According to the cotton report of Germany-based Baumwollboerse Bremen, the world import demand for
cotton has expanded some 34 percent over the past six years, mainly because of growth in China,
Pakistan, Bangladesh and Turkey. In 2005-06, China unexpectedly imported a record 19.3 million
bales, but dropped back to 10.6 million the following year. Global cotton imports have trended up,
but China’s erratic imports and the changing global economic climate cause greater uncertainty in
today’s market.

Imports To Asia Went Up …

During the period 2001-02 through 2006-07, 17 countries raised their imports by 15.9 million
bales. China, Pakistan, Bangladesh and Turkey accounted for 86 percent of that growth. The reason
for that growth is obvious: These countries have large labor supplies that make them favorable to
expansion in textile processing with labor-intensive, low-wage jobs.

Cotton use in China and Bangladesh has nearly doubled in the past six years, whereas
Pakistan’s use is up nearly 50 percent and Turkey, close to 20 percent. Among the other 13
countries are Vietnam, Egypt, Iran and Brazil. Of these, Vietnam showed the most rapid growth in
imports as consumption almost doubled.

… And Imports To Europe Went Down

Over the same period, imports in 50 countries dropped by 8 million bales for a number of
reasons. In some European countries – including Italy, France, Germany, Portugal, Spain and Poland
– imports dropped by 21 percent because cotton use has steadily declined. In Canada, Chile and
Venezuela, imports fell because of declining processing, but Mexico’s imports dropped off because
production expanded. Also in Korea, Japan, and Taiwan, imports declined by 1.3 million bales. This
is another result of the ongoing move of the cotton processing to mainland China.

Increased Yield For India

Declining imports in India were caused by increased production. The Indian cotton production
for 2007-08 is forecast at a record high of 25 million bales, up 0.5 million or 2 percent from last
month and up 3.2 million or 15 percent from last year. The year-on-year increase is attributed to a
much higher sown area, a generally favorable monsoon rainfall, and a forecast record yield.

The area is estimated at a record 9.5 million hectares, unchanged from last month but up 0.3
million or 4 percent from last year. According to the US agricultural attaché in New Delhi, the
record area is the result of strong cotton prices and positive returns received by farmers in
2006-07. It is widely acknowledged by officials and other specialists that the strong upward trend
in India’s cotton yield in recent years is due largely to the increasing adoption of
insect-resistant Bt cotton. In 2006-07, the government of India approved 62 new Bt varieties for
commercial cultivation. In 2007-08, Bt cotton will likely account for more than 60 percent of the
total cotton area.

Given the year-on-year increase in Bt area, 2007-08 yield is forecast to reach a record 573
kilograms per hectare. The harvest of the 2007-08 crop is on the way, and another report from the
Cotton Corp. of India indicates that some 21.9 million bales had arrived at ginning facilities by
April 6. Compared with the same date last season, arrivals had reached 18.7 million bales, or 86
percent of final 2006-07 output.

April 29, 2008

Greenville-based Measured Solutions Inc. is celebrating its fifth year in business as a distributor
and provider of parts and service for quality control instruments and other measuring, inspection
and cleaning equipment used in processing both man-made and cotton fibers.

Since its founding in 2003 by Mark A. Reese,  Measured Solutions has served as the
exclusive representative in the United States and Canada for Germany-based Textechno GmbH & Co.
KG, Switzerland-based Rothschild-Instruments and Japan-based Keisokki Kogyo Co. Ltd. Other
companies have been added more recently. Reese’s relatiionships with Textechno, Rothschild and
Keisokki extend back an additional 20 years prior to the founding of Measured Solutions. 

Textechno has manufactured textile testing instruments since 1949
(See “
Innovation From Textechno,”
Textile World, March/April 2008). Rothschild, founded in 1958, offers a range
of electronic testing instruments. Keisokki has operated as an independent manufacturer of yarn
testers and clearers since the 1970s.

April 29, 2008

Germany-based Oerlikon Neumag reports it recently sold machines to two US-based plants.

Finland-based Ahlstrom Corp. selected a carded needlepunch line for its facility in Bethune,
S.C. The line includes a fiber opening and blending line, F.O.R. carding machine, Autefa
crosslapper with WebMax technology and a Fehrer needlepunching machine; and is operated and
controlled using Oerlikon Neumag operating software. Ahlstrom plans to use the line, which is
expected to come online during summer 2008, to produce technical felts for the filtration market,
among other markets.

Charlotte-based Polymer Group Inc. (PGI) recently installed a new M&J Airlaid web-forming
system from Oerlikon Neumag as part of a project to retrofit and expand an existing nonwoven
production line in a PGI plant in Benson, N.C. The system includes web forming, auxiliary equipment
for raw material preparation, process-air handling equipment and a process control system.

April 29, 2008

The chairman of the House of Representatives Trade Subcommittee says agreement by the South Korean
government to reopen the Korean market to US beef exports is not enough to clear the way for
congressional action on a US/Korea Free Trade agreement (KORUS FTA). In spite of the fact that US
Trade Representative Susan C. Schwab says the beef agreement removes “the major obstacle” to
congressional consideration of the pact, Rep. Sander Levin, D-Mich., says it is not enough, and the
administration must do more to address what he called “major imbalances and barriers to trade”
between the two countries.

The KORUS FTA could result in another confrontation between the administration and the
Democratic leadership of Congress, which already has derailed a proposed FTA with Colombia. US
textile manufacturers are opposed to the Korean agreement because Korea has a large, well-developed
textile industry that already exports a significant amount of textiles and clothing to the United
States, and unlike the case with some other FTAs, they do not see any market opportunities for US
products. They also are concerned that the agreement, as currently written, does not provide for
effective Customs enforcement. They point out that the Korean agreement could undercut some of the
benefits of the Central America-Dominican Republic, Andean nation and North America FTAs, which
they do feel are beneficial to US textile manufacturers.

In a statement following announcement of the beef agreement, Rep. Levin said, “A last minute,
unenforceable, untested agreement on beef is not enough to satisfy Congress,” adding that the
agreement will only continue what he says is “one-way trade” with Korea.

Despite Levin’s comments, Ambassador Schwab said she will work in earnest with Congress and
the US agriculture, manufacturing and services sectors of the economy to gain approval of the
agreement.



April 22, 2008

INDEX 08 took place April 15-18, 2008 at the Geneva Palexpo Exhibition center in Switzerland. The
number of companies presenting new products at this important exhibition for nonwovens exceeded
more than 500 for the first time in the show’s history. The next trade fair will be again at the
same place: Geneva also will host INDEX in 2011.



Bigger Range Of Products

The INDEX trade fair is owned by EDANA, the International Association Serving the Nonwovens
and Related Industries, located in Brussels. Formed in 1971, the association provides a broad range
of services, and supplies its member companies with information and data. INDEX was launched in
1984 and is held every three years.

Since INDEX began, the global exhibition has been synonymous with disposable nonwovens — for
example, baby diapers, hygiene or other “one-use” products. After the recent event, one thing is
clear: The world’s largest and most important exhibition for the nonwovens industry is considerably
changing its face.



Disposables And Durables

Many long-time exhibitors confirmed the change — that more and more information is requested
for more durable nonwovens to be used for industrial applications. It seems obvious that the world
of nonwovens will be soon divided into two categories. On the one hand, there are companies dealing
with up-to-now mostly disposable nonwovens.

On the other hand, there is increasing interest from companies around the world looking for
new business opportunities. This is at the moment mainly the case for carded nonwovens. People from
the traditional fiber industry know how to handle fibers. This type of product can be handled in
the early production stages just like spinning. More and more, durable products are becoming niche
products, tailor-made for selected applications. Technologies such as needle punching are flexible
and allow relatively easy access to the world of nonwovens. The nonwovens sector is still enjoying
an annual growth rate of approximately 6 to 8 percent. This is a rate the traditional textile
industry can only dream of. That’s probably one of the major reasons for the growing interest in
this basically still young industry.

Information Is Needed

However, to be competitive in these markets, one needs a lot of information and the right
partners. Most of the leading textile machinery manufacturers are present at exhibitions such as
INDEX in Geneva or IDEA in the United States. They are ready to provide the necessary experience
and support. Some of the biggest manufacturers are actually increasing their laboratory
possibilities to do trials using the most sophisticated machinery.

Textile World
and its sister publications consider nonwovens and technical textiles more important than
ever. Starting in 2008, all magazines and the electronic newsletters have increased their reporting
on nonwovens, to inform its global readership about the almost unlimited possibilities.

If you need more specific information to take a step into the promising world of technical
textiles and nonwovens, do not hesitate to contact us at
jrupp@textileworld.com.



April 22, 2008

Canada-based Tandem Fabrics has reopened for business under the name Tandem Textiles Inc. with new
ownership and 44 new employees thanks in part to loans worth Can$2.43 million made by the
Government of New Brunswick. The investment will be used to make facility upgrades, assist with
capital costs, and upgrade environmental and water recycling machinery.

The company had closed its doors in 2005 due to a weak Canadian dollar and shift of
production to Asia and South America.

Dick Carpenter has been named president, while Larry Kinden and Walter Smith have been
appointed CEO and general manager, respectively.

The company will produce environmentally friendly woven upholstery fabrics for the health
care, office, cinema and transportation industries under the Heritage Textiles brand name.

April 22, 2008

Dan River Inc., Danville, Va., has filed a voluntary petition for protection in the US Bankruptcy
Court for the District of Delaware — the second such filing for the company in four years.

Dan River emerged from its previous bankruptcy in February 2005. Late that year, India-based
soda ash and textiles manufacturer Gujarat Heavy Chemicals Ltd. (GHCL) acquired the company and
ultimately closed all of the Dan River manufacturing facilities, retaining the Dan River brand and
its global marketing platform, and expanding GHCL’s home-textile manufacturing capacity in India.
Dan River has continued to maintain its corporate offices and several distribution facilities in
Danville, as well as sales offices in New York City, Atlanta and several other locations, according
to Calvin Barnhardt, the company’s vice president of human resources.

GHCL recently announced its own restructuring and is splitting its textile business from the
soda ash business, according to Barnhardt. He added that GHCL is looking into setting up a separate
company to handle all of the sourcing globally for its textile businesses, which also include
retail operations in the United Kingdom.

April 22, 2008

Bureau Veritas, a Paris-based provider of inspection, analysis, audit and product certification
services, has opened an 8,000-square-meter testing facility in Panyu, Guangzhou City, China.
Guangzhou Textile Testing Laboratory provides testing and quality assurance services for textile
and apparel products for women, men and children; accessories; footwear; and soft home textiles.

More than 200 associates provide such services as flammability testing for apparel, home
furnishings and textiles; safety, quality and labeling verification; color development; fiber
identification; defect analysis; and comparative evaluations. Bureau Veritas anticipates doubling
the number of associates at the new facility by year’s end. The lab provides complimentary sample
pick-up, and express and emergency services to help manufacturers meet tight production deadlines.

 “The establishment of our Guangzhou Textile Testing Laboratory is considered a
strategic step for the company in expanding our laboratory network in China,” said Kevin O’Brien,
president, Bureau Veritas Hong Kong More importantly, this new lab reflects our continued
commitment in providing enhanced quality testing and compliance services to our clients.”

April 22, 2008

Organizers of Material World Miami Beach and Technology Solutions, held earlier this month in Miami
Beach, Fla., reported a double-digit-percentage increase in the number of visitors to the shows, in
addition to strong business leads for the 400 exhibitors, which included suppliers of fabrics,
trims, technology and sourcing resources for the sewn products industry.

“Once again Material World brought together buyers and sellers, and experts and industry
entrepreneurs for a week of business and learning,” said Kevin M. Burke, president and CEO,
American Apparel & Footwear Association (AAFA), sponsor of Material World. “AAFA is pleased
that attendance continues to grow and looks forward to the next Material World Miami Beach, April
21-23, 2009.”

Tim von Gal, executive vice president of Atlanta-based Urban Expositions LLC, producer and
owner of the two colocated events, reported exhibitors were very pleased with their outcomes. “The
traditionally strong regional participation coupled with an expanded global presence really
attracted a larger attending audience,” he said. “With so much discussion about the economy over
the past few months, it was very refreshing to see such busy aisles and to hear about so much
business being placed at the show.”

Attendees also were attracted to the educational programs, which included a special forum on
Western Hemisphere trade presented by the US Department of Commerce Office of Textiles &
Apparel, and AAFA’s headliner program titled “The Politics of Trade, among other presentations.

A Trend Pavilion on the show floor presented Spring/Summer 2009 color, fabric, trim and
texture trends, using samples provided by Material World exhibitors. Country and region pavilions
presented exhibitors from their respective parts of the world, including China, Colombia, Costa
Rica, Dominican Republic, Haiti, India, Korea, Pakistan and Taiwan among others.

April 22, 2008

Over the past two decades, manufacturing sites have moved from the Western world to the Eastern
world. Over the past decade, this trend has accelerated even more towards China and other small and
big tiger countries. This was especially the case for textiles and apparel manufacturing. The “Made
in China” label is quite common all over the world.

China started to be and is the production facility for almost the whole Western world. On the
one hand, investments in the Western world decreased. On the other hand investments in Asia rose
considerably.

Production Site Germany

But for some very successful companies this is not the case. From time to time,

Textile World
can report on investments in the Western world. And this week it’s reporting on quite a
considerable investment and a commitment to Europe in general and a the production site in Germany
in particular.

In an opening ceremony last week, Ulrich Reifenhäuser, CEO of Germany-based Reifenhäuser
GmbH, presented a double-digit million-euro investment in its new nonwovens technology center in
Troisdorf. These new laboratory lines will be used mainly for customer trials of its daughter
company Reifenhäuser Reicofil GmbH & Co. KG, the world leader in spunbond production lines.

Impressive Components

The lines installed include one composite line for hygienic applications, one line for
technical applications and a new meltblown line. Individual components of the three lines include
eight extruders, two REItruder co-rotating twin-screw extruders, 11 spin pumps and 30 dosing
motors; and nearly 80 meters of spin belts for the line for hygienic applications.

The nonwovens technology center accommodates a flexible production line specifically designed
for technical nonwovens, and a six-beam line for hygienic and medical products. Trials can be run
on both lines at their respective maximum speeds of 400 and 1,000 meters per minute.



More Possibilities For Trials

For the first time, customers and suppliers are offered the opportunity to develop special
products, such as ultralight SSS or SSMMMS nonwovens and hydroentangled nonwovens in an inline
production environment.

Dr. Bernd Kunze, CEO of Reicofil sees savings potential for customers in the newly created
testing opportunities. “The high-speed lines installed in our new technology center will enable
customers to develop new products and processes which they could test in the past only on their own
lines at high costs in terms of time and money,” Kunze said.



Facilities Can Be Viewed

Visitors to INDEX, the International Nonwovens Exhibition in Geneva, can get a first
impression of the new research and development facilities. The activities at the technology centre
will be transferred live by a video stream to the Reicofil booth, number 2531 at Geneva Palexpo.
Visitors will be able to watch how the line for production of hygienic and medical products
installed at the Troisdorf site can be controlled from Geneva. As Kunze said, this is only possible
due to the high automation level of the Reicofil technology.



Say Hello To
Textile World

Textile World, and its sister magazines

Textile World Asia
and
Textiles Panamericanos, also will be present at INDEX. If you should visit the
show in Geneva, please come around and meet us at Booth 4411. See you in Geneva.

April 15, 2008