ITF Releases Fourth Global Survey on the Impact of the New Crown Epidemic on International Textiles
Between May 20 and June 8, 2020, the IFB conducted the fourth IFB New Crown Impact Survey of IFB members, affiliates and associations to understand the impact of the New Crown pandemic on the global textile value chain. Some 600 enterprises from around the world participated in the survey.
Decrease in orders in all production sectors of the global textile value chain between 37 and 46 per cent
Globally, turnover is expected to decline by an average of 32% in 2020.
When asked what lessons firms had learned from the crisis, the most important lesson was to "reduce dependence on a few customers" (25%), followed by "strengthen balance sheets" (21%) and "increase the range of products available" (17%), "change the products offered" (11%) and "reduce dependence on a few suppliers" (9%). product offerings" (17%), "change the products offered" (11%) and "reduce dependence on a few suppliers" (9%). In addition to the above lessons, survey participants also mentioned "other lessons", such as a higher degree of flexibility to meet different needs, working with reliable and sustainable partners, developing more innovative products or improving risk management.
Finally, participants noted that industry firms were expected to consolidate as demand was significantly lower than before the crisis and the industry had found itself in overcapacity. Firms with good balance sheets, innovative products, diversified and flexible operations, and different customers in different regional markets are likely to emerge stronger from the crisis.
Source: Foreign Affairs Office of China Textile Federation