INTERNATIONAL
Textile Raw Material Price 2016-06-06
|
Item |
Price |
Unit |
Fluctuation |
Date |
|
PSF |
1001.61 |
USD/Ton |
0% |
6/6/2016 |
|
VSF |
2054.97 |
USD/Ton |
0% |
6/6/2016 |
|
ASF |
1917.97 |
USD/Ton |
0% |
6/6/2016 |
|
Polyester POY |
970.40 |
USD/Ton |
0.24% |
6/6/2016 |
|
Nylon FDY |
2222.41 |
USD/Ton |
0% |
6/6/2016 |
|
40D Spandex |
4338.27 |
USD/Ton |
0% |
6/6/2016 |
|
Nylon DTY |
5676.28 |
USD/Ton |
0% |
6/6/2016 |
|
Viscose Long Filament |
1232.98 |
USD/Ton |
0% |
6/6/2016 |
|
Polyester DTY |
2062.58 |
USD/Ton |
0% |
6/6/2016 |
|
Nylon POY |
2093.03 |
USD/Ton |
0% |
6/6/2016 |
|
Acrylic Top 3D |
1103.60 |
USD/Ton |
0% |
6/6/2016 |
|
Polyester FDY |
2450.74 |
USD/Ton |
0% |
6/6/2016 |
|
30S Spun Rayon Yarn |
2785.63 |
USD/Ton |
0% |
6/6/2016 |
|
32S Polyester Yarn |
1674.42 |
USD/Ton |
0% |
6/6/2016 |
|
45S T/C Yarn |
2435.52 |
USD/Ton |
0% |
6/6/2016 |
|
45S Polyester Yarn |
2922.62 |
USD/Ton |
0% |
6/6/2016 |
|
T/C Yarn 65/35 32S |
2222.41 |
USD/Ton |
0% |
6/6/2016 |
|
40S Rayon Yarn |
1811.42 |
USD/Ton |
0% |
6/6/2016 |
|
T/R Yarn 65/35 32S |
2131.08 |
USD/Ton |
0% |
6/6/2016 |
|
10S Denim Fabric |
1.35 |
USD/Meter |
0% |
6/6/2016 |
|
32S Twill Fabric |
0.81 |
USD/Meter |
0% |
6/6/2016 |
|
40S Combed Poplin |
1.16 |
USD/Meter |
0% |
6/6/2016 |
|
30S Rayon Fabric |
0.68 |
USD/Meter |
0% |
6/6/2016 |
|
45S T/C Fabric |
0.68 |
USD/Meter |
0% |
6/6/2016 |
Source: Global Textiles
Note: The above prices are Chinese Price (1 CNY = 0.15222 USD dtd. 06/06/2016)
The prices given above are as quoted from Global Textiles.com. SRTEPC is not responsible for the correctness of the same.
Textiles Minister Santosh Kumar Gangwar paid rich compliment to Mizoram while inaugurating an apparel and garment making centre in Aizwal, saying that it can potentially change the face of the textile sector in the North East region, according to an official statement. “Being an unconventional project and the first of its kind experiment in the region, the apprehensions are genuine. But I am confident that the fashion savvy state like Mizoram has all the potential to change the face of the textile sector in the region if they are supported with enabling policies and an environment conducive for the growth of the industry,” Gangwar said while dedicating the Apparel and Garment Making Centre to the people of Mizoram on Saturday. He said the centre is designed to provide new avenues to local entrepreneurs and create job opportunities in the North East, and hoped that the Apparel Centre would promote entrepreneurship in the garment industry in the state and open new avenues of employment for the local people. “The Centre has been set up to give an opportunity to local entrepreneurs to convert their ideas and designs into flourishing businesses. The Apparel and Garment Making centres are a reflection of the commitment of the Government to create new opportunities for the youth under Make in India scheme of the Government of India. The Centre will not only provide new avenues to the local entrepreneurs but also create additional employment opportunities for the local people,” he said.
Congratulating the young entrepreneurs who would be running the facility, the Minister assured all possible support to them in making the units commercially viable and self-sustainable, and in setting up the requisite ecosystem for apparel manufacturing in the region. He said that they may also dovetail with other schemes of Government of India, in order to avail financial assistance to start the business. Mizoram has been sanctioned six projects across sericulture, handlooms and apparel and garmenting with a total project cost of Rs. 114.82 cr, with the Central Government's share being Rs. 102.90 cr. To maximize the benefits under the projects it is important to achieve convergence across all the projects so that an ecosystem of integrated value chain with requisite backward and forward linkages is created, he said.
SOURCE: Fibre2fashion
The cotton exports during the current 2015-16 cotton season is estimated at around 60 lakh bales. The total cotton exports till May-end is estimated at 56 lakh bales and by end of season it would be to the order of 60 lakh bales, according to cotton market experts. At current prices, exports are not possible. Indian price are quite high when compared to international prices of 67 cents per pound and there is no scope of exports, sources informed. However, the imports are feasible. The import prices work out to be lower than prevailing domestic cotton prices. And , only those mills who can wait for over 30-45 days for delivery can enter into the cotton imports business, market sources pointed out. Meanwhile, in the domestic market the prices continued to rule high, sources informed and added that the total availability of cotton at May-end works out to 162.60 lakh bales.
Considering opening stock of 73.60 lakh bales (higher than CAB) and cotton arrivals of 314 lakh bales plus imports of 8 lakh bales till May-end, the total cotton availability works out at 395.60 lakh bales. Against the above availability, the cotton demand till May-end was 233 lakh bales which comprised of 153 lakh bales by mill industry followed by 17 lakh bales by SSI units and non-mill consumption of 7 bales plus exports of 56 lakh bales. Thus, leaving a balance of 162.60 lakh bales as on 31st May 2016. Of the 162.60 lakh bales, the Cotton Corporation of India (CCI) has a stock of 5 lakh bales while mill industry has a stock of 60 lakh bales and 15 lakh bales are with traders and exporters. Balance 82.60 lakh bales are with the cotton ginner/ farmers, sources informed.
Despite the availability of 162.20 lakh, the prices have moved upward because the largest cotton stocks holder (ginners/farmers) are not interested in selling cotton. Due to very hot season, there has been weight loss in cotton.Therefore, the ginners/ farmers are waiting for rains to arrive. After the arrival of monsoons, the cotton weight will once again increase due to moisture and water factor. And it is during this period that the ginners/farmers will unload their cotton so that they get higher prices for their cotton, sources explained.
SOURCE: The Tecoya Trend
The Export Promotion Council for Handicrafts (EPCH) has said that the government needs to take several steps like providing fiscal support for skills training and upgradation of machines with a view to boost labour intensive handicrafts sector. EPCH Vice-Chairman Rajesh Kumar Jain said a slowdown in traditional markets like the US and Europe coupled with a significant decline in cost advantage in the global markets are impacting the sector's exports. "We need urgent support from the government. Handicrafts exporters are facing huge crunch of skilled manpower and modern machinery. Compliance burden is hitting our margins and and to improve all this, we need funds. We will soon take up the matter with both the Textiles and the Commerce Ministry," Jain told PTI. He said lack of designers and fund crunch to organise trade fairs abroad too is impacting the exports. "In the US and the Europe, we are still facing huge problem in terms of demand. These were our major markets. We are now looking at South America, Africa and China. These regions have huge potential for exporters," he said. But he underlined that in order to tap these markets, the council need funds to organise exhibitions, fairs and buyer-seller meets. The US and Europe together account for about 60 per cent of the country's total handicraft exports. He also said exporters are facing product compliance issues in western markets. "We need government support to comply those compliances. Demand of western buyers are very expensive to meet," Jain said. India's handicraft exports grew by 11 per cent to $125.6 million in March "but these figures are very low and we need to boost this," he said. The main handicraft items exported by India include house-ware, home textiles, furniture, glassware, bamboo goods, fashion jewellery and lamp and lighting. He said earlier the country's annual handicraft exports were ranges between $3 billion to $4 billion but it has now come down.
SOURCE: Fibre2fashion
The Directorate of Revenue Intelligence may soon be authorised to probe exportimport frauds in Special Economic Zones. At a recent meeting of intelligence agencies, the DRI raised the issue of misuse of SEZ units to commit import and export frauds worth crores of rupees and suggested empowering a central agency to probe such offences. Various SEZ units are under the scanner of intelligence agencies for alleged misuse of incentives and grants for committing such fraud, official sources said. The Directorate General of Foreign Trade (DGFT) has received a “self-contained proposal” from Directorate General of Export Promotion regarding operationalisation of relevant provisions of the Special Economic Zones Act, 2015 dealing with notification of offences, enforcement authorities and modalities thereof, the sources said.
At a recent meeting of Economic Intelligence Council headed by Finance Minister Arun Jaitley, the DGFT has been asked to examine the proposal and “issue appropriate notifications to enable officers to investigate offences”, they said. Sources said it has been decided to authorise a central agency to probe offences in the Special Economic Zones, which are designated areas created for promotion of exports and to attract foreign investment, among others. The SEZs get special incentives and tax benefits including exemption from sales tax and service tax.
According to the latest Commerce Ministry data, there are 330 notified SEZs across the country. The export by these units in 2015-16 stood at Rs 3,41,685 crore. “There are reports that some people are misusing SEZs for committing import and export fraud. The agencies are facing problem in the absence of relevant provisions to check such activities,” a source said. He said the government is considering authorising officers of the DRI, the lead agency under the Finance Ministry to check customs duty fraud, to take action in cases of misuse of SEZ units to commit fraud.
SOURCE: The Tecoya Trend
The economic growth is expected to accelerate to about 8.1 per cent in the current financial year on the back of better monsoon prospects and growth in consumption demand, a report said. The expected growth rate for the current fiscal is a shade higher than the bank’s earlier projection of 7.8 per cent GDP growth in 2016-17, the report by Yes Bank said. “India’s GDP is set to cross 8.1 per cent growth rate in 2016-17 on the back of visible pickup in consumption demand like cement, oil, electricity along with stronger than anticipated fourth quarter 2015-16 corporate earnings. “A quicker economic turnaround is thus getting supported by growth drivers getting broad based,” the report said. A surplus monsoon out-turn, assuming a favourable spatial and intertemporal distribution, is likely to support agriculture output and rural demand to a greater extent, it said.
Impetus to consumption demand on anticipated revision in wages for government employees and visible return in investment appetite by end of the year are other factors that will thrust growth, it added. India’s economy grew at 7.9 per cent in the fourth quarter of last fiscal 2015-16 taking the growth rate for the entire fiscal to a five-year high of 7.6 per cent. The growth rate was mainly on account of good performance of manufacturing sector although farm sector grew at a much slower pace. The Finance Ministry has expressed hope that the economy could grow at a rate of up to 8 per cent in the current financial year on better monsoon forecast.
SOURCE: The Financial Express
Extending gains against the dollar for the third day, the rupee on Monday firmed up by 28 paise to close at a three-week high of 66.98 on sustained selling of dollars by exporters on the back of strong foreign capital inflows. The rupee opened at 66.95 against last Friday's closing level of 67.26 a dollar at the Interbank Foreign Exchange market in Mumbai and rose to 66.85 before ending at 66.98, showing a gain of 28 paise or 0.42 per cent. The rupee had last ended at 66.98 on May 18. The rupee has gained 48 paise or 0.72 per cent in three trading days. It hovered in a range of 66.85 and 67.05 a dollar during the day. Heavy capital inflows mainly boosted the rupee value against the dollar, a forex dealer said. Foreign portfolio investors (FPIs) and foreign institutional investors (FIIs) bought shares worth a net Rs 1,585.01 crore last Friday, as per provisional data released by the stock exchanges. Meanwhile, the dollar index was up 0.13% against the basket of six global currencies. Meanwhile, the RBI fixed the reference rate for the dollar at 66.9614 and euro at 75.9409. In cross-currency trades, the rupee continued to rule firm against the pound sterling and closed at 96.54, compared to 96.98 on last Friday while fell against the euro to end at 75.99 from 74.94 earlier. It weakened further against the yen to settle at 62.50 per 100 yens from 61.78 yesterday.
SOURCE: The Business Standard
Ahead of the visit of Prime Minister Narendra Modi to Africa, the government is trying to step up its Africa outreach by involving the States in a major boost to its ties with Africa. Though the promotion of States in foreign affairs had begun with the opening of the Centre-States division in the Ministry of External Affairs two years ago, countries like Mali and Tunisia have added to Africa’s ties with India’s States by coming up with plans for engaging the States.
Business opportunities
Sources told The Hindu that key ambassadors to African countries and MEA officials made visits to State capitals including Chennai to seek business opportunities and build better people-to-people contacts. “Mali is one of the top cotton producers of the world and so is India. We have focussed on Tamil Nadu which is one of the most important centres of textile industry in India for this and Mali will send a delegation to India in July to firm up ties in the textile sector,” Malian Ambassador Niankoro Yeah Samake told The Hindu. Mr. Samake said that after Tamil Nadu, Mali would also focus on Goa’s tourism sector and use its best practices to contribute to Mali’s famed tourist hotspot of Timbuktu. Though South Africa was the first from Africa to begin State-centric approach by forging ties with Madhya Pradesh and Maharashtra, Mr. Samake says time has come for other African states also to look beyond the big cities of India. “From education, to IT, to tourism, we can work together in a vast number of areas,” he said. Like Mali, Sudan too made an impact this year by sending its Defence Minister Ahmad Awaf Ibn Auf for Defexpo 2016 in Goa where the Minister held official meetings and highlighted Sudan’s preference for doing business away from Delhi. “We have been focussed on Gujarat, Maharashtra and the western India in general,” said a Sudanese diplomat.
Professor Ajay Dubey of JNU’s Centre for African Studies says that though the government has been successful in popularising Indian States in countries like China, Russia and in Europe, African countries have just recently begun to show greater interest to engage the Indian States. “There is greater pressure from Africa’s booming economies to invest in favourable States in India and that apart, the Indian diaspora in Africa is persuading African leaders to look toward Indian States,” Prof. Dubey said. The State-focus was visible also during the latest visit of Vice-President Hamid Ansari to Tunisia and Morocco which have emerged as crucial sources for phosphate for India. “Phosphate is the main item that Tunisia is selling to India and phosphate trade has drawn Tunisia towards Gujarat due to the State’s history of being business-friendly and the Gujarat State Fertilizer and Chemicals Ltd which is a major partner of Tunisia,” said a Tunisian source. Tunisia has forged strong relations with both Gujarat and southern India and India-Tunisia ties will focus on its existing State ties in the years ahead.
Students’ well-being
Diplomats pointed out that another reason for exploring the States of India is due to the fact that almost 30,000 African students study in educational hotspots of Maharashtra, Punjab, and smaller towns of Karnataka and it is by maintaining working relations with the States so that the African students can be well looked after.
SOURCE: The Hindu
The international crude oil price of Indian Basket as computed/published today by Petroleum Planning and Analysis Cell (PPAC) under the Ministry of Petroleum and Natural Gas was US$ 46.89 per barrel (bbl) on 03.06.2016. This was higher than the price of US$ 46.83 per bbl on previous publishing day of 02.06.2016.
In rupee terms, the price of Indian Basket increased to Rs. 3153.15 per bbl on 03.06.2016 as compared to Rs. 3149.48 per bbl on 02.06.2016. Rupee closed stronger at Rs 67.24 per US$ on 03.06.2016 as against Rs 67.25 per US$ on 02.06.2016. The table below gives details in this regard:
|
Particulars |
Unit |
Price on June 1, 2016 (Previous trading day i.e. 31.05.2016) |
Pricing Fortnight for 16.06.2016 |
|
Crude Oil (Indian Basket) |
($/bbl) |
46.89 (46.83) |
46.76 |
|
(Rs/bbl |
3153.15 (3149.48) |
3146.01 |
|
|
Exchange Rate |
(Rs/$) |
67.24 (67.25) |
67.28 |
SOURCE: PIB
Manufacturing strength of textile industry in the Far East including China, Vietnam, Malaysia, Indonesia, Korea and Japan, will be the focus of World Textile Conference-2 (WTC-2), to be organised by The Textile Association (India) from September 16-17, 2016, in Mumbai. The two-day conference with the theme 'World Textile – Growth & Great Opporutnities' is being organised by The Textile Association (India) after the grand success of World Textile Conference 2011 and very successful first-ever overseas 1st Global Textile Congress recently concluded in Bangkok, Thailand. As a conference to address various issues pertaining to the global textile industry, WTC-2 will see eminent speakers from various countries discuss variety of subjects. In addition to the speakers invited for the 1st Global Textile Congress, efforts are being made to invite speakers from Pakistan, Sri Lanka, US, Australia, South Africa and Bangladesh, the organisers said. Various associations from Taiwan, China, Myanmar, Korea, Vietnam, Cambodia, Bangladesh and Pakistan have agreed to participate in the conference, which is being supported by the Government of Gujarat as partner state. Representatives of these associations will participate in panel discussions as well as a roundtable meet along with Indian representatives to exchange and share global facts of textile industry. Topics like the Trans-Pacific Partnership (TPP) and the Regional Comprehensive Economic Partnership (RCEP) will be among those to be discussed by experts. Representatives from garment industry, the US retail industry, as well as e-commerce giants from India and abroad will also participate in the conference. WTC-2 will provide an opportunity to the global participants to get an insight about the international textile scenario of various countries, which in turn will highly benefit textile industry across the world. Most of the participants will also have an opportunity to meet buyers and sellers from various parts of the world. About 700 delegates from India and abroad are expected to participate in the conference.
SOURCE: Fibre2fashion
According to the Chinese government’s schedule, the auction of state cotton reserves began on May 3, 2016. The auction results in first week showed a very active participation of spinners with a purchase rate of 99.9 percent. This purchase rate is much higher than the low 3.4 percent purchase rate for all of 2015. Out of the 121,165 MT offered, 120,350 MT were purchased by spinners. Of the total volume purchased, 27,671 MT were domestic cotton and 92,679 MT were imported cotton. The imported cotton offered in the auctions was fully purchased while the domestic crop was 97.2 percent purchased. Industry sources reported that imported U.S. and Australian cotton were the most popular during the auctions and were also purchased at a higher price. In general, the high purchase rate indicates a shortage of cotton, specifically high-grade imported cotton, in the Chinese market. Additionally, all cotton is subjected to re-classification and re-weighing which assures the buyers of the quality and weight of what purchased.
Moreover, there are generally no restrictions for participating in these auctions encouraging more buyers to participate. It also shows that the auction floor price offered this year appears to be “acceptable” to buyers compared to last year. It is widely believed that the high rate of purchase is likely to continue at least during the first weeks as Chinese mills are short of cotton. Spinning mills are the main buyers. However, some traders were also involved in auctions mainly to source imported cotton as some of them see a recovery in global cotton prices.
Currently, it appears the cotton purchased will be fully used by domestic mills. This high purchase rate is expected to further temper demand for cotton imports. The government’s control on the issuance of additional import quotas for cotton is already expected to reduce MY15/16 China’s cotton imports to 1.1 MMT, the lowest level in 13 years. This year’s high purchase rate is in great contrast to the 3.4 percent purchase rate during previous auctions held during 2015 (which ended in late Aug 2015). Out of the total 1.85 MMT cotton reserves offered in the 2015 open auctions, the purchased quantity remained low at only 63,413 MT. The high 2015 auction price was reportedly the main reason for the low purchase rate. In comparison, with 120,350 MT already sold during the first week of the 2016 open auction, the Chinese government has almost doubled the total volume sold during 2015.
Based on the government’s plan, the daily offered volume will be about 30,000 MT. If the purchase rate remains above 70 percent for 3 consecutive days, then this daily volume can be raised accordingly. Hence, it is likely that the daily volume will be raised in next auctions. The auction is scheduled to continue until the end of August 2016. The Chinese government plans to reduce the government cotton reserves (estimated at 11-11.2 MMT at the end of March 2016) to a “reasonable level” in five years.
SOURCE: The Tecoya Trend
Ambassador of Pakistan to France Moinul Haque talking to the exporters at Sialkot Chamber of Commerce and Industry (SCCI), stressed a need for making efforts to boost the mutual trade ties between Pakistan and France for which, he has extended full cooperation to Sialkot exporters and pledged to utilize all the available resources for enhancing exports to France. He said that the time was ripe to strengthen these trade relations and also asked the Sialkot exporters to participate in all the international trade fairs and exhibitions being held soon in France. On this occasion, the Sialkot exporters revealed that Sialkot-made sports goods, textiles items, sportswear, martial arts uniforms & accessories, military uniform badges etc. could find a good market in France. Sialkot exporters added that in textile sportswear and leather products, they compete with other countries, in quality and style. They further added that there is lack of communication and proper marketing. The Sialkot exporters have a great potential to explore and capture the international trade markets of France by exporting their world class traditional and non-traditional products.
SOURCE: Yarns&Fibers
It showed, for instance, that the A to Z and Sunflag Textile Mills had sent home more than 2,500 workers, early sign that the two mass employment industrial units would not survive the onslaught brought about by cheap imports. The Vice-President of the Textile and Garmet Manufacturers Association of Tanzania (TAGAMAT), Mr Sylvester Kazi, said consignment of the Insecticides Treated Nets labelled as produced by HM are flooding the local market, especially in Dar es Salaam and other major urban areas. A-to-Z Textiles Chief Executive Officer Anuj Shah said of late sales of bednets have plummeted such that his company was forced to lay-off 2,000 workers. Through a joint venture with Japan’s Sumimoto Chemicals, it produces the famed Olyset branded Long Lasting Insecticide Treated Nets (LLIN), which have been approved by the World Health Organisation (WHO) and the Global Fund for Malaria. The other firm, Sun-Flag (T) Limited was forced to cut down on its workers by 10 per cent after dropping 300 workers out of its 3,000 employees. Its Executive Director, Ajay Shah, said the plant has a stock of 90,000 unsold bed nets valued at 600m/- and they have no idea how to recover production cost if they would be unable to sell the products. We are of the opinion that allowing cheap imported products, which could be produced locally; is tantamount to killing our own local industries which contradict our vision of creating a semi-industrialised economy by 2025. It has also been reported that no local regulatory body, including the Tropical Pesticides Research Institute (TPRI), has tested and approved the use of chemicals used on the nets. Hence the nets in question contain no seal of approval from either TPRI or Tanzania Bureau of Standards, meaning Tanzanians use the nets at their own risk. We hope the relevant authorities would take note of these issues and act to protect our local textile mills, and ensure Tanzanians are not at risk due to the use of unapproved chemicals.
SOURCE: The Daily news
The Liberian government has announced that it will set up the country's first modern textile centre in Kolahun, Lofa County valued at $231,000. The project is expected to be completed in nine months. The project, called Lofa Weaving Centre promotes the Ministry's inclusive growth agenda and support the advancement of local production by fostering SME participation in cotton industries in Liberia, the Daily Observer newspaper has reported. Ellen Pratt, Deputy Minister for Commerce and Industry and head of the industry department, who disclosed the plans for the weaving centre said, “We are very excited to be at this juncture with a project that will have a positive impact on the Liberian textile sector.” She said this is the first flagship project under the Liberian Innovative Fund for Empowerment (LIFE), which is designed to promote the industry. “This centre, which is a 3,000 square facility, will also include a weaving component, a tailoring shop, and various centres for the display of products, storage for products,” the Minister said. She further said the ministry is starting with Kolahun District, which is the seat of the weavers, with a plan to reach other counties across the country. “This site is located at the intersection of three villages near Kolahun where most of the weavers are congregated and it's on a 25 acre land. The project is on one acre of land while the additional 24 acres will be used for cotton farming. Hundreds of citizens are expected to benefit from the initiative when completed,” Minister Pratt said. Minister of Commerce and Industry Axel M. Addy praised the people of Lofa for their dedicated service. He said the development of the facility is a demonstration to promoting the expansion of Liberia's signature textile, the “Lofa cloth” and will stimulate the development of the sector and contribute to meeting the growing demand of the Lofa cloth. Manu Kamara, acting Deputy Minister for Small Business Administration (SBA), said the department will provide oversight of the programme, including training the weavers, especially the women, which will add value to their products.
SOURCE: Fibre2fashion
Chen Namchaisiri, chairman of Federation of Thai industries, had received a request from Thai textiles association to urge the authorities of both the countries to hold negotiation on textile trade. In this context, Federation of Bangladesh Chambers of Commerce and Industry (FBCCI) President Matlub Ahmed led the Bangladeshi delegation in the talk, while top officials of three Thai chambers – Federation of Thai Industries, Thai Chamber of Commerce and Joint Foreign Chamber of Commerce of Thailand – attended the meeting held on the sideline on the second day of the three-day Bangladesh Trade and Investment Expo in Bangkok, Thailand. Saida Muna Tasneem, Bangladesh ambassador to Thailand said that Bangladeshi businessmen agreed to help Thai exporters to get zero duty for their textile products, while Thai traders agreed to help their Bangladeshi counterparts to get the same facility for ready-made garment (RMG) products. She had a talk with the Thai authorities and they assured that they would consider the tariff rate reduction for the RMG products next year. The ambassador added that the delegations also agreed to pursue direct coastal shipping link between the two countries and Bimstec visa arrangement for businessmen.Bangladesh and Thailand are both members of the seven-member Bay of Bengal Initiative for Multi-Sectoral Technical and Economic Cooperation (Bimstec). She said that State Minister for Energy Nasrul Hamid had a fruitful meeting with a number of Thai energy companies.Post and Telecommunications State Minister Tarana Halim also had meeting with four or five Thai telecom companies to invest in Bangladesh.
Meanhwile, several top Bangladeshi entrepreneurs made presentations to showcase the potential of lucrative business in Bangladesh on the second day of the expo.The speakers highlighted the business environment in Bangladesh and urged the Thai businessmen and investors to engage with the country. Mohammadi Group Managing Director Rubana Huq, in her presentation, gave a vivid picture of the RMG sector of Bangladesh. She said at the presentation that they want to trade with Thailand.
SOURCE: Yarns&Fibers
Myanmar was excluded from global sourcing networks for nearly a decade because of economic sanctions imposed by a number of countries. However, most of these sanctions have now been removed and foreign direct investment (FDI) in the garment industry has grown at an impressive rate. As a result, forecasters have predicted that the country could more than quadruple the size of its economy between 2010 and 2030 and that the value of Myanmar’s garment exports and the number of jobs in the garment industry will surge. The above are findings on ‘Myanmar: re-emergence as a global clothing exporter is a new 32-page research report’, published recently by UK-based Textiles Intelligence. In order to plan for such expansion, the Myanmar government has published a textile and garment industry sector strategy which includes plans to increase production volume, to improve quality and to develop design expertise. This independently researched report looks at the development of the textile and clothing industry in Myanmar, its size and structure, and production of fibres, textiles and clothing.
Furthermore, the report includes an analysis of how Myanmar’s infrastructure, employment, labour costs, education and training affect the textile and clothing industry.
SOURCE: The Tecoya Trend
South Korean spandex-manufacturer TK Chemical Corp, an affiliate of the SM Group conglomerate, has confirmed to just-style that it will build a 10,000-tonne-a-year spandex plant with an initial investment of KRW80bn (US$69m) in Iran. The announcement was the first major fixed assets investment pledge by a South Korean textile company following an ice-breaking state visit to Iranian capital Tehran by South Korean President Park Geun-hye at the beginning of May. TK Chemical, which has been exporting spandex to Iran since 2001, now sees bigger opportunities in the country, after the US, the European Union (EU) and others lifted the yearslong economic sanctions against Iran earlier this year. "We will partner with local companies to set up a joint venture in Iran to proceed with the project. The products manufactured in Iran will be sold locally and in other Middle Eastern countries," said SB Kim, general manager with TK Chemical's export department. The Iranian government has welcomed South Korean investment as a means to upgrade the country's own manufacturing capabilities. During the Iran - Korean Expo 2016, a pioneering exhibition held by the Korea Trade-Investment Promotion Agency (KOTRA) in Tehran from 23-26 May, Iran's vice president Sorena Sattari clearly expressed his expectations for the transfer of technology between the two countries. "Iran is the second-largest country in the Middle East with a highly educated population of 81m," Sattari said. "With Korea's technology transfers and investments, the two countries will enjoy a win-win situation in the global market," he added. The annual capacity of TK Chemical's spandex plant will be expanded to 30,000 tonnes in the long term, according to Kim. South Korean textile investment would compete with companies from Turkey, whose textile and garment exporters have held a dominant position in Iran in recent years.
SOURCE: Just Style
At Pakistan cotton market on Saturday prices showed modest recovery with mills continuing to buy following the incentives to the textile sector, announced in the budget 2016-17, dealers said. In ready session, around 1000 bales of cotton changed hands between Rs 5400-5600. The official spot rate recovered by Rs 50 to Rs 5,600, dealers said. While, in Sindh, seed-cotton prices were at Rs 3000-3100, per 40 kg. Cotton analyst, Naseem Usman said that local mills, spinners and growers welcomed the announcements and the hoping exports of textile sector will show visible improvement in times to come. According to reports, the revival of zero-rating regime for the textile and clothing exports appears to have buoyed the country's largest industry. There are anticipations that concessions will help the industry competitive in the world market, other experts said. The following deals were reported to have changed hands as per dealers: 200 bales of cotton from Ghotki at Rs 5800, 400 bales from Bahawalpur at Rs 4850, 200 bales from Jalalpur at Rs 5700, 1400 bales from Khanpur at Rs 5800, 500 bales from Rahim Yar Khan at Rs 5800, 400 bales from Sadiqabad at Rs 5800 and 400 bales from Rajanpur at Rs 5800.
SOURCE: Yarns&Fibers
Pakistan's Federal Bureau of Revenue (FBR) has raised customs duty from the existing 15 to 16 per cent on the import of 508 items. These include purified terephthalic acid (PTA)—a raw material for polyester—and fabrics of noil silk, and dyes. Items now subjected to 16 per cent duty include woven fabrics of other vegetable textile fibres, woven fabrics of paper yarn, and other fabrics containing 85 per cent or more by weight of silk or of silk waste other than noil silk and Meranti Bakau and preforms made from polyethylene terephthalate (PET). The FBR will collect 16 percent duty on the import of woven fabrics obtained from high tenacity yarn of nylon or other polyamides or of polyesters, woven fabrics obtained from strip and the like, fabrics specified in Note 9 to Section XI, unbleached or bleached, dyed of yarns of different colours, printed, unbleached or bleached, dyed, of yarns of different colours, printed, containing 85 per cent or more by weight of nontextured polyester filaments, woven fabrics obtained from high tenacity yarn of viscose rayon, unbleached or bleached, dyed, of yarns of different colours. In addition, under the amended Pakistan Customs Tariff (PCT) issued through Finance Bill 2016, import duty has also been raised from 10 to 11 percent on import of another 900 items.
SOURCE: Fibre2fashion
The ten-nation Asean region has become an important market for China's knitting industry, the China Knitting Industrial Association (CKIA) has said. In 2015, the export of knitted fabric to the Asean region amounted to nearly $4.84 billion, up 84.69 per cent over 2011, growing annually at average rate of 16.58 per cent, and accounting for 33.08 per cent of the total export of knitted fabric from China, Lin Guangxing, vice chairman of CKIA, said while presenting a review of achievements of the knitting industry during the 12th Five-year Plan period (2011-2015), at the 6th Board meeting of CKIA. Last year, China's export of knitted garments to Asean nations were valued at $5.197 billion, up 35.98 per cent over 2011, with annual average growth rate of 7.99 per cent, accounting for 7.3 per cent of China's total export of knitted garments, Guangxing said citing data from the General Administration of Customs. China's knitting industry exports stood at $109.69 billion in 2013, and $106.14 billion in 2014, accounting for more than one-third of China's textile and garment exports during those years. In 2015, exports were around $98.44 billion, showing 8.33 per cent growth over 2011; while knitted garments export achieved 3.14 per cent growth, knitted fabric export grew at 36.74 per cent.
Destination-wise, Europe, the US and Japan remained the top three markets for Chinese knitted goods exports in 2011-15 with respective share of 17.36 per cent, 11.88 per cent and 9.53 percent. During the five-year period from 2011 to 2015, Chinese knitting industry developed steadily, backed by globalisation and technological progress. In 2015, there were 5,739 knitting enterprises with annual revenue of more than 20 million yuan. The operating revenue of these enterprises was around 717.26 billion yuan, registering a growth of 24.42 per cent over 2011, growing annually at compound rate of 5.61 per cent, as per data from the National Bureau of Statistics. The total profit of these enterprises was up 38.25 per cent over 2011, growing at a slower pace compared to the previous five-year period. China's domestic market also played an important role in the development of the knitting industry during the five-year period, with 72.62 per cent production of large-scale enterprises sold in domestic market in 2015, compared to 64.48 per cent in 2011.
SOURCE: Fibre2fashion
Garment accessories manufactures on Monday demanded that the government should reduce the tax at source for exports to 0.60 per cent from the 1.50 per cent proposed in the budget for the financial year 2016-2017. They also demanded cut in corporate tax to 10 per cent from 20 per cent proposed in the budget. Leaders of Bangladesh Garments Accessories and Packaging Manufacturers and Exporters Association in a press conference at a city hotel also demanded cash incentives against the export of garment accessories. BGAPMEA president Md Abdul Kader Khan said that the sector was trying to ‘survive’ because of global economic slowdown and a 150 per cent hike in tax at source would cut its competitive edge discouraging new investment and employment generation. ‘The accessories and packaging sector are closely working with the RMG sector as backward linkage and the export earnings from the sector amounted $5.6 billion in the financial year 2014-15. If the government provides necessary policy support the export would rise to $12 billion by 2018,’ Kader said. He said that the government provided cash incentive facilities to many other small and medium industries but the garment accessories and packaging sector remained out of the facilities though the sector was comprising of small and medium industries and contributing a lot to the overall export earnings. He also demanded authorisation for issuing utilisation permission to the association members and especial grant for establishing garment accessories and packaging institute for the backward linkage industry. The BGAPMEA leaders hailed the government proposal of duty free import of fire safety equipment and prefabricated building materials for all export oriented sector as it would help them to make the sectors compliant and safer.
SOURCE: The Global Textiles
Crude oil advanced to a seven-month high in London on signs the global glut is contracting more quickly than projected. Brent oil rose as much as 2.4 per cent to $50.83 a barrel, the highest intra-day level since November 4, amid signs the market is rebalancing. Eni SpA said 65,000 barrels a day of crude output was halted Friday after an militant attack in Nigeria. Investors are purchasing commodities on speculation the Federal Reserve will hold off from raising interest rates this month, which will weaken the dollar and bolster interest in raw materials priced in the currency. "We're still dealing with follow through from the jobs report Friday," said Bob Yawger, director of the futures division at Mizuho Securities USA in New York. "The dollar isn't doing much today but we still don't think it's reached its bottom. Eni's problems in Nigeria are adding to the upward pressure."
Oil has surged more than 80 per cent from a 12-year low early this year on a combination of unexpected supply disruptions and a persistent decline in US output, which is under pressure from the Organization of Petroleum Exporting Countries' policy of producing without limits. Opec balked at adopting a new output ceiling last week. Outgoing Secretary-General Abdalla El-Badri said that it's difficult to find a target as Iranian supply rises and significant Libyan volumes are halted.
Market recovery
Brent for August settlement increased 91 cents, or 1.8 per cent, to $50.55 a barrel on the London-based ICE Futures Europe exchange, at 11:49 am in New York. The global benchmark crude was at a 35-cent premium to West Texas Intermediate oil for August delivery. WTI for July delivery climbed $1.09, or 2.2 per cent, to $49.71 a barrel on the New York Mercantile Exchange. Total volume traded was 30 per cent below the 100-day average. Commodities rose and the dollar sank Friday after data showed that the US economy created the fewest jobs last month in almost six years. The Bloomberg Dollar Index, which tracks the currency against major peers, was little changed after tumbling 1.5 per cent on June 3, the most in four months. The Bloomberg Commodity Index, a gauge of 22 raw materials, increased as much as 1.5 per cent to the highest level since October 23.
Niger delta
A militant group known as Niger Delta Avengers has claimed attacks on facilities belonging to companies including Chevron Corp., Royal Dutch Shell Plc and Agip Oil Co., causing Nigeria's output to drop to an almost 30-year low of about 1.4 million barrels per day. "Opec didn't do anything last week because they are basically happy with how prices have recovered," said Michael Lynch, president of Strategic Energy & Economic Research in Winchester, Massachusetts. "We have additional headlines from Nigeria. A lot of high-quality crude has been lost and there's no sign it will come back anytime soon." The global surplus is down to 1.2 million to 1.5 million barrels a day and has dwindled faster than expected, Ali Majed Al Mansoori, chairman of the Abu Dhabi Department of Economic Development, said in a Bloomberg Television interview. The market recovery is on track and a price range of $55 to $60 is possible this year, Mansoori said. Abu Dhabi controls most of the oil reserves in the United Arab Emirates, OPEC's fourth-largest producer.
Gasoline Market
Gasoline futures dropped amid speculation that demand for the fuel won't meet expectations, according to Yawger. The gasoline crack spread, a rough measure of the profit from processing a barrel of oil into gasoline, was down as much as 8.1 per cent to the lowest intraday level since May 10. "The gasoline market is the most interesting one today," Yawger said. "Demand hasn't materialised. The crack spread is shrinking while contango is expanding." July gasoline futures fell 0.5 per cent to $1.60 a gallon. The market is in contango, when prices for delivery today are lower than those in future months, which may signal weak near-term demand or rising supply.
Oil-market news
Speculators cut their total long and short positions on WTI crude to the lowest since January 2015 before the June 2 Opec meeting, according to Commodity Futures Trading Commission. Saudi Arabia raised pricing on most oil grades for sale to Asia and the US in July after the nation's energy minister said demand was robust. US drilling increased from the lowest level in more than six years, according to data from Baker Hughes Inc. on Friday.
SOURCE: The Business Standard
