INTERNATIONAL
Textile Raw Material Price 2016-09-05
|
Item |
Price |
Unit |
Fluctuation |
Date |
|
PSF |
1011.50 |
USD/Ton |
0% |
9/5/2016 |
|
VSF |
2462.91 |
USD/Ton |
0.06% |
9/5/2016 |
|
ASF |
1885.34 |
USD/Ton |
0% |
9/5/2016 |
|
Polyester POY |
1039.93 |
USD/Ton |
-0.07% |
9/5/2016 |
|
Nylon FDY |
2364.15 |
USD/Ton |
0% |
9/5/2016 |
|
40D Spandex |
4414.09 |
USD/Ton |
1.03% |
9/5/2016 |
|
Nylon DTY |
2558.67 |
USD/Ton |
0% |
9/5/2016 |
|
Viscose Long Filament |
5593.17 |
USD/Ton |
0% |
9/5/2016 |
|
Polyester DTY |
1298.04 |
USD/Ton |
0.99% |
9/5/2016 |
|
Nylon POY |
2034.97 |
USD/Ton |
0.74% |
9/5/2016 |
|
Acrylic Top 3D |
2057.41 |
USD/Ton |
0% |
9/5/2016 |
|
Polyester FDY |
1177.59 |
USD/Ton |
0.90% |
9/5/2016 |
|
30S Spun Rayon Yarn |
3037.49 |
USD/Ton |
0% |
9/5/2016 |
|
32S Polyester Yarn |
1720.75 |
USD/Ton |
0% |
9/5/2016 |
|
45S T/C Yarn |
2401.56 |
USD/Ton |
0% |
9/5/2016 |
|
45S Polyester Yarn |
1885.34 |
USD/Ton |
0% |
9/5/2016 |
|
T/C Yarn 65/35 32S |
2259.41 |
USD/Ton |
0% |
9/5/2016 |
|
40S Rayon Yarn |
3187.12 |
USD/Ton |
0% |
9/5/2016 |
|
T/R Yarn 65/35 32S |
2379.12 |
USD/Ton |
0% |
9/5/2016 |
|
10S Denim Fabric |
1.37 |
USD/Meter |
0% |
9/5/2016 |
|
32S Twill Fabric |
0.84 |
USD/Meter |
0% |
9/5/2016 |
|
40S Combed Poplin |
1.18 |
USD/Meter |
0% |
9/5/2016 |
|
30S Rayon Fabric |
0.70 |
USD/Meter |
0% |
9/5/2016 |
|
45S T/C Fabric |
0.67 |
USD/Meter |
0% |
9/5/2016 |
Source: Global Textiles
Note: The above prices are Chinese Price (1 CNY = 0.14963 USD dtd. 5/09/2016)
The prices given above are as quoted from Global Textiles.com. SRTEPC is not responsible for the correctness of the same.
India is faring reasonably well on the export front in spite of the global slowdown and Indian companies are entering new markets with the aid of the Exim Bank, according to Chairman and Managing Director Yaduvendra Mathur. He was speaking here to the media after participating in the graduation ceremony of the Gitam School of International Business on Saturday. He said India had fared much better than most countries on the export front.
Credit to Africa
“We are extending line of credit to many African countries and Asian countries and facilitating project exports and other exports to those countries from India,” he said. He said the Make in India campaign was good, but “merely making in India is not sufficient, we should make for the world markets. Indian companies should make their presence felt in the international markets, with our focus being on manufacturing.” Mathur said the new Andhra Pradesh would play a big role in export promotion and tapping the overseas markets, as “the State government is laying emphasis on port-led growth. We have signed a memorandum of understanding with the AP Government to promote exports from the State and help the industry in the State.”
Film financing
As an export promotion agency, he said the role of Exim Bank would assume greater importance in future, as India gets integrated with the world markets. The bank would also continue financing films, up to Rs. 50 crore per film. Mathur said the Exim Bank was planning a tie-up with SBI Cap to help mid-cap Indian companies raise resources through masala bonds. He said the response to such bonds in the market was good.
SOURCE: The Hindu Business Line
In the next three years, operational efficiency at domestic ports will be on par with global ports like Singapore or Antwerp, according to N Muruganandam, Managing Director, Indian Ports Association, a representative body of all major ports. “By 2019, the target is to achieve global standards in operational efficiency. Whatever standards seen in Singapore, Antwerp, Rotterdam ports, we should be able to achieve in the next two to three years,” he said at a CII conference on Multi-port Challenges in Business, “Finding Balance in the Rolling Sea.” Infrastructure will also improve at major ports. For instance, Kamarajar port at Ennore and Goa ports will have draft of 18 m to handle large ships. Similarly, at JNPT, draft will be increased to 15 m and at VOC port in Tutucorin to 14.5 m. These projects will help Indian ports the best global ports in terms of infrastructure, he said.
Turnaround
Major ports were facing slow growth and losing market share continuously for last seven years to non-major ports. However, last fiscal, major ports made a turnaround by registering a 4 per cent growth, while private ports grew at less than 1 per cent. Collectively, Indian ports handled over 1 billion tonnes of cargo in 2015-16. Kandla alone handled over 100 million tonnes of cargo, which was a landmark, he said. Profitability of major ports too improved last year with Kamarajar port as one of the most profitable ports, while JNPT earned Rs. 1,000 crore as net surplus, he said.
Clusters
On port clusters, Muruganandam said diverting port cargo movement to rail and waterways from road is an area that needs lots of work, especially in Chennai. In JNPT, evacuation of cargo by rail is 17-18 per cent, which itself is low. However, Chennai — though well connected by rail — cargo movement by rail is only 5 per cent with the rest is moving by road leading to congestion. Chennai cluster has got four ports — Chennai, Katupalli, Kamarajar and Krishnapatnam. Next to the West (JNPT, Mundra and Pipavav), Chennai is a dynamic cluster with lots of potential. In terms of containers, nearly 70 per cent shift through western cluster and 14-15 per cent through Chennai, which has been tapering off especially in containers. This is a worrying factor. There has been a lot of growth in coal handling but it was flat with container cargo, he said.
SOURCE: The Hindu Business Line
A truck is trundling its way to Delhi, making history along the way. In Gadar: Ek Prem Katha (2001), Sunny Deol's character had sung with enthusiasm about driving across the subcontinent through Amritsar, Lahore. That's a road too far but our real life lorry is still important. It's carrying goods made for global retail chain Marks & Spencer, having left the Bangladeshi capital Dhaka on August 28 and set to reach Delhi on Monday. It will mark the start of an endeavour to create a seamless mega market comprising Bangladesh, Nepal, Bhutan and India (sorry Sunny, no Pakistan). There is a clear cost and time advantage to through transport. "We are expecting the freight cost to come down by 20% and transit time by three days due to this," said Nidhi Dua, India country manager for Marks & Spencer. "Earlier the Bangladeshi trucks had to be offloaded at the border and the goods shifted for onward journey into India in Indian trucks."
Apart from the delays, goods would get damaged as they were transferred between trucks besides making them vulnerable to the weather and pilferage. The pilot run of the Bangladeshi truck through customs-free borders is being monitored in real time thanks to an onboard chip. The template may be followed for all forms of such movement. "This will help in seamless move ment of both goods as well as passenger vehicles across borders within the South Asian region," a senior customs official told ET. As part of the Motor Vehicles Agreement (MVA) signed among the countries cited above in June 2015, trucks can cross borders with just a cargo manifest and a document seeking temporary admission. An electronic seal is affixed when a vehicle reaches the first land customs station in the destination country. The first truck is part of trials to help draw up protocols to facilitate trade while maintaining effective controls. "We have been monitoring the truck's movement since it left Benapole, the Bangladesh checkpost near Petrapole," said the official cited above. "Customs duty on the goods would be paid in Delhi before they are released to the company." The vehicle that's coming to Delhi via Kolkata will file a bill of entry at the Inland Customs Depot in Patparganj in the capital before it is cleared, the official said. The project is in partnership with the Asian Development Bank, which is supporting the project by helping to create better physical infrastructure in the four countries. It's supporting over 30 priority road projects with a total estimated cost of over $8 billion. The opening up is expected to help boost development of the northeast as the transport corridor runs through that region. A World Bank study expects South Asian intra-regional trade as a whole to rise 60% thanks to the agreement. Marks & Spencer sees trade between Bangladesh and India growing thanks to the easing of transport rules. "Marks and Spencer brings in about 20 trucks of manufactured goods every month from Bangladesh," Dua said.
SOURCE: The Economic Times
Deemed exporters have a new problem. Their Terminal Excise Duty (TED) refund claims could be rejected, on the ground that the duty has been paid by utilising their Cenvat credit balance. The Pune office of the Director General of Foreign Trade (DGFT) says this decision has been conveyed through a letter dated Auguist 22 from the headquarters, issued from file number 01/92/180/01/AM7/PC-VI, addressed to Regional Authorities (RA). Its Trade Notice 19/AM16 dated August 26 says this decision to reject TED refund claims on the basis of mode of payment of duty is based on DGFT's understanding of the orders of the Bombay High Court in the cases of Sandoz (India) and Lupin Laboratories. Since the said DGFT letter directs the RAs to make necessary checks before releasing the TED refund claim, the Pune office says on this matter, no separate deficiency letters will be issued and the claimants should produce the necessary certificate from central excise that the TED has not been paid by utilising the available Cenvat credit balances. Most deemed exporters will find it impossible to do so.
DGFT's stand, as conveyed by the Pune office, is based on a completely wrong reading of the case law in question. In the said case, the Bombay HC did not deal with payment of TED by utilising the Cenvat credit at all. The matter related to denial of the TED refund claim of Export Oriented Units (EOUs) on the basis of DGFT Policy Circular number 16, dated March 15, 2013. This had clarified that no refund of TED should be granted, as the supplies are from the outset exempted from duty payment. The petitioners contended DGFT had powers only to clarify an existing provision and none to introduce a new provision in the Foreign Trade Policy (FTP) through a circular. The HC held that the provisions relating to deemed export benefits for an EOU at Chapter 8 of the FTP must be read in harmony with the provisions for an EOU at Chapter 6 of the FTP (especially Para 6.11) and that the circular only clarified the existing position. Obviously, the DGFT has neither read the case law properly nor shown any appreciation of the FTP provisions or the Cenvat Credit Rules, 2004. The FTP does not deny TED benefit based on how the duty was paid. Invariably, the manufacturers discharge their excise duty liability by utilising the Cenvat credit balance. Denial of TED refund on the basis of the mode of payment will hit deemed exporters hard, especially those making supplies to infrastructure projects, where the recipient usually does not pay the TED to supplier or take Cenvat credit. So, the DGFT should immediately withdraw this letter and clarify the correct position.
The DGFT should also stop the practice of sending letters to RAs on such critical matters and, instead, issue policy circulars and host these on the website. This May, too, DGFT had sent letters to RAs asking them to deny the benefits under the Merchandise Exports from India Scheme on certain pretexts, rather than issue a Circular and let everyone know his views. Deemed exports enable domestic manufacturers to compete with duty-free imports. Unnecessary, arbitrary and illegal restrictions on their dues undermine those who 'Make in India'.
SOURCE: The Business Standard
We are traders of paper and Kraft liner board in Bangalore. We are registered with the excise department and importing (100 per cent duty paid) and selling within India, and doing a little export. Now we have received an order from a SEZ unit, which has advised us to charge excise duty (pro-rata) and later get a refund from the excise department. The SEZ unit will be issuing us a disclaimer certificate for not claiming excise duty at their end. Please advise on this and on the procedure also. Before starting, do we have to seek prior permission from our excise range? What are the documents to be received from the SEZ unit?
First, please note that excise duty is a duty on goods manufactured in India. Since your item is imported, there is no question of paying any excise duty at all. What you pay as an importer is additional duty of customs (CVD), which is equal to excise duty. You also pay four per cent additional duty (SAD) that countervails the sales tax/VAT. As a registered dealer, you can pass on these additional duties paid on imported goods to your buyers in DTA, who can take credit of the same. You do not pay excise duty but only pass on the additional duties. Now, excise law is not at all applicable in SEZ. So, your customer in SEZ cannot take Cenvat Credit and so, he may not be interested in paying you the additional duties.
As you may be aware, a SEZ is deemed to be a foreign territory. So, when you supply imported goods to a SEZ in the same form without any processing, you are re-exporting the imported goods. In that case, under Section 74 of the Customs Act, 1962, you are entitled to drawback at 98 per cent of the duties paid on the imported goods, if you have not used the goods. You have to follow the procedures prescribed in Re-export of Imported Goods (Drawback of Customs Duties) Rules, 1995. Briefly, you have to file a drawback bill of export along with the import documents to the SEZ Customs and present the goods to them for examination and identification that the goods are the same as the goods imported under a particular bill of entry. You do not need permission from excise authorities for that and you do not need any document from the SEZ unit also. However, you must maintain proper records as a registered dealer and report the transaction in your excise returns.
We expect to get allotment for setting up a duty free shop at New Delhi international airport. Do we have to get a bonded warehouse licence? If so, how shall we apply?
Yes. You have to apply for licence under Section 58A of the Customs Act, 1962 in the form prescribed under CBEC Circular no. 26/2016-Cus dated June 9, 2016. The licensed premises are to be used for storage of bonded goods before they are removed to your duty free shop.
SOURCE: The Business Standard
India’s growth potential is the best among the fastest growing major economies and the country should grab the opportunity to corner as much global capital as possible at a time when one third of the world’s government bonds worth $13 trillion is having a negative yield, said Deepak Parekh, chairman of Housing Development Finance Corporation (HDFC) on Saturday. The largest mortgage finance company of the country, which on Friday completed its second tranche of Masala bond offering of Rs 500 crore by selling it to Province of British Columbia, said the world is increasingly looking at India as an investment destination. “Against a backdrop of tepid global growth, no other large economy is showing the growth potential that India has,” Parekh said at an event organized by Indian Merchants Chamber (IMC) on Indian Railways. However, India is still starved of capital, especially to fund projects that require large capital expenditure. At a time of negative global yields, it is an “opportune time for India to reach out and ensure it receives a larger share of long-term foreign direct investment”. Parekh also praised the present government for improving India’s investment climate. “No doubt, improving the investment climate is not an easy task. No other government in India has made such a concerted effort to garner foreign investments than our present government,” he said, adding, “efforts towards improving the ease of doing business have been done with the key objective of raising more resources to fund India’s infrastructure and growth.”
India’s low rank in ease of doing index, which is currently at 130 out of 189 nations, can improve with recent measures such as making it easier to start a business, increased number of on-line approvals, transparent bidding norms through e-auctions for all government tendering, introduction of the Bankruptcy Code and several other micro reforms.“... the underlying message is that India means business and the government is working hard to dispel apprehensions with regards to bottlenecks and red tape,” he said. To compensate for the lack of private sector capex, the government has stepped in “aggressively to build-up infrastructure across a range of sectors,” Parekh said.“While many of these projects are still a work-in-progress, there is a flurry of activity across ports, water ways, airports and smart cities. Increased installment capacities in renewable energy have been put in place and of course, a number of initiatives in the railways to improve services are underway.”According to Parekh, Indian Railways should monetize some of its huge land bank. “The time has come for a careful evaluation of the railway’s assets. If resources are scarce, there needs to be greater focus on creating core assets while hiving off other assets,” he said, adding, “the railways should monetize some of its land holdings. This land may well be used for affordable housing and in turn it could bring in large resources for the railways.”
SOURCE: The Business Standard
British Prime Minister Theresa May and Indian Prime Minister Narendra Modi agreed on Monday to look at ways to retain strong trading links after Britain leaves the European Union, a British official said. "The Indians said they wanted to look at how we could continue to have a strong trading relationship and there was agreement that as we prepare to leave the EU, we should be exploring what that looks like," the official said. "Prime Minister Modi said that we had always been an important partner for India and nothing about leaving the European Union would change that." The two leaders were meeting on the sidelines of the G20 summit in the Chinese city of Hangzhou.
SOURCE: The Economic Times
Several countries from around the world are interested in striking trade deals with Britain as it prepares to leave the European Union, new Prime Minister Theresa May said. “The leaders from India, Mexico, South Korea, and Singapore said that they would welcome talks on removing the barriers to trade between our countries,” May told reporters after a G20 summit in the Chinese city of Hangzhou. “The Australian trade minister will visit the UK this week to take part in exploratory discussions on the shape of a UK-Australia trade deal,” she added.
SOURCE: The Financial Express
The international crude oil price of Indian Basket as computed/published today by Petroleum Planning and Analysis Cell (PPAC) under the Ministry of Petroleum and Natural Gas was US$ 45.24 per barrel (bbl) on 05.09.2016. This was higher than the price of US$ 43.04 per bbl on previous publishing day of 02.09.2016.
In rupee terms, the price of Indian Basket increased to Rs. 3023.63 per bbl on 05.09.2016 as compared to Rs. 2876.91 per bbl on 02.09.2016. Rupee closed at Rs. 66.84 per US$ on 05.09.2016. The table below gives details in this regard:
|
Particulars |
Unit |
Price on September 05, 2016 (Previous trading day i.e. 02.09.2016) |
Pricing Fortnight for 01.09.2016 (Aug 11, 2016 to Aug 29, 2016) |
|
Crude Oil (Indian Basket) |
($/bbl) |
45.24 (43.04) |
46.20 |
|
(Rs/bbl |
3023.63 (2876.91) |
3095.40 |
|
|
Exchange Rate |
(Rs/$) |
66.84* |
67.00 |
SOURCE: PIB
A new International Cotton Advisory Committee (ICAC) report informs that world cotton production is projected to increase 6 per cent year over year to 22.5 million tons in 2015/16. However, ICAC also estimates world ending stocks to have fallen by 13 per cent to 19.5 million tons in 2015/16, as global cotton demand outpaced production. World cotton consumption is forecast to remain stable at 23.8 million tons, with China likely to be the largest consumer in 2016/17, despite an expected decrease in mill use of 3 per cent to 7.1 million tons, which would be the seventh consecutive season of contraction. As per the report, world cotton consumption in 2016-17 is expected to exceed world cotton production by 1.4 million tons, which would bring ending stocks to 18.1 million tons, down 7 per cent from 2015/16. “Stable demand and larger crops in many of the top exporting countries are expected to lead to an increase in world trade volume of 3 per cent to 7.5 million tons,” the report said. Imports by Bangladesh are projected to increase 12 per cent to 1.2 million tons, making it the world's largest importer, while Vietnam's imports are forecast to grow also by 12 per cent to 1.1 million tons.
SOURCE: The Global Textiles
Country’s textile and apparel export to the United States market grew by 1.10 per cent to $3.23 billion in the January-July period of this year compared with that of $3.19 billion registered in the same period of 2015. In the January-July period last year, the RMG export growth in the market was 8.51 percent. Experts and exporters, however, said that the recent slow growth in the export to the US market was not a concern for Bangladesh as the downward trend was caused by fallout from a decline in global commodity prices. They said Bangladesh’s manufacturers were also getting benefits from low prices of raw materials on the global markets. According to the data released by the Office of Textiles and Apparels under the US commerce department, the RMG export of Vietnam to the US market grew by 3.15 per cent to $6.13 billion in the seven months of 2016. The data showed that the growth of Bangladesh’s export earnings from the US market started to decline from the month of March this year. Bangladesh’s RMG export to the US totalled $5.40 billion in 2015 with an 11.74-per cent growth from the year 2014. The apparel export earnings in January this year registered an 11.31-per cent growth and in the January-February period posted an 8.46-per cent growth. ‘The declining trend in export earnings growth in the US market is not a concern for Bangladesh as the prices of products decreased on the global market due to a fall in prices of commodities worldwide,’ Policy Research Institute executive director Ahsan H Mansur told New Age on Sunday. He said that the export earnings growth in value showed a declining trend but the export increased in volume. ‘The slow growth in the US market would not have any impact on Bangladesh as the country’s manufacturers are also getting the benefits from low prices of raw materials,’ Mansur said. He hoped that the prices would increase and the earnings growth would rebound.
Apparel exports of China to the US market in the seven months of this year fell by 6.37 per cent to $14.94 billion from $15.96 billion in the same period of last year. According to the US data, India’s apparel export to the US market in the January-July period of 2016 fell by 0.34 per cent to $2.32 billion from $2.33 billion in the same period of last year. Shahidullah Azim, former vice-president of the Bangladesh Garment Manufacturers and Exporters Association, said that there were two reasons — declining product prices on the global market and US presidential elections — for the slow export earnings growth in the US market in recent times. He said that the growth of global consumption of readymade garments also witnessed a slowdown. According to the US data, the overall apparel import of the US in the seven months of 2016 fell by 3.95 per cent to $45.762 billion from $47.64 billion in the same period of the previous year.
SOURCE: The Global Textiles
A second hand ban for leather and apparel products in East Africa could come in place, according to The East African Community. The East African Community Secretariat is planning to facilitate for the phasing-out of second-hand leather and apparels products, in line with a directive of the last EAC heads of state summit. The 17th Ordinary Summit of the EAC heads of state directed partner states to procure their textile and footwear requirements where quality and supply are competitively available. The view is to phase out importation of used textiles and footwear within three years. As the region seeks to promote industries in the textile and leather sector, it is important to gauge the preparation by the industry to fill the gap left by the ban. The industry may need support measures and incentives to expand investment in order to meet the sudden rise in demand for products. Governments in Africa may need to rethink and re-strategise on a more viable means of promoting the textile industry in the region even as it plans to phase out second-hand clothes. The ban will be unpopular with East Africans as many second hand clothes are costly and poorer quality, and inevitably, the poorest will suffer. The industry also employs thousands, directly and indirectly, so it could plunge many into poverty. Many factors have adversely affected the sector, including liberalisation of the economy in the 1990s. The influx of textiles into the region became a major problem, with the average capacity of utilisation in the textile mills reduced to about 50 per cent. In Kenya, for example, the textile sector was once the fifth largest foreign exchange earner in Kenya, but dropped to a minute contribution of the Gross Domestic Product from the mid and late 1990s. Governments may need to support the sector in a way that the local textile industry provides quality products at an affordable price while at the same time offering thousands of jobs.
SOURCE: The African Review
A decline in global cotton quotes in August 2016, led to heightened trading activity in the Brazilian cotton market, which too resulted in drop in Brazilian domestic cotton prices. Despite this, the average Brazilian cotton price was 15.5 per cent higher than export parity, which made sales in the domestic market more attractive than exports. So, while trading companies made cotton available in the Brazilian market, most cotton growers were focused on accomplishing previous contracts. Growers also kept an eye on the failure of the cotton crop and also low quality of the first crop arrivals. Between July 29 and August 31, the CEPEA/ESALQ Index, for payment in 8 days, for cotton type 41-4, delivered in São Paulo, dropped 6.67 per cent, closing at BRL 2.4564 or $0.762 per pound on August 31.
According to a calculation done by CEPEA on data from the Brazilian Commodity Exchange (BBM), 73.5 per cent of the 2014/15 crop, projected at 1.563 million tons, had already been traded till August. Of this, 50.7 per cent was sold in the domestic market and the rest in the international market. With regards to the 2015/16 crop, estimated at 1.348 million tons, 53.5 per cent is projected to have been traded till August. Again, of this volume, 40.9 per cent was sold in the local market and the rest was exported.
SOURCE: Fibre2fashion
The 11th Summit of the G20 major economies is expected to open a new path for growth and more efficient global economic governance, international experts have said. The Summit is being held in eastern Chinese city of Hangzhou under the theme of "Toward an innovative, invigorated, interconnected and inclusive world economy."
Overcoming global economic difficulties
The greatest challenge for the G20 is to overcome economic difficulties the world has encountered since the 2008 financial crisis erupted, Jose Angel Gurria, secretary-general of the Organization for Economic Cooperation and Development, told Xinhua in an interview this week. For Neil Renwick, professor of global security at Britain's Coventry University, a big priority for the G20 Summit is "to get the group's members back to medium and long-term strategic planning, rather than on-the-hoof crisis response." The G20 Hangzhou Summit "is essentially about consensus-building, establishing a workable middle way that can oil the wheels of the world's crowded and complex financial and economic systems," Renwick said in a recent article. "The meeting is concerned with stressing the importance of technological innovation, especially by promoting the digital economy, entrepreneurship and improved financial and economic governance through institutional reforms," Renwick said. "As a business leader, I would expect the overarching theme at the B20 (Business 20) and G20 will be the need for increased global growth and subsequently, the actions and policies needed to deliver greater growth," Mary Andringa, co-chair of the B20's SME (small-and medium-sized enterprises) Development Taskforce, told People's Daily.
Andringa, chairperson of Vermeer Corporation, said she hoped that G20 commitments would be made toward regulatory simplification, a more open and transparent business environment, ratifying the trade facilitation agreement to simplify cross-border trade. G20 commitments should also be made toward improved frameworks for public-private partnerships to enable infrastructure investment, well-thought-out guidelines for the future of electronic trade coupled with increased investment in broadband deployment, and innovative ways to close skills gaps and connect people to opportunities, Andringa said.
China's role
Gurria has hailed China for placing the challenge to overcome global economic difficulties at the very center of this year's G20 agenda. Under the theme of the Summit, there are four priorities: "breaking a new path for growth," "more effective and efficient global economic and financial governance," "robust international trade and investment," and "inclusive and interconnected development," Renwick said. Renwick highlighted an inclusive world economy, pointing out the G20 should come up with a meaningful definition of "inclusive" and actual plans and tools to make the world more so. "This is where China's year of G20 leadership has already made a positive difference," Renwick said. "It has moved sustainable development into the political center ground and set the goal of coming up with real plans for implementing massive global agreements. It has enforced a mindset of actually getting things done, for example by setting up an innovative economic indicator system for structural reforms and proposing the new anti-corruption measures." "China's goals for the G20 are a greater international focus on sustainable and inclusive development for all sections of the world's population. It has put Africa, often neglected by the West, at the top of the agenda," Michele Geraci, head of China Economic Policy Program and assistant professor in finance at University of Nottingham, said in an article. The Chinese presidency of the G20 has been very successful as the country has been very clear about the need to boost free trade and increase the flow of investment around the world, said Argentine Ambassador to China Diego Guelar. In a column written this week for Argentine daily Clarin, the ambassador said China is uniquely poised to lead the charge as it has been the highest recipient of foreign investment for the last two decades and has helped build an ever more connected and open world. "This year's agenda will fuel the German and Argentinean presidencies (2017 and 2018), which will have to consolidate the path we must walk prior to 2030, by eliminating extreme poverty and defeating international terrorism and drug trafficking (as marked in the UN's 2030 agenda)," Guelar wrote. "China has laid the groundwork for meaningful action as no G20 leader state ever has before," Renwick said.
SOURCE: The Global Textiles
Egyptian economists and businessmen stressed on Sunday that the G20 summit being held in the eastern Chinese city of Hangzhou will help Egypt attract more investments to revive its ailing economy. During a seminar organized by China Today magazine in Cairo, experts discussed the importance of Egypt's participation in the summit and how the North African country should use it to increase foreign investments. The recent global economic recession and the possible solutions the summit would offer were also on the seminar agenda. Experts stressed that the G20 summit, with Egypt's participation as a guest of honor, is an opportunity to further Egyptian-Chinese economic partnership. Mustafa Ibrahim, member of the Egyptian Businessmen's Association, said it is a big opportunity for Egypt to attract larger investments through such a world event, as it would help recover Egypt's economy which has been going down for years. The two-day G20 summit opened on Sunday amid multiple risks and challenges, aiming to find a way to bring the world economy back to a healthy growth trajectory. During his visit to Egypt in January, Chinese President Xi Jinping invited his Egyptian counterpart Abdel-Fattah al-Sisi to attend the G20 summit in Hangzhou as a guest of honor. Earlier on Sunday, Xi met with Al-Sisi ahead of the opening of the summit. During the meeting, Xi said China steadfastly supports Egypt's effort to maintain stability and explore its own development path in line with its national conditions. Xi added the two sides should strengthen cooperation in industrial capacity, finance, people's livelihood, environmental protection and infrastructure, and coordinate and cooperate closely in global and regional affairs. The Egyptian leader expressed the hope to deepen exchanges with China in the fields of industry, telecommunications, technology, agriculture, hydrology, finance, local administration, and human resources. Since the 2011 uprising, tourists and foreign investors, two major sources of Egypt's hard currency, have been deterred by the political and social unrest in the most populous Arab country. Egypt's foreign exchange reserves declined from US$36 billion in early 2011 to US$15.54 billion as of the end of July 2016.
SOURCE: The Global Textiles
Britain’s economy showed its clearest sign to date of bouncing back from the initial shock of June’s vote to leave the European Union, but a big slowdown in growth and a further Bank of England rate cut remain on the cards. A closely-watched monthly gauge of Britain’s giant services industry published yesterday saw a record leap in activity in August, echoing similar data released last week for the smaller manufacturing and construction sectors. Markit, a data firm, said its survey showed Britain’s economy was unlikely to enter a recession in the July-September period. Only a month ago, most economists and Markit’s own data suggested a recession was likely. But it said the economy was likely to slow in the three months to September, growing just 0.1 percent compared with 0.6 percent in the second quarter of the year. This would be in line with BOE’s projections made last month when it cut interest rates for the first time since 2009, and said most of its rate-setters expected to cut them again before the year’s end. “August’s Markit/CIPS services PMI confirmed that the collapse seen in July was a temporary reaction to the shock of the vote to leave the EU. But we doubt this will prevent the MPC from easing monetary policy further in November,” Scott Bowman, an economist at Capital Economics, said. The pound rallied to a seven-week high against the dollar as the services PMI beat all the forecasts in a Reuters poll to jump to 52.9 — roughly its level before the referendum — after plummeting to a seven-year low of 47.4 in July. The pound’s post-Brexit slump boosted exports and encouraged more Britons to spend their summer holidays at home. Markit economist Chris Williamson said challenges lay ahead as Britain leaves the EU and tries to secure a new trade deal, a process which could drag on until 2019 or longer. “Many companies remain worried about the outlook and how the economy will fare in the event of Brexit, suggesting that political and economic uncertainty is likely to prevail in coming months, subduing growth,” he said. A survey from the EEF manufacturers body yesterday gave the weakest outlook for investment since late 2009, and auto industry data showed that while businesses were buying new cars for their fleets, private buyers were holding off. The services PMI showed business confidence near a four-year low and the greatest upward pressure on prices in more than two years, as firms felt cost pressure from the fall in the pound. The overall rebound might reflect the lull in political upheaval after Theresa May quickly succeeded David Cameron as prime minister, but which could heat up again as the ruling Conservative Party thrashes out its differences over how to balance concerns over migration with access to EU markets. “The political debate over Brexit is beginning to ramp up again with tensions in the cabinet emerging ... and the UK still faces significant challenges in managing the Brexit process,” BNP Paribas economist Dominic Bryant said.
SOURCE: The Global Textiles
