(Source: Press Information Bureau, December 01, 2021) Keeping in view India’s vision of becoming ‘Atmanirbhar’ and to enhance India’s Manufacturing capabilities and Exports, an outlay of INR 1.97 lakh crore (US$ 26 billion) has been announced in Union Budget 2021-22 for PLI schemes for 13 key sectors of manufacturing starting from fiscal year (FY) 2021-22. The 13 key sectors include already existing 3 sectors namely (i) Mobile Manufacturing and Specified Electronic Components, (ii) Critical Key Starting materials/Drug Intermediaries & Active Pharmaceutical Ingredients, (iii) Manufacturing of Medical Devices and 10 new key sectors which have been approved by the Union Cabinet in November 2020. These 10 key sectors are: (i) Automobiles and Auto Components, (ii) Pharmaceuticals Drugs, (iii) Specialty Steel, (iv) Telecom & Networking Products, (v) Electronic/Technology Products, (vi) White Goods (ACs and LEDs), (vii) Food Products, (viii) Textile Products: MMF segment and technical textiles, (ix) High efficiency solar PV modules, and (x) Advanced Chemistry Cell (ACC) Battery. PLI Scheme for an additional sector, Drones and Drone Components, has also been approved by the Union Cabinet in September 2021. With the announcement of PLI Schemes, significant creation of production, employment, and economic growthis expected over the next 5 years and more. The PLI schemes are being implemented by the concerned Ministries/ Departments. A statement on details received from concerned Ministries/Departments regarding investment made by various sectors after 1st April, 2021, to avail Production Linked Incentive (PLI) scheme is placed in the table below:
|
Sl. no. |
Implementing Ministry/ Department |
Sector |
Investment received after 01.04.2021 (In INR crore) |
|
|
Existing PLI Scheme |
||||
|
i |
Ministry of Electronics and Information Technology (MeitY) |
Mobile Manufacturing and Specified Electronic Components (Large Scale Electronics Manufacturing) |
The investment made by the companies approved under the Product Linked Incentive Scheme (PLI) for Large Scale Electronics Manufacturing after 01.04.2020 is approximately INR 3,000 crore. |
|
|
ii |
Department of Pharmaceuticals |
Critical Key Starting materials/Drug Intermediaries & Active Pharmaceutical Ingredients |
Under the Scheme, 42 applications have been approved with a total Committee Investment of Rs.4347.26 crore. |
|
|
iii |
Department of Pharmaceuticals |
Manufacturing of Medical Devices |
Under the Scheme, 13 applications have been approved with a total Committed Investment of Rs.798.93 crore. |
|
|
Newly Announced PLI Scheme |
||||
|
i |
Department of Heavy Industries |
Advanced Chemistry Cell (ACC) Battery |
Bidding process for selection of bidders/ investors is underway |
|
|
ii |
Ministry of Electronics and Information Technology (MeitY) |
Electronic/ Technology Products |
The investment made by the companies approved under the Production Linked Incentive Scheme(PLI) for IT Hardware after 01.04.2021 is approximately INR 17 crore. |
|
|
(IT Hardware) |
||||
|
iii |
Department of Heavy Industries |
Automobiles and Auto Components |
Window for notice inviting applications is opened for 60 days from 11th November, 2021 to 9th January, 2022 |
|
|
iv |
Department of Pharmaceuticals |
Pharmaceuticals Drugs |
278 applications received which will be finalized by the end of November 2021. |
|
|
v |
Department of Telecom |
Telecom & Networking Products |
Investment made under PLI Scheme to promote Telecom and Networking Products Manufacturing in India up to September, 2021 is Rs.182.8 crores. |
|
|
vi |
Ministry of Textiles |
Textile Products: MMF segment and technical textiles |
The scheme guidelines are under finalization. |
|
|
vii |
Ministry of Food Processing Industries |
Food Products |
Applicants for coverage are under finalization. |
|
|
viii |
Ministry of New and Renewable Energy |
High efficiency solar PV modules |
Letters of award have been issued to the extent of fund allotted. Details of investment are awaited. |
|
|
ix |
Department for Promotion of Industry and Internal Trade (DPIIT) |
White Goods (ACs and LEDs) |
42 applicants with indicative investment of Rs. 4,614 crore have been selected as beneficiaries under the PLI Scheme as on 03.11.2021. |
|
|
x |
Ministry of Steel |
Specialty Steel |
Detailed Scheme guidelines have been published on 20.10.2021 for operationalization of the Scheme. |
|
(Source: Concerned implementing Ministries/ Departments)
There is no plan to relax Production Linked Incentive Scheme for White Goods.
This information was given by the Minister of State in the Ministry of Commerce and Industry, Shri Som Parkash, in a written reply in the Lok Sabha today.
Source: PIB
Government has released Rs 56,027 crore in order to clear pending export incentive dues to exporters, which is for various Schemes namely: Merchandise Exports from India Scheme (MEIS) - Rs 33,010 crore, Service Exports from India Scheme (SEIS) - Rs 10,002 crore, Rebate of State and Central Taxes and Levies (RoSCTL) - Rs 5,286 crore, Rebate of State Levies (RoSL) - Rs 330 crore, Remission of Duties and Taxes on Exported Products (RoDTEP) - Rs 2,568 crore and other legacy Schemes like Target Plus Scheme (TPS), Focus Product Scheme (FPS) etc. - Rs 4,831 crore. This includes support for exports made under RoDTEP and RoSCTL Schemes during the 4th quarter of FY 2020- 21. It is estimated that such benefits would be disbursed to more than 45,000 exporters, out of which around 98% may fall in the Micro, Small and Medium Enterprises (MSME) category. Clearance of dues under these Schemes is dependent on meeting the eligibility criteria by the applicant exporter, whose applications are scrutinized for any deficiency. The process of approval of complete applications under these Schemes varies. In certain Schemes, such as MEIS, ROSCTL and ROSL, online applications are largely system approved, whereas for SEIS, TPS, FPS online applications require manual scrutiny and examination of documents. Accordingly the detail of exporters’ dues state-wise is not maintained. To reach the target, some of the key schemes/interventions taken by the Government are:
This information was given by the Minister of State in the Ministry of Commerce and Industry, Smt. Anupriya Patel, in a written reply in the Lok Sabha today.
Source: PIB
With a view to attract investment, boost employment generation and position itself strongly in the global textile market, the Government has approved setting up of 7 (Seven) PM Mega Integrated Textile Region and Apparel (PM MITRA) Parks in Greenfield/Brownfield sites including plug and play facility with an outlay of Rs. 4445 cr for a period of seven years upto 2027-28. The salient features are:- (i) Willing state governments to have ready availability of contiguous and encumbrance-free land parcel of 1000+ acres for being eligible. (ii) It is envisaged to be on Public Private Partnership (PPP) mode. (iii) there is a provision of Development Capital Support (DCS) @30% of the project cost with a maximum support of ₹ 500 Cr and ₹200 Crore per park for Greenfield and Brownfield PM MITRA Park respectively. The DCS is for creation of Core Infrastructure. (iv) There is provision of Rs. 300 Cr. per park for incentivizing the industries to set up their units in the park. There is a provision to use 10% of the park’s area for Commercial Development (CD) and revenue stream from CD may help maintenance of common assets and facilities. The selection of sites will be by way of challenge method with weightage of parameters for examples connectivity, power infrastructure, water and waste water disposal system, Industry Friendly labour laws, Single Window Clearances, Stable and Conducive industrial/textile policy of the state. States like Tamil Nadu, Punjab, Odisha, Andhra Pradesh, Gujarat, Rajasthan, Assam, Karnataka, Madhya Pradesh and Telangana have expressed interest so far. Government of India is implementing the Scheme for Integrated Textile Park (SITP) which provides support for creation of world-class infrastructure facilities for setting up of textile units. Government grant upto Rs. 40.00 crores per park is released in instalments, subject to the progress achieved in creation of infrastructure and common facilities. Out of 56 Textile Parks approved/ sanctioned, 24 parks have been completed as per scheme guidelines. In these parks, a total of 1757 units are operational, and Rs.12470 crs(approx) of investment have been mobilized and have generated 95644 employment till date. This information was given by Minister of State for Textiles Smt. Darshana Jardosh in a written reply in the Lok Sabha today.
Source : PIB
Textiles, Commerce and Industries Minister and Chairman of MEETAC Thongam Biswajit Singh today called upon the artisans of the State to export more products outside the State in order to enhance their livelihood. The Minister was speaking at the closing function of a two week long workshop on Strategic Design Intervention for New Product Development and Production Capability Enhancement for Manipur Crafts which was held at the Imperial Hall, Hotel Classic Grande, Chingmeirong. Thongam Biswajit Singh expressed gratitude to all the artisans and craftsmen for coming out and participating in the workshop. He asserted that MEETAC will help in standardizing and upgradation of the products to the international level. Th Biswajit further stated that MEETAC has provided aid in developing traditional crafts design, which will also help in enhancing the production capabilities. He said that MEETAC has helped in preserving the dying traditional crafts and designs and also in uplifting the economic status of artisans and craftsmen. The Minister stated that MEETAC aims at promoting inclusive growth by developing traditional crafts/arts sector of Manipur as per global standards and making it an important spoke in the wheel of economic activities. As the artisans and craftsmen have attended the workshop and gained knowledge, the Minister called upon them to export more products to enhance their livelihood. He also encouraged the artisans and craftsmen to apply for MUDRA loan. The Minister then lauded the designers from NID in sharing their experience. As a part of the closing function, Biswajit also inspected stalls which displayed 144 various new products made during the workshop. Later certificates were also distributed to all the participants. The workshop was organized by Mission for Economic Empowerment of Traditional Artisans and Craftsman (MEETAC). Mission for Economic Empowerment of Traditional Artisans and Craftsmen (MEETAC) is an autonomous society under the Department of Textiles, Commerce & Industries. The closing function was also attended by Michael Achom, Secretary TCI; Vijay Singh Katiyar, Project Head, NID; CS Susanth, Principal Designer NID and Elangbam Nirmala Chanu, Director (Training & Extension), MEETAC, among others.
Source: The Sangai Express
Para 9.60 of FTP says that "third-party exports" means exports made by an exporter or manufacturer on behalf of another exporter. We are advised by our expoGST consultant that when we make exports in discharge of export obligation against advance authorisation, we should send the goods under LUT and not on payment of IGST on export goods under a refund claim. Is that correct? Rule 96(10) of the GST Rules, 2017 (relevant part) says that the person claiming refund of integrated tax paid on export goods should not have availed the benefit under notification no.79/2017-Cus dated 13th October 2017except so far it relates to receipt of capital goods by such person against Export Promotion Capital Goods Scheme. The said notification 79/2017 allows IGST exemption on imports under advance authorisation. The explanation to that Rule 96(10) says that the benefit of the notifications mentioned therein shall not be considered to have been availed only where the registered person has paid IGST and Compensation Cess on inputs and has availed exemption of only Basic Customs Duty (BCD) under the said notifications. So, where the imports under advance authorisation have been made availing the exemption of only the BCD and on payment of IGST, the benefit of the said notification 79/2017-Cus is considered as not availed. It means that where you have paid IGST on your imports under advance authorisation, you can pay IGST on your export goods and claim a refund of that. However, if you have availed the IGST exemption on your imports under advance authoristion, you must export under LUT without payment of IGST on the export goods. We have an order from a merchant exporter who is asking us to ship, on his behalf, the goods that we manufacture. Can we do so under our own IEC and if so, how will the shipping bill details will go in the EDPMS to the bank of the merchant exporter who will realize the payment against the exports? Para 9.60 of FTP says that "third-party exports" means exports made by an exporter or manufacturer on behalf of another exporter(s). So, you can export on behalf of the merchant exporter. You can use your own IEC to ship the goods and state in the shipping bill that the export is on behalf of the merchant exporter giving his name and address. However, you must furnish the pre-shipment invoice value of the merchant exporter and give his AD Code so that the shipping bill details go to his bank in the EDPMS. We are manufacturer exporters holding advance authorisation, where name of merchant exporter is not mentioned. Still, can we export through any merchant exporter? Yes. Para 2.42 of FTP says that third party exports (except Deemed Export) as defined in Chapter 9 shall be allowed under FTP. In such cases, export documents such as shipping bill shall indicate name of both manufacturing exporter/manufacturer and third party exporter(s). Bank Realization Certificate (BRC), Export Order and Invoice should be in the name of third party exporter. You must mention the advance authorisation number and date in the shipping bill.
Source: Business Standard
India's exports to China during the April-September 2021 period was USD 12.26 billion, while imports were aggregated at USD 42.33 billion, according to data given by Minister of State for Commerce and Industry Anupriya Patel in a written reply to the Lok Sabha. India's exports to China during the April-September 2021 period was USD 12.26 billion, while imports were aggregated at USD 42.33 billion, according to data given by Minister of State for Commerce and Industry Anupriya Patel in a written reply to the Lok Sabha. Trade deficit between India and China stood at USD 30.07 billion during AprilSeptember 2021, Parliament was informed on Wednesday. India's exports to China during the AprilSeptember 2021 period was USD 12.26 billion, while imports were aggregated at USD 42.33 billion, according to data given by Minister of State for Commerce and Industry Anupriya Patel in a written reply to the Lok Sabha. She said the imports from China have increased from USD 60.41 billion in 2014-15 to USD 65.21 billion in 2020-21, exhibiting an increase of 7.94 per cent over six years. However, the imports were static between 2019-20 and 2020-21, she said. "The government has made sustained efforts to achieve a more balanced trade with China, including bilateral engagements to address the non-tariff barriers on Indian exports to China," Patel said. Schemes like the production-linked incentive scheme will help promote domestic manufacturing capacities and attract investment and reduce dependency on imports from China, the minister said. Major items of import from China include telecom instruments, computer hardware, fertiliser, electronic components, chemicals and drug intermediates. Major items of import from China include telecom instruments, computer hardware, fertiliser, electronic components, chemicals and drug intermediates.
Source: Economic Times
PMI rose to 57.6 in November from 55.9 in the previous month, the highest figure since January this year A day after the release of Gross Domestic [Product (GDP) data, the IHS Markit Purchasing Managers' Index (PMI) survey painted an optimistic picture of manufacturing as the index zoomed up to a ten-month high in November due to high domestic demand. Going forward, high cost inflation, along with the new Coronavirus (Covid-19) wave, could spoil the party. PMI rose to 57.6 in November from 55.9 in the previous month, the highest figure since January this year. Moreover, the headline figure was well above its long-run average of 53.6. In the PMI lexicon, a figure above 50 points to growth, while the one below this mark denotes contraction. On Tuesday, eight-industry core sector growth also indicated a bright outlook after GDP data though the numbers were for October. After slipping to 4.5 per cent in September due to late rains, the core sector output grew by 7.5 per cent in October. Manufacturing grew by 5.5 per cent during Q2FY22 year-on-year, according to GDP data. It also rose almost 4 per cent compared to the corresponding pre-covid period of 2019-20. Meanwhile, good companies started hiring additional hands in November following three successive months of job shedding. However, the pace of job generation was still moderate. Although fractional overall, the latest expansion was only the second over the past 20 months. Cost push inflation remained high due to demand-supply mismatches and rising transport costs. Input prices increased at a rate that was broadly similar to October's 92-month high. Companies transferred to their clients part of the additional cost burden by lifting output charges. That said, the rate of inflation was only moderate. Although manufacturers remained upbeat about growth prospects, the overall level of positive sentiment slipped to a 17-month low. Companies were concerned that inflationary pressures could dampen demand and restrict output in the year ahead. "The key threat to the outlook, in addition to potential new waves of COVID-19, is inflationary pressures. For now, companies are absorbing most of the additional cost burdens and lifting output charges only moderately," said Pollyanna De Lima, Economics Associate Director at IHS Markit. She said should raw material scarcity and shipping issues continue to feed through to purchasing prices, substantial increases in output charges could be seen and demand resilience would be tested. Manufacturers stated that strengthening demand, improving market conditions and successful marketing boosted sales in November. Factory orders rose for the fifth successive month and at a pace that was the fastest since February. Underlying data suggested that the domestic market was the main source of sales growth, as new export orders rose at a slight pace that was weaker than in October. Buoyed by the pick-up in demand, companies stepped up production volumes during November. Output rose sharply and at the fastest rate in nine months. Greater production requirements and restocking efforts encouraged manufacturers to purchase additional inputs in November. Subsequently, inventories of raw materials and semi-finished items increased further. The pace of accumulation was sharp and the second-strongest recorded since data collection started in March 2005, surpassed only by that registered in February. On the other hand, post-production inventories decreased in November as manufacturers fulfilled orders directly from stocks. The pace of contraction eased from October, but remained sharp.
Source: Business Standard
The finance ministry said the April figures were linked to year-end revenues. Goods and services tax (GST) collection grew about 25 per cent year-on-year to Rs 1.31 trillion in November, the second-highest mop-up ever, the official data showed on Wednesday, giving experts confidence that GST receipts would surpass the Budget projections for 2021-22. The highest collection was recorded in April this year, at Rs 1.40 trillion. Even as e-way bills generated in October were at a record high of 73.5 million, the collection in November trailed the April figures. Transactions in a month yield GST collection in the following month. In March, 71.2 million e-way bills were generated. The finance ministry said the April figures were linked to year-end revenues. As such, there is a bump in April collections. GST collection crossed the Rs 1.3-trillion mark for the second straight month in November. This is in line with the trend in economic recovery, the ministry said in a statement. GST revenue last month was also 27 per cent higher than that in the corresponding preCovid month of 2019-20, and 1.1 per cent higher than the Rs 1.30 trillion collected in October this year. “It (the November collection) was also higher than the last month’s collection, which also included the impact of returns required to be filed quarterly,” the ministry said. The official data released on Tuesday showed that the economy grew 8.4 per cent during the second quarter of the current financial year. It also surpassed the growth level of the corresponding pre-Covid period of 2019-20 by 0.3 per cent. In the previous quarter, economic growth had declined 9.2 per cent compared to the pre-Covid period, even as it rose 20.1 per cent year-on-year. E-way bills generated till November 21 were quite less at 39.4 million, which may adversely impact the December collection. “Collections may dip in December 2021, as suggested by the deceleration in the daily average e-way bill generation in the first three weeks of November. Nevertheless, we expect CGST collection to rise to Rs 5.8 trillion in FY2022, exceeding the FY22 BE by Rs 50,000 crore,” ICRA Chief Economist Aditi Nayar said. M S Mani, partner at Deloitte India, said GST collections had stabilised at a level that would help cross the GST revenue targets for FY22. Of the total GST collection, Central GST stood at Rs 23,978 crore, state GST at Rs 31,127 crore, integrated GST at Rs 66,815 crore, and cess at Rs 9,606 crore. IGST included Rs 32,165 crore from import of goods, and cess included Rs 653 crore from inbound shipments. During the month, revenues from import of goods were 43 per cent higher, while those from domestic transactions (including import of services) were 20 per cent higher compared to last year. The government has settled Rs 27,273 crore to CGST and Rs 22,655 crore to SGST from IGST as regular settlement. The total revenue of the Centre and states after regular settlements in November stood at Rs 51,251 crore for CGST and Rs 53,782 crore for the SGST. The Centre also released Rs 17,000 crore to states and Union Territories towards GST compensation on November 3. Among major industrial states, Karnataka saw a 31 per cent rise in GST collection in November year-on-year, followed by Gujarat at 26 per cent and Maharashtra at 24 per cent. The ministry said the recent trend of high GST revenues was a result of various policy and administrative measures taken by the government in the past to improve compliance. “Central tax enforcement agencies, along with the state counterparts, have detected large tax evasion cases, mainly relating to fake invoices, with the help of various IT tools developed by GSTN that use the return, invoice and e-way bill data to find suspicious taxpayers,” it said.
Source: Business Standard
The country's gross domestic product (GDP) is likely to grow more than 9.5 per cent in fiscal 2021-22, an SBI research report-Ecowrap said The country's gross domestic product (GDP) is likely to grow more than 9.5 per cent in fiscal 2021-22, an SBI research report-Ecowrap said. The economy grew at 8.4 per cent in the second quarter of the current fiscal, according to data released by the National Statistical Office (NSO) on Tuesday. The growth in the April-June quarter of this fiscal stood at 20.1 per cent. In October's monetary policy review, the Reserve Bank of India had retained its projection for real GDP growth at 9.5 per cent in 2021-22, consisting of 7.9 per cent in Q2; 6.8 per cent in Q3; and 6.1 per cent in Q4 of 2021-22. We believe that the real GDP growth would now be higher than the RBI's estimate of 9.5 per cent, assuming the RBI growth numbers for Q3 and Q4 to be sacrosanct, the research report said. The real GDP growth may be near to 10 per cent, it added. The report said the GDP grew by 8.4 per cent in Q2 FY22 on the back of double-digit growth in mining and quarrying, public administration, defence and other services. The real GVA increased by 8.5 per cent, a tad higher than the GDP growth. In H1 FY21, the country exhibited a real GDP loss of Rs 11.4 lakh crore (on a year-on-year basis) due to complete lockdown in April-May and partial lockdown in June-September, it added. The situation has improved in FY22, and in H1 FY22 the real gain was around Rs 8.2 lakh crore. This indicates that real loss of Rs 3.2 lakh crore still needs to be recouped to reach the pre-pandemic level, the report said. The sector-wise data indicates that trade, hotels, transport, communication and services related to broadcasting are still the most affected, and the real loss of Rs 2.6 lakh crore is still needed to be recouped in these sectors, it noted. Overall, the economy is still operating at 95.6 per cent of the pre-pandemic level (with trade, hotels, transport, communication & services related to broadcasting still at 80 per cent) and should take one more quarter to recoup the losses. In Q2 FY22, the FMCG sector reported top-line year-on-year growth of 11 per cent, while EBIDTA (earnings before interest, taxes, depreciation, and amortisation) and PAT grew by 4 per cent each. However, rural markets, which showed good resilience thus far during the pandemic, have slowed in the last couple of months as suggested by some of the industry majors, according to the report. The research report said the new investment announcements in the current year looks encouraging, with around Rs 8.6 lakh crore investment announcements made so far in the last seven months of FY22. With the private sector contributing around 67 per cent of this i.e. Rs 5.80 lakh crore, it seems private investment revival is on the horizon, it added.
Source: Business Standard
The Tirupur Exporters Association (TEA) has urged Union finance minister Nirmala Sitharaman to extend the interest subvention scheme for post and pre-shipment export credit. The Centre offered 5% interest subvention for MSMEs and 3% for non-MSMEs on the loans over the last five to six years. The interest equalisation scheme was up to September and the Centre didn’t extend it. “While 95% of the readymade garment exporting units are in the MSME sector, interest subvention is essential to sustain in the business at a time when raw material prices, accessories and job working charges have increased significantly,” TEA president Raja M Shanmugam said on Wednesday. “While the interest rate in banks is around 7-8%, it is much lower in countries like Bangladesh and Myanmar, which are competitors in textile export. Interest subvention created a level-playing field for MSME exporting units. Competing countries are also enjoying the duty-free status in EU and UK markets unlike India,” Shanmugam said. As there was no announcement on interest subvention after September, banks started collecting full interest, Shanmugam said and sought extension of the scheme with retrospective effect from 1st October for another two years.
Source: Times of India
The current account balance is widely expected to turn into a deficit at around one per cent of GDP during 2021-22 Trade deficit touched a record high of $23.27 billion in November as exports growth slowed faster than imports, following holidays in the festive month. This may have repercussions on the current account balance, which was in surplus at 0.9 per cent of GDP, in the first quarter of the current fiscal year. The current account balance is widely expected to turn into a deficit at around one per cent of GDP during 2021-22. Exports growth fell to 26.49 per cent in November from 43.05 per cent in the previous month. Imports also grew at a slower pace of 57.18 per cent from 62.51 per cent during this period. In absolute terms too, exports fell drastically to $29.88 billion in November. It is the lowest in nine months. This was largely due to a huge fall in export growth of high-value exchange earners. They include engineering goods, petroleum products and gems and jewellery. For instance, export of engineering goods expanded at just 27 per cent in November against 51 per cent in the previous month. This was followed by petroleum products that saw a fall in exports growth to 12.79 per cent in November from 240 per cent in October. Similarly, gems and jewellery exports growth decelerated to 8 per cent from 44 per cent growth during this period. Export of non-oil, non-gems and jewellery products fell to 22 per cent in November against 28 per cent in the previous month. “The holidays in the festive season have substantially dented the momentum in merchandise exports in November 2021, bringing them down to the lowest level of FY22. We are cautiously optimistic that the exports momentum will revive, although the uncertainty engendered by the Omicron variant poses a concern regarding the immediate outlook,” Aditi Nayar, chief economist at ICRA, said. As festivals ended around the first week of November, growth in import of gold fell to eight per cent in November from 104 per cent in the previous month. Similarly, the highest imported item — petroleum — saw imports expanding by a less pace of 27.6 per cent in November from 140 per cent in the previous month. Imports of non-oil, non-gems and jewellery products rose by 41.5 per cent in November, which was a bit higher than 40.14 per cent in October. This means that demand in the economy is strong despite taking hits in the overseas market. Exports grew 50.7 per cent at $262.46 billion in the first eight months of the current fiscal year. Imports, on the other hand, rose 75.39 per cent to $384.44 billion. This widened the trade deficit to $121.98 billion, a whopping 171 per cent rise over the previous year’s figure.
Source: Business Standard
Gartex Texprocess India is all set to cater to the requirements of businesses engaged in the garment and textile manufacturing, alongside Screen Print India from December 3-5, 2021 in New Delhi. After the challenging phase of the pandemic, the garment and textile manufacturing industry in India is preparing to attend to the rising industry demands. The three-day hybrid fair will bring together over 300 brands with more than 800 products on display and a dedicated trend area highlighting denim trends curated using factory waste. The platform will also see the unveiling of ‘The Denim Pocket Story’ showcasing classic pockets and its transformation over the years, organisers Messe Frankfurt India & MEX Exhibitions said in a press release. Designed as a dedicated platform for buyers and sellers, Gartex Texprocess India will create a strong business environment where businesses can witness industry’s latest innovations, engage in hardcore networking and explore lucrative opportunities for their respective businesses. Buyers can witness the live product demonstrations of latest innovative machines and solutions offered by the sellers’ network with leading players from the industry. The show will be held for three consecutive days with innumerable business opportunities and boundless knowledge to gain from more than 100 brands on the showfloor, including: AURA, Baba Machines, ColorJet India Ltd, Ramsons Garment Finishing Equipments Pvt Ltd, Jaysynth Dyestuff (India) Limited, and Morgan Tecnica, among others. The show also comprises of focused product zones such as: Digitex, India Laundry, Fabrics & Trims, Screen Print India, Garmenting & Apparel Machinery, and Embroidery Solutions co-located with the Denim Show and Screen Print India. These incorporated shows and focused segments will add more weight to the wide areas encompassing the entire gamut of garment and textile manufacturing solutions for the industry. A major center of attraction at Gartex Texprocess India, the Denim Show will feature some of the top trends and advancements in the world of denim. Uniting businesses for the first time after the pandemic, the Denim Show aims to provide a strong professional platform for the denim fraternity to witness development of original products and witness an innovative range of denim solutions, fabrics, finishes, and technology showcased by industry’s leading manufacturers such as: Creora, Arvind Ltd., Raymond UCO Denim Pvt. Ltd., Reliance Industries Ltd., Ginni International, Jindal Worldwide Ltd. and many more. One of the key highlights includes a dedicated trend area for experiencing new denim products curated by the industry including an artistic showcase of ‘The Denim Pocket Story’ which recreates classic denim pockets and its transformation over the years. The trend area has been put together by Padma Raj Keshri, an Indigo enthusiast who works with waste fabric mainly involved in the post-production of waste denim pieces at the factory level. This sustainable project was up-cycled and each pocket is handcrafted while the fabric and collections are specially curated from the Indian Denim mills. “I am extremely delighted that we are back with the physical exhibitions. It is challenging for the industry to keep up with the demands and supplies in the post-pandemic scenario. Considering the same, we have come up with a wide range of opportunities for buyers to explore and sellers to exhibit solutions related to laundry, fabrics, trims, embroidery, textile & garment machinery along with the co-located events of the Denim Show and Screen Print India. Gartex Texprocess India is proud to say that we are playing a role in the consolidation of the fragmented garment and textile manufacturing industry. And through this expo, we are introducing new ways of networking and thereby wish to have a phenomenal outcome,” Gaurav Juneja, director, MEX Exhibitions India Pvt., said. “A huge demand for garment and textile has been building up in the international markets over the last few years. India has a definitive potential to fulfil this demand gap and expand its share in the global garment and textile market. However for this to happen, it is also extremely crucial to support and provide the right growth impetus for India’s local businesses so as to strengthen the value chain inherently. Delivering to this cause, Gartex Texprocess India aims to create a focused business platform for the garment and textile businesses to collaborate and strengthen domestic manufacturing set-up,” Messe Frankfurt India’s managing director, Raj Manek, said. The digital symposium of Gartex Texprocess India will not only promote exchange of ideas, but also showcase industry’s latest trends and innovations. Experts from the industry will share insights on valuable industry related topics from ‘Finding a Solution to Sustainable Garment Manufacturing’ to ‘Carbon Neutrality in Denim Industry’ to ‘Natural products for textile colouration’ and many more. Held in co-location with Gartex Texprocess India, India’s leading B2B trade fair for the screen, textile, sublimation and digital printing technologies, Screen Print India is also set make its return in the form of a hybrid edition. Showcasing the latest trends, Screen Print India New Delhi 2021 will showcase top notch innovations and developments in screen and textile printing from brands such as Green Printing Solutions, J N Arora & Co Ltd, Konica Minolta Business Solutions Pvt Ltd, Skyscreen International Pvt Ltd and Zydex Industries among others.
Source: Fibre2 Fashion
Vietnam’s foreign trade surged 22.3 per cent year-on-year in the first 11 months of this year to exceed US$599.1 billion, according to the General Statistics Office (GSO) The figure reached $59.7 billion in November, up 8.5 per cent month-on-month and 19.7 per cent year-on-year, the GSO announced on November 29. The country exported $29.9 billion worth of commodities in November, up 3.6 per cent month-on-month and 18.5 per cent year-on-year. It raised the 11-month export turnover to close to $299.7 billion, up 17.5 per cent from a year earlier, with the foreign-invested sector (including crude oil) contributing 73.6 per cent of the total, or $220.68 billion, up 20 per cent year-on-year. Thirty-four commodity items earned export revenue of $1 billion and up during the period, which together made up 93.5 per cent of the total. Industrial and processing products were the biggest earners, with revenue accounting for 89 per cent of the total exports, or $266.75 billion, up 18 per cent. The US remained the biggest buyer of Vietnamese products, importing $84.8 billion worth of goods from the Southeast Asian country in the period, a year-on-year increase of 22.2 per cent. It was followed by China ($50.5 billion), the EU ($35.7 billion), ASEAN ($25.9 billion), the Republic of Korea ($20 billion), and Japan ($18 billion). In November, Vietnam spent $29.8 billion on imports, up 14 per cent month-on-month and 20.8 per cent year-on-year. The 11-month import revenue rose by 27.5 per cent yearon-year to $299.45 billion, 93.6 per cent of which was spent on purchasing inputs for production. China was the largest supplier of products for Vietnam, exporting to the Southeast Asian country $98.5 billion worth of goods, up 32 per cent from the same period last year. It was followed by the Republic of Korea ($50.3 billion), ASEAN ($37 billion), Japan ($20.3 billion), the EU ($15.5 billion), and the US ($14.2 billion). The country posted a trade surplus of $225 million from January to November, compared to $20.19 billion in the same period last year.
Source: Vietnam Net
The Circular Future Fund by John Lewis Partnership in association with Hubbub will support a small number of high qualities, innovative projects over one year, starting from May 2022. This fund aims to support trailblazing ideas and innovations that can accelerate the transition towards a more circular economy by shifting consumer mindsets. The £1 million fund is focused in the areas of textiles, food or household products, technology or services. The project, which will provide individual grants between £150,000 and £300,000, is aimed to fund projects which will have a measurable impact (now or in the future) and a clear legacy, UKFT said in a press release. Projects will be selected by a grant panel, consisting of independent experts on the circular economy, grant making and innovation authorities, as well as senior representatives from the John Lewis Partnership. The application deadline is midnight on the 9th January 2022.
Source : Fibre 2 Fashion
New Singapore based partnerships will focus on sustainable industry practices and innovation in textile recycling technology. RGE, the world’s largest viscose producer, has formalised two new partnerships in Singapore to advance sustainable fashion. The first is a three-year strategic partnership with the Textile & Fashion Federation (TaFF) to advocate sustainable industry practices within Singapore and the region, through programme implementation, research, and education. The second is a five-year research collaboration with Nanyang Technological University, Singapore (NTU Singapore) on innovation in textile recycling technology. The partnership with TaFF on its fashion sustainability programme was officially launched today. Through industry talent development and capacity building, raising corporate and consumer awareness, and innovation promotion, TaFF seeks to galvanise the fashion ecosystem towards redefining sustainable fashion. Wilson Teo, President of TaFF, commented: “Our strategic partnership with RGE marks a step forward for TaFF to expand our sustainability ecosystem throughout the fashion value chain, from materials, manufacturing, brands and technology to solutions. We have set up a Steering Committee that spans across the value chain, as a model for the industry. Together with our collaborators, we will continue to equip enterprises in the journey of sustainability. We will also work with communities to build awareness in responsible consumption and recycling.” RGE has committed to provide nearly S$3 million funding over three years to support TaFF’s fashion sustainability programme. In addition, RGE’s Vice Chairman Bey Soo Khiang joins the programme’s Steering Committee as its Vice Chairperson. “As a Singapore-based company and the world’s largest viscose producer, our business is well-positioned to support the country’s desire to advance sustainable development and to create a green economy. Our collaboration with TaFF and NTU is an investment of financial and other resources to create meaningful impact, not just within Singapore but also in the region. As part of our US$200 million investment commitment into nextgeneration textile fibre innovation and technology, we seek to work with innovators, industry partners, research institutions and academia to scale up solutions that will deliver cleaner and more circular cellulosic textile fibre to the masses at affordable prices,” Tey Wei Lin, President of RGE, said. The launch of TaFF’s fashion sustainability programme follows the roll-out of the Enterprise Sustainability Programme (ESP) by Enterprise Singapore on 1 October 2021, which supports enterprises in their sustainability initiatives and helps them capture new opportunities in the green economy. “Industry partnerships are pertinent to uplift capabilities of enterprises. We are very encouraged by TaFF’s efforts to drive sustainability in the textile and fashion sector as trade associations and chambers play a key role in strengthening sector-specific capabilities,” said Alan Yeo, Director of Retail & Design at Enterprise Singapore. “Collaborations with corporate partners such as RGE will also help accelerate this process. This is a good start and we hope to eventually see more companies across all sectors start to integrate sustainability alongside their growth.” The launch event was graced by Minister of State for Trade and Industry Low Yen Ling, TaFF’s patron and Senior Minister of State for National Development and Foreign Affairs Sim Ann, CEO of Enterprise Singapore Png Cheong Boon, as well senior representatives from TaFF and RGE. The official launch of the research collaboration with NTU is expected to take place next year. A key desired outcome from the collaboration is to complement RGE’s pilot urbanfit textile recycling plant in Singapore. RGE was founded in 1973. The assets held by RGE companies today exceed US$20 billion. With more than 60,000 employees, the group has operations in Indonesia, China, Brazil, Spain and Canada and continues to expand to engage newer markets and communities.
Source: Knitting Industry
Trade Minister Muhammad Lutfi symbolically sent off a shipment of viscose rayon products produced by Asia Pacific Rayon (APR) intended for the domestic and global market on Wednesday. Held in Pangkalan Kerinci, Riau, the ceremony was also attended by Riau Deputy Governor Edy Natar Nasution, Pelalawan Regent Zukri Misran, RGE managing director Anderson Tanoto, APRIL COO Eduward Ginting and APR director Basri Kamba. During the event, Lutfi expressed his appreciation for APR’s presence as a sustainable and competitive company with the potential to be a global player in the industry. “I would like to congratulate APR for being able to market its products domestically and internationally. This is what we have envisioned, and the Trade Ministry will maintain the optimal trade situation so that we can penetrate the global market, as well as keep the continuity of Indonesian products in the domestic market,” he said. Lutfi also acknowledged the current state of the global market, noting that a number of European countries had introduced laws requiring exporting countries to obtain a certificate that verifies their products were sourced from sustainable sources. “I am here at APR because I believe that Indonesia is capable and responsible for both Indonesian products, as well as the forests that will serve as the source of life for generations to come.” APR produces high added-value products such as viscose rayon fiber. Also known as viscose staple fiber (VSF), the biodegradable man-made fiber is made from wood pulp and resembles cotton in characteristics. VSF is used as the main material in yarn production, which is then processed into clothing and household products. As of October, APR has produced 111.01 kilotons of viscose rayon fiber products for the export market and 77.51 kilotons for the domestic market. The trade minister also saw the sending off of PaperOne paper products produced by Riau Andalan Pulp and Paper (RAPP), which has been sold in more than 75 countries with a total export of more than 755,000 tons. Edy said the distribution of viscose rayon products signified the rise of the province’s economy, noting that Riau had recorded Rp 39.54 trillion (US$2.75 billion) in combined domestic investments and foreign direct investments (FDI), reaching 81 percent of the Investment Coordinating Board’s 2021 target for Riau of Rp 48.6 trillion. “With this factory, Riau is not only a center for the pulp and paper industry, but also rayon as a textile material. [...] We hope that the factory can increase Riau’s gross domestic product by 1.49 percent from non-oil and gas industries, as well as support small and medium industries in sectors related to the factory’s operations, as they can bring a chain effect for Riau’s sustainable economy,” he said. “The distribution of viscose rayon exports to the global and domestic markets is a new milestone in APR’s efforts to strengthen the national textile industry and reduce our dependence on raw textile material imports,” he said. Eduward also noted that since its inauguration by President Joko “Jokowi” Widodo in February 2020, APR had become an integrated viscose rayon manufacturing facility with dissolving pulp sourced from 100 percent renewable fibers from APRIL’s forest plantations. “APR has entered the global textile market with our breathable, light, soft and certified 100 percent natural fiber viscose rayon. Viscose rayon is better than other textile materials as it is biodegradable and able to act as compost. This makes us very optimistic about Indonesia’s prospects of being the center of the global modest fashion scene.” Currently, APR produces nearly 300,000 tons of viscose rayon fiber annually, which are exported to 22 countries. The company is preparing the second phase of construction to double its production capacity to 600,000 tons annually by 2023. APR is committed to supporting the government’s vision of increasing export-oriented national production. Viscose rayon’s prospects in the global market are seeing a rapid increase, in line with the rising trend of sustainable fashion.
Source: The Jakarta Post
Paramount Textile, a subsidiary of Paramount Group, has decided to invest an amount of $85.45 million in BMRE (balancing, modernisation, rehabilitation and expansion) and a new project for enhancing its production capacity. The company will import capital machinery, civil construction and other auxiliary work for the planned expansion for enhancing its production capacity, the company said in a filing with the Dhaka Stock Exchange (DSE) on Tuesday. The import facilities will be settled down through foreign currency term loans, according to the filing. After completing the expansion project, the company expects to generate extra around U$7.0 million/month revenue, said the filing. Founded in 2006, Paramount Textile is now one of the leading manufacturers of woven yarns in Bangladesh. After listing on the stock market in 2013, the company has diversified its business to power generation and later also opted for the river dredging business. Each share of the company closed at Tk 94.70 on Tuesday, losing 4.44 per cent over the previous day. Its shares traded between Tk 40.10 and Tk 103.40 in the last year. The company has recommended a 20 per cent cash dividend for general shareholders only and 5.0 per cent stock dividend for all for the year ended on June 30, 2021. The annual general meeting will be held on December 18. In 2020, the company provided 15 per cent cash and 5.0 per cent stock dividend. The company has reported earnings per share (EPS) of Tk 1.53 for July-September 2021, as against Tk 1.43 for July-September 2020. The company's paid-up capital is over Tk 1.55 billion, authorised capital is Tk 2.0 billion and the total number of securities is 155.07 million. The sponsor-directors own 60.95 per cent stakes in the company while the institutional investors own 8.65 per cent, foreign investors 4.09 per cent and the general public 26.31 per cent as of October 31, 2021, the DSE data shows.
Source: The Financial Express
