LAHORE: Growing demand of garments in Brazil, Russia and South Africa – three important economies in the five-member BRICS block – gives an immense business opportunity to Pakistan’s textile industry to expand sustainable production.
Clothing demand is rapidly increasing in the emerging markets of South Africa, Russia and Brazil. Garment sales are growing eight times higher in developing emerging economies compared with the developed world. Two other BRICS-members China and India are also lucrative markets but these two economies already produce all types of clothing to cater their domestic markets.
Pakistan’s apparel manufacturers could grab the fast-growing clothing market. Millions of people are entering the middle class market every year in the developing countries. The main challenge is not price, but sustainable production.
Globally, more than 100 billion garments are produced every year, which means around 14 garments per capita. London-bases marketing research firm Euro Monitor International, in a report, said clothing prices have increased much less than the rates of other consumer goods. During 1995-2014, the average increase in prices of all goods was 247 percent in Brazil, but only 133 percent in clothing.
During almost the last two decades, general prices rose 53 percent in China, while prices of clothing increased only 38 percent. Germany saw 53 percent rise in prices of all goods and clothing by 10 percent. In India, prices of all goods soared 272 percent, while those of clothing 156 percent.
Likewise, prices of all goods in Russia increased 1,975 percent and clothing 1,171 percent. In South Africa, the price increase in all goods was 187 percent and for clothing only 33 percent. United Kingdom is a country where prices of all goods increased 49 percent, while prices of clothing decreased massively 53 percent. In the United States, the general increase in prices was 55 percent and for clothing prices inched down three percent.
Notably, consumption of garments in emerging economies is still far less than that in the developed economies. New York-based management consulting firm McKinsey, in a report, said falling costs, streamlined operations, and rising consumer spending doubled clothing production between 2000 and 2014.
The report said shoppers positively responded to lower prices and greater variety as manufacturers achieved efficiencies by streamlining their supply chains and aggressively cutting costs. Producing more garments is easier, but addressing global concern for environmental pollutions caused by garments is still an issue. Non-compliance to sustainable production means an order rejection from lucrative developed markets.
However, the growing appetite for garments shows that consumers are overlooking the sustainability issue and social and environmental costs of non-complaince.
However, a movement to ensure sustainable production has already started. Some big companies in the world have conditioned their suppliers to reduce carbon footprints and ensure dispensation of social rights to workers. These actions are, basically, to preempt the backlash of their conscious consumers. The retailers are wary of labour conditions, wages and health and safety hazards, throughout their supply chains.
Pakistan’s garment manufacturers have to develop standards and practices for designing garments in a way that can be easily reused or recycled. The producers must encourage consumers to care for their clothes with low-impact usage. They will have to increase their labour and environmental standards for suppliers.
The garment manufacturers need to ensure transparency in their supply chain. The world’s famous brands are now providing suppliers with guidance and resources to meet new labour and environmental standards and hold them accountable for performance shortfalls through social audit. Of course, there will be no laxity and exemption in years to come.
A clothing sustainability impact continues to mount. Industry experts estimated that one kilogram of fabric making generates an average 23-kilogram of greenhouse gases, while its usage requires washing, drying and ironing, which together create 11-kilogram of greenhouse gases.
Clothing makers and retailers can help consumers adapt to clothing-care practices that have a smaller environmental toll and keep garments in good shape for longer. McKinsey said shredding and chemical digestions recycle clothing material but are not widely practiced.
A league of 22 world’s famous brands has recently vowed to improve and expand the use of nontoxic and sustainable chemistry in the textile and footwear supply chain. Better cotton initiative is another program that certifies use of best agriculture practices from cultivation to harvesting. The initiative have so far certified 700 cotton suppliers around the world for practicing the recognised standards for environmental, social, and economic responsibility in cotton production.