The Synthetic & Rayon Textiles Export Promotion Council

MARKET WATCH 20 DEC, 2016

NATIONAL

 

INTERNATIONAL

 

Textile Raw Material Price 2016-12-19

Item

Price

Unit

Fluctuation

Date

PSF

1224.79

USD/Ton

-0.64%

12/19/2016

VSF

2205.33

USD/Ton

0.79%

12/19/2016

ASF

1838.98

USD/Ton

0%

12/19/2016

Polyester POY

1249.93

USD/Ton

0%

12/19/2016

Nylon FDY

3088.91

USD/Ton

2.38%

12/19/2016

40D Spandex

4267.00

USD/Ton

0%

12/19/2016

Polyester DTY

5445.09

USD/Ton

0.26%

12/19/2016

Nylon POY

1494.17

USD/Ton

0%

12/19/2016

Acrylic Top 3D

2873.40

USD/Ton

0.50%

12/19/2016

Polyester FDY

2011.38

USD/Ton

0%

12/19/2016

Nylon DTY

1601.92

USD/Ton

1.36%

12/19/2016

Viscose Long Filament

3261.31

USD/Ton

0.89%

12/19/2016

30S Spun Rayon Yarn

2844.67

USD/Ton

0.51%

12/19/2016

32S Polyester Yarn

1847.60

USD/Ton

0%

12/19/2016

45S T/C Yarn

2629.16

USD/Ton

0%

12/19/2016

40S Rayon Yarn

2973.97

USD/Ton

0%

12/19/2016

T/R Yarn 65/35 32S

2226.89

USD/Ton

0%

12/19/2016

45S Polyester Yarn

1968.28

USD/Ton

0%

12/19/2016

T/C Yarn 65/35 32S

2212.52

USD/Ton

0%

12/19/2016

10S Denim Fabric

1.32

USD/Meter

-0.11%

12/19/2016

32S Twill Fabric

0.81

USD/Meter

0%

12/19/2016

40S Combed Poplin

1.14

USD/Meter

0%

12/19/2016

30S Rayon Fabric

0.65

USD/Meter

0.22%

12/19/2016

45S T/C Fabric

0.64

USD/Meter

0%

12/19/2016

Source: Global Textiles

Note: The above prices are Chinese Price (1 CNY = 0.14367 USD dtd 19/12/2016)

The prices given above are as quoted from Global Textiles.com.  SRTEPC is not responsible for the correctness of the same.

 

 

'GST will remove disparity in cotton, MMF excise duty'

The implementation of the Goods and Services Tax (GST), now likely in second half of next year, will create a level playing field by removing the disparity of excise duty between cotton and man-made fibre (MMF) sectors, according to an expert. This will spur growth in the country’s textile sector, which contributed nearly 15 per cent to exports in 2015-16. “It (GST) will remove the current disparity of excise duty between cotton and man-made fibre. This will also spur growth and the country is expected to again surpass Bangladesh and Vietnam in garment exports in the next three years,” said S Kannan, CFO, Brands and Retail, Arvind Lifestyle Brands. He was addressing the Confederation of Indian Industry (CII) annual CFO Conclave on the topic ‘India Competitiveness: Growth Opportunities and Challenges’ in Bengaluru. He said chief finance officers (CFO) must prepare their organisations for regulatory changes that would come in with the implementation of the GST. According to him, “GST, though a huge opportunity for companies, can be a minefield as well if an organisation is not equipped to implement it”.

Murali Ganesh, CFO, ITC Foods, said the “GST will lead to a paperless taxation process that will reduce errors and bring in transparency, widening the scope of the tax base.” Last fiscal, India’s textile and apparel exports touched $40 billion and the industry is aiming to reach $223 billion in export value by 2021.

SOURCE: Fibre2fashion

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Textile sales decline by 50 p.c. in November

Textile business in the country has been impacted by the demonetisation of high value currency notes, with November sales down by almost 50 per cent compared to that of October, said a top executive of Bombay Dyeing. It has had a “big impact... got hurt,” The Bombay Dyeing & Manufacturing Co. Ltd CEO Nagesh Rajanna said, pointing out that signs of business bouncing back were already visible. He was addressing the media here on Monday. Hoping the textile business would bounce back over the next three months, a period that usually witnesses more sales on account of New Year and Sankranti, Mr. Rajanna said sales in November were 50 per cent lesser than that of the previous month’s figures. The third quarter of the current fiscal came under pressure. “Wait and watch how Q4 will shape up,” he said. Customers were switching to cashless mode of payments. The showrooms were gradually installing PoS machines for facilitating use of credit/debit cards post the November 8 decision of the government to demonetise old Rs. 500 and Rs. 1,000 currency notes. On the impact for Bombay Dyeing specifically, Mr. Rajanna said the use of cards for payments was high, up to 60 per cent of the total transactions, in case of exclusive outlets. This, however, was not the case at multi-brand showrooms, which account for a chunk of the sales.

Silver lining

One of the benefits of demonetisation for the domestic textile industry was bringing Chinese imports under pressure. It made the imports expensive, he said, explaining that much of these transactions were taking place illegally and could not be conducted the same way any more.

SOURCE: The Hindu

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Government initiates action for cashless transactions

Government has initiated immediate action to enable cashless transactions for payment of wages in the textile sector to address the issues of shortage of new currency, said Union textiles minister Smriti Irani. A campaign has been launched to promote digital payments and opening of bank accounts for workers by organising camps in various textile clusters. Senior officers were deputed to clusters to oversee the holding of camps in association with the banking sector. Industry Associations and Councils have also been advised to promote digital payments for enabling cashless transactions, said Irani in a written reply to Rajya Sabha. The government has approved Amended Technology Upgradation Fund Scheme (ATUFS) instead of Revised Restructured Technology Upgradation Fund Scheme (RRTUFS), she said in another reply to Rajya Sabha. ATUFS is for technology upgradation of the textile industry with one time capital subsidy for eligible benchmarked machinery for seven years from 2015-16 to 2021-22. The rate of capital investment subsidy (CIS) for garmenting, technical textiles and composite units (if the eligible capital investment in respect of garmenting and technical textiles category is more than 50 per cent of the eligible project cost) is 15 per cent on eligible machines with CIS per individual entity being Rs 30 crore.

CIS rate for weaving for brand new shuttle-less looms (including weaving preparatory and knitting), processing, jute, silk and handloom as well as composite units (if the eligible capital investment in respect of garmenting and technical textiles category is less than 50 per cent) is 10 per cent on eligible machines with CIS per individual entity being Rs 20 crore. The ministry has also notified the Scheme for Production and Employment Linked Support for Garmenting Units (SPELSGU) under ATUFS to incentivise production and employment generation in the garmenting sector. The additional incentive of 10 per cent will be provided to the units which would be availing the 15 per cent CIS under ATUFS for the installation of eligible benchmarked machinery after a period of 3 years. The cap on CIS for the eligible machinery in the garmenting units has therefore been enhanced from Rs 30 crore, which was the cap under ATUFS, to Rs 50 crore. This additional subsidy of 10 per cent will be on achievement of the projected production and employment generation, as stated by the unit in its Detailed Project Report (DPR). An allocation of Rs 17,822 crore has been approved for seven years to meet the committed liabilities of Rs 12,671 crore and Rs 5,151 crore for new cases under ATUFS. Budget provision for the financial year 2016-17 is Rs 1,830 crore. However, there is no specific budget provision for any particular segment, including Handloom sector since the scheme is demand driven.

SOURCE: Fibre2fashion

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Textiles Min help open 5 lakh bank accounts post note ban

The Textiles Ministry today said it has helped open five lakh bank accounts for associated workers in the industry in three weeks in the wake of demonetisation. "In the wake of demonetisation, the textile ministry has helped open 5 lakh bank accounts for associated workers in the industry in a period of three weeks. We are also ensuring that the workers are trained to digitally use their bank accounts," Textiles Minister Smriti Irani said. She was speaking at the Apparel Export Promotion Councils (AEPC) award function.

Quoting Irani, AEPC said that to promote exports, there should an award for the best player in emerging market in the next season. Industry should also head towards sustainable garments from an international perspective; and should look for innovation either in marketing or technology, she said. The minister presented the awards comprising twenty one categories. Garment sector accounted for more than 47 per cent in the total textile exports from India. India exported worth of USD 10.96 billion garments during the April-November period of this fiscal. PTI RR MR

SOURCE: The India Today

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Investment in Sircilla Textile Park on hold: Minister

In a concrete impact of demonetisation on sectors that heavily rely on cash transactions, investors planning to set up power loom units in Sircilla Textile Park have deferred their plans. Replying to a query on the impact of demonetisation on industrial investments in the Telangana Legislative Council here on Monday, IT and Industry Minister K.T.Rama Rao said that the handloom and power loom units mostly rely on cash-based transactions. The demonetisation has impacted the investments in Siricilla Textile Park. He however said no State has as yet assessed how demonetisation would impact the overall economy though for now there was some negative impact. The Minister however expected fresh long-term infusion of capital as banks were flush with funds and they themselves were coming forward to extend funds.

SOURCE: The Hindu

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Buyer-seller meet organized for manufacturers of powerloom products

The Regional Office of the Textile Commissioner, Bengaluru, under the Ministry of Textiles, Government of India, organized a three-day Buyer-Seller Meet as a marketing platform for powerloom product manufacturers. Deputy Commissioner D Randeep, inaugurating the exhibition, said that buyer-seller meets of this kind were the best marketing platform for small time textile manufacturers and entrepreneurs to exhibit and market their products. With unemployment being the major problem in the country, the textile industry has great potential to address this problem to the extent given the proper marketing platforms for the manufacturers.

Randeep also said that a free marketing environment would be created once the Goods and Services Tax (GST) was implemented. Assistant Director, Regional Office of the Textile Commissioner, Bengaluru who was present at the Buyer Seller Meet said that USP of the exhibition is that the buyers, unlike in online shopping, get to feel the product they are buying and can purchase them at factory prices. The expo opened on Friday having as many as 15 stalls showcasing a range of powerloom products from southern states such as shirting and suiting, saris and churidar materials, dhotis and lungies, home furnishing, bed sheets and towels, school uniforms and curtains under one roof. The expo was held from 16th – 18th December at the Nanjaraja Bahadur Choultry a famous heritage structure in Shivarampet, Mysore.

SOURCE: Yarns&Fibers

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Dr KV Srinivasan is new chairman of South Indian Textile Research Association (SITRA)

The South Indian Textile Research Association (SITRA) reconstituted its governing body, the council of administration, at its recently held annual general body meeting. Dr KV Srinivasan of Premier Mills was elected as the chairman and Sanjay Jayavarthanavelu of Lakshmi Machine Works was elected as the new vice-chairman of the SITRA council. Srinivasan, managing director of Premier Mills Pvt. Ltd. in Coimbatore, has been a member of the Council for 25 years. He is also the managing director of Sree Narasimha Textiles Pvt. Ltd. and Premier Fine Linens Pvt. Ltd and the vice chairman of The Cotton Textiles Export Promotion Council (TEXPROCIL) where he has been serving as a committee member from 1998. He is also a Member of the Advisory Board of International Textile Manufacturers Federation, Zurich (ITMF) from 2010.

Jayavarthanavelu, chairman and managing director of Lakshmi Machine Works Ltd. in Coimbatore, has been a member of the council for 14 years, since 2002. He is also an executive committee member of the Federation of Indian Chambers of Commerce & Industry (FICCI) and a member of the Southern Regional Council of the Confederation of Indian Industry (CII). He also serves as a member of the Development Council for Textile Machinery Industry that was constituted by the Indian government.

SOURCE: Fibre2fashion

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Diamond jubilee for yarn merchants' association

It will take some time for cashless transactions to be popular as 70% of the Indian population is below the poverty line and they have to be brought into the system, said TR Dinakaran, chairman of the Ramalinga Mills. He was speaking at the diamond jubilee celebrations of the Madura Yarn Merchants' Association. "Farmers and other people, who are below the poverty line, should be educated and made aware of the methods of cashless transactions to make the demonetisation drive successful," he said. The meeting resolved that GST should be implemented at the earliest as it would help the textile industry. Uniform taxes at the lower slabs should be applicable to all units of the textile industry, including yarn and readymade garments. Senior president of the Tamil Nadu Chamber of Commerce and Industry S Rethinavelu presided over the event. President of the Madura Yarn Merchants Association N Palaniappan, secretary R Kishankumar Goyenka and KG Devadoss among others spoke.

SOURCE: The Times of India

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Raymond, Aditya Birla, Reliance Retail plan khadi foray after Arvind

Raymond, Aditya Birla Group, Reliance Retail — are contemplating a foray into khadi in the near future. Aditya Birla Fashion Retail (ABFR) is learnt to have given an order for 4,500 metres of khadi to the Gondal-based Udyog Bharti weaver group. Raymond is in talks with around 80 khadi institutions to source the hand-woven fabric, even as it plans to launch khadi apparel in February through its retail stores. Reliance Retail is believed to be collecting samples from khadi makers for a possible foray.“We are planning to launch a designer garment range of khadi as ‘Khadi by Raymond’ -- trousers, jackets, ethnic ware. The entry of organised players in the business will surely change the consumer perception, as we better understand the fashion,” said Ram Bhatnagar, head of sales & distribution of the textile business at Raymond, which has a little over 1,000 retail outlets. They will begin selling khadi garments from 100 stores by February, beginning with woollen khadi. Followed by silk, cotton and poly khadi during the year. "We are expecting about 10 per cent of our apparel business to come from khadi in the next two years after launch. We will also sell it in our overseas stores," said Bhatnagar.

The organised players believe the supply of khadi is likely to be a concern, given the longer gestation period since the fabric is hand-woven. Therefore, they aim at ensuring sufficient supply before a formal launch. To promote the fabric further, Khadi and Village Industries Commission (KVIC) has itself been tapping corporate tie-ups. It has signed an agreement with Raymond for designer khadi apparel's production and sale. Raymond will source khadi from KVIC-approved weavers and produce designer clothes. Both KVIC and Raymond will sell at their retail counters.According to KVIC, the Aditya Birla Group had also approached them and a proposal was under consideration. An e-mailed query to ABFR and Reliance Retail remained unanswered. "With the joining of hands with big corporates, our aim is to increase the sale of khadi, especially among urban consumers. This will help the artisans, who currently do not have enough orders. This joint initiative will result in incremental employment of 210,000 man hours for spinners and weavers, and be beneficial to the more than a million khadi artisans," said V K Saxena, chairman, KVIC.

Through such corporate tie-ups, KVIC expects khadi sale to rise from Rs 1,065 crore annually to Rs 5,000 crore in the next three years. Gondal-based Udyog Bharti Trust said it had got an order for 4,500 metres of khadi from Aditya Birla's Mudra Fashion & Lifestyle a few months before. "We hope to supply this in the next three-four months. The company will give more orders after that. Teams from Raymond and Reliance also visited and asked us to weave specific blends," said Chandrakant Patel, secretary of Udyog Bharti Trust.

SOURCE: The Business Standard

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Apparel makers advance end-of-season sales

Leading textiles manufacturers plan to recover over half of their business in the next six weeks by advancing end-of-season sales. Apparel and home textiles manufacturers have lost 30-50 per cent of their business since demonetisation. Dealing largely in cash, unorganised sector players have lost more. Organised sector players, which witnessed a sharp decline in sales, have advanced their yearly stock-clearing sales by five weeks. "We see improved sentiment in the New Year. The plan is to be ahead on year-end sales," said Nagesh Rajanna, chief executive officer, Bombay Dyeing. The company is offering up to 40 per cent discount on its products.

Apparel and home textile manufacturers normally announce sales in the second fortnight of January to clear inventory at up to 50 per cent discount. This year, they have announced the sale in mid-December. “We estimate a recovery in business during the sale period,” said RK Dalmia, president, Century Textiles. Covering loss A report by ICICI Securities said the effect of demonetisation would continue on textile demand for over two quarters. The industry would also see a structural shift with the adoption of digital payments and the goods and services tax, the report added. Raymond has, apart from a digital wallet offer, introduced a pay-later scheme for loyal customers. “We offer customers sale on equated monthly installments,” a company executive said. Raymond had announced a 30 per cent decline in its business in the initial weeks of demonetisation. Rajanna said the end-of-season sales would be a couple of weeks longer this year.

SOURCE: The Business Standard

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Irani launches mobile app to aid weavers

Union Textiles Minister Smriti Irani today launched the E Dhaga app developed by National Handloom Development Corporation to address weavers concerns on availability of raw material and supply delays. Speaking at the launch, Irani said the "app seeks to address concerns of individual weavers such as availability of raw material, delays in supplies and ensuring stocks in depots", according to a release. Minister of State for Textiles Ajay Tamta said the app will enhance transparency.

Textiles Secretary Rashmi Verma emphasised on the need to engage weavers to use the app, which will be a handy tool for them to transact with NHDC. The programme was attended by handloom weavers from various states. The weavers can access the status of the shipment of the dispatched material using the app. The app is available in Hindi, English and Telugu and will also be available in other languages such as Bengali, Oriya, Assamese and Urdu by January 15, 2017. Besides, in line with the Digital India initiative of the government, NHDC will accept all payments through RTGS/NEFT or digital mode from December 19 onwards and place the latest three months yarn procurement of societies from NHDC in the public domain. PTI RSN ABM

SOURCE: The India Today

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Cash crisis looms large over power looms of Bhiwandi

Cottage industries across the country have suffered heavily because of the ban on high-value notes. The second of a six-part series examines how the power loom industry in Bhiwandi is coping after five weeks of demonetisation. mTill November 8, power looms in Bhiwandi, a town 20 km north-east of Mumbai, worked in two shifts of 12 hours each. That changed in India’s Manchester of the West after demonetisation came into effect. Business has slowed because of fewer orders and the cash crunch is preventing owners and workers from completing the limited work they have. “About 70% of the 1.2 million power looms in Bhiwandi have downed their shutters and the rest will close down soon,” said Abdul Mannan Siddiqui, a power loom owner and president of the industry body Shantinagar Powerlooms Association. While Bhiwandi’s power loom industry, which weaves a third of the cloth that India wears, had been struggling on account of high electricity rates, dumping by China and administrative hurdles, demonetisation has dealt a crippling blow for many here.

Sajid Alam, a power loom worker, says, “I have been running from pillar to post, seeking a job following the closure of the unit I was working for. I was earning Rs 10,000 a month. I am not earning anything now” Power loom owner Anwar Husain, who has been managing his business for over two decades in the Jabbar Compound region of Bhiwandi, says limited cash withdrawals have hampered operations. “I have no choice but to close down my power loom for want of cash and inability to source raw materials,” he says.  “I am not able to pay the 15-odd workers I employ. Most of them have already left for their homes in Madhya Pradesh, Uttar Pradesh, Bihar and West Bengal. If the situation does not normalise soon, I will be compelled to sell my loom at scrap value.” Another power loom owner, Hayat Khan, says his unit produced 1,800 metres of cloth a day before demonetisation. “I am unable to withdraw enough money as banks do not have sufficient cash. Wages and electricity arrears are mounting. The situation is worse than in 1999-2000, when there was a slump in business,” he says.

Bhiwandi, a 150-year-old town, is a key supplier of grey, a kind of rough-hewn cloth, that is processed into fabric. According to local manufacturers, earlier about 600 trucks of yarn reached Bhiwandi daily to be spun into grey. Now there is none.  Purushottam Vanga, vice-chairman, Powerloom Development & Export Promotion Council, says almost 80% of the workforce in Bhiwandi are migrants. “Half of them have returned home.” While the government has taken cognizance of the situation, with Union Textiles Minister Smriti Irani visiting the town last week and promising relief measures, the emphasis is now on shifting to opening bank accounts for workers here.  The Bharatiya Janata Party MP from Bhiwandi, Kapil Patil, says, “Over 10,000 applications to open bank accounts have been filed.” While this is only 2% of the workforce in Bhiwandi, experts say a start has been made to sensitise people to use banking channels. But executives of industry bodies such as Vanga, who is also president of the Bhiwandi Padmanagar Powerloom Weavers Association, are hopeful. “If the decreasing sales of readymade cloth in the market following demonetisation can be addressed, we can tide over other teething problems.”

SOURCE: The Business Standard

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Yarn, Fabric & Accessories (YFA) 2016 witnesses 15% rise in visitors

Yarn, Fabric & Accessories (YFA) trade show 2016 that was recently held in Delhi was attended by over 8,598 buyers, recording a 15 per cent rise as compared to its 2015 edition. Close to 148 exhibitors participated in the show as against 100 last year. The highlights of the exhibition were fashion shows held on all four days of the trade event. Some participating companies also launched their innovative and latest developments in value-added textile products like speciality fibres, multifunctional yarns, mélange yarns, spandex yarn, embroidery yarn, bamboo fabrics, modal fabrics and several unique garment accessories.

Buyers came from various textile and apparel hubs like Delhi & NCR, Ludhiana, Panipat, Bhilwara, Bangalore, Chennai, Mumbai, Ahmedabad, Kolkata, Jaipur, Kanpur, Meerut, Banaras, Surat, Tirupur and Northern India, which includes Punjab and Haryana. There were also foreign buyers from Syria, Sri Lanka, Bangladesh, Brazil, Dubai, Argentina, Uzbekistan, Turkey, Korea and Iran. A Chinese pavilion was also set up for 36 Chinese exhibitors, who showcased innovative yarns, fabrics and garment accessories.

A textile conference in association with TIT-Bhiwani and the Textile Association of India (TAI) Delhi was also arranged on the sidelines of day-1 of the show. Titoba, an alumnus meet, with a gathering of more than 400 top industry professionals, in association with TIT Bhiwani and TAI was also organised. The exhibitor list included the who’s who of the Indian and global textile industry from the textile value-chain beginning from fibres till garment accessories. Visitors of YFA 2016 included decision makers of renowned buying houses and export houses in addition to visitors from composite mills, spinning mills, knitters, weavers, yarn agents, trading houses, designers and retail chains. “We are happy and satisfied with our participation at the YFA 2016 show. We have seen a steady stream of buyers visiting our stall, not just from Delhi or North India, but also other parts of India, which includes, buying houses, exporters, domestic brands etc.,” said Pinkesh Jain, CMD of Everflow Petrofils. “Overall, we are satisfied and happy with our presence at the YFA show as we have had a good number of buyers visiting our stall. Our fibre products have been well received by buyers and most of those who visited our stall, were genuine and technically knowledgeable visitors,” said Takeshi Iitaka, Manager (Cupro Sales) at Asahi Kasei Corporation, Japan. “We thank all the participating exhibitors as well as those who visited the show for making this second edition of YFA extremely successful. The 2016 edition saw participation of 148 exhibitors as against 100 in 2015. The show was visited by 8,598 buyers, up by 15 per cent compared to those came in 2015, which is a considerable high number at a time, when there is a currency crunch,” said organisers Abhishek Sharma and Ankur Goel from Vision Communications.

SOURCE: Fibre2fashion

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Buyers from all over the world rushing to India for India International garment fair (IIGF)

Buyers from all over the world are rushing to India this January for the 58th edition of The India International garment fair (IIGF) an initiative of the Ministry of Textiles for promoting international trade through its apparel trade body Apparel Export Promotion Council (AEPC) to be held in the capital city of New Delhi. The event is aimed at helping exporters from India showcase their latest designs and apparels for the upcoming season, the flagship event of AEPC. AEPC is an organization which has been building bridges between global buyers and suppliers from India for the last 3 decades.

With the dynamics of the global garment and apparel industry changing considerably in the last couple of years, the industry is shifting to India, the world’s most diversified clothing exporter – A Buyers Paradise! India’s rich heritage of fabrics mixed with its artisans offers buyers more than their imagination can imagine. Indian factories can also produce small runs and offer a variety of embellishments giving more value the customer. By buying apparel and fashion products from India, you not only contribute to the enhancement of Make in India Textile Industry, but also to the creation and maintenance of millions of livelihoods, leading to further diversification and vitality in developing country, states Mr. Ashok G. Rajani, Chairman, AEPC. The organization also provides assistance and service, not only to its 8800 Indian Apparel exporter members, but, also to its 1000+ visiting buyers from 67 countries. This edition, AEPC has partnered with virtual fashion trade show platform, Fashionablyin to create a virtual buyers lounge. Fashionablyin aims to make buyer trips more efficient by engaging them with the right suppliers. The company will match make buyers with suppliers by planning meetings in advance and facilitating discussions with suppliers. The Fashionablyin Virtual Buyers Lounge will be great place for buyers and suppliers to connect and build relationships in a friendly and casual environment, stated Tarun Thadani, founder of the London based company – Fashionablyin.com APEC will be offering complimentary stay and travel for eligible buyers who register before the New Year at the IIGF event. The IIGF event is scheduled from 18-20 January, 2017 at Pragati Maidan in the capital city of New Delhi.

SOURCE: Yarns&Fibers

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Indian exporters urge RBI to speed up Iranian banks applications for branches

Indian exporters have written to the RBI asking for speedy clearances for Iranian banks that have applied to open their branches in India. This will help in increasing exports to the country after it dipped in the last fiscal due to falling oil and commodity prices. “We have asked the RBI to expedite clearance of the applications given by the Iranian banks to open up branches. The Commerce Ministry is also supporting us. Once banks from both countries open their branches in the other country, bilateral trade will shoot up,” said Ajay Sahai, Director-General, FIEO. A delegation of business persons from Iran representing a number of sectors such as textiles, clothing, fruits and vegetables, dates, live animals and bitumen are in India to hold meetings with Indian businesses.

Biz-to-biz meetings

“We believe that such business-to-business meetings will help to increase business between the two countries. We also hope that banks will get the relevant permissions soon to open branches,” said Ali Raoffi, Deputy Governor of Hormozgan Provice and leader of the Iranian delegation. The Iranian banks that have applied for setting up branches in India include the Bank of Pasrgad, Saman Bank, Parsian Bank, Bank Mellat and the Persian International Bank. Some of the banks applied almost five years ago.

The Commerce Ministry is also in talks with the Iranian government for allowing at least two Indian banks — SBI and UCO — to set up branches in Iran. IDBI could also apply for opening a branch in the country, Sahai added. Following the lifting of economic sanctions against Iran by the UN and several Western countries and blocs including the EU, the two countries are hoping that normalised relations would lead to increased business. India’s exports that increased to $5 billion in 2014-15 fell to $2.8 billion the following year. Both sides are hopeful that bilateral trade will increase from the present $9 billion to $12 billion over the next two years.

SOURCE: The Hindu Business Line

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Global Crude oil price of Indian Basket was US$ 53.29 per bbl on 19.12.2016

The international crude oil price of Indian Basket as computed/published today by Petroleum Planning and Analysis Cell (PPAC) under the Ministry of Petroleum and Natural Gas was US$ 53.29 per barrel (bbl) on 19.12.2016. This was higher than the price of US$ 52.35 per bbl on previous publishing day of 16.12.2016.

In rupee terms, the price of Indian Basket increased to Rs. 3608.86 per bbl on 19.12.2016 as compared to Rs. 3548.13 per bbl on 16.12.2016. Rupee closed stronger at Rs 67.73 per US$ on 19.12.2016 as against Rs 67.78 per US$ on 16.12.2016. The table below gives details in this regard: 

Particulars

Unit

Price on December 19, 2016 (Previous trading day i.e. 16.12.2016)

Pricing Fortnight for 16.12.2016

(Nov 29, 2016 to Dec 13, 2016)

Crude Oil (Indian Basket)

($/bbl)

53.29              (52.35)

50.85

(Rs/bbl

3608.86       (3548.13)

3460.34

Exchange Rate

(Rs/$)

67.73              (67.78)

68.05

 

SOURCE: PIB

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Bangladesh-Garment exports can go beyond $50b

Achieving $50 billion in garment exports by 2021 is possible if Bangladesh can create an adequate number of skilled manpower in design and provide all kinds of apparel solutions to retailers, a leading garment maker said. “We can go beyond this level,” said David Hasanat, chairman and CEO of Viyellatex Group, while presenting a keynote paper at a roundtable on '$50 billion export target and the role of CEBAI'.

CEBAI or the Centre of Excellence for Bangladesh Apparel Industry was created in December 2014 to provide training for the purpose of creating skilled manpower. For starters, Bangladesh must produce an adequate number of designers as the majority of the garment manufacturers mass-produce the designs supplied by retailers. “We have to provide garment solutions and not only produce the basic garment items. We have to supply all kinds of apparel items made by our own people,” Hasanat said. Currently, less than one percent of the manufacturers provide design support to buyers, he said. Every year more than 20,000 expatriate experts are taking away $5 billion from Bangladesh only because of shortage of skilled and technical manpower in the country. The amount that the foreign experts are taking away from Bangladesh every year is bigger than the net profit made by the local garment exporters, he said. “The local apparel exporters make net profits of $3 billion but the foreign experts are taking away $5 billion. So, we need to create skilled manpower for higher quality and high-end garment products.”

Apart from skilled manpower, Hasanat suggested addressing the challenges such as occupational safety, power and gas supply, improving port services and transportations, market diversification and political stability. Bangladesh is the second largest exporter of garment items in the world, with a 6 percent share of the $450 billion global market. China is the number one exporter with a 39 percent share. The huge gap between the two implies that Bangladesh has the scope to increase its garment exports manifold through diversification and value addition, Hasanat said.

Bangladesh has three of the world's LEED certified green buildings; and seven of the 10 top-rated green buildings in the world are in Bangladesh, according to the Viyellatex chief. “Having such top-rated factory buildings help in the branding of the country,” he added. Bangladesh has the opportunity to export garment items to neighbouring countries like China, India, South Korea and Japan, said Faruque Hassan, vice-president of the Bangladesh Garment Manufacturers and Exporters Association. Save for the European Union, the US and Canada, Bangladesh considers all other markets to be non-traditional ones. “So, we have the opportunities for further expansion of our markets.”

Between 2002 and 2005, Bangladesh's garment exports to the non-traditional markets stood at 2 percent; it reached 15 percent in 2015. The sector should also diversify its products, he said. Trousers, T-shirts and formal shirts account for 79 percent of total garment products exported in a year. However, with the recent endeavours of manufacturers, export of suits, sportswear, swimwear and blazers have been increasing, Hassan added. Atiqul Islam, president of the CEBAI, also spoke.

SOURCE: The Daily Star

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Russian technical textiles market attracts private investments

Russian financial conglomerate AFK Systema, owned by a local billionaire Vladimir Evtushenkov, is considering expanding in the domestic technical textiles and fabrics market in the coming years, according to the company. Mikhail Shamolin, President of AFK Systema, said the company sees big potential in the domestic technical textiles market, and plans to expand its operations. Shamolin also added that despite all the attempts the state has taken in recent years to ensure import substitution, at present, up to 80% of technical textiles in the domestic market are still imported into Russia from Vietnam, China and other countries, which is unacceptable for a country like Russia.

 

According to estimates of AFK Systema, the Russian technical textiles market is currently estimated at RUB 32 billion (US$ 450 million) with a possibility of a significant increase during the next several years. Planned volume of investments that could be allocated by Systema in the Russian technical textiles market is not disclosed at the moment, however, according to some analysts, they may be in the range of US$ 150-200 million at the initial stage. According to the plans of AFK Systema, the production of technical textiles in Russia is currently associated with significant economic benefits, and in particular lower costs, compared to China and other Asian states, which is mainly due to the cheaper energy resources and relatively low wages in the industry. That could attract investors in the sector, including foreign. Currently, the company is completing the development of the expansion strategy that may take place both through the organic growth and through the acquisition of the already existing assets. There is a possibility that the majority of future production will be supplied to the domestic market, while the remaining goes abroad. No further details were disclosed. Sistema already has assets in the field of wood processing, agribusiness, information technology and pharmaceuticals. According to Shamolin, investments in the technical textiles segment are considered by the company as very attractive, due to a high share of imported products in this market and associated low costs.

 

In the meantime, AFK Systema is now the only large investor, expected to start the production and later the export of technical textiles to the foreign markets. Practically the same plans have been recently announced by Gazprom Khimvolokno, one of Russia’s largest producers of chemistry products and technical textiles, which plans to start exports of its technical fabrics to the EU market already by the end of the current year, according to the company’s official representative Dmitry Frolov. Currently, negotiations with potential customers are underway, with the initial supplies possibly going to Poland and later to other countries of the European Union. Since 2013, Gazprom Khimvolokno completed modernization of its production capacities, which has allowed the company to establish its own production of technical fabrics and yarns. In the meantime, the Russian government has already welcomed the plans of domestic investors to allocate funds for the expansion of domestic technical textiles production, but also noted the necessity to provide investments for the acceleration of R&D activities in the industry.

R&D activities

To date, the government has already invested funds in the establishment of one of Europe’s largest scientific clusters and R&D centres in the technical textiles field, taking place at the facilities of the Saratov State University, one of the largest universities in Russia and Eastern Europe. The establishment of the new centre in the city of Saratov, a region in the Central Russia, which was closed to foreigners during the Soviet times, took place as part of the recently announced state plans to support the development of innovative technical textiles products for the Russian army, as well as other segments of the Russian industrial production. In addition to the Saratov State University, the project involves the participation of the Russian Foundation for Advanced Studies (the Russian investment fund, which funds researches in different scientific spheres) and the Russian Ministry of Science and Education. The volume of investments in the establishment of a new cluster to date has amounted to US$ 250 million. Funding of the cluster is expected to come from the funds of the Russian state defence order, which this year constituted a record level of RUB 3.3 trillion (US$ 70 billion).

According to Yuri Salkovsky, head of the "Materials for special purposes" laboratory, one of the largest laboratories of the new cluster, to date, scientists of the laboratory have completed a series of research activities, aimed at developing technical textiles and nonwoven materials from ultra-fine fibre with the thickness of 30-500 nanometres. It is planned that these materials will be used in the production of a wide range of innovative technical textile and nonwoven products that will be manufactured within the scientific cluster. According to Salkovsky, at the initial stage the new cluster will focus on the design of innovative medical dressings, based on nonwovens and technical textiles, and its range will be significantly expanded during the next several years. Details of other products that will be produced at the capacities of the new cluster are classified. Salkovsky also added that in recent years there has been an interest of the Russian government, and in particular the country’s Ministry of Defence, in the design of equipage of a future soldier, which created conditions for the acceleration of scientific research, aimed at the developing special materials and fabrics based on nonwovens and technical textiles that could be used by soldiers from the Russian land forces, airborne forces, as well as other Russian military units.

It is planned that scientists at the new cluster will focus on the design of a special fabrics based on nonwovens and technical textiles that will make soldier immune to electromagnetic radiation, biological radiation, toxic substances and extreme environmental conditions. In addition, the use of new materials will make soldiers invisible to night-vision goggles and radar. According to Salkovsky, the new types of nonwovens that will be designed within the laboratories of the new cluster is by 10 times better based on a number of parameters and can be used in a wide range of industries, but mainly in the defence sector. The majority of future production at the new cluster will be mainly supplied for the needs of the Russian defence sector, as well as other segments of the Russian industrial production. At the same time, a portion of the products will be exported.

SOURCE: The Innovation in Textiles

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Pak govt to spend Rs20bn under Strategic Trade Policy Framework (STPF) to boost export competitiveness

The Pakistan government in response to emerging international changes has decided to spend Rs20 billion over the next three years under the Strategic Trade Policy Framework (STPF) 2015/18 to enhance export competitiveness and institutional strengthening, sources in the Commerce Division said. The steps taken by the government to enhance exports, are sales tax zero-rating regime for five export-oriented sectors, textiles, leather, carpets, surgical and sports goods, has been introduced from July this year. An additional Rs6 billion is available for exporters through Textile Policy 2014.

Policy of uninterrupted energy supply has been implemented with zero electricity load-shedding on industrial feeders since October 2015 and zero gas load-shedding for industry since March 2016. The sources also said in order to fulfill long-awaited demand for reducing cost of doing business, the government has taken a major step of reducing electricity tariff by Rs3 for industrial units with effect from January 1, 2016. Further, fuel adjustment has been passed on to the consumers to reduce the cost of production. The export infrastructure is being continuously improved, capacity of Lahore Expo Centre has been doubled, groundbreaking at Peshawar Expo Center and at three 21st Century land ports at Torkham, Wagah and Chaman is also expected this fiscal year. In order to counter import surge through illegal trade and strengthen trade defence mechanisms, the National Tariff Commission Act has been revamped and approved by Parliament in 2015. Also leading business support institutions are being strengthened.

The Trade Development Authority of Pakistan (TDAP) has recently been restructured, while Pakistan Horticulture Development and Export Company is being revitalised and strengthened, the sources said. TDAP is undertaking various export promotional activities through trade exhibitions and delegations. The availability of affordable finance for the exports sector have been considerably improved. They also said the State Bank of Pakistan (SBP) has further reduced the discount rate, which currently stands at 5.75 percent. Likewise, the export finance rate, currently at 4.5 percent, is the lowest in a decade. Exim Bank is being established to facilitate export credit and for reducing the cost of borrowing for exporting sectors on long-term basis. This will also reduce their risks through export credit guarantees and insurance facilities. According to sources, FTA negotiations with Turkey and Thailand are at advanced stage, negotiations with Iran on FTA are being initiated and joint research study to assess the potential for a preferential arrangement with Korea is underway. There is consistent effort for negotiating additional market access for Pakistani products in target markets.

SOURCE: Yarns&Fibers

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US apparel sector to see steady growth in 2017: Moody's

Apparel industries in the US will experience steady performance in the year 2017, according to a research. It is expected that apparel sales will increase by 6-8 per cent due to direct-to-consumer selling and exposure in international market. Foreign exchange and excess inventory will help in acceleration of the sector’s operating profit by 5-7 per cent. The outlook for the US retail industry in the year ahead is stable, with operating income for the sector growing between 4 per cent and 5 per cent, and sales in the range between 3-4 per cent, according to the study carried out by Moody’s Investors Service. The research also states that a majority of the apparel sellers will continue to emphasise on top-line, organic growth through direct-to-consumer channels, buoyed in part by the significant international expansion opportunities for many brands.

Six of the retail industry’s 13 sub-sectors’ operating income growth will exceed by 5 per cent, led by home improvement, specialty and dollar stores. The performance of broader industry will continue to be tempered by warehouses, apparel and footwear sellers, department stores and office supply stores. “Dollar stores will be among the top-performers in 2017, as cash-strapped consumers look to save money on multiple fronts,” said Mickey Chadha, Moody’s vice president -- Senior Credit Officer. “Home improvement stores such as Home Depot and Lowe’s will benefit from the continuing robust recovery of the housing market, and the subsiding deflationary pressure on supermarkets in 2017 should result in the sub-sector outperforming the broader retail industry.” However, it is also expected that the apparel and footwear sellers will be squeezed as consumers will continue to spend more on healthcare, rent, home-related products, electronics and cars, said the report.

SOURCE: Fibre2fashion

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Pakistan Govt will not allow cotton import duty-free: Bosan

Cotton research institutes and the cotton crop should be under supervision of the Ministry of National Food Security and Research to achieve the annual production target of 20 million bales, said National Food Security and Research Minister Sikandar Hayat Khan Bosan. Speaking at a meeting of the Multan Chamber of Commerce and Industry (MCCI), chaired by its president Khawaja Jalaluddin Roomi, Bosan said, “We are trying to cut the cost of agricultural production to bring prices of grain and other commodities to the level of international market.”

Referring to the Plant Breeders Rights Bill, he said the document could not be approved for the past 13 years. Bosan said the mango export target of 100,000 tons had already been achieved and now more than 300,000 tons of kinnow would be exported this year. He revealed plans to cultivate soya bean in Bahawalpur, Potohar, K-P and other areas. “No duty-free cotton import will be permitted until all locally-produced cotton is sold completely,” he declared. He said they were aware of the problems faced by the farmers growing cotton on a small area and safeguarding their interests was among key priorities of the government. He said he was an advocate of farmer rights, but not an enemy of textile millers, adding once local stock was disposed of cotton imports could be made. “Farmers have suffered huge losses since last year; this year they brought 21% less area under cotton crop and production fell 40%.” The minister expressed optimism that the cotton area would be increased next year because farmers had earned profit in the current season due to better production and favourable weather.

Talking about advances made in agricultural research, the minister expressed hope that research institutes would be developed over time. Former MCCI president Farid Mughis Sheikh said there was no justification for free trade between India and Pakistan when India was plotting to dismember Pakistan. He suggested imposing a complete ban on Indian products like auto spare parts, cotton yarn, etc. MCCI President Khawaja Jalaluddin Roomi, in his welcome address, urged the minister to get a special development package approved for Multan. He demanded lifting the ban on cotton import immediately because there was a gap of four million bales in demand and supply.

SOURCE: The Tribune

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China Textile Innovation Conference explores road ahead

China Textile Innovation Conference 2016, an annual summit of industry innovation, summarised the achievements of the industry and explored the new advantages in development in order to grasp the strategic opportunity of the new round of industrial changes. Two innovation forums and an award ceremony were also held as part of the conference. The conference themed ‘New Opportunity, New Advantages, New Vitality – Stepping Towards A Textile Power’ was recently held in Beijing. In his keynote speech ‘To construct a new future for China’s textile and apparel industry’, China National Textile and Apparel Council (CNTAC) president Sun Ruizhe said that in spite of problems to global economic development, China remains the most important growth engine for world economic development.

Despite flat growth rate and various challenges, China’s textile industry continues to maintain a stable position in national economy, and enjoys growing shares in global textile and garment trade, Ruizhe added. According to him, China’s textile industry is transforming from a traditional industry to scientific and technological industry, green industry, and fashion industry during the 13th Five-Year Programme period. He proposed that the Chinese textile industry needs to focus on innovative development based on technological innovation, refined development in the direction of intelligent manufacturing, inclusive development with social responsibility as the focus, fashion development with cultural self-confidence as the goal, integrated development with industry and financial integration as the starting point, and linkage development with system construction as the core, to build a new future for the industry. “This (The 13th Five-Year Programme)  is a golden period of China’s garment industry, when the background, characteristics, and development concept are completely different from the past, but the industry will be fully re-oriented to the advantages of restructuring and upgrading accompanied with increasingly enhanced technological creativity, cultural creativity, and service creativity. In addition, the brand building, cultural construction and fashion right to speak will also see an overall increase, promoting the whole industry towards a medium- to high-end development,” said Chen Dapeng, vice president of CNTAC and executive vice president of China National Garment Association.

Li Lingshen, vice president of CNTAC and president of China Nonwovens & Industrial Textiles Association, gave a detailed introduction to the breakthroughs and outstanding contributions that China’s technical textiles industry had made in the development of new products during the 12th Five-Year Programme period. He harped on innovation-driven development of the industry in such fields as the strategic new materials, environmental protection, health, emergency and public safety, infrastructure construction and military-civilian integration. In his speech, Yang Zhaohua, vice president of CNTAC and executive vice president of China Home Textile Association, focused on the transformed new home textiles in the 13th Five-Year Programme period, which should be centred on consumers and enhance the supply-front structural reform for all-round promotion of brand strategy. “Over the past two years, China’s home textile industry maintained a continuously stable growth. Looking forward to the coming 2017, the industry is required to focus on the development programme for the industry during the 13th Five-Year Programme period in order to promote home textile industry to achieve new transformation, new development and new results.”

At the event, the 2016 CNTAC Sustainable Textile Product Development -- Excellent Efficiency Award, 2016 CNTAC Product Development Contribution Award / Product Development Promotion Award, and CNTAC Product Development Outstanding Contribution Award during the 12th Five-Year Programme period were presented. Another highlight of the conference were the two innovation forums—‘product competitiveness and sustainable innovation’ and ‘scientific and technological progress and fashion economy’.

SOURCE: Fibre2fashion

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Belt and Road initiative boost Xinjiang’s textile, garment exports

China’s largest province Xinjiang in the north west witnessed robust growth in textiles and garments exports reaching 43 billion yuan (6.2 billion US dollars) during the first ten month of this year (Jan.-Oct. period), up 49 percent from the same period last year, according to the customs of Urumqi, capital of Xinjiang Uygur Autonomous Region. Boost in textile and garment exports was seen due to the Belt and Road Initiative, local customs authorities said. The two major markets for Xinjiang's textile products are Kazakhstan and Kyrgystan, but exports to Russia has also seen rapid growth.

Xinjiang, is China’s major cotton producer, accounting more than 60 percent of the country's total cotton output last year. The region with its preferential policies has attracted investment from eastern coastal regions to set up factories in Xinjiang. It is also a hub for trade with neighboring Central Asia. This year, Xinjiang will convert a minimum of 1.5 million mu of farmland from cotton to less water-intensive crops. More water-efficient irrigation, like drip systems which slowly release small amounts of water through plastic tubes buried in the soil, has also been installed. Xinjiang is part of the central government’s “New Silk Road,” or “One Belt, One Road” initiative, will link China with Central Asia and Europe.

SOURCE: Yarns&Fibers

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Hometech Textiles Market is Expected to Gain Popularity Across the Globe

A textile product manufactured for non-aesthetic purposes is called a technical textile. A technical textile used in home furnishing and clothing is called hometech textile. The hometech textiles market comprises a strong part of the technical textile market including upholstered furniture industry. Household textiles and furnishings. Hometech textiles range from filter products used in vacuum cleaners to fiber fills in mattresses and pillows. Hometech products are made of both synthetic and natural fibers. Hometech textiles are widely utilized in furniture & interior decoration, sun protection, cushion materials, carpeting, fireproofing, wall coverings, flooring and textile reinforced fittings etc. Hometech textiles ranks 4thlargest in sales of all the other technical textiles. Western Economies account for the biggest market share of hometech textiles followed by Asia Pacific. Hometech Textile products are in continuous use by household as well as commercial sectors.

The global hometech textiles market can be segmented on the basis of Geography, applications and end use types. On the basis of geography, the global hometech textiles market can be segmented into North America, Latin America, Western Europe, Eastern Europe, Asia Pacific, Middle East & Africa and Japan. On account of applications the global hometech textiles market can be segmented into commercial and household. Hometech textiles are widely used in commercial sector like offices and business organizations as well as domestic and household purposes. Considering end use types, the global hometech textiles market can be segmented into fiberfill, mattress and pillow components, carpet backing cloth, stuffed toys, blinds, HVAC filters, vacuum cleaner filter cloth, non-woven wipes, mosquito nets and furniture fabrics.

The robust increment in office and commercial construction is a main factor aiding in driving the global hometech textiles market. With growing population worldwide, the demand for hometech textiles is growing proportionally. Rising disposable incomes & customer spending and increasing purchasing power of customers in developing countries is driving the growth of the global hometech textiles market. With rapid industrialization and increasing demand of technical textiles in industries is another factor leading the global hometech textiles market to grow.

The major challenge faced by the global hometech textiles market is frequent changes in raw material prices. The rise and degradation in raw material prices is affecting the imbalance in prices of the global hometech textiles market. Moreover, low degree of consumer preference towards the technical textiles, specially hometech textiles is a major reason posing as a restraint to the global hometech textiles market. In addition, less requirement of luxurious needs such as hometech textile products is again a critical challenge to the global hometech textiles market.

Due to population explosion in the continent, Asia Pacific accounts for the maximum share of the global hometech textiles market. North America holds the second largest share of the total hometech textiles market across the globe. Latin America follows North America as the third largest consumer of hometech textiles worldwide. Europe accounts for a huge number of nations involved in importing, manufacturing and exporting hometech textiles. Western Europe holds a larger share than the Eastern Europe. MEA is a growing market for hometech textiles followed by Japan.

SOURCE: The News maker

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8.4% increase in manufacturing index during October: Egypt

The manufacturing index (without crude oil and petroleum products) increased to 128.7 during October compared to 118.67 in September, registering an increase of 8.4%. A recent report issued by the Central Agency for Public Mobilization and Statistics (CAPMAS) on the metadata of the production index for manufacturing and extractive industries for October showed that the total index for mining and quarrying reached 108.30 in October, compared to 54.89 during September, an increase of 97.3% due to high demand, particularly exports of coarse salt. The report added that the total index for the manufacture of food products reached 140.59 during October, compared to 113.53 the previous month, an increase of 23.8 % due to the need to cover the needs of the market of oils and sugar glucose and export of agricultural products.

Moreover, the total index for manufacturing of other non-metallic mineral products reached 129.99 in October, compared to 91.19 the previous month, an increase of 42.5% due to increased demand, with a stable power supply and marketing offers on ceramic products. The total index for the manufacture of textiles reached 81.05 in October, compared to 111.98 in September, a decrease of 27.6% due to low demand and the continuation of the textile sector’s problems.

SOURCE: The Daily News Egypt

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Oil trades near $52 as investors eye Libyan crude output return

Oil hovered near $52 a barrel as investors eyed the potential return of crude volumes from Libya and await output cuts in January as part of an Opec and non-Opec deal. Futures were little changed in New York after swinging between gains and losses. Libyan oil-facility guards backtracked on an agreement to allow supply to flow from the El Feel and Sharara fields, two of the country’s biggest fields. Investors await production cuts by Opec and non-Opec producers starting early next year. Oil has traded near $50 a barrel since the Organisation of Petroleum Exporting Countries (Opec) agreed November 30 to reduce production for the first time in eight years. Many non-Opec producers, such as Russia, agreed to join the deal as well. Goldman Sachs Group last week increased its second-quarter crude-price forecasts and predicted stockpiles would return to normal by mid-2017 amid the curbs.

There are little fundamental drivers until the market can evaluate Opec, non-Opec production cuts in January, according to Mike Dragosits, senior commodity strategist at TD Securities in Toronto. “We’re in a pretty quiet period now. What you’re seeing is a reaction to the US dollar flows,” he said by telephone. WTI for January delivery, which expires on Tuesday, fell five cents to $51.85 a barrel at 9:58 am on the New York Mercantile Exchange. Total volume traded on Monday was about 20 per cent below the 100-day average. The more-active February future was down seven cents to $52.88.

Brent for February settlement dropped 15 cents, or 0.3 per cent, to $55.06 a barrel on the London-based ICE Futures Europe exchange. The global benchmark crude traded at a premium of $2.18 to WTI for the same month. The Bloomberg Dollar Spot Index, a gauge of the greenback against 10 major peers, was little changed, after falling as much as 0.3 percent earlier.

SOURCE: The Business Standard

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