Interview with Bashir H. Ali Mohammad

Bashir H. Ali Mohammad
Bashir H. Ali Mohammad

Today we are finding ourselves in a situation of overcapacity. There is simply, more supply than demand…
The International Textile Manufacturers Federation (ITMF), with its headquarters located in Zürich, Switzerland, is an international association for the world’s textile industries. Moreover it works as the central agency for collection of information, statistical on the textile manufacturing developments in all the countries worldwide. Thus inform through its surveys, studies and publications further participating in evolution of the industry’s value chain and publishing considered opinions on future trends, though providing a global pulpit to the textile industry. Bashir H. Ali Mohammad serves as the President of ITMF as well as he is the Chairman of Gul Ahmed Textile Mills Limited. Besides, he is the Member Advisory Committee of Federal Tax Ombudsman Government of Pakistan. And achieved its Fellow of the Chartered Institute of Management Accountants (CIMA) from United Kingdom In this Face2Face interview with Fibre2Fashion Correspondent Cindrella Thawani, Bashir speaks about contingency of the economic development globally, further points out the difficult period for textile industry.

How do you see ongoing changes and developments onto the sphere of textile industry globally? Please discuss vital issues and challenges concerning to it.

The main challenge in today’s global textile industry is to deal with all the risks that our industry is facing. Next to the uncertainty about the general economic development of the global economy, our industry needs to address the risks arising from volatile raw material markets, increasing input costs, restrictive credit markets or contractual defaults.

What are those latest trends that govern the sectors of spinning, cotton, home textiles and man-made fibers?

New Technology and new products are influencing these sectors. Man-made fiber use will increase in these trends.

How would you anticipate an evolution of the industry’s value chain and future trends?

The global textile industry is undergoing a very difficult period. Enormous investments in new textile machinery around the world, but especially in China over the past 11 years as documented in ITMF’s International Textile Machinery Shipment Statistics have led to a situation of overcapacity. In the current circumstances, a painful process of consolidation and restructuring is under way. Textile companies that do not have a good balance sheet, strong and reliable partners in the textile value chain were forced to close or are struggling to overcome this difficult period.

How do you see the global output of cotton market as well as the yarn and fabric market? Please elaborate.

In the past few years’ cotton production surpassed cotton consumption. This was a result of soaring cotton prices in 2010 and 2011. Higher cotton production was good in order to fill up the depleted cotton reserves around the world. On the other, it is an indication that cotton, yarn and fabric demand is relatively weak. This is of course the result of weaker global growth. Nevertheless, the risks of volatile reactions on the cotton markets remain. Bad weather, export restrictions and other factors like political instability, currency disputes or trade conflicts can always lead to depressed demand. Solid economic growth on the other hand will result in stronger demand and increases of prices.

Textile industry can pose a serious threat to the environment; if it is not stringent enough. How wide do you see the industry is serious about it?

Any serious textile company is very conscious about the environmental issues. Sustainable production is not a marketing gimmick anymore but has become a necessity, a trend that is not going to go away. The pressure for sustainable textile production is coming from two directions. First, pressure is coming from within those countries, where textile production is taking place. Workers, communities, politicians and the public are not accepting anymore production practices that are risking the health of the people or the environment in which they live. However, second comes from the consumers of textiles around the world are more and more developing a conscience for sustainable production. This includes environmental, social and economic dimensions. The risks for retailers to be blamed for irresponsible production methods have increased significantly and will continue to do so.
Published on: 09/04/2012

DISCLAIMER: All views and opinions expressed in this column are solely of the interviewee, and they do not reflect in any way the opinion of

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