INTERNATIONAL
NATIONAL
The ECGC Ltd has supported over 16,000 exporters with an aggregate value of business covered to the tune of Rs 6.68 lakh crore in 2022-23 and it is expected to increase to more than Rs 10 lakh crore this fiscal, Commerce and Industry Minister Piyush Goyal said on Friday. The Export Credit Guarantee Corporation (ECGC), wholly owned by the Government of India, was set up in 1957 with the objective of promoting exports from the country by providing credit risk insurance and related services. Over the years, it has designed different export credit risk insurance products to suit the requirements of Indian exporters and commercial banks extending export credit. "The business covered value is expected to increase to more than Rs 10 lakh crore in the current fiscal," Goyal told reporters here. He added that in the next four months, all procedures at the company would be made completely digital and grievance redressal mechanism to be implemented over video conference. The minister said that extended cover under export credit insurance for banks scheme with enhanced cover of 90 per cent would be extended to accounts with limits up to Rs 50 crore. He also said that the digitisation of processes at ECGC will enhance the convenience for the exporters. Last year, the company extended cover under Export Credit Insurance for banks (ECIB) scheme for the accounts with export credit working capital limits up to Rs 20 crore sanctioned by the banks (excluding traders and GJD exporters) with enhanced cover of 90 per cent. Four banks - SBI, Central Bank of India, Bank of Maharashtra and Saraswat Bank have so far opted for the enhanced cover. The experience under the cover has been satisfactory in terms of low default ratio in the last one year. "The extended cover under the scheme has resulted in easing of interest rates on the credit/loans obtained from the banks," Goyal said announcing that the benefit of the enhanced cover will be extended to the accounts with limits up to Rs 50 crore for these four banks without any additional cost. It is expected that around 3,000 exporter-borrower accounts will benefit from this. For nine banks where six-year claim to premium ratio (CPR) is less than 70 per cent, cover for accounts with export credit working capital limits up to Rs 20 crore will be offered enhanced cover of 90 per cent without any additional cost provided the banks are extending the export credit at an interest rate corresponding to the accounts rated 'AA' (or with equivalent rating).. ECGC CMD M Senthilnathan said that 100 per cent cover will be provided for existing policyholders where 'No Claim Bonus' is 50 per cent and the policy proposal has been received directly from the exporters and not through insurance brokers.. ECGC Ltd. envisages to provide claim and other insurance related services to exporters and banks digitally after implementation of the upgraded software system which is likely to be implemented within the next six months.
Source: Economic times
Leading innovative, vertically integrated textile specialist, Sapphire Finishing Mills Ltd. has opted FastReactPlan by Coats Digital for its digital transformation roadmap. The aim of using the technology is to connect and consolidate capacity planning information into one unified system. FastReactPlan will allow a reduction in low efficiencies, improvise on-time delivery targets and facilitate business growth. Shoaib Tasleem, Implementation Manager at Sapphire Finishing Mills Ltd. expressed the main challenge faced by them with planning and visibility of capacity plans and how the materials received were based entirely on a number of Excel spreadsheets. He further continued “We are working tirelessly to fast-track our digital transformation at Sapphire Finishing Mills, and the Implementation of SAP S/4 HANA and its integration with FastReactPlan is going to prove the cornerstone of our digitisation roadmap.” Charitha Liyanagoda, Sales Manager at Coats Digital, said, “Fast React Plan will provide greater visibility and one version of the truth for all capacity planning, so that relevant departments can communicate easily to optimise efficiencies and eradicate problems quickly, and we look forward to working with Sapphire to help it achieve its expansion goals with the support of a resilient digitisation programme.”
Source: Apparel resources
The Ministry of Industry is preparing steps to anticipate a slowdown in the performance of the domestic textile industry due to global economic conditions and the influx of imported textile products from China. Minister Agus Gumiwang Kartasasmita stated in a statement on Friday that the ministry will implement policies to minimize the impact of global economic conditions, particularly in Europe, on the industry. The United States and Europe are Indonesia's main textile importers. During the January-April 2023 period, the country's export value of textile and textile products decreased by 28.44 percent to US$3.7 billion compared to the corresponding period in 2022, which recorded US$5.1 billion. On the other hand, the domestic textile market has also experienced an influx of imports from China. China, facing reduced demand, has started to stockpile textile products and seek new markets, including Indonesia. "Indonesia's stable economic growth and large population make us a potential market for textile products from China," he said. He added that this situation is considered a threat to the domestic textile industry. Therefore, the government needs to promptly adopt policies to protect the domestic market and minimize the impact of declining demand and potential dumping from China, he said. He stated that the ministry has received reports of a reduction in production in the fiber industry. "This is due to the influx of synthetic fibers, filaments, and fabrics into the domestic market," Kartasasmita stated. This condition has also resulted in a significant reduction in manpower. So far, the textile industry has terminated the employment of up to 70 thousand people. To address this issue, he mentioned that the ministry will implement short- and long-term policies to enhance supervision of the local market and improve the domestic textile industry. Furthermore, the ministry proposes changing the limited prohibition policy and shifting supervision from post-border to border zones for apparel products, clothing accessories, and textile goods. Another step to be taken is the immediate formulation of industry standards, including the preparation of technical specifications (ST) and procedural guidelines (PTC), to ensure business certainty, smoothness, and efficiency in domestic and international trade transactions. By implementing ST and PTC preparation, Kartasasmita hopes to enhance national competitiveness and create fair and transparent business competition in trade and business certainty. The ministry will also evaluate the existence of bonded logistics centers (PLB), totaling 106, spread across 159 locations. The evaluation of PLBs is crucial to investigate alleged deviations in the release of imported goods from PLBs. This is evident from the large number of imported ready-made garments on ecommerce platforms, offered at significantly cheaper prices and quickly reaching consumers. The next step is to follow up on proposed electricity payment relief incentives for the industry. The ministry has also implemented policies through programs to increase exports, control imports, and enhance industrial competitiveness. The export-boosting program is carried out by encouraging free trade agreement (FTA) cooperation with the European Union and the United States. In an effort to increase industrial competitiveness, the government is developing and training industrial human resources, restructuring industrial machinery and equipment, and subsidizing certain natural gas prices, particularly for the upstream textile industry. Data from the ministry indicates that in the first quarter of 2023, the textile industry's GDP growth rate was 0.07 percent, compared to 3.61 percent (year-on-year) in 2022. The industry's contribution to the national GDP in the first quarter of 2023 also decreased to 1.01 percent, compared to 1.10 percent in the first quarter of 2022. The utilization rate of the textile industry declined to 67.59 percent in May 2023. A similar trend was observed in the apparel industry, with a utilization rate of 74.79 percent.
Source: The en.antaranews.com
Southwest monsoon has been in an “active mode” and advanced into Maharashtra, Rajasthan, Gujarat, Madhya Pradesh, Uttar Pradesh, Delhi, Punjab and Haryana, the India Meteorological Department (IMD) said on Sunday, adding the rainfall deficiency was down 28%. Mrutyunjay Mohapatra, director-general, IMD, said low pressure area currently developing over Bay of Bengal and active monsoon conditions, will bring widespread rainfall activities over east, central, northwest and west India over next 3 to five days.The monsoon rains in the last couple of days have brought down the cumulative rainfall deficiency during June 1-25 to 28% of the benchmark long period average (LPA) from 47% reported a week ago. First time since 1961, monsoon rain has covered both Mumbai and Delhi on the same day. “A monsoon low-pressure system is forming over the head of the Bay of Bengal, and it will dump heavy rain over Odisha, eastern and coastal Maharashtra, Chhattisgarh, Madhya Pradesh, and eastern Rajasthan in coming week,” Akshay Deoras, research scientist, National Centre for Atmospheric Science and Department of Meteorology, University of Reading, United Kingdom, told FE. According to scientists with IMD, the monsoon is likely to cover the entire country 10 days earlier than its normal schedule of July 8. After monsoon covers the entire country, kharif crops including paddy, coarse cereals, pulses and oilseeds sowing activities pick up pace. The deficient monsoon rains have delayed the sowing of kharif crops – paddy, pulses, oilseeds, cotton and sugarcane. The sowing was down 4.5% on year to 12.9 million hectare (MH) on year as per data by agriculture ministry data on June 23. The rains in July are most crucial as most of the planting is covered during this period. The average annual coverage under all kharif crops including cotton, sugarcane, coarse cereals and jute is around 109 MH. Area under paddy so far has declined by 35% to 1.07 MH, pulses sowing have been marginally higher on year at 0.6 MH. Private weather forecasting agency Skymet has predicted July rainfall to be ‘below normal’, quantitatively at 95% of LPA, IMD is likely to predict the July outlook this week. No change has, however, been made to the IMD’s April 11 forecast that the precipitation this monsoon season (June-September) will be in the “normal” range, at 96% of the LPA. Skymet had earlier said monsoon precipitation this year could be “below normal” at 94% of the LPA. Rainfall between 96-104% of the LPA is considered “normal”. In terms of regional variations, monsoon deficiency has been 45% (central India) and 49% (south peninsula) so far. Because of widespread rainfall following the cyclonic storm ‘Biparjoy’ over central part of Rajasthan, the northwest region has received 33% more rainfall than the normal benchmark. Southwest monsoon season (June-September) accounts for 75% of the country’s annual rainfall.
Source: Financial express
The decision of India and the US to end their six trade disputes at the World Trade Organisation (WTO) will help boost two-way commerce and strengthen economic ties, experts said. They also said that both the countries should put in place a proper and strong mechanism to resolve trade related issues bilaterally so that they do not have to file complaints in the WTO. India and the US have agreed to end six trade disputes at the World Trade Organisation while New Delhi will also remove retaliatory customs duties on 28 American products such as almonds, walnuts, and apples. This comes amid Prime Minister Narendra Modi‘s state visit to the US at the invitation of President Joe Biden and First Lady Jill Biden.International trade expert Biswajit Dhar said that this is a positive announcement and it would help in promoting bilateral trade between the two countries. “We now have to see what trade-offs happen between the countries to finally end these trade disputes. The announcement overall looks positive. A strong mechanism needs to be put in place so that such disputes do not occur and be resolved bilaterally through mutually agreed solutions,” Dhar said.Welcoming the announcement, Federation of Indian Export Organisations (FIEO) Director General Ajay Sahai said it will help boost India’s exports to the US, which is the largest trading partner of New Delhi. “It is positive development. We were eagerly waiting for this decision. This will give a fillip to India’s exports to the US,” Sahai said. Another expert said that this decision would help strengthen 2+2 dialogue between India and the US.Indian Institute of Plantation Management Bengaluru (IIPMB) Director Rakesh Mohan Joshi too said that such decisions would help in further promoting trade.The six disputes include three initiated by India and as many by the US.These include countervailing measures on certain hot-rolled carbon steel flat products from India, certain measures relating to solar cells and modules, measures relating to the renewable energy sector, export-related measures, certain measures on steel and aluminium products, and additional duties on some products from the US. According to trade experts, both countries can resolve the disputes on mutually agreed terms and later inform the Geneva-based WTO about the same.In 2018, the US imposed 25 per cent and 10 per cent import duties on certain steel and aluminium products, respectively, on grounds of national security. In retaliation, India in June 2019 imposed customs duties on 28 American products, including chickpeas, lentils, almonds, walnuts, apples, boric acid, and diagnostic reagents. India had also filed a complaint against the US in the WTO on imposing these duties. On 12 April 2012, India requested consultations with the United States with regard to the imposition of countervailing duties by the US on certain hot rolled carbon steel flat products from India. New Delhi had claimed that the countervailing duty investigation and related measures are inconsistent with WTO trade norms. On 6 February 2013, the US requested consultations with India concerning certain measures of India relating to domestic content requirements under the Jawaharlal Nehru National Solar Mission for solar cells and solar modules. America claimed that the measures appear to be inconsistent with global trade provisions. Similarly, on 9 September 2016, India requested consultations under the aegis of the WTO with the US regarding certain measures of the US relating to domestic content requirements and subsidies instituted by the governments of the states of Washington, California, Montana, Massachusetts, Connecticut, Michigan, Delaware and Minnesota, in the energy sector. On 14 March 2018, the US asked for consultations with India concerning certain alleged export subsidy measures of New Delhi under Merchandise Export from India Scheme (MEIS), Export Oriented Units (EOU), Electronics Hardware Technology Parks (EHTP), Special Economic Zone (SEZ) and Export Promotion Capital Goods (EPCG). The WTO dispute panel ruled against India and New Delhi in 2019 appealed against the ruling at the appellate body. On 18 May 2018, India requested consultations with the US concerning certain measures imposed by America to allegedly adjust imports of steel and aluminium into the US. India had claimed that these measures appear to be inconsistent with the WTO rules.Similarly on 3 July 2019, the US asked for consultations under the WTO dispute settlement mechanism with India regarding India’s imposition of additional duties with respect to certain products originating in the US. The US is the largest trading partner of India. In 2022-23, the bilateral goods trade increased to USD 128.8 billion as against USD 119.5 billion in 2021-22. According to WTO rules, a member country can file a case in the Geneva-based multilateral body if they feel that a particular trade measure is against the norms of the world body. Bilateral consultation is the first step to resolving a dispute. If both sides are not able to resolve the matter through consultation, either of them can approach the establishment of a dispute settlement panel. The panel’s ruling or report can be challenged by WTO’s appellate body. The appellate body is not functioning because of differences among member countries to appoint its members. Several disputes are already pending with this body. The US has been blocking the appointment of the members.
Source: Financial express
India will remove additional duties on eight US products, including chickpeas, lentils and apples, which were imposed in 2019 in response to America's measure to increase tariffs on certain steel and aluminium products, government sources said. During the recent state visit of Prime Minister Narendra Modi to the US, both countries decided the termination of six WTO (World Trade Organisation) disputes and the removal of these retaliatory tariffs on certain US products. In 2018, the US imposed an import duty of 25 per cent on steel products and 10 per cent on certain aluminium products on grounds of national security. In retaliation, India in June 2019 imposed customs duties on 28 American products. The duties on these eight US-origin products would revert to the current applied most-favoured-nation (MFN) rate after India notifies the rescinding of additional duties, one of the sources, who is aware of the development, said. The tariffs would end in 90 days. As part of the agreement, India will be removing additional duty on chickpeas (10 per cent), lentils (20 per cent), almonds fresh or dried (Rs 7 per kg), almonds shelled (Rs 20 per kg), walnuts (20 per cent), apples fresh (20 per cent), boric acid (20 per cent), and Diagnostic Regents (20 per cent), the sources added. The duties were increased on 28 US products in 2019 in retaliation to the US decision to increase duties on certain steel and aluminium products. US lawmakers and industry leaders have welcomed the announcement of an agreement with India to end these duties. The US is the largest trading partner of India. In 2022-23, the bilateral goods trade increased to USD 128.8 billion as against USD 119.5 billion in 2021-22. "India has announced it is lifting retaliatory tariffs that all but shut down the Indian market for Washington's more than 1,400 apple growers and now our growers will once again have access to this USD 120 million market," Cantwell, the Democratic Party lawmaker, has said in a statement. India was Washington's second export market for apples.
Source: Economic times
INTERNATIONAL
Electricity tariff revisions proposed by the Ceylon Electricity Board (CEB) for the period from July to December indicate there is room for a reduction in the tariff and that these reductions would be for “entities of economically important businesses”. However, to the dismay of the Joint Apparel Association Forum (JAAF), CEB has failed to extend these industrial tariff reductions to the apparel industry – the country’s largest foreign exchange earner and a significant contributor to Sri Lanka’s debt-ridden economy. The electricity tariff hikes that came into effect at end 2022 and the beginning of this year have completely disregarded the integral role played in the country’s economy by the apparel industry. Despite continuous warnings and cautions from JAAF, the Public Utilities Commission (PUCSL) granted approval to a 66% electricity tariff hike earlier this year based on an overestimation of electricity demand. This was done having well realised that the industry was faced with a15-20% drop in orders which signalled a reduction in demand due to the ongoing global recession. The result is an exponential increase in costs to business operations, threatening the sustenance and operation of a $ 5 billion industry that braces the country’s economy. As a result, due to this reduction in exports, the sector has become less competitive. Charted below is the fall in apparel exports in the first four months of 2023, highlighting a 17% decrease over the quarter. It is vital that Sri Lanka apparel maintains its competitiveness in the global manufacturing sector. Earlier this year, amidst the 66% electricity tariff hike, JAAF highlighted that in terms of electricity rates, Sri Lanka’s electricity tariff in US dollars stood at the top end of the scale when compared to regional giants like India, Bangladesh, Vietnam, Indonesia, and Thailand which offered $ 9-10 cents per kWh. It is important to note that with the strengthening of the Sri Lankan Rupee, Sri Lanka’s energy costs in US Dollars are now significantly higher than our competitors. When fixed and maximum demand charges are included, Sri Lanka’s energy costs are notched at over $ 16 cents per kWh, while our biggest competitor Bangladesh is under $ 10 cents. Vietnam and Indonesia offer rates under $ 8 cents. It is also alarming to note that the government hopes to export surplus power to India in this context, as our industrial electricity tariff rates are now 21% higher than that of India. Earlier this year, JAAF highlighted that the proposed electricity tariff hikes were based on increased electricity demand, pointing to a clear overestimation of electricity demand by the CEB. JAAF’s statement is now confirmed as accurate by CEB’s own documentation with the actual consumption being recorded as 10% less than what was actually forecasted by the CEB early this year. As the Sri Lankan economy continues to contract, it is logical that demand will continue to fall. This in turn reduces the reliance on more costly fuel sources driving overall costs higher. It is also worth noting that coal prices have also reduced leading to a reduction in the price of energy to the industrial sector. Coal prices are expected to remain at approximately $ 104 per MT this year. The depreciation of the US Dollar has also resulted in a reduction of import costs to the CEB. Therefore the electricity distributor can no longer pass on the costs of the rupee depreciation to the apparel industry via exponential industry electricity tariff rates. In light of this, JAAF urges the PUCSL to recognise the sizable contribution the apparel industry makes to the Sri Lankan economy and extend industrial tariff reductions to the industry, allowing the industry to compete on a level playing field in an intensely competitive global market.
Source: The ft.lk
BGMEA Vice President Shahidullah Azim, Chair of BGMEA Standing Committee on Trade Fair Mohammed Kamal Uddinand Mahmoud Khosravi, Consular and Economic Affairs at the Embassy of Iran in Dhaka, were also present at the meeting. Issues of mutual interests, especially ways of widening trade horizons between Bangladesh and Iran were discussed in the meeting. Their discussion also focused on potential areas of expanding and diversifying bilateral trade and investment between the two counties. They stressed on the need for collaborative initiatives to identify trade opportunities, especially exporting garments to Iran, and removing trade barriers. BGMEA President Faruque Hassan briefed the Iranian envoy about the readymade garment industry of Bangladesh, including its massive contribution to the socioeconomic development of the country. He apprised Ambassador Chavoshi of the vast progress made by Bangladesh's apparel industry in terms of workplace safety and environmental sustainability alongside world-class manufacturing facilities to meet the global demand for quality garments. Faruque Hassan also mentioned significant accomplishments in developing transport, energy, and digitization infrastructure in Bangladesh alongside building capacity in ports that would help the country to meet the growing demand of trade. With developing infrastructure and investment-friendly facilities, Bangladesh is an attractive destination of investment, the BGMEA President said. Ambassador Mansour Chavoshi planted a sapling on the BGMEA premises in appreciation of BGMEA's ongoing endeavors to promote sustainability in the RMG sector. BGMEA is going to organise a tree plantation programme titled "Rooting for a Green Planet," from 10 to 16 July with an aim to inspire management, employees and workers of member garment factories to plant trees regularly at their workplaces and homes.
Source: Tbs news
The Nigerian textile industry has failed to pick up in terms of operations despite over $1.18billion (N500 billion based on the prevailing exchange rates during the periods of intervention) pumped into the sector, LEADERSHIP Sunday investigations has revealed. The President Bola Ahmed Tinubu administration, like previous governments, is being confronted with the challenges of reviving the textile industry, particularly in Northern Nigeria where the sector has the potential to create jobs and mitigate problems of Other players include Turkey, South Korea, Taiwan and Pakistan. In 2022, Nigeria imported textile products valued at N365billion, roughly 70 percent of the N500 billion government intervention to keep the industry afloat over a 30-year period, according to public information from government institutions, including the Central Bank of Nigeria (CBN). Industry observers have blamed the failure of textile companies to remain competitive against imports from countries like China and India on insufficient power supply, government policy flip-flop, smuggling of imported textiles and insecurity. Nevertheless, relevant stakeholders in the industry are yet again urging President Tinubu to see to the revival of the textile industry in the country as part of measures that will help address insecurity and unemployment. Speaking with LEADERSHIP Sunday, the president of the National Union of Textile Garment and Tailoring Workers of Nigeria (NUTGTWN), Comrade John Adaji highlighted He said successive administrations since the inception of the new democratic dispensation in 1999 have demonstrated interest in reviving the labour intensive textile industry in particular and the manufacturing sector in general. Also speaking, former minister of State and chairman, Arewa Consultative Forum (ACF), Architect Gabriel Aduku, said reviving the textile industries will not only create employment opportunities for teaming unemployed youths in the country, but will also reduce to its barest minimum rate of insecurity in the country. ]He stressed that Nigeria is blessed with opportunities that will address its challenges, adding that the government only requires the political will to fix it. Apart from the textile industry, the Ajoakuta steel, he said, is another area that requires proper resuscitation for optimum advantages. The interest of previous governments in the textile industry dates back to the Olusegun Obasanjo administration (1999-2007), which launched a N70billion Textile Development Fund to revive the ailing industry. This was followed by a N100billion Cotton, Textile and Garment Fund during the tenure of the Musa Yar’Adua/Goodluck Jonathan government (2007-2015). Similarly, the Muhammadu Buhari government has launched at least three textile industry intervention funds since 2015 when he became president, including a N225billion fund, N50billion revival fund and another N19 billion cotton fund. Former President Umaru Musa Yar’Adua also made spirited efforts to revive the ailing textile industry in 2009 when he approved the setting up of another N100 billion cotton, textile and garment fund to enable key players to have access to cheap funds. According to the Bank of Industry (BoI) which managed the fund, the majority of the funds were disbursed. However, there is no tangible improvement in the dwindling fortunes of the textile sector. In December 2012, the administration of former President Goodluck Jonathan also injected another N60billion into the nation’s textile industry to revitalise the sector. About a year later, another N40billion was pumped into the sector by the Bank of Industry. As promised, the president made the CBN to release a N50 billion special mechanism fund in 2020 to revive the ailing industry. According to the CBN, the funds were to be administered by the Bank of Industry at 4.5 per cent interest rate, using any of the CBN-approved non-interest instruments for refinancing of projects, long-term financing for the acquisition of plant and machinery and working capital for the beneficiaries. Beneficiaries can access a maximum amount of N2billion (a single obligor for new facilities) and N1 billion for refinancing. The seed fund, a one-off intervention, will terminate on December 31, 2025. Speaking with LEADERSHIP Sunday, Comrade John Adaji of NUTGTWN acknowledged how former President Obasanjo, the late President Yar’Adua and former President Goodluck Jonathan had put in place a number of policy measures to resuscitate the textile industry and promote local manufacturing as part of efforts to transform the industrial sector, create mass decent employment and diversify the nation’s economy, but all in vain. He said, “Significantly, the Nigeria Industrial Revolution Plan (NIRP) and the Cotton Textile and Garment (CTG) Policy under former President Goodluck Jonathan and President Muhammed Buhari raised a lot of hope for industrial revival. However, as laudable as some of these measures, there was a huge gap between policy pronouncement and implementation. “With all the acknowledged efforts of the past governments before President Buhari, they never made revival of textiles a campaign promise as President Muhammadu Buhari did. President Buhari upon assumption of office in 2015 made the famous promise that jobs will be created by his administration as part of efforts to revive the economy. “He assured that his administration would resuscitate the textile industry, re-open the closed ones and attract new investments to reduce unemployment. The President reiterated his commitment to revive the industry during the historic courtesy call on him by the leadership of the union and textile employers on Tuesday July 23rd 2019 at the Aso Rock Villa, Abuja.” Textile manufacturers and indeed the union, he said, were optimistic that President Buhari administration would consolidate on the few gains of the past, avoid policy mistakes of the past, help to revive all closed textile factories and attract new investment consistent with the campaign promise He continued: “The situation is that the Nigeria textile sector was better in 2015 than it was at the end of the administration of President Muhammadu Buhari in May 2023. Many textile companies have been forced to close down in Kano, Kaduna and Lagos with over 15,000 direct job losses. Nichemtex Nigeria Limited based in Ikorodu Lagos with over 6,000 workers is among the closed factories. “The importance of industry cannot be over-emphasized. The key to real transformation and economic recovery lies in manufacturing and promotion of small and medium scale enterprises. The cotton, textile, garment sector in particular is crucial for strengthening economic recovery, boosting employment and creating wealth for Nigerians. As a matter of fact, worldwide, textile being the engine for industrialization has always been jealously protected by all governments. “Unrestrained importation of fake, counterfeit and substandard textile products is a major problem facing the Nigerian textile industry. Today, over 90 per cent of textile products in Nigerian markets are smuggled or imported into the country. Other key challenges are unstable and high cost of electricity, essential raw materials, high exchange rate, devaluation of the Naira, low patronage and absence of clear industrial policy among others”. On expectations from the new administration, Comrade Adaji said, “We are hopeful that President Bola Ahmed Tinubu led government will give the revival of the labour intensive textile industry the urgent attention it requires. We hope to partner with the new administration with a view of generating ideas for sustainable industrial revival, wealth creation and mass decent employment”.
Source: The leadership.ng
