TIP Focuses on Growth
Carole Sloan -- Home Textiles Today, September 5, 2005
Global sources, whether from Europe or Asian countries, are focusing on the United States and the European Union as primary growth objectives.
Exhibitors at Decosit and Textiles d'Interieur Premiere (TIP) here are renewing their efforts for business growth in these areas as companies in both segments increase outsourcing and quotas have been lifted.
For Israel-based Flocktex, the United States is a major sales target, and to enhance its efforts the company has established a base in New York City, said Isaac Zeiler, the company's U.S. representative.
Flocktex, said Zeiler, is totally export-driven with Europe its largest market, followed by China and Eastern Europe. But it is the United States that is the company's prime growth vehicle, Zeiler said, noting Flocktex's strength in faux leather fabrics that are featured at Decosit.
Another Decosit exhibitor, England's Ashley Wilde, “has a much strengthened position in the United States,” said Nick Jones, export manager. The company continues to make inroads in Europe, the Middle East and Far East, he added.
In what he describes “as an otherwise difficult year,” Jones attributes much of the company's success to a new design studio's efforts. Part of the difficulties, he noted, has come from the reinstatement of quotas from China in Europe in the latter half of 2005 which “caused panic buying.”
From the view of TIP exhibitor Hakan Cakiei, export manager of Doperteks Tekstil of Turkey, overall business is slow, and the company's major business is with the United Kingdom and Greece. The removal of quotas has made no difference to the company's sales, he added. Future growth objectives include increasing sales to the United Kingdom and France.
For Pakistan's Nishat Mills, another TIP exhibitor, business in general “is tough,” said Muhammad Asif Malik, general manager, marketing, home textiles. But its United States business, now at about $25 million, “is increasing at a phenomenal rate annually.”
The removal of quotas “has definitely been instrumental in increasing our business volume in the U.S. and the European Union.” Currently, the United States, United Kingdom and Germany are the company's largest markets. Its goal, he added, is to increase business in the United States, United Kingdom and continental Europe.
For Reliance Industries, another TIP exhibitor, the United States and Europe are the major growth targets, said Pramod Sharma, vice president, exports, of the Indian-based company. Removal of quotas has been a major impetus for the company in exports to the United States, which is one of its top-three export markets. Europe and the Far East are the other two top export sectors, he said.
Overall, Sharma pointed out, “State-of-the-art machines resulting in high production efficiencies” have added to the country's competitive edge.
As for the overall decorative fabrics business globally, Patrick Geysels, managing director of Textirama, the organizer of Decosit and Deco Contract, acknowledged the dramatic emergence of China, India and Pakistan, among others, but cautioned that these two shows would admit only qualified mills as space allowed. He compared the current situation with the one some years back when there was considerable concern among the traditional exhibitors over the entry of mills from Turkey, which now has a significant presence at the event.
For this Decosit/Deco Contract, three more exhibitors from China will join the two “pioneer” Chinese companies that made their debut here last year.
Of the 13 new companies at this year's event, three are from Turkey, two each are from Spain and India, and one each has been added to the rosters of Germany, the United Kingdom and Israel.
With the dramatic changes taking place globally, Geysels considers this period one of uncertainty in terms of business.
As for TIP, Andy Green, managing director of Trade Link Co., the British organizer of this and other textiles shows, considers this a time for learning. “The global market has to find its own level,” he said.
Green added, “The lifting of quotas has been a great liberation for the East to trade more freely with the Western market.” To emphasize the point, he noted that TIP in late August had more than 1,000 additional preregistrations compared with the 2004 event.
As for the exhibitor base, he noted, “Over the last five years, it has become predominantly reflecting the emerging textile market base.” This year's roster is 37 percent from India, 35 percent from China, and 15 percent from Turkey, with Pakistan companies showing “tremendous growth for the second year in a row,” he added.
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