Indian apparel industry weak on mixed synthetics front

The developed countries are buying clothing made up of mixed synthetics and the Indian apparel industry is weak on that front, leading to a decline in global export share, a report by Global Trade Research Initiative GTRI stated recently. The GTRI said that due to weak synthetics, India's apparel industry is a horse running with one leg tied. The results are low exports, low wages, and low investments in the sector, it noted, adding that synthetics have overtaken cotton and become the favourite of the fashion industry. A total of 70 per cent of clothing bought by developed countries is made of mixed synthetics. Their share in Indian exports is less than 40 per cent and this is the key reason for India's weak garment exports, the report said.

Polyester fiber's estimated global market size is USD 102.2 billion in 2023

According to a latest update, Polyester fiber's estimated global market size is USD 102.2 billion in 2023, and it is anticipated to reach USD 151.6 billion by 2028. Between 2023 and 2028, this growth is anticipated to occur at a Compound Annual Growth Rate (CAGR) of 8.2%. ResearchAndMarkets.com's "Polyester Fiber Market by Form (Solid and Hollow), Grade (PET Polyester Fiber and Pcdt Polyester Fiber), Product type (PFY and PSF), Application (Textile & Apparel, Home Furnishing, Automotive), and Region - Global Forecast to 2028" report noted that the increasing demand for polyester fiber can be attributed to a multitude of significant factors. Firstly, the sheer versatility of polyester fiber renders it a prime candidate for an extensive array of applications, spanning from textiles and attire to industrial and technological uses. Its durability, resistance to creases, and straightforward maintenance have collectively catapulted it to being a favored choice within the fashion and home furnishings sectors.

Furthermore, its cost-effectiveness and relative ease of production have firmly established it as the material of choice for manufacturers. In a world increasingly conscientious of the environment, polyester's recyclability and ongoing sustainability initiatives have bolstered its ascent in popularity, as more ecologically-friendly variants continue to emerge. Consequently, the demand for polyester fiber continues to grow across a wide number of industries, propelled by its adaptability, endurance, and eco-conscious innovations.

Textile & Apparel is the largest application segment in terms volume and value. In 2022, the market for polyester fiber was dominated by the textile & apparel application. It will be the leading the application segment in the global kaolin market and it is expected to keep growing in the near future. Polyester fiber's distinctive combination of attributes, such as exceptional durability, resistance to wrinkles, and color retention, render it a prime selection for textiles and clothing. This adaptability extends to a wide array of items, from everyday attire to high-performance sportswear.

Outlook:

Crude oil prices tend to have a substantial influence on the manmade fibers prices. Brent crude oil spot prices surged to $80 per barrel due to heightened uncertainty over global oil shipments, as highlighted in the latest Short-Term Energy Outlook (STEO) from the Energy Information Administration (EIA) for February 2024. Expectations point to further increases into the mid-$80/b range, but downward price pressures are anticipated in the second quarter of 2024 with rising global oil inventories. Despite a record high of over 13.3 million barrels per day (b/d) in December, U.S. crude oil production fell to 12.6 million b/d in January due to weather-related shut-ins. The STEO forecasts a rebound to nearly 13.3 million b/d by February, followed by a slight decline through mid-2024, with significant production increases not expected until February 2025.