INTERNATIONAL
Textile Raw Material Price 2016-06-29
|
Item |
Price |
Unit |
Fluctuation |
Date |
|
PSF |
992.51 |
USD/Ton |
0% |
6/29/2016 |
|
VSF |
2027.12 |
USD/Ton |
0% |
6/29/2016 |
|
ASF |
1894.79 |
USD/Ton |
0% |
6/29/2016 |
|
Polyester POY |
994.76 |
USD/Ton |
0.84% |
6/29/2016 |
|
Nylon FDY |
2180.51 |
USD/Ton |
0% |
6/29/2016 |
|
40D Spandex |
4285.83 |
USD/Ton |
0% |
6/29/2016 |
|
Nylon DTY |
5607.67 |
USD/Ton |
0% |
6/29/2016 |
|
Viscose Long Filament |
1218.08 |
USD/Ton |
0% |
6/29/2016 |
|
Polyester DTY |
2037.65 |
USD/Ton |
0% |
6/29/2016 |
|
Nylon POY |
2067.73 |
USD/Ton |
0% |
6/29/2016 |
|
Acrylic Top 3D |
1127.85 |
USD/Ton |
0.94% |
6/29/2016 |
|
Polyester FDY |
2406.08 |
USD/Ton |
0% |
6/29/2016 |
|
10S OE Cotton Yarn |
1715.08 |
USD/Ton |
0% |
6/29/2016 |
|
32S Cotton Carded Yarn |
2968.50 |
USD/Ton |
0.05% |
6/29/2016 |
|
40S Cotton Combed Yarn |
3482.80 |
USD/Ton |
0% |
6/29/2016 |
|
30S Spun Rayon Yarn |
2706.84 |
USD/Ton |
0% |
6/29/2016 |
|
32S Polyester Yarn |
1654.18 |
USD/Ton |
0% |
6/29/2016 |
|
45S T/C Yarn |
2413.60 |
USD/Ton |
0% |
6/29/2016 |
|
45S Polyester Yarn |
2857.22 |
USD/Ton |
0% |
6/29/2016 |
|
T/C Yarn 65/35 32S |
2180.51 |
USD/Ton |
0% |
6/29/2016 |
|
40S Rayon Yarn |
1789.52 |
USD/Ton |
0% |
6/29/2016 |
|
T/R Yarn 65/35 32S |
2105.32 |
USD/Ton |
0% |
6/29/2016 |
|
10S Denim Fabric |
1.33 |
USD/Meter |
0% |
6/29/2016 |
|
32S Twill Fabric |
0.81 |
USD/Meter |
0% |
6/29/2016 |
|
40S Combed Poplin |
1.14 |
USD/Meter |
0% |
6/29/2016 |
|
30S Rayon Fabric |
0.67 |
USD/Meter |
0% |
6/29/2016 |
|
45S T/C Fabric |
0.67 |
USD/Meter |
0% |
6/29/2016 |
Source: Global Textiles
Note: The above prices are Chinese Price (1 CNY = 0.15038 USD dtd. 30/06/2016)
The prices given above are as quoted from Global Textiles.com. SRTEPC is not responsible for the correctness of the same.
Thankfully, the government has woken up to the ground reality which did not match up to a heady rate of 7.6% growth in GDP, in terms of job creation with the result that a common man would tend to agree with those raising doubts over the data that catapulted India as the fastest growing economy of the world. High decibel flagship programmes like Make in India fancied industries like automobile, defence and telecom which have also not shown tangible results yet in the backdrop of risk aversion in an environment where corporates in most parts of the world are not able to fully utilise their existing manufacturing capacity. High level of corporate debts and vulnerability of the banking institutions have added to the woes of the industry, impacting its ability to create new employment. Though realisation came a bit late, the government has finally done its part in attempting to revive the country’s textile industry which is considered to be the largest employment creator after agriculture.
The Rs 6,000 crore package cleared by the Cabinet for the textile and apparel sector is likely to lead to additional 10 million jobs, attracting investment of Rs 74,000 crore and a sharp jump of $30 billion in exports in the next three years. The package includes tax incentives, is linked to head-counts in factories as also increased government contribution towards the employers’ share in the Employees Provident Fund (EPF). A welcome impact of the package would be that a majority of new jobs are likely to go to women since the garment industry employs nearly 70% women workforce. Thus, the package would help in social transformation through women empowerment. But the distinguishing feature of the package is the wide-ranging flexibility in labour laws making EPF optional for employees drawing less than Rs 15,000 a month and fixing a higher ceiling in overtime. Other positive features include allowing the industry to hire people on contract.
Though the targets set out in the official document look ambitious in the given set of global business environment, the policy should reverse some of the setbacks suffered by the textiles industry that has lost its prime position in the export market, ceding ground to smaller countries like Vietnam and Bangladesh which followed policies making their industries globally competitive. On the contrary, the Indian industry could not take advantage of the quota –free textile regime in the world trade as it lost competitiveness thanks to rigid labour laws and back-breaking judicial pronouncements relating to pollution and environment laws. Immense damage was suffered by leading textile clusters like Tirupur resulting in closure of units and loss of employment. The industry with a three time more job potential than steel or automobile had not been treated well. At last it is back on the government radar.
SOURCE: The Deccan Herald
Accounting for 6.9 per cent, the textile sector is the third most contributor to the stressed loans, according to the bi-annual Financial Stability Report released by the Reserve Bank of India (RBI). The RBI report highlights the performance of banks and provides insights on the extent to which Indian banking sector is resilient to the stress in the system. “Annual slippages of major sectors/sub-sectors in December 2015 show that the textiles industry had the highest number of standard accounts slipping into the NPA category at 8.8 per cent,” the report mentions. In terms of outstanding amounts, textiles saw 6.4 per cent slippage, the second highest after the iron and steel industry which saw 7.8 per cent slippage. Among other things, the report said that risks to India's banking sector have increased since the publication of the last Financial Stability Report (FSR) in December 2015, mainly on account of a further deterioration in asset quality and low profitability. While the credit and deposit growth of scheduled commercial banks (SCBs) slowed significantly during 2015-16, their overall capital to risk-weighted assets ratio (CRAR) level increased between September 2015 and March 2016. The riskweighted assets (RWA) density declined during this period. The gross non-performing advances (GNPAs) rose sharply to 7.6 per cent of gross advances in March 2016 from 5.1 per cent in September 2015, largely reflecting re-classification of restructured advances to NPAs following an asset quality review (AQR). Consequently, the overall stressed advances rose only marginally to 11.5 per cent from 11.3 per cent during the period, due to a reduction in restructured standard advances ratio from 6.2 per cent in September 2015 to 3.9 per cent in March 2016, the RBI report said.
SOURCE: Fibre2fashion
The Textiles Ministry today said it has set a target of extending MUDRA loans to five lakh handloom weavers in the next three years. Textiles Secretary Rashmi Verma said the government is paying special attention to skill upgradation of weavers, loom upgradation, ensuring availability of good quality raw material, providing better access to credit and branding of good quality handloom products. "Availability of working capital is a critical component in enhancing earnings of weavers," an official statement quoting Verma said. She said the government has formulated a new model under MUDRA scheme for providing credit to handloom sector. "The new model combines elements of concessional credit such as margin money, interest subvention and credit guarantee cover," she said. The ministry has requested every state and UT to prepare a three-year action plan to achieve the five lakh target. "The plan would cover all handloom clusters, with the aim of extending MUDRA loans to all eligible, willing, non-defaulting handloom weavers," the ministry said. The plan would also identify banks for each cluster, keeping in view the presence of banks and their willingness to participate in the scheme. Under the Pradhan Mantri Mudra Yojana (PMMY), loans ranging from Rs 50,000 to Rs 10 lakh are provided to small entrepreneurs. As of now, three products available under the PMMY are Shishu, Kishor and Tarun, to signify the stage of growth and funding needs of the beneficiary micro unit or entrepreneur.
SOURCE: The Economic Times
In a statement issued by Mr. R K Dalmia, Chairman of The Cotton Textiles Export Promotion Council (TEXPROCIL) has welcomed the cabinet approval for a special package for labour intensive Apparel sector envisaging higher growth in Export of Apparel products and job creation over the next three years. However, he expressed deep concern for ignoring to consider Home Textile sector in the special package, which is equally labour intensive industry at par with Apparel sector. In particular, manufacturing of bed-linen requires more number of workers in making each piece of the product. He emphasized that Home Textiles sector is also equally labour intensive as Apparel manufacturing. The process is the same i.e. adding value after cutting the fabric and using trims etc. in the manufacture of finished products. Extending the present special package benefit to Home Textile sector will not only lead to substantial increase in employment in rural India but will also augment export of Home Textile products. This in turn will bring about higher fabric consumption and capacity building in the downstream industry resulting in inclusive growth in the entire Textile and Apparel value chain. Mr. Dalmia, while appreciating the government’s decision in acknowledging the need to support Apparel sector, stated that the Fabric and Home Textile industry are ignored in the special package in spite of several representations and justifying presentations made by TEXPROCIL. Considering these facts, Mr. Dalmia has appealed to the government to kindly consider treating all the ‘cut and sew’ products (including Home Textiles and Made-ups) for granting benefits under the special package for employment generation and promotion of export, at par with Apparel products.
SOURCE: The Business Wire India
A majority of respondents in a survey of about 40,000-50,000 taxpayers, commissioned by the Central Board of Excise & Customs (CBEC), said that policies at the ground-level had become “liberal and friendly” in the past two years. “The key question of the survey was – ‘Do you feel a perceptible change in policies of the CBEC by way of becoming liberal and friendly to the taxpayer?’ An overwhelming number of respondents, 72 per cent, responded with a “yes”,” a statement issued by the Finance Ministry said. The survey, outsourced by industry chamber FICCI to KPMG, was done to get a feedback on the impact of reforms undertaken by CBEC during the last two years, such as single-window interface for facilitating trade, digitisation of documents, e-monitoring among others, also said that 45 per cent of the respondents saw an “attitudinal change in senior functionaries (commissioner level and above); and 51 per cent acknowledged an improvement at the ground level, at the level of inspectors and above.” “This should come as heartening news for India Inc, as it is the inspector raj which is considered as the most stubborn stumbling block to improving the tax environment,” said the survey, which comes in the wake of allegations of “tax terrorism” cited as a barrier to entry of foreign investment in manufacturing. The survey said of most interest to foreign businesses were responses to reforms undertaken in SVB (transfer pricing in customs) where 89 per cent respondents indicated improvements. Similarly, responses on legislative changes carried out to warehousing in the Budget also elicited a positive response from 85 per cent respondents.
Considering the Make in India initiative, central excise has been a major area of focus, where 92 per cent respondents acknowledged CBEC’s success in simplification of customs & excise business processes, the Ministry said. About 30 per cent of the respondents in the survey were from Maharashtra, followed by Delhi with 11 per cent. Sector-wise, the 46 per cent respondents were from the service industry, 39 per cent from manufacturing and 15 per cent from the trading community.
SOURCE: The Hindu Business Line
Improvement in services for exporters has pushed the country 19 places higher in the World Bank group's Logistics Performance Index (LPI). Among 160 countries, it stood at 35, based on six criteria that impact export shipment. The LPI has been prepared by the bank's trade and competitiveness group every two years since 2007. India's overall LPI score rose from 3.07 in 2014 to 3.42 in 2016, of a maximum five. The first country Germany, while the last in Syria. Though China outshines India at 27, it stands higher in order compared to several upper-middle income countries and BRICS members. Brazil ranks 55, Indonesia 63 and Russia is 99. The report, in fact, said India "overperformed" its income group. The parameters include efficiency of customs and border management clearance, quality of trade and transport infrastructure, ease of arranging competitively priced shipments, competence and quality of logistics services, ability to track and trace consignments and frequency with which shipments reach consignees within scheduled or expected delivery times. The components are chosen based on theoretical and empirical research, and on the practical experience of logistics professionals involved in international freight forwarding.
India jumps 19 spots in logistic performance These six LPI indicators are grouped in two main categories of areas for policy regulation, indicating main inputs to the supply chain (customs, infrastructure, and services). Second, supply chain performance outcomes (corresponding to indicators of time, and timeliness, international shipments, and tracking and tracing). The findings were released globally late Wednesday and are based on a survey of about 1,200 logistics professionals worldwide and covers 160 countries. Supported by the International Federation of Freight Forwarding Associations (FIATA). Progress in India reflects balanced improvements in policies that facilitate connectivity (in Customs, for example) and improve hard trade-and transport-related infrastructure. Though the LPI is biased towards the performance of the main economic gateways in the country, it also captures the extent of costs and inefficiency in moving goods internally, especially across states where internal barriers are known to exist. Officials said the improvement in ranking results from reduction in the documentation required for shipping from seven to three. Besides, reducing the coverage of Risk Management System for Customs inspection to 30 per cent from 100 per cent has helped. The report said lack of regional integration impacted logistics movement between neighbouring countries. This has resulted in a situation where North Africa and West Asia were doing worse than what their income level would indicate. Similarly, in South Asia, lack of integration results in good performance by India not improving that of its neighbours.
SOURCE: The Business Standard
The government is increasingly confident of the support of Tamil Nadu Chief Minister J Jayalalithaa-led All India Anna Dravida Munnetra Kazhagam (AIADMK) on the goods and services tax (GST) Constitution amendment, and the quid pro quo is likely to be in the shape of central assistance to the state government to help out with Tamil Nadu’s mounting power dues. The government is sure of the arithmetic in favour of the key reform legislation, hopeful that the AIADMK would not align forces with the Congress to oppose the GST Bill during the monsoon session of Parliament. According to government’s assessment, the AIADMK is likely to stage a walkout at the time of voting on the Bill. Jayalalithaa had met Prime Minister Narendra Modi on June 14 in New Delhi. The Cabinet Committee on Parliamentary Affairs on Wednesday finalised the dates for the monsoon session of Parliament. It will be held from July 18 to August 12, and will have a total of 20 sittings over 26 days.
The passage of the GST will constitute the key element of government’s proposed legislative agenda for the session. Parliamentary Affairs Minister M Venkaiah Naidu said the government will try and build consensus on the GST Bill. At a time when observers have commented at the government’s cupboard on proposed legislations being empty, Naidu said ministers have been asked to be prepared with Bills that concern their ministries by July 3. This, he said, will ensure that 20 to 25 Bills could be taken up for introduction, consideration and passing during the session. Currently, there are 11 Bills pending in Lok Sabha and 45 in Rajya Sabha, including the GST Bill.
Three Bills are to be taken up in the coming Monsoon session to replace three ordinances. Two of the ordinances related to the exemption this year from the National Eligibility Entrance Test (NEET) - Indian Medical Council (Amendment) and Dentists (Amendment) Ordinances. The third Bill will relate to the Enemy Properties (Amendment and Validation) Ordinance. Key Bills pending in the Lok Sabha are amendments to the following laws - Factories, Electricity, Merchant Shipping, Micro, Small and Medium Enterprises Development, Consumer Protection, Benami Transactions (Prohibition), Indian Trust , Companies (Amendment) and the Enforcement of Security Interest and Recovery of Debts Laws and Miscellaneous Provisions (Amendment) Bill, 2016. Bills pending in the Rajya Sabha, include the Indian Medical Council, Whistle Blowers Protection, Compensatory Afforestation Fund and Prevention of Corruption (Amendment) Bill,2013.
SOURCE: The Business Standard
After securing its presence in Iran's Chabahar port key gateway to Afghanistan and Central Asia, India is now eyeing for a role at Oman's strategically located Duqm Port that will enable Delhi to expand its economic presence in the hydrocarbon rich West Asia and allow Indian Navy greater role in the region. The Sultanate of Oman is currently developing Duqm port along with Special Economic Zone as a regional economic hub. People familiar with the developments indicated to ET that India has shown interest to participate in the Duqm port complex. This will give India greater access to West Asia where it has stepped up strategic and economic engagements during the past 10 months.
Delhi also hopes to establish a link between Duqm and Chabahar ports in future in what could be connectivity and energy corridors given good political relations between Iran and Oman. There are indications that India could be keen to set up a fertilizer plant in Oman given the presence of gas in Oman. India along with Oman could also eye joint venture projects in Iran's infrastructure and energy sectors. Besides, the Modi government is eyeing deeper security partnerships across that region and Oman has been the oldest defence partners for India in West Asia. Last month when Defence Minister Manohar Parrikar visited Oman the two countries agreed to work together on boosting defense, crime prevention at sea, maritime issues and a flight safety information exchange. The two sides will also explore the possibility of India exporting weapons to Oman, which could also include setting up defense production facilities there.
Oman is the first country in the gulf region to procure the Indian small arms system (INSAS), built by the state-run Ordnance Factory Board. India's state-owned Goa Shipyard Limited has delivered three tugboats to Oman and additional orders are expected, the MoD official said. Oman has given berthing rights to Indian Navy vessels, which have been used for anti-piracy operations in the Gulf of Aden. In addition the Indian Air Force has been holding joint exercises. Port of Duqm is situated on the southeastern seaboard of Oman, overlooking the Arabian Sea and the Indian Ocean. A Special Economic Zone is envisioned at Duqm. The port aims to leverage its geographical location at the crossroads of international East-West shipping routes, as well as its proximity to sea lanes entering and exiting the Arabian Gulf. In fact, Oman - and Duqm in particular - finds itself bang in the middle of international shipping lanes linking the key production markets of the East with the consumer markets of the West.
Additionally, there are the booming markets of the Indian sub-continent and East Africa that also fall within Duqm's convenient reach. Most of the ports on the west coast of India and east coast of Africa suffer perennial congestion problems, thereby opening up opportunities for Duqm as a transshipment centre catering to these markets. Duqm will be connected to the Oman National Railway network during the first phase of its implementation. Connectivity with the Gulf Cooperation Council (GCC)-wide rail network will be ensured through the construction of a link between Sohar and Al Ain in neighbouring United Arab Emirates, according to information provided by the Duqm port authorities. The high-speed, double track rail system will allow for the speedy transportation of containers, bulk commodities, and other general cargoes, to and from Duqm.
Underscoring Port of Duqm's strategic importance is its planned development into an integrated, multimodal logistics hub, encompassing the maritime, road, air and rail modes of transportation, according to port authorities. An airport is under construction at Duqm, while a proposed rail-based freight and passenger transportation network, will eventually link this industrial port city with the national rail system.
SOURCE: The Economic Times
India has lifted a ban on trade of specified items with Iran after some western sanctions against the Persian Gulf nation were lifted earlier this year, the government said in a notification on Wednesday. “Direct or indirect export to Iran or import from Iran is now permitted subject to UN Security Council Resolution… and IAEA specified documents,” the notification added.
SOURCE: The Financial Express
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$ 46.80 per barrel (bbl) on 29.06.2016. This was higher than the price of US$ 45.35 per bbl on previous publishing day of 28.06.2016.
In rupee terms, the price of Indian Basket increased to Rs. 3170.21 per bbl on 29.06.2016 as compared to Rs. 3078.74 per bbl on 28.06.2016. Rupee closed stronger at Rs. 67.74 per US$ on 29.06.2016 as against Rs. 67.89 per US$ on 28.06.2016. The table below gives details in this regard:
|
Particulars |
Unit |
Price on June 29, 2016 (Previous trading day i.e. 28.06.2016) |
Pricing Fortnight for 16.06.2016 (28 May, 2016 to June 13, 2016) |
|
Crude Oil (Indian Basket) |
($/bbl) |
46.80 (45.35) |
47.63 |
|
(Rs/bbl |
3170.21 (3078.74) |
3193.12 |
|
|
Exchange Rate |
(Rs/$) |
67.24 (67.89) |
67.04 |
SOURCE: PIB
Smart fabrics are the amalgamation of conventional textile materials and polymer hydrogels imparting advanced properties. Bopolymers like chitosan, synthetic polymers are also used as components. Also, copolymerization of two different polymers has also proven significantly successful tool for grafting of ‘smart’ textiles. The major prospects of smart textiles include deodorant fabrics, drug/nutrient delivery fabrics, shape memory fabrics, breathable fabrics, color changing textiles.
Smart textile is integrated with electronic components and is widely used for various applications across health monitoring, health management, actuation and response, and communication. Smart textiles consist of components such as actuators, control units, sensors, and others. These textiles help to regulate body temperature, control muscle vibrations, and protect from environmental hazards such as radiation. The global smart textiles market is anticipated to take a leap at a CAGR of 30.8% during the period between 2015 and 2023, according to a research report published by Transparency Market Research, that projects the market to stand at a valuation of US$7730 mln by 2023. The overall market was worth US$700 mln in 2014. The growing usage of nanotechnology in producing fabrics with special functionality such as water and stain resistant, UV protection, and anti-bacterial has boosted the growth of the global smart textile market. With the help of nano-materials, nano-biotechnology, and nano-electronics, electronic components are embedded into smart textiles. The growing demand for wearable electronics has further augmented the growth of the global smart textile market. Smart textiles include garments such as gloves and coats that are connected to trackers, smartphones and other electronic devices. On the basis of function the global smart textiles market can be categorized into sensing, energy harvesting, luminescent, thermoelectricity, and others. The sensing segment has witnessed significant demand lately. In terms of applications, the report segments the global smart textiles market into military and defense, healthcare, automotive, entertainment, sports and fitness, and others including architecture and fashion. The military and defense sector accounted for 28.7% of the market in 2014. The miniaturization of electronic component has led to increased demand for wearable technologies and smart textiles across all application segments.
In 2014, the sensing segment accounted for share of 26.1% in the market. In 2014, North America was the leading region in the market and accounted for 40.1% of the overall market. The North America smart textiles market was followed by the markets in Europe and Asia Pacific. The U.S. and Canada are anticipated to contribute maximum revenue during the forecast period. Growing investment in research and development activities has propelled the growth of the market in North America.
Globally, the smart textiles were manufactured using woven or knitting technologies, however with recent advancements, electronics conductive inks can be printed on textiles. Dupont has invented conductive inks that can be printed on the textiles and can be used for longer period of time. Smart textiles include conductive materials such as silver, copper, nickel. The smart fibers are manufactured by using yarn with woven or knitted interactive materials, which can interact with the environment or the user. Such textiles are also referred to as e-textiles. Smart fabric is a traditional fabric with added interactive functionality such as power generation or storage, sensing, radio frequency functioning, human interface elements and/or assistive technology. As per Research and Markets, globally the smart textile for wearable technology market is growing at a rapid pace, at a CAGR more than 30% by 2021. Currently, the global smart textiles for wearable technology market is expected to grow at rapid pace. The growth in this market can be acknowledged to the drivers such as growing wearable electronics market, growing popularity of smart gadgets with advanced features, and growing demand for low cost smart sensors. However, the growth in this market is expected to be restrained by high cost of production of smart textiles and compatibility issues. As per the study, a majority of the revenue in the global smart textiles for wearable technology comes from its military and safety applications followed by home and architectural applications. Among the geographies Europe dominated the market in 2015 followed by North America. Asia Pacific region is expected to grow at the highest CAGR over the forecast period.
The past few years have seen the introduction of a number of wearable technologies, from fitness trackers to smart watches but with the increasing use of smart textiles, wearables are set to become disappearables as the devices merge with textiles, according to a new report from Cientifica.
Smart Textile Market
The textile industry will experience a growing demand for high-tech materials driven largely by both technical textiles and the increasing integration of smart textiles to create wearable devices based on sensors. This will enable the transition of the wearable market away from one dominated by discrete hardware based on MEMS accelerometers and smartphones. Unlike today’s wearables, tomorrow’s devices will be fully integrated into the garment through the use of conductive fibres, multilayer 3D printed structures and two dimensional materials such as graphene. This represents significant opportunities for both existing smart textiles companies and new entrants to create and grow niche markets in sectors currently dominated by hardware manufacturers such Apple and Samsung. The market for wearables using smart textiles is forecast to grow at a CAGR of 132% between 2016 and 2022 representing a US$70 billion market. Largely driven by the use of nanotechnologies, this sector has the potential to be one of the largest end users of nano and two dimensional materials, with wearable devices accounting for over half the demand by 2022.
SOURCE: The Plastemart
China’s textile industry is undergoing palpable change as a result of the signing of the trade agreement between 12 Pacific Rim countries. Despite the Trans-Pacific Partnership stalled by the United States presidential and congressional elections, the impact has already been felt by China, as many countries apart of the agreement threat a power shift in the world’s textile industry. “Companies are trying to move out of China because they’re not a part of the TPP,” The Woolmark Company key account manager for Hong Kong, Daniel Chan said. “The profit margin is low now so manufacturers are trying to save money so when we talk about setting up factories in South East Asia, most were from China or Hong Kong and they have migrated production there.” The TPP is anticipated to set widespread new rules for trade, investment, intellectual property, labour, data storage, state-owned enterprises and the environment across 40 per cent of the world's economy: Australia, Brunei, Canada, Chile, Japan, Malaysia, Mexico, New Zealand, Peru, Singapore, US and Vietnam. With the elimination of tariffs set to promote the competitiveness of textile industry, Mr Chan said the reaction had been immediate, bringing trade momentum from China to Vietnam. According to the World Trade Organisation, the 12 TPP partners altogether imported $65 billion worth of textiles and $154 billion worth of apparel in 2013, which accounted for a world import share of 20 percent and 32 percent, respectively. The Woolmark Company Hong Kong country manager Alex Lai said the manufacturing and processing of fibres is undergoing a revolution in Asia. “Manufacturing is moving from China to South East Asia into Bangladesh, Vietnam, Cambodia, Burma and Indonesia because of labour costs and in the future the TPP tax benefits to export to Europe and US will be attractive,” Mr Lai said. “Big businesses in the supply chain are already building their businesses in TPP partner countries.”
SOURCE: The Farm Weekly
Brexit to definitely have impacts on Vietnam garment and textile exporters due to the devaluation of the pound and the euro, which influence prices as Vietnam’s garment exports to the EU account for approximately 20 percent of the total volume with the UK contributing around 4 percent, Vu Duc Giang, Chairman of the Vietnam Textile and Apparel Association (Vinatas), said. According to Giang, material prices will have to be re-negotiated due to changes in the exchange rate, which will have direct influence on enterprises from the fourth quarter this year, leading to the disruption of orders in 2017. The purchase power of British and European consumers will change as well. In addition, the Vietnam-European Union (EU) Free Trade Agreement is likely to be reconsidered, so how much influence Brexit will have on Vietnam remains unclear. In the short term, Brexit will have immediate impacts on the sector’s production and sale as well as the jobs of Vietnamese workers, eventually influencing export growth rate to the EU this year. In order to limit the impacts caused by Brexit, enterprises who are exporting to the UK and EU markets need to place more focus on traditional markets like the United States, the Republic of Korea and Japan as well as trying to expand their share in new markets like Russia and Eastern Europe with new lines of products. Enterprises also need to build supply chains to make full use of signed free trade agreements and diversify products for both traditional and new markets. Besides, enterprises should take a cautionary approach when negotiating with the remaining importers in the EU to minimize the impacts from the UK’s decision to leave the EU. As far as the government is concerned, the government needs to accelerate the process of signing trade agreements with the remaining members of the EU. The Government also needs to hold talks with the UK on differences between the Vietnam-UK FTA and the Vietnam-EU FTA, and promptly inform enterprises of the matter.
SOURCE: Yarns&Fibers
Vietnam’s garments and textiles sector this year did not receive any major FDI projects in the face of previously two years of surging investment in the industry. Alone last year, the sector attracted up to $1 billion in FDI for three major projects including Hyosung Đồng Nai (Turkey), Polytex Far Eastern (Taiwan) and Worldon ViệtnNam (Hong Kong). According to Nguyễn Hồng Giang, general secretary of ViệtnNam Cotton and Spinning Association, the year 2015 marked a record high for investment in the sector as investors wanted to take advantage of opportunities presented by the new FTAs. The decline in FDI in the sector should not be a cause for concern because it is still receiving attention from foreign investors. The Việtnam Textile and Garment Association said that foreign investors would continue to keep an eye on the sector until 2018. However, localities have remained cautious when considering investors who require large numbers of labourers or large plots of land, such as garment and textile companies. The Belgium Ambassador to Việtnam, Jehanne Roccas, at a conference held in Hà Nội recently said that garments and textiles would continue to receive attention from investors due to the advantages presented by export markets, lower tariffs and new investment flows.
SOURCE: Yarns&Fibers
Uzbekistan has launched construction of the textile training and research techno park in the territory of Tashkent textile institute. The total worth of the project amounts to $15 million. The project is implemented by Ozbekyengilsanoat JSC jointly with the Ministry of Commerce, Industry and Energy of the Republic of Korea. The completion of the techno park construction is scheduled for 2018. Main objective of the techno park construction is introduction of the brand-new South Korean innovations and conduction of joint research works in the sphere of material science, dyeing and finishing production, fabric design as well as development of alternative energy sources. The project is aimed at development and implementation of international training and research programs as well as exchange of experience to develop textile industry.Group of buildings with the territory of more than 10,000 square meters is expected to be constructed within the framework of the project. The complex will include experimental-scientific laboratory with the textile machinery, finishing and sewing equipment. Primary contractor of the project is South-Korean IL Kwan E&C Company. Financing of the project will be provided by the grant funds of the official development assistance program of the Korean government. The establishment of the Techno Park is expected to raise the Uzbek light industry to a qualitatively new level of development and improve the training system for the sector.
Textile industry of Uzbekistan is considered to be one of the most dynamic and socially important sectors and ranks high among export-oriented industries of the country’s economy. The Uzbek textile industry is mainly focused on cotton, silk and wool. Traditional crafts like carpet weaving and silk dying are also playing an important role in the growth of Uzbek economy. Cotton crop is considered to be the main agricultural product of Uzbekistan which contributes to a major portion of the country’s total exports.
SOURCE: The Azer News
China as the world's biggest textile manufacturer, especially in low- and medium-end products is also becoming a new market for high-end fashion, but it lacks name brands of its own. However brands like Exception de Mixmind, Jefen, Farina.Z. Mention few people would recognize are creations of the country's top fashion designers. In fact, factories in China churn out clothes for many international brands, including major top-end lines. But none of China's top 10 designers have made it to the stages of Paris, New York or Milan and few have opened boutiques overseas. They don't have a single designer with international recognition, said Wang Qing, president of the China Fashion Designers Association, which represents the country's more than 25,000 designers, up from only 64 in 1993. Six young Chinese designers unveiled their collections on the catwalks of Paris last year for the first time, but only because they were invited as part of a year-long celebration of Chinese culture in France. Wang said that what's being sold overseas is mainly fashion with Chinese characteristics, such as traditional Chinese outfits, but these are not being sold on a large scale. To be successful, their designs have to succeed in the mainstream. Brand recognition is also lacking in the domestic market.
According to Industry experts, a relatively young fashion culture and a poor retail system were to blame. Department stores in China, unlike those overseas, shy away from risks and do not purchase clothes from designers, but require them to rent space from the stores to sell their clothes. That forces designers to fork out a lot of money to rent store space or open boutiques in hopes of bringing their collection to a wider audience. China also lacks the culture to support designers' creations. Frankie Xue, whose Jefen brand grosses 75 million yuan in sales a year pointing to the country's nouveau riche often seen plunking down wads of cash for expensive items that are not color co-ordinated or clash in style. "There are a lot of people with spending power, but their sense of culture is lacking. Fashion sense was virtually non-existent for decades under Communist rule. A rebirth occurred only two decades ago when economic reform began. Given the conditions back then, most people could only afford to experiment with jeans and T-shirts. It was only in the last few years that they could afford middle and high-end clothing. While there is a mushrooming population of well-to-do yuppies willing to splurge on fashion, spending on clothes still remains low compared to developed countries. A survey of spending habits in five major Chinese cities in 2002 found that people spend an average of 2,080 yuan (251 dollars, 206 euros), or 7.3 percent of their income, on clothes each year. The survey also found that a majority of consumers preferred foreign brands, reflecting increasing exposure to overseas goods through travel or imports. Wang admitted Chinese designers lacked originality and creativity compared to overseas counterparts.
Exception's young designer Ma Ke whose designs of women's clothing have a functional elegance blamed an overemphasis on commercialization and copying. There are many designers in China, but only a handful create original pieces. But Ma is confident that will change as the country's consumers become more sophisticated and its designers more daring. Xue, whose fall collection is an array of feminine but smart-looking outfits in warm autumn colors for young professional women, said that he does not believe Chinese designers would be squeezed out of their own market. According to Xue and other designers, in order for a country to have top brands, it must be economically influential. If it's economically powerful, people will accept its culture, including its clothes. Some of the best selling Chinese brands in China use durable fabrics that are not too expensive looking, conservative colors and low-key cuts.
SOURCE: Yarns&Fibers
