Bharat Tex 2024, India’s premier global textile event, is set to witness a grand confluence of iconic handloom and handicraft traditions from Gujarat, Maharashtra, Telangana, Uttar Pradesh, and Madhya Pradesh. These five Indian states will present a shared narrative of artistic excellence, featuring handloom craftsmanship, and unveiling distinctive textile innovations. The event will be held in New Delhi from February 26-29, 2024, at Bharat Mandapam and Yashobhoomi. With Uttar Pradesh and Maharashtra coming onboard as ‘partner states’, Bharat Tex 2024 has announced that Gujarat, Telangana and Madhya Pradesh will be joining as ‘supporting partner states’. Andhra Pradesh, Tamil Nadu, Karnataka, and Assam will be setting up state pavilions at the premier global textile event, according to an official press release. Bharat Tex 2024 will showcase the rich tradition of handicrafts and handlooms from various Indian states, highlighting their globally acclaimed practices and the progressive steps these states are taking in terms of policies, innovative technologies, and initiatives like the development of textile parks. The event will feature Madhya Pradesh's renowned Batik printing, hand-block printing, Chanderi and Maheshwari silk; Gujarat's celebrated Bandhani, Patola silk, and hand-painting; Uttar Pradesh's exquisite Chikankari and ZariZardozi; Maharashtra's traditional Paithani saree and Warli Art, along with Mashru and Himroo fabrics; and Andhra Pradesh's admired jute, hand-drawn Kalamkari, luxurious handwoven Dharmavaram sarees, and fine Mangalagiri cotton weaves. “I am proud to announce Maharashtra's participation as partner state at Bharat Tex 2024. As the largest international exposition in India, the event is shaping up to be the largest platform for industry collaboration and innovation. Maharashtra has been a significant part of the growth story of the textile and apparel sector in India; be it the rich cultural tradition of the Paithani saree or the advancement of smart textiles by a few aspiring start-ups. The textile and technical textile sectors play a significant role in shaping Maharashtra's economic landscape, and we are committed to nurturing its continued success. Maharashtra will ensure that every thread spun adds to the rich tapestry of our nation's progress, towards a Viksit Bharat in 2047,” said Eknath Sambhaji Shinde, chief minister of Maharashtra. “Prosperity of Madhya Pradesh lies in the progress of its industries. Establishment of industries results in the growth of employment opportunities. The state government is committed to achieve comprehensive development fostering good governance and implementing an effective system,” said Dr Mohan Yadav, chief minister of Madhya Pradesh. “For Gujarat, textile is not just an industry, but also a tradition and a legacy which we present to the world through the magic of our handicrafts and machines. The growth of the textiles sector lies in the growth of India and the growth of job opportunities. Our textile industry stands as a beacon that realises 5F (farm to fibre to factory to fashion to foreign), the concept presented by our prime minister Narendra Modi. Today, Gujarat has become a centre of attraction for the importers of garments across the globe. Gujarat is the highest contributing state in woven fibre production across the nation, reflecting our ambition to become a leader in ‘Make in India’ and ‘Make for the World’,” said Bhupendra Patel, chief minister of Gujarat. Anumula Revanth Reddy, chief minister of Telangana, said: “Historically, textiles have a unique relationship with the development of civilisation, and India has had a unique leadership position in the world for textiles. The Bharat Tex 2024, seen in such a context, is a welcome initiative by the Export Promotion Councils, not just for showcasing India's unique textile products to the world but also as a platform for attracting investments into the textile and apparel sector. “Telangana has a vibrant, diverse and rich heritage of handlooms, including Gadwal, Narayanpet, Pochampalli ikkat varieties of cloth, and handicrafts like Banjara art, Bidri, et al. Telangana is also a leading manufacturing hub for textiles, with a strong presence in all of 5F sectors. With Bharat Tex 2024, we are looking forward to leveraging a sui generis platform to showcase the Telangana textile story to the entire world.” Further spreading the textile fervour, in the heart of Bharat Tex 2024 lies a unique opportunity for artists and designers to leave their indelible mark and create a piece of history. Ministry of textiles is hosting the Bharat Tex Memento Design Contest on the official MyGov website, centred around the theme ‘Threads of Tradition and Innovation’ at Bharat Tex. The winning design will be presented to esteemed dignitaries during Bharat Tex 2024. The eagerly awaited culmination of the Textile Sustainability Awards 2024, orchestrated by The Confederation of Indian Textile Industry (CITI), is set to grace the Bharat Tex event at Bharat Mandpam in New Delhi on February 27, 2024. This event will bring together leaders in the industry, policymakers, and champions of sustainability, creating a platform to celebrate the remarkable strides made by the textile industry towards a more sustainable and environmentally aware future. Participation from leading international textile companies, including Fortum, Lenzing, H&M, Busana Group, and Hyosung Corp highlights India's expanding influence in the global textile sector, indicating a favourable prospect for heightened investments in the nation's textile industry. Besides industry participation, ministerial and business delegations from key textiles hubs, including Australia, Italy, Turkey, South Korea, Bangladesh, Russia, Peru, Egypt, and Thailand are also expected to attend. While these collaborations represent a substantial stride towards advancing growth, innovation, and sustainability within the textile industry, the mega event spread across the area of nearly 2 lakh square feet and 50-plus knowledge sessions, will bring forth an impressive mix of companies showcasing apparel, home furnishings, floor coverings, fibres, yarns, threads, fabrics, printing techniques, carpets, silk, textiles-based handicrafts, technical textiles and much more. With innovation, collaboration, and the ‘Make in India’ spirit at its core, Bharat Tex 2024 is the embodiment of prime minister Narendra Modi’s 5F vision—Farm to Fibre to Factory to Fashion to Foreign—who will also be seen inaugurating the expo. The event is envisaged to be the biggest textile event at the global level, with 3500-plus exhibitors and 40,000-plus visitors from over 40 countries. Bharat Tex 2024 will be a comprehensive showcase of the entire textile industry value chain, right from showcasing India’s rich cultural heritage and textile traditions to the latest technological innovations.
Source: Fibre2fashion
India’s index of industrial production (IIP) with base 2011-12 stood at an estimated 151.5 in December last year. The IIP for manufacturing was 150.6. The IIP for manufacturing of textiles grew by 1.6 per cent year on year (YoY) to 112.5 and for apparel manufacturing, it dropped by 10.3 per cent YoY to 112.7 during the month. These quick estimates will be revised later, the ministry of statistics and programme implementation said in a release. The indices stood at 151.7 for primary goods, 103.3 for capital goods, 159.3 for intermediate goods and 177.9 for infrastructure/construction goods for the month. Those for consumer durables and consumer non-durables stood at 114 and 178 respectively for the month. For the April-December period last year, the IIP for textile manufacturing remained the same as it was in the corresponding period in the previous year at 107.8, but the IIP for apparel dropped by 19.1 per cent YoY to 103.6.
Source: Fibre2fashion
A total Capital Investment subsidy of Rs. 1,416.50 crore has been released in 6,448 cases under Amended Technology Upgradation Fund Scheme (ATUFS) in the last three years (FY 2020-21 to FY 2022-23). Introduced by the Ministry of Textiles, this scheme aims to facilitate investment, employment, productivity, quality and import and export substitution in the textile industry. It also indirectly promotes investments in the manufacturing of machinery for textiles. Furthermore, under the committed liabilities of old versions of TUFS, a total of Rs. 439.43 crore has been disbursed as Interest Reimbursement/Margin Money Subsidy; hence, the total release under ATUFS during the last three years has been Rs. 1,855.93 crore nationwide. Capital Investment subsidy of Rs. 166.69 crore has been released in 545 cases under ATUFS and Rs. 9.38 crore has been disbursed as Interest Reimbursement/Margin Money Subsidy under the committed liabilities of old versions of TUFS to the units located in the State of Tamil Nadu making total release under ATUFS as Rs. 176.07 crore. Total number of 1,117 energy saving machines have been incentivized under ATUFS during last five years. Subsidy released for Garment/Made-up manufacturing for 2022-2023 was Rs. 35.11 crore, for Processing of fibres, yarn fabrics, garments and made-ups it was Rs. 55.45 crore, for Technical Textiles and non – wovens it was Rs. 46.89 crore, for Standalone Spinning it was Rs. 18.31 crore, for Weaving / Knitting it was Rs. 335.40 crore, for Multi Activity it was 180.7 crore and for the Others category, it was 2.58 crore for a total of Rs. 674.40 crore for 2022-2023.
Source: Fibre2fashion
Prime Minister Narendra Modi's visit to the United Arab Emirates (UAE), his seventh since 2015, highlights the blossoming Indian-Emirati ties. A key cornerstone of the relationship has been the Indian diaspora, which is a significant contributor to the UAE's economy. The Indians settled in the Emirates are also major contributors to foreign remittances received by New Delhi, besides increasing the country's soft power. According to the Indian Embassy in the UAE, an estimated 3.5 million Indians resided in the country as of 2021. Here's a look at what drives their stay in the Middle Eastern economy, the remittances they send, the Emirati job market and other details. Record-high remittances inflow India clocked the highest amount of remittances inflow in the calendar year 2023, at $125 billion, as per the data shared by the World Bank. The UAE, with an estimated 3.5 millionstrong Indian diaspora, has been one of the biggest sources of remittance flow. "Remittance flows to India were also boosted by higher flows from the GCC, especially the UAE, which accounts for 18 percent of India's total remittances and is the second-largest source of them after the US," the World Bank said in a report released in December. The two countries also inked a bilateral trade agreement last year, that allows for the settlement of transactions in rupee and dirham. Growing share in white-collar workforce. The profile of the Indian diaspora has changed with the evolving needs of the UAE. In the 1970s and 1980s, when the principal requirement was for blue-collar workers, "the Indian community was blue-collar to the extent of 85-90 per cent, with a negligible percentage of professionals", the Indian Embassy said in a note on its website in 2022. In the 1990s, as the need for professionals to meet the needs of the expanding service sector emerged, the profile of the community changed, and today, "around 35 per cent of the Indian community is made up of professionally qualified personnel, businessmen and other white collar non-professionals and their families", it added. The approximate break-up of Indian immigrants in UAE is as follows: • 65 percent belong to the blue-collar category (employed mostly in construction companies, municipalities and agricultural farms) • 20 percent are white-collar non-professionals (clerical staff, shop assistants, salesmen, accountants, etc.) and 15 percent are professionals and businessmen. Bulk of Indians from southern states Among the Indian states, Kerala is the most represented among the diaspora, followed by Tamil Nadu and Andhra Pradesh. However, Indians from the Northern States, all put together, also form a significant portion of the Indian population in the UAE, the embassy said. Though most of the Indians living here are employed, about 10 percent of the Indian population constitutes dependent family members, it added. UAE job market The job market in the Middle East, including the UAE which is the largest employer of foreign workers, has become significantly more competitive in 2024, according to 73 percent of working professionals surveyed recently by jobs portal Bayt.com. A shift is seen in the employers' market in the UAE, as more people are moving to the country due to economic headwinds in other nations, and the luxury lifestyle that the Emirates offers, recruitment consultancy Robert Half stated in its 2024 Salary Guide report, as per The National newspaper. “A larger proportion of UAE-based organisations grew their headcount in 2023 than in 2022, and more than half of this year’s respondents intend to increase remuneration in 2024,” the Emirati daily quoted Trefor Murphy, founder and chief executive of Cooper Fitch, as stating in the UAE Salary Guide 2024 report. As per the report, the salaries of professionals in the UAE are expected to rise by an average of 4 percent to 7 percent in 2024.
Source: Money Control
Addressing the Indian diaspora in Abu Dhabi on Tuesday, Prime Minister (PM) Narendra Modi said India and the United Arab Emirates (UAE) are working on integrating their respective financial systems, even as the bilateral strategic and technological partnerships between the two countries scaled new heights since his first visit to the Gulf nation in 2015. The PM said the strong India-UAE community and cultural relations were a model for the world, as he spoke a few sentences in Arabic to underscore how several Arabic words were commonly used in Indian languages. "India and the UAE are partners in progress. Our relationship is of talent, innovation, and culture," Modi said while addressing the Indian community here at the 'Ahlan Modi' (Hello Modi in Arabic) grand event. Modi said India and UAE have inked an agreement interlinking their respective instant payment platforms that will make it easier for the Indian diaspora to remit money to their relatives in India. He said the Indian Institute of Technology (Delhi)’s Abu Dhabi campus started a Master’s programme last month, and the Central Board of Secondary Education (CBSE) will soon open an office in Dubai. The PM thanked UAE President Sheikh Mohamed bin Zayed Al Nahyan, whom he addressed as “brother”, for allotting land and allowing the construction of a Swaminarayan temple in Abu Dhabi. Modi said he could never forget his first visit to the UAE in 2015, the first by an Indian Prime Minister in over three decades, when the current president, who was then the crown prince, received him along with his five brothers at the airport with great warmth. “I was new to the world of diplomacy then, and I will never forget the warmth with which they hosted me as if I was a member of their family,” the PM said. The PM said India has hosted the UAE president four times in the last ten years. He said the UAE president visited Gujarat during his last visit, where people lined the streets to receive him and thank him for his concern and sensitivity to the Indian diaspora, including during the pandemic. He also spoke of his government’s welfare measures, the technological strides and economic growth that India has witnessed, and his “guarantee” to make India the third largest economy of the world in his third term in office. Modi added that the world has come to trust India, which will play a key role in shaping a stable world order.
Source: Business Standard
India and the United Arab Emirates on Tuesday signed an agreement on a trade corridor that aims to connect Europe with India through parts of the Middle East by sea and rail, an ambitious plan backed by the U.S. and the European Union. The announcement of the framework agreement, reached during a visit by Prime Minister Narendra Modi to the Gulf state, was released in a statement by the Indian foreign ministry, although few details on what the sides had agreed on were made public. "This would build on previous understandings and cooperation on this matter and foster India and the UAE cooperation furthering regional connectivity," the ministry statement said. The corridor, announced last September on the sidelines of the G20 summit in New Delhi, aims to extend from India across the Arabian Sea to the United Arab Emirates and through Saudi Arabia before connecting through Jordan and Israel to Europe. The ministry's statement, however, made no mention of any country apart from India and the UAE, a regional Gulf Arab power, whose ties are built on over a century of trade links. The agreement on the India-Middle East Economic Corridor comes amid the more than four-month war in Gaza that has derailed U.S.-backed plans to further integrate Israel with its Arab neighbours. Saudi Arabia has halted normalisation plans. The UAE foreign ministry did not immediately respond to an emailed request for comment on details of the agreement. Modi met with UAE President Sheikh Mohamed bin Zayed al Nahyan, who the Indian leader often refers to as his brother. "Today, our region is going through a difficult time but because of our relationship with you, we are building a lot of hope and looking forward to a future with India that is on par with our ambitions," Sheikh Mohamed said at a meeting with Modi on Tuesday, according to video shared on Modi's YouTube channel.
Source: Business Standard
India and Peru have been seeing a steady growth in their trade relationship and the expectation is it may grow in double digit incrementally every year. In fact Financial Express Online learns that the negotiations for the India-Peru Trade Agreement is likely to be wrapped up this year even as preparations for Round 6 of talks start in full swing. Talks for this pact commenced in 2017 and the fifth round was concluded in August 2019. On account of Covid, the negotiations came to a pause. Luis Cabello – Trade and Tourism Counsellor of Peru in India is however optimistic as the sixth round of negotiations are set to begin soon, “The sixth round of negotiations for the trade agreement between Peru and India will start. We expect to wrap it up by end of this year (2024).” As per official data provided by both the Indian and Peruvian officials, the bilateral trade volume reached $3.12 billion in FY2023. India exported goods worth $865.91 million to Peru, and Peru’s total exports to India in 2023 equaled $2.55 billion. Key Indian exports to Peru include motor vehicles/cars, cotton yarn and pharmaceuticals, while Peru primarily exports gold, silver, copper ores and concentrates, industrial metals like aluminium, iron and agri products include blueberries predominantly. Cabello pointed out that what really helps is that “India and Peru are two complementary economies. We are not competing with each other. So that is why this agreement will be convenient for both economies. This does not just cover goods but also services and movement of people. It also covers investment.” As a result, he is confident of seeing “at least 10% growth every year in trade volume between Peru and India.”
Source: Financial Express
GOLAGHAT: State Handloom-Textile Fair began in Bokakhat on Monday. The fair began at the public playground of Bokakhat under the initiative of Rabha Hasong Regional Weavers and Artists Cooperative Federation Limited (RRAWFED), Rabha Hasong Autonomous Council (RHAC), Dudhnai, and the Development Commissioner (Handlooms), Ministry of Textiles, Government of India. The 14-day fair was inaugurated by the Sub-Divisional Magistrate in- Charge of Bokakhat Sub-District, Siddhartha Shankar Sonowal, who was present as the chief guest. Saiful Islam, Managing Director of the Handloom and Weavers’ Cooperative Limited of the Rabha Hasong Autonomous Council, said the fair would provide a platform to enable weavers and those associated with handlooms to become self-reliant. Weavers will be able to connect directly with customers through this fair, which will help weavers improve the sales of their products. Apart from several states of India, including Jammu and Kashmir, Manipur, Nagaland, Haryana, etc., weavers associated with handlooms in almost all the districts of Assam are participating in this fair. A total of 60 outlets have been set up at the fair. Various products made from Assam silk and endi will also be displayed at the fair. Apart from textiles, various products produced from handicrafts like jute, cane, bamboo, etc. will also be available at this fair. With the aim of providing a platform for weavers and artisans from across the country and states to showcase their products, this State Handloom-Textile Fair, 2023–24, will continue until February 25 at the public playground of Bokakhat.
Source: Financial Express
The Goods and Services Tax (GST) Council may issue a circular to address the controversy surrounding the spate of notices sent to Indian arms of foreign companies seeking to tax salaries paid to expatriates by the local unit. The circular may clarify that input tax credit should not be held back for the period 2017- 2022, as the practice of sending expatriates to the Indian unit, known as secondment, amounts to exports of services, people familiar with the development said on condition of anonymity. The proposal may be placed before the GST Council once the law committee arrives at a consensus on the issue, they said. The GST Law Committee, comprising officials from states and the Centre, advises the Council on laws, rules, and procedures. Some of the law committee members are of the view that input tax credit should not be given to MNCs for 2017-22, invoking Section 74, as GST is being recovered late because of acts of suppression by the MNCs. Section 74 of the GST law pertains to the determination of tax evasion and the imposition of penalties in cases where the tax authority finds that a taxpayer has intentionally evaded taxes under GST regulations. “Centre is keen on issuing a circular in this regard to resolve the issue. The circular may clarify that Section 74 should not be invoked mechanically. It will resolve the issue to a great extent as the MNCs will get ITC for 2017-2022 and will only have to pay the additional interest cost. Some of the members of the law committee, however, are not keen to pursue this approach. The issue may be deferred to the next GST Council meeting till the law committee arrives at a consensus,” the person told Moneycontrol. In the context of taxation, the act of suppression refers to actions taken by a taxpayer to conceal income, assets, or transactions to evade taxes. Suppression may include underreporting income, overstating deductions, concealing assets or transactions and misrepresenting facts.
The revenue neutral issue MNCs regularly send executives to India, where they work for a certain period. These employees are paid in rupees by the Indian subsidiary, and the entire cost is reimbursed by the overseas company. Thus, when secondment salaries are paid by the Indian employers, there is no business expense. The local arms of MNCs are of the view that the salaries paid by them are outside the scope of GST and only part of the pay package relating to social security—that’s because these expats are usually eligible for social security in their home country—should be under the purview of tax. However, the GST authorities believe that the entire salary comes under the scope of GST after a Supreme Court ruling of 2022 that said that secondment services are taxable. Thus, from 2022 onwards, MNCs pay GST on expat salaries and take credit for it as it is the export of services. Thus, it is revenue-neutral for the companies and the GST authorities. But for 2017-2022, interest and penalty have been sought by the GST department. According to reports, the GST authorities have so far recovered Rs 2,500 crore of the tax for this period from the MNCs.
Expert speak According to experts, these notices originated from a 2022 judgment by the Supreme Court, popularly called Northern Operating Systems Pvt. Ltd (NOS). The court ruled that when a foreign company supplies manpower to its Indian affiliate, it is to be termed as ‘service’. Thus, companies receiving employees on secondment from their foreign affiliates became liable to pay service tax for availing ‘services.’ Since GST is a successor to the service tax law, these companies started receiving notices under the GST law in 2024. “These notices are issued consequent to the Supreme Court ruling in Northern Operating Systems holding that secondment of employees by overseas entities to Indian firms would fall under the category of manpower supply attracting service tax. Thus, judgement was rendered in the factual context involving reimbursement of expat salary and other allowances by the Indian firms to the overseas entity, and the court had ruled that it amounts to supply of manpower and therefore liable to service tax,” said Deloitte Senior Advisor Nagendra Kumar. Rupender Sinhmar, a partner at BSM Legal, said, “Show cause notice now issued to these MNCs takes the lead from the judgment of NOS and blindly applies it on each and every expat transaction for the period 2017 onwards.” Interestingly, in December 2023, the Central Board of Indirect Taxes and Customs (CBIC) issued a circular to the GST department not to apply the NOS judgment to every case of secondment and send notices. CBIC had also indicated that each secondment agreement must be analysed factually before applying the judgment and issuing a notice. “These notices have been issued despite the CBIC instructions that in each arrangement, the tax implications may be different, depending upon the specific nature of the contract and other terms and conditions attached to it,” said Rahul Khurana, partner at Economic Laws Practice. A few high courts have granted interim stay against the GST demands.
Effect of Bombay HC stay Carmaker Mercedes-Benz, which received one such notice, approached the Bombay High Court last week and obtained an interim stay against the adverse action by the GST department. The HC has asked GST to file a response to Benz’s plea; the case is now likely to come up for hearing on February 20. Experts noted that while the Bombay High Court is the latest to issue such a stay, earlier, the Punjab and Haryana, and Karnataka high courts stayed similar notices issued to BMW and Alstom Transport. “I will not be surprised to see more such interim orders by different High Courts in the near future, or since this is a pan-India issue, there is the possibility of even a transfer petition being filed by the Central Government before the Supreme Court to take this dispute to its logical end at the earliest,” Sinhmar said. However, considering the case is yet to be heard on merits, the interim stays cannot be considered the final word on this issue. Afaan Arshad, leader of international tax practice at Nishith Desai Associates, said, “The court has granted time to the tax department to file a reply to the Writ Petition filed by Mercedes Benz and until such time has stayed the operation of the assessment order passed by the tax department.” According to experts, fighting the GST demand in High Courts is the best option available to MNCs now. Sinhmar said, “Considering the fact that the GST Tribunals are not in place, it is advisable to approach the High Court challenging the very basis of issuance of show cause notice, especially in the light of the fact that most of these show-cause notices are mechanical,” he added. However, some experts said these companies could also opt to adjudicate this issue at the GST department. “Depending on the facts of each case, it is open for the MNCs to either participate in adjudication proceedings and distinguish their facts from that of Northern Operating and also emphasise the instructions issued by the CBIC,” said lawyer Kunal Kishore. Kishore said there have been instances before the NOS judgment when the GST department dropped such demands on being informed about the nature of the relationship between the secondee and the company.
Source: Money Control
The Bangladesh Chamber of Industries (BCI) has demanded a rise in supply of US dollars to expedite industrial raw material imports. A BCI delegation led by its president Anwar-ul Alam Chowdhury (Parvez) recently met Bangladesh Bank governor Abdur Rauf Talukder to convey the demand. Sales have dropped across the country due to high inflation, high interest rates, increase in electricity and gas prices, and no factory can run at full capacity, the BCI delegation said. Survival of the industrial organisations has turned a challenge, they felt, as companies are unable to open the letters of credit (LC) with banks due to the dollar crisis. They have to open LCs at a much higher rate than the rate determined by the central bank. Government cash incentives for export-oriented industries are not being timely paid because of which it is becoming difficult for companies to pay taxes and salaries on time, they complained, demanding early release of such incentives, according to domestic media reports.In case of previous exports, it takes four to five weeks to get acceptance and LC maturing, thereby increasing their liability.Small and medium enterprises are facing the most losses, and hence, deserve the most attention, they added.
Source: Fibre2fashion
The American Apparel & Footwear Association (AAFA), the International Apparel Federation (IAF) and several other trade associations from across the globe have called for wider cooperation among governments to keep shipping lanes open and safe. The more than 100 signatories in their open letter representing a range of critical industries, including agricultural products, retail, energy, clothing and footwear, urged governments to join, support or align with the mission to support safe and secure maritime commerce in the Red Sea and across the globe. The letter was released by the IAF and AAFA recently. IAF is the global federation for apparel manufacturers, brands owned by small and medium enterprises, their associations, and the supporting industry. "It is imperative that governments unite behind a zero-tolerance approach to deter attacks on commercial vessels and seafarers in the Red Sea, and anywhere in the world. The prosperity of millions of people who are employed in our industries and in the global maritime industry depends on safe and secure freedom of navigation," AAFA president and chief executive officer Steve Lamar said in a release. "These attacks have already caused upwards of $80 billion in cargo to be diverted around the Cape of Good Hope….This alternative route becomes even more challenging during the Southern Hemisphere winter months ... cooperation among nations is essential to signal the importance of free passage in international waters," said IAF secretary general Matthijs Crietee.
Source: Fibre2fashion
German manufacturing companies are actively restructuring their supply chains to mitigate the risk of future disruptions, a trend that has persisted even after the COVID-19 pandemic, according to a new survey by the ifo Institute and EconPol Europe. A significant focus has been placed on diversification, with 58 per cent of surveyed companies expanding their supply chains and securing new suppliers over the past year. The survey indicates a proactive approach among manufacturers, with one in three companies planning to further enlarge their supplier base. This strategy aims to create more resilient and flexible supply chains capable of withstanding global challenges. Additionally, 45 per cent of manufacturing firms have increased their warehousing capabilities in the last 12 months to buffer against supply chain interruptions. However, only 12 per cent of the respondents anticipate further expansions in warehousing in the near future, as per the survey. Improved supply chain monitoring has been reported by 44 per cent of the companies, highlighting the industry's effort to enhance oversight and management of supply chain activities. Meanwhile, 17 per cent of the firms have taken steps towards vertical integration by reintegrating previously outsourced production processes.
Source: Fibre2fashion
