The Synthetic & Rayon Textiles Export Promotion Council

MARKET WATCH 25 APRIL 2023

NATIONAL

INTERNATIONAL

NATIONAL

Fall in yarn exports is a good sign for India: Textiles Minister

Union Textiles Minister Piyush Goyal has said that the decreasing yarn exports from India should be seen as a good sign for the country as that would make raw materials available for processing them into textiles and eventually into garments, creating jobs and opportunities in the sector. “The rise in readymade garments and finished value-added products is really the strength of India that we want to encash,” said Piyush Goyal. Addressing an event, the Minister said that the Indian demand for yarn and for finished products are growing significantly, both in the domestic and export markets. If producers get better value in the Indian market, they would prefer to sell the yarn in India. It should be processed right up to the garment and that value addition is good for India. He further added that whenever possible, we should encourage more finished goods to be exported from India. There is value addition that will create jobs, which will give opportunities to our entrepreneurs, to our start-ups. If at all the yarn export reduces, it’s a good sign.

Source: Apparel resources

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Textile units shifting to polyester, viscose  

High cotton prices have hurt the textile industry so much that industrialists are looking to alternative avenues to make businesses viable. Many textile manufacturers in Ahmedabad — once the Manchester of the East and the cotton hub of the country — are moving to polyester and viscose fabrics. Last year, the textile sector here witnessed blending in cotton and now several players in the value chain have moved to polyester and viscose. Dhruv Patel, MD of Diamond Textile Mills Pvt Ltd, said, “We had a thriving cotton textile business for more than five decades with integrated spinning, weaving and processing facilities. For the last nine months, we have completely shifted to polyester yarn and viscose.” He further said, “We source the fibre, manufacture yarn, and weave it into fabric. We’re also supplying yarn to manufacturers in Surat. We had no choice but to shift to polyester and viscose due to high cotton prices, which affected our viability. We have not exited the cotton business entirely, but feel the time is not right for cotton and thus chose to diversify.” Market sources say cotton textile units need to make only minor changes to start polyester and viscose manufacturing. According to industry estimates, at least 5% of textile players who were entirely into cotton have adopted man-made fibres. Last year, cotton prices reached a record high of Rs 1.10 lakh per candy (356kg). This year, prices have come down to an average of Rs 60,000 per candy. However, recent estimates from the Cotton Association of India (CAI) suggest lower crop output and there will thus be more volatility in cotton prices, experts say.  Another case is that of Kankariya Textile Industries Pvt Ltd. “Our key business is cotton fabric processing but last year’s high cotton prices taught us many lessons. A section of our customers demand polyester and viscose, which are cheaper. We began sourcing polyester from Surat and viscose from South India. Polyester, viscose and rayon are part of our portfolio this year and we managed to even bag export orders from China. We have started printing shirting fabric, dress material for women and home textiles in viscose,” said P R Kankariya, chairman of the company. “We procure grey fabric from Surat, which isn’t a major cost, and process it here.” Saurin Parikh, president of the Spinners Association Gujarat (SAG), said, “Gujarat is hub of cotton textiles but in the last year, more than 5% of its cotton capacity has been replaced by polyester and viscose.” Akash Sharma, director of Akash Fashion Pvt Ltd, said, “We began polyester and viscose printing three years ago. We were into 100% cotton fabrics, but of late have begun blending. There is blending of up to 65% polyester because it is at least 25% cheaper than pure cotton. We used to print 12 lakh metres of cotton shirting every month earlier, however, capacity utilization dropped due to high cotton prices. We now print seven lakh metres of blended shirting fabric while our volume of pure cotton shirting fabric is only one lakh metres a month.”

Source: Times of India

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CM launches India Handmade an online e-commerce platform for artisan-weavers 

Gujarat Chief Minister Shri Bhupendra Patel in the closing ceremony of the two-day textile industry-Chintan Shibir in Rajkot under “Saurashtra Tamil Sangam” said, “Gujarat government has implemented a new textile policy in 2019 for the development of textile industry. Under which Textile units are given incentive assistance of substantial amount for adoption of new technology.” The CM also launched IndiaHandmade.com an online e-commerce platform for artisan-weavers on the occasion in the presence of Union Minister of Commerce and Industry Shri Piyush Goyal and Union Minister of State Smt. Darshana Jardosh. Addressing the industrialists and officials of the textile industry CM said that the Gujarat has always given importance to the textile sector. Under the leadership of Prime Minister Shri Narendra Modi, Gujarat Government implemented Textile Policy 2012. Under which a substantial investment of Rs 35 thousand crores has come in the textile sector and more than two and a half lakh jobs have been created. Expressing his commitment to take forward the growth of textiles in Gujarat, the Chief Minister said that under the new Textile Policy2019, 100 percent stamp duty is returned to the developer for setting up textile parks. CM said that Prime Minister Modi has recently announced the construction of PM Mitra-Mega Textile Park in various states. Such a huge textile park will be built in Gujarat also in the south. Events like Saurashtra Tamil Sangam are providing a platform to showcase this development story of Gujarat’s textile sector. On this occasion, the Union Minister of Commerce and Industry Piyush Goyal said that the textile industry is second only to agriculture in creating employment in the country. In order to keep the textile industry vibrant, Chintan Shibir has received important insights, which will be implemented in a phased manner to realize the idea of environmental enrichment. By 2030, the textile industry will make all possible efforts to fulfill Prime Minister Modi’s dream of 20 lakh crore worth of Business and 8 lakh crore worth of exports. Union Minister of State for Railways and Textiles Smt Darshanaben Jardosh said that more than 100 handloom and handicraft artists have kept the MSME sector vibrant. The state government’s encouraging policy for the overall development of this sector and value addition has given the sector a distinct identity, which is proof of the foresight of the Prime Minister. Ms. Rachna Shah, Central Secretary, Department of Textiles delivered welcome address.

Source: Cmo Gujarat

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Rajesh Kumar Singh takes charge as new DPIIT secretary 

Senior IAS officer Rajesh Kumar Singh on Monday assumed the charge of secretary in the Department for Promotion of Industry and Internal Trade (DPIIT). Singh has replaced Anurag Jain, who was appointed as secretary in the Ministry of Road Transport and Highways. Before DPIIT, Singh was serving as Secretary in the Department of Animal Husbandry and Dairying. "He has held many important positions in the Union Government as Commissioner - DDA, Joint Secretary - Ministry of Petroleum and Natural Gas, Joint Secretary - Department of Agriculture, Cooperation and Farmers Welfare and Chief Vigilance Officer - Food Corporation of India," the statement said. Singh is assuming charge at a time when the ministry is taking a series of steps to promote foreign investments into the country and boost domestic manufacturing. Foreign direct investment into the country stood at USD 36.75 billion during April-December 2022 as compared to USD 43.17 billion in the same period of 2021-22.
Source: Economic times

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FIEO, Business Russia Ink MoU To Promote Trade, Investments 

Apex exporters body FIEO on Monday said it has signed an MoU with Business Russia to promote trade and investments between the two countries. It said the two organizations will cooperate to arrange exhibitions, buyers-sellers’ meetings, workshops, seminars and encourage enterprises to work in tandem with their counterparts for joint ventures. The Memorandum of Understanding (MoU) was inked during a visit of a 50-member delegation of the agro and food processing sector to Moscow. The delegation is "exploring opportunities in diverse business ventures such as ready-toeat meals, fish meal, animal feed, soyabean apart from conventional products,” said N K Kagliwal, Board Member of FIEO (Federation of Indian Export Organisations). Kagliwal is leading the business delegation. He added that exporters are looking to increase agro and processed food exports from about $750 million to over $3 billion in the next three years. About the rupee-ruble trade mechanism, he said it is "moving forward, but the pace is slow". FIEO Director General Ajay Sahai said that exporters, importers and bankers on both the sides have to do a little extra work to resolve the issues. "A direct exchange rate between rupee and ruble will help streamline the process in a big way," Sahai said. He added that huge trade deficit is a concern, but it is also an opportunity to push exports from India to Russia.

Source: Outlook India

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Commerce ministry terminates anti-dumping probe on imports of a Chinese chemical

The commerce ministry has terminated an anti-dumping investigation into the import of a chemical, used in dying industry, from China following a request from the domestic industry. On September 30, 2022, the ministry's investigation arm Directorate General of Trade Remedies (DGTR) initiated a probe into alleged dumping of 'sulphur black' from China, following a complaint by a domestic firm Atul Ltd. However on April 15 this year, the applicant has withdrawn its petition and has requested for termination of the investigation citing certain reasons. "The authority hereby terminates the investigation...against the imports of Sulphur Black originating in or exported from China," the DGTR has said in a notification. It is mainly used for dying cellulose fiber, viscose staple fiber and yam. Anti-dumping rules have a provision for termination of a probe in certain situations which include withdrawal of application by the affected domestic industry at whose instance the investigation was initiated. In international trade parlance, dumping happens when a country or a firm exports an item at a price lower than the price of that product in the targeted market. The duty is imposed only after a thorough investigation by a quasi-judicial body, such as the DGTR, in India. It is aimed at ensuring fair trade practices and creating a level-playing field for domestic producers.

Source: Economic times

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Efficiency can overcome the energy challenge – Why India needs to act now

Amidst rising energy costs, and a growing population that is consuming more and more energy, energy efficiency has come forth as one of the key solutions for answering the urgent need to reduce carbon emissions. Machineries that can perform better with less power are therefore crucial to overcoming today’s greatest challenges. To understand how organisations are approaching energy efficiency, ABB recently conducted a survey of 250 of India’s leading industrial and commercial decision-makers. The same survey was also conducted in other countries, including the US, China, and Brazil. Data from all 2,300 global decision-makers has been compiled in the ABB Energy Insights Survey Report 2023. The conclusions of this research could possibly set off alarm bells for business leaders and policymakers. However, the good news is that practical solutions to increase energy efficiency are now easily available, more accessible and affordable. Here is what Indian businesses need to know.

Concerns regarding energy crisis Energy is the top operating expense for many industrial businesses and a significant expense for several other kinds of businesses. On average, it represents 34 per cent of a business’s operating costs – and for a quarter of businesses (26 percent), it accounts for more than half of their operating cost. 82 percent of Indian decision-makers consider rising energy costs to be ‘major’ or ‘moderate’ threat to their business profitability. As compared to the global average, businesses in India are slightly more concerned about the energy crisis with 74 per cent business leaders considering it a threat to profitability. Nine in ten Indian business leaders (92.2 per cent) are also concerned about the availability, reliability and security of the energy supply. The most common concerns are further price increases (42 per cent), power cuts or blackouts (40 per cent), and energy rationing or supply interruptions (34 per cent).

Business consequences of high energy prices In turn, business leaders expect rising energy costs to affect other areas of business, with potential. Many plan to reduce spending elsewhere (39 per cent) or cut production (31 per cent), while over a third (36 per cent) expect to pass price rises on to the consumer. Around a quarter are also considering delaying the launch of new products or services (25 per cent) or moving production to a country with cheaper energy (24 per cent). If energy prices remain high over the next three to five years, businesses expect to reduce spending on other essential areas. Cuts will include recruitment (42 per cent); salaries, overtime and bonuses (38 per cent); training (37 per cent); and research and development (22 per cent).

Delaying our most urgent priority There is another significant ripple effect we cannot afford: a delay in sustainability and carbon neutrality plans. Six in ten (58 per cent) expressed that rising energy costs will delay them from meeting their emissions goals by one to five years. Every part of society must play its role in achieving Net Zero emissions, but industrial businesses must take the lead. Globally, industry accounts for more than half of total greenhouse gas emissions. The scale of the sector means that even small changes made by industry, therefore, can have a huge collective impact. According to the International Energy Agency (IEA), however, the industry is already ‘not on track’ to achieve Net Zero, so further delays are unacceptable.

Energy efficiency:the ‘firstfuel’ Clearly, the energy crisis has significant consequences in terms of competitiveness, growth, employment, and sustainability. As a result, businesses are looking to energy efficiency to enable them to use energy more effectively. Almost half of the decision-makers (49 per cent) have increased investment in improving energy efficiency, and more than one in four (28 per cent) have undertaken an efficiency audit. Industrial businesses, for example, can benefit greatly from upgrading equipment such as electric motors. Globally, industrial electric motors consume 45 per cent of all power produced. Replacing a 20-year-old motor with a modern solution reduces its energy consumption by up to 30 percent. Upgrading to equipment with best-in-class energy efficiency has clear business benefits. Considering the motor example, today’s energy prices mean that the payback period is under 18 months. Further, most of a motor’s total cost of ownership (TCO) goes toward the power to operate it throughout its lifetime. This means that continuing to use old, less efficient motors rather than paying the upfront cost of a new model is ‘penny wise, pound foolish.’ Efficiency is also better for the planet. Using less energy to achieve a task reduces the emissions associated with it. If every industrial electric motordriven system worldwide was replaced with optimised, high-efficiency equipment, global energy consumption would drop by 10 percent. This is why the IEA calls efficiency the ‘first fuel’ in reducing emissions.

Join the movement In 2021, ABB launched the Energy Efficiency Movement. This forum of more than 320 businesses from around the world, including over 120 from India, supports research, shares innovations, and leads by example on energy efficiency. Organisations of all kinds – including industry, academia, and the public sector – are encouraged to join the movement. All they need to do is commit to reducing their energy usage, CO2 emissions, or both. Together, we can create a more energy-efficient, sustainable and prosperous world.

Source: Economic times

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INTERNATIONAL

INDITEX Recognizes TVE ESCALE Among The Best Washing Technologies

The Spanish multinational in the textile world recognizes our patented process for the pre-treatment and washing as one of the best options on the market for saving water and energy. Inditex recognizes HYDRA, the semi-continuous process machine patented by TVE ESCALE, as the best option for high-performance textile pre-treatment and washing. HYDRA combines continuous line technology with discontinuous methodology. Combine various washing techniques such as vacuum, submerged suction, and backwashing to get the best results. All this autonomously and automatically. Despite being semi-continuous, HYDRA offers the same performance as continuous processes. All this occupies less space and with a lower initial investment. The most important thing, as INDITEX points out, is its ability to save up to a total of 26% in water, 17% in electricity, and 23% in steam during the entire finishing process. Another of its advantages is the capacity to process fabric rolls of up to 1600 mm in diameter, which surpasses any discontinuous machine on the market. On the other hand, compared to continuous machines, HYDRA offers greater versatility, flexibility, and resource savings. HYDRA will show up in hall 14 stand 103 at ITMA 2023 Milan, Italy.

Source: Textile world

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China grants duty-free status to some imports from Nicaragua, effective May 1 

Nicaragua will be able to export some products duty-free to China from May 1 under the Early Harvest Arrangement for a bilateral free trade agreement (FTA), the Customs Tariff Commission of the State Council, China's cabinet, announced on Monday. According to the tariff rate document released by the commission, certain imports from Nicaragua, including beef, seafood, cable and clothing, will be granted zero-tariff status from May 1. The effective implementation of the Early Harvest Arrangement will further leverage the economic complementarity between China and Nicaragua and push bilateral mutually beneficial economic and trade cooperation to a new level, said the commission. China will be able to export to Nicaragua, tariffs-free, products such as insecticides, fungicides, herbicides, plastics and raw materials for textiles and toys, according to Nicaraguan media reports. The bilateral Early Harvest Arrangement was signed in July 2022, when China and Nicaragua jointly announced the beginning of FTA negotiations. The two countries resumed diplomatic relations in December 2021, in a joint By Global Times communiqué. The early harvest arrangement is a positive sign for the two nations to sign an FTA. The economies of China and Nicaragua are highly complementary and there is much room for cooperation, Dong Jingsheng, deputy director of Peking University's Latin America Research Center, told the Global Times on Monday. "Nicaragua is rich in agricultural and aquatic resources and can export primary products, namely agricultural products, to China. And, China can supply Nicaragua with manufactured goods to meet the daily consumption needs of ordinary people," said Dong. Nicaragua's industrial structure is still dominated by primary raw materials or simple processing. Its main industries are textiles and agriculture, which account for nearly 50 percent of Nicaragua's exports, industry insiders said. Exports of agricultural products represent 43.3 percent of its exports, according to the Ministry of Development, Industry and Commerce of Nicaragua (MIFIC). Bilateral trade witnessed a boom after the two countries resumed diplomatic ties. In 2022, bilateral trade totaled $759 million, and China's imports from Nicaragua grew by 43.7 percent year-on-year, statistics from Chinese customs showed. Dong said there is huge room for cooperation in infrastructure construction in Nicaragua. "Nicaragua's roads, housing, bridges, airports and so on need to be upgraded, while China has an advantage in infrastructure construction and investment. Infrastructure will be a key area of future cooperation between the two countries," said Dong. Work on the first large bilateral infrastructure project - construction of more than 12,000 units of housing in Nicaragua - started on April 15. But Dong said that although positive signs have emerged, the FTA negotiations between China and Nicaragua could last long time. "The FTA is more complex and broader, and it is going to include about 90 percent of the products that we produce," said the minister of MIFIC.

Source: Global times

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Retailers worldwide to tackle sustainability at upcoming conference in Spain 

Global fashion retailers gathering in Barcelona this week will discuss how they respond to pressure from regulators and consumers to move to more sustainable models while reversing declining sales in Europe. Executives from companies including Chinese fast-fashion retailer Shein, Spain’s Mango, and Ireland’s Primark are among those attending the World Retail Congress, one of the industry’s biggest annual conferences. They will discuss the challenges facing their businesses as inflation causes consumers in Europe and elsewhere to reduce spending. Tougher European regulations will also feature. The European Commission is drawing up new rules on textile waste that will make companies responsible for managing the waste their products create. “There is pressure building up from regulators on the fast fashion model which is premised on high volumes and affordable prices, ” said Valerie Boiten, senior policy officer at the Ellen MacArthur Foundation, a non-governmental organization that works with H&M, Inditex, Mango, Primark, and Zalando. Consumers in the European Union throw away about 5.8 million tonnes of textiles every year, according to the European Environment Agency. “The current model is set up for failure if you take into account cli-mate change and resource scarcity, ” said Boiten. There is a business case for making the fashion industry more cir-cular, she added, but it will rely on creating multiple revenue streams from existing products. The EU is trying to shift towards a “circular” economy, or one where industries reuse and recycle ma-terials rather than using up finite resources to make new products. down production, they are instead looking to use less water and energy, and more recycled textiles. Brands like H&M, Zara, and Uniqlo have started selling garment repair services at some of their stores. At its store in London’s Bat-tersea Power Station, Uniqlo also sells worn jeans and shirts patched with Japaneseinspired “sashiko” embroidery, priced at a premium to new garments. This month Zara launched its first women’s collection made from recycled textiles supplied by Circ, a US company in which Inditex and Bill Gates have invested. Circ owns technology that sepa-rates cotton from polyester in old garments to create new fabric. Decathlon, the world’s biggest sporting goods retailer, sells repair services, spare parts and tools for people to repair their own bicycles, tents, and kayaks. “The equation we are trying to solve is how to keep growing, while reducing our carbon footprint, ” Fouad Latrech, chief technology officer at Decathlon, told Reuters. Retailers are working with local authorities ahead of an EU law that will require member states to separately collect textile waste by January 1, 2025. Firms including Decathlon, Mango, Inditex, and IKEA recently created an association in Spain for the man-agement of textile waste. “Any retailer that is not thinking about sustainability and how that plays out in all aspects of its brand, and across the entire value chain, is asleep at the wheel, ” said Emma Beckmann, EMEA president at brand consultancy Landor & Fitch.

Source: English.alarabiya.net

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SGS Upgrade To Softlines Laboratories Gains ZDHC Foundation Approval For Level 1, 2 And 3 MRSL V3.0 Certification

SGS, a testing, inspection and certification company, is pleased to announce that the Zero Discharge of Hazardous Chemicals (ZDHC) Foundation has approved six of its laboratories to operate as ZDHC Manufacturing Restricted Substances List (MRSL) certification bodies for conformance to Levels 1, 2 and 3 of MRSL v3.0. The announcement follows the upgrade of six laboratories in Shanghai, Guangzhou, Taiwan, Chennai, Ho Chi Minh City and Hai Phong. Significantly, it means SGS is now the only ZDHC Foundation recognized company operating in Taiwan, Chennai, Ho Chi Minh City and Hai Phong approved to Levels 1, 2 and 3. Yvonne Tse, Vice President, Global Softlines, SGS said: “The acceptance of our laboratories in Shanghai, Guangzhou, Taiwan, Chennai, Ho Chi Minh City and Hai Phong for Level 3 conformance assessment and certification is part of a long-term strategy of expansion in our sustainability services capabilities for the fashion industry. This includes the future upgrading of other facilities and the provision of holistic solutions to help businesses to achieve their zero discharge goals.” The ZDHC Foundation is an industry-led collaboration committed to eliminating hazardous chemicals from textile and footwear supply chains. The first MRSL was published in 2014, with its companion document, MRSL Conformance Guidance, issued in 2017. It provides brands and suppliers with a single, harmonized list of chemical substances that are banned from intentional use during manufacturing and related processes. In November 2022, V3.0 of the MRSL and V2.0 of the MRSL Conformance Guidance were released by the ZDHC Foundation. MRSL V3.1 was published in March 2023. MRSL V3.0 conformance certification is a simple and effective way for manufacturers and brands to demonstrate their commitment to zero discharge in complex supply chains that often rely on multiple different chemical formulations. It responds to the increasing awareness amongst consumers and regulators of the negative impact the manufacture of textiles and footwear is having on the environment. SGS Chemical MRSL V3.0 conformance certification SGS offers a simple and effective process for verifying the compliance of supplied chemical formulations with the criteria for ZDHC MRSL Levels 1, 2 or 3 through laboratory testing, document review and on-site assessment.

Source: Textile world

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Trelleborg Announces MMI Textiles As TACTWEAR™ HANK Distributor

Trelleborg Engineered Coated Fabrics operation announced today the signing of an exclusive distribution agreement with MMI Textiles for TACTWEAR™ High Abrasion Neoprene Kevlar® (HANK). MMI Textiles will offer TACTWEAR™ HANK in a variety of weights, colors, and quantities – effective immediately. This partnership will enable Trelleborg to better serve a broader range of customers in a more responsive manner. Purpose-built TACTWEAR™ HANK is formulated to meet the demands of law enforcement, first responders, defense, and extreme recreational activities and sports. The rubber-based coated material boasts excellent abrasion resistance and is flexible, flame resistant, waterproof, laser cuttable in well-ventilated areas, and is manufactured in the USA to meet Berry compliance standards. “We’re excited to expand the availability of TACTWEAR™ HANK to the marketplace. It’s an extremely versatile material that we’ve seen customers use in a variety of end applications that require uncompromising performance in tough conditions, including modular lightweight load-carrying equipment (MOLLE), tactical climbing harnesses, durable backpacks and pouches, reinforced protective clothing, ballistic helmet and shield covers, and heavy-duty Individual First Aid Kit (IFAK) systems,” says Karli Wolf, Business Development Manager for Government & Defense at Trelleborg. The distribution agreement expands the already-established partnership between MMI Textiles and Trelleborg. MMI Textiles began offering MultiCam® Printed Narrow TACTWEAR™ HANK in 2022 through an exclusive partnership with Mikan Printing. “We are excited to expand our partnership with Trelleborg Engineered Coated Fabrics after successfully launching the Printed Narrow HANK product line. Our team is ready to provide great service and committed to growing the TACTWEAR™ HANK brand of products that Trelleborg offers to our vast array of markets and customers,” said Amy Bircher, CEO & Founder of MMI Textiles. Trelleborg Engineered Coated Fabrics has provided MMI Textiles with comprehensive education and training on the product, positioning the distributor as an expert on TACTWEAR™ HANK. “At MMI Textiles, we offer various options for our end customers. This enhanced collaboration with Trelleborg will solidify our commitment as we grow our product offering. Building these positive relationships in business is one of the most important foundations in our joint success,” said Joey Smith, Director of Business Development of MMI Textiles.

Source: Textile world

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