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Sino-USA: Weaving relationships

Sino-USA: Weaving relationships

Write: Oralee [2011-05-20]

There might be very few labels that have as much market influence as Cotton USA. The mark recently brought together 14 big brands from home and abroad for a major event in Beijing - yet it was neither a fashion show nor the launch of a new product.

All the participating brands - Exception, Spy Henry Lau, PiyoPiyo, Marie Claire, Esprit Home, Lee, Nautica, Hanes, Salad, Tough Jeansmith, Ashworth, Trek & Travel, Quicksilver and Roxy - presented their interpretation and understanding of fashion through creative, contemporary pieces of cotton art.

That is the message Cotton USA aims to convey to local customers: High quality cotton represents not only a healthy lifestyle, but also a creative art and forward fashion.

Cotton USA is a mark introduced by the US Cotton Council International in a bid to promote high-quality textiles made from natural US cotton.

The organization has close connections with all links in the cotton goods chain, including exporters, spinning, weaving and tailoring factories, fashion brands, retailers and consumers.

Its main task in China at the moment is to develop more brands into Cotton USA's licensees, says Kit Ko, senior marketing manager of the Cotton Council International Mainland China and Hong Kong operation.

Starting its efforts four years ago, the organization has thus far secured 14 licensees in China. They include men's wear, women's wear, jeans, underwear, home textiles, children's wear and sportswear that convey the fashion philosophy of comfort and high quality to Chinese consumers.

Of the 14 licensees, there is only one local company -Guangzhou-based Exception, one of the first local brands to hold shows at Paris Fashion Week.

Ko says the council started in China with international brands due to its international influence with over 400 licensees worldwide. Yet "local brands are our ultimate target", he says.

"We will grow the current number into 20 to 30 in two to three years time. By then, the Cotton USA tag will be widely exposed in the market" Ko says, revealing to China Business Weekly that the organization is in talks with brands in Shenzhen and Wuhan. He declines to reveal further details.

Ko notes that they are not in a hurry to expand in China, but rather eyeing only middle and premium brands, especially those with a designer name.

He says the Cotton USA mark means a brand can sell more of its product. A survey by the cotton council indicates motivated consumers worldwide value cotton products over synthetics and, most importantly, they value products labeled with the Cotton USA mark. Specifically, a growing majority of consumers - especially women - are more willing to buy the mark-labeled products because they perceive finished goods made with US cotton to be more durable, comfortable and stylish. They also believe that more reputable manufacturers make these higher-quality products.

Fully aware that China is a leading cotton-producing nation, Ko says the advantage of US cotton is its consistent high quality due to better technology that uses only machinery to pick and process the fiber.

To become a licensee a product line must be first-quality and virtually 100 percent cotton - with a tolerance of up to 7 percent non-cotton content by weight for decorative or structural purposes. Of the cotton content, the product line must contain at least 50 percent US-grown cotton. Marketing efforts for products bearing the Cotton USA mark can then be used worldwide. The manufacturer should also have a solid corporate reputation and produce quality brands retailed at mid-market price points and higher.

Statistics from the General Administration of Customs show China imported 228,900 tons of cotton in July with the value of $310 million, 164,500 tons of which, or more than 70 percent, came from the US. Other major cotton supplying countries include Australia, Uzbekistan and India.