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The Netherlands has emerged as India's third largest exports destination after the US and UAE during 2022-23, showed commerce ministry's data on Sunday. This can be attributed to a surge in shipment of goods such as petroleum products, electronic items, chemicals, and aluminium goods, reported PTI, citing commerce ministry. India's trade surplus with the Netherlands has also increased from USD 8 billion in 2021- 22 to USD 13 billion in 2022-23. The Netherlands has taken over major destinations such as the UK, Hong Kong, Bangladesh and Germany, the data showed. India's exports to the Netherlands rose by about 48 per cent to USD 18.52 billion during 2022-23 as against USD 12.5 billion in 2021-22. In 2021-22 and 2020-21, the outbound shipments to the European country stood at USD 12.55 billion and USD 6.5 billion, respectively. The exports are registering healthy growth continuously since 2000-01, when India's exports to that nation was USD 880 million. Further, in 2021-22, the Netherlands was the fifth largest destination for Indian exports as against ninth in 2020-21. Federation ofIndian Export Organisations (FIEO) Director General Ajay Sahai said the Netherlands has emerged as a hub for Europe with efficient port and connectivity with the EU through road, railways and waterways. In the calendar year, India's exports to the country increased to USD 18.1 billion in 2022 from USD 5.5 billion in 2017. According to economic think tank GTRI (Global Trade Research Initiative), ATF (aviation turbine fuel) and diesel were the key petroleum products exported from India to that country. Telecom equipment and smartphones with a value of over USD 1 billion were the largest electronic items, it said. Mumbai-based exporter and Chairman of TechnocraftIndustries Sharad Kumar Saraf said the trend would continue in the future also. Saraf said that the Netherlands is a gateway to Europe as their ports are very efficient hence cheaper than other European ports for shipping operations. India and the Netherlands established diplomatic relations in 1947. Since then, the two countries have developed strong political, economic and commercial relations. In 2022-23, the bilateral trade between the two countries increased to USD 24 billion as against USD 17 billion in 2021-22 and about USD 10 billion in 2020- 21. The Netherlands is among top trading partners of India in Europe, after Germany, Switzerland, the UK and Belgium. It is also a major investor in India. During April-September this fiscal, India received USD 1.76 billion in foreign direct investment from the Netherlands. It was USD 4.6 billion in 2021-22. There are over 200 Dutch companies present in India, including Philips, Akzo Nobel, DSM, KLM and Rabobank. Similarly, there are over 200 Indian companies operating in the Netherlands, including all the major IT firms such as TCS, HCL, Wipro, Infosys, Tech Mahindra as well as Sun Pharmaceuticals and Tata Steel.
Source: Economic Times
Foreign Trade Policy (FTP) is often a reflection of the Government’s vision on positioning the country in the global market. Announced for a 5-year period, the FTP intakes various progressive measures to grow exports and protectionist measures to control imports into India. The initial two FTPs (1992 and 1997) aimed to eliminate the post-independence trade restrictions and promote India’s integration with the global economy. Subsequently, the focus of FTPs shifted towards boosting exports with various incentives schemes, such as the Merchandise Exports from India Scheme and Service Exports from India Scheme. The sixth FTP, FTP 2023, was announced on March 31, 2023. FTP 2023 marks a significant departure from the earlier policies as it focuses on creating a conducive environment for Indian exporters. FTP 2023 is based on four key pillars, viz. incentive to remission, export promotion through collaboration, automation, and a focus on e-commerce. With a long-term vision and no sunset date, the policy is dynamic and enables businesses to formulate long-term strategies with confidence. Ease of doing business remains the priority of the Government and the same gets showcased time and again in the FTP 2023. The policy aims to digitise trade documentation and automation of applications, as well as approvals. In several cases, the application processing time has been proposed to be reduced to as low as one day. The revamped ‘e-Certificate of Origin’ platform will enable self-certification and automatic approvals. Initiatives will be taken for electronic interchange of data with partner countries. In the past, the Government has automated the customs clearance process by introducing a slew of measures like eSanchit portal and faceless assessments. The FTP 2023 complements the recent National Logistics Policy, which aims to reduce logistics costs to the global average by 2030 and will also contribute to the ongoing digitisation of customs processes, resulting in a more cost-effective and efficient operating environment for businesses. Internationalising the Indian Rupee (INR) has always been the elephant in the room in trade discussions with other countries. The Indian Government last year took leverage of the sanctions that hit Russia and cash strapped Sri Lanka by introducing international trade settlements in INR. FTP 2023 now extends all benefits for payments realised in INR, through special vostro accounts set up as per the RBI. This should augment the usage of INR, making it a globally acceptable currency. Additionally, the FTP 2023 established a policy framework to transform India into a merchanting trade hub, by allowing the merchanting trade of the shipment of goods from one foreign country to another, without involving Indian intermediaries or touching Indian ports. This move will create new job opportunities and improve the country’s overall trade performance, making it more resilient to external shocks and improving its negotiating capabilities in international trade. Certain places in India, like GIFT City, could become significant hubs for merchanting trade like Dubai, Singapore and Hong Kong. In recognition of the immense potential of e-commerce in international trade, the FTP 2023 focuses on creating an enabling environment that will facilitate the growth of e-commerce exports. Several measures have been extended to the e-commerce industry, like increasing the value limit for exports through couriers to INR 1,000,000 per consignment, promoting e-commerce through postal routes and handholding and outreach schemes to promote e-commerce exports. The policy also proposes to establish E-Commerce Export Hubs, which would serve as a centre for favourable business infrastructure and facilities for cross-border e-commerce activities. As it is said, a no change, is at-times, a good change. FTP 2023 retains several age-old popular schemes of Advance Authorisation, Export Promotion Capital Goods (EPCG) Scheme. The fees connected to these schemes have also been reduced to ensure their wider acceptability. The procedural ease and automation in processing will usher a new life to these schemes. In line with ‘Vivad se Vishwaas’ initiative, which sought to settle tax disputes amicably, the FTP 2023 introduces a special one-time Amnesty Scheme, to address default on export obligations under the Advance Authorisation and the EPCG scheme. As per statistical data, many license holders have failed to achieve the export obligations under both these schemes. All pending cases of the default in meeting export obligations can now be regularised on the payment of all customs duties that were exempted, in proportion to unfulfilled export obligation. The interest payable is capped at 100% of the exempted duties under these schemes. This is a welcome move that is expected to settle the pending cases and benefit the exporter community. Overall, FTP 2023 is a forward-looking policy that shall have a positive impact on India’s economy and trade relations. It is a true reflection of remarkable opportunities that India now presents.
Source: Financial Express
After the massive response to the ‘Make in Odisha Conclave 2022’, the Odisha Government is hosting a roadshow in Bengaluru on the Textiles & Apparel sector in the State. The roadshow will be held on May 17 and 18 at Taj West End, Bengaluru under the chairmanship of Chief Secretary Pradeep Jena. “With its dynamic textile ecosystem, Odisha shines as the Eastern hub and the Government of Odisha, under the chairmanship of Chief Secretary Pradeep Jena, is hosting a Roadshow on Textile & Apparel Sector at Bengaluru on 17th & 18th May at Taj West End”, informed the Handlooms, Textiles & Handicrafts Department. Hemant Kumar Sharma, Principal Secretary, Industries Department and Dr. Arabinda Kumar Padhee, Principal Secretary, Handlooms, Textiles & Handicrafts Department will be the keynote speakers at the roadshow. The two-day event will provide an opportunity to the investors and business leaders to explore the offerings of the Odisha Government in the Textile and Apparel Sector.
Source: News Room Odisha
The first Ministerial meeting of India- European Union Trade and Technology Council (TTC) is taking place in Brussels, Belgium on 16th May 2023. Union Minister for Commerce & Industry, Textiles, Consumer Affairs, Food & Public Distribution, Shri Piyush Goyal is one of the co-chairs along with External Affairs Minister (EAM) and Union Minister of State for Electronics and Information Technology (MeitY). The EU side is co-chaired by Executive Vice Presidents Mr. Dombrovskis and Ms. Vestager. The formation of the TTC was announced by the Prime Minister, Shri Narendra Modi and H.E. Ms. Ursula von der Leyen, President of the European Commission in New Delhi in April, 2022 with the objective of creating a High-level coordination platform to tackle strategic challenges at the nexus of trade, trusted technology and security. On 15th May 2023, Minister Goyal will have a bilateral meeting with EVP Dombrovskis followed by Working Group-3 Stakeholder consultations in the presence of business leaders from both EU and India. The WG3 meeting focuses on Trade, Technology and Resilient supply chains and would have 6 business leaders from EU and India. In the afternoon, the Minister will attend a business event organised by the Federation of Enterprises in Belgium (FEB) and deliver the keynote address. This meeting would involve discussion over the economic footprint of Belgium enterprises in India along with further plans of investments in India. Besides, the three Indian Ministers would also call on the Belgian Prime Minister as well as the President of the European Commission. On 16th May, Minister Goyal would attend a Stakeholder Event for Working Groups 1 & 2. Group 1 focusses on digital governance and connectivity while Group 2 deals with clean and green energy technologies. This event will also have about eight business leaders from each side in attendance who will present their views/ suggestions. Shri Goyal will deliver a Special Address at this event. This meeting will also see participation of EAM and EVP Vestager. Later in the day, Minister Goyal will attend a bilateral meeting with European Commissioner for Internal Trade, Mr. Thierry Breton wherein issues pertaining to the SME sector, start-up ecosystem and ecommerce will be deliberated upon. This would be followed by the first ministerial meeting of the India-EU TTC which will be attended by the External Affairs Minister, the Minister for Commerce and Industry and the Minister of State for Electronics and Information Technology. The following three Working Groups under the mechanism will report on roadmaps for future cooperation between the two sides: (1) Working Group on Strategic Technologies, Digital Governance and Digital Connectivity, (2) Working Group on Green and Clean Energy Technologies and (3) Working Group on Trade, Investment and Resilient Value Chains. The first ministerial meeting will lay the roadmap for the cooperation under all three working groups and provide direction to achieve desired outcomes before the next ministerial meeting in the coming year. During the high level meetings with senior leadership of the European Union as well as Belgium various issues of mutual interest including the ongoing negotiations for Free Trade Agreement (FTA), addressing issues of mutual market access, WTO reforms as well as cooperation in several areas of mutual interests would be discussed. The Working Group on Trade, Investment and Resilient Value Chains is steered by the Department of Commerce and the first meeting of the working group was co-chaired by Sh. Sunil Barthwal, Commerce Secretary and Ms. Sabine Weyand, Director General for Trade from respective sides.
Source: PIB
The Central Public Sector Enterprises (CPSEs)’ procurement from Micro and Small Enterprises (MSEs) has risen steadily in recent years, a trend that enabled them to cushion the adverse impact of the pandemic and geo-political conflicts on their businesses. As much as 35.6% of CPSEs’ purchases of goods and services were from MSMEs in FY23 compared with 32.48% in FY22 and 29.21% in FY21, all well above the mandatory 25% annual procurement requirement from these small units. To provide marketing support to MSEs, the government modified the Public Procurement Policy in 2018, making it mandatory for public sector companies to procure 25%, instead of 20% of their total purchases, from MSEs including a special provision of 3% procurement for women entrepreneurs. As a result, CPSEs procurement from MSEs’ rose from Rs 26,357 crore (23.1% of the total) in FY18 to `53,423 crore in FY22 and `61,033 crore in FY23. However, despite the government nudging CPSEs to procure 100% through the Government e-Marketplace (GEM) portal, 38% of their procurement was outside of the GeM in FY23. Of the CPSEs’ total procurement which stood at Rs 1.71 trillion in FY23, Rs 1.06 trillion was through GeM in FY23. The CEO or heads of the CPSEs have been asked to certify to the secretaries of the administrative ministry concerned that only those goods and services have been procured outside GeM which are not available on GeM. Finance minister Nirmala Sitharaman has been nudging the CPSEs to avoid purchases outside of the GeM. Besides Vivad se Vishwas, Sitharaman pledged a raft of steps in the Budget for FY24, including a revamped credit guarantee scheme and presumptive taxation benefits, in a bid to lift the fortune of the country’s 63.4 million MSMEs that account for a bulk of the jobs. The renewed focus on MSMEs stems from the recognition of the fact that such units require a protracted period of succour to leave the pandemic scars behind and cope better with the risks of depleting export order flows. MSMEs account for about 40% of the country’s exports, 6% of the manufacturing GDP and almost 25% of the services GDP. According to the Vivad se Vishwas, MSMEs can claim refunds of performance security or bid security and liquidated damages forfeited during the Covid-19 pandemic for failure to execute contracts by June 30.
Source: Financial Express
Salient events such as the UN Biodiversity Conference (COP15) and the G20 summit held in late 2022 have underlined the critical role that nature plays in supporting the private sector and the need for nature-based solutions that can protect biodiversity. The World Economic Forum pinned biodiversity loss and ecosystem collapse as one of the top four global risks over the next 10 years. Yet, players in the fashion and textile industry have been slow to adopt ambitious goals and develop clear roadmaps to mitigate this. Biodiversity isn’t just on the global policy agenda, it’s on the minds of investors too and is ‘the fastest developing ESG theme in global capital markets’. Whilst brands and retailers write their net zero playbooks to reduce emissions across their supply chains, it seems that biodiversity, regeneration and nature-based solutions are not receiving the consideration they deserve.
Biodiversity loss is a physical and transitional risk for fashion The apparel and textile industry faces multi-dimensional physical and transitional risks related to biodiversity, both now and in the future. With a complex value chain highly dependent on land for fibres like cotton and man-made cellulosic fibres (MMCFs) and water for dying and chemical treatment, it’s surprising ecosystem services are often not accounted for in sustainability strategies. For example, extreme weather events exacerbated by climate change create volatility in the conditions needed for the production and harvesting of key crops, such as cotton. Fashion’s dependencies on natural capital interconnect with its significant contribution to biodiversity loss be that through water pollution and microfibre shedding, deforestation and emissions created by energy-intensive production processes including the production of synthetic plastic fibres. Similarly, regulatory risks of inaction to protect and restore nature could have irreversible consequences if left unaddressed. The signing of the Kunming-Montreal Global Biodiversity Framework in December 2022 at COP15 is one example. Here, signatories agreed to 23 specific targets, including protecting 30% of the planet for nature by the end of the decade as well as restoring 30% of Earth’s degraded terrestrial and marine ecosystems. These goals hold up a beacon for all industries but could also guide the fashion industry towards mitigating risks, especially those related to farming and deforestation. Whilst not legally binding, targets set out at COP15 will encourage nations to create national biodiversity plans, similar to those of Nationally Determined Contributions (NDC)s required to outline and communicate steps to achieve the 2015 Paris Agreement. COP15 underlined the need for businesses to make nature-related disclosures on their dependencies and impacts on biodiversity and developments such as the Corporate Sustainability Reporting Directive mean that fashion stakeholders are waking up to new reporting realities. The directive, approved by the European Commission in November 2022 will require companies to report on how external sustainability factors, like human rights, climate change and biodiversity influence their activities. For large fashion companies with a global footprint like Inditex and H&M Group, this will be a priorityTo guide businesses, there are a mounting number of tools and frameworks, like the Taskforce on Nature-Related Financial Disclosures (TNFD). The TNFD’s disclosure framework helps organisations report and act on their evolving relationship with nature. Elsewhere, the Science Based Targets initiative (SBTi) cites that activities associated with ‘business as usual’ are fuelling the loss of nature and have subsequently published guidelines following wide consultation last autumn. Official recognition of nature-based solutions both in a COP27 cover decision as well as in a G20 communique published in November should only encourage fashion leaders to treat biodiversity management as a strategic priority, especially for those who measure progress across the framework of Sustainable Development Goals, including Goal #15 - Life on Land.
What are fashion’s latest biodiversity commitments? It is often touted that the fashion industry is one of the most pollutive, but most lightly regulated industries in the world. Commitments to protect natural capital, unlike pledges to achievenet zero, have been slow to materialise, despite the sustainability narratives pushed forward by global brands in their green marketing and reports that 48% of fashion’s supply chains are linked to deforestation. At a global level, the UNFCC Fashion Charter updated its targets at COP26 in 2021 to become more ambitious in line with phasing out coal and encouraging the use of ‘environmentally preferred’ materials. However, at COP27 fashion barely made the agenda. Despite this, a roster of brands including Stella McCartney, Inditex, H&M and Kering Group signed up to a Canopy pledge; a commitment to purchase at least 550,000 tonnes of alternative fibres made from textile waste and agricultural residues instead of virgin forest fibres. At COP27, The Global Fashion Agenda and UNEP launched another industry initiative called the ‘Fashion Industry Target Consultation’ that ‘will call on fashion stakeholders to define holistic and concrete targets for a net-positive industry.’ Critics would argue that without global regulation, more voluntary initiatives are simply a delay tactic preventing the industry from making real progress on environmental management. The collaboration claims it will encourage organisations to share KPIs and milestones that the industry should strive to meet, but it was not clear how many of these targets and assessments will consider biodiversity indicators and metrics or make the introduction of nature-based solutions mandatory. Away from the political stage, industry players are making incremental steps towards biodiversity management and understanding the reality of their impact. The Textile Exchange and its Biodiversity Benchmark are helping its members identify which biodiversity risks are a priority, be that related to material sourcing, deforestation or microfibre pollution. The University of Cambridge Institute for Sustainability Leadership has published an 8-step blueprint in association with Kering outlining actions for managers to develop a corporate biodiversity strategy. These include setting the scope, understanding impacts and dependencies, as well as agreeing on a portfolio of actions and targets. A wave of initiatives, commitments and funding has been put in place by some of the biggest brands in the market, some of whom have received backlash for their sustainability strategy in lieu ofmeaningful change to reduce production levels. For example, H&M plans to double its sales by 2030, yet has a public-facing biodiversity strategy, which includes membership of the TNFD, and advocacy work through the Intergovernmental Science-Policy Platform on Biodiversity and Ecosystem Services (IPBES). The group states it has signed ‘landscape scale regeneration practices’ to increase their impact. Most recently it has joined Burberry, Kering, Loccitaine and Inditex to back the Climate Nature Fund aimed at generating €300 million to finance nature protection and restoration projects. The momentum from COP15 spurred luxury group LVMH to embark on a number of actions. This included joining the Circular Bioeconomy Alliance (CBA) to launch region-specific action plans and announcing a new programme to restore forest cover in the Amazon with the non-profit Reforest’Action. For Hélène Valade, environmental development director at LVMH, the rationale for the latest string of commitments is the strong interdependence that their brands have on biodiversity, especially for fibres like cotton. Biodiversity has become a central pillar of the group’s LIFE360 environmental strategy for its Fashion & Leather Goods division. “Our goal is to limit our impact on biodiversity by banning the sourcing of raw materials from regions at high risk of deforestation or water stress. To do this, we are putting in place tools and strategies that allow us to trace our supply chains and know precisely the origin of our products.” stated Valade. To support this, LVMH has set the target to have 100% of their strategic supply chains certified by 2026, with the rate in 2022 standing at 71%. On measurement and reporting, Alexandre Capelli, LVMH group environmental deputy director commented that they are taking action at both a corporate and product level. The group reports on the progress on biodiversity within the framework of LIFE360 at their shareholder meetings. Capelli shared that “LVMH has measured the biodiversity footprint of its entire value chain using two methodologies, the Global Biodiversity Score and Impact World +. The results have been used to define our strategy and, when updated, to monitor our progress.“ LVMH is in the process of testing the Nature standard being developed by the SBTI and has joined the TNFD forum, whose risk management framework will enable members to map positive and negative actions related to nature to guide their strategic planning. “The assessment tools for Maisons have indicators directly related to nature and biodiversity such as land use and water pollution. We want to support and accelerate eco-design processes and to communicate the environmental performance of products to customers,” noted Capelli.
Have investors underestimated the impact of the textile supply chain on biodiversity? Industry collaboration, the mobilisation of funds, incremental measurement and reporting and target setting on biodiversity should not go unpraised. However, the value that biodiversity brings to the fashion and textile industry more broadly, warrants an approach that identifies and acts on quick wins. It also warrants widespread advocacy for regulation to encourage the scalability of solutions like filtration for microfibres and divergence away from traditional materials that are reliant on plastics or deforestation. Think tank Planet Tracker has conducted extensive research on textile supply chains. Their report Underdressed, found that only 2% of nearly 1200 ESG proposals submitted to the annual shareholder meetings of retailers since 2015 were on environmental issues. Notably, issues like fibre mix as a topic did not appear at annual shareholder meetings. Material composition and fibre mix are inextricably linked to the biodiversity performance of a company and given the impact of raw material selection on natural capital, it’s hard to understand why this hasn’t been widely addressed to date. Richard Wielechowski, senior investment analyst at Planet Tracker commented that “The environmental impact of the textile supply chain has been underappreciated by investors. As brands don’t typically own their supply chain, it has been a case of out of sight, out of mind.” Planet Tracker identified that the majority of environmental proposals voted upon revolved around climate change and sustainability reporting, with no proposals identified for biodiversity or deforestation. Wielechowski is hopeful that in the wake of COP15, things may change and that businesses introduce targets and start thinking about it as a key risk. “We see the conference as a key driver forbiodiversity rising up agendas for investors and corporates. Investors have shied away from it before because of its complexity and difficulty to model..”, he adds.
Emerging solutions that account for natural capital Effective management of biodiversity requires solutions that consider geographical nuances of land use across a global supply chain, both up and downstream. This is particularly relevant for an industry where garments may travel across numerous continents from India, to China and Europe during the production phase. For the apparel ecosystem, there is no single agreed-upon blueprint, be that the Textile Exchange Biodiversity Framework, Kering’s Environmental Profit and Loss Methodology or the broader UN Encore tool created by the UNEP FI and Global Canopy which helps financial institutions align their portfolios with global biodiversity targets. This makes it hard to know where to begin. However, emerging technologies paired with consulting services are coming to fruition to help brands and retailers navigate this space. natcap is a platform providing geo-spatial enabled impact and dependency assessments from which the fashion and textile industries could reap immense benefits. With a team made up of highly respected scientists, natcap has been named a data catalyst for the TNFD. CEO Sebastian Leape shared their mission, “By building a nature intelligence platform for enterprise, we want to provide a view across the supply chain at the aggregate and site level of the impacts and dependencies on nature.” What would this look like in practice for the fashion industry? natcap blends sophisticated quantitative assessment layers of geographically sensitive data with management practices. Leape commented that “If apparel companies want to do something about nature and need a starting point, we can help measure what’s going on within their immediate supply chain operations using Tier 1 data. Then, based on what we find, we consider how an organisation can embed this in decision making, i.e. through product development, operations or in external reporting.” This information would enable companies to build a roadmap aligned with many of the global biodiversity targets and frameworks being put in place. Missing data is a problem when it comes to natural capital accounting, but that shouldn’t slow down businesses, Leape argues. “No one will have the right data yet at the asset level needed to do it as well. Our job at natcap is to guide and help teams strategize on how to collect that data in the future.”, he adds.
Building a roadmap for biodiversity Nature loss is a significant material risk for the fashion industry. Understanding the interconnectivity of operations with biodiversity and pursuing a strategy of restoration and regeneration will be imperative for long-term business resilience. Undoubtedly, it must be more than a simple box-ticking exercise to gain a credible ESG rating. With the knowledge that 1 million species are set to be extinct by 2050 if business as usual continues, there is no time to waste. As Marco Lambertini, then Director General of WFF stated in his final press briefing at COP15, "Halting and reversing biodiversity loss by 2030 is the equivalent of 1.5C and has the ability and power to inspire and unite the whole of society." Through stronger on-the-ground interventions, the scaling up of material alternatives and adopting more aggressive stances in advocating for change at a policy level, there can be hope. Managers can focus on supplier engagement and embedding biodiversity policies into codes of conduct, as well as investing in tools and services like natcap. Collaboration and open-sourcing successful practices could contribute to progress too. Equally, empowering citizens through education on how to handle garments across the laundering and disposal lifecycle phases will make a tangible impact. As retailers and brands make progress towards their GHG emissions and social sustainability goals, they could apply the same playbook to tackling the industry’s impact on nature. As Sebastian Leape from natcap sees it, inaction on biodiversity undermines climate commitments. He believes that “Companies should go beyond the bare minimum of some of the regulations on reporting. Instead, they should realise that biodiversity and nature happen everywhere and acknowledge the connectivity and importance of species and the contribution of land.”
Source: The forbes.com
The commerce ministry has decided to review the eligibility criteria for the election of office bearers of export promotion councils (EPCs) and apex exporters body FIEO to make them more inclusive and representative. According to an office memorandum, a three-member panel has been constituted to review the existing guidelines and make suitable recommendations about representation of different stakeholders in the managing committee and other posts. The panel is likely to take about two months to complete the exercise and submit its recommendations. The memorandum said that till amendment of the existing guidelines on the basis of the recommendations of the committee, EPCs/FIEO (Federation of Indian Export Organisations) may put on hold all the elections which are in process, including those where no results have been declared with immediateFIEO already elected a vice-president in March. Election for the president post was due this year. Different export promotion councils include EEPC India, Export Promotion Council for EOUs & SEZs, Project EPC, Basic Chemicals, Cosmetics and Dyes Export Promotion Council, Chemicals and Allied Products Export Promotion Council (CAPEXIL), Council for Leather Exports, Sports Goods Export Promotion Council, and Gem and Jewellery Export Promotion Council. The other councils include Shellac Export Promotion Council, Cashew Export Promotion Council of India, The Plastics Export Promotion Council, Pharmaceutical Export Promotion Council, Indian Oil Seeds And Produce Export Promotion Council (IOPEPC), and Services EPC. FIEO was set up in 1965 as an apex body of export promotion in the country. It has been designated as registering authority for status holder exporting firms and other exporters dealing in multi-products. It also issues Certificate of Origin which is required by many countries as proof of origin of the goods. Commenting on the exercise, former FIEO President S C Ralhan said the changes should be implemented prospectively. "There should not be any major change in the existing guidelines," he said.
Source: Economic Times
In the last two decades, the Indian economy has exceeded all expectations and emerged as the fastest-growing economy in the world. The Indian manufacturing industry is one of the drivers of the national economy and currently contributes about 15% of India’s gross domestic product (GDP). As the country embarks on its modernization trajectory, the manufacturing industry is vital for the growth and development story of the nation. In fact, this industry can bring long-term stability to national earnings, foster self-reliance in the country’s ecosystem, and lead India to become a global manufacturing hub. Several research papers published by McKinsey Global Institute in collaboration with General Electric (GE) indicated a significant correlation between India’s GDP and female labour force participation. An estimated 10% increase in women’s labour force participation could add more than $770 billion to India’s GDP by 2025. As an inspiration for developing nations, India’s meteoric rise can be expedited by women who play an integral part in the national growth and success story. Women who can leave an indelible mark and impactful contributions to the Indian manufacturing industry. Looking towards future horizons, technology is playing a big part in manufacturing companies pivoting to address diversity. The drive towards automation and robotics will increase overall efficiency and the potential to have a more significant proportion of women in a traditionally male-dominated manufacturing sector. Automation will enable women to take up more roles in the manufacturing industry, which have earlier been barriers to entry, such as physically demanding heavy lifting, hammering, etc. Now, dedicated machines are doing these standardised manufacturing tasks, which both men and women can operate. As technology continues to enable greater women participation in the manufacturing industry, this will foster better diversity, equity and inclusion in the manufacturing industry. The manufacturing sector is the backbone of any economy, and thus higher women’s participation in expanding this sector only augurs well for the nation’s growth.
Impact of women on Indian manufacturing Women have been a positively ubiquitous energy driving the Indian manufacturing industry and have significantly impacted every facet of this inspirational growth story. It’s no longer a rare sight to see a woman shopfloor in charge of her safety helmet, overalls and boots, working with fellow factory workers hand-in-hand. With their creative attributes and boundless energy, women have helmed innovative solutions, which have helped to generate new jobs, upscale existing productions, and improve the quality of life for innumerable people. Their leadership has been invaluable in creating a more profitable manufacturing sector and a more equitable and inclusive society for all Indians. India’s greatest strength is its favourable demographic dividend. With a young and hardworking workforce, the avenues for growth are limitless. An overwhelming percentage of untapped women workers is still eager to join this sector and contribute towards bolstering the Indian manufacturing sector. It is imperative that the industry swiftly works to attract, incorporate, and retain more women in its burgeoning production capacities. This will help reduce a woman’s financial dependency on others and lessen the wealth distribution disparity existing in society. Increasing the number of women in the manufacturing sector can help to reduce gender inequality, as well as help to create a more prosperous and equitable nation.
Challenges faced by women in the manufacturing industry Despite women’s progress in the manufacturing sector, there are still several challenges that women face today. These include unequal access to resources, funding and support. Even though more women are in leadership positions than ever, outdated gender biases still exist, wherein their contributions go unrecognized. This often leads to meritorious women often being overlooked for managerial roles. According to a study published by the International Labour Organization and the World Bank titled “Economic Impacts of Reducing the Gender Gap”, currently, the composition of women in Indian manufacturing is between 3% (core engineering) – 12% (other engineering streams), compared to 27% – 40% employment in the services sector. Additionally, there are still many cultural and societal barriers that women face in the manufacturing sector. These include a lack of access to education, training, professional networks and mentorships. According to socio-economic surveys conducted by the National Sample Survey Office (NSSO), of the 8 million workers employed in India’s formal manufacturing industries, women still contribute only 1.6 million or less than 20% of the workforce. To overcome these challenges, fostering an inclusive and supportive environment for women in the manufacturing sector is imperative. This can include providing specialised skill training to women, creating policies and initiatives to promote diversity and inclusion and nurturing an ecosystem that is respectful and supportive of women from all walks of life.
Promoting women and government initiatives In many colonial eras, labour laws were designed to hinder hiring more women in the manufacturing industry. This included the now abolished, infamous Section 66 of the Factories Act of 1948, which read that “no woman shall be allowed to work in any factory except between the hours of 6 am and 7 pm.” However, in a truly inspirational win for democracy and women’s suffrage, the parliament of India unanimously voted to amend this law in 2005. It enabled states to permit women in night shifts, provided safety protocols were maintained. Abolishing this archaic law, the Indian manufacturing industry became a shining beacon of equality and inclusion for all developing nations in South East Asia. It was a golden chapter in women achieving diversity in the workplace, as this decision by the Indian government directly led to a 7.4% increase in women’s participation in the manufacturing workforce, as noted by Indian Economic Survey. As India continues to grow and prosper, there is still much to be achieved in creating policies galvanized towards promoting an ecosystem that has balanced gender parity. To promote the inclusion of more women in the manufacturing industry, there needs to be a transformation in the very perception of the sector. It is time to expand archaic boundaries to include more women across every stratum of our workforce. Companies can adopt policies that ensure equal opportunities, fair pay, and safe working conditions for women. It can also involve targeted recruitment programs, training and skillbuilding opportunities, mentorship, networking and leadership development programs.
Conclusion During the early years of Indian manufacturing, women were often responsible for production and management in small-scale enterprises. As Indian society migrated from rural economies to industrial townships, hardworking women who had driven the local cottage industries moved to work in the upcoming manufacturing sector. Women who had once supported their families in agrarian, pastoral and allied ventures now took up new roles in the manufacturing sector. Transcending overwhelming obstacles placed before them, these industrious women put down their sickles. They championed sewing machines in textile and garment manufacturing, mastered packaging equipment in FMCG manufacturing, and conquered computer administration in https://www.manufacturingtodayindia.com/people/celebrating-the-role-of-women-in-indias-manufacturing-sector 4/4 Copyright © 2023. Manufacturing Today India digital manufacturing. Breaking all gender stereotypes, today, more women are entering the manufacturing workforce as entrepreneurs, managers, engineers, architects, quality control supervisors and designers than ever before. These enterprising women have played an instrumental role in developing the manufacturing industry and led India’s growth story. Despite the rise and rise of women in all spheres of employment, nearly 20 million women dropped out of the active workforce in the last decade. It’s also known that out of all women joining India Inc., only 10% make it to leadership positions. For women to reach their true potential, empowered men and women need to mentor and empower other women. We can celebrate these remarkable women’s persevering dedication and steadfast commitment by honouring them. If India is to develop to become one of the largest economies in the world, women’s participation cannot be overlooked and downplayed. Only by creating an environment that is supportive of women can India benefit from the unique skills and perspectives that women bring to the industry. This will help to create a more equitable and prosperous India. We must cherish and celebrate women for their exceptional contributions as they continue to drive India’s economic growth and progress.
Source: Manufacturing Today India
Goods and Services Tax authorities are seeking near real-time access to banking transactions of the taxpayers, as a means to detect fake invoices and excess use of input tax credit (ITC) by sections of businesses. The move follows recent investigations that revealed that undue tax credits accumulated through fake invoices are being used for hawala transactions. In several cases, it was also found that through circuitous routes, the funds finally returned to the persons generating the fake invoices. Shell companies too have been found routing money through fake invoices. “Money trail is very important in these cases. While at the time of GST registration, the taxpayer gives details of only one bank account, a business can be using several accounts,” said a source, adding that it is difficult to get data on banking transactions in a timely manner at present. Often, by the time the details are made available, the company or person generating the bogus invoices has already vanished, the source further explained. GST authorities are now keen on getting faster data on banking transactions, akin to the access the income tax authorities have. The income tax department gets data on high value transactions, suspicious transactions as well as cash deposits above a certain threshold to keep tab on possible tax evasion. Sources said the issue is now being taken up by the Central Board of Indirect Taxes and Customs (CBIC) as well in a bid to curb tax evasion. However, it would require more discussions internally as well as with the Reserve Bank of India, they said. GST authorities are also planning to include more databases in their risk parameters to catch possible tax evaders. This would be done more so for service-related industries, where it is difficult to prove the actual delivery of services. Databases that are likely to be tapped into include the provident fund data, customs data on shipping lines and freight forwarders, Railways as well as Panchayati Raj data on services such as construction and works. “This would give an idea of the kind of services that are being provided by various companies and if they are paying the right tax and availing input tax credit,” said the source. GST authorities are already planning to tap into the income tax database as well as filings of the ministry of corporate affairs to cross check information on taxpayers and understand if they are paying the right taxes. The focus on tax evasion comes at a time when the GST department is looking to cut down on fake invoicing and tax evasion. A special all-India drive is also being conducted from May 16 to July 15 by all central and atate tax administrations to detect suspicious and fake GST identification numbers. There are nearly 14 million registered businesses and professionals under GST and the government is keen on expanding the taxpayer base by ensuring that those evading tax are brought into the tax net.
Source: Financial Express
INTERNATIONAL
Trade exchange between Jordan and countries in the Association of Southeast Asian Nations (ASEAN) grew 42 per cent in 2022 compared with 2021, the Amman Chamber of Commerce (ACC) said on Saturday. ACC said that the Kingdom's trade exchange with ASEAN countries increased last year to JD1.279 billion, compared with JD900 million during 2021, the Jordan News Agency, Petra, reported. ASEAN comprises Indonesia, Malaysia, the Philippines, Singapore, Thailand, Laos, Cambodia, Brunei, Myanmar and Vietnam, covering a population of 668 million people and an area of 4,522,518 square kilometres. ASEAN, based in Jakarta, was established in 1967 and constitutes the seventh largest economy in the world. The Kingdom's imports from ASEAN countries amounted to some JD877 million last year, compared with JD400 million in national exports and JD2.5 million in reexports, ACC statistical figures showed. Jordan's imports from ASEAN countries mainly include pearls, gemstones, textile materials, electrical and electronic supplies, transport equipment, food and chemical products, while the Kingdom primarily exports chemical and metal products and textile materials to ASEAN countries. ACC Chairman Khalil Hajj Tawfiq said that Jordan has the opportunity to boost its economic relations with ASEAN countries, especially by expanding the base of exported commodities and attracting valueadded investments to the national economy. The ACC is in the process of organising a Jordanian-Asian economic forum before the end of 2023, which would feature a joint trade fair and meetings for business owners, industrialists and traders from ASEAN countries and their Jordanian counterparts, Hajj Tawfiq said. Hajj Tawfiq added that the ACC will address the General Union of Chambers of Commerce, Industry and Agriculture for Arab Countries to invite members of Arab trade and industry chambers, especially Palestine, Syria, Lebanon, Iraq, Egypt, Yemen and the Gulf Cooperation Council countries, to participate in the forum's activities.
Source: The zawya.com
Trade Secretary Kemi Badenoch today [15 May] flies to Switzerland to launch negotiations on a new UK-Switzerland free trade agreement (FTA) to boost trade between the two services superpowers. Switzerland is one of the wealthiest countries in the world and the UK’s 10th largest trading partner. The two countries are among the world’s leading service economies, exporting almost £15 billion worth of services including financial, professional, legal, and architecture every year. The current UK-Switzerland FTA is based on an EU-Swiss deal from more than 50 years ago – before the advent of the home computer or the internet – and does not cover services, investment, digital or data. With most of the UK’s services exports to Switzerland delivered electronically – almost 69% in 2020 – both sides are keen to rectify this in upcoming talks.
Business and Trade Secretary Kemi Badenoch said: As two of the world’s leading service economies, there’s a huge prize on offer to both the UK and Switzerland by updating our trading relationship to reflect the strength of our companies working in areas ranging from finance and legal, to accountancy and architecture. The UK and Switzerland are natural trading partners and today’s launch will play to our strengths as services superpowers, while also boosting investment in emerging technologies, data innovation, and digital trade.” ONS figures published earlier this year showed UK services exports reaching record highs in 2022, totalling £397 billion - an increase of 20% compared to 2021 in current prices. The Business and Trade Secretary will launch talks on the new, modernised deal with her counterpart Federal Councillor Guy Parmelin in Bern, the country’s capital city. During her visit, Badenoch will also go to SIX, the operator of the Swiss Exchange, Europe’s 3rd biggest stock exchange and one of the industry’s most respected posttrade service providers. Whilst at SIX she will visit the innovation accelerator Tenity where she will meet startups already operational in the UK including Enterprise Bot, Xworks, SmartPurse and Jrny. A refresh of our trading relationship with Switzerland will add to the UK’s growing armoury of powerful service-focused deals by removing remaining market access barriers, improving regulatory cooperation and enabling UK firms to compete on an equal footing in Switzerland, now and in the future. Switzerland’s demand for imports is expected to grow in real terms by 78% by 2050. The new deal could lower tariffs on UK exports to Switzerland, which could reduce annual duties for UK businesses by around £7.4 million. It will also benefit the more than 14,000 UK businesses which already export goods to Switzerland, 86% of which are small and medium-sized enterprises (SMEs), by creating simpler trade rules for products of origin, customs procedures and digitisation.
CEO of SIX, Jos Dijsselhof, said: The new UK-Switzerland free trade agreement’s shared ambition hold also great importance for the financial sector, fostering cooperation, trade, and mobility. SIX welcomes this move, supporting open and international capital markets, promoting healthy exchange and competition between the two major financial centres in Switzerland and the UK.” Switzerland is a key investment partner to the UK with the total stock of Swiss foreign direct investment in sectors such as textiles, chemicals, manufacturing and financial services worth £74 billion in 2021, while UK investment into Switzerland was worth £52 billion. A new FTA would look to boost this even further, helping facilitate more investment by Swiss companies into communities around the UK and seeking preferential terms for UK investors in Switzerland.
Policy Chairman of the City of London Corporation, Chris Hayward, said: The UK and Switzerland are the two largest financial centres in Europe which means strengthening our services trade relationship is a top priority for the sector. An enhanced trade agreement would address key cross-cutting issues including mobility, data flows and digital trade to the benefit of both jurisdictions. Negotiating a new free trade deal with Switzerland along with a ground-breaking mutual recognition agreement in financial services presents a unique opportunity to set a new paradigm for services trade, and would provide a template for the UK’s future trading relationships.”
Alexander Dennis Fleet Sales Director, Matthew Lawrence, said: We’re the world’s leading manufacturer of double-deck buses and bus companies in Switzerland and we supplied Swiss national operator PostAuto with a fleet of low-emissions Alexander Dennis double decker buses. A free-trade agreement between the UK and Switzerland would benefit us and our Swiss customers in streamlining the supply of spare parts, while also opening up business opportunities for further British-built buses.”
Executive Director of International Policy, Association of the British Pharmaceutical Industry, Claire Machin, said: Negotiation of an Enhanced Trade Agreement between the UK and Switzerland provides a pivotal opportunity for a world-leading agreement between two life science superpowers. Prioritisation of life sciences in negotiations could help to boost the growth of our two innovation-intensive economies and set world-leading standards to encourage the creation and adoption of the next wave of scientific technologies.” During her visit to Switzerland, Badenoch will also meet with leading female business leaders at Advance, a network of close to 140 Swiss companies committed to increasing the share of women in management in Switzerland.
Background: The launch will take place at the Federal Palace of Switzerland. The first round of talks are scheduled for week commencing 22 May. Switzerland ranks as the UK’s 2nd largest trading partner in Trade in Professional and Business Services. In 2022, total PBS trade with Switzerland amounted to £9.2 billion (39% of total UK services trade with Switzerland). Talks will also look to provide long-term certainty on business travel, particularly for services firms, helping firms in a wide range of sectors, from life sciences to tech to share expertise, form vital partnerships and expand into new markets. We will also seek to cut remaining tariffs on UK exports such as red meat, chocolate and baked goods, which are currently very high. Switzerland imports over £5.5bn a year of agri-goods under product lines where tariffs still apply for the UK. The businesses are supported by Tenity, which provides incubation and acceleration programs to help startups in connect with entrepreneurs, experts, mentors, and investors for early-stage venture and late-stage venture investing.
Source: The gov.uk
SEI Laser has been one of the most dynamic and innovative companies in the world of laser technology since 1982. The world leading Italian company is proud to announce its attendance at ITMA trade fair, which is taking place between June 8th and 14th, in Milan, Italy. As part of a recent launch of new laser systems, SEI Laser will show world-premiering the XWave Conveyor, the ultimate professional laser solution for cutting rolls of organic and technical fabric. This system combines high speed, precision and quality to get the accurate digital cutting performances ever. X-Wave Conveyor is equipped with a linear scanner allowing the recognition of deviations, wrinkles and wraps and it is able to registry cut the pattern, which is a request of technical textile and fashion industries. SEI Laser also plays a key role in the denim industry. Matrix Textile thanks the vision and constant experimentation of the Bergamo-based company, which designed it to meet any customer’s application need and to realize all designer’s wishes. Matrix Textile is the revolutionary best-in- class laser solution for roll-to-roll and roll-to-garment manufacture and finishing. We will be pleased to welcome you and let you discover all our laser solutions at our booth, P14- C106, thanks to non-stop live demonstrations.
Source: Textile world
How much plastic is in your life? Do you know how to reduce how much plastic you use? Could you identify how much plastic gets recycled? Where do polyesters come from, and do polyester fabrics “count” as plastic? These questions and more were included in a nationwide consumer survey commissioned by local plastics recycling startup Protein Evolution “For decades, consumers have been sorting plastic bottles and cardboard boxes from their household trash, and yet most people are still unaware of how prevalent plastic is in their daily lives,” said Connor Lynn, chief business offificer and co-founder of Protein Evolution. “There is a knowledge gap when it comes to the recycling industry.” The scientifific survey conducted by market research fifirm Wakefifield Research asked a representative sample of 1,000 Americans what they knew about plastics, plastic textiles and plastic recycling. The survey found that 93 percent of Americans surveyed overestimated the amount of plastic that gets recycled. In addition, over two-thirds of Americans were unaware that many fabrics like polyester, acrylics, nylons, and others are derived from oil The survey results came out right as Connecticut State Attorney General William Tong led 16 other state attorneys general in an open letter to the Environmental Protection Agency and the National Oceanic and Atmospheric Administration urging the agencies to control plastic microfifiber water pollution. Over a million of these microfifibers are shed every time a plastic garment is washed. “Plastic microfifibers are a pervasive, toxic pollutant with potential to cause severe harm to human health and our environment,” Tong wrote in a news release. “Simple technology exists and is already required overseas to trap these plastics before they enter our waterways and ultimately our bodies.” Over a quarter of Americans believe that none of their clothing contains plastic, the survey found. According to industry analysis group The Fiber Year, in 2019 over two-thirds of all textiles contained synthetic materials. Over half of those were crude oil-based polyesters. “Ninety-eight percent of people, which might as well be 100 percent, overestimate the amount of discarded textiles that are recycled, and they overestimate by a lot,” said Nathan Richter, a senior partner at Wakefifield Research. “You have quite a lot of people who overestimate by quite a large margin.” Richter said most Americans believe a quarter of all textiles were recycled. The reality, according to a global study conducted by Greenpeace, is about 6 percent. Richter said that the disconnect between what people believe and what is actually happening to clothes is likely a problem of perception. People donate or thrift clothes, or downcycle them into rags. Very few people just throw clothes away. Everyone is aware of recycling and probably assume that there are recycling streams for most materials, but that just isn’t the case. “There’s a real instinct out there not to waste things, and that probably explains in some part some of the assumptions people have,” Richter said. “When you look at the data, it says that people assume these things are being taken care of.”
Source: The hour.com
Cabinet minister in-charge Textiles Paul Lyngdoh recently met Union Minister of State for Textiles Darshana Jardosh in the city and took up the construction of textiles complex at Nongpoh, besides other issues. Paul said that while 90 percent of the project has been completed through the central funding, what is left is to prepare for the training of weavers and artisans. He expressed concern over lack of training of weavers and artisans in Meghalaya as the they remain unidentified. “We need to strengthen the district office following which a census of weavers can be taken”, he said.
Source: The meghalayamonitor.com
