Fibers, Yarns & Threads analysis is an essential activity for the whole fiber and yarn industry as they are important component of textile industry. As per the fiber report, the trends favor man made fibers, yarns and threads. They have grown considerably in the recent years which has resulted in significant increase in their production and consumption. However, this rise is due to increased consumption in China which sustains global demand. But demands in fiber industry of other developed countries have decreased due to restructuring of their textile industry.
Global Trends in Fiber, Yarns and Threads - Production and Consumption
The output of man made fiber had increased in Asia by 11.9%. The consumption of wool and cotton has also increased here by 2.5%. A decline was seen in Europe and Americas at nearly 4.5% each. The growth in today's booming markets is predicted to be restricted by energy and raw material shortages.
Fiber trends have been favorable to man made fiber output of China, which increased by 17.4% in 2007. India's output of raw materials for cotton and man made fibers also increased in the same period. The production of spun yarns
, cellulosic and synthetic fibers also increased in India. Other countries like Egypt, Thailand and Vietnam are continuously gaining importance. Other high potential nations like Cambodia, Indonesia and Uzbekistan are waiting for investments to tap their full potential.
For the period until 2020, an additional demand of 30 million tonnes of fibers, yarns and threads is forecast, raising the annual per capita consumption from 10.9 kg to 13.5 kg by 2020. Man made fiber will keep on gaining importance and Polyester
will continue to dominate due to its favorable cost benefit ratio, further spinning expansions and supply of raw material from Asia and the Middle East.
Cellulosics, the staple fibers, will rise due to increased use in non-wovens and textile applications. Polyamide and acrylic fibers
will be subjected to further relocations and mergers. The markets for small-scale fiber types like aramid and carbon fibers will continue growing rapidly.
In natural fibers, as far as cotton is concerned, its demand remained static in 2007 and the same trend is seen in 2008. The main causes for this trend are slower global economic growth and competitive prices of substitute fibers. Moreover, cotton output will lower by approximately 2%. Therefore demand will be high as compared to its supply, causing some mild price rise.
Wool prices have fallen after peaking in January 2008 as a result of the easing of drought conditions in the Australian region and also the demand for it has weakened. There is little chance of any strong recovery in demand of wool.
The man made fiber spinning business has further declined in Europe, Japan and the United States, while Asia continued to grow its share in the market. The global manufacturing market share for Asian countries was at 77% , of which two thirds are being manufactured in China.
The production of filament yarns rose by 10.0% , mainly due to the growth in polyesters which was up by 14.1% to . Staple fibers, the raw material for spun yarn and non-wovens, rose by 3.0% . This segment got advantage from the growing demand for viscose and polyester staple fibers as well as cotton.
When talking about sewing threads
, it accounts for only around 1% of the cost of a garment but is a critical component in terms of the garment's overall quality and appearance besides impacting factory productivity. The low cost markets of Asia, Eastern Europe and Central America/Caribbean are supplying over 80% of wholesale yarn and wholesale thread for Western markets apparel requirements.
Fibers, Yarns & Threads : The Worldwide Trends
The Growth trend of fiber is not even and is increasingly shifting towards developing economies particularly the Asian countries. Investors, particularly all the companies including fiber companies, yarn companies and thread industry, are installing new machinery in lower cost regions. In developed and newly industrialized countries, the spinners are facing increasing competition from filament yarns and non-wovens too. In spite of all these, many developed economies like Italy are still competitive and have a flourished spinning industry defeating its high labor costs. It is the result of practices adopted by the fiber and yarn industries, like economy exercised while production, state-of-the-art technology for minimizing labor cost, electronic monitoring system for improving productivity, speed, quality and flexibility, innovations in designs and fibers etc.
The yarn analysis too shows that the abolition of quotas has presented new challenges in front of the yarn manufacturers. As a result of the above trends, the yarn companies in developed economies will be forced to move closer to centres of textile and apparel production so that they may offer quick response to changing demands and may also lower prices to remain competitive.