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ITMF Reports Lower Q3 2005 Yarn, Fabric Output

In its State of Trade Report Q3 2005, the Switzerland-based International Textile Manufacturers Federation (ITMF) reported weaker global yarn and fabric production, lower fabric inventories and higher yarn inventories for the third quarter (Q3) of 2005 compared with the previous quarter.

Global Q3 yarn output declined by 1.1 percent, with Europe, North America and South America registering drops of 8.8 percent, 4.9 percent and 2.1 percent, respectively. Asian output rose by 1.4 percent — that region’s 10th quarterly increase. Global output was 0.2 percent lower than in Q3 2004, with reductions of 12 percent, 7.9 percent and 3.8 percent in South and North America and in Europe, respectively, offsetting a 4.2-percent increase in Asia.

Despite a quarterly 1.9-percent drop in global fabric output, that level still was the second-highest on record, and 1.1 percent higher than year-ago levels. Output dropped by 5.9 percent in Europe, 1.7 percent in South America and 1 percent in Asia from the previous quarter; and rose by 5.9 percent in Asia and 1.5 percent in North America over Q3 2004, while registering declines of 10.3 percent and 1.3 percent in South America and Europe, respectively, from year-ago levels.

Q3 2005 global yarn stocks rose by 3.3 percent for the quarter, with Europe reporting 3.9-percent lower inventories. Year-on-year inventory levels were 6.7-percent lower globally, with reductions seen in all regions.

Global fabric inventories dropped by 1.8 percent for the quarter and 5 percent from Q3 2004. The largest quarterly declines were in South America and Europe, at 3 percent and 2.2 percent, respectively. Year-on-year declines included South America at 8.7 percent, North America at 6.8 percent, Europe at 4.6 percent and Asia at 2.9 percent.

Brazil registered quarterly gains of 1.5 percent and 3.1 percent, respectively, and year-on-year reductions of 5 percent and 9.7 percent, respectively, in yarn and fabric orders. Europe reported yarn and fabric order reductions of 0.4 percent and 3 percent, respectively, for the quarter, and 4.8 percent and 10.6 percent, respectively, from Q3 2004.

March/April 2006