INTERNATIONAL
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The DGFT issued Trade Notice No. 29/2023-24 dated October 13, 2023, with the aim of expediting the processing of pending applications for Export Obligation Discharge Certificates (“EODC”) for Advance Authorisations and EPCG. In light of this, the Regional Authorities (“RAs”) listed in the attached Annexure are directed to organize a two-week EODC camp from November 13, 2023, to November 24, 2023. To facilitate the expedited disposal of pending applications for Export Obligation Discharge Certificate (EODC) for Advance Authorisations and EPCG, it is decided that the concerned RAs (as per Annexure enclosed), shall organise a 2-week EODC camp w.e.f. November 13, 2023 to November 24, 2023. RAs shall make requisite preparations for the EODC camp proposed. RAs shall duly publicize the camp to all concerned exporters with un-redeemed AA/EPCG Authorisations. Exporters whose EODC applications are pending, and their licence status is not reflected as ‘Closed’ on the DGFT Website, are advised to make use of the camp in earnest and ensure that un-redeemed licence pendency is disposed to the maximum extent feasible. The post- lunch session of the above period would be exclusively reserved for this purpose. Reference Trade Notice 28/2021-22 dated December 31, 2021 and Trade Notice Trade Notice 01/2023-24 dated April 06, 2023 issued earlier, the following points are reiterated for due compliance please – i. For applications wherein physical files were submitted for redemption/closure to the RA earlier, the RA on examination of the said files should generate the EODC letter online by navigating to License Room, select relevant License number → Click on “EODC Status Update” button and generate the EODC letter online. ii. Also, for cases where the authorisation was redeemed earlier but not updated by the RA online, the given set of steps are to be followed such that the authorisation status is duly updated in the online systems. iii. Alternatively, the AA/EPCG Authorisation holder may also submit EODC status. update application by navigating to DGFT website → Services → AA / EPCG → EODC Status update. iv. RA as well as the Exporter is mandated to ensure that the status of all redeemed AA/EPCG authorisations are duly updated in the DGFT online systems. v. EODC issued online are transmitted electronically to Customs ICEGATE System in near real-time, to facilitate the discharge of Customs bond and other related activities at the Customs port. vi. No Export Obligation Discharge Certificates (EODC) are to be issued manually or through any legacy IT system(s). All MIS reports are to be generated by the RA based on the data updated online. Difficulties if any, may be brought to the notice of the undersigned immediately. This Trade Notice is issued with the approval of the Competent Authority.
Source: The A2ztaxcorp.com
The government on Friday claimed signs of revival in India’s outbound shipments as contraction of goods exports narrowed to 2.6 per cent in September and the commerce department revised the August exports data upwards, leading to a 3.9 per cent growth from the 6.9 per cent contraction estimated earlier. According to the data released by the commerce department, imports in September contracted at a faster pace than exports, at 15 per cent, leading to a narrowing of the trade deficit to $19.4 billion during the month. Commerce Secretary Sunil Barthwal said the government believed that September’s data was signalling the beginning of “optimism”. “There are greenshoots. For the remaining six months (in FY24), there should be positive growth in our exports…The weekly trend in October is positive,” Barthwal said in a media briefing. A Sakthivel, president, Federation of Indian Export Organisations (FIEO), said with both the US Federal Reserve and the UK central bank pausing interest rates, the exports demand was expected to rebound from October onwards. “Further, with the economic outlook for Asia and the Pacific remaining upbeat, demand may pick up from these regions and countries also,” he added. Aditi Nayar, chief economist at ICRA, said the narrower-than-expected trade deficit augured well for the current account deficit for the September quarter, although it was expected to enlarge vis-à-vis the June quarter level. “Crude oil price volatility amid geopolitical tensions remains a risk to the CAD outlook for H2,” she said. On the impact of the Israel-Hamas conflict, Barthwal said the government was in a “wait and watch mode”. “We’re concerned. There should be no escalation of the conflict, because then it would have an impact (on trade).” While shipping costs and insurance premiums are the first to get hit in such situations, the impact can be assessed only when data comes in, government officials said. While merchandise exports have been witnessing contraction since February, August has now become an outlier due to revision in data. The commerce department also revised the August imports data upwards to $60.1 billion from the $58.6 billion estimated earlier. This led to a narrowing of imports contraction in August to 2.9 per cent from 5.2 per cent estimated previously. The revision in data occurs mainly due to 'reconciliation' of revenue and commerce department data, because of which the final data often comes with a lag. While minor revision in data is common, government officials said the large changes in data can be attributed to upward revision of petroleum and electronic goods’ exports and downward revision in items such as chemicals. Government officials attributed the sharp contraction in imports in September to a combination of factors such as a decline in petroleum prices, tepid demand as well as the government's import substitution measures with production-linked incentive (PLI) scheme. On the brighter side, non-petroleum and non-gems and jewellery exports, also known as core exports, reversed their trend of contraction and grew 1.8 per cent in September to $24.78 billion. India's merchandise exports witnessed contraction in 18 of the 30 key sectors in September. Key export items that dipped in September include petroleum products (-10.6 per cent), gems and jewellery (-16 per cent), readymade garments (-11.2 per cent), organic and inorganic chemicals (-15.2 per cent). After months of growth, electronics exports contracted 3.7 per cent in September. Among key export sectors that experienced growth include engineering goods (6.8 per cent) and drugs and pharmaceuticals (9 per cent). Merchandise imports contracted in 20 of the 30 key items including coal (-33.4 per cent), crude petroleum (-20.3 per cent), precious stones (-22.5 per cent). On the other hand, after witnessing contraction for around a year, gold imports grew 6.9 per cent to $4.11 billion, mainly due to the upcoming festival season. Services exports saw 0.5 per cent growth at $29.37 billion in September, while services imports witnessed an 8.3 per cent increase at $14.91 billion, resulting in a surplus of $14.46 billion. The services trade data for September, however, is an 'estimation', which will be revised based on the Reserve Bank of India's (RBI's) subsequent release. Last week, the World Trade Organization (WTO) more than halved its growth projection for world merchandise trade volume for 2023 to 0.8 per cent growth compared to the 1.7 per cent forecast in April due to a continued slump in goods trade. However, the world trade body marginally increased its forecast for goods trade for 2024 to 3.3 per cent from 3.2 per cent estimated earlier.
Source: Business-standard
According to the company about 27,000 employees have completed higher education while employed at KPR Mills and some have quit the company and joined IT companies and others. Tie Ups for higher education training programmes have been entered into Annamalai University, Alagappa University and Tamil Nadu Open University Seventy four year old KP Ramasamy, head honcho of KPR Mills Ltd completed the Forbes list of India’s 100 richest persons. As per the Forbes list Ramasamy and family’s wealth is $2.3 billion. According to BSE, Ramaswamy, Chairman of KPR Mills holds 21.37 per cent stake in the listed company and the company’s shares are changing hands in the Rs 750 band. The Rs 4,739 crore turnover KPR Mills makes yarn, fabric, garment and also a sugar manufacturer. The company also has a wind energy capacity of 61.92 MW. What is interesting about him and the KPR Mills is the encouragement given to their workers hired from the rural areas to pursue higher education including computers, management degrees, nursing, teacher training and others. According to the company about 27,000 employees have completed higher education while employed at KPR Mills and some have quit the company and joined IT companies and others. Tie Ups for higher education training programmes have been entered into Annamalai University, Alagappa University and Tamil Nadu Open University Ramasamy believes that while the government's initiatives towards primary education in small villages create literacy awareness among the people and his efforts facilitates up-gradation of their literacy levels to graduation. During the Covid-19 lockdown, when many companies resorted to downsizing, salary cuts, KPR Mills paid its workers full salary and retained them. Post lockdown when other factories faced labour shortage, KPR Mills was humming at full steam. Born into an agricultural family in Kalliampudur Village in Erode District, Ramasamy began as a power loom cloth maker in 1971 with Rs 8,000 borrowed capital. Along with his brothers he expanded his business from textiles to sugar, power, automobiles and education. Apart from exporting garments, the company also has its own mens innerwear brand Faso.
Source: The Bizzbuzz
Indo Count Industries, a leading manufacturer of bedlinens with 98% of its revenue coming from exports, says it is looking to diversify its product range to include fashion, utility, and institutional beddings in the next three to four years and attempt to generate 30% of its revenue from these products. K.K. Lalpuria, Executive Director and Chief Executive Officer of the company, said the company is looking to double its revenue to Rs. 6,000 crores following this diversification. Mr. Lalpuria also said, the company will optimise existing capacity, as opposed to investing more in infrastructure. “We are attempting product diversification to meet their (customer) expectations, because the retailers are selling not just sheets, but also, say, mattress protectors, mattress pads, pillow protectors, pillows and comforters... So, there is a lot of space to grow where China once dominated,” he said. Mr. Lalpuria recalled that Indian textile industry began with supplying only bed linen sets, but the product mix has expanded to fashion bedding, utility bedding, and institutional bedding.
Source: The Hindu
As India and the UK inch closer to sealing a free trade agreement, a forthcoming book says the pact is critical for India's ambition to become a manufacturing powerhouse while the UK seeks to clinch new deals to highlight the benefits of Brexit. In his forthcoming book The Reverse Swing-Colonialism to Cooperation, veteran journalist Ashok Tandon noted that the Free Trade Agreement(FTA), if clinched, will come at a time when many western economies are pinning their hopes on India to become a bulwark against China's growing economic and military clout. The book by Tandon, a former PTI bureau chief in London, called the FTA a most ambitious, fair and balanced pact which would help the two countries to further enhance bilateral commerce and investments. The book is scheduled to be released here on October 18 Officials of India and the UK are holding hectic parleys to conclude the negotiations for the FTA. The talks were launched in January 2022. There are expectations that the pact could be signed by the end of this month. India and the UK are looking at a possible visit to New Delhi by British Prime Minister Rishi Sunak soon but it may finally depend on whether the two sides could resolve the remaining differences to firm up the much-awaited FTA. Tandon, who was in-charge of media relations in the PMO during the tenure of Prime Minister Atal Bihari Vajpayee(1998-2004), noted that India and Britain are concluding a fair and balanced' pact based on equality, mutual respect and commonalty of interests. This aligns with the common vision outlined in the Indo-UK Roadmap-2030, a comprehensive strategic partnership between the two democracies, he said. The FTA, when signed, will reflect a common vision of a new and transformational comprehensive strategic partnership between India and the UK, according to the book. Prime Minister Narendra Modi and Sunak are pushing to double Indo-UK trade by 2030 through the proposed agreement that seeks to slash customs duties and increase market access. The bilateral trade increased to USD 20.36 billion in 2022-23 from USD 17.5 billion in 2021-22. The two governments hope to conclude the ambitious Indo-British FTA as early as possible, Tandon said, adding the deal is crucial for India, which hopes to become a bigger exporter of multiple products to the UK On the other hand, after losing access to the EU (European Union) single market, the UK would want to develop strong trade relations with emerging markets around the world and India, with strong economic fundamentals and a large domestic market, is in a better position, he said. Moreover, the book noted that India is a significant Foreign Direct Investment (FDI) source for the UK because many Indian firms have tapped it as a gateway to the EU single market. Initially, after exiting from the EU, the UK wouldn't like to lose Indian investment, it said, adding the UK will attract Indian firms by offering more incentives such as tax breaks, relaxed regulations and opening up markets. As investors look around the world for safe havens in these turbulent times, India stands out both in terms of stability and of growth. The UK accounts for 17 per cent of India's Information Technology (IT) exports." Similarly, the UK is also the third-largest FDI source for India. There are more than 800 Indian companies in Britain Although Brexit has had some negative effects on the Indian economy, it brings with it the myriad opportunities of growth for Indian industries. India just needs to be watchful and capitalize on whatever opportunities come its way, the book said. These are also one of the key reasons for the two sides to work towards finalising the agreement at the earliest, it noted. As the EU and the UK both look for new trade opportunities elsewhere, India could emerge as a beneficiary of this new arrangement, the book said. Further, it said the trade pact is expected to benefit various sectors, including information technology, where the UK accounts for a substantial portion of India's exports. The pact could also boost India's export of petroleum products, gems, jewellery, cotton, fabric, electronics, and plastic items. The UK hopes to enhance exports to India of among other things its premium cars, Scotch whisky and services, such as legal. The UK government estimates that the FTA could significantly contribute to its GDP growth, projecting an increase of about 3.3 billion in 2035, potentially rising to 6.2 billion, depending on the magnitude of the agreement. However, challenges remain, especially concerning the sensitive issue of visas. India's key demands include smooth movement of skilled professionals, while the UK, influenced by the Brexit vote, remains cautious about immigration policies.
Source: Business-Standard
A prominent textile store in the city is presenting a remarkable collection of over 800+ vintage Kanjeevaram sarees, thoughtfully curated by textile expert Santosh Parekh. Each of these sarees, aged between 40 and 100 years, holds a unique story, representing the rich tradition of Kanjeevaram. “Saree enthusiasts, fashion lovers, textile connoisseurs, and art students will get to explore and appreciate the beauty of silk. Each saree in this collection carries a piece of history, reflecting the craftsmanship and heritage of the Kanjeevaram tradition. Many of these sarees were rescued from local sellers, and saved from possible destruction. Unfortunately, as our modern world progresses, the traditional skills and knowledge of weavers are at risk of fading away. Valuable techniques, like the original 3-shuttle loom, are becoming scarce. Through this exhibition we strive to inspire others to collect and document these treasures, raising awareness and ensuring that this exquisite art form continues for generations to come,” says Santosh Parekh. This exhibit offers not only a visual feast for those familiar with these art forms but also an educational journey for those unaware of the diverse weaving traditions of the past. When asked how one can preserve old sarees, Santosh shares, “Ideally, pattu sarees should be carefully maintained to preserve their beauty and quality. It is recommended to air them out regularly to prevent dampness, especially since they are made of natural fibres. Refolding them gently is important to prevent creases and preserve them. In case of spills or stains, it’s essential to wash the affected area promptly, as stains can lead to stiffness and cracking. Taking proper care of these sarees is crucial as they are a significant part of our culture and heritage.”
Source: The Dtnext.in
Textile rental company Linstrom India, which is part of Finland-headquartered Lindström Oy, will open its 13th unit in India soon. According to its Managing Director Jayant Roy, the company has presence in the north, south, east and west with 12 units at present and a unit in Mumbai for production-ondemand. It has a clean room in Pune and will open one more in Hyderabad soon. About 70% of the garments are made in-house at the Mumbai unit and the remaining are sourced from its partners. “At the group level, there is a lot of sourcing from India, mainly for European and Asian operations,” he said. The company, which started operations in India in 2007 in Chennai, is registering doubledigit growth annually and focuses on the pharma, healthcare, food and electronics sectors. Automobile, engineering, and mining and metals are some of the emerging sectors. “We do a need analysis, invest in the garments, and cater it to the customers,” he said. Lindstrom is focusing on sustainability in its processes and delivery and is looking at recycling the garments to other products, he added.
Source: The Hindu
India’s impressive recent economic gains are unlikely to displace China as the world economy’s main growth engine anytime soon, according to HSBC Holdings Plc. “The numbers don’t exactly add up,” economists Frederic Neumann and Justin Feng wrote in a report Friday. India, at the moment, “runs on too few cylinders,” while China is “simply too large to have its importance for the world economy readily eclipsed,” they said. HSBC expects the gap between the two economies to continue to widen in the foreseeable future, expanding to $17.5 trillion by 2028, based on IMF forecasts. That is equal to the current size of the European Union’s economy. The gap between the two stood at $15 trillion last year. The bank’s take is in stark contrast to the bullish outlook by others, such as Barclays Plc., that earlier this week said a steady 8% expansion for India will enable it to topple China as a global growth driver in the next five years. The HSBC report also hghlights the difference in consumption and investment trends between the two Asian giants. Even assuming zero growth in China, and a tripling of investment spending growth in India from its recent average, it would take another 18 years before India’s investment spending catches up to China’s, the economists wrote. Currently, China accounts for around 30% of world investment, while India’s share is less than 5%. Its share in global consumption also stands below 4%, compared to Beijing’s 14%. Despite this, the economists do expect India will make a hefty contribution to world demand for commodities, consumption and capital goods, making the HSBC economists “bullish on India.” The South Asian country will likely become a “far bigger player in global trade, possibly attaining a similar, key role in services exports as China occupies in goods supply chains today,” they said. The International Monetary Fund forecasts India’s economy to grow at 6.3% each in 2023 and 2024, while China’s economy should grow at 5% and 4.2%, in that same period.
Source: Economic times
INTERNATIONAL
Object, a womenswear brand owned by Danish retail group Bestseller, has unveiled a new partnership with US-based textile innovator Evrnu that looks to promote circularity and reduce waste. The duo have come together to present three styles that put to use Nucycl, a fibre made from “cotton-rich textile waste” that allows for the possibility of regeneration through a repeatable process. Evrnu was one of the many firms Bestseller supported through its investment arm, Invest FWD, providing funding to the manufacturer in its early stages in order to help scale its operations. Now, the results of the investment are on display through the small capsule, which features a dress, shirt and pair of pants, each in casual silhouettes and monochromatic prints. In a release, Stacy Flynn, the co-founder of Evrnu, said on the utilised textile: “Nucycl sets itself apart from other fabric recycling methods as it creates new fabrics on par with, or even higher quality than, the original virgin fibre. “This exceptional characteristic offers the textile industry an alternative without compromising on performance. By repurposing textile waste into Nucycl fibre, we reduce our reliance on virgin resources, paving the way for a fashion economy where waste is transformed into valuable resources.”
Source: Fashion united
A recent report released by the lead think-tank Centre for Policy Dialogue (CPD) finds a commendable improvement in the move to make factories green over the years. The report based on a study titled "Securing Green Transition of the Textile and Readymade Garments Sector in Bangladesh" was carried out on the owners and managers of 403 factories and 4,541 workers in the country. The study found that 69.70 per cent of factories are self-motivated to obtain green certificates. Besides, 54.55 per cent of the owners have taken green initiatives thanks to their marketing strategy, while 39.39 per cent obtained different green certificates for competitiveness in the market. The major areas of green investment by factories included technologies related to energy conservation, renewable energy, buildinglevel energy metre, controlling air and dust pollution, management of solid waste and wastewater and buildinglevel water metre. The study report also attempted to estimate the investment made in this regard. Average green investment in the last five years per factory has been Tk 78.07 million, which is 36.98 per cent of their total investment. Small and medium-sized factories allocate a higher percentage of their total investment -- 44.84 per cent and 53.99 per cent respectively -- towards green initiatives, the study found. No doubt a praiseworthy job, but at what return? This indeed is a key question. While the factories are making significant efforts to make their production greener and cleaner, the price offered by Western buyers doesn't reflect it. While global garment retailers insist on transforming garment factories into green production units involving substantial costs, there is as yet no sign of even a marginal hike in prices. Since the incidents of Tazreen fire in November 2012 and Rana Plaza building collapse in April 2013 that shook the entire garment industry with potential threats for the future, the country's readymade garment factories have undergone large-scale renovation works to ensure safety of their workers. The two representative agencies of international buyers - the EU-based Accord and North America-based Alliance, along with local inspection agencies have successfully accomplished the task of factory remediation in respect of, reportedly, eighty per cent of the 5000 garment factories-mostly located in Dhaka and Chottogram. Accompanying the factory remediation works, there have been a lot of proactive moves by a good number of large factory owners in that they advanced far ahead turning their factories into green factories. This involves a major shift in energy and environmental design of the factories and significant investment in eco-friendly production processes. In a short time, surprisingly indeed, the country topped the list of garment producing countries in the number of full-fledged green factories. The factories received Leadership in Energy and Environmental Design (LEED) certificate from the United States Green Building Council (USGBC). A LEED-certified factory ensures 25-30 per cent less water and energy consumption, and fewer industrial accidents, like fire. Reports say that around 70 garment factories have received LEED certification from USGBC. Another 280 factories are in the process of getting LEED certification. Among all the exporting countries taken together, Indonesia's position is next to Bangladesh with 50 LEED certified garment factories. With things better positioned now than ever before, it was expected that international buyers free as they are from the indictment of procuring from unsafe and hazardous production places, will pay a little extra while placing orders to these state-of-the-art factories. Unfortunately, this is not happening. A local daily recently reported that green garment factory owners, who spent huge amounts for setting up these units, are dismayed as their efforts are not being rewarded by international retailers by way of higher prices. It has been learnt that construction cost of these factories is 20-30 per cent higher than the regular ones because of the special design and introduction of newer technology. It may be noted that consumers in the developed world, backed by consumer rights protection groups, make it a strong point that products like garments, footwear etc must not be sourced from countries where working condition is unsafe. With the transition towards green factories taking place fast, Bangladesh garment factories have been able to make a bold step in improving the overall condition of the workplaces. With the number of green factories on the rise, the situation has not only improved from where it was years ago, but the overall workplace scene is reportedly far better than most competitors. Under the circumstances, the buyers need to acknowledge this and be willing to pay more. The EU ambassador who was present at the CPD's report release event has reportedly said so. The onus is not only on the government, not just on the industry but also on brands and buyers, he said, suggesting real engagement and partnership.
Source: The Financial Express
MAS Matrix, the diversified flat-knit apparel manufacturing facility under MAS Holdings, announced the launch of its latest product platform, ‘MVTM.’ In a leap forward for flat knit products, the technology and product capability of the MVTM range, is poised to revolutionize athleisure wear. Crafted for the modern, fast-paced lifestyle, the collection offers a range of highly functional, versatile, and fashion-forward designs. The core of MVTM lies in the fusion of movement and momentum, encapsulated in its abbreviation, ‘MVTM’. From a style perspective, these versatile pieces adapt to the diverse settings wearers move through in a day or in a season. When it comes to performance, MVTM products are meticulously engineered to offer freedom of movement and with unique zonal support. They offer a seamless blend of comfort and functional aesthetic, designed to meet the demands of modern living. Speaking about the capability of Matrix, Palitha Liyanage, Chief Executive Officer of MAS Matrix said, “At Matrix, our journey is continuously evolving; starting with developing knitted uppers for footwear and transitioning to knit apparel and beyond. Today we are excited to share our full range of capabilities through the launch of MVTM. Our aim is to highlight beautifully crafted, innovative apparel that is also functional and sustainable.” In alignment with MAS Holdings’ comprehensive sustainability strategy, the MAS Plan for Change, MAS Matrix is committed to offering more sustainable alternatives to its prospective customers. One standout feature of engineered knit is its ability to ‘knit to shape,’ significantly reducing pre-consumer waste by 18-22% compared to traditional cut and sew operations. Moreover, the MVTM collection boasts a commendable 77% utilization of raw materials sourced from sustainable, natural, and regenerative sources. These include recycled polyester, organic, Better Cotton Initiative-certified cotton, and bio-based fabrics like modal, Tencel, and hemp. With 77% of the collection composed of recycled post-consumer waste or natural and regenerative fibers, MVTM exemplifies the commitment to a sustainable future. MAS Matrix stands as the single largest investment made by MAS Holdings, housing 1000 Stoll flatbed machines offerings product categories which include athleisure wear, performance wear, essentials and knit components for global brands such as Nike, Decathlon, Gymshark, Lacoste, Victoria’s Secret and Stoko. The launch of MVTM is a testament to MAS Matrix’s unwavering commitment to innovation, sustainability, and providing consumers with apparel that seamlessly adapts to their dynamic lifestyles. With its unique blend of style, functionality, and eco-consciousness, MVTM is poised to make waves in the world of athleisure.
Source: Textile world
