INTERNATIONAL
Textile Raw Material Price 2015-11-17
|
Item |
Price |
Unit |
Fluctuation |
Date |
|
PSF |
1057.98 |
USD/Ton |
-0.88% |
11/17/2015 |
|
VSF |
2276.07 |
USD/Ton |
-0.07% |
11/17/2015 |
|
ASF |
2036.69 |
USD/Ton |
0% |
11/17/2015 |
|
Polyester POY |
1010.89 |
USD/Ton |
-0.77% |
11/17/2015 |
|
Nylon FDY |
2472.28 |
USD/Ton |
0% |
11/17/2015 |
|
40D Spandex |
5258.50 |
USD/Ton |
0% |
11/17/2015 |
|
Nylon DTY |
5851.84 |
USD/Ton |
0% |
11/17/2015 |
|
Viscose Long Filament |
1259.68 |
USD/Ton |
-0.62% |
11/17/2015 |
|
Polyester DTY |
2291.76 |
USD/Ton |
-0.34% |
11/17/2015 |
|
Nylon POY |
2213.28 |
USD/Ton |
0% |
11/17/2015 |
|
Acrylic Top 3D |
1067.40 |
USD/Ton |
-0.73% |
11/17/2015 |
|
Polyester FDY |
2731.28 |
USD/Ton |
0% |
11/17/2015 |
|
30S Spun Rayon Yarn |
2841.16 |
USD/Ton |
0% |
11/17/2015 |
|
32S Polyester Yarn |
1695.28 |
USD/Ton |
-0.92% |
11/17/2015 |
|
45S T/C Yarn |
2684.19 |
USD/Ton |
0% |
11/17/2015 |
|
45S Polyester Yarn |
3013.82 |
USD/Ton |
0% |
11/17/2015 |
|
T/C Yarn 65/35 32S |
2590.01 |
USD/Ton |
0% |
11/17/2015 |
|
40S Rayon Yarn |
1883.64 |
USD/Ton |
-0.83% |
11/17/2015 |
|
T/R Yarn 65/35 32S |
2307.46 |
USD/Ton |
0% |
11/17/2015 |
|
10S Denim Fabric |
1.10 |
USD/Meter |
0% |
11/17/2015 |
|
32S Twill Fabric |
0.93 |
USD/Meter |
0% |
11/17/2015 |
|
40S Combed Poplin |
1.00 |
USD/Meter |
-0.78% |
11/17/2015 |
|
30S Rayon Fabric |
0.75 |
USD/Meter |
0% |
11/17/2015 |
|
45S T/C Fabric |
0.75 |
USD/Meter |
0% |
11/17/2015 |
Source: Global Textiles
Note: The above prices are Chinese Price (1 CNY = 0.15697 USD dtd 17/11/2015)
The prices given above are as quoted from Global Textiles.com. SRTEPC is not responsible for the correctness of the same.
The first two quarters of the current financial year have seen sluggish demand and inventory losses for synthetic yarn makers, along with growing Chinese dumping of yarn in India. However, the fall in crude oil prices has resulted in prices of raw materials coming down in the third quarter, which is likely to ease costs and improve margins for yarn makers in the second half of current financial year. According to industry sources, polyester fibre prices came down from roughly Rs 107 per kg to Rs 86 per kg in October. This has already resulted in synthetic yarn prices responding with a Rs 3 to 4 per kg improvement in average prices, raising it to Rs 174 to 175 per kg. “The next quarter may improve the situation for synthetic yarn makers, with mills raising demand gradually. Mills too were bleeding, resulting in loss of margins for synthetic yarn makers for the first two quarters. Many were even incurring cash losses,” said K Selvaraju, secretary general of Southern India Mills Association (SIMA).
According to O P Lohia, chairman and managing director, Indo Rama Synthetics (India) Limited, performance of synthetic yarn makers was adversely impacted due to the crash in crude oil prices, huge volatility in the foreign exchange market and depreciation of the rupee. “Sluggish demand among mills and a fall in raw material prices resulted in a high level of finished goods stocks and inventory losses,” said Lohia. Commenting on the outlook for the remaining two quarters of the financial year, Lohia said, “Led by the continual fall in crude prices, raw material prices have begun falling, which has eased margins a bit. We are also anticipating an uptake in demand from mills which should help yarn makers like us improve margins.”
As per an India Ratings & Research report, the fall in crude prices and industry over-capacity resulted in polyethylene terephthalate (PET) chips prices, an important raw material for man-made yarn, falling to Rs 64 per kg in March from Rs 87 per kg in the previous year, while the price for partially oriented yarn (POY) fell 22 per cent year-on-year (y-o-y) in March 2015 to Rs 76 per kg. Meanwhile, the government's recent move to extend a two per cent duty drawback on synthetic yarn, among other products, is also being anticipated to improve the scenario for the industry. "For the first time, three count groups have been given for yarn based on the request made by the Association so that the value added yarn producers would get better compensation under the duty drawback system," SIMA deputy chairman, P Nataraj said in an official communique.
SOURCE: The Business Standard
The textile sector has welcomed the increase in drawback rates and value caps for several textile products, which will come into effect from November 23. Cotton Textiles and Export Promotion Council Chairman, R. K. Dalmia, has said in a press release that increase in the drawback rates for cotton made ups and garments would encourage export of value added products. However, some high value items such as ‘boiler suits’ and ‘protective wear’ made of cotton and manmade fibre blends have not been covered. According to the Southern India Mills’ Association (SIMA) Deputy Chairman P. Nataraj, increase in the rates for value added products will encourage the sector to focus on value addition. Indian Texpreneurs Federation has said that the importance given to manmade fibre based yarn and fabrics in the drawback revision will give a boost to value addition in man-mande fibre segment.
SOURCE: The Hindu
Hike in duty refund rates would help boost shipments of sectors such as engineering and garments, exporters body FIEO said. The government yesterday raised duty refund rates on a host of items, including iron, steel, garments and marine products, with a view to promote exports which are on a decline for the past 11 months. "Increased customs rate of 2 per cent to certain engineering items will help the exporters to neutralise the impact of import duty hike in steel used for export production," Federation of Indian Export Organizations (FIEO) President SC Ralhan said in a statement. Duty drawback is the refund of duties on imported inputs for export items. The increase in rates for items like frozen shrimps, prawns, perfumed agarbatti, finished leather, industrial gloves, millmade fibre yarn/fabric, readymade garments and hand-tools would also help these sectors, he said. However, he added that in the current situation of declining exports, exporters were expecting "better support". "The rates announced may not appear to be encouraging in majority of export sectors," he said. Exports are on decline since December last year mainly due to global demand slowdown and slump in commodity prices.
SOURCE: The Economic Times
Exporters are not impressed by the Centres' decision to increase duty drawback rates for merchandise exports of certain products. Terming the move a 'temporary measure', exporters have demanded the government should take more concrete measures to stem the fall in exports.Exports stood at $21.35 billion in October 2015 - a 17.53 per cent fall on a year-on-year basis. On Monday, the government had raised the duty drawback rates by two per cent for many sectors including engineering, marine and textiles. Besides, two weeks ago, the government had announced a revamped merchandise exports from India scheme (MEIS) for 110 additional products.
Reacting to these developments, Ajay Sahai, director-general, Federation of Indian Exports Organisation, said more should have been done to lift exports.The drawback rates are reimbursement of certain customs and excise duties, and service tax on imports of input materials, which go into the manufacture of goods that are exported. According to Sahai, exporters have not been able to take full advantage of duty drawback. While exporters have applied for drawbacks to the Directorate General of Foreign Trade, many have not claimed the same from the customs department, he noted. While deciding on new duty drawback rates, Sahai said, the government did not take into account the additional 20 per cent safeguard duty imposed on hot-rolled steel, which would adversely affect smaller firms.
Exporters are also not happy about the revamped MEIS, saying they have not been able to fully benefit from the scheme. While many ports, including India's largest container terminal at Navi Mumbai, are not properly following the procedures related to MEIS, lack of clarify about the procedures has also accentuated the problem. Devendra Pant, chief economist at India Ratings, said, "In the wake of falling global demands, duty drawbacks as well as recent government reforms in boosting exports will have little long-term effect."While the government announced an increase in duty drawback rates and new MEIS, it was silent on restoration of interest subvention demanded by exporters.According to Pant, interest subvention will only change the top line of manufacturers.
DRAWBACK RATES AND EXPORTS
Drawback rates are reimbursement of certain customs and excise duties, and service tax on imports of input materials, which go into the manufacture of goods that are exported. On Monday, the government had raised the duty drawback rates by two per cent for many sectors. The government is silent on restoration of interest subvention, as demanded by exporters
SOURCE: The Business Standard
After suspending talks for a bilateral trade agreement with the European Union, India is set to return to the negotiating table to discuss lower import duty for European cars and wines in return for pushing some of its farm products, garments and IT services into the trading bloc. Commerce and industry minister Nirmala Sitharaman told TOI that the dates for resuming the dialogue are being discussed and the government was trying to push the pedal with the EU trade pact, along with those with Australia and Canada. After taking charge in the summer of 2014, the government had ordered a review of all proposed trade agreements and it was only later that it decided to restart negotiations.
In August, days before talks were to resume, the government had suspended the dialogue with EU, while protesting against a ban on the import of 700 generic medicines from Indian pharmaceutical firms, such as GVK Biosciences. "We have gone back to negotiations because in Bangalore, the Prime Minister ( Narendra Modi) had taken up the issue with Angela Merkel (German chancellor) and she had responded positively, saying 'she will look into it and EU will do justice'. So, we have no reason now to doubt their intentions. Our intention was not to dismantle the talks. It was more to make the point about unilateral action by EU," the minister said. A joint statement during Merkel's visit had mentioned about a commitment from India and Germany for "resumption of the negotiations as soon as possible".
India and EU have been working on Broad Based Trade and Investment Agreement, which has been in the pipeline for close to a decade and there are some gaps that need to be filled for the deal to be clinched. There is a growing view in the government that such trade agreements need to be pursued given the changing global dynamics with the advent of Trans-Pacific Partnership and Regional Comprehensive Economic Partnership (RCEP). At the same time, with the exports falling for 11 months in a row, bilateral trade deals are seen to offer a way forward although they will kick in only after a few years.
SOURCE: The Economic Times
An Assocham study has revealed that India's export competitiveness has been eroded because of the steady real appreciation of rupee and therefore the country should not be very concerned about a strong exchange rate. “Global experience shows that 10-15 per cent real devaluation could be a shot in the arm for an export surge, while a real devaluation of the order of around 10 per cent through a combination of falling inflation and allowing rupee to depreciate may provide much needed boost to exporters,” the study titled “What's behind India's Declining Exports,” said. “The continuation of Rupee Export Credit Interest Rate subvention scheme for same select sectors need to be announced at the earliest,” said D S Rawat, secretary general of Assocham while releasing the chamber's study.
According to the study, the main reasons for decline in exports during the recent months of 2015-16 are, slower growth in world output and trade; appreciation of Rupee against Euro making exports to Europe, which is a major market for India and less competitive for Indian Exporters; and steep fall in oil prices resulting in consequent decline in prices as well as export realizations for petroleum products.
In addition prices of a wide range of primary commodities have also fallen, besides the overarching impact of global demand conditions exports from certain sectors reflected the impact of policy changes domestically and in destination countries as also sector-specific issues. Presently, micro, medium and small enterprises sector get loans at 12-13 per cent. After subvention, this would come down to 9-10 per cent. However, India's competitors get it at around 5 per cent. The study says that in two of the past three financial years, India's exports have contracted. India's merchandise exports in 2014-15 at $310 billion were much below the target of $340 billion set by the government for the third successive year and declined by 1.3 per cent.
For nine consecutive month since December, 2014 the rate of growth of both exports and imports (in dollar terms) has been in negative territory. On a cumulative basis exports during the first five months (April-August) of 2015-16 at $111 billion were lower by more than 16 per cent over the same period last year. Under the new Foreign Trade Policy 2015-20 (FTP) announced on April 1, 2015, the government has expanded the scope of the new schemes to special economic zones (SEZs). Taking exports to the level of $900 billion by 2019-20 will need a higher compound annual rate of growth (CARG) of about 14 per cent during the FTP period (2015-16 to 2019-20) which could be a challenge.
SOURCE: Fibre2fashion
Prime Minister Narendra Modi on Monday called for full implementation of all the elements of the Bali trade package and warned against fragmentation of the global trading system through regional trade agreements."It is absolutely vital that the Doha Development Round achieves its goals. We look forward to a successful outcome at the Nairobi meeting in December," Modi said in his remarks at the G20 leaders' session on trade and energy."Slowdown in global trade is a major concern. Prospects for increase in trade momentum remain bleak in the prevailing global economic environment. Efforts to accelerate global economic growth will help trade," he said.Modi called for a transparent, equitable, non-discriminatory and rule-based global trading system which he said was essential for the global economy. The statement was seen as an endorsement for the World Trade Organization which is fighting a battle for survival given a spate of regional trade agreements led by the US.The PM said balanced and sustained global economic growth also needed increase in labour mobility and skill portability.He said with respect to energy, there were three basic challenges: energy to power growth in developing countries, meeting the needs of the hundreds of millions without access to energy, and, increasing the use of clean and renewable energy."That is why India intends to meet its vast and growing energy needs in as sustainable a manner as possible," the PM said, detailing the government's move to target additional 175 GW of renewable energy by 2022, cut back on subsidies on fossil fuel and imposed carbon cess on coal."We are working on clean coal technology. We have an ambitious expansion plan for nuclear energy. By 2030, we have targeted 40% of our energy through non-fossil fuel. International support and cooperation will enable us to achieve our goals," he said. Modi said the G20 needs to promote research and development in clean and renewable energy, reduce cost and make it affordable and accessible for all.It should also increase financial support and technology transfer to increase access and transition to clean energy and focus research efforts on clean coal technology and coal gasification, he said.
SOURCE: The Economic Times
Four changes or incipient trends were noteworthy at the third India-Africa Forum Summit last month. These spell out the contours of the engagement that India will pursue with the African continent, its constituent countries, and regional organisations, as well as the government’s desire for a course correction in the traditional trajectory of the India-Africa relationship. In the first change, a departure from the approach of previous Indian governments, the October event dispensed with the practice of following the Banjul formula, under which only a few African countries participated in the summit. This time, the government invited all 54 African countries to New Delhi, and among those who came were 40 heads of state. While the shift in policy could be ascribed to this government’s predilection for spectacular optics, it is also true that the multilateral summit gave India an opportunity to engage with each country. Prime Minister Narendra Modi and External Affairs Minister Sushma Swaraj held numerous bilateral discussions with individual leaders and representatives.
Multilateral negotiations
This extensive bilateral exercise is tied to a second new policy stance—Modi’s push to forge a united front with African nations for a common, but differentiated, negotiating framework in multilateral institutions. In his inaugural speech at the summit, Modi said: “…our global institutions reflect the circumstances of the century that we left behind, not the one we are in today…That is why India and Africa must speak in one voice for reforms of the United Nations, including its Security Council.” Beyond this, PM Modi has sought African support on two other critical multilateral fronts — climate change negotiations and trade talks. For the first, Modi wants to create a club: “I also invite you to join an alliance of solar-rich countries that I have proposed to launch in Paris on November 30 at the time of the COP-21 meeting.”
A combined front such as this will be necessary when negotiating with rich countries for resources to shift to clean energy technologies because, “the excess of [a] few cannot become the burden of many.” Modi also wants to align African countries to India’s concerns with the global trading regime. This becomes important given the forthcoming World Trade Organisation (WTO) ministerial in Nairobi in December, where developing countries are likely to make a last-ditch effort to save the Doha Development Round. The threat comes from developed nations, specifically the US, which in October has signed the Trans Pacific Partnership with 11 other nations and is lobbying to bury the development round. Modi said as much in his inaugural speech: “India and Africa seek also a global trading regime that serves our development goals and improves our trade prospects. We must ensure that the Doha Development Agenda of 2001 is not closed without achieving these fundamental objectives. We should also achieve a permanent solution on public stockholding for food security and special safeguard mechanism in agriculture for the developing countries.”
India’s desire to construct a common bargaining platform is probably driven by the embarrassment of July 2014, when it was isolated while blocking the Trade Facilitation Agreement at WTO’s General Council meeting. India’s other attempts to get developing countries on board — to provide Duty Free Tariff Preference (DTFP) to least developed countries on 98 per cent of its tariff lines, including in services — have also produced mixed results, prompting the government to now fast-track the entire scheme. The third outcome is a public acknowledgement of the partial success in implementing India’s marquee development cooperation programmes — concessional lines of credit (LoCs), grants, and capacity building through the Indian Technical and Economic Cooperation Programme as well as the Pan Africa E-Network —and the need to improve the current processes.
Wider engagement
Modi announced enhanced allocations for the programme — $10 billion under concessional LOCs (double the $5 billion announced at the 2011 summit), $600 million of grants, and 50,000 scholarships in India — but also admitted that, “There are times when we have not done as well as you have wanted us to. There have been occasions when we have not been as attentive as we should be. There are commitments we have not fulfilled as quickly as we should have.” The problem with LOCs is well documented including a widening gap between sanctions and disbursements. In a pre-summit media briefing in New Delhi on October 17, Secretary (West) in the Ministry of External Affairs, Navtej Singh Sarna, gave an update on LOCs: of the $7.4 billion on offer so far, $6.8 billion has been approved and $3.5 billion disbursed. In effect, disbursals are only 51.47 per cent of sanctions.
Both India and recipient African countries are responsible for the low disbursal rate. In India, a multi-tiered and multi-agency framework for sanctioning and disbursing these loans creates delays. Additionally, a non-transparent process causes distortions. Exim Bank, which finally disburses the loans, has complained to the Prime Minister’s Office about malpractices. On the African side, capacity gaps in drawing up detailed project reports, essential for the Indian side to conduct a proper appraisal, cause delays. The India-Africa Framework for Strategic Cooperation has promised to introduce a “regular formal monitoring mechanism” to review implementation of projects.
Addressing gaps
The fourth change was the absence of an announcement of trade targets. This was probably necessitated because India-Africa two-way trade has fallen short of the $90 billion 2015 target. But such ambitious targets tend to overshadow otherwise admirable progress in trade relations. In fact, trade between India and Africa has been remarkable. According to government data, two-way trade touched $72 billion during 2014-15, which is a vast improvement over the $4.5 billion of 1996-97. But interlocutors still need to address some persistent gaps. One, there is little data in the public domain about the development and progress of projects, especially those under the LOC umbrella or under other initiatives. For instance, there is no report card on the promise to help build 100 institutions that India made during the second India-Africa Forum Summit in Addis Ababa in 2011. Two, with similar and competing summits being hosted by China, Japan, Turkey, and the US, India should work on upgrading the status of its India-Africa Summit by including sub-fora on labour representatives, think tanks, civil society, academia, and women’s rights groups, in addition to the existing India-Africa Business Forum.
SOURCE: The Hindu Business Line
Commerce & industry minister Nirmala Sitharaman has her hands full, dealing with crucial portfolios related to foreign direct investment (FDI) and international trade. In an interview to TOI, she strikes a note of caution about China in the ongoing negotiations for Regional Comprehensive Economic Partnership (RCEP), which will create the world's largest free trade area. Sitharaman blames global demand slump for the decline in exports over the past 10 months. She also discusses prospects for next month's WTO ministerial meeting, while suggesting that there are signs of a pick-up in domestic investment. Excerpts:
When it comes to RCEP, There is a lot of fear in industry about China. Is the fear justified and how are we dealing with it?
The fear is justified because our trade deficit with China is so huge and increasing. That's why we have taken a calibrated position. We have taken a three-tiered position for offers. For Asean countries, we may have an offer because we have an FTA with them. Then, among the Asean Plus countries, with which you already have an FTA, such as Japan and Korea, you have to look at from the point of view of what has been agreed with them and can we be in that range. Then countries like China and Australia come, where we don't have FTAs. China is big and is present in the Indian market in a big way and with which we have a huge trade deficit, you really can't open up much. So, you are looking at bottom line offer.
When do you expect investments to pick up, especially when there are several new measures on FDI?
FDI is showing an upward movement. Prime Minister's visit to various countries is becoming a catalyst, resulting in FDI from those countries. Before Diwali, we simplified the rules even further but no new policy changes were made. Domestic investment is also catching up. There was some problem with raising credit. Banks have been going through a bad patch and they were wary even with credible investors. There is a change in the last few months and there is a pick-up.
Despite several steps being announced, industry still complains about things not happening in some areas like tax administration. Is there a communication gap or are more steps required?
Within a year, the numbers of steps taken by various ministries are there for everybody to see. Unfortunately, the expectation is about more to happen and within 24 hours. Now that they know there is a government that is responding, more is being asked for. But time does pass between one action and another because you have to work within the system. That (the demands) shows that so much was not done earlier, which could have been done. These were essentially non-controversial things that could have happened. Now the foundation is being laid and it can be frustrating because it takes a lot of time. It doesn't show up as this is happening on the ground and people want things to show on top.
While most economic parameters are looking healthy, exports are a worry given that they have been down for 10 months. What are we doing about it?
Exports are down and there is no hiding it. Internationally, demand has fallen as economies are contracting - look at Brazil and Russia. As a result, globally demand is low. Even China's exports are falling. We have announced a package under Merchandise Exports from India Scheme (MEIS) to help some sectors. Interest subvention is yet to be taken up by the cabinet but if it comes through, there will be some more relief. We need to find new markets. We have identified some markets in Africa. We are looking at project exports. China is not willing on many products but it is looking for generic drugs. They are also looking for services in far-flung districts. So, there are newer ways of approaching your export capabilities. That may take a bit of time to show results.
With several agreements such as Trans Pacific Partnership, people are writing WTO's obituary and there is an increased fear that the developed countries would want the Doha Round to be on the backburner...
India strongly believes in multilateral institutions like WTO. Quite a few elements of the Doha Development Round are yet to be fulfilled. What was agreed in Bali will have to be fulfilled. Nearer Nairobi we will have to ensure that our food security concerns are addressed. We have fought to get the peace clause, we will ask for a permanent solution. We have agreed on ratification of the trade facilitation agreement. From among the Doha issues, on LDCs, India has fulfilled 98% of its obligations. India is moving forward with a positive agenda and we are not being obstructive in any way and we want to engage with all WTO members.
SOURCE: The Times of India
Low oil prices have created a favourable environment for the Indian economy as it helped to absorb the loss faced by oil companies and kept inflation under control, Finance Minister Arun Jaitley said. Jaitley said that low oil prices also enabled the government to rationalise subsidies. “It has enabled us to absorb the loss that our own oil companies were facing because of future purchases. It has also kept inflation under control, which, in turn, has helped the Reserve Bank to ease up the rates. “It has also enabled us to increase the cess around fuel which has been diverted for infrastructure creation,” he said told reporters during a press briefing. Oil prices, at the levels they have been during the last few months, created a favourable environment for the Indian economy, he said. He also said that low oil prices also means effectively transfer of wealth from the producing nations to the consuming nations.
The Finance Minister arrived here yesterday on a two-day visit to United Arab Emirates (UAE) to impress on investors various attractive investment opportunities that India provides. As far as investment opportunities are concerned, the Minister said, “It is one thing to say that the investment must come but it doesn’t merely come in by enlarging the door for entry.” “Investment comes in when investors feel confident about the state of the economy and when they feel confident that their investment is safe and will bring adequate returns,” he said. On another question regarding investment he said he has a meeting lined up with the Abu Dhabi Investment Authority (ADIA) at the highest levels. “We are certainly going to be looking at the investment from here coming into various sectors. The obvious area of attraction for us is going to be the India Infrastructure Investment Fund, which has a sovereign participation,” he said.
Jaitley said that the environment for investment is more conducive now because the decision making is quicker, infrastructural investments are picking up and Indian economy is growing faster than most other economies in the world. “Prudent investors will hence make a conscious choice as the circumstances are very favourable to us,” he said. Earlier addressing a gathering of Indian businessmen here, Jaitley said that economic crises earlier would leave an impact once in 10-15 years but now they are far more frequent. “Under these circumstances India has to find it’s own level,” he said, adding “Despite adverse global circumstances, India is still managing to keep ahead. We have our agenda full in terms of reforms and investment into key areas.” “One aspect of India, which is adversely affected, is our exports because of shrinking global economy. The headwinds are against us. We have also had bad monsoon for two years,” he said. Jaitley said that an interesting change is taking place in India with the expansion of aspirational class. “We are in a situation which is opposite to many parts of the world. We have a surplus human resource which is creating huge Indian diaspora around the world,” he said. “They are becoming good residents of these countries and are also happy at India’s growth. The assertion and visibility of Indians is on the rise and will continue to be so,” he said.
Opening the inaugural edition of the UAE-India Economic Forum, Jaitley said, “Over the last four decades, the great relationship between the UAE and India has evolved greatly in various directions of human life and civilisation supported by the two nations’ strength of human resource, culture, geography and economy.” Outlining three key challenges facing India’s economic growth, Jaitley stated that world economy is under great stress with almost every forecast indicating a negative trend in terms of growth statistics. “The global slowdown impacts the world market, which in turn poses challenges for large economies like India. Second, 55 percent of our population is still dependent on agriculture and with the unpredictability of monsoons, their purchasing power has been reduced significantly. Third, while public and foreign investment in India has grown by 30 per cent and 40 per cent respectively, the rate of growth in terms of private investments is still sluggish.”
To address these challenges, Jaitley highlighted the structural changes brought about by the Indian government on the back of country’s consistent drive for growth. Mohammed Ahmed bin Abdulaziz Alshehhi, Under-Secretary at the UAE Ministry of Economy, said, “India and the UAE share a very special bond of friendship and partnership and we welcome the improvement in legislation and laws in India to promote business in the country. “There are many success stories of UAE investment in India. The Indian community in the UAE is quite active and we welcome their contributions in the growth of the UAE economy. We look forward to more investments and increased trade opportunities between the two countries.” Speaking on the occasion, Dr Jyotsna Suri, President, Federation of Indian Chambers of Commerce and Industry (FICCI), said, “Prime Minister Narendra Modi’s visit to the UAE brought a transformation in the India-UAE relationship. We are looking at each other with renewed understanding and focus and are committed to leveraging the opportunities for mutual prosperity.”
SOURCE: The Financial Express
The international crude oil price of Indian Basket as computed/published today by Petroleum Planning and Analysis Cell (PPAC) under the Ministry of Petroleum and Natural Gas was US$ 40.27 per barrel (bbl) on 17.11.2015. This was higher than the price of US$ 39.89 per bbl on previous publishing day of 16.11.2015.
In rupee terms, the price of Indian Basket increased to Rs 2657.22 per bbl on 17.11.2015 as compared to Rs 2639.71 per bbl on 16.11.2015. Rupee closed stronger at Rs 65.98 per US$ on 17.11.2015 as against Rs 66.17 per US$ on 16.11.2015. The table below gives details in this regard:
|
Particulars |
Unit |
Price on November 17, 2015 (Previous trading day i.e. 16.11.2015) |
Pricing Fortnight for 16.11.2015 (Oct 29 to Nov 10, 2015) |
|
Crude Oil (Indian Basket) |
($/bbl) |
40.27 (39.89) |
45.58 |
|
(Rs/bbl |
2657.22 (2639.71) |
2993.24 |
|
|
Exchange Rate |
(Rs/$) |
65.98 (66.17) |
65.67 |
SOURCE: PIB
Pakistani value added textile exports have witnessed declined by 13.42 percent in the first quarter of the current fiscal year due to increasing cost of doing business besides increasing electricity and gas charges. Further, instead of withdrawing 2 percent sales tax on exports, the government has increased sales tax on exports by 50 percent in the last budget 2015-16. If the sales tax imposed on the exports is not withdrawn the value added textile exports would further decline by approximately 20 percent. Pakistan Apparel Forum Chairman Jawed Bilwani questioned that the government was unable to refund sales tax claims, how can it pay back the claims after increasing it by 50 percent. He said that such policies are seriously impacting the value added textile export sector and not the spinning sector. He further said that according to official figures of Pakistan Bureau of Statistics, the overall exports during July to October declined by 13.42 percent as compared to the corresponding year. During the same period, the overall exports of Bangladesh increased by 4.95 percent and Vietnam 9.20 percent, whereas the overall exports of China and Sri Lanka decreased negligibly by 2.50 percent and 4.50 percent respectively. These figures clearly prove that the government is consulting only with those whose agenda is to decrease exports on account of their personal gains. In the last fiscal year 2014-15, overall exports also declined by around 5 percent. The government need to understand that until and unless the major causes are not addressed and if value added textile sector is not supported and their grievances in terms of cost of doing business/manufacturing are not evaluated in comparison with regional competing countries, their exports would never increase.
The prime minister and finance minister has been urged to invite value added textile sector for threadbare deliberations to ascertain the causes of this depressing situation, adding that it is imperative that cost of all essential utilities be brought down at the level of their neighbouring and other competing countries, while priority should be given to the export oriented industries in the supply of all utilities without interruption. Apart from this, the government has been time and again proposed to hire foreign consultants for assessing the difference in the cost of manufacturing in Pakistan vis-a-vis Bangladesh, India, Sri Lanka, Cambodia, Vietnam and China. This would actually give a true and clear picture on their exports that have nose-dived.
SOURCE: Yarns&Fibers
US TRADE Representative Michael Froman has urged trade ministers from the Asia-Pacific Economic Cooperation (Apec) member-economies to follow through on the different global trade agreements and the crucial efforts being made to set a new agenda, all aimed at securing sustainable and inclusive growth across the region. While citing the Philippines’ significant contribution and leadership in steering the Apec meetings toward current challenges faced by the region, Froman stressed the need to “stay the course and maintain progress toward creating greater opportunity for our people.” “The Trade Facilitation Agreement, the Information Technology Agreement, and the Environmental Goods Agreement all started at Apec, and Apec economies have a responsibility for driving their conclusion,” Froman said at the Apec Ministerial Meeting in Manila. “With regard to the Trade Facilitation Agreement, half the Apec economies have yet to ratify the agreement. On the Information Technology Agreement, we can all work together to finalize the tariff staging arrangement. On the Environmental Goods Agreement, I hope first we can all meet our obligations agreed to by our leaders, to cut our tariffs below 5 percent by the end of the year on a list of goods, but also work together at the World Trade Organization—those of us who are involved there—to agree on the scope of coverage on that agreement as well,” he explained.
The TFA formed part of the Bali Package adopted by the WTO members at the 9th ministerial conference held in Bali, Indonesia in December 2013. Trade facilitation refers to issues on cutting red tape and streamlining customs and port procedures, among other initiatives. Thus, the agreement is seen to create a significant opportunity to further improve the speed and efficiency of border procedures, and consequently, ease the non-tariff barriers and enable the smaller enterprises to tap growing opportunities of regional and global trade. Last July, WTO members agreed to eliminate the tariffs on 201 information technology products, whose trade was valued at over $1.3 trillion a year. This landmark agreement is expected to significantly benefit major IT product exporters, as it would support lower prices, create jobs, and help boost economic growth globally, according to the WTO.
Froman also cited the progress made by the Philippines with regards to the agenda of the micro, small and medium sized enterprises towards enabling them to significantly participate in the global value chains and international trade; the improvement of supply chain management by 10 percent; roadmap for electric vehicles; principles for advertising standards; agenda for structural reform; and on the efforts to improve the ease of doing business. “It’s been a very productive year under the leadership of the Philippines. And looking ahead, we welcome the efforts being made to set a new agenda, including on digital trade and avoiding new forms of protectionism, and on the framework on services—which many of the del egates have already spoken about in terms of its importance to all of our economies,” Froman noted. “I would also like to mention humanitarian goods. I hope we can reach a consensus on the Apec principles for eliminating tariffs and speeding the delivery of humanitarian goods in the context of disasters. As well as building on the agreement last year on intellectual property rights, where we all agreed to share best practices on trade secrets. I think we can build a consensus around the work that’s been done on that as well,” he explained. Froman concluded: “Let me conclude by just mentioning Trans Pacific Partnership Agreements, as many others have, in thanking my fellow ministers for their dedication and their efforts to bring that to a close. We welcome the interest of other economies in that process. We do very much view it as an important building block towards the free trade agreement of the Asia-Pacific, along with other bilateral, trilateral, and regional arrangements.”
SOURCE: The Business Inquirer
The Technical Education and Skills Development Authority (TESDA) Director General Irene Isaac announced that the agency together with Philippine Textile Research Institute (PTRI) will start developing the curriculum for a training program for the handloom weaving industry. With the training program they aim to breathe fresh life into the weaving industry, seen as a sunset industry and at the same time providing a source of income to families. Isaac said that through the project, competency standards for the handloom weaving industry will be developed. These will be used to enhance and upgrade the skills of handloom weavers. A Memorandum of Agreement between TESDA and the Department of Science and Technology (DOST) was recently signed to implement the said project.
Aside from developing a curriculum on weaving, TESDA will also review and update existing training courses, outlines and training materials to align them with the Philippine Qualifications Framework (PQF). PQF is a system for the recognition of qualifications based on standards of knowledge, skills and values acquired in different ways and methods by learners and workers in the country. With more and more people learning the craft, it will also create a demand for local textiles, empowering its producers. It’s also about empowering artisans. Weavers are not mere factory workers, they are artists doing the skill they know by heart from their indigenous communities, Isaac said.
The TESDA chief said that promoting the arts and crafts of cultural communities and finding potential consumers for these in the local and international markets could help the communities earn a steady income. The TESDA-DOST partnership came in the heels of calls by Senator Loren Legarda, a known advocate of Filipino woven products, to have a program wherein indigenous skills can be offered as courses through technical vocational training. Legarda, who heads the Senate committee on cultural communities urged the development of traditional skills like hand weaving, embroidery, tabungaw-making, basket-weaving, pottery, and likewise present the economic opportunities that can be derived from acquiring or improving on such skills. This kind of program will not only preserve cultural heritage but it will also provide indigenous peoples better employment and livelihood opportunities.
SOURCE: Yarns&Fibers
Minister of Information and Minister of State for Youth Affairs Sheikh Salman Al-Sabah after the inauguration of the first Peru Textile exhibition on Monday, co-organized by Embassy of Peru, Sadu House and Peru-Kuwait friendship committee said that there was a resemblance between textiles and weaving in Kuwait and Peru. Sheikh Salman, who also heads the National Council for Culture, Art and Letters (NCCAL) said that they want culture to be the link among peoples in order to strengthen the principles of humanity and peace. He also thanked Sheikha Altaf Salem Al-Ali Al-Sabah, Sadu House Honorary President, for sponsoring this heritage.
According to Sheikha Altaf, textile of Peru was similar to the Sadu in terms of design and color despite the huge geographical distance between Peru and Kuwait. The exhibition paved way for the Embassy of Peru to show the country's different types of textiles and weaving. The exhibition was part of their program which was about how Culture of Textile could be used to exchange art and culture among peoples. Culture and Arts speak a universal language, which is the language of humanity, expression and creativity. Cultural exchange and interaction between nations will promote their relationship. The exhibition will be held from 16 Nov to 19 Nov at Al Sadu House from 19 hours until 21 hours includes clothes, accessories and bags, in addition to paintings and some house accessories. On Nov 17 at 19 hours Prof Lucero Rodriguez will deliver a lecture on Peruvian textiles. The origins and comparative study with Traditional textiles of Kuwait.
SOURCE: Yarns&Fibers
