INTERNATIONAL
NATIONAL
The Synthetic & Rayon Textile Export Promotion Council (SRTEPC) has called upon the Indian government to formulate an exclusive scheme for the Man-Made Fibres Industry to scale new domestic and global heights. Addressing the 69th annual general meeting of the Council, Mr. Bhadresh Dodhia, Chairman, SRTEPC, pointed out that global ecosystem was rapidly changing. Challenges have increased. Competition has intensified. Exporters of Manmade Fibre Textiles and Technical Textiles are required to adapt themselves to these difficult situations and have to build up strategies to survive and sustain in exports, he added. When we look back in the early 1980s, Mr. Dodhia said, world exports were equivalent to 15% of the global GDP according to IMF data. Globalisation took that ratio to 25%. However, it was a matter of deep concern that many countries are looking inward and have started becoming more protectionist. In the US, the biggest market for Manmade Fibre Textiles and Technical textiles, the growth has slowed down as interest rates stands at their highest level in 15 years - over 5%. Big buyers like Bed Bath & Beyond, once a popular US home goods retailer have filed Chapter 11 under Bankruptcy Protection. Similarly, many Countries in the EU are facing slowdown. Buyers are increasingly becoming insolvent, and a large number of exporters are facing payment defaults. In view of the above scenario, it has, therefore, become a necessity for SRTEPC members to diversify into new markets such as Africa, Latin American and CIS Countries, he advocated. Dwelling upon the Indian MMF industry, SRTEPC Chairman observed that India’s Man-made Fibre textile industry is witnessing a vibrant expansion. Today, it is able to produce almost all types of synthetic fibres, be it polyester, viscose, nylon or acrylic. However, the domestic MMF industry mainly dominant of two components i.e., polyester and viscose, which together accounts for about 94% (in volume terms). Under this, polyester accounts for about 77.5% while viscose accounts for the remaining share. During 2022, the demand for MMF continued to increase. Among other factors driving the demand, the rise in cotton prices also led to a shift of demand from cotton to MMF. In terms of trade, India witnessed a growth from USD 10.49 billion in 2018-19 to USD 11.08 billion in 2022-23, growing at a CAGR of 1.38%. However, in terms of exports, India witnessed a decline from USD 7.4 Bn in 2018-19 to USD 6.9 Bn in 2022-23 at a CAGR of -1.8%. Segments such as fiber, garments and yarn saw a negative export CAGR of 11.40%, 2.22% and 4.83% respectively, while fabric and made ups grew by a CAGR of 0.96% and 4.53% respectively in the same period. The YoY growth rate of Indian MMF exports from 2021- 22 to 2022-23 stood at -11.47%, projecting a negative growth. Similarly, YoY growth of Indian MMF exports from June 2022 to June 2023 stood at12.66%, again showcasing a trend of negative growth rate, he said. Mr. Dodhia said that it was a matter of deep concern that Exports of Manmade Fibre Textiles such as Fibre, Yarn. Fabrics and Madeups (including Home Textiles) have remained stagnant at US$ 6 Billion p.a. since the last over 10 years despite the best efforts of the Council under all its past chairmen. This is in line with the overall Indian Merchandise exports that has remained fairly stagnant at around US$ 330 billion since the last over 15 years. Currently exports have increased to around US$ 450 Billion. However, share of exports of Textiles & Clothing have declined, he pointed out.
Source: Tecoya Trend
Textile and apparel exports turned positive last month after more than six months of degrowth. With exports worth $2,951.9 millions in August this year, the year-on-year growth was 4.33% ($2829.3 million in August 2022). While textile exports increased 13.98%, apparel exports declined 8.15%. Cumulative exports of textiles and apparel for April - August, however, were 10.51% lower compared with the same period last year, shows data shared by the Confederation of Indian Textile Industry. “It (growth registered in textile exports) is too early to call it a trend. We need to wait and see for another three or four months,” said S.K. Sundararaman, chairman of Southern India Mills’ Association. Siddhartha Rajagopal, executive director of Cotton Textiles Export Promotion Council, said the demand was good for home-textile products. “The growth in cotton textiles is led by made ups,” he said. Usually demand and exports pick up during the September-March period. Garment demand is also expected revive in December-January this financial year. “The situation is not rosy. But the growth will be sustained. We need to be focused on fibre availability,” he said.
Source: The Hindu
Union Minister of Commerce & Industry, Consumer Affairs, Food & Public Distribution and Textiles, Shri Piyush Goyal, underlined the Government's commitment to improving the ease of doing business in India, making it easier to start and run businesses. While addressing the Bada Business's ‘Entrepreneurs Launchpad’ event held today in New Delhi, he highlighted the success of the Startup India initiative as the nation has witnessed remarkable growth from 450 startups in 2016 to over 1 lakh today, making India the world's third-largest startup ecosystem. Shri Goyal delivered a motivating address at the event and shared insights from his own entrepreneurial journey and the challenges he encountered along the way. The Minister encouraged all participants to dream big, be resilient, and contribute to India's progress. He expressed his best wishes for their success, envisioning a brighter future for India. Highlighting the global recognition achieved during India's Presidency of the G20, Shri Goyal emphasized how it provided an opportunity to showcase the development undertaken in the nation under the visionary leadership of the Prime Minister, Shri Narendra Modi to the world. He stressed upon the need to achieve ambitious targets, fostering self-respect and a prosperous future through hard work and dedication. The Minister acknowledged the aspirational nature of India's youth, which is eager for rapid development. He emphasized the crucial role of the country's youth as the foundation for India's development in the "Amrit Kaal." With India's average age being less than 30 years and demographic dividend continuing for the next three decades, he expressed confidence that by 2047, India's economy would experience exponential growth. Shri Piyush Goyal pointed out that the world is increasingly attracted to opportunities available in India and its diversity and economic growth. He emphasized that Indian STEM graduates are a global attraction. Highlighting India's shift away from a colonial mindset, he cited various projects like Bharat Mandapam, Yashobhoomi, Kartavya Path and Pradhanmantri Sangrahalaya as signs of this transformative change. He emphasised the Government's commitment to improving the lives of all 140 crore Indians through welfare measures such as power connection, digital connectivity, cooking gas access, piped water supply, and advancements in health and education, all under the leadership of the Prime Minister. Shri Goyal urged all citizens to work with a sense of duty and dedication toward the nation's development. He commended the Entrepreneurship Launchpad for energizing and imparting knowledge to participants, fostering entrepreneurship growth.
Source: PIB
Textile units in Tamil Nadu are unlikely to make any major investment in the near future, said S.K. Sundararaman, the newly-elected chairman of the Southern India Mills’ Association. With the opening of the PM MITRA park and the mini parks and the Salem Textile Park proposed, the infrastructure requirements of the textile industry in the State are in place. “The gains made by the textile industry in 2021 were completely wiped off in the last 12 months. The repayment for Emergency Credit Line Guarantee Scheme starts in January of 2024 and it is very difficult for investments to come in now,” he said. At the national-level, the textile industry representatives are talking to the Indian Banks Association seeking restructuring of these loans. At present, the textile and apparel industry in Tamil Nadu is looking at stabilising operations and not expansion. “Tamil Nadu has become a developed economy and the focus now is on how to future proof the industry so that it remains competitive. We are operating at maximum efficiency. The problem is with input costs.. Hence, structural issues related to power, labour, etc should be addressed with support from the State government,” he added. The textile industry in the State is largely cotton-based and has more of home textiles and apparel units that see large global consumption. Hence, investing in technical textiles by these units can be a “diversification strategy and not a replacement strategy,” Mr. Sundararaman said.
Source: The Hindu
The commitments made in the G20’s New Delhi declaration with regard to the MSMEs ought to be followed by the member nations as the sector has the potential to generate employment and promote sustained growth. The New Delhi Declaration adopted early this month said the G20 recognise that startups and Micro, Small and Medium Enterprises (MSMEs) are natural engines of growth. They are key to socioeconomic transformation by driving innovation and creating employment. “We welcome the establishment of the Start-up 20 Engagement Group during India’s G20 Presidency and its continuation,” it said. PuneetKaura, chairman of CII Delhi State Council and MD and CEO of Samtel Avionics Ltd, said: “The MSME is considered important the world over and the G20 declaration has once again underlined the need for extending financial and nonfinancial support by the governments to this sector. It was heartening for the MSME to have received the due recognition by the G20 under India’s Presidency. These promises, however, should not remain on paper, but must result in action on the ground as the sector has immense potential to generate quality employment across the country and contribute to the country’s exports, which have been suffering on account of global problems.” Bhagyashree Bhansali, CEO of The Disposal Company (TDC), said that to further promote startups/MSMEs, the government should simplify regulatory processes, enhance access to affordable capital, foster industry-academia collaborations for innovation, and provide targeted skill development programmes. Creating robust incubation and mentorship ecosystems will also nurture entrepreneurship and innovation in India. “Startup/MSMEs are at the forefront of promoting digital technology and sustainable growth. They drive innovation in AI adoption, enhancing efficiency and reducing environmental footprints. By creating tech-driven solutions, they enable businesses to operate sustainably, fostering a future where technology and environmental stewardship go hand in hand, advancing India’s socio-economic transformation,” she said.
Source: Bizzbuzz
India’s exports to the European Union (EU) could be impacted due to the trade bloc’s proposed Carbon Border Adjustment Mechanism (CBAM) and other green initiatives, the Centre for Energy, Environment and Water’s report noted. As per the report, the impact would translate into 43 per cent of India’s exports to the EU, which is among India’s key export markets after the United States (US). "If CBAM sectors are added to the list, then the exports of at-risk sectors amount to USD 37 billion, which is approximately 43 per cent of India’s exports to the EU as of 2022," said the report authored by Prerna Prabhakar and Hemant Mallya on Thursday. Lately, multiple non-tariff measures have been implemented by developed countries to address sustainability, environment, and climate change. These include measures for energy efficiency, carbon footprint, waste management, water management, and sustainable forestry. "With an increase in the issuance of E-NTMs by developed countries, India faces a serious challenge concerning its key export items. While India has taken significant steps to address this challenge, it still needs to develop a structured approach to deal with these measures to ensure that its exports are not impacted," it said, referring to European Union Non-Tariff Measure Statistics. India needs a structured approach to deal with such EU measures and ensure that its exports are not impacted. For instance, India can resort to bilateral free trade agreements (FTAs) to develop mutual recognition of compliance assessment activities in the respective countries, reported Business standard quoting from the report. “Few EU trade agreements, such as the EU-Canada Comprehensive Economic and Trade Agreement (CETA) and the EU-Vietnam Free Trade Agreement, exemplify how this can be achieved,” the report said. India needs to act quickly in utilising the World Trade Organization (WTO) framework to raise specific concerns with respect to non-trade measures notifications by other member nations. “Though India’s participation in the WTO has increased in recent times, strategies should be formulated to use the WTO mechanism in the future for raising concerns and seeking solutions,” it said
Source: KNN India
The number of MSME units in West Bengal is estimated to have reached 1 crore with the economy bouncing back after the pandemic, a senior official said. Addressing a programme, West Bengal Small Industries Development Corporation Ltd (WBSIDCL) executive director V Teja Deepak said there were 90 lakh MSME units in the state before the pandemic. "There were 90 lakh Micro, Small and Medium Enterprises (MSMEs) in Bengal before the Covid-19 pandemic, and now it must have reached 1 crore after the pandemic," he said. Maintaining that the state government's schemes such as 'Shilper Samadhan' have been a great help to the sector, he said the time taken to give various permissions for setting up businesses has also come down significantly.
Source: Deccan herald
INTERNATIONAL
A record attendance of 255 people representing all segments of cotton flow met on September 20 at the West Texas Flow Marketing Meeting in Lubbock to discuss the state of the industry, issues at hand such as supply chain, transportation, and warehousing. It is clear that the U. S. crop this year will be less--thanks to dry and prolonged hot summer in the High Plains of Texas. Crop situation and China occupied the center stage of discussions in Lubbock. China’s economic situation is a problem, with growth rate than 5 percent. The economic situation is not being helped by the housing crisis and high unemployment rate in China. We are used to witnessing double digit growth in China during pre-pandemic era predominantly due to its manufacturing capacity, which is not the scenario now. “As China’s economy suffers, it affects the regional economy as well,” stated Daniel Lee, Export Sales Manager at HMM American Shipping Agency, Inc. Foreign investors are not investing in China resulting in job loses and hence affecting middle class population, added Daniel Lee. Increase in labor costs, forced labor issues and geopolitical tensions between China and some nations are forcing foreign investments to other countries such as Indonesia, Vietnam, Cambodia, in Southeast Asia. China is looking for domestic investments and domestic market growth to grow its economy opined Daniel Lee. There are opportunities for India to boost its manufacturing sector. India should focus on value-added products and enhance its product basket to be a viable alternative to China. Government of India and the Indian textile industry are aware of this necessity and efforts are underway to enhance its textile sector by focusing on post spinning sector. Increase in imports of textile goods into developed economies such as United States, United Kingdom and Canada is an indicator of demand boost in cotton. A quick survey of the attendees at today’s meeting today indicated that imports into the U.S. will pick up during the Q2 of 2024 indicating a slow demand for textiles in the next few months. “United States’ cotton industry is competing against countries like Brazil, which sells cotton at 3-4 cents less and we have to be competitive,” stated Beau Stephenson, President of Texas Cotton Association. There was sentiment among the participants in today’s meeting that for the 2023-24 cotton marketing season, United States will export less than 11 million bales (480 lbs. each) of cotton. “In this current situation effective communication with our partners is needed to plan for the season ahead,” stated Kandice Poteet, Executive Vice President of Texas Cotton Association. A representative of cotton truckers attending the meeting agreed that partnerships and constant communication with stakeholders are important to move cotton forward. Given the lack of robust demand for textiles due to inflation in the cost of daily essential groceries, higher fuel prices and mortgage rates, effective engagement among different segments in cotton flow, brands and retailers will be critical.
Source: Tecoya Trend
Karl Mayer, a renowned German textile machinery manufacturer, has introduced the latest addition to their successful HKS 3-M ON lineup—the HKS 3-M ON PLUS. This advanced tricot warp knitting machine offers enhanced manufacturing flexibility, catering to industries like outerwear, sportswear, and automotive textiles. Particularly suited for rugged and robust textiles, the HKS 3-M ON PLUS surpasses its predecessor, the HKS 3- M ON, by producing a wider array of textile varieties, especially net-like fabrics such as square marquisettes. The new model delivers superior quality, increased speed, and enhanced pattern creation efficiency. In crafting the HKS 3-M ON PLUS for optimal performance, Karl Mayer collaborated closely with their longstanding partner, Heathcoat Fabrics, a market leader in warp-knitted and woven fabric manufacturing. Heathcoat’s extensive industry experience and partnership with Karl Mayer played a pivotal role in the design and development of the new machine. Their joint efforts included rigorous processing tests with heavier yarns than the standard for tricot machines, streamlining the production of Heathcoat’s diverse product portfolio. This collaboration refined the capabilities of the HKS 3-M ON PLUS, embodying a significant stride in textile manufacturing technology.
Source: Apparel resources
Brazil is poised to become the world's largest cotton e overtaking the United States, as the main U.S. producing region, Texas, is suffering from droug heatwaves, a Brazilian cotton industry leader has said. "If the U.S. crop continues to deteriorate, Brazil can easily overtake the United States," Gustav Vigano, vice president of the Brazilian Cotton Producers Association, told Xinhua. "The two countries are already equal in basic statistics. It is conceivable that Brazil will becom world's largest exporter this season," Vigano added. The United States and Brazil are the world's largest cotton exporters, accounting for more than the global supply. The United States is expected to export 12.5 million bales in the 2023-24 se However, due to the drought in Texas, the figure may be reduced. As a result, Brazil, with an export forecast of 11.25 million bales this season, could become the largest exporter. Moreover, U.S. cotton quality "has not been as good" in recent years due to droughts, while Br "very good quality" because of its rainfall pattern, according to Vigano. The U.S. cotton crop is only one grade above its worst level on record, as about 40 percent of production is coming from drought-stricken areas, including nearly all of Texas, which had the hottest summer on record this year. "Many (Brazilian) farmers want to increase the area planted for cotton for next year," Vigano a "Since we cannot absorb all the supply, we will export more."
Source: English.news.cn
Indonesia's Minister of Cooperatives and Small, and Medium Enterprises (SMEs) Teten Masduki said the practices of predatory pricing for imported products have caused a blow to those of domestic textile industry. The influx of imported textile products into Indonesian market at cheaper prices, and sold online have made domestic products unable to compete, he said in Bandung District, West Java, on Sunday. "I received a lot of inputs regarding this matter, especially products from China with unreasonable prices. This cheaper price is what we called predatory pricing. It is affecting our domestic and offline traders, including the domestic production as well," he said. According to the minister, the inability of domestic textile products to compete has nothing to do with quality. Instead, it is closely related to the Cost of Goods Sold (COGS) of the imported goods. "The COGS do not add up. In the end, our domestic industry cannot compete. We want to follow up this problem. Why are we being flooded with cheap imported goods?" Masduki said. Meanwhile, an owner of a weaving factory in Bandung District, Dudi Gumilar, expressed his concern regarding the phenomenon of cheap imported goods. "We still have a stock of 1.5 million meters in our warehouse. However, our production still continues. We do not know how long we can operate," he conveyed. Furthermore, Chairman of the Bandung Garment Entrepreneurs Association (IPKB) Nandi Herdiaman also confirmed the same challenge in the textile business. According to him, many producers have closed their businesses due to slow demand. "This phenomenon leads to unemployment in West Java. We cannot survive anymore. We hope Minister Masduki can take serious actions to address this problem," he remarked. Minister Masduki responded that he would bring the entrepreneurs' inputs and findings to be discussed at higher level while taking necessary measures to make cheap imported goods enter domestic market, and improving existing regulations. "I will report this matter. However, the authority does not belong to me, but belong to Trade Ministry and Finance Ministry. The prices of imported goods, like those of China, cannot be lower than the COGS. If we implement the same regulation, we will be able to protect our domestic industry," he disclosed.
Source: The en.antaranews.com
The United States has urged Bangladesh to take action to address the export of counterfe garment supplier to the world’s largest economy. The concerns were raised and discussed during the seventh round of the Trade and Investment Coo Bangladesh and the US in Dhaka on September 20, according to a statement of the United States Tr Earlier, the USTR identified Bangladesh as one of the top five sources for counterfeit clothing items g identified as a matter of concern. After the meeting, Senior Commerce Secretary Tapan Kanti Ghosh, who led the host side, told repor Bangladesh to update the laws on intellectual property rights so that counterfeit goods are not expo The Bangladesh side said intellectual property rights are highly protected during trade. Still, if the aff the government will take necessary action, he said. The statement also called for labour reforms, as well as reforms for the policies impacting the invest property protection and enforcement, and bilateral cooperation in the agricultural sector. The US conveyed to Bangladesh that supporting workers’ rights, including freedom of association an Biden-Harris administration. The US emphasised the importance of combatting violence against workers and union organisers, a unfair labour practices. The statement noted the ongoing review of potential amendments to the Bangladesh Labour Act an of association and collective bargaining to economic zones and export processing zones. The US also recognised that Bangladesh had undertaken some steps to address hurdles workers fac importance of ensuring a simplified and impartial trade union registration process that allows applic timeframe. Additionally, the US urged Bangladesh to dedicate more resources to labour inspections and enforc The statement appreciated the government of Bangladesh’s consistent dialogue over the past year o (DPA). Both sides affirmed their commitment to the protection of personal data and ensuring that Banglad The US welcomed the latest draft of the DPA, which incorporated improvements from earlier version restricting the scope of the DPA to personal data, and limiting application to firms that process pers. It applauded Bangladesh’s actions aimed at removing the long-standing cotton fumigation requirem revising the seed law to reduce the number of years a company needs to hold a seed dealer licence. The US and Bangladesh cooperated on agricultural biotechnology dialogue and look forward to dee statement said. Both countries recognised the importance of the protection and enforcement of intellectual propert The US also reiterated its interest in engaging with Bangladesh on the ongoing processes for amend including the Copyright Act Amendments, the Industrial Designs Act, the Patent Bill, and implementi and export) rules.
Source: Asia news
The Bangladesh Garment Manufacturers and Exporters Association (BGMEA) has sought support from all beneficiaries of the apparel sector – including buyers, brands, trade unions and consumers to adopt the new wage board for ensuring a better life for garment workers. Its President Faruque Hassan sent a letter on Sunday to all members of the Action, Collaboration, Transformation (ACT), an initiative of 19 international apparel brands and retailers, and the IndustriALL Global Union, addressing the issue of better living wages for the readymade garments (MRG) workers. He sent it in response to the ACT's letter from 12 September regarding the minimum wage board. The ACT letter had said, "We sincerely hope and urge that the minimum wage board members reach a negotiated consensus that allows setting the new wage covering the minimum income necessary for a worker to meet their basic needs, as well as some discretionary income. This should be earned during the normal working hour limits." The BGMEA's letter states that it believes ensuring a better life for workers is not only the manufacturers' responsibility, but also brands, consumers, international organisations and trade unions. Referring to the stakeholders, the trade body said it would not be possible to execute a new wage structure if they do not cooperate in consideration of low product price amid high inflation and the ongoing global economic crisis. The apex body also assured that Bangladesh has safe workplaces for workers, and the apparel sector is making progress; especially through its green initiatives. BGMEA President Faruque Hassan further said, "Workers are the lifeline of our industry and we are always trying to pay better wages. But buyers and brands also have a responsibility to pay fair prices for products. An ethical purchasing practice is key to ensuring a better life for workers." The government has already formed a new wage board. We will get a new salary structure as soon, he added. Besides, the BGMEA also sought duty-free market access till at least 2032 – though Bangladesh will graduate from the Least Developed Countries (LDCs) list in 2026 – from export destinations' government authorities. Speaking to The Business Standard, BGMEA Vice President Shahidullah Azim said every exporter is facing challenges in running their units due to the liquidity crisis. "Despite that, we have to adopt the new wage board to give breathing space for our workers during the inflationary pressure."
Source: Tbs News
Apparel import of EU from the world has declined by 7.44% during the first seven months of 2023 compared to the same period of 2022. This means EU’s import from the world declined to US$ 52.38 billion in January-July 2023 from US$ 56.60 billion in January-July 2022, according to the EU’s official data, In terms of quantity (measured in kilogram), EU’s clothing import from the world also had a stiff downturn by 12.80% (to 2.17 billion KG in Jan-Jul 2023 from 2.49 billion KG in Jan-Jul 2022). Among the top ten apparel supplying countries to EU, all of them have shown negative growth in both value and quantity. As far as EU’s apparel import from Bangladesh is concerned, it declined compared to other top sourcing countries. During the mentioned period, EU’s import from Bangladesh dropped by 11.73% in dollar value i.e. to US$ 11.63 billion in JanuaryJuly 2023 from US$ 13.18 billion in the corresponding period of 2022. Quantity wise (measured in kilogram), it also declined by 14.50% during the mentioned period i.e. to 662.56 million KG in Jan-Jul 2023 from 774.88 million KG in Jan-Jul 2022. Data suggest that the EU’s import from China, the top sourcing country, saw a decline by 10.88% in dollar value to US$ 13.28 billion in Jan-Jul 2023 from US$ 14.89 billion in Jan-Jul 2022. In terms of quantity, it also declined to 558.20 million KG from 624.29 million KG, showing 10.59% aggregate decline. During January-July 2023, EU’s imports from Turkey the 3rd largest apparel source have declined by 10.60% in value term to US$ 6.39 billion in Jan-Jul 2023 from US$ 7.15 billion in Jan-Jul 2022. Quantity wise (measured in kilogram) it also declined by 22.52% (to 212 million KG from 273.63 million kilogram). At the same time, import from India and Vietnam dipped by 5.79% and 1.84% respectively. Also, in terms of quantity, both countries shown 11.49% and 8.99% decline respectively. During Jan-Jul 2023, EU’s import from other top sourcing countries such as Cambodia, Pakistan, Morocco, Sri Lanka and Indonesia also declined by 7.20%, 9.81%, 12.59%, 13.72% and 17.56% respectively in value terms. EU’s global import price (USD/KG) increased by 6.14% in January-July 2023 while from Bangladesh it increased by 3.24%. Excluding China, the unit prices of other top nine countries have shown positive growth during the mentioned period, meaning that China is still dominating with their competitiveness. The upward trend in prices is not only about the rising raw material costs and production cost hike, but also our growing ability to produce higher priced items. The next decade of Bangladesh industry will be an era of innovation and improvisation, and it is hoped that the trend in investments in diverse and high value added items sustains.
Source: Bangladesh post
