INTERNATIONAL
Textile Raw Material Price 2016-02-16
|
Item |
Price |
Unit |
Fluctuation |
Date |
|
PSF |
958.50 |
USD/Ton |
0% |
2/16/2016 |
|
VSF |
1929.27 |
USD/Ton |
0.72% |
2/16/2016 |
|
ASF |
1913.17 |
USD/Ton |
0% |
2/16/2016 |
|
Polyester POY |
960.80 |
USD/Ton |
0% |
2/16/2016 |
|
Nylon FDY |
2208.38 |
USD/Ton |
0% |
2/16/2016 |
|
40D Spandex |
4830.84 |
USD/Ton |
0% |
2/16/2016 |
|
Nylon DTY |
1035.18 |
USD/Ton |
0% |
2/16/2016 |
|
Viscose Long Filament |
2484.43 |
USD/Ton |
0% |
2/16/2016 |
|
Polyester DTY |
5714.19 |
USD/Ton |
-0.05% |
2/16/2016 |
|
Nylon POY |
1134.86 |
USD/Ton |
0% |
2/16/2016 |
|
Acrylic Top 3D |
2055.02 |
USD/Ton |
0% |
2/16/2016 |
|
Polyester FDY |
2097.20 |
USD/Ton |
0% |
2/16/2016 |
|
30S Spun Rayon Yarn |
2668.46 |
USD/Ton |
0% |
2/16/2016 |
|
32S Polyester Yarn |
1548.94 |
USD/Ton |
0% |
2/16/2016 |
|
45S T/C Yarn |
2453.76 |
USD/Ton |
0% |
2/16/2016 |
|
45S Polyester Yarn |
1717.63 |
USD/Ton |
0% |
2/16/2016 |
|
T/C Yarn 65/35 32S |
2116.37 |
USD/Ton |
0% |
2/16/2016 |
|
40S Rayon Yarn |
2821.82 |
USD/Ton |
0% |
2/16/2016 |
|
T/R Yarn 65/35 32S |
2438.42 |
USD/Ton |
0% |
2/16/2016 |
|
10S Denim Fabric |
1.07 |
USD/Meter |
0% |
2/16/2016 |
|
32S Twill Fabric |
0.90 |
USD/Meter |
0% |
2/16/2016 |
|
40S Combed Poplin |
0.97 |
USD/Meter |
0% |
2/16/2016 |
|
30S Rayon Fabric |
0.72 |
USD/Meter |
0% |
2/16/2016 |
|
45S T/C Fabric |
0.74 |
USD/Meter |
0% |
2/16/2016 |
Source: Global Textiles
Note: The above prices are Chinese Price (1 CNY = 0.15336 USD dtd. 16/02/2016)
The prices given above are as quoted from Global Textiles.com. SRTEPC is not responsible for the correctness of the same.
Textiles minister Chandrakant Patil announced the policy of the Maharashtra Government to extend a capital subsidy to those textile units which are self-financed. Initially, Capital subsidy was allowed only for those projects that were financed by banks. Sunil Porwal, Additional Chief Secretary (Textiles), Maharashtra said that they were encouraging mills to take loan from banks by allowing capital subsidy only on banks' financed projects mean. For the first time, the Government is encouraging investors with self financing. The government might resolve the stressed assets issue temporarily. He suggested the government of India should also implement a similar measure at the national level to revive the ailing textiles units. He added that Maharashtra has come out with this policy to incentivize textile industrialists who are ready to put in their own money in their units. The problem of stressed assets has been caused because there has not been a disincentive to take credit and an incentive to self-finance The policy to incentivize self-finance makes sure that the promoter’s equity is raised.
In addition, self-financed textile units in Vidarbha, Marathwada, and North Maharashtra regions—which produce almost all of the state’s cotton—will also be eligible for 25-35% capital grants from the state. Industry minister Subhash Desai said the Maharashtra Industrial Development Corporation (MIDC) was setting up 10 integrated textile parks in the state. They are developing these parks in Vidarbha, Marathwada and North Maharashtra where cotton is produced. They are targeting an investment of Rs.40,000 crore in these parks which would generate more than 11 lakh jobs. The state government has reduced the premium on MIDC land to encourage investors to invest in these parks, Desai said. One of these parks has come up at Nandgaon Peth in Amravati district in Vidarbha where Raymond Industries has signed an agreement for an investment of Rs.1400 crore.
Dilip Jiwrajka, managing director of Alok Industries, which operates four textile units in the Maharashtra, welcomed the initiative. He said textile units in the state should also get cheaper electricity like in neighbouring Gujarat. R.K. Dalmiya, chairman of the Cotton Textiles Export Promotion Council, said the initiative will give Maharashtra a competitive edge over other textile-heavy state like Tamil Nadu. This initiative came up at a panel discussion on opportunities in textiles in Maharashtra at the Make in India week to revive the slumping textile sector.
SOURCE: Yarns&Fibers
In December 2015, all types of filament yarns export of India aggregated 33.9 million kg, down 25.5 per cent YoY while value declined 35.6 per cent to US$54.7 million. Filament yarns include polyester, nylon, polypropylene and viscose filament yarns and were exported to 73 countries from India during the month. More than 89 per cent of filament yarns were of polyester, of which, DTYs were the largest at 72.6 per cent. 32.4 million kg of polyester filament yarns were exported in December while Brazil and Turkey continued to be the major importers of polyester filament yarns, followed by Bangladesh. The three together accounted for 45 per cent of polyester filament yarn exports. Brazil was also major importer of polyester DTYs and Turkey was major importer of PFYs. Sri Lanka was the major importer of nylon filament yarn in December with volumes at 51,000 kg worth US$0.27 million. In value terms, USA and United Arab Emirates were the other largest markets for nylon filament in December.
Polypropylene filament yarns were exported to 22 countries in December with volumes at 212,000 kg worth US$0.41 million. Tanzania was the major importer of PP yarns. Mexico and Bangladesh were the other major importers of PP filament yarns in December. Around 1 million kg of viscose filament yarns were exported in December to 22 countries from India valued at US$4.2 million. During the month, 194,000 kg of VFYs were exported to Japan. It was followed by Turkey and Germany.
SOURCE: Yarns&Fibers
The Indian denim industry is looking to gradually increase its share of exports from its current 35%. Experts feel that the industry will have to increase its capacity by another 300 million metres. The sector’s current share of domestic sales is 65%. "Historically, denim has been one of the fastest growing apparel fabric segments, having grown by 500 million metres from 700 million metres in 2010 to 1.2 billion in 2015. Yet, there is a gap of another 300 million metres in India if the denim industry needs to tap its full export potential," said P R Roy, chairman of Diagonal Consulting (India), which is organising the International Denim Conference in Ahmedabad jointly with the Confederation of Indian Textile Industry (CITI) on February 19 and 20, 2016. The conference will see major denim fabric and apparel players as well as experts from within India and abroad deliberating over the future of denim industry, especially for India. "Exports of textiles have not done well in the last few years and denim as one of the major textile product groups could push textile exports. The conference will look to bring attention to policy makers on how this product can be looked at for boosting overall textile exports from the country," said Roy. While India has been one of the major global suppliers of denim fabrics, the country still falls behind other competing nations in terms of denim apparel such as jeans. Also, while most of the global brands outsource denim apparel work to Indian players, much of it is meant for the domestic market and not for exports. "The conference will look to deliberate on how Indian apparel scene can be improved so that Indian denim industry bags orders not just for domestic market but also that it becomes a global hub for branded denim apparel," Roy added. Meanwhile, the industry is expected to touch 1.5 billion metres capacity by 2020 even as the domestic and exports ratio is set to change from 65:35 to 55:45.
SOURCE: The Business Standard
Tamil Nadu government has allocated Rs 150 crore for the Skill Development Mission and to prepare detailed project reports for the setting up of Common Effluent Treatment Plants (CETPs) in the interim budget 2016-17 presented at the state assembly, according to a press statement released by the Tirupur Exporters Association (TEA). The CETPs will be set up in Namakkal, Erode, Salem and Karur districts of Tamil Nadu, and will contribute to the growth of the textile industry and exports in the state. Welcoming the interim budget and the allocation of funds, A Sakthivel, president of TEA said that he appreciated the chief minister, J Jayalalithaa as the state has registered an average annual Gross State Domestic Product (GSDP) growth rate of 8.01 per cent in real terms from 2011-12 to 2015-16. He also hailed the budget for not proposing any new taxes, and sent a letter of thanks to the CM of Tamil Nadu
SOURCE: Fibre2fashion
Snapping its two-day winning spree, the rupee tumbled 31 paise to a 29-month low of 68.38 a dollar, on renewed demand for the US currency from banks and importers in view of strong foreign capital outflows. Sharp fall in domestic stock market also affected the rupee sentiment. The rupee resumed lower at 68.13 to a dollar against Monday’s close of 68.07 at the Interbank Foreign Exchange (Forex) market and finished 0.46 per cent lower.
SOURCE: The Hindu Business Line
Though the garment manufacturers eased their stance a bit, the impasse continues in the wage revision talks between the trade unions and the textile associations to finalise the next wage agreement for workers in the knitwear sector. On Tuesday, the six textile associations, which were involved in the talks with the eight trade unions, proposed a 24 per cent increase in the wages from the previous four-year wage pact which expired on January 30. In the earlier rounds of talks, the textile associations were adamant that they would give an increase of 19 per cent spread over four years against the trade unions' demand for 100 per cent increase in wages. “We have now offered 24 per cent increase over a period of four years with an increase of 15 per cent in the first year followed by 3 per cent hike in each of the subsequent three years,” said R. Damodaran, joint secretary of South India Hosiery Manufacturers Association. The textile associations taking part in the talks include South India Hosiery Manufacturers Association, Tirupur Exporters Association, Tirupur Exporters and Manufacturers Association, Knit Cloth Manufacturers Association, South India Imported Machine Knitter Association and Tirupur Export Knit Manufacturers Associations. The trade unions involved in the wage agreement were CITU, AITUC, INTUC, LPF, MLF, ATP, BMS and HMS. CITU State secretary M. Chandran told The Hindu that the trade unions would stand by its demand for a 100 per cent increase in wages not from the scales mentioned in the previous pact but from the minimum wages fixed by the State Government for the garment workers in general. “We will also persist with the demand for introduction of perquisites like house rent allowance and educational assistance for children of knitwear workers,” Mr. Chandran said.
SOURCE: The Hindu
Top officials of India and the European Union (EU) will meet again on February 22 in Brussels to review the stalled negotiations for the proposed free trade agreement. On February 18 here, chief negotiators of both the regions took stock of the outstanding issues, including duty cut on automobiles and movement of professionals, that have held up the talks. "In that meeting, it was decided that a secretary-level talks should also happen. Commerce Secretary Rita Teaotia will be going to Brussels and meet her counterpart," an official said. The purpose of the meeting is to assess where both sides stand and how India and the EU should go forward with the proposed pact, officially dubbed as Bilateral Trade and Investment Agreement. The Indian side would apprise the EU that several decisions have already been taken by the government which the 28-nation bloc wants. The decisions include liberalising foreign direct investments norms in sectors like telecom, insurance and various other sectors. "In the last three years, India has moved ahead. Much of the market access they were looking at was done unilaterally now by India. So this is something the commerce ministry will flag," the official said adding "this is the follow up meeting". The Indian side would also raise issues related with services as it wants liberalise visa regime for its professionals. "We expect to see a lot more happening particularly in Mode 4. We want to look at mutual visa liberalisation with the EU countries so that there is a much easier movement of professionals and business people," the official added.
Besides non-tariff barriers which Indian trades are facing may be raised in the meeting. The last round of trade talks between the two sides happened in May 2013. In that meeting India and the 28-nation bloc failed to bridge substantial gaps on crucial issues, including data security status for the IT sector. The negotiations for the proposed Broad-based Trade and Investment Agreement have witnessed many hurdles with both sides having major differences on crucial issues. Besides demanding significant duty cuts in automobiles, EU wants tax reduction on wines and spirits and dairy products and a strong intellectual property regime. The free trade pact is aimed at reducing or significantly eliminating tariffs on goods, facilitating trade in services and boosting investments between the two sides. The two-way commerce in goods between India and the EU was USD 98.5 billion in 2014-15.
SOURCE: The Business Standard
Indian investors can explore a number of high potential sectors in Egypt like textiles, Information and Communication Technology, and wind and solar energy, the Egyptian envoy to India said here on Tuesday. Among other sectors which the Indian companies can tap are finance, logistics, tourism, agriculture, medical tourism, retail, construction and education, according to Egyptian Ambassador to India Hatem Tageldin. Participating in an interaction at the MCC Chamber of Commerce and Industry, he said the two countries are looking at the possibilities of starting a direct flight from Cairo to New Delhi. He said the tourist flow from India to Egypt rose by by 28.3 percent, though there was scope for more growth. Refering to the Special Economic Zone developed by his country at the Suez Canal Corridor, Tageldin said the mega project would make Egypt a logistic hub for the whole region, giving investors access to the Middle East, the European and the African markets. The ambassador invited Indian companies to develop an Indian industrial city beside the Suez Canal corridor. Another Egyptian official said Cairo has proposed six agreements to facilitate trade with India. Once these pacts are concluded, trade between the two countries would reach $7-8 billion over the next three-four years. Titagarh Wagons will invest $500 million in a wagons manufacturing unit in Egypt soon, the official said.
SOURCE: The Business Standard
Looking at India as an attractive investment destination for its companies, China has evinced strong interest in the ongoing 'Make in India' campaign with various delegations from the neighbouring country taking part in the summit here. Noting that China and India have become the two strongest driving forces for the world's economic growth, China's Consul General in Mumbai said both countries have great potential for common development through bilateral cooperation. "In recent years, China has begun its economic restructuring, which means that it has to transfer some of its manufacturing capacity overseas due to ever-increasing costs," Consul General of the Consulate General of the People's Republic of China (Mumbai), Zheng Xiyuan said in a note.
According to Xiyuan, China's 'One Belt One Road' programme to strengthen industrial cooperation with the countries along the Silk Road makes India an important investment destination. "Under the incentives offered under the 'One Belt One Road' programme, more and more Chinese companies have strongly expressed their intention to invest overseas," Xiyuan said. "As a vital country along the Silk Road, India is gradually becoming one of most attractive investment destinations for Chinese companies...," he said. Further, he noted that as India gradually improves its services in favour of Chinese investors, such as fast licence approval, ease of obtaining work permits and business visas, Chinese investors will also contribute a lot to 'Make in India' and 'Make in Maharashtra'. The week-long manufacturing summit in India has witnessed the participation of some important delegations from China's government including the Suzhou government delegation, Hunan government delegation and China Association for Promotion of International trade, despite the fact that Chinese are currently in the midst of celebrating their half-month long New Year holiday. The consul general observed that more and more Chinese investors have come to India to study the country's investment environment, and some of them have already taken concrete steps to invest in the country. These include Beiqi Foton Car Company, Shanghai Baoshan Steel Company and Taiyuan Heavy Industry. China's economy grew 6.9 per cent in 2015 -- the lowest rate since 1990 -- and is expected to slow further this year, with the darkening perspective contributing to plunges in global stock markets in recent weeks.
SOURCE: The Economic Times
In order to make the India-Asean Trilateral Highway a “live highway and economically sustainable”, both the sides are expected to discuss the “soft infrastructure” required, including customs and tariffs, at the Delhi Dialogue starting in New Delhi on Wednesday. “We want the highway to be a busy one, so that trade to Myanmar, Laos and Cambodia keeps increasing. We need economic activity on the highway to sustain it, for trucks to go through,” said Anil Wadhwa, secretary (east) MEA. The two-day event starting on Wednesday will also be attended by two chief ministers from the Northeast — Nagaland’s T R Zeliang and Mizoram’s Lal Thanhawla. “Building closer connectivity with the 10 countries of the bloc would figure high on the agenda, especially the India-Myanmar-Thailand Trilateral Highway, a 3,200-km highway that will connect India with the Asean. The highway to link Moreh in Manipur via Mandalay city (Myanmar) to Mae Sot in Thailand, is to be ready by 2018,” added Wadhwa. The government has attached priority to this key highway and all parties involved have been working towards an early operationalisation of this highway. As part of India’s upgraded “Act East” policy, which seeks to strategically build India’s link with the Southeast Asian region, the India — Myanmar — Thailand Trilateral Highway is an ambitious project of 1990 that will connect India with the ASEAN region.
At the Delhi Dialogue, both sides will discuss how to utilise the $1 billion announced by Prime Minister Narendra Modi to boost physical and digital connectivity between both sides during the India-ASEAN summit in Kuala Lumpur in November last year. Also on the agenda would be the `500- crore project development fund announced by India to start investments in Cambodia, Laos, Myanmar and Vietnam (also known as CLMV countries). The CLMV countries cover 32% of the geographical area of the Asean region and account for about 9% of ASEAN’s GDP. Arunachal Pradesh, Assam, Manipur, Meghalaya, Mizoram, Nagaland, Tripura and Sikkim make the northeast a ‘gateway’ to the ASEAN region. The completion of the India–Myanmar–Thailand Trilateral Highway is expected to expand trade and commerce opportunities, as increased connectivity is key to deeper integration with the ASEAN states. The highway is considered an important land route that connects India with Southeast Asia and beyond. The 3,200 km-long road begins at the India-Myanmar border town of Moreh (in Manipur) and passes through several Myanmarese towns including, Tamu, Kalewa, Yargyi, Monya, Mandalay, Meiktila, Myawaddy and finally reaches Mae Sot in Thailand. The four-lane highway is part of the proposed ASEAN East-West Corridor. According to officials, there is also a plan to link this road with the Trans Asian Highway-1 that runs from Japan (via ferry) to Turkey, where it connects the European highway after traversing through the Asian continent.
Under the Trilateral Highway project, about 78 km of new roads will be constructed, and the existing 400 km of roads will be upgraded along with the construction of all–weather approach lanes. In Phase 1, India will assume the responsibility of 78 km of missing links, upgrade 58 km of existing roads, and possibly improve a further 132 km of road. Thailand will upgrade a total of 192 km of road under this phase and will take up another 100 km under Phase 2. India’s Border Roads Organization has already upgraded the Tamu–Kalewa–Kalemyo road in Myanmar, and the Indian government is responsible for its maintenance.
SOURCE: The Financial Express
Legal experts from the US and India will discuss key issues including the Bilateral Investment Treaty to encourage American investments in the country during a three-day forum in New Delhi. American Bar Association President Paulette Brown would be the chief guest at the India-US Cross Border Investment Forum in New Delhi beginning tomorrow. The meeting aims at discussing key issues relating to the India-US trade agreement including the Bilateral Investment Treaty (BIT) to encourage American investments in the Indian market, a statement issued yesterday said. "The Conference and the panels are well-designed and timely. I have no doubt it will be a critical venue for advancing India-US deal-making in general and New Delhi's stature and positioning in that space in particular," Brown said in a statement.
Being organised by the Society of Indian Law Firms, the meeting is also expected to be addressed by US Ambassador to India Richard Verma, former union ministers Salman Khurshid and Kapil Sibal, Senior Counsel Fali Nariman, president Emeritus Bar Association of India and P K Malhotra, secretary Ministry of Law and Justice, a statement said. "The growing cooperation between the legal professions of the US and India (nearly 2.5 million lawyers) augurs well for development of trade and commerce. Legal support is most vital for economic coordination and that is what precisely this conference hopes to provide," Co-chair of the conference and President of Society of Indian Law Firms Lalit Bhasin said.
SOURCE: The Economic Times
Nepal, Bhutan, Bangladesh, Tibet and India, these five South Asian neighbouring countries are coming even closer with opening up of a new immigration check post between India and Bangladesh at Phulbari near Siliguri. Location of the check point right on the upcoming Asian Highway is expected to give a quantum jump to the trade relationship between these countries. The formal opening of the immigration point will take place on 18th of February in presence of dignitaries including Union Home Minister, India, Mr. Rajnath Singh and his Bangladesh Counterpart Mr. A. Khan along with ministers of West Bengal state Government- as learnt. Phulbari in Indian side, with Banglabandha in the opposite side of Indo-Bangla border at a distance of around 8 km from Siliguri, was opened as a land port in January 2011 at a cross-border ceremony attended by the then Indian Finance Minister Pranab Mukherjee and Bangladesh's Agriculture Minister Matia Chowdhury. But immigration was not allowed through the point. "With close bondage between the two countries, people of both will have even better opportunity to come closer when this port gets opened as a full fledged immigration center in newer future," Mr. Mukherjee said in his speech.
Compared to other land ports in Bengal, Phulbari enjoys the privilege of being closest to Indian international borders with Nepal, Bhutan or Tibet . Its importance further went after coming into the alignment of Asian Highway. The span of this fast upcoming super Highway connecting Nepal with Bangladesh via Phulbari is likely to get completed by next 18 months. "A full fledged immigration point here will facilitate faster and better access of people of one country to the other and thus boost up trade opportunity giving a quantum jump to the cross border trade and commerce between all these five countries," said CII North Bengal Chapter Vice Chairman Mr. R. Bihani.
SOURCE: The Economic Times
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$ 31.48 per barrel (bbl) on 16.02.2016. This was higher than the price of US$ 30.38 per bbl on previous publishing day of 15.02.2016.
In rupee terms, the price of Indian Basket increased to Rs 2151.20 per bbl on 16.02.2016 as compared to Rs 2070.04 per bbl on 15.02.2016. Rupee closed weaker at Rs 68.34 per US$ on 16.02.2016 as against Rs 68.13 per US$ on 15.02.2016. The table below gives details in this regard:
|
Particulars |
Unit |
Price on February 16, 2016 (Previous trading day i.e. 15.02.2016) |
Pricing Fortnight for 16.02.2016 (28 Jan to 11 Feb, 2016) |
|
Crude Oil (Indian Basket) |
($/bbl) |
31.48 (30.38) |
30.05 |
|
(Rs/bbl |
2151.20 (2070.04) |
2040.70 |
|
|
Exchange Rate |
(Rs/$) |
68.34 (68.13) |
67.91 |
SOURCE: PIB
Many Vietnamese textile and garment companies have received enough orders to stay busy for at least the first half of the year and they are positive about the industry's export target of US$30 billion this year. Pham Xuan Hong, vice chairman of the Vietnam Textile and Apparel Association, told news website Saigon Times that most member companies have a smooth start and some have already scored a large number of orders that can keep their factories running through the entire year. The industry shipped $27 billion worth of products in 2015 and aimed to raise that by more than 10 percent to $30 billion this year. Hong said even though it is less than two months in, he is confident that the annual goal is within reach. Textile and garment exports increased 5.8 percent in January to $2 billion, compared to the same month last year, according to official trade data. Le Quang Hung, board chairman of Garmex Saigon, which has secured orders for a full year, said the industry seems to be doing well. But he said local companies are not able to bring in big money for themselves, mostly because they are generally doing contract work for international clothing brands instead of selling their own products. Hung said that out of $21.6 billion of export revenues taken home by the garment sector last year, 70 percent went straight to foreign invested companies although they only account for 30 percent of the number of businesses. He said the government needs to offer both financial and technical support to local companies so that they can move up the value chain and gain more from free trade agreements, particularly the Trans Pacific Partnership (TPP).
SOURCE: The Thanhnien News
Local textile and garment manufacturers are pushing the government to join a greater economic partnership with European and Pacific Rim countries, saying that taking part in the two international trade pacts will help Indonesia boost its exports. Garment manufacturer PT Pan Brothers deputy CEO Anne Patricia Sutanto recently said she expected that the government would stay committed to joining comprehensive partnerships with the EU and US-led Trans-Pacific Partnership (TPP). “We want an assurance for our buyers that Indonesia will stay consistent with its free trade agreement [FTA] with Europe, or possibly become a member of the TPP,” she said during a recent visit to the Industry Ministry’s office. Anne said that the FTA with the EU and the TPP would speed up her firm’s expansion project as the partnerships would likely boost demand from the partnerships’ participating countries. Pan Brothers, which is listed on the Indonesia Stock Exchange (IDX), was currently exporting 44 percent of its products to the Asia Pacific region, 26 percent to Europe and another 26 percent to the US market, she said. Anne added that her company had planned to invest around US$40 million in 2016 to 2017 to expand its production capacity, with demand for new workers hitting 12,000 people this year and 15,000 people next year.
Indonesian Textile Association (API) chairman Ade Sudrajat said that his association basically welcomed any partnerships with other countries as long as they helped reduce both tariff and non-tariff barriers for Indonesian textile products. Trade Minister Thomas Lembong said previously that his ministry would focus on speeding up talks on the Indonesia-EU Comprehensive Economic Partnership Agreement (CEPA), a bilateral agreement with Australia and a partnership with Switzerland, Norway, Iceland and Liechtenstein (European Free Trade Association) this year. The government has also expressed its intention to join the TPP once it has concluded talks on the Indonesia-EU CEPA. The CEPA, which was initially negotiated in 2012, will cover issues including reduction of trade barriers and liberalization of government procurement projects. Nations that are covered by the recently signed TPP are Australia, Brunei Darussalam, Canada, Chile, Japan, Malaysia, Mexico, New Zealand, Peru, Singapore, Vietnam and the US.
The Industry Ministry’s director for textiles, leather, footwear and various industries, Muhdori, said recently that the textile industry was one of the sectors that was most ready to compete under free trade arrangements. “Our textile industry is already structured from its upstream to downstream. Most of the raw materials used by the industry are also domestically sourced, with only some specialty fabrics or yarns imported,” he said. Indonesia’s textile exports gradually increased from $11.2 billion in 2010 to an estimated $22.65 billion last year, with imports value always below exports value, according to Industry Ministry data. The textile industry grew around 6 percent in 2011 to 2013 but slowed to only 1.53 percent in 2014. Should Indonesia join the TPP, one of the main competitors for its textile products in the US import market would be Vietnam, which is already a member of the TPP. Vietnam’s share of the US apparel import market could go up from 10 percent to 35 percent once the TPP is implemented, according to consulting firm O’Rourke Group Partners, LLC as quoted by AmCham Vietnam.
SOURCE: The Jakarta Post
Nigeria’s Bank of Industry (BoI) says the failure of state governments to implement the recommendations of the Cotton and Textile Garment (CTG) scheme was responsible for the collapse of the textiles companies in the country. Mr. Waheed Olagunju, the BoI’s Executive Director, Small and Medium Enterprises (MEs), said at the regional vocational skills competition organised by the bank in partnership with the National Board for Technical Education (NBTE) in Kaduna that failure to implement the recommendation on increasing cotton production, addressing smuggling and lack of lubricants added to the woes of the companies. Olagunju disclosed that BoI disbursed 60 percent of the N100 billion (about $ facility to industries in the sector. He explained that the CTG scheme, which was launched around 2010 was a N100 billion facility and that about 60 percent of the facility was disbursed to industries in that sector in Nigeria before it was converted to equity. “You will agree with me that funding is only one of the factors of production, there are other things that go with running successful an industrial enterprise, the bank made money available, but other recommendations were not implemented. “If other recommendations were implemented along side the funding, it would have led to the revival of that sector. Other challenges that need to be looked into include smuggling, lubricants and others,” he said. According to him, if the industries have not done well, it is because the recommendations were not implemented. He added that the real sector of the Nigerian economy is experiencing shortages in terms of the required manpower needed to operate the industries.
SOURCE: The Star Africa
The common exhibition area organized by the Italian Trade Agency for the promotion abroad and internationalization of Italian businesses, and by ACIMIT, will host 12 textile machinery makers at the upcoming Saigontex trade fair that takes place in Hochiminh City, Vietnam, from 30 March-2 April. The 12 machinery manufacturers are all ACIMIT associated members and include: A. Piovan, Beta Machinery, Carù, Fadis, Ferraro, JK Group, Mei, Pozzi Leopoldo, Pugi Group, Ratti, Rollmac, Tonello. Vietnam already ranks eight among export markets for Italian textile machinery companies, with exports to Vietnam over the first nine months of 2015 reaching EUR 31 million, a 53% increase compared to the same period for 2014. Among the products most in demand are finishing/ennobling and spinning machinery.
Major market
Vietnam has recently become a major market for textile machinery manufacturers. Having emerged as an important manufacturing hub for the garments sector, thanks to low labour costs, the country has now received a further boost for developing its textile industry, through the free trade agreements recently signed with the European Union and United States. “In the face of these new scenarios, we’re expecting over the medium term a strong boost in demand for textile machinery by Vietnamese textile manufacturers,” explained Raffaella Carabelli, President of ACIMIT, the Association of Italian Textile Machinery Manufacturers. Saigontex, the Vietnam Textile & Garment Industry Expo, held concurrently with the Vietnam Textile & Garment Industry Expo, is the biggest and most important trade and information platform in Vietnam. The expos are being held regularly in Hochiminh City and Hanoi since 1990s.
ACIMIT
ACIMIT represents an industrial sector comprising around 300 companies (employing close to 12,000 people) that produce machinery for an overall value of about EUR 2.5 billion, with exports amounting to 84% of total sales. Italian textile technology is sold to around 130 countries worldwide.
SOURCE: The Innovation in Textiles
A group of Syrian refugees hope to join the ranks of Turkey's employed soon thanks to vocational training and a recent change in Turkish law. Eighty women at the Öncüpınar refugee camp in Kilis province near the Syrian border have enrolled in a machine knitting course organized by the UN and Turkey's Disaster and Emergency Management Authority. Last month, Turkey granted refugees the right to work and the women hope to take advantage of this by joining the country's large textile industry. Former kindergarden teacher Mutia Tattu, 33, from Idlib in in northwest Syria, has been living at Öncüpınar for four years. "This course is my chance to get a job outside the camp," she told Anadolu Agency. "My life is now filled with my new target and hobby."
Before the conflict broke out five years ago, Fikri Sahyuni, 45, earned money through knitting on an old fashioned machine. "Now, I can upgrade my skills by learning on a new model machine and I can do better," she said. UN instructor Erhan Tuygun said the two-month courses vocational program will also run in two other camps - Harran camp in Hatay and Islahiye camp in Gaziantep. "We have started the UN vocational machine knitting course with 80 women in Kilis," he said. "Participants were subjected to elimination - we tested them for color blindness, their sewing skills and attention span." More than 100 applied to the course, financed by the Japanese government, at Oncupinar. "The training program was designed to build skills in order to equip them with vocational skills for employment," Tuygun said. Kilis-based textile firm Elyaf Triko has extended the possibility of giving jobs to some of those who pass the course, offering a way out of dependency for the women.
SOURCE: The Daily Sabah
Saudi Arabia and Russia agreed to freeze oil output at near-record levels, the first coordinated move by the world’s two largest producers to counter a slump that has pummeled economies, markets and companies. While the deal is preliminary and doesn’t include Iran, it’s the first significant cooperation between OPEC and non-OPEC producers in 15 years and Saudi Arabia said it’s open to further action. Oil pared gains after the accord was announced, signaling traders see no immediate end to the global supply glut. The deal to fix production at January levels, which includes Qatar and Venezuela, is the “beginning of a process” that could require “other steps to stabilize and improve the market,” Saudi Oil Minister Ali Al-Naimi said in Doha Tuesday after the talks with Russian Energy Minster Alexander Novak. Qatar and Venezuela also agreed to participate, he said. Saudi Arabia has resisted making any cuts in output to boost prices from a 12-year low, arguing that it would simply be losing market share unless its rivals also agreed to reduce supplies. Naimi’s comments may continue to feed speculation that the world’s biggest oil producers will take action to revive prices. “The reason we agreed to a potential freeze of production is simply the beginning of a process” over the next few months, Naimi told reporters. “We don’t want significant gyrations in prices. We don’t want a reduction in supply. We want to meet demand. We want a stable oil price.”
Prices Fall
More than a year since the Organization of Petroleum Exporting Countries decided not to cut production to boost prices, oil remains about 70 percent below its 2014 peak. Supply still exceeds demand and record global oil stockpiles continue to swell, potentially pushing prices below $20 a barrel before the rout is over, Goldman Sachs Group Inc. said last week. While Novak has said he could consider cuts if other countries joined in, Russia faces significant obstacles to doing so. The freeze is conditional on other nations agreeing to participate, Russia’s Energy Ministry said in a statement. The group of producers plans to monitor output and prices for four months, Venezuelan Oil Minister Eulogio Del Pino said in an e-mailed statement. “This is an announcement of a production freeze among countries whose production didn’t even grow recently,” said Eugen Weinberg, head of commodities research at Commerzbank AG in Frankfurt. “If Iran and Iraq are not a part of the agreement, it’s not worth much -- and even then there is still a question of compliance.” Oil erased gains in London after rising before the meeting amid speculation the countries would discuss production cuts. Brent crude fell 3.6 percent to settle at $32.18 a barrel Tuesday in London, having earlier climbed as much as 6.5 percent.
Production Gains
Iran, OPEC’s fifth-largest producer, ruled out any curbs on its oil production when the group met in December. It plans to boost output and exports by 1 million barrels a day this year following the lifting of international sanctions last month. This week the nation loaded its first Europe-bound crude cargo in four years. “Iran will not forgo its share of the market,” the Oil Ministry’s news service Shana reported Tuesday, citing Minister Bijan Namdar Zanganeh. Iraq continues to boost production as it recovers from years of conflict and under investment. The nation’s output reached a record 4.35 million barrels a day in January and more increases could follow, according to the International Energy Agency. The country is prepared to cap production at current levels, or even cut, if other producers commit to the Doha accord, said an official who asked not to be identified because oil policy is private.
Iran Concession
There is a precedent for some countries being excused from full compliance with a freeze in order to secure their backing. In 1999, when OPEC came together with other producers including Mexico to fight an oil price slump, Saudi Arabia agreed to let Iran fix output at a higher level than in the past. The freeze deal comes after months of competition for market share between Russia and Saudi Arabia. Riyadh has taken the rare step of selling crude into Moscow’s backyard of Eastern Europe, while Russia overtook Saudi Arabia in oil exports into China. The two nations are also backing opposite sides in the Syrian civil war. According the IEA, Saudi Arabia produced 10.2 million barrels a day in January, below the most recent peak of 10.5 million barrels a day set in June 2015. Russia produced nearly 10.9 million barrels a day in the same month, a post-Soviet record, according to official data. Venezuela pumped 2.4 million barrels a day and Qatar produced 680,000, according to the IEA. Qatar will lead monitoring of the output freeze agreement, the nation’s Energy Minister Mohammad bin Saleh al-Sada said at a press briefing. Low oil prices haven’t been positive for the world, he said. "A freeze would not create an immediate U-turn, but it creates a better foundation for the price recovery in the second half," Olivier Jakob, managing director of consultant Petromatrix GmBh, said in a note to clients.
SOURCE: The Bloomberg
