The commerce ministry has convened an inter-ministerial meeting on May 18 to hold consultations on issues that are likely to figure prominently in the forthcoming meeting of the WTO The commerce ministry has convened an inter-ministerial meeting on May 18 to hold consultations on issues that are likely to figure prominently in the forthcoming meeting of the highest decision-making body of the World Trade Organisation (WTO) in Geneva next month, an official said. The 12th ministerial conference of the WTO is scheduled from June 12-15 in Geneva. The 164-member multilateral body frames global trade rules and adjudicates trade disputes among member nations. Issues which are expected to figure in the meeting includes a proposed agreement on fisheries subsidies; agriculture; digital trade or e-commerce; WTO's response to pandemic including TRIPS (trade related aspects of intellectual property rights) waiver; Joint Statement Initiative (JSI) matters like trade and gender, trade and MSME; reforms in the WTO like appellate body crisis, special and differential treatment. JSI is a negotiating method started by a certain group of WTO member countries on some specific issues without following the rule of consensus decision-making, which involves all the members of the WTO. Members are negotiating a proposed fisheries subsidies agreement. The objective is to discipline subsidies for sustainable fishing, eliminate IUU (Illegal, Unreported and Unregulated) fishing subsidies and prohibit them from contributing to overcapacity and overfishing. The official said that secretaries from different departments, including agriculture, environment, consumer affairs, animal husbandry, fisheries, women and child development, MSME, electronics and IT, and pharmaceuticals are expected to participate in the day-long deliberations. different bodies such as Indian Institute of Foreign Trade (IIFT), RIS, NCAER, ICRIER and National Academy of Agricultural Sciences are also invited for the consultations. "This will be a consultation meeting on WTO issues in preparation for the 12th ministerial conference," the official added.
Source: Business Standard
The Union Minister for Commerce and Industry; Consumer Affairs, Food and Public Distribution, and Textiles, Shri Piyush Goyal held a day-long stakeholder consultation with various sectors of the industry in Mumbai today, on India’s ongoing negotiations on Free Trade Agreements with Canada, the United Kingdom and the European Union. The Minister had separate meetings with representatives of automobiles, gem and jewellery, textiles, steel, copper and aluminium sectors. The hybrid interaction had industry leaders and associations attending both in person and online. The Commerce Minister apprised the industry as to how the Agreements that are being negotiated will elevate the overall economic and commercial relations with respective partner countries which in turn will not only benefit bilateral trade but also create new jobs and provide wider social and economic opportunities. Shri Goyal stressed on the potential benefits - both direct and complementary spill-over economic benefits, including increased investment, job creation and employment opportunities. While appreciating the accommodative spirit of the Industry, the Minister urged the industry representatives to continue to support the trade negotiations in the same spirit in the wider interests of the nation, contributing to the holistic development of multisectoral economic value chains in the country. The industry representatives thanked the Minister for entering into FTAs with UAE, Australia and other nations, that too at such a fast pace fulfilling a long-lasting dream for many of them. Further, all the stakeholders expressed gratitude to the Minister for taking into consideration concerns of Indian Industry and provided constructive inputs on this matter with a view to ensure overall balance between market access and domestic sensitivities. A non-exhaustive list of Trade bodies/Associations/EPCs that participated in the
Source : PIB
The Indian government will very shortly approve textile parks under the PM Mega Integrated Textile Region and Apparel (MITRA) parks scheme, minister of state for textiles Darshana Jardosh has said. The minister was addressing captains of the textile industry during the inauguration session of Gartex Texprocess trade fair in Mumbai on Thursday. Jardosh said that seven states have shown interest to set up 13 parks under the scheme in the country. With Denim Show, Fabric & Trims Show and Screen Print India hosted under the umbrella, the Mumbai launch edition of Gartex Texprocess India 2022 opened on Thursday with more than 100 exhibitors and over 250 brands on the show floor. The show is open for general public on Friday. Jardosh said that deliberation is going on with the states which will have 51 per cent stake in the proposed textile parks. The parks will be approved with the consideration of industry’s requirement for future growth. It will ensure better ecosystem for the industry at various hubs in the country. Speaking about the Production Linked incentive (PLI) scheme, the minister said that the scheme succeeded in attractoing an investment of around ₹10,600 in textile sector. However, many products were left out under the scheme. The minister said that Indian textile industry needs to diversify its raw material consumption. Indian textile sector consumes mere 25 per cent man-made fibre, so it is more dependent on cotton, while around 75 per cent MM fibre is used globally. She underlined the significance of textile sector and said that the sector contributes around 10 per cent in country’s manufacturing and 2 per cent of GDP. Fairs and exhibitions are effective tools to connect the industry and share latest developments and technologies. She congratulated the organisers of the fair which has with special focus on denim. The minister focused on innovation and mechanisation of the process. She said that India is far behind in textile machine manufacturing. “We have to create a bridge between traditional process of Charkha and new technologies.” As part of the Gartex Texprocess India’s knowledge forum, the exclusive Denim Talks series was chalked out to unravel discussion on digital manufacturing, bio dyeing technique and flash dyeing technique of indigo for the first time in India. The inauguration session and other technical sessions were attended by many topnotch industry experts and captains. Sharad Jaipuria, CMD, Ginni International Ltd & President, Denim Manufacturers Association; Jang Gyoo Lim, Director, Hysoung India Pvt Ltd (Creora); Yamunadutt Agarwal, Chairman, Jindal Worldwide Ltd; Himani Gulati, Director, MEX Exhibitions; Stephan Buurma, Member of the Board of Management, Messe Frankfurt Group; Raj Manek, Executive Director and Board Member, Messe Frankfurt Asia Holdings Ltd; and Gaurav Juneja, Director, MEX Exhibitions Pvt Ltd were among those present. Post inauguration, A CXO panel discussion was held on ‘Denim Dreams: Roadmap to Building a sustainable, profitable future’. The industry representatives and experts said that India needs to develop sustainable fabric by rebalancing and minimising the use of chemicals and water. They said that recycled yarn, fabrics and recycled polyester can guide the industry to make the process more sustainable. The industry can also reduce its cost by adapting sustainable processes. The industry representatives said that denim and other textile products are facing huge pressure on margins due to prevailing heavy discounts. Earlier, buyers got influenced by brands, so they were ready to pay higher prices in offline shopping. But current omni channels of online and offline platforms have competition to grab the buyers so heavy discounts are imperative, they added.
Source: Fibre2 Fashion
Germany, which was earlier India's top European export destination (eighth position), has now dropped two ranks to 10th place The Netherlands has emerged as India’s fifth-largest export destination in 2021-22 (FY22), jumping from its 10th position a year ago. Exports to the fifth-largest economy in the European Union (EU) bolted 94 per cent to $12.5 billion in the financial year ended March 31. In FY22, the Netherlands surpassed Hong Kong, Singapore, the UK, Germany, and Nepal to become India’s largest export destination in the EU. Germany, which was earlier India’s top European export destination (eighth position), has now dropped two ranks to 10th place.
Source: Financial Express
The country needs to manufacture textile machineries, which are mostly imported, in order to become self-reliant and enhance export competitiveness to emerge as the global leader in the sector, minister of state for textiles Darshana Jardosh said on Thursday. The country needs to manufacture textile machineries, which are mostly imported, in order to become self-reliant and enhance export competitiveness to emerge as the global leader in the sector, minister of state for textiles Darshana Jardosh said on Thursday. "Our export competitiveness is quite evident as we stand second, only behind China. But unlike China we do not have in-house manufacturing of textile machineries. Most of the machineries are being imported. And that's where our industry needs to step up," the minister said at the Mumbai edition of Gartex Texprocess India. She said India's textile and apparel sector registered the highest ever growth of 40.55 per cent in its exports and reached USD 43.44 billion in 2021-22 compared to USD 30.90 billion in FY21. "I urge the industry to promote the government's 'vocal for local' campaign. Vocal for local is the real brand ambassador of 'make in India' movement by emphasising the promotion of local brands, manufacturing and supply chain, and shows such as Gartex Texprocess India are excellent initiatives and a much-needed show to fill this technology gap," she added.
Source: Zee News
The Comprehensive Economic Partnership Agreement (CEPA) — the trade pact between India and the UAE — will open doors to Indian labour and incentivise sectors such as textiles, gems, jewellery and leather, providing them access to the UAE market, commerce and industry minister Piyush Goyal said on Friday. According to Goyal, the agreement, which came into effect on May 2, the CEPA was one of the fastest trade agreements to be signed. The summit also saw the launch of the IndiaUAE Startup Bridge as part of CEPA. The bridge would enable UAE investments into Indian startups and would provide UAE with the benefit of India’s experience in the sector.
Source: Times of India
Textile designs inspired by nature and mythology see an uptick in takers in India and elsewhere, writes Anand Singh. Their appreciation within India may be limited but the scene is changing for good. Textiles by Nagaland’s Lovitoli are now sold all over India and even outside. Jyotshna Kalita’s regional textiles from Nahira village in Assam, now have a bigger market than they used to. She saw an increased demand during the pandemic. The same is the case for Rajesh Guin, a weaver from Gopalpur town in Odisha, whose sales rose dramatically during the last two years. The story is similar for many other weavers from small towns in India. In order to learn about the art, design inspirations and the labour that goes behind handwoven clothing, DH on Saturday spoke to a few weavers who had come from four states at an exhibition held recently at Taj West End Bengaluru. The weavers were brought together by an initiative of the Antaran-Tata Trusts. Nagaland Lovitoli learnt the technique of weaving at a young age and made it her livelihood. Her motivation to learn the loomwork was to preserve her cultural pride. She works on a loin or backstrap loom, which is the most primitive style of weaving, where one end of the warp is tied to a bamboo and the other end is strapped to the body of the woman weaver. Lovitoli says, “In this technique, each strand of yarn is handpicked to produce unique geometric patterns with designs rooted in tradition, culture, and mythology. For every loin loom, there is a cultural context that could be linked to the tribe’s identity or to the wearer’s rank or their accomplishments individually.” The textiles of Nagaland are a reflection of culture for both the weaver and the wearer, she adds. Sejal Agarwal, a craft textile designer who works with Lovitoli, says, “Traditional Naga clothing Assam Jyotshna Kalita is an artisan-entrepreneur from Nahira village in south Kamrup, Assam. Having an eye for detail, she draws inspiration from nature. “Assam comprises both tribal and non-tribal population and I weave designs inspired by both communities,” she says. She talked about some tribal designs that are common there. “‘Rajampai aareu’ is a tribal fabric from Assam on which tribal designs are done. Weaves work on a graph of small designs and the patterns are predominantly squares, with floral tracery inserted between the colour strips,” she tells. Jyotshna also weaves the traditional ‘gamosa’ and ‘mekhla’. Gamosa is a piece of white cloth, featuring patterns of stylised birds, animals, flowers, foliage, and geometric motifs on both ends. Some of her mekhla designs are also inspired by Tibetan and Burmese styles. She works on Eri silk, also known as Ahimsa silk, which has a coarse and dense texture, unlike other silks. The fibre is extracted from the cocoons of Eri silkworm without killing the larvae inside. She says this fabric is symbolic of peace, grace, and longevity. Odisha Rajesh Guin picked up the loom only three years ago. He is now a master of both traditional and cutting-edge designs alike. Rajesh comes from a family of weavers who were struggling. Since the government only provides a small subsidy, he says, having an entrepreneurial mindset is a must in this industry. Rajesh mostly works on Tussar silk but is also exploring Eri or Ahimsa silk, and mulberry silk. His designs are inspired by Hindu mythology. Rajesh sees his loom as a canvas. He has worked on mythological sequences, including the Ramayana’s Shravan Kumar, depictions of love between Radha and Krishna, and also motifs inspired by the Jagannath Puri temple and the Taj Mahal. Rajesh says, “One of the artisanal skills associated with Gopalpur is their use of handspun and hand-reeled yarns.” A catchy display at the exhibition was the ‘Gita Govinda Ikat Sambalpuri’ sari by tie-dye artist Bhikari Meher. He says, “The flute and the peacock feathers represent love, peace, and immortality. The dominant and yellow colours show the conjugality of the divine lovers — Radha and Krishna. are noted for their exquisite weaving and are often worn by celebrities and royals alike. The weaving style is called ‘counted thread weaving’. “Counted thread weaving is seen as a tremendous development in textile with the inculcation of patterns that are generated utilising the unique technology of loom embroidery,” explains Patnamsubranyam, an expert in the form. As a result, the extra weft technique necessitates a more time-consuming process and a larger number of workers. Big Jamdani motifs of birds, swans, peacocks, and mango or leaf designs decorate the pallu of this weave.
Source: Deccan Herald
Textile production in Tamil Nadu came to a grinding halt on Monday as the production units in Tirupur and Karur began a two-day strike to demand that the centre bring down cotton and yarn prices. Cloth merchants in Erode joined the strike. Around 70% of the 20,000-odd garment units in and around Tirupur district downed their shutters while in Karur, 800 home textile manufacturing units suspended production. Tirupur garment manufacturers said production to the tune of ₹360 crore had been hit due to the strike and called for immediate measures by the Centre to arrest cotton price rise. As of Monday, the price of cotton was hovering around ₹1 lakh for a candy (356kg). This was ₹57,000 in September last year. Similarly, the yarn price was hiked by ₹40 per kilogram for all counts in May. The garment industry has suffered a double blow since cotton as well as yarn prices have spiralled out of control. The livelihood of lakhs of people has become uncertain as garment production is turning unviable," said Robo D Ravichandran, secretary of Tirupur Domestic Garments Manufacturers' Association. Even before the strike, the units reduced their production capacity by 50% to meet the loss incurred due to the price hike, he said. Union minister for industry and commerce Piyush Goyal has called for a meeting on Tuesday with various stakeholders to discuss the steps to be initiated to safeguard the interests of the garment units. Said Tirupur Exporters Association (TEA) president Raja M Shanmugham, who is attending the meeting, the industrialists have planned to urge the centre for immediate steps to reverse the situation. Some of the demands put forth by the associations include controlling the cotton and yarn prices, banning cotton export, supplying cotton to spinning mills through Cotton Corporation of India and cracking whip on hoarders.
Source: Times of India
The Association of Southeast Asian Nations (ASEAN) remains China’s largest trade partner, accounting for 14.6 per cent of its total foreign trade in the first four months of 2022, with the European Union (EU) and the United States ranking second and third respectively, according to the latest customs statistics. China-US trade volume grew by 10.9 per cent year on year in the period. China-ASEAN trade totalled 1.84 trillion yuan ($274.5 billion) from January to April, up 7.2 per cent year-on-year. And in the first quarter of 2022, China’s imports and exports with ASEAN reached 1.35 trillion yuan, up 8.4 per cent year-on-year and accounting for 14.4 per cent of China’s total foreign trade. In the first two months of this year, ASEAN lagged behind the EU by about 3 billion yuan, temporarily becoming China’s second-largest trading partner. Analysts said that ASEAN's return as China’s largest trade partner shows that ChinaASEAN economic and trade relations still enjoy significant vitality and strong resilience. The RCEP, effective from January 1 this year, will release more dividends to ChinaASEAN trade in the future. ASEAN became China’s largest trading partner in 2020 for the first time, while China has been ASEAN's largest trade partner for 13 consecutive years since 2009. China’s foreign trade with the EU reached 1.73 trillion yuan in the first four months, up 6.8 per cent on a yearly basis. China-US trade totalled 1.56 trillion yuan, up 8.7 per cent year-on-year and China’s trade with South Korea reached 764.92 billion yuan, up 8.4 per cent year-on-year.
Source: Fibre2 Fashion
Textile owners have asked the government to provide sales tax incentives, saying a relief would benefit the industry as well as the country’s economy, The News learnt on Friday. A delegation of textile sector from Karachi met Commerce minister Syed Naveed Qamar to discuss issues related to the industry, where the minister assured of his full support to textile owners. The meeting deliberated upon a strategy to get more market access to different potential countries especially to Canada, Australia, and South Africa, besides taking more benefits of GSP-plus status given to Pakistan by the European Union. The delegation also took up drawback of local taxes and levies (DLTL), gas, electricity, and pending refunds of the textile sector. During the meeting, the textile operators mentioned that there were anomalies left in the last annual budget, which needed to be addressed immediately. Meanwhile, the minister emphasised on diversification of textile products and exploration of new markets.
Source: The News
Only about 15% of used clothes and other textiles in the United States get reused or recycled – the other 85% goes to landfill or an incinerator, according to a new report. Researchers from the National Institute of Standards and Technology (NIST) say one significant obstacle to greater reuse and recycling is that more information for consumers about how to dispose of their used textiles. But they argue consumer knowledge can only go so far. The report recommends better sorting and grading technologies, smarter labelling and digital product identification, advanced recycling processes for certain synthetics that are not currently recyclable, standardised terminology and classifications and better data collection. The NIST report, Facilitating a Circular Economy for Textiles, is based on a recent workshop that brought together manufacturers, industry associations, recyclers, waste managers, researchers, policymakers and several major fashion brands. ‘Textiles are one of the fastest growing categories in the waste stream,’ says Kelsea Schumacher, an environmental engineer working with NIST an coauthor of the report. ‘But there are a lot of opportunities to reduce waste in this sector that would bring big economic and environmental benefits.’ The report defines textiles to include clothing, shoes, bedding, towels, upholstery fabrics and carpeting. However, the main type of textile in the municipal waste stream is clothing. On average, every person in the US disposed of 47kg of textiles in 2018, the most recent year for which data is available. The authors of the report compiled data from multiple sources to create a flow diagram that shows what happens to textiles in the United States after they are donated or discarded. NIST undertook the research as part of its larger circular economy initiative, which until now has focused mainly on ways to keep plastics circulating within the economy. ‘The circular economy is about more than just recycling,’ adds co-author Amanda Forster. ‘It’s about keeping products in their useful form for as long as possible, then when you can’t use them anymore, finding a way to recycle them that preserves as much of their value as possible, and only sending them to the landfill as a last resort.
Source: Recycling International
In the 2nd half of March 2022, the International Textile Manufacturers Federation (ITMF) conducted the 13th ITMF Corona-Survey amongst more than 220 companies around the world in all segments along the textile value chain. For the sixth time since May 2021, companies were asked the same set of questions about their business situation, business expectation, order intake, order backlog and capacity utilisation rate. In addition, they were asked about their main concerns and whether and to what extent they can pass on recent costs increases. On average across all regions and all segments, the business situation in March 2022 remains in positive territory with +14 percentage points (pp). Nevertheless, this is well below the +26pp in November 2021 and the +18pp in January 2022. That a relative high number of companies (43 per cent) judge their situation as satisfactory shows that demand remains strong despite the many challenges companies are facing on the supply side like delayed deliveries and higher production costs. When it comes to the business expectations in six months’ time, the global textile value chain remains optimistic but stands on a much weaker foundation. Since September 2021 the balance between more favourable and less favourable business expectations has fallen from +32pp to +7pp. This is a clear indication that the textile value chain has passed the tip of a strong business cycle in the 4th quarter of 2021. Whether a broader albeit slower economic growth will be witnessed in the future will depend very much on whether disrupted global supply chains will be rebalanced and how the Russian war in Ukraine will develop in the coming months, according to the survey. A look at the different regions reveals that the business situation is in positive territory in all regions except for East Asia and Africa where the balance between good and bad business situation is negative. The expectations on the other hand vary strongly. In North, South America and Africa companies anticipate a more favourable business, while in all other regions the balance between more and less favourable is negative. As for the different segments the downstream segments – weavers/knitters, finishers/printers, and garment and home textile producers – are generally struggling more than the upstream segments – fibre producers, spinners and textile machinery producers. This is especially true when it comes to passing on higher costs. The order intake has fallen from a high level of +38pp in November 2021 to +12pp in March 2022. This reflects the weaker business situation. Likewise, also order intake expectations deteriorated in March 2022 from +34pp in January to +22pp in March 2022. Since July 2021 order backlog rose from 2.3 to 3.1 months. The expectations for order backlog remain unchanged at 2.9 months. The capacity utilisation rate stays at around 80 per cent. The expectations are unchanged given the persistent supply chain bottlenecks. Higher costs for raw materials, energy, and transportation are the main concerns for companies. Weaker demand is another worry though not (yet) a dominant one. On average across the supply chain companies can only pass on 40 per cent of the additional costs.
Source: Fibre 2 Fashion
Industrial output unexpectedly fell 2.9 per cent in April from a year ago, while retail sales contracted 11.1 per cent in the period, weaker than a projected 6.6 per cent drop. China’s economy is paying the price for the nation’s Covid Zero policy, with industrial output and consumer spending sliding to the worst levels since the pandemic began and analysts warning of no quick recovery. Industrial output unexpectedly fell 2.9 per cent in April from a year ago, while retail sales contracted 11.1 per cent in the period, weaker than a projected 6.6 per cent drop. The unemployment rate climbed to 6.1 per cent and the youth jobless rate hit a record. Investors responded by selling everything from Chinese shares to US index futures and oil. China’s economy has taken an enormous hit from the government’s stringent efforts to keep the virus at bay, with major cities like Shanghai locked down for several weeks and restrictions in many other places cutting into spending, shutting factories and blocking supply chains. The government has doubled down on its Covid Zero strategy, even though the high transmissibility of the omicron variant puts cities at greater risk of repeatedly locking down and reopening. The zero-tolerance approach has prompted criticism from businesses, fueled public frustration and has put Beijing’s ambitious full-year growth target of around 5.5 per cent further out of reach. China’s main financial newspapers on Monday published a six-month-old speech by President Xi Jinping on the need to preserve jobs and shore up growth, a sign of greater urgency to bolster the economy. The surge in joblessness is of particular worry to the Communist Party ahead of a twice-a-decade leadership reshuffle later this year, when Xi is expected to secure a precedent-breaking third term. “They prioritised zero-Covid over economic growth in April, but they want both for the whole year,” said Larry Hu, head of China economics at Macquarie Group. “After all, zeroCovid at the cost of surging unemployment is a hard sell politically, especially in such a year with significant political importance.” Monday’s data suggests gross domestic product declined 0.68 per cent in April from a year ago, the first contraction since February 2020, according to estimates from Bloomberg Economics. Growth could weaken to below 2 per cent in the second quarter, according to UBS Group AG, while S&P Global Ratings predicted it could be as low as 0.5 per cent. With Shanghai taking the first steps toward reopening by allowing some shops to gradually resume operations, there’s optimism that last month’s data could mark the worst of the slump. China’s benchmark CSI 300 stock index closed 0.8 per cent lower with healthcare and consumer staples shares being the worst performers. The onshore yuan weakened 0.1 per cent to 6.7957 per dollar as of 5:04 pm local time. Electricity generation fell 4.3 per cent in April from 2021. Disruptions in China, the world’s factory, are worsening the global growth outlook and complicating the inflation picture. Supply chain snags have affected companies from Tesla to Apple while export growth slowed last month to the weakest pace since June 2020
Source: Bloomberg/ Business Standard
