Surat: Powerloom weavers in Pandesara and Ved Road industrial areas will be able to procure yarn-raw material for the polyester fabric-at concessional rates with the ministry of textiles increasing the corpus fund for India's first yarn banks in the city from Rs 1 crore to Rs 2 crore. At the recently announced Power Tex India — a central government package scheme for powerloom sector — the corpus fund for the yarn banks in Surat has been increased to Rs 2 crore each and bank guarantee reduced from 50 per cent to 25 per cent. Two years ago, the central government had sanctioned two yarn banks in the powerloom clusters of Ved Road and Pandesara, country's largest man-made fabric (MMF) centre. The ministry of textiles had formed two special purpose vehicles, Ved Road Art Silk Small Scale Co-operative Federation and Pandesara Weavers Co-operative Society for setting up of the yarn banks. These banks were started with an initial corpus fund of Rs 1 crore for purchasing yarn from open market and selling at concessional rates to their initial 1,000-member weavers. The yarn banks provide an opportunity to the weavers to arrest the price fluctuations and check the presence of middlemen. The yarn banks allow the weavers to procure yarn on credit and repay the amount in instalments. Surat has around 5.5 lakh powerloom machines which produce three crore meters of fabrics every day and employ around seven lakh workers. An official of Ved Road Art Silk Small Scale Co-operative Federation said there were more than one lakh weavers in Ved Road and Pandesara clusters and that the yarn bank is able to cater to only 100 units initially. The yarn is procured from frontline spinners in bulk quantity at concessional rates. The yarn bank serves twin purposes. Firstly, it gets yarn samples from around the world and store them. The domestic industry can get access to yarn samples of global standards and do further research and come out with innovative products. Second is the price benefit. Pandesara Weavers Cooperative Society president Ashish Gujarati told TOI, "We are happy that the corpus fund at the yarn bank has been increased from Rs1 crore to Rs2 crore. We were able to cater to only 100 weavers at the bank, now around 200 will be able to get assistance. We have demanded that the corpus fund be increased to Rs15 crore."
Source: The Times of India
The Commerce Minister, Mr. Dinesh Singh, said in Parliament to-day (April 4, New Delhi) that Government was investigating the possibility of overcoming cotton shortage by increasing imports. About the extra one-day closure a week now in force in mills because of the cotton shortage, Mr. Dinesh Singh said Government was studying various means by which availability of cotton might be improved and closure averted.
Source: The Hindu
On Monday, in a special meeting convened by Chief Minister Devendra Fadnavis, it was decided that the state will give the money to Seloo Agriculture Produce Marketing Committee (APMC) as a soft loan. THE state government has decided to bear the burden of payment of Rs 8 crore to farmers in Wardha district defaulted by a prominent cotton trader, at least for the time being. Sunil Talatule, the trader, had failed to pay hundreds of cotton farmers against a purchase of their produce from November 2014 to May 2014. Till then, he used to make regular payments against the purchases made, thereby winning the farmers’ trust. Talatule belongs to the family of one of the founding members of the RSS, Babasaheb Talatule, and the farmers had protested at Nagpur alleging that the trader was being shielded by the BJP-led government in the state. The agitation was called off after the state government promised to pay the farmers by auctioning Talatule’s properties. The issue, however, kept hanging fire following Talatule moving the High Court and securing a stay on the auctioning process. The stay is still in force. On Monday, in a special meeting convened by Chief Minister Devendra Fadnavis, it was decided that the state will give the money to Seloo Agriculture Produce Marketing Committee (APMC) as a soft loan. It is sought to be paid back by the APMC once the way gets paved for the auctioning of Talatule’s properties. Wardha collector Shailesh Nawal told The Indian Express: “This is a stop-gap arrangement till the auctioning of Talatule’s properties take place after the court finally clears it.”
Source: The Indian Express
IL&FS Skills Development Corporation Ltd (IL&FS Skills), a joint initiative of IL&FS Education & National Skills Development Corporation (NSDC) launched Recognition of Prior Learning (RPL) for Sewing Machine Operators under Pradhan Mantri Kaushal Vikas Yojana (PMKVY). It was launched at the M/s Poppys Knitwear Pvt. Ltd. Factory near Tirupur industrial town. RPL aims to align the competencies of the unregulated workforce of the country to National Skills Qualifications Framework (NSQF), which is a competency-based framework that organises all qualifications according to a series of levels of knowledge, skills and aptitude. RPL is a platform to provide recognition to the informal learning or learning through work to get equal acceptance as the formal levels of education. The programme aims to impart skills training for existing workers to align the competencies of the unregulated workforce to the NSQF under PMKVY - RPL scheme. It focuses on enhancing the career/employability opportunities of an individual as well as provide alternative routes to greater standards of living through skill enhancement. RPL also envisages providing opportunities for reducing inequalities based on certain privileged forms of knowledge over others. It is a process of assessment of an individual's prior learning to give due importance to learning as an outcome rather than learning as a process. The project launch ceremony was focused upon the RPL project launch and commencement of first batch of training. Training materials kits were distributed to the trainees during the ceremony. Dr A Sakthivel, chairman, Poppys' group of companies & board member of Apparel Made-ups & Home Furnishing Sector Skills Council (AMHSSC), was the chief guest of the event and Lakshmanan, assistant director, Textiles Committee was the guest of honour. The ceremony was also attended by the senior management of Poppys Group of Companies along with the existing workers of the factory and Assistant Director, Textiles Committee. Sakthivel delivered the key note address and mentioned the initiatives of IL&FS in skills domain and the benefits to the industry and employees. He assured of all support to IL&FS Skills in RPL implementation. Lakshmanan highlighted the significance of the programme to the potential trainees. He also informed on how industry could be better off by RPL kind of training that improved the technical and life-skills of the trainees.
Source: Fibre2Fashion
The Narendra Modi government will table Goods and Services Tax (GST) Bill for discussion in Rajya Sabha on Wednesday. Union Finance Minister Arun Jaitley will present the bill in the Upper House as the government seeks to roll out the the pan-India tax regime on July 1. Notably, the Lok Sabha earlier on March 29 passed four key GST Bills, rejecting amendments moved by the opposition. FM Jaitley had termed the bill as ‘revolutionary’. The Bills are related to Central GST, Integrated GST, UT GST and GST Compensation. The Central GST deals with taxation related to the central government, integrated GST deals in taxation of inter-state movement of goods and services while the Union Territory GST Bill covers taxation in Union Territories. The compensation law has been prepared to give a legislative backing to the Centre’s promise to compensate the states for five years for any revenue loss arising out of GST implementation. According to Union Finance Minister Arun Jaitley, the prime objective of the GST is to have one tax and each assessee with one assessing officer. Under the GST, for one commodity there will be only one tax rate in the country. The revenue department has extended by a month till April-end the enrolment of dealers with GSTN, the IT backbone for the new set-up, as so far only 60 per cent of the existing assessees are done with the switchover. Revenue Secretary Hasmukh Adhia reviewed the IT preparedness of the Goods and Services Tax Network (GSTN) last week and progress in registration of 80 lakh excise, service tax and VAT assessees with the portal. “So far, 74 per cent of the VAT assessees have migrated to the GSTN portal, while only 28 per cent of the excise and service tax assesses have enrolled for the new regime. We are going to buck up now and I have asked the department to complete the enrolment process with a fortnight,” Adhia told PTI. Out of the 80 lakh assessees, some may not require registration under the GST as they are below the threshold of Rs 20 lakh for GST levy. At present, VAT and service tax assessees with turnover of Rs 10 lakh are required to get themselves registered with states and the Centre, respectively. The GST Council, headed by Union Finance Minister and comprising state representatives, had decided to keep traders with annual revenue of up to Rs 20 lakh out of GST. However, for north eastern and the hill states the limit will be Rs 10 lakh. In early January, the Central Board of Excise and Customs (CBEC) had asked field officers to migrate all existing central excise and service tax assessees to the GST portal by January 31, 2017. In March, it had asked the officers to complete the enrolment process by March 31.
Source: Financial Express
India has indicated to the UK that a free trade agreement (FTA) between the two countries can only happen only after Britain’s formal exit from the European Union (EU). Finance Minister Arun Jaitley said that India is keen on investing in the UK and also welcomed British investment in India’s financial sector, but stressed that an FTA is far away. “We will look at it (FTA), more trade arrangements and engagement between the two countries post the UK’s exit from the EU,” Jaitley said after the ninth UK-India Economic and Financial Dialogue. Jaitley met with British Chancellor of the Exchequer Philip Hammond, who is on a two-day visit to India to participate in the Dialogue. Hammond’s visit comes less than a week after British Prime Minister Theresa May triggered Article 50 of the Lisbon Treaty, formally initiating the process of Britain’s exit from the EU.
Clean-energy focus
At the Dialogue, both sides agreed to jointly set up a fund worth £240 million to finance clean energy projects in India. The ‘Green Growth Equity Fund’ will be a sub-fund of the National Investment and Infrastructure Fund (NIIF). Both governments reaffirmed their commitment to invest up to £120 million each in the fund with the goal of raising it to around £500 million. “This is a relationship between equals. We share a common legal system and a common language of business. India is a major investor in the UK and the UK is one of the top investors here,” Hammond said. The joint fund aims to leverage private sector investment from the City of London to finance India’s infrastructure projects, the statement said. According to experts, the UK has no other alternative but to rely on India in order to address its skill shortage, the need for which will increase once it leaves the EU. As a result, the UK will be compelled to ease some of the restrictions it has imposed on work permits. “India has been one of the largest contributors of skilled labour, with doctors, scientists, engineers and IT specialists filling the vital market gap here and helping the country run,” said Sarosh Zaiwalla, Founder of UK-based solicitor Zaiwalla & Co. “With a market of over a billion people, and as the fastest growing economy in the world, India holds pivotal importance for Britain to establish a bilateral trading agreement,” he added. Hammond, who will be visiting Mumbai on Wednesday to attend the India-UK financial technology summit, has been accompanied by leaders from the UK’s FinTech and financial services firms, as well as FinTech envoy Eileen Burbidge, Commercial Secretary Baroness Neville-Rolfe and International Trade Minister Mark Garnier.
Source: Business Line
Odisha Skill Development Authority (OSDA) would be using the expertise from NIFT-TEA Knitwear Institute to impart knitwear industry-specific lessons into the training programmes which the Authority already been running through various institutes in Odisha, said G. Rajesh, an Indian Forest Service Officer and member secretary of OSDA. For which OSDA to join hands with the Tirupur knitwear industry stakeholders to ensure that the cluster here gets ‘specifically trained manpower’ from Odisha for apparel production. The collaboration will provide an impetus to the apparel cluster here as they need not have to train a rookie worker to cater to the specific needs in the production process and at the same time the trained workforce in Odisha also gets quality employment. The idea to hold this initiative came in the wake of an increase in the flow of labourers from Odisha to Tirupur during the recent times, but at the same time the workers were found not to be fully suited for the specific needs that were expected by the apparel manufacturers here. It resulted in many workers from Odisha end up doing unskilled works and eventually they were found moving to other clusters. The experts from NIFT-TEA Institute will visit Odisha to oversee the existing training programmes for textile industry and suggest the changes that need to be incorporated in the lessons to suit to the knitwear production.
Source: Yarns and fibres
The last month of fiscal 2016-17 appears to have brought many cheers for the trucking industry. While Supreme Court ban on sale of BS III trucks led to huge discounts for new purchases during the last 2-3 days of March, truck freight rates also went up 3-4 per cent on trunk routes during the month with improvements in cargo flow from agri and manufacturing sectors. After three years, March saw its best performance as cargo offerings from agri sector, factory output and exports displayed an increase of 15-20 per cent, 8-10 per cent and 4-5 per cent, respectively, in full truck load despatches and that resulted in an increase in truck rentals by 3-4 per cent with better fleet utilisation, according to New Delhi-based IFTRT (Indian Foundation of Transport Research and Training). Truck freight rates on Delhi-Mumbai-Delhi round trip on a 25-tonne truck increased by four per cent at ₹85,000 on April 1 when compared with ₹ 81,700 on March 2. Delhi-Chennai-Delhi round-trip also saw a rise of 4 per cent at ₹1,25,500 from ₹ 120,500 and Delhi-Ranchi-Delhi rental was up 3 per cent point at ₹ 86,500. BS IV compliance Though, the general economic scenario appears to be improving, sales of heavy trucks conforming to BS IV norms will be sluggish during the first quarter of 2017-18. Since fleet operators would have taken advantage of huge discounts offered for BS III trucks by March 31, , new purchases in the current quarter is likely to be tepid, felt IFTRT.
Source: Business Line
GUWAHATI, April 4: State Textile and Irrigation Minister Ranjit Dutta is going to inaugurate a silk mark expo at 4 pm at NEDFi House, Guwahati tomorrow. Silk Mark Organization of India (SMOI) is an initiative of Central Silk Board and has been working for protecting the interest of the sericulture farmers, weavers, entrepreneurs, designers on the one hand, and consumers on the other hand, safeguarding the purity of silk in the silk industry through the introduction of silk mark labels. Over the years since 2014, SMOI has evolved and spearheaded awareness of pure silk with silk mark. Today there are more than 3,500 authorized users (AUs) of Silk Mark and 290 lakh Silk Mark labeled products in the market. In order to ensure that Silk Mark gains further credibility and popularity, Silk Mark Expos are being organized exclusively involving the Silk Mark Authorized Users who are weavers, manufactures, NGOs, prominent silk dealers, exporters and government-supported agencies from all over the country. One such event is organized from April 5, 2017 in Guwahati, wherein 40 authorized users will be showcasing their pure silk products affixed with Silk Mark Labels. The expo will be on the lines of the previous silk mark expos organized across the country. In the market there are various inferior quality, low priced products which look like silk confusing the silk loving consumers while buying the silk products they so desire. This poses a threat to the natural silks as well as to the communities and local genuine enterprises involved in silk production harnessing the silkworm, plant diversity, yarn, fabric etc. Silk Mark is the only answer to this persistent menace that is haunting the silk producers and consumers for long.
Source: The Sentinel
Prime Minister Sheikh Hasina’s visit to India after a seven-year hiatus, just ahead of Poila Boishak, Bengali new year, couldn’t have been more opportune. There are two compelling reasons for renewed bonding between India and Bangladesh. First, the current dynamics of the relationship are very positive.Currently, the volume of bilateral trade between India and Bangladesh is about $6.6 billion; there are estimates that the trade potential is at least four times the present level. New Delhi and Dhaka are looking at strengthening economic cooperation through joint investments and cooperation under the ‘Blue Economy’ programme which entails synergised efforts of littoral states in the exploration of hydrocarbons, marine resources, deep-sea fishing, preservation of marine ecology and disaster management. Secondly, the two countries see themselves converging around a sense of indispensability, not just as neighbours battling the scourge of terrorism, but as leading economic partners whose collective strengths can transform not just their own economies, but also that of the region and the world. As the second fastest-growing economy in the world in 2016 with more than 7 per cent growth, Bangladesh has a firm footing in the global apparel markets and is now a role model for the developing world in poverty reduction, achieving success in health and education and fighting climate change, among others. India continues its run of strong GDP growth with a resilient economy powered by fast paced economic and tax reforms, measures on ease of doing business, increased public investment in infrastructure, opening up of defence, aviation and pharma sectors to 100 per cent foreign direct investment.
Well-catalysed
These triggers are matched by the contributions of industry bodies that have been nurturing economic relations and undertaking various initiatives with their counterparts in Bangladesh. India and Bangladesh are pushing for faster and higher growth and this merits a close look at extending support to Bangladesh for infrastructure projects such as improving road capacity in Bangladesh Cooperation in upgrading some customs posts, as well as establishing border markets for vendors along the 4,096-km boundary along with efforts to integrate the region’s economies with road, rail and shipping routes can yield rich dividends. This is a good time for the industry in India to look for opportunities for collaboration in defence, such as in military hardware, space technology, technical assistance, exchange of experience, and development of sea infrastructure. Connectivity offers a game-changing opportunity for India and Bangladesh. This is pivotal to India’s connectivity with its north-eastern region and with countries of Asean. Equal emphasis on physical and institutional connectivity between India and Bangladesh will facilitate the exploration of more opportunities through trade and investment. This is particularly important in the context of both the Make in India initiative as well as India’s Act East Policy. The Digital India programme offers tremendous scope for sharing of experiences and greater business engagement.
Expanding opportunities
While energy has witnessed new highs in an exponential expansion of bilateral cooperation, there are rich prospects for an India-driven proposal for a joint venture among BBIN (Bangladesh, Bhutan, India and Nepal) countries. This is a mega cooperation initiative which complements India’s ongoing investments in power joint ventures in Bangladesh. On the energy front, new opportunities are opening up for energy companies in India in LNG and supply of petroleum products. On a broader canvas, there is tremendous potential held out by the initiative on sub-regional cooperation amond BBIN nations that envisages transport and transit facilitation between the two countries through a motor vehicle agreement. There is much that industry on both sides can work on such as containerised cargo movement, technical assistance and capacity building requirements. The scope has just got wider with India looking at an expanded sub-regional cooperation among BBIN countries to cover initiatives in rail which would open opportunities in land ports and land customs stations, air connectivity as also the power sector. Industry can be a constructive partner in tapping the opportunities for power trade and inter-grid connectivity cooperation in future power projects, and water resources management among the four countries. Indeed, Bangladesh and India are at a historic juncture of diplomacy embedded in a rich matrix of history, religion, culture, language and kinship. As we look ahead at a future of shared prosperity, the onus is on our industry and governments to carry forward the aspirations of our people.
Source: The Hindu
Jaya Shree Textiles, an Aditya Birla Group company, aims to expand its Linen Club stores to its retail chain by adding around 156 stores taking the total count to 300 by 2020. For each Linen Club stores it would be investing about Rs60 lakh to Rs70 lakh with an area ranging from 1,200 sq ft to 1,500 sq ft. At present, Jaya Shree has 144 Linen Club stores operational in the country. Thomas Varghese, business head – textiles, Aditya Birla Group, said that it would be a mix of company-owned stores and franchisees. The company opened its first Linen Club store in Hyderabad in 2002, but it took time for the company to expand the retail format aggressively as the fabric has taken time for awareness and acceptance by customers. Amid rising demand for the linen fabric with a shift in trend from formals to casual and comfort wear, the initial expansion will be in the existing markets in southern and western region, while the company plans to enter the northern region sometime this year. The company on Saturday launched its exclusive identity store at Linking Road, Bandra, in Mumbai spanning 1,370 sq ft. This store is their first flagship outlet in Mumbai and their fifth store in Greater Mumbai. This store would be their 144th store pan India, Varghese added. Rajiv Dube, director, Aditya Birla Management Corporation, said that Mumbai is the fashion capital of India and they are absolutely positive that the style connoisseurs of the city will welcome the finest European linen fabrics. All their fabrics are made from raw material sourced from France and Belgium and processed at their manufacturing facilities. Rajesh Vig, partner, PricewaterhouseCoopers, said that Linen fabric commands a premium of 35% to 40% over cotton. The annual demand is growing by at least 15% to 20% annually. Linen is a fabric worn for comfort and, given the hot climate in India, its demand is increasing. The company already has a store overseas in Muscat and plans to open a few more in the region in the next couple of years.
Source: Yarns and fibres
The Department of Textile Manufacturing has announced its technical fest Vastra’17 at the premises of Veermata Jijabai Technological Institute (VJTI), Matunga, Mumbai on April 8, 2017. VJTI is one of the premier engineering institutes in India with a legacy spanning 128 years. The technofest Vastra has a history of being a confluence of visionary alumni students and corporate leaders from the field of textile science. This year, Vastra will be opening new avenues for interaction among textile enthusiasts from all across the country. The theme for the year is technical textiles. The organizers plan to showcase global trends in the fields of Technical Textiles. The focus will also be on the ways in which Indian ecosystem is keeping pace with these trends. Vastra’17 is powered by ITME. The tech fest will witness among other events, competitions like technical quiz, paper on poster presentation, product marketing and spontaneous sketching. Vastra aims at providing a platform for students across India to engage with textile technocrats and win prizes worth Rs 50,000. The event is authorized by Dr.O.G.Kakde (Director-V.J.T.I.), Dr.V.D. Gotmare (HOD of Textile Manufactures Department) and Dr. D.P.Kakad (Staff Co-Ordinator) for VASTRA’17. The event is organized by Shantan Raybage (Overall Co-Ordinator) and Sameer Memon (General Secretary). Vastra is a national level textile summit organized by VJTI, Mumbai. VJTI is one India's oldest and prestiguos institute contributing to the field of textile for over a century. This year, they have decided to continue their legacy, offer tribute to the always growing textile heritage and voice a unified thought through one platform, Vastra'17!
Source: Yarns and fibres
Hopes are high that the Government has finally come up with credible plans to increase cotton production and expand the textile industry. Industrialisation and Enterprise Development Cabinet Secretary Adan Mohamed’s announcement last week that Kenyans can now buy new clothes and apparel made at the Export Processing Zones at prices as low as Sh100 marked yet another milestone on the government’s road to reducing the importation and sale of second-hand clothes and expanding local production of new ones. Few tears should be shed on the death of the importation and sale of second-hand clothes considering the havoc they have wreaked on the entire value chain of the textile industry. Arguments that thousands of people dealing in second-hand clothes would be rendered jobless were there to be a well-calibrated ban on their importation and sale is undermined by the realisation that the same number of people would be used to sell the new clothes and apparel. The benefits derived from an expansion of acreage under cotton are so obvious that the surprise is that it has taken the Government such a long term to realise it and to put its money where its mouth is. To his credit, however, Agriculture, Livestock and Fisheries CS Willy Bett appears more serious than his predecessors for he has outlined a raft of measures his ministry is taking to bring back the sub-sector’s golden era when the country produced 70,000 bales of cotton a year in the 1980s. The country currently barely produces 20,000 bales. This has led to near-destitution of communities in Nyanza, Western, Rift Valley, Central, Eastern, and Coast regions that used to produce the crop because their land cannot grow other crops with a ready market due to scarcity of rainfall. These are the communities targeted to grow the crop.
Source: The Standard
The government, apparel factory owners and labour leaders yesterday agreed to resolve any crisis in the garment sector through consultations among the stakeholders. The decision was taken at the first meeting of the tripartite council on the garment sector headed by Mujibul Haque, state minister for labour and employment, at his secretariat office in Dhaka. “There might be some problems in the country's garment sector and those can be addressed internally,” the minister said. Earlier, the government formed a 20-member council to address labour related issues that sometimes cause volatility in the labour-intensive readymade garment industry. Nazma Akter, assistant secretary general of IndustriALL Bangladesh Council, suggested government handle labour-related issues carefully. “Trust and confidence between the owners and workers must be enhanced,” she said. Any problem at the factory level dents buyers' confidence, said Siddiqur Rahman, president of Bangladesh Garment Manufacturers and Exporters Association, adding that they don't want to face such problems. He said they would solve problems on their own through discussion with all, including workers. Delwar Hossain Khan, general secretary of Bangladesh Labour Federation, recommended monthly meeting of factory management with the workers to make them feel an essential part of the supply chain. The number of inspectors is insufficient for some eight million establishments across the country, he said. A commerce ministry official told the meeting that the EU and the US want to see more progress in ensuring labour rights.The labour ministry is responsible for addressing three concerns -- amendment to labour law, trade union registration and protection of labour leaders from violent reprisals, he said.
Source: The daily Star
Better Work can help improve working conditions in the country's garment factories while increasing their competitiveness, speakers said. The comments came at the second Better Work Bangladesh stakeholder and buyer forum held Tuesday in the city. The forum is a partnership between the UN's International Labour Organization (ILO) and the International Finance Corporation (IFC). The meeting was convened to explore progress made by the programme, the remaining challenges and how to continue improve working conditions across the country's garment factories. Some 300 national and international garment sector representatives attended the forum, including partners from the government, employers' associations, unions, as well as 80 members from international brands. Louis Vanegas, programme manager of Better Work Bangladesh, welcomed the audience, outlining the programme's work. "We are here to unite diverse stakeholders, promote decent work for all and help the garment industry in Bangladesh thrive. We would like to see the sector attain the government's own goals: for Bangladesh to become a middle-income country with a US$50 billion export sector and good compliance conditions by 2021," he said. Mr Vanegas explained that the Better Work programme was currently engaging 120 factories and helping shift the mindset of garment employers in Bangladesh from seeing the compliance as an obligation to being a business necessity that makes them more competitive. It currently works with 120 factories, which employ over 241,000 workers and cooperates with 34 international brands and retailers. Regarding the challenges, he said bringing more factories under the programme and convincing individual factory owners and their trade bodies are among the challenges identified by it. Better Work helps ensure compliance issues like welfare funds, vacation and maternity leave in factories, he added. Srinivas Reddy, ILO Bangladesh country director, said that following its launch in 2014, Better Work Bangladesh had introduced an entirely new concept of supporting ready-made garment factories to boost their compliance, while enhancing productivity. "I firmly believe that Better Work can make a valuable contribution to the working conditions and competitiveness of individual factories. It can also help take the industry to the next level, which is the theme of this second stakeholders' forum," he said. Farook Ahmed, secretary-general of Bangladesh Employers' Federation, said Better Work could help achieve the 2021 goals and elevate the country status to middle-income. He noted that the programme needs to be flexible in adapting to Bangladesh's on-the-ground reality. Miran Ali, a director of the Bangladesh Garment Manufacturers and Exporters Association (BGMEA), said Bangladesh was on its way to becoming the most sustainable, transparent industry in the world, but in order to achieve this, all stakeholders must collaborate. "Better Work Bangladesh is definitely an important partner, but we all need to understand each other better," he said. Kutubuddin Ahmed, Secretary General of the IndustriALL Bangladesh Council (IBC), said that enhancing compliance levels in factories was key to guaranteeing workers' safety and wellbeing, but more should be done to achieve this, including collaborating with Better Work. "Healthy workers means healthy production, therefore, we need to address the workers' problems," the union leader said. "Without addressing them we won't be able to achieve the country's goals. The world's eyes are focused on Bangladesh's development." Representatives from global brands and retailers held talks with Better Work in the afternoon, committing to enhance compliance in their supplier factories across the country to meet international labour standards. Bangladesh's $28 billion-a-year garment export industry includes 4,500 factories, employing some four million workers.
Source: The Financial Express Bangladesh
ISLAMABAD: A ban imposed on cotton sowing in the province has been lifted and farmers can start its cultivation without any delay. This was stated by Punjab Agriculture Department spokesperson on Monday. The ban was imposed till April 15 to avoid dangers of early sowing to the cotton crop, he said, adding now the department has lifted the ban as the desired results had been achieved. The department had prepared a plan to offer various free of charge services to cotton growers to enhance the crop production. The growers will get friendly pests, facility of pest scouting, PB-ropes, gadgets to arrest enemy pests, training opportunities and consultation services under the plan, he added. He advised growers to use certified varieties of cotton seed. He added that spray of recommended varieties of pesticide should be launched in the first phase of cultivation process of the cotton crop. Cotton target fixed at 14.4m bales Cotton crop is to be cultivated over 3.118 million hectares of land across the country during the current sowing season (2017-18) in order to fulfill the domestic requirements as well as exports. Cotton crop production targets during the season were fixed at 14.40 million bales as against the production targets of 14.1 million bales of last year, said Cotton Commissioner Dr Khalid Abdullah. Talking to APP on Monday, he said that cotton crop is to be cultivated over 2.429 million hectares of land in Punjab, where as in Sindh it would be sown over 0.650 million hectares of land during the current season. Meanwhile, the cotton crop would be cultivated over 0.038 million hectares of land in Balochistan and on about 0.001 million hectares in Khyber Pakhtunkhwa respectively, he added.
Source: The Nation
Good liquidity in cotton market in mid-March resulted in underpinning cotton prices in Brazilian market. While ginners showed buying interest to meet short-term demands, traders were also buying new batches, and sellers were flexible in quoting prices, states the fortnightly report by CEPEA, the Center for Advanced Studies on Applied Economics. Expecting further price rise in the domestic market, cotton growers continued to be firm in closing exports contracts and/or holding the product. On the other hand, taking advantage of the peak periods at ICE Futures, trading companies preferred to trade with the international market, in spite of the valuation of Real against dollar quotes. In late March, however, the pace of trade in the Brazilian cotton market was slow again, leading to a dip in quoted price. Although some sellers were firm in asking prices, waiting for higher quotes until the harvesting beginning of the new crop, purchasers were cautious with acquisitions at the price levels then, which hampered trades and price rises on some days. In the central-southern region, some processors were retracted, stocked up by the product purchased in the first fortnight of March. Others, however, searched for batches of small volumes and with good quality. Specifically in the north-eastern region, some processors were active, purchasing several batches for prompt-delivery. From February 24 to March 31, the CEPEA/ESALQ Index, 8-day payment terms, for cotton type 41-4, delivered in São Paulo, increased 1.9 per cent, closing at 2.7643 real ($0.884) per pound on March 31.
Source: Fibre2Fashion
At the two-day first round of the Belt and Road Industrial and Commercial Conference, held under the slogan of "Egypt ... Your Gateway to BRICA," the Belt and Road Industrial and Commercial Alliance, Darwish said that the SCZone has become largely attractive to investors, particularly those of China. New Chinese investments in the field of textiles are coming soon to Egypt's Suez Canal economic region, an Egyptian official said on Saturday. Ahmed Darwish, head of the Suez Canal Economic Zone (SCZone), said that a number of investment contracts would be signed in the SCZone with Chinese international firms. China's TEDA Corporation, one of the oldest industrial developers in the zone, has been developing an area of over 7 square km in Ain Sokhna district of the Suez Canal Corridor east of Cairo. Proposed by Chinese President Xi Jinping in 2013, the Belt and Road Initiative is meant to revive the ancient trade way known as the Silk Road, including land and sea trade routes between China and countries in Asia, Africa and Europe. Held under the auspices of the Egyptian Ministry of Trade and Industry, some 150 Egyptian businessmen and 160 others from the BRICA states took part in the conference, besides large financial institutions including China Development Bank, Industrial and Commercial Bank of China, African Development Bank and the Common Market for Eastern and Southern Africa. The first round of the annual Belt and Road Industrial and Commercial Conference is organized by Egyptian Businessmen's Association and China Federation of Industrial Economics, Egypt and China being the founding members of BRICA.
Source: Yarns and fibres
Brazilian textile exports to Arab world reach USD 3mn in Jan n Feb this year Brazilian textiles and clothing exports to Arab world increased by 87.5 percent to USD 3 million in January and February this year from USD 1.6 billion from the comparable period in 2016, according to numbers from the Brazilian Textile and Apparel Industry Association (Abit).The increment was almost exclusively a result of synthetic fabric and sisal rope for use in ships and rigs. Abit’s survey of exports encompasses different items in the production chain, from raw materials, like fibers, yarns and filaments, to technical and non-fabric textiles (which are used in industries such as civil construction) and clothing. According to Lilian Kaddissi, the executive manager for the Texbrasil program, exports of beachwear, textile yarns and intimate wear also went up in the first two months of the year, but the amount was not relevant to total sales numbers. Ropes accounted for some USD 1 million. Kaddissi notes that the two-month timeframe is too short. Texbrasil is a program designed by Abit and the Brazilian Trade and Investment Promotion Agency (Apex-Brasil) to foster Brazilian textile and apparel industry exports. Kaddissi said that exports to Arab countries by companies affiliated with the program widened by 40% last year, from USD 2.9 million in 2015 to USD 4.1 million in 2016. In Abit’s total export numbers, the United Arab Emirates bought the most from the Brazil textile and apparel industry in January and February. Next come Algeria, Egypt, Morocco, and Lebanon. Arab countries are important buying markets for Brazilian companies, especially in party wear, children’s wear, and beachwear.
Source: Yarns and fibres
Hopes are high that the Government has finally come up with credible plans to increase cotton production and expand the textile industry. Industrialisation and Enterprise Development Cabinet Secretary Adan Mohamed’s announcement last week that Kenyans can now buy new clothes and apparel made at the Export Processing Zones at prices as low as Sh100 marked yet another milestone on the government’s road to reducing the importation and sale of second-hand clothes and expanding local production of new ones. Few tears should be shed on the death of the importation and sale of second-hand clothes considering the havoc they have wreaked on the entire value chain of the textile industry. Arguments that thousands of people dealing in second-hand clothes would be rendered jobless were there to be a well-calibrated ban on their importation and sale is undermined by the realisation that the same number of people would be used to sell the new clothes and apparel. The benefits derived from an expansion of acreage under cotton are so obvious that the surprise is that it has taken the Government such a long term to realise it and to put its money where its mouth is.
Source: Standard Digital
Country's export sector has come under a great deal of stress in recent past. In order to improve the situation, Jawed Bilwani, Chief Coordinator, Pakistan Hosiery Manufacturers and Exporters Association (PHMA), in a letter to the Prime Minister, has asked for his direct intervention to salvage the ailing textile sector and warned the government that a widening trade deficit would certainly hit country's foreign exchange reserves. "It is critical that your business-friendly government should also take immediate cognisance of elements which are hampering the pace of textile exports which earn major amount of foreign exchange and revenues for the government." Jawed Bilwani requested the PM to order immediate disbursement of refunds within next ten days. The multiple challenges faced by the textile industry, including a deepening liquidity crunch, high cost of imports and manufacturing and a cut-throat competition with regional countries also calls for intervention to support the textile sector on a priority basis. If refunds of all pending sales tax, customs rebate and WHT were instantly released, it would provide a great relief to textile exporters. Raw material for exports must not be subject to any duty/regulatory duty. Yarn should also be allowed to be imported for manufacturing of goods meant for exports. The government should also reduce rates of utilities, especially power and gas at par with regional competing countries, with declining export sector as separate head of account in tariff structure. Supply of utilities should be ensured to the export-oriented industries throughout the year. He urged the federal government to fix a number of gazetted holidays for workers and expressed concern over frequent Sindh government holidays which hurt the manufacturing sector. The concerns of Chief Coordinator of PHMA over dwindling exports are clearly understandable. If exports of the country continue to fall at the present rate, its implications in terms of foreign exchange reserves, valuation of the rupee, rate of inflation, fiscal position of the country, etc, are not difficult to gauge. Obviously, if such a position continues to persist, a day will soon come when foreign exchange reserves of the country would not be sufficient to sustain the present level of imports of capital goods, raw materials for industry and other essential items. This will badly hurt industrial output and undermine the growth prospects besides worsening unemployment situation and poverty indicators. However, while the concerns of Jawed Bilwani appear to be valid and genuine, his suggestions to raise the level of exports, particularly of textile exports, call for a closer scrutiny. For instance, his proposal to settle the refund claims immediately is right on the spot. It is clear that when the scheme of refund claims was introduced, the government was supposed/bound to carry out its job efficiently and promptly. Besides, the liquidity crunch faced by the manufacturers and exporters due to claims withheld has now started to undermine the growth and export potential of the country. Value-added textile industry is of course the backbone of Pakistan's industry and instant release of refund claims would provide much-needed relief to the textile exporters who would then be more focused on increasing their output. The demand for duty-free import of raw materials for manufacturing goods meant for exports is also quite justified. We also totally agree with the proposal of fixing of the number of gazetted holidays within a year and not announce unnecessary holidays thereafter to keep the wheel of industry moving constantly. The unfortunate aspect is that frequent strikes and sit-ins also add to the problems of industry and cause impediments towards meeting production deadlines. However, the demand for reduced rates of utilities like gas and power, particularly at par with regional countries, and ensuring uninterrupted supply of these inputs cannot be considered for obvious reasons. Clearly, reduced rates of utilities in a particular sector would necessitate higher tariff rates on other sectors to compensate for the lower collections from that sector. Such a policy would become all the more difficult to sustain when power utilities are already facing huge losses. So far as continuous supply is concerned, this obviously cannot be ensured till the country is facing huge shortages in the supplies of gas and power. Jawed Bilwani has, nonetheless, not mentioned the growing protectionism in the world and overvaluation of the rupee which could worsen the potential of export sector a great deal. It was better if he should have also given some attention to these challenges.
Source: Business Recorder
Turkey (Reuters) - In Turkey's mainly Kurdish southeast, deeply scarred by conflict between state forces and militants, a textile firm that supplies companies across Europe plans three new factories - a rare bet the government can deliver on a vow to regenerate the region. The government announced a $2.8 billion investment scheme for the area in September, hoping to win over the population with the prospect of economic revival before a referendum later this month on expanding President Tayyip Erdogan's powers. The Iskur group, a supplier to fashion brands including Zara, Adidas and Nike, sees its $100 million investment as showing the way for other companies from western Turkey to take advantage of government incentives and lower wages in the east. Undaunted by the militant Kurdistan Workers Party's (PKK) decades-old insurgency, it has been operating a $30 million cotton thread plant outside the region's biggest city Diyarbakir since 2014 but few others have followed its lead. "We have opened a door in Diyarbakir, creating an example for other investors in the west," plant manager Ekrem Kul told Reuters as workers tended to rows of machines spinning thread. Iskur halted expansion plans in 2015 with the outbreak of some of the worst fighting since the PKK took up arms in 1984, but Kul said it revived them after the government initiative. It aims to employ more than 2,000 people in the new Diyarbakir plants, up from just 330 now. Its optimism is rare in a region where, according to the United Nations, the upsurge in violence between July 2015 and December 2016 killed around 2,000 people, devastated whole neighbourhoods and drove half a million people from their homes. The ruling AK Party, founded by Erdogan, owed much of its early success to its stewardship of the economy after coming to power in 2002, improving roads, building bridges and hospitals. The pro-Kurdish HDP says the government has, however, failed to solve the problems of the southeast, where more than 40,000 people have been killed in three decades of conflict. The government counters it has boosted per capita income in the area to $5,000 from $800 with extensive state investment. Prime Minister Binali Yildirim promised new factories, housing, hospitals and sports stadiums under the investment plan. Urbanisation Minister Mehmet Ozhaseki told reporters on Saturday state investments have so far focused on reconstruction of buildings damaged in the conflict. Alican Ebedinoglu, president of one Diyarbakir trade association, is sceptical private investment will follow. "Every new government has made fresh legislation to provide incentives for investment in the region. But without peace and calm, these incentive packages don't mean much. If there is peace, the region hardly needs any incentives," Ebedinoglu said.
"BUSINESS EVAPORATED"
Erdogan won support among Kurds for spearheading a peace process in 2013, the first time Kurdish political demands had been addressed, and for easing some restrictions on them. But after a ceasefire with the militants collapsed in July 2015 he has ruled out a return to negotiations, saying security forces will "annihilate" the PKK, which is considered a terrorist organisation by Turkey, the United States and Europe. In events echoed in other towns in the southeast, armed youths dug trenches and laid explosives in Diyarbakir's ancient Sur district that is encircled by towering, Roman-era walls. Security forces fought back with tanks. Security operations ended in Sur a year ago, but there are checkpoints all across the city and concrete blocks placed in front of buildings deemed vulnerable to the sporadic bombing attacks on security forces that have taken place since.
Ebedinoglu said the fighting caused 500 businesses to shut down completely, while shopkeepers were forced to close their stores for weeks or months at a time when the violence surged, meaning they fell behind on rent and debt payments. "The government has said it will provide interest-free loans but that's a myth. You wouldn't be able to find 100 people around here that the banks would lend to unless their credit background is entirely erased." Mustafa Avcilar, owner of a cafe in a 16th century courtyard once popular with tourists, closed it for months as clashes raged nearby. "Once the fighting began, business evaporated in the blink of an eye. A wave of tension swept over the city," said the 52-year-old, speaking as trade was picking up in the Sur district. The industrial zone where the Iskur thread factory is based is 20 km (12 miles) north of the city, far from the focus of the fighting, but it was not immune. "It affected our workers' ability to come to work easily - their psychological states, their productivity. We experienced difficult days," Kul said. Household disposable incomes are around half the national average of $4,500 in the southeast and official unemployment in some provinces is 28 percent, more than twice the national average, a figure some local business say is an underestimate. In the four provinces, including Diyarbakir, most affected by the recent conflict, the pro-Kurdish HDP won around three quarters of the vote at the last parliamentary elections in November 2015. However, the AK Party attracts greater support in less troubled provinces of the southeast. Diyarbakir, a city of more than 1.5 million, is better off than rural areas. Apartment blocks have mushroomed and modern shopping malls add to the appearance of growing prosperity, but Ahmet Sayar, head of the Diyarbakir Chamber of Commerce said there is a long way to go. "For there to be a leap forward in achieving the economic potential as a region there needs to be an environment of predictability, stability, peace and confidence.," he said. For workers too, a return of the ceasefire is vital. "We did not have these troubles during the peace process, we could come to work easily," said Ramazan Yildiz, an employee at the Iskur plant. "We go home in fear in the evenings, we come to work in fear, thinking, 'Will there be any problem or clashes on the road?'."
Source: The Star Online
