The global textile and apparel or readymade (RMG) industry in 2023 is expecting a mixed environment as a whole. As leading market analytics McKinsey’s report ‘The State of Fashion 2023’ highlights that in 2023 leading markets like the USA will observe a 5% to 10% growth, while the European market fashion sale will remain as it is or see around 3% growth due to the conflict in Ukraine. Most impressive is that the growth in Asia, the Middle East and parts of the Asia Pacific fashion market will log a tremendous boost in 2023.
This positive mixed with caution vibe is depicting an optimistic yet cautious reaction among the textile and apparel manufacturing hubs – especially the world’s second biggest apparel sourcing country – Bangladesh.
Textile Today – a leading RMG and textile industry-focused innovation platform – has talked to leaders from various layers of the textile and apparel value-chain to depict a holistic scenario. Here you will get some forecasts from brands and buyers.
What brands say
Shafiur Rahman, Country manager, G-Star RAW
Entering a potentially recessionary year, the world will see lots of changes with positive-negative consequences as part of the rearranging decade. The first half of the year will be more challenging than the second half. This means it’s a great opportunity for all to focus on the mental and physical health of the organization, and people by upskilling the team, adapting/changing ways of managing tasks as stronger preparations for upcoming challenges. Consumers’ expectations from the whole value chain, especially from brands will be more than just demo and sample, they want to participate, learn, and celebrate as AI will lead more than ever. Let’s put a mirror on the second quarter of the year to foresee the remaining 2023.
Abhishek Nath, General Manager at Gerry Weber
2023 will continue to remain challenging because the fundamental market conditions have not changed in the consumer economies, as brands and manufacturers we need to remain resilient, flexible and innovative.
In this environment, only the best will thrive the rest will have to find ways to be better.
Abdullah Al Mamun, Business Unit Manager, Marks & Spencer
2023 will be a tough year for the fashion industry due to the continuing inflations in key markets, more in Europe, and less in USA and China. The ongoing geopolitical tensions in Ukraine have disrupted the supply chains and created an energy crisis, which will greatly weaken the fashion market.
Also, with the pandemic coming to an end, e-commerce growth will normalize after the pandemic boom, and now since the lockdown restrictions are eased off, consumers will desire to experience visiting the stores again. However, online will still play a significant role in luxury fashion goods.
Existing markets that had solid growth prior to the pandemic are facing a wider range of issues, such as extreme weather conditions-unprecedented warm winters across Europe-and political crises in Europe and Russia, Middle East will be the new heaven of growth for fashion industry in 2023. Hence brands should have a strategy to tap this market. Initiatives to address the impact of fashion on climate will be a key factor.