Global Vibes
UNITED STATES: Multi-national clothing group American Apparel has again hit the headlines, with a federal agency in the US finding about a third of its Los Angeles-based factory workers were not authorised to work in the country. The federal probe found as many as 1800 workers had found employment at the company by supplying “suspect and not valid” eligibility documentation. At the time of press no criminal charges had been filed against the company or any current employees. The company’s LA operations employ 4500 workers who help produce 230,000 garments per day.
Indian textile struggle
INDIA: Representatives of India’s textile industry have put together a wish list aimed at countering the effects of the global recession on the sector. The country’s textile industry, which is the largest employer after agriculture, has seen about 100,000 workers laid off in recent months. The Apparel Export Promotion Council (AEPC) claimed that unless the government took concrete steps like China, Bangladesh, Pakistan, Cambodia and Vietnam, the garment industry could face major damage. Among other things, the AEPC has called for an increase in duty drawback and duty entitlement passbook scheme rates for synthetic textile items and a reduction of excise duty on textile machineries.
M&S to increase prices
UNITED KINGDOM: High profile retail group Marks & Spencer has hinted it may look at increasing prices on its clothing by an average of three per cent this autumn because of currency fluctuations. Owner Stuart Rose said no decision had been made on which categories would be hardest hit, but noted other retailers were expected to increase their prices and M&S would “have to go where the market leads”.
Sports sales flat
CHINA: Global sales of sports equipment, apparel and footwear have proved largely immune to the effects of the global recession with flat sales of $US284 billion ($A358 billion) last year, a new report has shown. The finding, by research group NPD, found while sales were up four per cent in Asia and seven per cent in the Middle East and Africa, this was offset by a one per cent decline in both the Americas and Europe – including a drop of two per cent in the US. In 2007, sales rose four per cent globally.