Invites bids to hire agencies for impact assessment, identification of implementation related challenges The Textiles Ministry is planning an impact assessment and beneficiary sentiment survey of important schemes and initiatives for the industry to identify challenges related to their implementation, and take targeted measures to overcome them so that benefits are optimised. Bids have been invited to hire agencies for carrying out impact assessment for schemes such as the Technology Upgradation Fund Scheme (TUFS), Scheme for Integrated Textile Park (SITP), Silk Samagra, PowerTex India, and Samarth, that were all launched to drive sectoral growth and position India as a global textiles manufacturing hub. “The ministry proposes hiring of agency with focus to understand the impact assessment of various schemes under the Ministry of Textiles from beneficiaries’ standpoint and undertake sentiment and perception analysis of beneficiaries across the value chain of textiles...,” per the RFP (Request for Proposal) floated by the Textiles Ministry. The start date for submission of bids is July 7 and the end date is August 5. The bids are to be opened on August 8.
‘Much needed step’ Industry players are hopeful that the exercise will help in better identification of the problems faced by them in availing benefits of existing schemes and lead to more prompt redressal of grievances. “Carrying out an impact assessment of existing schemes is a much needed step. If the survey gets done, then all problems voiced by the industry will be put together and get officially documented,” a Noida-based garments manufacturer pointed out. A survey is important for the government not only to assess if its money is being well utilised, but also to improve implementation, said Sanjay Jain, Managing Director, TT Ltd. “All the pains that we face in our operations need to be put down in black and white. For instance, in the ATUFS (Amended TUFS), there is a backlog in payments. The industry faces a lot of problems in following procedures. A proper evaluation needs to be done of the situation,” he added. The textiles industry is the biggest employer in the country after agriculture, and provides direct employment to over 45 million people. It is also the source of livelihood for over 100 million people indirectly, according to government figures.
‘Essential to evaluate’ There are over 40 schemes, programmes and missions under the Ministry of Textiles. “In order to ensure that various schemes are benefiting artisans, craftsman and other value chain segments, it is essential to consistently evaluate and assess the impact of different schemes,” the RFP said. The selected agency will need to prepare case studies of beneficiaries covering impact of assistance under the schemes and provide feedback on best practices for designing policy/schemes and ensuring ease of implementation at field level. They would also have to identify implementation related challenges and provide for interventions, if required
Source: Times of India
The prime minister also said his government has brought about transformative changes to enable technology-led growth, in sectors such as space, new economy, green energy, and data India’s real gross domestic product (GDP) is set to grow 7.5 per cent in the current fiscal year (FY23) and this will make it the fastest-growing major economy in the world, Prime Minister Narendra Modi said on Thursday, while virtually addressing the BRICS Business Forum. This is the first time a real GDP growth projection has been given for the year by the government in the ongoing current financial year. The Union Budget gives out the nominal GDP figure, and the government usually goes by the Reserve Bank of India’s real GDP projection, which stands at 7.2 per cent for FY23. The PM’s forecast is in line with the World Bank’s forecast but lower than the International Monetary Fund’s much more bullish projection of 8.2 per cent. “We are expecting growth of 7.5 per cent this year, which will make us the fastest-growing major economy,” the prime minister told the BRICS Business Forum. “The role of the BRICS nations is more important than ever before in the post-Covid world,” he said. BRICS stands for the international grouping of emerging economies Brazil, Russia, India, China, and South Africa. The prime minister also said his government has brought about transformative changes to enable technology-led growth, in sectors such as space, new economy, green energy, and data. Modi said that even during the Covid pandemic, steps were taken by the Centre to improve the ease of doing business by reducing the compliance burden on companies. He invited businesses from BRICS nations to invest in India’s $1.5-trillion National Infrastructure Pipeline
Source: Business Standard
The 16th Indian Fashion Jewellery and Accessories Show 2022 and 67th India International Garment (IIGF) event in Greater Noida were inaugurated on Monday by Piyush Goyal, the Union Minister of Commerce & Industry, Consumer Affairs, Food and Public Distribution and Textiles. In his inaugural address, the minister stressed the importance of the textiles and handicrafts sector in contributing to India’s growth and development, with an expected doubling of production and tripling of exports in the next five to six years. The 16th edition of IFJAS is open to overseas buyers, buying and sourcing professionals, and domestic volume retail buyers. More than 150 exhibitors from various parts of the country have put fashion jewellery, semi-precious jewellery, belts, wallets, and apparel accessories like stoles and scarves, shawls, embroidered, beaded and sequined accessories on display. At least 2,000 visitors from 40 countries may visit the exhibition organised by the Handicrafts Export Promotion Council. Sandeep Chhabra, the president of the reception committee, IFJAS 2022, said that as part of endeavours to promote products of artisans of different crafts clusters, an exclusive regional display with participants from across the country has been set up at IFJAS. “It will also be an attraction for the buyers, and their visit to the artisan stands will boost the morale of the participating primary producers during the three days extravaganza,” he said.
Source: The Hindu Business Line
“One good thing is that the tax department tried to restrict the TDS obligation at only one party level in a scenario where there could be four parties — a seller, an exchange, a buyer and a broker,” said EY India Tax Leader Sudhir Kapadia. The Central Board of Direct Taxes (CBDT) on Wednesday issued a circular containing guidelines to remove difficulties with regard to tax deducted at source (TDS) at the rate of 1% on transfer of virtual digital assets (VDA) by payers with effect from July 1. “One good thing is that the tax department tried to restrict the TDS obligation at only one party level in a scenario where there could be four parties — a seller, an exchange, a buyer and a broker,” said EY India Tax Leader Sudhir Kapadia. The other three parties in the transaction will give only an undertaking that TDS liabilities have been discharged. Kapadia, however, said if the consideration is paid in kind instead of cash for the VDA, it is very complicated and imposes a high obligation cost on the exchanges as they have to maintain paper trail of valuation, TDS accurately calculated or not, etc. With respect to the requirements of Section 194S, CBDT has notified that any sum deducted by specified persons will have to be deposited within 30 days from end of the month in which deduction is made. Deposit of tax so deducted shall be made in challancum-statement in Form 26QE. Further, the deductor will have to issue certificate of deduction in Form No 16E to the deductee, within 15 days of due date in Form No 26QE. In Form 26Q, columns have been added in annexure to furnish details like amount of deposit, BSR code of bank, date of payment and challan serial number are required. “Broadly, to furnish Form 26QE, the specified persons would be required to maintain details like date of transfer of VDAs, value of consideration, mode of considerationwhether cash or kind or in exchange of another VDA etc,” said by Neeraj Agarwala, Partner, Nangia Andersen. Besides TDS, the Budget for FY23 mandated tax any income from the transfer of VDAs at 30%, with no deduction and set off of losses.
Source: Financial Express
According to the data for the financial year 2021-2022, the share of textiles/apparel in the goods exported from Uttar Pradesh was 9%, or Rs 12,996 crore The Uttar Pradesh government is going to build an apparel park in Noida to organise most of this industry in the unorganised textile sector, officials told News18. This will improve the quality of investors by getting all the facilities in one place and the park will also increase exports, they added. According to the data for the financial year 2021-2022, the share of textiles/apparel in the goods exported from Uttar Pradesh was 9 per cent, or Rs 12,996 crore. After electronic and electrical products, which occupy the first and second slots respectively, apparels rank third on the list of products exported from the state. In terms of growth, there was an increase of about 40 per cent in exports compared to 2020-2021. This jump was more than the rise seen in exports of electronics and electrical products as well as meat during the same period. Despite the global Covid pandemic, recording such a massive increase is remarkable, said officials. The shares of Gautam Buddha Nagar and Ghaziabad in the state’s top ten export cities are 41 and 11 per cent respectively. The apparel export industry also exists largely in these districts. Most of the business is in the unplanned segment. To provide them with all facilities in one place by employing them, the Yogi Adityanath government is establishing the apparel park in Noida. About 115 export-oriented units of readymade garments are likely to be set up in this park. According to an estimate, an investment of Rs 3,000 crore is expected to come into this. The target is to lay the foundation stone in July and begin commercial production in all the units by September 2025. Apart from this, the government also plans to make five textile and apparel parks by the public-private partnership (PPP) model. For this, the tender process will begin after identifying land by September next year. The aim is to begin production by 2026. In order to organise this industry, the government will set up flatted factories in or around cities where there is a rich tradition of readymade garments. In the first phase, Kanpur Nagar, Gorakhpur, and Agra have been selected for this. Keeping in view the possibilities of the cluster approach, the government will also establish a textile industry as per the tradition of that area in the industrial corridors to be built along all the expressways. In the future, such clusters will be developed in each block under the National Handloom Development Programme and Micro & Small Enterprises - Cluster Development Programme (MSE-CDP) scheme at a cost of Rs 500 crore. There is also a plan to build a world-class textile park at a cost of Rs 10,000 crore under the PM Mitra scheme. In order to make Uttar Pradesh a global textile hub through the new policy, best infrastructure, skill development of weavers and cluster approach, the government will also lay emphasis on the marketing of finished goods for Brand UP, said officials. In this sequence, the government will sign MoUs with big players of online platforms such as Flipkart and Amazon, and weavers will also be given training to onboard their products, they added.
Source: News 18
Five states, namely, Bihar, Kerala, Punjab, Rajasthan, and West Bengal, figure among the most stressed states fiscally, as per a Reserve Bank of India article. The RBI conducted a detailed study of the states’ finances following the recent Sri Lanka crisis. The RBI in its study has concluded that the finances of the states have deteriorated sharply owing to the Covid-19 pandemic. Five states, namely, Bihar, Kerala, Punjab, Rajasthan, and West Bengal, figure among the most stressed states fiscally, as per a Reserve Bank of India article. The RBI conducted a detailed study of the states’ finances following the recent Sri Lanka crisis. The RBI in its study has concluded that the finances of the states have deteriorated sharply owing to the Covid-19 pandemic. States’ tendency towards handing out cash subsidies, provision of free utility services, revival of the old pension scheme, and extension of implicit and explicit guarantees have put states in a peculiar position.
Fiscal position & debt levels RBI has determined that the average GFD-GDP ratio (gross fiscal deficit to nominal GDP ratio) of the states remained modest at 2.5% during 2011- 12 to 2019-20. This is lower than the Fiscal Responsibility Legislation (FRL) ceiling of 3%. But then the pandemic hit, and the states’ fiscal positions deteriorated sharply in 2020 with a sharp decline in revenue, an increase in spending, and a sharp rise in debt to GSDP ratios. The debt-GSDP (gross state domestic product) ratio is projected to moderate between 2021-22 and 2026- 27, RBI says. It has attributed the moderation in the ratio primarily to the stellar fiscal performance of Gujarat, Maharashtra, Delhi, Karnataka, and Odisha. RBI expects Punjab to remain in the worst position, with its debt-GSDP ratio projected to exceed 45% in 2026-27, while Rajasthan, Kerala and West Bengal are projected to exceed 35%. These states will need to undertake significant corrective steps to stabilise their debt levels, the RBI has said.
High debt & freebies: Poor spending priorities? Punjab, Rajasthan, Kerala, West Bengal, Bihar, Andhra Pradesh, Jharkhand, Madhya Pradesh, Uttar Pradesh, and Haryana are the states with the highest debt burden in India. These 10 states account for around half of the total expenditure by all state governments in India. When it comes to expenditure, states like Rajasthan, West Bengal, Punjab and Kerala spend around 90% on revenue accounts. The impact of revenue expenditure on economic activity lasts for about a year. These states have high revenue spending to capital outlay ratios. Capital outlays have a longerlasting impact on economic activity, with the peak effect materialising after two-three years. In the medium to long term, states with high revenue spending and low capital investment may experience slower revenue growth and higher interest outgo. Data shows Gujarat, Punjab and Chhattisgarh spend more than 10% of their revenue expenditure on subsidies, which are known to crowd out resources from other useful purposes. Freebies, which include free electricity, water, public transportation, and farm loan waivers, potentially undermine credit culture, distort prices through cross-subsidisation erode incentives for private investment, and disincentivise work, the RBI said. Providing free electricity and water is known to accelerate environmental degradation and depletion of water tables.
Course correction needed The fiscal conditions among states in India are showing warning signs of building stress, the RBI notes. “The slowdown in own tax revenue, a high share of committed expenditure and rising subsidy burden have stretched state government finances exacerbated by COVID-19. For the five most indebted states, the debt stock is no longer sustainable, as the debt growth has outpaced their GSDP growth in the last five years,” it said. “New sources of risks have emerged – a relaunch of the old pension scheme by some states; rising expenditure on nonmerit freebies; expanding contingent liabilities; and the ballooning overdue of DISCOMs - warranting strategic corrective measures,” the RBI added.
Source: Economic Times
• The meet focussed on agricultural products from the eight North Eastern states and also saw presence of multiple national and international brands The government on Wednesday organised a mega buyer-seller meet under the One District One Product initiative that saw participation from 70 sellers, traders, farmers, and aggregators from various districts of the north eastern states. The meet focussed on agricultural products from the eight North Eastern states and also saw presence of multiple national and International Brands Sellers showcased their products to the buyers during the meet. Products included Meghalaya’s world-famous Lakadong Turmeric with more than 7% curcumin content, the GI Tagged Large Cardamom from Sikkim and Queen Pineapple from Tripura, Orthodox Assam Tea, Manipur’s Black Chakhao Rice and more. These products have been showcased to over 30 large buyers representing big brands such as Reliance and ITC, as well as upcoming start-ups in India. The Letters of Intent (LOI) worth ₹6 crores were signed during the event. The meet was organisated under the One District One Product initiative of Department for Promotion of Industry and Internal Trade (DPIIT) with the the support of Ministry of Development of North East Region (MDoNER) and its PSUs, North Eastern Handicrafts and Handloom Development Corporation (NEHHDC) and North East Regional Agriculture Marketing Corporation Limited (NERAMAC). NERAMAC has,been set up to support farmers/ producers from the North Eastern Region and has been working to bridge the gap between farmers and the larger market. Focused trade discussions were also facilitated between the buyers, sellers and the State Government representatives from all the eight north eastern states. With over 700 products cutting across sectors like agriculture, textiles, handicrafts, and manufacturing, the ODOP Initiative seeks to select, brand, and promote one product from every district of the country. “This is marked by a key role to coordinate, create collaborative networks, and enable handholding of buyers and sellers for the larger aim of trade promotion and facilitation," the Ministry of Development of North-East Region said in a press release on Wednesday.
Source: Live Mint
“IIGF provides a direct marketing platform to MSME exporters from across the country bringing together almost 500 exhibitors and more than 2,000 overseas buyers and buying agents,” said Naren Goenka, chairman AEPC, adding that it is the biggest platform in Asia Almost 1,189 international buyers from 59 countries have registered to participate in the 67th India International Garment Fair (IIGF), the Apparel Export Promotion Council “IIGF provides a direct marketing platform to MSME exporters from across the country bringing together almost 500 exhibitors and more than 2,000 overseas buyers and buying agents,” said Naren Goenka, chairman AEPC, adding that it is the biggest platform in Asia. The buyers are visiting from the US, Brazil, Japan, UK, Spain, Australia, Poland, Colombia, Greece, Italy, Egypt, Chile, Argentina, UAE, Thailand, France, Germany, Canada and Iran, among others. As per the council, in the last physical fair held in January 2020, the business generated was $166.17 million. “We are expecting a growth of 10% even though adverse marketing conditions are prevailing in various countries,” Goenka said. The global apparel market which was just under $1.5 trillion in 2013 is expected to generate revenues to the tune of $1.8 trillion in 2022 and $1.9 trillion in 2025 before it closes to $2 trillion in 2026, according to AEPC. AEPC said it has put up a stall wherein various start-ups will be showcasing their efforts in the textiles and garment sector. As per Goyal, there are about 600 textiles start-ups in India and the Production Linked Incentive scheme would be a window to the investment flow into India and thrust exports of MMF Apparels and Technical Textiles along with scaling their production to match global demand.
Source: Economic Times
EU member states have rejected MEPs' call for stricter limits for one of the most harmful chemicals in waste, during inter-institutional talks. "We know we had a problem [with chemical pollution]…but there was no political will to be more ambitious," Slovak liberal MEP Martin Hojsík, one of the lead negotiators on the file, told EUobserver. EU countries and MEPs reached a deal late on Monday (20 June) on the proposal that sets limits for harmful chemicals in waste — in a bid to prevent them from being recycled into new materials as part of 'circular economy' efforts. This includes specific limits for one type of the so-called 'forever chemicals', known as PFOA. Forever chemicals [technically known as per- and polyfluoroalkyl substances (PFAS)], earned this nickname because they are considered nearly indestructible — becoming a headache for policymakers after public health and environmental concerns were raised. Hojsík said EU member states were "not flexible at all" when setting PFOA limits during the negotiations, as they argued that there is not enough contamination data to justify stricter limits. "The situation with PFOA chemicals contamination is higher on the agenda in countries like Belgium or the Netherlands, while in central and eastern Europe nobody knows [about it]," he told EUobserver. Hojsík said that already the commission impact assessment revealed that there is a general lack of data about the contamination of these chemicals, despite the general obligation for member states to do proper monitoring. In Belgium, for example, high levels of one of these forever chemicals (PFOS) have been found in the soil and water close to a 3M factory near Antwerp and Zwijndrech. PFOA are found in waterproof textiles, fire-fighting foams, stain-resistant carpets, or paper and cardboard packaging. But the EU has pledged to eliminate its production and use under the Stockholm Convention — and has restricted its use in the EU under the so-called Reach (Registration, Evaluation, Authorisation and Restriction of Chemicals) regulation. The maximum limit value for PFOA to be considered hazardous in waste was agreed at one mg/kg and at 40 mg/kg for PFOA-related compounds. "We are delivering on our promise to eradicate the most harmful chemicals from our daily lives," EU commissioner for environment Virginijus Sinkevičius said in a statement. He said that "ambitious limits" for these toxic substances are needed to safely use "toxicfree secondary materials" in Europe's circular economy. The chemical PFHxS — with similar uses of PFOA —, the pesticide dicofol, and the chemical pentachlorophenol which can be found in treated wood and textiles were also added to the EU regulation of Persistent Organic Pollutants (POPs).
Source: EU Observer
The UK Free Trade Agreement (FTA) Legislation Bill has been introduced to the New Zealand House, underscoring the NZ government’s strong trade agenda, said trade and export growth minister Damien O’Connor. The Bill will be set down for first reading in the following weeks, before going through Select Committee, with the aim to complete New Zealand ratification processes for entry into force by the end of 2022. O’Connor said: “I’m very pleased with the quick progress of the United Kingdom Free Trade Agreement Legislation Bill being introduced to the House today. It will enable New Zealand to implement its obligations under the FTA and is necessary to bring the FTA into force. “Our economic recovery from COVID-19 has been export-led and this is a crucial time to secure further free trade agreements, on the back of a strong body of work that includes the EU FTA negotiations, the CPTPP, our China FTA and Singapore FTA upgrades, RCEP, PACER Plus, and ongoing conversations with the US about an Indo Pacific Economic Framework. “The UK FTA is a gold-standard agreement and one of the best deals we’ve ever negotiated. It will boost our economy by up to $1 billion and provide us further economic security. Today takes us a step closer to our exporters and businesses enjoying the benefits of this excellent deal, which we signed in March. It will provide unprecedented access to the UK market.” The UK will eliminate all tariffs on New Zealand exports, with duties removed on 99.5 per cent of current trade from entry into force. “This FTA also sets new levels of ambition in inclusive and sustainable trade, including outcomes for Maori, women in trade, and the environment,” O’Connor added. The Bill will align New Zealand’s domestic law with obligations in the FTA, including amendments to the Tariff Act 1988, the Tariff, the Customs and Excise Regulations 1996, the Dairy Industry Restructuring Act 2001, the Overseas Investment Act 2005, the Overseas Investment Regulations 2005, and the Copyright Act 1994. The United Kingdom is undertaking a similar process and once both countries have completed their respective ratification processes, the FTA can enter into force. Later this week Damien O’Connor is travelling to Europe to further advance New Zealand’s FTA negotiations with the European Union. He will also visit Canada and Australia.
Source: Fibre 2 Fashion
United Kingdom businesses can now apply for government support (including financial grants) to exhibit or visit selected overseas fashion and textile tradeshows via the United Kingdom Tradeshow Programme from The Department for International Trade (DIT). These tradeshows include Paris Fashion Week, Heimtextil, Première Vision and Pitti Uomo. Open to UK SMEs with little or no experience of trade shows, the applicants will receive specialised training, with some also receiving grants to cover costs. Companies require an annual turnover of between £250,000 to £5 million to apply, UKFT said in a press release. Grants and support are available to eligible companies to exhibit at the events including Paris Fashion Week, running from September 26 to October 4; Heimtextil (Interior Textiles), running from January 1-13; Pitti Uomo (Men’s Apparel), running from January 10-13, 2023; Paris Fashion Week – Men’s, Pre-collections and Swim, running from January 17-22; Premiere Vision on January 2; Paris Fashion Week – Men’s, Precollections and Swim, running from February 27-March 3. Grants and support are available to eligible companies to visit the events like Paris Fashion Week, Heimtextil (Interior Textiles), Pitti Uomo (Men’s Apparel), Paris Fashion Week – Men’s, Pre-collections and Swim, Première Vision and Paris Fashion Week – Women’s (Spring) 2023.
Source: Fibre 2 Fashion
Recycling and green transition took a step forward when a Finnish company announced its plans to build a factory re-using textile waste. New technology enables cotton-rich textile waste to be transformed into a new regenerated textile fibre. The factory, the first of its kind in the world, should be fully operational by 2025. The €400 million investment will occupy a closed and empty paper mill in Kemi on the northern shore of the Baltic Sea. According to the company press release, the annual fibre production capacity will be 30,000 metric tons, which would be enough for about 100 million t-shirts. A Finnish consumer throws away roughly 13 kilos of clothes per year. However, since 2016 it has been forbidden to leave them at dumpsites, and they end up in normal rubbish bins. Such reports are affecting the image of fashion companies. Consequently, the company behind the factory aims to attract the textile industry’s interest, hoping to shift towards circularity. According to the company, the most concrete improvement comes from saving water. Producing one cotton T-shirt in a traditional method requires some 2,700 litres of clean water. The new technology should save up to 99% out of that amount.
Source: Euractive
AATCC Interest Group brought together textile professionals with shared interests and expertise. The four current groups met recently for discussion and presentations. These groups belonged to different backgrounds including Chemical Applications, Concept 2 Consumer, Materials and Rising Professionals. All interest groups will choose new officers this fall. Chairs and at-large members will be elected to serve on the AATCC board of directors 2023-2024. All individual AATCC members may select a voting interest group. Members (and non-members) can participate in any or all interest groups, regardless of voting status. Fall committee meetings will be held October 18-20 and November 15-17, AATCC said in a press release. The Chemical Applications Interest Group concentrated on the technologies, equipment, systems, and processes, as well as testing the physical/mechanical properties of chemically-treated textile substrates. In May, Ben Triplett and Scott Bowers of Texpro presented “Optimising Finishing Productivity & Quality”. The Concept 2 Consumer (C2C) Interest Group provided a forum for textile, apparel, and home fashion manufacturers and retailers. The most recent meeting featured a presentation on “Resurrecting Fashion: Digitalisation and the path forward” by Keith Hoover, Black Swan Textiles. The Materials Interest Group was formed to stimulate and expand the collective knowledge and development of new materials related to the fibre and fibre products industries via innovative modifications of existing structures and/or creation of unique compositions of matter. Jan Beringer, Hohenstein, discussed “Digital Material Physics for 3D Design” at the group’s May meeting. The Rising Professionals is the newest AATCC interest group, which addresses professional development, networking, mentorship, leadership, and other aspects of a career in textiles. It provides a “home” for individuals new to AATCC and/or new to the industry—whether recent graduates or seasoned professionals coming to textiles from another industry.
Source: Fibre 2 Fashion
Textile and apparel businesses in Việt Nam need to pay more attention to sustainability with regard to cotton sourcing, reducing environmental impacts and adhering to global labour conventions, a conference heard in HCM City on Tuesday. Trần Như Tùng, deputy chairman of the Việt Nam Textile and Apparel Association, said the textile and apparel industry accounts for a sizeable portion of the country’s electricity consumption, and so if it saves power or uses power more efficiently, it would be good for the environment. Việt Nam is committed to achieving zero emissions by 2050, and many local companies to reducing their environmental footprints, he said. Businesses need to pay attention to their cotton sources, which have to be environmentally friendly and not involve forced labour, he said. “More and more customers are aware of sustainability issues. Many of them are willing to spend more money on products that are environmentally friendly. “By 2030 Việt Nam’s textile and apparel industry aims to become a top destination for buyers of sustainable supplies of textile and apparel products that do not harm the environment or people. It will use power and water in a more circular, efficient and sustainable manner.” Vũ Đức Giang, chairman of the association, said sustainable textile and apparel products need to ensure sustainability across all stages of production such as raw material farms, manufacturing lines and dyeing processes. Technologies have to be environmentally friendly, and businesses have to abide by global conventions on labour, he said. Many Vietnamese businesses are unable to export their goods to the US since they do not fulfil origin traceability requirements, he said. Businesses need to pay close attention to global political relations, and quickly adapt to global changes. Võ Mạnh Hùng of the US Cotton Council International in Việt Nam said: “Businesses, especially exporters to the US, should partake in sustainable cotton programmes, as they help certify businesses using material sources that are transparent and sustainable.” Trần Như Tùng’s Thành Công Textile Garment Investment Trading JSC has been installing solar panels and taking part in the US Cotton Trust Protocol, which helps prove that his company uses sustainable cotton sources. The US accounts for around 42 per cent of Việt Nam’s textile and apparel exports, and Việt Nam is one of the US’s biggest buyers of raw cotton. Exports of textile and apparel this year has been worth around US$22 billion, a 23 per cent increase from last year.
Source: EIN News
Cambodia expects its trade with Vietnam to cross $10 billion by the end of 2022 as bilateral trade for the first five months of this year reached more than $5 billion, according to Prime Minister Hun Sen, who recently announced a new border crossing to Vietnam in the Tboung Khmum province aimed at boosting trade and travel between the two neighbours. The border crossing will be inaugurated at a proper time in the future, he said. Hun Sen recently addressed ceremonies in Tboung Khmum and Koh Thma to commemorate the 45th anniversary of the fall of the Khmer Rouge, according to Cambodian media reports. Vietnam is one of Cambodia’s main markets in the region, with the two countries having pledged to boost bilateral trade to more than $10 billion. Statistics from the Council for the Development of Cambodia (CDC) show that by the end of the first half of 2021, foreign direct investment (FDI) in Cambodia totalled $39 billion, of which Vietnamese investors accounted for $2.5 billion, or 6.3 per cent, followed by China with $17.3 billion and South Korea with $4.1 billion. According to data from the general department of customs and excise of the ministry of economy and finance, the exchange of goods between Cambodia and Vietnam was worth $1.7 billion in the first quarter of 2022. Cambodia exported $1,079 million worth of goods to Vietnam in the January-May period this year, a 3.4 per cent increase year on year, making Vietnam the second biggest market for Cambodia’s goods after the United States. Cambodia imported back from Vietnam goods worth $1,710 million, a 34 per cent increase compared with the same period last year.
Source: Fibre 2 Fashion
