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More than words
Issue date:01/06/2008
ATA Journal for Asia on Textile & Apparel - Jun 2008 Issue
Source:Journal for Asia on Textile & Apparel
by Michelle Phong
Yarn and denim fabric producer Central Textiles supports protecting the environment and has put its belief into action by playing an active role in a new organisation dedicated to clean production
As one of the oldest textile producers in Hong Kong, Central Textiles knows very well that the buzzword of "sustainability" today in the manufacturing sector is not merely a marketing tool.

"It is manufacturers' responsibility to restrain their ecological footprint on the planet during production," said Woo Pat-nie, Director of Central Textiles and Founding Chairman of Sustainability Fashion Business Consortium (SFBC), whose mission is to improve eco-friendliness of textile production process.

Through the process improvement programs involving wastewater treatment, energy generation and warehouse management, a manufacturer can also help enlarge its profits within as short a period as six months, according to Mr Woo. "The critical factor is the company's commitment," he remarked.

Hong Kong origin and best practices

SFBC comprises 12 Hong Kong-based enterprises from different textile sectors, ranging from spinning, weaving, dyeing, finishing, to garment-making and fashion design.


Possible process improvements in a textile plant
"By coming together as a group, our voice is much stronger. It also sends a very positive message as we represent close cooperation among textile industry players," Mr Woo said. "The group has representatives from the entire fashion supply chain, who bring with them the expertise in all aspects of textile and apparel manufacturing."

SFBC is now in the process of forming a trade association to promote best practices in the operation of Hong Kong-invested textile factories. By "best practices" in textile manufacture, as defined by SFBC, it means the best possible balance between ecological, social and economic needs.

New ideas include using voltage control transformer to lower energy consumption, and a ground source heat pump to naturally cool down heat water.


Woo Pat-nie
Another area of concern is carbon dioxide (CO2) emissions.

The rise of carbon dioxide gas in the atmosphere in the past five decades was partly caused by the fast growing human-related carbon dioxide emissions, which contributed to greenhouse effect.

The largest source of CO2 emissions globally is the combustion of fossil fuels such as oil and gas in power plants, automobiles and industrial facilities.

Common vision and strategy

Mr Woo said many retailers had made environmental protection a part of their corporate vision and strategy, so there were often specific rules and standards set within a retailer's own global supply chain.


The spinning plant of Central Textiles in HongKong
"We [manufacturers and retailers] need to agree on a standard way to calculate carbons across the supply chain so as to avoid complications," he said, adding that manufacturers should be in the best position to tell the retailers what would be the best way to calculate carbons in their factories.

Now, he is hoping that by meeting with the UK-based RITE (Reducing the Impact of Textiles on the Environment) Group later this year, clearer targets could be agreed on and subsequently accepted by manufacturers around the world.


RITE Group
RITE group is a newly established association comprising retailers and textile experts in the UK, with Marks & Spencer being one of the founders.

Mr Woo continued, "The key is information sharing and dialogue, which were both lacking in the past. It used to be mainly the brand owners or retailers telling manufacturers what to do. However, good manufacturers know what would be the best way to run their factories."

Yarn of eco-friendliness

Within Central Textiles, the focus lies in the development of sustainable fabrics with organic cotton and recycled materials.


Estex ring spun yarn (bottom) gives a higher level of yarn softness than conventional spun yarn.
In 2005, the company commercialized a product, EsTex, which was co-developed with the Hong Kong Polytechnic University, involving a special spinning technology that reduced yarn twist by around 40%, enhancing energy savings of 15%-20% and reductions in dyestuff consumption due to a 30%-40% increase in color yield in the dyeing process. Meanwhile, the new yarn offered a bulkier and softer texture with supple hand feel.

According to Mr Woo, the market response of this eco-friendly yarn was satisfactory with an annual growth of 4-5 times. Although the starting base was small, he was excited about the new possibilities that came with the new yarn.

A joint investigation involving two other Hong Kong enterprises, Fountain Set and Crystal (both founding members of SFBC), was launched in an attempt to discover the potential of EsTex in dyeing, finishing and garment-making processes.


Sustainability Fashion Business Consortium (SFBC) Mission
What they want to find out include: Given the naturally soft EsTex yarn with natural luster, to what extent it can maintain a good level of softness while laundering and finishing are minimised to save water and chemicals? Also, how much dyestuff and time can be reduced in the fabric finishing process?

EsTex yarns have already been used in Uniqlo's premium cotton line.

Reaching downstream users

Working also with major international retailers such as Marks & Spencer, Gap and Old Navy, Central Textiles was one of the few non-Japanese denim fabric suppliers exhibiting at Première Vision and Expofil in Paris since February 2007.

It also exhibited at the Denim by Premiere Vision in December 2007 and Munich Blue Line Show in February 2008.

It all happened after the company set up a denim fabric division six years ago to try to get closer to the end users of its yarns. It also marked a leap forward in the company's development.


Xfit Lycra fabric made by Central Textiles
"At prestigious fabric trade shows, we present our latest yarn and denim fabric developments, positioning ourselves as an innovator and trendsetter, particularly in the realm of sustainable development," said Mr Woo.

Market-wise, Central Textiles has been targeting the high-end denim segment by serving as a Chinese licensed supplier of Xfit Lycra since last year. Among about 10 licensed producers of Xfit Lycra, Central Textiles is one of the three in Asia, while the other two are in Japan and India.

"Pure price competition becomes less relevant to us as we aspire to being a market leader. We seek to enjoy the first-mover advantages by developing cutting-edge technologies and products. Continuous innovation becomes a routine to us," he said.


Central Textiles at Expofil in Paris last year
"Our quality fabrics are difficult to source within China at the moment. The denim fabrics we offer give an international flavor to denim brands in the mainland, " he said.


Pressurising factors

Due to the new labor law and the reduction of export rebates in mainland China, coupled with the adverse impact brought by the US sub-prime crisis, textile mills in mainland China and Asia are facing difficulties.

Above all, the rocketing cotton price, which stood at about US$0.70 per pound in May, an increase of 40% from early 2007, and the slowdown in the retail sector in North America and Europe, have cast shadow on the Chinese textile industry.

Central Textiles Profiles

Mr Woo commented that textile enterprises with innovation ability could stay away from price competition more easily.

Faced with rising raw material prices, manufacturers are tempted to increase prices, but the cut-throat competition in the retail market has made this impossible, he explained.

The option is to use more advanced technologies and production techniques so as to be more cost-effective. Textile manufacturers should also look for eco-friendlier production solutions for sustainable development.
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