology in Calmer Waters : VDMA
Garment manufacturers of garment, leather technology and textile cleaning machinery anticipate a slight drop in sales of 3 per cent in real terms for 2011 compared to 2010. This means that the expectations for the current year were not met. An increase in real terms of 5 per cent is forecast for 2012. “Garment and leather technology is a sub-industry in mechanical engineering that usually experiences economic cycles earlier than mechanical engineering as a whole. As a result, 2010 saw a massive rise in sales. In 2011, orders received fell back slightly more than in the mechanical engineering sector overall. That said, figures are now developing pleasingly positively again,” explained the Chairman of the Association Tilo Ullmer, Owner and Managing Partner of PMF GmbH in Switzerland and FORTUNA Spezial Maschinen GmbH in Weil der Stadt at the VDMA Garment and Leather Technology Association's AGM in Dreieich, near Frankfurt. Within the VDMA, the Garment and Leather Technology Association encompasses sewing and garment machinery, shoe and leather technology, laundry and textile cleaning machinery and machinery for processing technical textiles. The volume of production in 2010 stood at Euro 484 million. With regard to orders received, garment and leather technology recorded an increase of 21 per cent in real terms in October 2011 compared to the same month the previous year. From January to October, a period less affected by short-term fluctuations, the figure was down by 8 per cent.
“The figures clearly show that the industry appears to be leaving behind the drop in orders received that occurred in the spring and early summer. The laundry and textile cleaning machinery sector in particular fared better in autumn than it did in the first six months of this year. The shoe and leather equipment sector has had a brilliant year from start to finish. We are therefore going forward into 2012 with great confidence,” added Elgar Straub, Managing Director of the Garment and Leather Technology Association within the VDMA.
AMICOR, PILBLOC AND RADIANZA TAKE TEXTILES TO NEXT LEVEL
Textiles are gradually moving away from traditional applications to more complex and intelligent functional forms. There is a continuous increase in consumer awareness and desire for healthy living in everyday life. Anti-Microbial Textiles play a major role in providing a healthy and hygienic living environment. Apart from hygiene, there has been an increasing demand for appealing aesthetics in apparels. Pill (Ball) formation in garments has been a major concern in both premium fashion apparels and garments for everyday use. ‘Pilling’ of garments on repeated washing/usage shortens the garment’s life span. Consumer needs and awareness of eco-friendly fabrics have added another dimension to this. Consistent research and developments have enabled us to opt for textiles that meet all these requirements.
Specialty fiber range from Birlacryl® provides a perfect solution to address these issues.
Amicor®:
Amicor® is one of the premium anti-microbial fiber brands in the world. Amicor® brand of anti-bacterial and anti-fungal fibers provide effective and durable microbial control across all textile materials. Amicor® fiber protects textile materials and helps in preventing allergies. Amicor® fiber provides freshness and hygiene for babies, children and adults over the lifetime of the product. Amicor® brand fibers are endorsed by Seal of Approval from Allergy Foundation (UK) and Red Cross Hospital (Barcelona) for its proven benefits against house dust-mite allergens.
Amicor® fiber finds excellent application at home and work environment for allergen control which includes beds and beddings, carpets, rugs, bed linens, towels, apparel, socks and innerwear, hospital uniforms among others.
Pilbloc®:
Pilbloc® is a premium brand of next generation anti-pill fibers. Pilbloc® fibers has been developed using a special technique to resist “pilling” over repeated usage. Fabric made from Pilbloc® fibers will give significantly less pills over repeated use/washing. It subsequently slows down apparel ageing. The anti-pilling property of Pilbloc® is a lifelong phenomenon and is an integral property of the fiber. The unique hand touch and softness remains unaltered even after repeated use. Garments made with Pilbloc® have a soft feel and easy care benefits. Brilliant colors, shades and excellent color fastness make Pilbloc® a perfect fiber for Fashion Apparels. Pilbloc® fibers provide a clean and smart look to sweaters even after repeated use making these especially suitable for school sweaters.
Pilbloc® fibers can be easily blended with all kinds of fiber to enhance pilling grade of the garment. Different types of blends with Pilbloc® are possible which are suitable in fashion wear for men, women and children; school uniform sweaters for students; very soft “cashmere feel” sweaters for young children and ladies wear, “silky” garments to mention a few. The range of applications with Pilbloc® includes sweaters, T-Shirts, mufflers, stoles, throws, caps, woven and knitted jackets, overcoats and others. Pilbloc® is preferred for school sweater in the U.K.
Radianza®:
Radianza® fibers are made using a unique Gel Dyed Technology. It is an eco-friendly product and a fiber for the future. Radianza® gives vibrant colors with a high uniformity of shade in large batch sizes which is extremely suitable for making Carpets, Rugs, Blankets and Uniforms for Military, Schools & Hospitality sectors. Utility costs can be reduced to a considerable extent on using Radianza®. These fibers are available in more than 700 shades. It is possible to re-match any color. Radianza® fibers have easy blending with all fibers and have a better spinnability.
Radianza® fibers are soft and have an excellent hand feel. A wide range of vibrant colors and shades are available with these fibres. Radianza® fibers also find excellent application in sweaters, pullovers, cardigans, jackets, overcoats etc.
Intelligent textiles are being increasingly demanded by consumers all over the world for apparent reasons; be it in sweaters, garments, carpets, rugs, uniforms or beddings. This has been corroborated by increasing volumes of intelligent textiles which are being produced and consumed around the world, India included.
A case study
LECTRA BRINGS IN 80% IMPROVEMENT IN PRODUCITIVITY; APART FROM FABRIC SAVINGS
Lectra is the world leader in integrated technology solutions—software, CAD/CAM hardware, and associated services—specifically designed for industries using textiles, leather, industrial fabrics, or composites to manufacture their products. It serves major world markets such as fashion, automotive, and furniture, as well as a broad array of other industries including aeronautics, marine, wind turbine, and personal protective equipment.
A transnational company, Lectra has developed long-term relationships with its 23,000 customers in more than 100 countries. Its state-of-the-art technology, which meets the specific needs of each industry, and the expertise of its 1,350 employees establish Lectra as a recognized standard. Lectra’s solutions enable customers to automate, streamline, and accelerate product design, development, and manufacturing, and in the fashion industry, to plan and manage the full life cycle of each collection.
Lectra has made claim of an incredible improvement in productivity, apart from fabric savings in the range of 5-8%. Let us take a case study to see what one of its clients, Shakthi Knitting has to say to say, based on their first-hand experience.
A Case Study
Shakthi Knitting, the largest manufacturer and exporter of apparel in India, specializing in casual wear, lingerie and high-performance thermals, chose Lectra’s CAD and cutting solutions to automate and streamline their production process. After a quick and effective implementation process, the customer has seen remarkable results: productivity has increased by 80%, and the company has achieved 5 to 8% savings on fabric. Optiplan, in articular, has helped Shakthi reduce costs and save on material by 2% compared to the manual process.
Shakthi Knitting now enjoys the benefits of improved quality, material savings, greater cost control, and the automation of processes, which has led to savings in time and labor hours. Lectra’s integrated solutions have enabled Shakthi to meet their challenges more effectively.
The challenge
Shakthi Knitting was using a manual process and wanted to streamline production with an automated solution in the hope of increasing efficiency, improving cutting accuracy and enhancing productivity. The challenge they set was to implement an automated integrated solution with faster machines that would be even easier for their operators to use. The company aimed to reduce their operating costs even further by using less material and energy, and to increase their productivity through non-stop automated cutting.
The solution
After a thorough evaluation of Shakthi Knitting’s working methods and practical needs, Lectra’s business and solutions experts advised the company to implement an automated, fully integrated cutting solution including Modaris, DiaminoFashion V5R2, Optiplan Expert V3R2, a Brio 55 spreader, and a Vector automated cutting system.
The process and results
“Lectra’s CAD solutions and cutting room equipment integrated smoothly into our planning and cutting process,” said Marketing Director, Yogesh Pai. “Within two weeks, our team was equipped with the solution and operating comfortably. We found DiaminoFashion to be particularly user-friendly software, and our CAD technicians were operational in just one week. Optiplan has made our tasks easier and enabled us to optimize the process to meet the requirements of our buyers.
We now save a lot of decision-making time before starting the cutting process. The Vector has helped us to overcome certain challenges by optimizing use of fabric without compromising cutting accuracy. It has also helped us to improve our performance in terms of productivity – we have seen an 80% increase compared to the previous manual process.”
An automated, integrated solution: ®: 5 to 8% fabric savings Mod Prior to the implementation of Lectra’s
aris, automated solution, patterns were created manually by Shakthi’s pattern Diam By deploying Lectra’s
ino, master. Modaris pattern-making solution, Opti Shakthi Knitting was able to create plan and patterns more easily with very Grading Ve accurate measurements and alteration functions have been particularly helpful for the company; they are now able to create 75 patterns per month and 700 per year.
“The number of markers we made emarks of grew as our turnover increased so we Lectr needed an efficient system for getting a markers made, and the availability of experienced pattern masters was a point of concern,” said Yogesh Pai. “DiaminoFashion ExpertPro has helped us to achieve a reduction in yarn/fabric use. We now use it to perform costing estimations and have made excellent savings. It has increased our marker efficiency by around 10%.”
Optiplan:
Optimizing the process to meet customer requirements
“In garment manufacturing, products often go through numerous stages of alteration in response to customers’ comments, and, due to fabric quality parameters, we need to change markers frequently to meet measurement needs. Optiplan makes it easy to modify the markers and saves a lot of time before cutting begins.”
“Optiplan has enabled us to greatly increase our efficiency. It has helped us to reduce costs and make material savings of up to 2% compared to the manual proces,” he said. Shakthi is now equipped with the right combination of software and intelligent cutting equipment for a fully collaborative and integrated solution, from design to manufacturing. “We have automated our manufacturing process, enhanced productivity, fulfilled our customers’ requirements, and improved quality tremendously,” said Pai.
Lectra’s Vector line:
80% increase in productivity
The Vector automated cutting system has helped Shakthi to meet its challenges in terms of better use of available fabric, greater productivity and enhanced cutting accuracy. “Our productivity has increased by 80% compared to the manual process we used before. We have also gained in in flexibility – we can now shift quickly from one type of order to another, and that is a major advantage for us,” said Pai.
Excellent support
The service and support we have received from Lectra have been outstanding,” said Pai. “Their team was available for us, whenever we needed support regarding the product. They have always been quick and co-operative. We are extremely satisfied and very happy with the quality of partnership we have built with a very Lectra is the world leader in integrated technology solutions that automate, streamline, and accelerate product design, development, and manufacturing processes for industries using soft materials. Lectra develops the most advanced specialized software and cutting systems and provides associated services to a broad array of markets including fashion (apparel, accessories, footwear), automotive (car seats and interiors, airbags), furniture, as well as a wide variety of other market sectors, such as the aeronautical and marine industries, wind power, personal protective equipment. Lectra serves 23,000 customers in more than 100 countries with 1,500 employees.
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