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Denim by PV...December 2011
Dynamic and Diverse, Denim Once Again Hits the Spot

 

By Louisa Smith
Combining creativity with chemistry, denim offered yet another season of newness. Just how does denim continue to reinvent itself? For the main part it is the close-knit denim community that drives this favored fabric into new directions over and over again. As one exhibitor at Denim by Première Vision (Nov 30-Dec 2) told Inside Fashion, once you work in denim you never leave! It is this passion that drives the reinvention of this staple fabric over and over again.
The buzz at the show shifted from the previous season’s worry over cotton prices to a focus on new collections and finishes. Even the ever present grumbling about the European financial crisis wasn’t going to deter these diehard denim aficionados. Denim is standing strong regardless of whatever else might happen in the market.
SUSTAINABILITY
Last season the industry beat its chest over the unsustainable aspects of denim processing. The lament continued, however this season turned up a variety of new developments to set denim on a more eco-friendly course. Mills are not going to crucify themselves over manufacturing processes, but are looking to introduce new equipment and chemicals that reduce denim’s environmental impact.
“One of the things we are expanding is the sustainable line. We are working with [Patrick Yarns] a yarn supplier in North Carolina who use recycled fibers and solar panels for energy. Soda pop green and water cooler blue for spring is the perfect story,” said Kara Nicholas, vice president of new product and marketing. “I think there is interest in trying to do something that is eco friendly. The customer feels good making a contribution to the environment, as well as being comfortable in these fabrics which have a soft hand,” she explained, referring to the blue and green tones coming through in cotton/polyester blends.
Waterless finishing is now par for the course. At garment finisher Sartex (Tunisia) environmentally-friendly chemical products that reduce water are the buyers’ favored choice. “ We are using laser finishing and ozone machines. With the ozone finishing we can clean the surface of garments without using water and we also use a stone finish without water,” said Mounir Zarrad.
Eco-jeanious is part of the waterless package from Ereks (Turkey). “First of all we are using zero water; we are also using environmentally friendly chemical washings. Without water you can also involve laser, although you do have to use electricity to use laser,” said Onur Petek.
But not everyone is prepared to go waterless to get the authentic denim look that will make them stand out from the rest, nor are some brands concerned on price, if the ultimate look in denim through fiber, construction and finish is achieved. “It depends on the client, if they want washing effects we can use less water, it is all up to them. We can use alchemies to get the kind of softness they want. If we reduce two rinses, we eliminate 2000 liters of water per machine,” said Mr. Petek. But at what cost to buyers? According to the majority of launderers it is minimal when the energy and water savings are taken into account.
US Denim’s (Pakistan) new development, Advance, uses less water consumption. While there is a small premium, it is negligible compared with the water savings. “The basic aim is to be more ecological, more green. What is different is that this is done at the fabric stage. You see a lot of waterless finishes at the garment stage, so this process is very new,” said Syed Adeel Haider, US Denim’s marketing manager.
COTTON PRICES
The good news is that cotton prices have finally stabilized after an erratic run that peaked in March 2011.
“When I am dealing with my suppliers we are under pressure for price,” said Simon Platts of Blue Method, denim supplier to major UK retailers, explaining that his customers were aware of the price decrease and wanted it passed onto them. “Four or five years ago a nice denim quality was $2.50 a yard. They had gone up to US$4.10 a yard, and are now down to US$3.90 a yard, but haven’t gone back to the original price.”
 
“Denim may not touch the same price level as before, but it has come down. More importantly [prices are] stable. When cotton was at its peak, prices quoted to our customers could only be secured for one or two days. Now the price is stable for a longer period, which is good for the garment manufacturer and retailer,” said Syed Adeel Haider of US Denim.
 
“We expect to have some stability in the market for the next three years. It was inexpensive two years ago. That wasn’t good. Now at US$1 per lb cotton is affordable for us, its good for cotton growers and good for the consumer,” said Rogerio Gonçalves, marketing director at Santanense (Brazil).
 
MARKET SHIFTS
 
Bangladesh was the buzzword for many garment buyers on the denim manufacturing front, with duty free status to Europe, resulting in a ten percent saving on price. “Bangladesh is catching up with Pakistan, it is a killer to Chinese manufacturing” said Simon Platts of Blue Method, adding that while Bangladesh offers an incentive on the price front, Pakistan is still more efficient. “Denim is massive in Bangladesh, although the hard thing is finding the right partner. UK buyers are pushed on margins. I offer jeans at US$12 and I still don’t get the order. Buyers have increased their margins up to 72 percent; this is much higher than what they used to be. If they came in with lower margins [to begin with] they wouldn’t have to markdown the price [at retail].”
 
Turkey is positioning itself to take over the premium denim market, once the preserve of Japan and Italy. Strategically located between Asia and Europe, Turkish manufacturers believe that they have the best of both worlds. “It’s not just the location, is it also the cultural aspect of Turkey. We have an understanding of the market’s needs, we are at the heart of the denim industry,” said Fatih Türk, sales and marketing director at Calik Denim.
 
Kurabo (Japan) has moved its production to China. “We are now producing in China, but our technique and ideas are the result of Japanese know-how. It’s the Japanese quality and ideas that is ensuring denim carries on,” said Hisaya Shiga of Kurabo.
 
In today’s market flexibility is essential. “[Buyers want] different, fabrics structures, different washes, so we have to change the way we do business. Nowadays people have 12 collection not two. The denim business is quick and you have to react quickly”, said Mr. Gonçalves at Santanense
 
Although denim sales took a dive due to the spike in cotton prices, it has clearly made a comeback for spring ’13 and we expect that it will remain a fashion staple. As Onur Petek stated: “long live denim!”
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