Bangladesh is one of the growing markets for man-made fibre textiles from India and Synthetic & Rayon Textiles Export Promotion Council (SRTEPC) is leaving no stone turned to expand its reach in this lucrative markets, stated Dhiraj Shah, in Dhaka last week. Addressing its members at the Dhaka International Yarn & Fabric Show (DIFS) last week, Mr. Shah informed that the major manmade fibre textiles that are being exported from India are Polyester Viscose Fabrics, Synthetic filament fabrics, Viscose blended fabrics, Polyester filament yarn, Viscose spun yarn, Blankets and Polyester staple fibre. The Chairman, SRTEPC expressed his confidence that the Indian Companies participating in the exhibition would be able to establish good contacts with the buyers both from Bangladesh and other countries and will lead to generation of good export orders. Mr. Shah informed that exports of Indian MMF textiles to Bangladesh during 2020-21 were around US$ 487 million. Bangladesh’s total global import of MMF textiles were around US$ 6.91 billion during 2021 in which India’s share is only 7%. There is substantial scope to further increase our exports to Bangladesh, he emphasised and added that major suppliers of MMF Textiles to Bangladesh are China, India, Indonesia, Turkey and Italy etc. Hence, there is tremendous scope to increase India’s exports to Bangladesh and increase our market share, Mr. Shah said. 16 Indian companies participated at the exhibition through SRTEPC with the active support of the Ministry of Commerce & Industry and the High Commission of India, Dhaka, informed Mr. Shah. The SRTEPC exhibitors received overwhelming response at the 3-day exhibition.
Source: Tecoya Trend
As many as 16 states, including Odisha, Tamil Nadu and Bihar have integrated with National Single Window System (NSWS) so far with an aim to promote ease of doing business, a senior official said on Tuesday. The government in September last year soft-launched NSWS for businesses. It was aimed at providing support to investors, including pre-investment advisory, information related to land banks, and facilitation of clearances at the Centre and state levels. The NSWS portal is envisioned as a one-stop shop for investors for taking all the regulatory approvals and services related to investments. It allows online filing and tracking of all applications and clearances, thereby helping investors to obtain clearances from different stakeholders without visiting different government offices. "Currently, 24 of the 32 ministries and departments have onboarded the system and others are in the process. 181 out of total 368 services identified as relevant, have been onboarded. At the same time, 16 states/ UTs out of 36 have also onboarded the system," Additional Secretary in Department for Promotion of Industry and Internal Trade (DPIIT) Sumita Dawra told reporters here. States and UT which are yet to integrate with the portal include Haryana, Jharkhand, West Bengal, Rajasthan, Delhi, Chandigarh, among others. Dawra said the scope of the system has also been expanded to include special schemes such as vehicle scrapping, Indian Footwear and Leather Development Programme, ethanol- blending programme, and sugar mill exporters registration by bundling both central and state government approvals. A common registration form has been in-built into the system which enables the investor to apply in a user-friendly format for investor-related clearances. "There is hence no need to fill in multiple forms for various clearances relevant to the investor's proposal," she added. The form is integrated with the payment gateway (PayGov) and is also integrated with 'Bharat Kosh', thereby integrating all ministries/ departments with public financial management system of accounting of the government, along with reconciliation of accounts.
Source: Economic Times
The Union Minister of Commerce and Industry, Consumer Affairs, Food and Public Distribution and Textiles, Shri Piyush Goyal today expressed confidence that the ‘Partnership of Trust’ between India-US, resting on three pillars of Trade, Tech and Talent is going ahead from strength to strength. He said this while interacting with the Media in San Francisco. Briefing the Media, the Minister informed that he interacted with eminent business professionals, CEOs, senior captains of industry, start up ecosystems, venture capitalists etc. During the Meeting they shared their experiences of working with India and gave suggestions and new ideas on furthering India US engagements, in terms of increasing flow of investment into India and creation of Jobs in India, Minister added. Shri Goyal expressed happiness noting the phenomenal enthusiasm among them to work with India. The Minister began his day with paying tributes to Mahatma Gandhi at San Francisco. He thereafter visited Gadar Memorial Hall. Later in the day, He also launched the Institute of Chartered Accountants of India (ICAI) in 6 regions in the United States. Shri Piyush Goyal interacted with the leadership of GITPRO (Global Indian Technology Professionals Associations) and FIIDS (Foundation for India and Indian Diaspora Studies) in San Francisco. Shri Goyal called upon the tech- community to endorse the ‘India Story’ and make India a preferred investment destination. Urging them to be a part of the Growth Story of India, Shri Goyal invited them to invest and set up operations in India. Shri Piyush Goyal also interacted with the US India Strategic Partnership Forum (USISPF) in San Francisco. The Union Minister is on a foreign visit to San Francisco and Los Angeles in the United States of America from 5th to 10th September 2022 to attend the India-US Strategic Partnership Forum conference and Indo-Pacific Economic Framework (IPEF) Ministerial meeting.
Source: PIB
The Union Minister of Commerce and Industry, Consumer Affairs, Food and Public Distribution and Textiles, Shri Piyush Goyal has said that India today provides the best investment opportunity to the investors across the world and called upon investors in the US to avail the opportunities that India offers stressing that the next 25 years, the golden period of Amrit Kaal is the appropriate time to invest in India. He said this while addressing the US India Strategic Partnership Forum (USISPF) in San Francisco. Speaking on India-US relations, Shri Goyal said partnership between India-US partnership is a ‘Partnership of Trust’, which rests on 3Ts of Trade, Technology and Talent. He noted that India-US relations are based on strong government to government engagement, people to people ties, large Indian diaspora, business to business relations, increasing bilateral trade, deep engagement in geopolitically relevant vibrant Quad, Ministerial Dialogue, IPEF and robust trade policy forum. Reaffirming India’s commitment to working closely in areas of mutual interest, Shri Goyal said focus is on further expanding the India-US relationship. Recognizing that India and the US are natural partners in terms of competitive advantages and opportunities they offer to each other, Shri Goyal spoke about the talent that India has provided to the US and investment that the US has provided to India. He asked US investors to share newer ideas, suggestions on taking the India-US relations to the next level. Noting that both countries share tremendous interest in the world which is peaceful, open to business, and believes in democracy, transparency, Shri Goyal asserted that the two countries can work collectively to promote global security, stability and resilient supply chains and a growing economy. Stating that India’s credibility has strengthened across the world in last few years, Shri Goyal mentioned that we have taken transformative reforms and structurally prepared the economy for higher degree of honest business, recognizing and respecting integrity in business processes, reducing compliance burden, decriminalisation of laws, respecting and trusting and honesty of business persons. Highlighting that India is a much more open economy now, Shri Goyal pointed out that India is opening up discussions with countries on subjects that were never taken up before such as gender, environment, small and medium enterprises, labour and anticorruption laws. We are committed to providing growth opportunities both for domestic and foreign investors, he added. In his speech, Shri Goyal highlighted the fact that lots of innovation is taking place in different fields and new areas are opening up in India such as Artificial Intelligence, Big Data, E Commerce, Edutech, Fintech, Agritech and Healthtech. He sought suggestions and ideas to explore the engagement further in areas around textiles, geotextiles, technology for testing labs.
Source: PIB
• Modi and Hasina directed officials from ‘the concerned ministries to commence negotiations on a bilateral comprehensive economic partnership agreement (CEPA) this year in 2022 and complete it in time for Bangladesh’s final graduation from the LDC status’ India and Bangladesh on Tuesday decided to launch talks on a planned trade pact this year as the two sides signed seven memorandums of understanding on the second day of Prime Minister Sheikh Hasina’s visit to India. Prime Ministers Narendra Modi and Hasina directed officials from “the concerned ministries to commence negotiations on a bilateral comprehensive economic partnership agreement (CEPA) this year in 2022 and complete it in time for Bangladesh’s final graduation from the LDC status," said foreign secretary Vinay Mohan Kwatra. The CEPA, essentially a free trade pact, will look to build on the existing strengths in bilateral trade, valued at $18 billion dollars in the last financial year, said Kwatra, The announcement follows a recent joint study that sought to examine the feasibility of a bilateral trade pact. Bangladesh is India’s largest trade partner in South Asia with major exports from India including cotton, cereals, fuel, vehicle parts and machinery and mechanical appliances. The MoUs covered a sweeping range of issues, with the agreement on Kushiyara water sharing marking a significant breakthrough. “This would be the first bilateral water sharing arrangement between our two countries since the Ganges Water Treaty in 1996", said Kwatra. Speaking at a separate event, Hasina thanked Modi for his support in resolving oncestalemated negotiations. However, she also pointed to the work yet to be done on water sharing and hoped that “all outstanding issues including the Teesta water sharing treaty would be concluded at an early date." The other agreements were in the fields of railways, media, capacity building and science and technology. Security and defence cooperation was another key feature of negotiations. Both leaders “underscored the importance of continuing close security cooperation in the fields of counter-terrorism, border management and addressing cross-border crimes". Asked about the status of the $500 million Line of Credit (LoC) that India had extended to Bangladesh for military purchases, Kwatra revealed that a modest sum from that LoC had been utilized. R However, he believed it was an encouraging sign that could pave the way for expanded defence cooperation between the two countries. The two sides also made strides in establishing cooperation on energy security and connectivity. On the latter, Kwatra said the two leaders sought to further expand road, rail, inland waterways and coastal connectivity. Kwatra pointed specifically to multimodal freight through Chattogram and Mongla ports in Bangladesh to India’s Northeast as an encouraging sign. MoUs in railways included training Bangladesh’s railway employees in India and deploying Indian IT and computerization services for Bangladesh Railway. Increased cross-border connections were also seen as key to both sides achieving their energy security needs.
Source: Live Mint
The Karnataka government has eased the process of allotting industrial land up to 10 acres. The Karnataka Industrial Areas Development Board (KIADB) has now introduced the "Ease of Land Allotment" system, according to which allotment of industrial land up to 10 acres need not come before the mandatory Land Audit Committee (LAC). Such investment proposals can now be directly presented before the State Level Clearance Committee, officials said on Tuesday citing the order issued recently by the Industries Department. This means, an application of an investor or industrialist wanting up to 10 acres will directly come before the State Level Single Window Clearance Committee headed by the Large & Medium Industries minister, skipping the LAC, which results in speedier allotment of industrial land, officials said. "The state government has issued this order to emphasise transparency and to facilitate 'Ease of Doing Business' by simplifying the approval system", Large and Medium Industries Minister Murugesh R Niran said.
Source: Economic Times
Commerce and industry minister Piyush Goyal has said India would be “happy and willing” to negotiate a trade agreement with the US, its largest export destination, to further deepen bilateral commerce should the Biden administration look for a new free trade partner. However, as a matter of policy, the US is not looking to firm up a new FTA with any country now, he added. Speaking to reporters here, Goyal said: “Should they change their mind, India would be happy and willing to discuss. Without that also, we are engaged in attracting investment, technology, and trade between the two countries.” “I am sharing this with you to just tickle and excite your imagination (so that) the American government (can) have a rethink on their new FTA policy. So that they do not miss the bus,” he added. India’s exports to the US jumped almost 48% on year in FY22 (albeit on a favourable base) to $76 billion, while its imports surged 50% to $43 billion. Both the countries had almost finalised a trade deal just before Donald Trump lost the re-election bid. The “limited” deal was negotiated for months and was expected to cover an annual trade of over $13 billion, or roughly 15% of bilateral shipments. However, following the election of Joe Biden as President, the new US administration dragged its feet on any new trade deal. At a meeting of the US India Strategic Partnership Forum (USISPF), Goyal said talks for a trade deal with Canada are progressing well and an early-harvest “Canada (Minister of International Trade Mary Ng) and I are very confident that we would be done with our early progress trade agreement by December,” he said. The second round of talks with the EU (after formal negotiations resumed in June after a gap of almost nine years) will take place soon. “(But) There are 27 countries (in the EU bloc), so it will take longer…,” he said. Commenting on an India-Israel agreement, the minister said: “I still do not think we have got a good enough deal or a proposition that is attractive because of the small population size (of Israel) and their unwillingness to open up on services”. Separately, Goyal said the political churnings in the UK may have slowed the pace of negotiations a bit from the desired level but it can be made up in the coming days. Both the sides are still eyeing the Diwali deadline to clinch the deal, he added.
Source: Financial Express
Say India is better placed even as exports decline India’s merchandise exports witnessed a 1.15 per cent year-on-year (YoY) decline in August, following a slowdown in external demand for engineering goods, textiles, gems and jewellery, as well as plastic products, preliminary trade data from the commerce department showed. Industry officials and experts said geopolitical risks triggered by the Russia-Ukraine conflict are weighing on India’s exports, which recovered from the Covid pandemic shock and consistently remained robust for over a year. Weak demand from India’s some of the biggest export markets, such as China, the European Union, and the United States, due to a slowdown in these regions and high inflation, as well as export restrictions on some commodities, resulted in the deceleration of goods exports. Barring the gems and jewellery segment, the decline in the value of exports was driven by a fall in prices of steel, cotton yarns, and plastic, they said. “The trend that we are witnessing is that we are receiving orders for low-value products because of high inflation. Going ahead, we may see a little impact on the value of these products but volumes exported will remain intact. Stable volumes will have a positive impact on employment and job creation,” said Ajay Sahay, director-general (DG) and chief executive officer (CEO), Federation of Indian Export Organisations (FIEO). Vipul Shah, chairman, Gem and Jewellery Export Promotion Council (GJEPC) said the slight decline in gem and jewellery exports in the past two months is due to Covid restrictions in Hong Kong. Gems and jewellery exports fell 4 per cent in August to $3.29 billion. “Overall exports to the UAE have been on the upswing after the India-UAE Comprehensive Economic Partnership Agreement and exports of plain gold jewellery to the Middle Eastern markets increased by 29 per cent in July. We keenly look forward to the free-trade agreement with the UK; industry will also get to reap the benefits of the India-Australia Economic Cooperation and Trade Agreement. We expect growth in the coming months, especially from the Western markets, due to festive demands and the upcoming holiday season,” Shah said. Engineering exports, which comprise a fourth of the value of total goods exported from India, witnessed the sharpest deceleration in August, falling 14.59 per cent YoY to $8.25 billion. Outbound shipments declined to a 13-month low of $33 billion in August, against $33.38 billion last year. On a sequential basis, exports fell 9 per cent from $36.27 billion in July but grew 17.1 per cent YoY during April-August to $192 billion on a cumulative basis. Commerce Secretary B V R Subrahmanyam on Saturday said that given the current global scenario, India is not in an uncomfortable position. However, there are headwinds related to what can happen to developed nations and the Christmas orders. “Exporters’ order books are full but the orders are getting delayed in terms of execution. They have not been asked to ship. That uncertainty is there,” he said. While there is a moderation in demand for textile products because of recessionary trends in major developed nations, an industry official said India may be able to make up for this amid the challenging situation in Sri Lanka and Bangladesh -- India’s biggest competitors in this space. Disruption in these competitor nations has also affected external demand for raw materials, such as cotton yarns, the official said. “There’s an economic crisis going on in Sri Lanka; Bangladesh has a fuel crisis, while Pakistan is facing massive floods. India has its own raw material, which is still intact. We will make up for the loss by the end of the year,” said Apparel Export Promotion Council (AEPC) Chairman Narendra Goenka. India exported apparel worth $1.32 billion in August, down 0.42 per cent YoY. On a cumulative basis (April-August), outbound shipments witnessed a growth of nearly 18 per cent. Exports of raw materials, such as cotton yarns and fabrics, declined by nearly a third to $881.86 million in August over the year-ago period.
Source: Business Standard
More handicraft products from the State will be registered for geographical registration soon to protect their uniqueness and artisans. More handicraft products from the State will be registered for geographical registration soon to protect their uniqueness and artisans. Currently, only three crafts from Odisha have been registered for geographical indications under the Geographical Indications of Goods (Registration & Protection) Act, 1999.Handlooms, Textiles and Handicrafts department officials said steps are being taken for GI registration of more products to prevent unauthorised production and duplication of Odisha’s handicrafts. The products that have been chosen for filing of GI registration next are flexible brass fish of Belaguntha (Ganjam), terracotta roof tiles of Barpali (Bargarh), paper mache masks of Puri, straw craft of Jiral (Dhenkanal), lacquer toys of Balasore, Dokra casting of Odisha, stone carving and utensils of Nilagiri (Balasore), paddy craft of Balangir, terracotta craft of Subarnapur, horn craft of Gajapati, lac boxes of Nabarangpur and Talapatra Pothi Chitra of Puri.
Source: New Indian Express
The India-Russia trade deal is turning out to be a tale of 'who will bell the cat'. Banks want the regulator and the government to give a clear guidance that would shield them from any action by the US authorities. However, having laid down the rules on a rupee-denominated trade amid US sanctions on Russian financial institutions, the central bank and New Delhi think the banks should take the plunge. The Reserve Bank of India (RBI) has called a meeting of all leading banks on September 7 to figure out what is holding them back. "Most banks, particularly private sector banks, are reluctant. Very few banks may have opened vostro accounts of Russian banks till now. While all banks have been told to attend the meeting, in its email to the private sector banks, RBI has indicated that these banks have shown little or no interest and had deputed junior officials in earlier meetings," a senior banker told ET. 'FinMin Officials may Join Discussion' "Some of the finance ministry officials are also expected to join. The Russian banks probably want the mechanism to take off, and with exports slowing even the government possibly wants to push it," the banker said. RBI has told the banks that in commensurate with the importance of the agenda, senior officials should attend the meeting. On July 11, the central bank came out with a directive on international trade settlement in Indian rupees. While the RBI communique made no mention of Russia, it followed months of discussions to cobble together a trade payment arrangement with several Russian institutions barred from using the international messaging system provided by the Belgium-based Society for Worldwide Interbank Financial Telecommunication (SWIFT). SWIFT is widely used to facilitate and confirm cross-border payments. Russian banks outside the sanctions list can still settle trade payments in dollars. However, with many large Russian banks facing sanctions following invasion of Ukraine and amid fears that more may come under sanctions, an alternative payment mechanism had to be put in place. Relaxed Norms RBI, in its July 11, relaxed the vostro account norms allowing surplus funds lying in them to be invested in Indian treasury bills and government bonds. A vostro account is an account a foreign bank opens with an NSE -1.19 % in domestic currency i.e. rupees. "RBI has relaxed the vostro regulations as an enabling condition. But banks may be looking for certain comfort or handholding by the government and RBI. It's difficult for the regulator to give a direction on trade with Russia. Even the RBI circular on vostro makes no mention of Russia," said an industry source. New Challenge However, the reluctance of banks is understandable. "This is not a great business opportunity. Already banks have a lot of challenges and this could be an extra headache. Banks with large international exposure and business would be hesitant. Besides, there are private sector banks which are listed on US exchanges. It seems the ministry is asking the RBI which in turn is nudging banks. But I am not sure how many banks would come forward," said another person familiar with the matter. An RBI spokesperson did not respond to queries from ET In 2012, the Kolkata-headquartered NSE 0.82 % , which has very little international presence, was designated as the payment bank after the US imposed sterner sanctions to push Iran to accept controls on its nuclear programme. No such nodal bank, however, was identified by India after the US sanctions against Russian banks.
Source: Economic Times
Japan’s imports of clothing and accessories increased by 38 per cent year-on-year to 279,930 million yen in July 2022. The import was 2.7 per cent of the country’s total import of 10,189,162 million yen during the month under review, according to the provisional trade statistics released recently by the Far Eastern country’s ministry of finance. According to the latest data, the import of textile yarn and fabrics were valued at 110,172 million yen in July 2022, which was 33.9 per cent higher than the same month of last year. The import was 1.1 per cent of the total import of Japan. Japan’s export of textile yarn and fabrics was worth 68,392 million yen, with increase of 20.5 per cent year-on-year. The export was 0.8 per cent of total export of 8,755,226 million yen from Japan during July 2022. Japan exported textile machinery of 25,733 million yen, which was 28.1 per cent higher than July 2021. It contributed 0.3 per cent in total export.
Source: Fibre 2 Fashion
The European textile industry calls for action within a single strategy to prevent the energy crisis. The fact that natural gas and electricity prices have reached unprecedented levels in Europe with the war with Russia and Ukraine seriously affects the European textile industry, where energy is used intensively, especially in yarn, dyeing and finishing. European textiles and fashion, represented by EURATEX, call for a single European strategy to tackle the energy crisis. In this context, it is pointed out that in order to secure the future of the sector, the electricity price mechanism should be reviewed and an upper limit of €80/MWh should be imposed on gas prices across the EU. In addition, it is stated that private company aid should be provided to prevent bankruptcies and the relocation of textile production outside of Europe. Production may shift out of Europe and closures may occur if no action is taken Expressing that it is impossible to pass these cost increases to customers due to the severe global competition in the market that characterizes the European textile and clothing industry, EURATEX says that this has already led to capacity reductions and production stops. Closures and the shift of production outside Europe are being forecasted should the current situation persist, leading to further de-industrialization of the continent and increased dependency on external suppliers. Remarking that certain segments of the textile industry are particularly vulnerable and that man-made fibres (MMF), synthetic and cellulose-based fibres, industry for instance is an energy-intensive sector and a major consumer of natural gas in the manufacturing of its fibres, it is underlined that the disappearance of European fibre products would have immediate consequences for the textile industry and for society at large. It is stated that activities of textile dyeing and finishing are also relatively intensive in energy and these activities are essential in the textile value chain in order to give the textile products and garments added value through colour and special functionalities, such as medical applications. The steps to be taken in this context are explained as follows: Governments should ensure that critical industries, such as textiles and all its segments, are able to ensure gas and electricity contracts towards the end of the year at an affordable price. A stable and predictable energy supply is of the utmost importance. Gas restrictions and rationing must only be used as a last resort. No mandatory consumption cuts should be foreseen. National initiatives conflicting lead to the de facto fragmentation of the Single Market In addition to these discussed measures, EURATEX notes that they are currently observing a proliferation of contradictory, uncoordinated national initiatives to tackle the energy crisis, leading to the de facto fragmentation of the Single Market, resulting in a further strain on the fully integrated supply chain at a European level. EURATEX also underlines the importance of measures that ensure a level playing field in the EU. “A scenario where entire segments of the textiles industry will disappear can no longer be excluded” EURATEX President Alberto Paccanelli, considering the current situation, stated that a scenario where entire segments of the textiles industry will disappear can no longer be excluded. He said: “This would lead to the loss of thousands of companies and tens of thousands of European jobs and would further aggravate the dependency of Europe on foreign sources of essential goods.” Paccanelli underlined that this applies specifically to SMEs who need temporary support measures such as state aid, tax relief and energy price caps to survive the current crisis and prepare for the green transition in the longer run.
Source: Textile Gence
Pakistan may allow its industry to import from India as Pakistan’s textile exporters have demanded 2.5 million bales to meet the shortfall caused by the calamitous floods that have washed away about half the country’s total crop. Miftah Ismail, Pakistan’s Finance Minister, reportedly, hinted this. As per media reports from Pakistan, the proposal to allow the import of cotton from India was discussed during a meeting between Finance Minister Miftah Ismail and a delegation from the Pakistan Textile Exporters Association (PTEA). The Minister said that the country will allow the import of cotton to ensure its mills are able to fulfil their export orders. However, the import destination was yet to be decided. In Pakistan, the floods, having washed away all the standing cotton crops, deemed the Ministry of Finance’s initial projections of 11 million cotton bales being produced improbable. Revised estimates suggest that the production may remain around 5.5 million bales only. The textile exporters, however, are keen to import cotton – their basic raw material – from India via land to save time and logistics cost.
Source: Apparel Resources
The road logistics price index in China showed a 3 per cent increase in August 2022 from last year while the national economy stabilised recovery momentum and market demand recovered. The index stood at 103, which was a 0.16 per cent dip on a monthly basis, as per a survey jointly carried out by the China Federation of Logistics and Purchasing and the Guangdong Lin’an Logistics Group. The country’s sub-index for full truckload logistics prices, which assesses bulk commodity and regional transportation, showed a figure of 103.1 at the time — a jump of 2.6 per cent year-on-year. The growth of China’s road logistics price index is credited to macro policies that develop domestic demand, stabilise progress, and assist businesses in dealing with issues, according to Chinese media reports. The stability or growth of price index is dependent on the positive development of the market situation and business confidence. The nation’s road logistics price index is calculated using the average price in the last week of December 2012 along with the monthly index starting point at 100.
Source: Fibre 2 Fashion
