The Haryana Government recently launched the Textile Policy 2017 aiming to make Haryana a global textile manufacturing hub by providing incentives on setting up of new units. However, the MSMEs are critical of the policy and don’t see it very impressive for the industry. Talking to KNN, Animesh Saxena, MD Neetee Clothing also a CEC Member of FISME compared the Haryana Textile Policy 2017 with the policies that exists in other states. He said “It is not a very attractive or a game changing policy, it fails to address the issue of the apparel industry. Of late the policies in Jharkhand, Madhya Pradesh, Gujarat and Andhra Pradesh are far more lucrative “. Cost of land being a prime concern, Saxena added “Though in the policy the Government is offering incentives on land and electricity but that is only in Zone C and D, which is almost 100-200 kms away from the main belts. For a small MSME exporter, its isn’t very viable to setup something in the interiors where there is no supply chain or man power available, Zone C and D lacks basic ecosystem”. Government's claim of targeting to generate employment also seem to fall flat, Saxena opined. “Most of the workers in this sector are migrants and the cost of living is very high in the state” he said. Highlighting the shortcomings of the policy Saxena expressed that the policy fails to address the minimum wage issue. “The minimum wage in Haryana is very high as compared to other states. The government must offer wage subsidy for the apparel industry in the region” exhorted Animesh. He further asserted that the Government should have promoted apparel zones in Gurgaon Faridabad area with pre-built sheds for small scale exporters, cluster of units in one zone to facilitate the appropriate ecosystem and built proper treatment plants to achieve the outcomes it claims to achieve with the introduced policy.
Source: Knn India
India took a decisive step towards a possible July 1rollout of the goods and services tax (GST) with Parliament on Thurday giving nod to four related legislations that detail the provision of this single tax regime that will replace multiple state and central taxes to create one national market. Finance minister Arun Jaitley said that once the new regime is implemented harassment of businesses by different authorities will end, and India will have one rate for one commodity throughout the country. The new tax will usher in a uniform indirect tax regime in the country and not lead to inflation as apprehended by some sections, the minister said, winding up an eight-hour debate in the Rajya Sabha. Jaitley said successive governments have contributed towards GST and no one person can take credit for it. “This bill, I have no hesitation in conceding, is a collective property,” he said. With implementation of GST, revenues of the Centre, states and the industry and trade must benefit, he said. “On May 17-18 we will give final approval to rules and rates... Looks like it can be implemented from July 1,” Jaitley told reporters after the Rajya Sabha cleared the Central GST Bill, 2017; The Integrated GST Bill, 2017; The GST (Compensation to States) Bill, 2017; and The Union Territory GST Bill, 2017. The bills were cleared by the Rajya Sabha after negation of a host of amendments moved by the opposition parties. The main opposition Congress did not move any amendment. The Lok Sabha had passed these bills on March 29. With the Parliament nod, the onus now shifts to states that will have to pass the state GST law in their respective state assemblies. The Centre has already put out detailed rules for discussions for stakeholder consultations. The GST Council, the constitutional body created for this tax, will next month take up the last remaining issue of fitting individual goods and services to various tax rates. The GST Council has approved a for rate structure – 5%, 12%, 18% and 28% – with most goods likely to fall in the 12% and 18% rate. In addition, a cess will be levied on luxury and sin goods as well. The law provides for a maximum GST rate of 40% (20% central GST and 20% state GST). “I am happy at the fact that when it comes to enforcing GST Bill all political parties came out in one voice,” Jaitley tweeted. Separately, the Lok Sabha on Thursday passed a bill to make excise and customs act compliant with GST. This bill seeks to do away with current cesses, which will be subsumed in the GST.
Source: Economic Times
The ReserveBank’smonetary policy committee raised its inflation projection for FY18 above its February estimates. The gross value added or GVA growth could strengthento7.4%inthecurrentfiscal ending March 2018 from 6.7% in the previous year. For 2017-18, the MPC projected inflationatan averageof 4.5%inthefirst half of the year and 5% in the second half, higher than 4% projection made in February. “The MPC saw the path of inflation in 2017-18 as challenged by upside risks and unfavourable base effects towards the second half of the year,” RBI governor Urijit Patel said. “Accordingly, inflation devel- opments have to be closely and continually monitored with food price pressures kept in check so that inflation expectations can be reanchored.” “We believe that risks to the RBI’s 4% inflation target and to RBI’s inflation projection of 5% in H2 FY18 are to the upside” said NomuraResearch.“Weexpecthigher rural wage growth, a narrowing output gap and adverse base effects to push inflation closer to 5.5-6.0% in H2 FY18.” As for growth, professional forecasters surveyed by the Reserve Bank in March 2017 expected real GVA growth to accelerate from 6.5% in Q42017to7.6%inQ4FY18,drivenby growth in services and industry. Considering the baseline assumptions, the fast pace of remonetisation, survey indicators and updated model forecasts, RBI staff ’s baseline scenario projects that real GVA growth will improve from 6.6% in Q3 2017 to 7% in Q1 FY18 and 7.47.6% in the remaining three quarters of 2017-18, with risks evenly balanced around this base line path. “Official growth projections reflect their optimistic outlook limiting the need to take an accommodative policy stance” said Radhika Rao, chief economist, DBS. Looking beyond 2017-18 and assuming a normal monsoon, a congenial global environment, no policy induced structural change and no supply shocks, RBI estimates real GVA growth of 8.1% in 2018-19.
Source: Economic Times
The Jawaharlal Nehru Port Trust (JNPT) has claimed to have eliminated traffic congestion on roads leading to its three terminals. A source of constant frustration for drivers of trucks delivering cargo to the terminals, who have had to spend hours in queues waiting for their documents to be verified by port officers, the JNPT administration has said a number of measures have resulted in zero traffic congestion in the past nine months. Massive traffic jams and days-long waiting period had resulted in truck drivers turning violent in November 2015, attacking port officers and policemen, and ransacking buildings. Identifying long queues as a focus area, JNPT chairman Anil Diggikar said the submission of hard copies of documents at the entry gate has been stopped. “We have introduced e-forms and RFID tags, so now truck drivers submit their forms online. Each truck saves at least five minutes,” he said. The port has also created a traffic management team to regulate traffic, as the local police were not able to do it on their own. The port also introduced what is called the inter-terminal movement, allowing trucks to return to processing areas without having to travel 7.5 km on the port road to exit. Diggikar said this has led to a 8 per cent drop in congestion on the road and fuel savings of Rs 125 crore.On Thursday, JNPT also published its figures for financial year 2016-17, recording a marginal increase in its operating income. Its income was Rs 1,677.90 crore in the just-concluded year, compared to Rs 1,665.10 crore in the previous year. Owing to an increase in fuel prices, its expenditure rose to Rs 788.49 crore, up 13 per cent from Rs 693.12 crore in 2015-16, said Neeraj Bansal, Deputy Chairman, JNPT. In 2016-17, the port handled 4.50 million tonne equivalent units (TEUs) of container traffic, the highest since its inception. The port’s own cargo terminal, the JNPCT, also logged a significant rise in cargo traffic the previous year, handling 1.53 million TEUs over 1.43 million TEUs in 2015-16. Bansal said the first phase of the port’s fourth terminal, which is being built in partnership with the Port of Singapore Authority, would be completed by December 2017, while the second phase is expected to be completed by 2023. Each phase will increase the length of the berth by one km and is expected to add 2.4 million TEUs to the port’s capacity.
Source: Indian Express
As the note ban impact dissipates, India will grow at 7.4% in the current fiscal and 7.6% in 2018-19, cementing its position as the world’s fastest-growing major economy, ahead of China, the Asian Development Bank (ADB) forecast on Thursday. The country is expected to have clocked a growth rate of 7.1% in 2016-17, despite apprehensions that the note ban, announced in November last year, has dented consumption as well as investment. As the note ban impact dissipates, India will grow at 7.4% in the current fiscal and 7.6% in 2018-19, cementing its position as the world’s fastest-growing major economy, ahead of China, the Asian Development Bank (ADB) forecast on Thursday. In its Asian Development Outlook, ADB also said: “The impact of the demonetisation of high-value bank notes is dissipating as the replacement banknotes enter circulation. Stronger consumption and fiscal reforms are also expected to improve business confidence and investment prospects in the country.” The country is expected to have clocked a growth rate of 7.1% in 2016-17, despite apprehensions that the note ban, announced in November last year, has dented consumption as well as investment. ADB’s forecast India is better than that of the International Monetary Fund (IMF) for 2017-18. In its forecast in January, the IMF said the Indian economy will grow 7.2% in 2017-18 and 7.7% in the next fiscal. In January, the World Bank also predicted India’s growth to rebound to 7.6% in 2017-18 and 7.8% in 2018-19. However, for 2016-17, the IMF and the Bank have already trimmed their India growth forecasts to 6.6% and 7%, respectively, compared with the Central Statistics Organisation’s prediction of 7.1%. As for China, the ADB report said, the growth in the world’s second-largest economy is expected to drop to 6.5% in 2017 and 6.2% in 2018, slowing from 6.7% in 2016-17. It said that the efforts of the Chinese government to stick to financial and fiscal stability would continue to be a modest drag on growth going forward. However, the continued structural reform would help in maintain growth in the government’s target range there.
“An array of important economic reforms has propelled India’s economic success in recent years,” said Yasuyuki Sawada, ADB’s chief economist. “A continued commitment to reform — especially in the banking sector — will help India maintain its status as the world’s fastest growing major economy.” India has initiated a number of reforms measures, most notably the Goods and Services Tax (GST) and liberalisation of the FDI regime, in a bid to boost growth. The GST regime is set to be introduced from July. Moving forward, the ADO expects growth to accelerate through increased consumption, as more new bank notes are put in circulation, and as planned salary and pension hike for state employees are implemented. The public sector will remain the main driver of investment as banks continue to wind down balance sheets constrained by high levels of stressed assets, it said.
Source: Financial Express
Keeping its bullish wave intact, the rupee today soared to a near 20-month high of 64.52, firming up by another 35 paise against the US dollar on massive unwinding of the American currency by exporters amid buoyant growth outlook by the Reserve Bank. Rupee scales 20-month high on RBI's growth outlook. Keeping its bullish wave intact, the rupee today soared to a near 20-month high of 64.52, firming up by another 35 paise against the US dollar on massive unwinding of the American currency by exporters amid buoyant growth outlook by the Reserve Bank. Overall forex market sentiment witnessed a sudden revival of enthusiasm after the RBI today projected India's growth to strengthen for the current fiscal at 7.4 per cent, up from 6.7 per cent in 2016-17. The apex bank, however, left its benchmark lending rate unchanged at 6.25 per cent for the third monetary policy review in a row, citing upside risk to inflation. It, however increased the reverse repo rate at which it pays to lenders by 0.25 per cent to 6 per cent, narrowing the policy rate corridor. Today's close is the highest for the rupee since August 11, 2015 -- when it had ended at 64.19 against the US dollar. Sluggish domestic equities and extreme volatility ahead of the policy outcome added some discomfort for the rupee trade initially before the incredible recovery towards the fag-end. The Indian rupee has a lot of positive factors supporting its outlook at this juncture and likely to outperform in the region driven by government's economic policy initiatives alongwith heavy capital inflows, a forex trader commented. After resuming sharply lower at 65.05 compared to Wednesday's close of 64.87, the home unit largely traded in a narrow range amid caution ahead of the RBI meet. However, the rupee staged a resounding comeback in later afternoon deals to hit a fresh intra-day high of 64.50 before ending at 64.52, revealing a solid gain of 35 paise, or 0.54 per cent. It recouped 16 paise yesterday after a brief dip. The RBI, meanwhile, fixed the reference rate for the dollar at 64.9791 and for the euro at 69.3912. Domestic equities ended marginally lower amid profit- taking after record closing overnight, though the RBI policy outcome revived overall trading sentiment, limiting sharp early losses. In cross-currency trade, the rupee also hardened against the pound sterling to close at 80.40 from 80.97 per pound and maintained its upbeat momentum against the euro to settle at 68.86 compared to 69.26 earlier. The local currency also rebounded against the Japanese Yen to finish at 58.14 per 100 yens from 58.53 yesterday. In worldwide trade, the dollar regained the ground lost after FED's minutes amid caution ahead of key events later today and tomorrow, including Donald Trump-Xi Jinping meeting, and the US Nonfarm Payroll report. The euro fell sharply in early European trading after both European Central Bank President Mario Draghi and ECB's Chief Economist Peter Praet gave speeches that the markets interpreted as dovish. The dollar index, which tracks the US currency against a basket of six major rivals, was higher at 100.52. In the forward market today, premium for dollar maintained its upbeat trend owing to sustained paying pressure from corporates. The benchmark six-month premium for September edged up to 156-158 paise from 155-157 paise and the far-forward March 2018 contract also firmed up to 311-313 paise from 306.5-308.5 paise on Wednesday.
Source: Financial Express
A majority of apparel exporters from Tirupur, the hub for knitwear exports have not obtained the ‘authorised economic operator’ (AEO) status, which is in compliance with World Trade Organisation (WTO) norms. One of the biggest advantages of getting the AEO status is the self certification of cargo, without the need of customs examination. "To remain competitive in global markets, it has become essential to get an AEO status, since export incentives schemes like Merchandise Exports From India Scheme (MEIS) may be withdrawn, considering that India's per capita income in India has crossed $1,000 for three consecutive years starting from 2013," a leading daily quoted Sudhakar Kasture, an international trade consultant as saying. According to Kasture, export incentives cannot be given if the per capita income of any country crosses $1,000 for three successive years as per WTO guidelines. An exporting company can file for AEO status if it has filed 25 shipping bills or 25 bills of entries in a year, while also recording profit for the last three years.
Source: Fibre2Fashion
In ICRAs view, as overall yarn demand is expected to remain tepid, spinners may have to sacrifice capacity utilisation or contribution. Hence, their profitability is likely to remain under pressure. Moreover, the spinners continue to face challenges on account of the high cotton prices as well, it said. In the first half of 2016-17, cotton prices remained high due to low domestic availability, which was further impacted by continued fibre exports amid uncertainty on the actual crop-size following slower arrivals. During the last quarter of 2016-17, the domestic cotton prices averaged at Rs 120 per kg, which is higher by 29 per cent on a year-on-year basis, the rating agency said. ICRA said in spite of the expected improvement in cotton sowing in the upcoming kharif season, continued high cotton fibre exports and the uncertain monsoons are expected to keep the prices firm. Besides profitability pressures, high cotton prices are likely to translate into higher working capital requirements of domestic mills and higher borrowings, it said. Further, ICRA said, the growth in spun-yarn production declined to a five-year low in FY17. The improved competitiveness of PSF (polyester staple fibre) compared to cotton resulted in a 5 per cent Y-o-Y growth in non-cotton yarn production in FY17. The yarn output is estimated to have decreased by 2 per cent, it added. The weak trend in cotton-yarn production primarily mirrored the decline in cotton-yarn export volumes till November 2016 due to lower demand from China amid improved local mill usage. Although the cotton yarn export volumes improved in December 2016, production remained constrained due to the governments demonetisation drive, ICRA said. "The domestic spinning industry remains highly dependent on exports, with a third of Indias cotton yarn having been shipped during the past five years. "Further, high dependence on exports to China and the resulting sensitivity of Indias exports to Chinas policy on reserve cotton stock warrant a cautious outlook on yarn exports," ICRA Senior Vice-President and Group Head Jayanta Roy said. PTI SM RSY
Source: India Today
Addressing the beneficiaries, the Minister said that the scheme aims to encourage wearing of traditional dresses and thereby help in preserving indigenous culture and tradition, while DC Ashraf suggested formation of Self Help Groups from the beneficiaries of the village to sell the finished articles to other states. Loom accessories and yarns were distributed to a total of 116 beneficiaries of the Chief Minister’s Indigenous Textile Promotion Scheme by Minister of Art & Culture and Research, Dr Mohesh Chai and Lohit DC, Danish Ashraf during a Department of Textile & Handicrafts organized distribution programme on Wednesday last.
Source: The Arunachal Times
Three thousand-odd textile shops and yarn merchants today downed shutters here, a major textile hub, protesting the increase in yarn prices and demanding a ban on cotton exports. The closure was in response to the call given by ten textile and yarn merchants associations to urge the Central government to stop export of raw cotton, which they claimed has led to an increase in yarn prices. Association office-bearers said yarn prices had increased by 30 per cent in the last one month resulting in higher production cost. They claimed the loss of business due to closure of shops was estimated to be Rs 15 crore.
Source: PTI
The Odisha Skill Development Authority will use the expertise of the NIFT-TEA Knitwear Institute to impart knitwear industry specific lessons into its training programmes, to help Odisha based workers get skilled jobs in the Tiruppur garment cluster. The idea for the program came due to the increased flow of labourers from Odisha to Tiruppur in recent times. According to a leading daily, most of the workers migrating to Tiruppur in search of jobs were doing unskilled jobs. NIFT-TEA Institute officials will oversee the existing training programmes for textile industry in Odisha and suggest changes to suit knitwear production.
Source: fibre2Fashion
The Reserve Bank of India under governor Urjit Patel refrained from surprising investors for the first time since October by leaving the key policy rate unchanged, but waved a red flag on inflationary pressures that likely signal the end of lower borrowing costs. At the same time, interest rates may not crawl up any time before next year as RBI has factored in enough bad news on the inflation front. Economic prospects are brighter due to the "wartime pace" of remonetisation, the upcoming implementation of the goods and services tax and slashing of lending rates by banks, Patel said. The Monetary Policy Committee (MPC), which voted unanimously for the fourth time in a row, did raise the reverse repo rate, at which RBI pays banks for excess deposits, by a quarter point. That was aimed at reducing the distortion to money market rates caused by a surge in liquidity due to flow of funds into banks after demonetisation, announced on November 8. The central bank raised both the economic growth and inflation forecasts for the fiscal year, and laid out measures to tackle surplus liquidity due to demonetisation and a likely surge in overseas fund flows that are making interest rate policy less effective.
FY18 growth was pegged at 7.4%, up from 6.7% in the last fiscal.
To improve credit flow to the economy, the bad loan burden of banks will be addressed on an urgent footing along with the government, but there is no room for any more regulatory forbearance, Patel said. The narrowing output gap was also blamed for higher inflation expectations. Inflation is forecast to average 4.5% in the first half of this fiscal year and climb to 5%. That’s against the target of 4%, with a margin of two percentage points on either side. "The MPC saw the path of inflation in 2017-18 as challenged by upside risks and unfavourable base effects towards the second half of the year," Patel, who chairs the Monetary Policy Committee, told reporters after its two-day meeting. "Accordingly, inflation developments have to be closely and continually monitored with food price pressures kept in check so that inflation expectations can be reanchored." The repo rate, at which RBI lends to banks, remained at 6.25%. The difference between the repo rate and the Marginal Standing Facility rate, the penal rate, was cut by half to 25 basis points. The lower MSF rate will benefit banks in times of tighter liquidity when they have to borrow from RBI. "We believe that risks to the RBI's 4% inflation target and to the RBI's inflation projection of 5% are to the upside," said Sonal Varma at Nomura Securities. "We expect higher rural wage growth, a narrowing output gap and adverse base effects to push inflation closer to 5.5-6.0% in H2 FY18. We expect the repo rate to remain on hold through our forecast horizon, but risks are skewed towards a hike in 2018."
INVESTOR REACTION MIXED
The MPC, which surprised investors at its last meeting in February with a shift in stance to neutral from accommodative, believes that upside risks to inflation are aplenty, ranging from the likely hit on food prices if the June-September monsoon fails, and the implementation of the house rent allowance recommendation of the seventh pay commission. "RBI's clear articulation on liquidity management would ensure stability in markets by enforcing the sanctity of the operating rate while addressing temporary liquidity imbalances," said Chanda Kochhar, chief executive of ICICI Bank. "Money market rates would be anchored in a tighter band through the narrowing of the LAF (liquidity adjustment facility) corridor." This is the avenue through which banks borrow money via repurchase agreements. Investor reaction was mixed with the Sensex falling by a marginal 0.16% to 29,927.34 points and the benchmark bond yield spiking 13 basis points to 6.77% amid fears about the end of lower rates. But the rupee strengthened 35 paise, or 0.54%, to 64.53 against the dollar, a fresh 20-month high, anticipating higher fund flows. A basis point is 0.01 percentage point. The MPC gave itself a pat on the back for waiting to see how demonetisation would play out. "Overall, the MPC's considered judgement call to wait out the unravelling of the transitory effects of demonetisation has been broadly borne out," said the MPC statement. The next meeting of the MPC is scheduled for June 5 and 6.
Source: Economic Times
New Delhi: The government has shot out of the starting blocks, ensuring that its ambitious .₹ 21.47 lakh crore spending plan kicked in at the start of financial year, following the biggest budget process reform in decades. By advancing the budget announcement date to the start of February from the end of the month, the government wanted to eliminate the typical several-month-long expenditure lag to give the economy a boost and ensure vastly improved outcomes. This is being backed up with procedural speed in other areas. North Block has for the first time put in place an advance calendar for Public Investment Board and Expenditure Finance Committee meetings to ensure timely and smooth sanctions of proposals, finance secretary Ashok Lavasa told ET. Sanction orders have been issued to ministries and depart- ments, and funds have been released in the first week of April itself. The Food Corporation of India, for instance, has been provided .₹ 20,000 crore for procurement. “The department of expenditure has prepared a calendar for meetings of the PIB and EFC,” Lava- sa said, adding that this would make for better preparedness and greater predictability. The practice in the past has been that ministries and departments approach the department of expenditure for scheduling of meetings. Advancing the date allowed the government to complete the budget process before the start of the new financial year, allowing for continuity in spending besides providing businesses more certainty about taxes. “The biggest thing is absolute clarity on what ministries have been allocated,” Lavasa said, adding that the central government wants to keep the momentum built up in FY17
Source: Economic Times
Ministry of Textiles has been implementing the Textile Workers Rehabilitation Fund Scheme (TWRFS) with effect from 15.09.1986. Under the scheme, interim relief is provided to textile workers rendered unemployed as a consequence of permanent closure of private non-SSI mills. It has been decided to merge this scheme with Rajiv Gandhi Shramik Kalyan Yojna with effect from 01.04.2017. The above information was given by the Minister of State, Textiles, Shri Ajay Tamta today, in a written reply to a Lok Sabha question.
Source: Business Standard
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$ 53.05 per barrel (bbl) on 06.04.2017. This was lower than the price of US$ 53.29 per bbl on previous publishing day of 05.04.2017. In rupee terms, the price of Indian Basket decreased to Rs. 3447.21 per bbl on 06.04.2017 as compared to Rs. 3466.45 per bbl on 05.04.2017. Rupee closed stronger at Rs. 64.98 per US$ on 06.04.2017 as compared to Rs. 65.04 per US$ on 05.04.2017. The table below gives details in this regard:
|
Particulars |
Unit |
Price on April 06, 2017 (Previous trading day i.e. 05.04.2017) |
Pricing Fortnight for 01.04.2017 (March 13, 2017 to March 29, 2017) |
|
Crude Oil (Indian Basket) |
($/bbl) |
53.05 (53.29) |
50.06 |
|
(Rs/bbl |
3447.21 (3466.45) |
3275.43 |
|
|
Exchange Rate |
(Rs/$) |
64.98 (65.04) |
65.43 |
Source: PIB
LONDON--(BUSINESS WIRE)-- After years of significant decline, the US textiles and apparel industry is gradually bouncing back as both its shipments and exports increased in 2016. Details on the recovery of the US textiles and apparel industry, as well as how free trade agreements are affecting the sector are some of this week’s featured stories on BizVibe. BizVibe is the world’s smartest B2B marketplace and allows users to discover high quality leads, contact prospects, and source quotes. Register today to connect with over seven million companies around the globe. Shipments and Exports of US Textiles and Apparel Industry Continue to Grow In 2016, the total value of textiles and apparel shipments in the US reached USD 74.4 billion, increasing by 11% from 2009, while total US exports of fiber, yarns, fabrics, made-ups, and apparel recorded USD 26.3 billion, according to the latest statistics from National Council of Textile Organization (NCTO). As the US continues to be one of the world’s largest net textile exporters and net apparel importers, the US trade surplus in textiles significantly dropped to USD 68 million in 2016 from USD 347 million in 2015. However, the US trade deficit in apparel products reached USD 81,754 million in 2016, which was slightly lower than 2015’s USD 86,311 million. The US Government is Increasing its Support to Textile Industry To further boost the recovery of the US textiles and apparel industry, the US government announced the establishment of a new fibres and textiles manufacturing innovation hub in Massachusetts, and more than USD 2 billion in manufacturing research and development investments. Other initiatives have also been taken to create more textiles jobs, and promote domestic textiles printing, and textiles manufacturers in the US.
The Impact of Free Trade on US Textiles and Apparel Trade
US Free Trade Agreements (FTAs), such as the North American Free Trade Agreement (NAFTA) and the Dominican Republic Central America Free Trade Agreement (CAFTA-DR), play an important yet controversial role in the country’s textile and apparel sector. Among all the USD 26.3 billion in US textiles and apparel exports in 2016, shipments to NAFTA and CAFTA-DR countries accounted for 56% of the total exports. The largest exports markets for the US textiles and apparel products by region are: NAFTA (USD 11.5bn), Asia (USD 7.0bn), CAFTA-DR (USD 3.2bn), Europe (USD 2.8bn) and the rest of the world (USD 1.8bn).
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BizVibe is home to over seven million company profiles across 700+ industries. The single-minded focus of BizVibe’s platform is to make networking easier. Over the years, we've searched far and wide to figure out how businesses connect and enable trade. That first interaction is usually fraught with the uncertainty of finding a potential partner vs. a potential nightmare. With this in mind, we've designed a robust set of tools to help companies generate leads, shortlist prospects, network with businesses from around the world and trade seamlessly.
Source: Yahoo Finance
South African government approved R4.9 billion and disbursed more than R3.1 billion in its clothing and textiles sector to create and save jobs till the last financial year through the department of trade and industry. The funds were disbursed through the Production Incentives Programme within the Clothing and Textiles Competitiveness Programme (CTCP). This was stated by minister of trade and industry Dr Rob Davies at the first clothing manufacturing industry sector summit hosted in Durban by the National Bargaining Council for the Clothing Manufacturing Industry (NBCCMI). According to Davies, a number of companies who qualified and drew from both the programmes were able to save 81,252 jobs and create 9,672 additional jobs. The net new jobs grew by 4,785 till the last financial year from the inception of the CTCP. This indicated that these were significantly labour-absorbing sectors and the government needed to create more opportunities in these to keep them sustainable, Davies noted. "The issue of rebates in the clothing and textile sector is still a burning issue within the industry, and part of the government's plan is still to tighten control of imports and the raising of tariffs to the maximum boundary like we did in the beginning when we were revamping the whole industry. The whole value chain must still be involved in the sector going forward," said Davies. The minister added that localisation in every sector would no longer be an option. Once designation had been translated into a practice note by the national treasury, it would be an obligation that public entities buy locally produced goods, he said. "Whatever is needed to be done to protect the industry, it must be done, but it should be in the interest of industry development and to improve local supplier base. We want to see consequences for those who do not want to implement localisation and empowerment," he said and urged delegates to start a dialogue with retailers and manufacturers around local production and not abandon the issues of empowerment and transformation.
Source: Fibre2Fashion
LAHORE: Pakistan’s global image does not fully depict the country’s potential and a complete rebranding of the country is needed in the eyes of international investors. This was stated by Federal Commerce Minister Khuram Dastgir at the ‘Ease of Doing Business in Pakistan’ organised by the All Pakistan Business Forum (APBF) here on Wednesday. Pakistan’s trade volume has increased with 137 countries: Dastgir The minister added that the commerce ministry is in the process of launching a campaign to improve Pakistan’s global perception and this campaign will go on till the end of the year. According to Dastgir, there is an unnecessarily negative image of the country portrayed internationally, whereas in reality Pakistan’s outlook is very positive. “The campaign will aim to share several success stories from within Pakistan to the international community.” He said that Pakistan is ranked in the list of top 10 countries that are introducing reforms for ease of doing business. “We are focusing on three major steps: terrorism, law and order and energy infrastructure. And the situation on all three fronts is improving,” Dastagir said. However, he admitted that all the issues especially terrorism and energy crisis are chronic which cannot be overcome quickly. These issues are developed over generations and take time to resolve. On the energy crisis, the minister claimed that industrial feeders are on the way to reducing power outages, while a smooth supply is being ensured to industries. “Domestic consumers facing outages will also see a fall in power shorta ges in the next year. “We understand that energy and law and order are crucial for industrial progress while unemployment will also be under control when the industries operate properly.” Talking about the textile package, he said that the first installment approved by the prime minister will be disbursed in the coming days as funds have been released for this purpose. Ambassador of the European Union to Pakistan Jean Francois Cautain stated that Pakistan should focus on skill development as trends are changing and it is necessary to invest in this category. “The EU is investing in the country’s skill development for instance in the textiles sector,” he said. Balochistan becoming ‘economic tiger of Pakistan’ Dastgir added that in the case of CPEC, both China and Pakistan need to work on skill development programmes in order to upgrade local manpower. APBF President Ibrahim Qureshi said that though Pakistan is continuously slipping on the Ease of Doing Business index, he does not believe that this case is true. “Many times the data sent to such watchdogs does not depict the true picture of the country or area,” he said. Qureshi further said that there are some issues on the processes which need to be fixed so the inflow of foreign as well as local investments can increase.
Source: The Express Tribune
Dubai's apparel and footwear market, valued at $11.5 billion in 2016, accounted for the largest share of the Emirate's retail sector, according to an analysis. Apparel leads the category with 73 per cent market share. Demand within this segment was supported last year by value offerings by retailers, particularly during shopping festivals and sales events. The analysis has been released by the Dubai Chamber of Commerce and Industry at the ongoing 11th World Retail Congress. It has brought together 1,500 attendees, including 150 industry leaders and experts, to discuss key trends impacting the global retail sector. The analysis found that apparel leads the category with 73 per cent market share, followed by footwear (18 per cent), and sportswear (9 per cent). Demand within this segment was supported last year by value and mid-range offerings by retailers, particularly during shopping festivals and sales events. This trend is expected to continue through 2021, leading the category to achieve a projected compound annual growth rate (CAGR) of 3.4 per cent in the medium term. Hamad Buamim, president and CEO, Dubai Chamber, said the analysis highlights the underlying strength of Dubai's retail sector, as well as the key trends that will fuel future growth within the market. "The easing of UAE visa regulations to some countries is expected to drive tourism, which will likely have a positive impact on the Dubai's retail market going forward as the Emirate prepares to attract up to 20 million tourists annually by 2020," added Buamim. Buamim explained that this trend will likely result in a change to the demographics and characteristics of visitors, and added that retailers in the Emirate will need to adjust and expand their offerings to cater to diverse consumer groups.
Source: fibre2Fashion
A new garment sector alliance in Jordan aims to create economic opportunities in the country, improve the lives of refugees caught up in the Syrian crisis and help their host countries. The initiative, led by partners from the international community, was first set in motion at last year's Supporting Syria and the Region conference in London. The Jordan Garment Sector Alliance, backed by the World Bank Group, has been formed by various partners including the International Labour Organisation, Better Work Jordan, the Jordan Investment Commission, the Jordan Industrial Estates Company, the Jordan Garments, Accessories, and Textiles Exporters' Association (JGATE) and the Jordan Chamber of Industry and Trade. These partners have come together to design effective programmes that translate the policies contained in the Jordan Compact - the conference's final document - into practice. Jordan had agreed to implement ambitious measures aimed at creating 200,000 jobs over the coming years. The country currently has more than 650,000 Syrian refugees registered with the United Nations' refugee agency, 80 per cent of whom live in host communities. The number could be higher since a recent census showed some 1.3 million Syrians living in the country. The garment industry is seen as one of the sectors that can absorb both refugees and the local workforce since it is labour-intensive with more than half of its 70,000 workers from abroad, mostly from South and South-East Asia. Jordan's $1.6 billion apparel industry accounts for some 20 per cent of the country's exports, said JGATE chairman Husam Saleh at a recent alliance meeting, stressing that the industry had registered a six per cent increase in apparel exports year-on-year. Opportunities arising from the recent trade agreements that allow Jordan to export products to Europe tariff free, for a ten-year period, are also expected to give an employment boost to the sector. Deputy secretary general for technical affairs at the ministry of labour Haitham Khasawneh said, "The garment industry is one of the sectors that can create jobs for Syrians as well as Jordanians. We have already created new jobs in the country's rural areas. Other sectors don't generate as many jobs as this sector does." Still, challenges have emerged when trying to attract Syrians to the sector. The Jordan Garment Sector Alliance must ensure consolidation of the garment sector through advocacy, growth of local employment and an increase in compliance, and also now play a crucial role in helping to bring a new refugee workforce to the industry. "The idea is to try to create a programme where all different partners get together to create opportunities for both Jordanians and refugees. We need to work not only on matching the Jordanian suppliers with global purchasers, and on coordinating market actors, but also on labour market connectivity, to make sure both the Jordanians and the Syrian refugees understand what it is like to work in a garment factory, in order to attract them to join it," said Benjamin Herzberg, programme Lead at the Equitable Growth, Finance and Institutions vice-presidency of the World Bank Group.
Source: Fibre2Fashion
BRUSSELS - A staggering 9.35 million tonnes of textile waste is being landfilled or incinerated in the European Union each year. This sobering finding, which represents 18 kgs per inhabitant, is detailed in a recent study carried out on behalf of the EU Resyntex by Oakdene Hollins. The study findings represent a harsh reality check to those in the fashion industry who suggest we are 'closing the loop', illustrating that there remains a huge quantity of low value textiles for which no further use can – yet – be found.
Source: Ecotextile News
After four years of R&D, third party testing, and prototyping; 17 year OC textile manufacturer (Toad USA™) is set to launch a line of underwear for men today April 5, 2017 under the brand ToadSkins™ via IndieGoGo. Starting with a partial men's line, this innovation of fabrics (infused with natural jade minerals) and advanced technologies combine to enhance the moisture (sweat) wicking properties to help cool down an active body to optimize performance. The natural jade minerals reflect the suns deep penetrating UV rays and uses your own body's sweat to naturally cool you down 10 degrees. The complete line also uses natural jade minerals to kill off 99.9% of all odor causing bacteria. No chemical sprays or cheap tricks. On top of that, the materials have been lab proven to provide the same amount of benefits even after 50 washes. When pressed about bigger, worldwide competitors in the same markets, Patterson insists that, "You don't have to have 800% + profit margins to be successful. It's about making a decent living, giving consumers a far superior product, and putting people (Americans) to work so that everyone wins." Patterson then cited the Revolutionary Fibers and Textiles Manufacturing Innovation Institute brought on by the Obama administration in April 2016 (see clipping) and said that he can't wait to expand the company and create more American jobs due to industry focus and newer textile innovations to come. ToadSkins is a branch of Toad USA, in Orange County CA., a 17 year old textile manufacturer serving other businesses, municipalities, youth athletics, and brands such as GoPro and Stussy. ToadSkins is a brand of underwear created to optimize performance while maintaining a high level of comfort. Made in the USA, ToadSkins incorporates advanced technology, natural jade minerals, and exceptional construction to keep your body fresher, cooler, and less sweaty!
Source: Digital Journal
Staubli, makers of high-speed textile machinery in Switzerland, is showing its new TX2 line of collaborative robots to the North American market at the ongoing Automate trade show in Chicago, a leading solutions-based expo of automation technologies in North America, from April 3 to 6, 2017, in booth #1240, in the new era of Man-Robot Collaboration (MRC). The line of six-axis machines and corresponding CS9 safety control are just two of several innovations on display from the leading provider of fluid and electrical connectors, robotics, and textiles at the industry event. The features of the new models comply with the stringent requirements of the highest safety category and excel in every facet of automation, including high-volume manufacturing as well as collaborative scenarios. To ensure maximum safety, sensors monitor every movement of the robot, while the robot’s coordinates, speed and acceleration are recorded in real time. At Automate 2017, Stäubli Robotics has simulated a realistic Smart Factory to demonstrate the TX2 models’ collaborative skills and Industry 4.0 capabilities. Stäubli’s new line offers one robot to cover all five stages of MRC. In stage 1, hard guarding separates the operator and robot. The manufacturing process is performed by the robot. In stage 2, laser (virtual) guarding separates the operator and robot. The manufacturing process is performed by the robot, and the operator enters the area periodically. In stage 3, laser (virtual) guarding separates the operator and robot. The robot and operator are involved in the manufacturing process. The operator enters the zone regularly during production. In stage 4, there is no separation between the robot and operator. The robot and operator are involved in the manufacturing process. The robot stops when it comes into contact with the operator. Finally, in stage 5, there is no separation between the robot and operator. The robot and operator are involved in the manufacturing process. The robot and the operator move safely in the same space simultaneously. The company is also showing its new MPS 260 robotic tool changers, the first choice for applications requiring a high number of mating cycles, in addition to showcasing its CombiTac modular connection system and connection solutions for power and data.
Source: Fibre2Fashion
SHANGHAI — Gauging development trends of digital printing ink and nozzle helps end-users to seize the initiative. In view of this, there will be a number of sharing sessions on different themes at the oncoming Shanghai International Digital Printing Industry Exhibition (TPF) from April 19 to 21. The intent is to have in-depth discussions on the development of digital printing ink and nozzle. In particular, the organizers have invited Dr Tim Philips, MD, IMI Europe, to speak on latest inkjet technology for textile digital printing at the technical lecture area of the exhibition hall on April 20th. Discussing the nuances of digital printing Dr Philips will focus on the world’s leading textile inkjet technology in digital printing and share a new generation of advanced film sprinklers, single pass high-speed printing machines and paint inks. Through technology, we can overcome different challenges in different circumstances. Also on the agenda is a discussion on how to open new opportunities through the technological advances brought by industry leaders. As founder of Catenary Solutions and Managing Director of IMI Europe, Dr Philips has extensive experience in inkjet integration projects. He has worked at Xennia Technologies for eight years, a leading inkjet solution company acquired by Sensient in 2015. He founded Catenary Solutions in 2015 to bring more digital solution development and marketing knowledge to wider audience. As the managing director of IMI Europe, Dr Philips offers a wide range of courses, including inkjet studios, inkjet ink manufacturing and digital textile printing courses. The forum will be able to convey to the audience the most advanced inkjet technology and digital solutions in TPF2017. Knowledge sharing on textiles inks, print heads In textile ink usage, printing problem and filtering solution has always plagued users. The reason of the breakdown of textile digital printing is extremely complex, there are ink salting out, hydrolysis, reunion, filter fibre shedding and other conventional problems, and there are issues like compatibility, ink raw materials and other problems, even the inkjet filter selection and the installation are closely related with the print quality. The organizers have thus invited senior sales manager, Mr Chen Xincan in Hangzhou Kebaite Filtering Equipment, to share knowledge about filtering of textile inks with the TPF2017 audience. At present, paint is the second largest pigment material behind dyes in textile industry. And in textile printing, paint printing has 80 per cent market share globally. In this context, Li Jianfa, International Marketing Director in China of National Glazed Group, will speak on ‘the application and case analysis of paint ink on digital printing.’ He will also share the composition of paint ink, coating process of coating ink and application of coating ink in blended and man-made fibres. Industry’s authoritative ink and nozzle suppliers will be especially invited to attend the seminar presided over by Dr Philips, and give insights on latest technology. The audience will get the opportunity interact with industry experts and top brands and put forward the problems encountered in application. Shanghai International Digital Printing Industry Exhibition (TPF) The 8th Shanghai International Digital Printing Industry Exhibition, hosted by UBM China and Shanghai Longyang, will be held at the Shanghai New International Expo Center for three consecutive days from April 19 to 21.
Highlights of TPF 2017
• About 230 leading exhibitors from the digital printing industry
• Connecting all important points in the supply chain
• Design Pavilion’ for the first time, to help accelerate development of original design
• China Digital Textile Conference (CDTC)
• Buyers Mission & Business Matching
• Workshop & Technical Presentation
• Engaging Concurrent Programs
• The exhibition is expected to attract about 230 exhibitors who will lay out the latest and perfect digital printing machines and matching ink, nozzles, software and so on. Also on the agenda are numerous forums and one to one business negotiations… Wonderful not to be missed
Source: Textile World
