INTERNATIONAL
NATIONAL
In a report, Dipali Goenka, the Managing Director and CEO of textile giant, Welspun India, has spoken about a substantial investment of Rs. 300 crore to advance the company’s production efficiency. This capital infusion will be primarily focused on green energy initiatives and streamlining operational bottlenecks. Welspun India, with a market capitalisation of Rs. 12,174.6 crore, has 90 per cent of its business export-oriented. Despite a rise in debt from Rs. 1000 crore to Rs. 1800 crore, Goenka noted that these figures represent an improvement compared to the previous year. Highlighting Welspun India’s commitment to investments, the CEO also noted that during the last quarter, Welspun India has already allocated Rs. 51 crore towards green energy initiatives. Looking ahead, the company aims to invest Rs. 300 crore by the end of 2024, out of which Rs. 200 crore will be allocated for the green energy projects and an additional Rs. 100 crore for maintenance and de-bottlenecking. Goenka emphasised the company’s ambitious goal of achieving a debt-free status by the end of 2025 and the beginning of 2026, despite the gradual increase in debt figures. She attributed the current net debt of Rs. 1000 crore to the impact of the Biparjoy storm and the delayed share buyback originally scheduled for July 2023. With Welspun’s strong presence in home furnishings and terrycloth, Goenka aims to sustain strong trade with the US, the largest consumer of home textiles, globally. She expressed excitement about H1, driven by the holiday season with Christmas and Black Friday, while remaining cautiously optimistic for H2.
Source: Apparel resources
Prime Minister Narendra Modi will travel to Jakarta, Indonesia, on Wednesday, to attend the 20th ASEAN-India Summit and the 18th East Asia Summit (EAS) where he will take stock of progress in India-ASEAN ties, especially in the area of trade and security. Since the PM has to return to India for the G20 Summit, his visit to Indonesia will be brief and no bilateral meetings have been scheduled on the sidelines of the ASEAN and East Asia Summits, said Ministry of External Affairs Secretary (East) Saurabh Kumar at a briefing on Tuesday. Modi will be back in India on September 7. The ten-member ASEAN — which includes Indonesia, Malaysia, the Philippines, Singapore, Thailand, Brunei, Vietnam, Laos, Myanmar and Cambodia — is India’s significant trade partner and accounted for 11.3 per cent of India’s global trade in 2022-23. However, since the ASEAN India Trade in Goods Agreement (AITIGA) was implemented in January 2010, the trade deficit between the two countries has widened significantly, prompting India to ask for a review. India’s trade deficit with the ASEAN, which was at about $5 billion in 2010-11, spiralled to $43.57 billion in 2022-23. India exported goods worth $44 billion in 2022-23 to the ASEAN while its imports from the bloc were at $87.57 billion. The two sides have now decided to start the review process for the AITIGA with India insisting on a more balanced trade. While the Indian PM will mention trade, which was an important item of engagement with the grouping, at the summit, the detailed aspects of it would be worked out during the negotiations, the Secretary said. The ASEAN-India Summit will be the first summit since the elevation of ties between the two sides to a comprehensive strategic partnership last year. The Indonesian government advanced the timings of the EAS so that Modi could come back early for the G20 Summit, Kumar said.
Source: The Hindu business line
The online fashion and lifestyle industry in India is now worth $11 billion and is slated to grow at a 25% compound annual growth rate (CAGR) to $35 billion by 2028, according to a joint report by consultancy Bain & Company and Aditya Birla Group-owned house of brands firm TMRW. Traditional brands that have largely operated offline, such as Louis Philippe and Puma, have seen their online businesses grow 34% between 2019 and 2023 to $2.5 billion. New-age online-first brands such as The Souled Store and Bewakoof have seen their online businesses expand 33% since 2019 to $2.4 billion; they are projected to grow at an annual rate of around 35% to hit $10 billion by FY28, the report said. “Digital fashion brands have also started to focus on the specific needs that customers have. These brands can over-index on that to build stickiness in customers, and they’re already seeing traction. This approach is pretty different from what traditional brands would have done in the same space,” said Radhika Sridharan, partner, consumer products, retail, strategy and digital practices, Bain & Company. The report analysed over 700 digital brands and over 1,000 consumers in the online space. Of the brands analysed, less than 10% have scaled up beyond Rs 50 crore, the report noted. However, the number of brands exceeding Rs 250 crore in revenue is projected to jump five times by FY28, led by categories such as expressivewear, ethnicwear, and jewellery. “The number of breakout brands in fashion has not been that many, and it is not just that capital is a constraint, sometimes capability is a constraint too… This is one of the most complex categories, from the front end demand sensing to the back end supply chain, from design to sourcing to product innovation. So getting everything right is where the complexity kicks in,” said Prashanth Aluru, chief executive and cofounder of TMRW. Between January 2018 and May 2023, about 100 Indian online beauty and personal care firms cumulatively raised about $950 million in funding, followed by online apparel firms, which raised $430 million, and jewellery and accessories companies, which garnered $150 million, according to the report. “The category has been very fragmented… GenZ and millennial customers are going to contribute to 75% of sales for some of these digital-first brands and that share keeps growing. Brands across every category are interested in attracting that customer,” Sridharan added.
Source: Economic times
Later this week, New Delhi will host the most significant global forum in its history. The United Arab Emirates is proud to participate as a special guest of India. The G20 summit comes just two weeks after another significant global event, the Brics grouping is expanding with the UAE becoming a full member in January 2024. Becoming a member of an extended Brics grouping reflects the UAE’s keenness to champion the value of multilateralism in supporting peace, and development for the benefit and the wellbeing of peoples and nations across the world. The UAE and India have long-established strong and robust strategic relations, rooted in cultural and economic ties that have developed over many years. Following the official visit to the UAE in July by Narendra Modi, a new chapter in our relations is being written, with a deeper level of cooperation and strategic partnership, to unlock a future with unlimited potential for both our nations and peoples. Notably, the leaders agreed to enhance bilateral partnership in renewable energy—including green hydrogen, solar energy and grid connectivity—among other areas. In 2017, the UAE-India relationship was formally elevated to a Comprehensive Strategic Partnership during the visit of UAE President Sheikh Mohamed bin Zayed Al Nahyan to New Delhi as chief guest at India’s Republic Day ceremony. Today, the UAE-India relationship is even stronger and broader, as evidenced by mutual tourist visitation numbers, the still-growing cross-cultural and economic ties, and the significant numbers of Indian and UAE companies that operate in both countries. Indeed, according to FDI Markets, the comprehensive online database of cross-border investments, since 2003 there have been 217 UAE firms investing in India and 698 Indian companies investing in the UAE. Based on this foundation, the UAE’s first ever comprehensive economic partnership agreement (CEPA) was signed with India in February last year, and came into force in May 2022. The two nations are launching a new era of economic and trade collaboration. The Dirham-Rupee Trade Agreement showcases both nations’ commitment to further enhancing ties and will encourage increased bilateral trade between the UAE and India, accelerating progress toward the target of USD 100 billion in non-oil trade by 2030. Including oil, India-UAE trade was already at USD 85 billion in 2022, making the UAE India’s third-largest trading partner and India's second-largest export destination. Through the dirham-rupee trade agreement, the bilateral relationship will be taken to the next level, with tangible benefits including easier cross-border trade payments with lower transaction costs. Under this agreement, a UAE importer will be able to make payments in dirhams at market exchange rates and vice versa for Indian companies, without having to go through currency exchanges, making it easier to trade. Ultimately, this agreement opens a broad range of opportunities that provides more choice to businesses. Türkiye and Cambodia, with more under discussion. The CEPA helped UAE-India bilateral trade grow 16% and reach an all-time high in fiscal year 2022-23. The UAE has been named the fourth-largest investor in India in 2022-23, a significant rise from the seventh position a year ago, further reflecting the increased commitment to encouraging mutual growth. The Abu Dhabi Investment Authority has announced plans to establish its presence in Gujarat International Finance Tec-City (GIFT City), India’s first financial services special economic zone, to further facilitate investment opportunities for the UAE in India.
Source: Hindustan times
The latest GDP numbers for the economy reveal an interesting phenomenon. The growth rates in both nominal and real terms are almost the same, at 7.8-8 per cent. This means there is hardly any difference in the growth rates when production is reckoned at current prices and at constant (base 2011-12) prices. Normally the growth in GDP in nominal terms tends to be higher than that of real GDP. The answer lies in the queer case of inflation in India, where CPI inflation is moving in the positive direction, and quite prodigiously, WPI inflation is in negative territory. Technically the difference between the nominal and real GDP of any country is the GDP deflator and that is a derived number. The way the GDP numbers are calculated is that output is reckoned in nominal terms, which is at current prices; this is how they are available in the market. This is the data that comes from balance sheets of companies or tax collections which are always at current prices. Real GDP in a way reflects the physical volume of goods and services denominated in monetary terms which takes out the inflation effect. To arrive at the real numbers, which is what is quoted when we talk of GDP growth, price deflators are used. For every component of nominal GDP there are appropriate price deflators. And in this calculation, the WPI indices are generally used. Hence, if WPI inflation is in the negative zone, which is what it was in Q1, then growth at both constant and current terms would tend to converge. For Q1, the WPI registered -2.7 per cent growth with the three components primary, fuel and manufactured goods witnessing negative inflation of -1 per cent, -7.1 per cent and -2.7 per cent, respectively. Given the overall wholesale price environment, it does look like that this will be the trend during the course of the year as global commodity prices have a role to play here. This will in turn bring about near convergence in these two rates. If this is the case, then the normal assumption that economists work with, which is that nominal GDP growth will generally be 4-5 per cent higher than real GDP growth will definitely not hold. In FY23 for instance, the difference between nominal and real GDP growth rates was 8.9 per cent while it was 9.4 per cent in FY22. Does this create a problem? The answer is yes. When we talk of becoming a $5 trillion economy, the reference is to the size of the economy in nominal terms. Low nominal growth will come in the way of achieving this target; the time taken to reach this mark will be more. More so if low global inflation continues for another year, which cannot be ruled out as the IMF does not see a major bounce-back of the world economy in 2024, prices will remain benign in the absence of a China shock. Under normal conditions of ‘deflator’ inflation at 4-5 per cent, it would take us four more years to reach the target. The challenge becomes stiff under such deflationary conditions.
Source: The Hindu business line
Reserve Bank is planning to extend wholesale Central Bank Digital Currency (CBDC) as token for interbank borrowing or call money market, RBI sources said on Tuesday.The pilot in wholesale segment, known as the Digital Rupee -Wholesale (e?-W), was launched on November 1, 2022, with use case being limited to the settlement of secondary market transactions in government securities. "RBI is now planning to go into interbank borrowing market. The purpose of wholesale CBDC has been to try out different technologies...Experimenting on technology is relatively easier for wholesale pilot because participants are related," RBI sources said.
Source: The zeebiz.com
INTERNATIONAL
Beaulieu International Group will turn the spotlight on geotextile products with sustainability benefits to support progress in resilient civil engineering projects at the 12th ICG Rome from September 18-21, 2023. Visitors are invited to Stand #56 for developments from Beaulieu Fibres International (BFI) and Beaulieu Technical Textiles (BTT) following the roadmap “ROUTE 2030, Destination: zero environmental footprint” of Beaulieu International Group. Discover options to target fossil carbon reduction by choosing PP-based staple fibres or woven geotextiles that are among the lowest in carbon footprint for geosynthetics. “12 ICG Rome is bringing the geosynthetics and geotechnical engineering community together to present their recent experiences and developments. As a materials solution provider at the front end of the value chain, our industry role is to come forward with durable solutions as the whole geosynthetics industry has focused on the sustainable use of geosynthetics in a variety of innovative as well as consolidated applications. “Geosynthetics, Leading the Way to a Resilient Planet”, is a pertinent conference theme which we are proud to support,” comments Jefrem Jennard, sales director Fibres.
Lowering impact with HT8 Fibres For manufacturers of nonwoven geotextiles, BFI offers PP fibers with > 25 percent carbon footprint reduction compared to the European standard PP fibers, generating 1.48 kilograms carbon dioxide/kilograms PP fibers. A step further is to accelerate the replacement of fossil carbon in engineered fibre applications by choosing its ISCC Plus certified bio-attributed MONO-PP with a negative carbon footprint. For construction projects, nonwoven geotextiles made with high-tenacity HT8 fibers are proven to secure a longer service lifetime and reduce the environmental impact, as they offer high mechanical performance at a reduced weight.
New finished engineering textiles Roy Kerckhove, sales director Technical Textiles, added: “Geotextiles provide highly versatile, durable and natural resource-saving alternatives in large infrastructure works, and offer durable protection in erosion control and waste/water management projects. We are continuously developing our finished engineering textiles with proven sustainability-enhancing benefits, while taking concrete steps to reduce our own environmental footprint.” BTT’s woven geotextiles provide a wide range of functions, including separation, filtration, reinforcement and erosion control, and are among the most sustainable in the industry. Depending on weight, the carbon footprint of its woven geotextiles (m²) ranges between 0.37 and 1.40 kg CO2 equivalents/m². They also minimize the use of natural resources for more sustainable infrastructure development. Case studies such as at the Ostend-Bruges airport highlight significant CO2 reduction on the jobsite by replacing the transport of 960 trucks of gravel with 3 trucks of woven geotextiles, and by extending the runway’s life span. The ICG launch of its new line Terralys MF woven filtration geotextiles with monofilament boosts the performance of a common solution in building layers that require high water flow rates. High-tenacity extruded polypropylene tapes and monofilaments are interwoven to form dimensionally stable and highly permeable geotextiles. These new filtration geotextiles provide greater resistance to dirt and biological clogging. They allow water to travel freely while reducing soil erosion when employed as a separation and stabilizing layer.
Environmental Product Declarations As of September 2023, all PP staple fibers and woven geotextiles will have Environmental Product Declarations (EPD) based on LCAs. Each EPD is an essential tool for communicating and reporting on the sustainability performance and helps carbon-conscious customers in their purchasing and decision making. Registered EPDs are globally recognized, publicly available and free to download through EPD Libraries. The engagement to sustainability is rooted in Route 2030. Sustainability improvement is key to the long-term strategy of Beaulieu International Group, and it is committed to supporting the geotextile industry by targeting and accelerating change and communicating the sustainable performance of its products. Beaulieu will steadily accelerate and achieve further milestones.
Source: Textile world
Sustainable textile manufacturer Ventile and textile livery company The Worshipful Company of Weavers launch a joint forum to review recent textile industry developments and promote sustainable production methods. A chosen number of Weavers’ Company members will visit Ventile’s headquarters in Zurich, Switzerland, to exchange best practises, learn about market trends, and advance sustainability. Ventile notes that both businesses are eager to promote the value of tradition, experience, and technological pedigree in the textiles industry, which is how the educational relationship came about. The event, which is a first for the organisations, will be held at Cilander in Herisau, where Ventile makes its technical cotton fabric, and it will be followed by a roundtable discussion and knowledge-sharing panel with company executives. Ventile brand director Daniel Odermatt says, “When the team from The Weavers’ Company got in touch to arrange a visit, we were thrilled. The company represents a long line of historical weavers and has been pivotal in the development of the British textile industry.” In order to best support and inspire young people in the industry, Peter Baxendell, an officer and upper bailiff of the Weavers’ Company, adds that the organisation’s members continue to take a keen interest in all facets of the textile and weaving sectors.
Source: Apparel Resources
China's top economic planner is creating a new department to help private businesses, the latest step by the government to revive confidence in the sector and bolster growth. The private economy development bureau will be responsible for tracking and analysing the state of the industry, along with coordinating and drafting policies to promote its growth, the National Development and Reform Commission announced Monday. Beijing has unveiled a drip-feed of policies in recent months intended to revitalise private companies and attract foreign investment, with President Xi Jinping over the weekend vowing to ease market access and create opportunities for global cooperation. "It is rare for the government to set up an agency specialized in a certain sector. It sends a policy signal for guiding expectations in an institutionalized way," said Bruce Pang, head of research and chief economist at Jones Lang LaSalle Inc. Private firms are major employers in the economy and contribute to more than half of the nation's fixed-asset investment. Years of regulatory crackdowns and pandemic controls shattered confidence in the sector, with once-dominant firms like Alibaba Group Holding Ltd. shrinking dramatically. Concerns about private enterprise are acute this year as the economy struggles to combat a laundry list of challenges from the property crisis and falling exports to deflationary pressures. The new bureau will also regularly talk to companies and help them resolve their main problems, as well as support their attempts to improve international competitiveness, said NDRC official Zhang Shixin at a Monday briefing. In July, the ruling Communist Party and the government pledged to treat private companies the same as state-owned enterprises a move seen by investors at the time as a framework for future support.
Source: Economic times
Students at the London College of Fashion (LCF) have partnered with British textile manufacturer Hainsworth to design a 100-percent merino wool bespoke jacquard cloth for their final year university project. The collaboration challenged students from LCF’s BA (Hons) Bespoke Tailoring course to design a custom cloth, with the winning designs invited to weave and finish their fabric at Hainsworth’s West Yorkshire heritage textile mill and incorporate their unique jacquard patterns into their garment collections. Throughout the 2022/23 academic year, students worked on a project that combined innovative design with the expertise of traditional weaving techniques — using Fine Merino Double fabric and a specific color palette. Three student designs were selected for weaving at the AW Hainsworth HQ, with Textile Designer Andrea Noble’s guidance in adapting their weaving concepts. Winning designs by Gabriella Mann, Onora Menekse, and Enya Judge were selected for showcasing originality, craftsmanship, and sustainability — aligned with Hainsworth’s commitment to slow fashion values. Andrea Noble, Design and Product Development manager at AW Hainsworth, said: “We were so impressed by all the students who submitted for our brief, but Gabriella, Onora and Enya stood out for their striking designs, storytelling and a strong understanding of how a jacquard weave can be incorporated into modern, refined tailoring.” Gabriella Mann’s innovative vision, Enya Judge’s monochromatic, hand-painted design, and Onora Menekse’s exploration of nationality and culture encapsulated the project’s essence. Their designs were brought to life through a visit to the Hainsworth Mill, where they watched their creations woven using jacquard looms. The collaboration finished with a presentation at LCF’s end-of-year salon show at Protein Studios in Shoreditch last month, giving future tailors Enya, Gabriella, Onora, and fellow students a chance to showcase their collections. “This year we were delighted to partner with luxury British textile manufacturer AW Hainsworth & Sons who collaborated with three of our final year students, to weave and finish a bespoke length of Fine Merino Double cloth to the student’s individual jacquard designs, which they have incorporated into their collections,” said Daniel Poulson, BA (Hons) Bespoke Tailoring Course Leader at London College of Fashion. Hainsworth, a subsidiary of AW Hainsworth and a pioneer in the slow fashion movement, aims to connect environmental, ethical, and social responsibility to create beautiful, well-made garments that stand the test of time. Designers, tailors and garment manufacturers choose Hainsworth’s premium woollen textiles from diverse industries, united in their desire for the best craftsmanship and true British provenance.
Source: Textile world
