Recode staff writer Ben Smith is recapping Recode Media Days 2016.
Here’s what we learned about them, what to watch out for, and how to invest in them.1.
They’re big business.
Recode notes that textile companies make up a third of the world economy, accounting for $2.7 trillion in global output.
So, if you want to understand what makes them tick, you have to know their business model.2.
They’ve grown their market share.
Recoding has been tracking industrial textile market share for the past decade, and while textile industry growth is accelerating globally, the number of factories producing textile products has dropped.
Recodes research has shown that global textile manufacturing is likely to grow only marginally over the next decade, thanks to a number of factors, including a slowdown in China and an intensification of the emerging Asian market for textile exports.
The biggest issue is, however, the rise of global retailers.
They can compete on price.
The Industrial Industrial and Commercial Register says that most textile production is conducted in the EU, where tariffs are higher.
However, textile prices have been falling in recent years, meaning the industry can be competitive.
Recoded has found that many textile companies are using lower-cost methods, like “cheap sourcing,” which means a lower-skilled worker is hired and paid less than an equivalent employee in China.
In some cases, a low-cost worker is paid less in France and the United Kingdom, where they earn far more than in France.
They don’t produce as much as they used to.
The Register says the average cost per tonne of textile production in the European Union is $2,300.
Recodings research found that these costs have dropped by about half, to $1,600.
But the industrial sector is still growing, and the textile industry will continue to expand its global footprint in the years ahead.
They have fewer employees.
Recoder has found textile factories in the United States, Canada, and Japan that employ around 20,000 workers, with an average of 2,000 people working there per day.
But those factories produce only about 3 percent of the global market, meaning their workers are only a small percentage of the overall textile production.
Recomodities are also falling, and these industries could start to disappear as textile companies start to move their manufacturing operations abroad.
They sell cheaper.
The industrial register notes that the cost of cotton production in France has dropped by over 50 percent since 1990, from $1.80 per kilogram to $0.85.
That’s due in part to improved cotton farming practices, with farmers now producing much more cotton per acre than before the crisis, and more efficient fertilizers.
Reco’s research also shows that, globally, textile production has been increasing at an annualized rate of more than 12 percent per year.
Recovability is improving, but there’s a huge demand for cheap cotton, so the industrial register estimates that textile production could increase by an additional 10 percent annually by 2020.
They offer higher wages.
Recoda has found higher-paying factory jobs in Europe, which have a higher average salary and higher benefits than those found in the textile sector.
And while textile workers in the U.S. and elsewhere earn about $16.30 an hour, they can earn about double that in Europe.
Recidos research found textile workers at textile plants in the Netherlands and Germany earned $21 an hour and $28.50 an hour in 2016, respectively.
They are cheaper.
Recopedia has found a lot of textile companies charge workers about half the cost for the same amount of time.
Recoplays research shows that the average textile worker is working for around $14 per hour, compared to $11 an hour for factory workers.
However to achieve that wage, workers need to take home a significant wage increase every year.
The rate of pay growth is also higher for textile workers.
They make products with fewer human rights violations.
The Recode report has found the textile and garment sector has some of the lowest rates of human rights abuses in the industrial textile industry.
According to the Register, factories that operate in the manufacturing sector are free of “severe” labour abuses, including sexual and physical abuse.
But textile and textile workers are also at risk of being illegally detained or intimidated by employers.
They aren’t profitable.
The factories that make clothing and textile products are often large, but it’s not always obvious how much profit they actually make.
In the Industrial Register’s survey, textile companies with at least 100 employees reported gross profits of around $1 billion a year.
But Recode has found these companies generate less than one-tenth that much in profits.
This means the profits of textile and apparel companies aren’t being reinvested back into their factories.
Recos research has found this industry is still operating at a significant loss, despite being one of the most profitable sectors of the textile