Tuesday, September 14, 2010

NEWS REPORT / THE ECONOMIC TIMES

Apparel Brands Take An Eco Turn In India

Major apparel brands in India are taking a eco-turn with environment friendly textile lines now being seen as an essential part of the line up. Retail brands are acknowledging a small but significant consumer demand which is not only willing to pay the premium, but is also making a conscious choice for sustainable garments.

A report in the leading Indian business daily Economic Times says "Organic clothing is a revolution towards a better living. Less of a commodity and more of an idea or a concept, Indian garment companies are pitching in with their efforts to promote the concept."

According to the Economic Times report, being eco-friendly has acquired a business sense in retail. With apparel retailers including Wills Lifestyle, Van Heusen, Benetton, S Kumar’s Nationwide (SKNL) and Arrow betting big on eco-friendly line of apparel to woo the environment-conscious consumers, the segment is set to get a leg up in times to come.

The report says that while currently this segment accounts for less than 1% of the Rs 32,000-crore organised branded apparel market, it has a potential to grow to about 5% of the total market in the next five years, say industry players.

Van Heusen, the apparel brand from Madura Garments, which launched its green range of apparel in April this year, has seen a healthy demand in the market for organic clothing. Wary of how the market will receive such a line, the brand started with a limited edition, but soon saw it flying off the shelves.

Jeans maker Levi’s, which already retails organic jeans in the US market, is set to launch its organic line for male and female denims —Levis- Eco—in India. While the cotton used by the company for making jeans is organic, the button on the waistband is made of coconut shell. There are no metal rivets, the dye is from natural compounds include indigo, and the label is from recycled cardboard.

However, the report cautions that the segment is still at a nascent stage as it is yet to penetrate the mass segment due to pricing difference. According to retailers, a piece of clothing in the eco-friendly segment is priced at about 30% higher than the usual apparel. While developing an eco-friendly range of apparel increases the cost to the company, limited suppliers producing clothing out of natural ingredients or recycled material also pose an additional challenge for the retailers. As a result, the production of apparel has not exceeded about 100,000 pieces a month. Despite these limitations, brands are bullish on the prospects of eco-garments.

Read the full report in The Economic Times: Demand for eco-friendly apparel grows

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