The Synthetic & Rayon Textiles Export Promotion Council

MARKET WATCH 15 MAY, 2017

NATIONAL

INTERNATIONAL

Traders cheer up as govt to release subsidy

Industrialists of border districts, especially Amritsar, are upbeat after the announcement by Chief Minister Capt Amarinder Singh to release backlog of Rs 7 crore subsidy to border areas. PL Seth, city based president of Punjab Pardesh Beopar Mandal, said it would meet the long pending demand of the industrialists. He said it would restore the confidence of the industrialists in the government. He said major the industrialists awaiting share of their subsidies belong to Amritsar district. Proprietor of Maya Shawl, Ashwani Kumar, said he had been awaiting a subsidy of Rs 26 lakh for many years. “It is a welcome move of the government. It will infuse liquidity to release pending dues of financial agencies like banks and accelerate the growth of business,” he said. Nearly half of 121 textile industrialists, who had taken Rs 12 crore capital subsidy loan under the Industrial Policy of 2003, were released subsidy last year. This happened, after they repeatedly filed court cases. Earlier, a single bench of the Punjab and Haryana High Court had announced its decision in favour of industrialists on May 20, 2011. However, the state government appealed against the decision in the double bench of the HC, which it again lost. Subsequently, the case was pursued in the Supreme Court. When the government did not issue the subsidy, they filed a contempt petition in the HC. Finally, the government then issued subsidy to those who had filed cases.

Source: The Tribune

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Vietnam, India look to boost garment and textile cooperation

Director of the Hanoi centre for investment, trade and tourism promotion Nguyen Gia Phuong said the fair will offer a chance for Vietnamese textile and garment firms to study potential of the textile industry and technical requirements in the high value chain, thus seeking more markets for Vietnamese textile products. – A seminar was held in Hanoi on May 11 to provide information of the Textile India 2017, which will take place in Ho Chi Minh City from June 30-July 2. The fair will also help boost market links, which will make it easier for Vietnamese textile and garment businesses to make inroads into India’s retail market. According to Phuong, the India Government pledged to support Vietnamese businesses in doing market survey, and participating in international textile and garment fairs in the country, helping them to partner with Indian firms. At the event, Vietnamese firms were updated on the Vietnam-India textile cooperation, business opportunities for the two sides’ enterprises, and chances for Indian firms to invest in Hanoi. Vietnam and India boast great potential to enhance textile links, especially in investing and exporting textile materials. India’s export turnover of textile and garment materials to Vietnam in recent years averagely increases about 20 percent a year. Experts said that this is a good time for Vietnamese and Indian textile and garment firms to enhance links in investing, exporting materials and technical assistance for mutual benefit. According to statistics of the General Department of Customs, Vietnam’s exports to India rose 8.7 percent to 2.68 billion USD in 2016. Of which, textile export turnover hit over 33.7 million USD, up 8.2 percent against 2015. Hanoi’ export turnover to India was valued at 192 million USD, accounting for 1.8 percent of the city’s total exports.-VNA

Source: VNA

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Japanese experts evaluating Textile Committee laboratories

Kolkata:  Aiming to increase India’s textiles exports to Japan, the Textiles Committee has invited Japanese experts to evaluate its eight laboratories to ensure that they comply with quality requirements and various compliances for their markets, an official said here on Friday. “The experts from Japan Textile Products Quality and Technology Centre (QTEC) are currently evaluating eight laboratories of the Textiles Committee. They have already evaluated four laboratories located in Bengaluru, Coimbatore, Chennai and Kolkata. The rest four laboratories which are situated at Ahmedabad, Ludhiana, New Delhi and Mumbai will be evaluated soon,” Textile Committee’ Joint Director K.S. Muralidhara told IANS. “Experts are requested to assess the laboratories of the committee and provide suggestions to upgrade the testing facilities so that they can meet the requirement of the Japanese market,” he said on the sidelines of the industry capacity building programme here. Noting Japan imports 97 percent of its textiles requirements, Murlidhara said that out of this, China supplies 65-70 per cent of the market share while Bangladesh caters to 7 per cent. “India’s textiles exports volume to Japan was $0.37 billion in 2015-16 and our market share was less than one per cent,” he said, adding that Japanese markets offer huge potential because they import more than what was India’s textiles exports of $35 billion. Japan imported worth $38 billion of textiles last year, he said. In a bid to promote export of Indian textiles conforming to the requirements of textiles and clothing market of Japan, the committee, a statutory body under the Textiles Ministry, has entered into this MoU with QTEC. Muralidhara said the experts would also assist the committee to prepare testing reports in Japanese. As part of industry capacity building objective for export of textiles and clothing in compliance to the Japanese market, the Textiles Committee is organising such programmes at nine major textile clusters of India. Toshiki Tasaka, Director of QTEC’s Overseas Coordination Department and Kei Funaki, its ASEAN & South Asia Regional Manager, who evaluated Committee’s Kolkata laboratory on Fiday, were present at the capacity building meet here. “Laboratories of the committee focus on chemical testing. But Japanese buyers are conscious about colour fastness,” said Funaki.This is published unedited from the IANS feed.

Source: India.com

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State Government to unveil textile and apparel policy

Minister K. Taraka Rama Rao interacting with women undergoing training on Juki machines at the textile park on the outskirts of Sircilla town of Rajanna-Sircilla district.   It contemplates waiver of personal loans of individual handloom weavers The Telangana Government is in the process of formulating a textiles and apparel policy that contemplates waiver of personal loans of individual handloom weavers. Neither the cap on loans like in the case of farmers or the date when it should be made applicable has not yet been decided. Fresh loans were proposed to be given at 3% interest. The policy is still under discussion at the government level, a senior official said. The official told The Hindu that the government is also studying what kind of subsidies could be given for capital investment and purchase of equipment by entrepreneurs. Tax incentives and power subsidy are being examined. A number of players in textiles industry at the national and international levels are awaiting the policy to invest and participate in production at Warangal textiles park. The policy targets investments of at least five international and fifty domestic companies and setting up of five new textile parks with a view to generate employment for three lakh persons, a majority of them women. They will be invited to invest in spinning, weaving, processing and garment sectors. Linkage of technology to existing facilities in the industry and skill development will be focussed, sources said. On employment front, the objective is to see that the wages of individual weavers go up by at least 50%. A market-friendly environment for the products of rural artisans and providing incentives to distressed weavers will be at the core of the policy which is being drafted with a five-year vision. Land for investors will be allotted from the land bank of Telangana State Industrial Infrastructure Corporation. Housing for workers and staff are proposed within the textile parks. The government proposed a monthly stipend of ₹3,000 for people who underwent training and skill development at a fabric designing institute that will be set up with government aid. After 45 days of training, the trainees will be contracted to work in the institute for one year. Degree and diploma courses in designing and fashion engineering will be offered at the institute. The State will extend 40% concession on purchase of yarn by textiles industry in addition to the 10% already given by Centre. A power subsidy for power looms operating with motors of 27 HP capacities is also being examined. The government will procure purchase orders from weavers.

Source: The Hindu

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Labourers strike work for pay hike

Summary: He said the laborers working in the textile units fall under high skilled category, but their work conditions were very pathetic. Powerloom workers want 25% pay hike, threaten two-day stir from May 27Tribune News ServiceAmritsar, May 12Hundreds of textile labourers, working in the powerloom sector, on the call given by All India Trade Union Congress (AITUC) and Center of Indian Trade Union (CITU), held a strike here today. They warned that if owners of their units didn’t meet their demands, they would hold a two-day strike from May 27. They preferred not to respond and therefore the two labour unions called for the one-day strike,” he said. Charan Das and Brahamdev Sharam, president and general secretary of the Textile Mazdoor Ekta Union, respectively, said there were around 500 powerloom units wherein around 5,000 labourers were working. Powerloom workers want 25% pay hike, threaten two-day stir from May 27 Amritsar, May 12 Hundreds of textile labourers, working in the powerloom sector, on the call given by All India Trade Union Congress (AITUC) and Center of Indian Trade Union (CITU), held a strike here today. They were demanding an increase in their wages. They warned that if owners of their units didn’t meet their demands, they would hold a two-day strike from May 27. Amarjit Singh Asal, secretary, Punjab, AITUC, said the previous contract had expired on November 2016. “The unions issued a notice to powerloom industrial units talk to us for revision of wages of the laborers who live and work in pathetic conditions. They preferred not to respond and therefore the two labour unions called for the one-day strike,” he said.

Source: Tribune

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Fiscal Consolidation: GST is the best bet for state govts, says RBI

The Reserve Bank of India (RBI) has said introduction of GST would have economy-wide ramifications in terms of growth, inflation, government finances and external competitiveness over the medium-term. “It is likely to champion a new course for cooperative federalism in India, focusing on collaboration between the Centre and states. GST remains the best bet for state governments in returning to the path of fiscal consolidation without compression of productive expenditure,” it said in the report titled State Finances: A Study of Budgets of 2016-17. “GST implementation challenges should be addressed through a robust dispute resolution mechanism; with the goods and services tax network (GSTN) expected to provide the necessary information technology (IT) infrastructure to all stakeholders,” the RBI study said. Greater devolution of resources through statutory transfers would provide states with the flexibility to prioritise their expenditure in sync with their development objectives. From a medium term perspective, debt sustainability of states is likely to be the key factor in shaping the evolving contours of state finances, it said. According to the RBI, the macroeconomic impact of introduction of the GST could turn out to be significant in the years ahead, given the dominance of the services sector in India. “Besides giving a major boost to tax revenue, the larger impact on the fiscal health would be from reduction in the administrative compliance cost. GST is likely to be supportive of fiscal consolidation without compromising capital expenditure,” it said. Under the prevailing tax structure in India, investment is discouraged through the application of excise duties and VAT on capital goods, for which no set off or input tax credit is provided. Moreover, GST implementation is likely to boost the SME sector by improving their ease of doing business, lowering logistical costs, extending outreach beyond state borders and aiding SMEs dealing in sales and services. Furthermore, economic activity would also benefit from exports becoming more competitive as the GST regime will eliminate the cascading impact of taxes, it said. “The implementation of the GST should also boost domestic business confidence, including among foreign investors by assuring a stable and transparent tax system, free of cascades and distortions.

RBI warns against loan waivers again

The RBI has warned state governments against loan waivers as such initiatives could add to their fiscal burden and affect their finances over the medium term. “While these loan waivers could alleviate the immediate debt burden of financially distressed farmers, it is essentially a transfer from tax payers to borrowers with an adverse bearing on the fiscal viability of states,” the RBI said in a study. Moreover, it impacts credit discipline, vitiates credit culture and disincentivises borrowers from repayment, thus engendering moral hazard with expectations of future bailouts, the RBI cautioned.

Source: Indian Express

Digitisation will curb shadow economy, says Arjun Ram Meghwal

Pitching for rapid movement towards digitisation of the economy, Union minister Arjun Ram Meghwal today said the government's digital initiative is crucial to curb the black market. "In this country, 22-26 per cent is shadow economy (ie illicit economic activities like black market transactions and undeclared income existing alongside the official economy)," the minister of state for finance said here. "This is a large percentage and it is not good for a nation. As and when shadow economy is constrained the gross domestic product (GDP) of the country will grow," he added. Noting post-demonetisation of high value currency notes, the country has rapidly moved towards digitisation which has helped keep a check on the shadow economy, Meghwal said 'digital India' is a necessary initiative to "hurt" the illicit economic activities. "When we have a large shadow economy, digital India will help curb it and we will be able to account for the illicit transactions. This will result in growth of consumption, investments and export and as a result GDP will also grow." The minister was addressing the 'Digital India Summit – Role of Cooperative Banks in Adopting and Advancing the Prime Minister's Flagship Digital India Programme'. Meghwal observed that 2017 "would be known in history as the year of economic reforms" on account of various government initiatives, including implementation of goods and services tax (GST). "This year we made various changes to budget like merging the railways with Union budget and passed the finance bill before March 31 for the first time. Now we will roll out the goods and services tax from July 1 which will make it easier to do business in the country," Meghwal said. "GST will help it easier to do business. For instance in India, logistic charges are high compared to US and Canada but with GST these charges will come to par with these developed countries." Hailed as the biggest tax reform since India's independence, GST will replace an array of central and state levies with a national sales tax, thereby creating a single market and making it easier to do business in the country.

Source: Indian Express

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Govt keen on GST from July to avoid impact on Diwali, Navratra sales

New Delhi: The government is keen on a July 1rollout of goods and services tax (GST), instead of postponing it to September, to avoid the possibility of businesses getting hit during the peak festival season that usually starts around Ganesh Chaturthi and includes Navratra and Diwali sales. While the Modi government has maintained that it wants to move to the new tax regime from July, some tax consultants, industry bodies as well as a few states have suggested that a September launch will help with a smooth transition to new regime. Senior government officers, however, said that there is only a small section that wants a postponement of the rollout, and that majority of businesses have prepared themselves for a July rollout. In addition, they said there would be several businesses which would not be “fully prepared” even if GST kicked in from September. The overhaul in the tax regime is expected to result in massive changes in the way businesses operate—from electronic invoices to filing and fewer check posts at state borders. Apart from the transition coming at the start of the quarter, politically too a July rollout would ensure that businesses have settled down by the time assembly elections are held in Gujarat and Himachal Pradesh in November. But the bigger concern is the festival season, as there is a spurt in demand for large number of products from garments to gold and automobiles. “The entire fireworks industry in Sivakasi, for instance, may be impacted by a September launch,” said a source. Even at the time of demonetisation, Modi had said that he opted for announcement in November because the lull following the festival season minimised the impact of dramatic decision for businesses. Already, industry is preparing for the switch-over with production cycles tweaked to ensure there are no hiccups during the transition period.

Source: Times of INDIA

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See textile business EBITDA move back to original levels soon: Arvind

Arvind has posted earnings which are below expectations though not a huge disappointment. A big positive is that the textile revenue growth was above estimates. In an interview with CNBC-TV18, Kulin Lalbhai, ED of Arvind spoke about the results and his outlook for the company. Below is the verbatim transcript of the interview. Sonia: The higher cotton prices have impacted the margins this time around. How do you plan to tackle these raw material prices? How many months of inventory do you have at the moment and at what price and will you now be changing your strategy and going slow on buying cotton? A: No, in fact the peak in cotton prices in the previous quarter was quite unexpected. It was a very sharp rise that happened, but the good news is that the prices have already started softening and as far as the macros are concerned, the medium-term outlook for cotton should be bearish, there is a large cultivation that is due in both the US and in India and the beginning of softening of prices has already begun. As far as Arvind is concerned we are sitting on very small working capital as far as cotton is concerned. So as the prices correct, we believe that the margins on the textile front should come back to the original EBITDA level very soon. Anuj: When do we expect these margins to come back and what would be reasonable trajectory because this time that was the big disappointment - 9.4 percent versus 11.5 percent. A: As I mentioned with the softening of prices which have already started, we should see the EBITDA in the textile business move back towards their original levels reasonably soon. So you should expect that the drop in Q4 EBITDA was more of a one-time readjustment that we needed to do.

Source: Moneycontrol.com

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Global Crude oil price of Indian Basket was US$ 49.55 per bbl on 12.05.2017

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$ 49.55 per barrel (bbl) on 12.05.2017. This was lower than the price of US$ 49.71 per bbl on previous publishing day of 11.05.2017. In rupee terms, the price of Indian Basket decreased to Rs. 3186.16 per bbl on 12.05.2017 as compared to Rs. 3203.24 per bbl on 11.05.2017. Rupee closed stronger at Rs. 64.30 per US$ on 12.05.2017 as compared to Rs. 64.44 per US$ on 11.05.2017. The table below gives details in this regard:

Particulars    

Unit

Price on May 12, 2017 Previous trading day i.e. 11.05.2017)                              

Pricing Fortnight for 01.05.2017

(April 12, 2017 to April 26, 2017)

Crude Oil (Indian Basket)

($/bbl)

             49.55                (49.71)

52.36

(Rs/bbl)

            3186.16           (3203.24)

3374.60

Exchange Rate

  (Rs/$)

             64.30                (64.44)

64.45

Source: PIB

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India's per capita spending on apparel on the rise

Affluent and aspirational urban Indian households are now more willing to spend on branded clothing and shoes. But there’s a still another segment that remains out of reach. Close to 67 per cent of India’s population still lives in villages, where spending huge sums on western clothing is hardly a priority. Moreover India lags far behind other countries when it comes to retail infrastructure, with a shortfall of good quality malls and shopping spaces. Nearly 89 per cent of shopping in India still occurs at traditional neighborhood stores. The country ranks the lowest among the major markets when it comes to modernisation of the retail industry. India’s much-talked about retail explosion is still a relatively new phenomenon, and largely urban. For years, Indians relied on traditional wear and local brands for their wardrobes. Of late, the likes of Zara, Gap, and H&M have brought in much more options, capitalising on the growing disposable incomes and changing tastes in big cities. In 2015, per capita apparel consumption in India was just 45 dollars (Rs 2,894), compared to 172 dollars (Rs 11,063) in China. By 2025, India’s per capita spend is expected to jump to 123 dollars (Rs 7,911) but it will not be catching up with the rest of the world anytime soon. Apparel consumption per capita will still be lower in 2025 than it was in 2015 in the other BRIC nations and many of the world’s large developed economies.

Source: Fashion United

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ATDC signs MoU to train 10,000 youth every year

Apparel Training and Design Centre (ATDC) and Madhya Pradesh State Skill Development Mission have signed MoU to impart employment oriented training to 10,000 youth every year. The MoU that has been signed for three years encourages entrepreneurship among the youth. ATDC has also proposed to start training at 16 skill camps in Madhya Pradesh. The MoU was signed during the launch of two employment schemes in Madhya Pradesh (MP). Rajiv Pratap Rudy, union minister of state, skill development and entrepreneurship, launched Mukhyamantri Koshal Samvardhan Yojana and Mukhyamantri Koshailya Yojana under MP Skill Mission where a total of three lakh youths will be trained every year. "Skill development is the need of the hour. It will make the huge population of the country our strength," said Madhya Pradesh chief minister Shivraj Singh Chauhan at the launch programme. He further said that a MoU has also been signed with Singapore to launch Global Skill Centre in Bhopal. "ATDC has the unique distinction of offering courses from ‘300 hrs’ for workforce training to 3000 hrs of B.Voc Bachelor degree courses for supervisory and junior managerial jobs thus developing a holistic eco-system of vocational training dedicated to textile-apparel value chain. Through the 200 state-of-art centres in the country, ATDC equips the youth with domain and soft skills for getting 'wage employment' or for starting their own entrepreneurial ventures. In ATDC curricula, special focus is being given to real-life industrial work-culture and competencies to pursue not just an entry-level job in organised factories but also to develop a 'career' in the rapidly growing apparel industry. ATDC has been transitioning from just 'imparting skills' to developing 'Skills-Excellence' for industry-ready workforce and professionals over the last decade and are now making rapid strides as the industry modernises, automates and scales up," said Dr Darlie Koshy, DG&CEO, ATDC. (RR)

Source: Fibre2Fashion

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Welspun's setting a benchmark in textile industry on traceability

Home textiles maker Welspun India, a part of the $2.3 billion multinational conglomerate Welspun Group, suffered a major setback in August last year after the US-based retailer Target Corp discontinued sourcing of Egyptian cotton products. Over the last few quarters, the company has worked extensively on not only rebuilding the confidence but also setting up a robust process that will be a benchmark in the textile industry. At the recently-concluded annual results meet, Dipali Goenka, CEO and joint managing director, Welspun India Ltd, spoke about measures taken on the Egyptian cotton front while also delving into other business aspects. Ashish K Tiwari reports. Could you take us through the steps being taken to deal with the Egyptian cotton issue? We now have a system called Wel-Track that traces cotton from the source to the point of sale. While the system tracks physical verification on the floor, the radio-frequency identification device (RFID) technology allows tracing the cotton from the farms to the gin (a machine that quickly and easily separates cotton fibre from seeds) to the spinning to weaving to the last end of a product, which is cutting suit. There is also a QR code that can trace it back to the source. This initiative will set a benchmark in the textile manufacturing industry. Additionally, we now we have a five-year agreement in place with the Cotton Egypt Association (CEA) for related products and use of the Egyptian Cotton logo on them. We have also tied up with one of the biggest farmers in the United States of America for sourcing of the Supima cotton. How is the Egyptian cotton business progressing for now? Business continues like before with retailers in Europe and the US. That apart, a lot of interest is getting generated as a result of the new traceability system. So we are very positive and I think over the next six months we will see a huge upside in the premium cotton business. In fact, when Target happened to us, there were a lot of other things we started exploring. For instance, hospitality is starting to see a good upswing and we will see three times growth in the next three years. Then, we have health and wellness, e-commerce and our domestic brands apart from different channels of growth across different countries. If we are maintaining a growth perspective of around 12%, it speaks a lot because Target was quite a substantial part of what we were doing. I think we have continued to grow across different channels, countries and businesses. Have the players who’d stopped sourcing Egyptian cotton products from Welspun started buying again? There was only one player (Target) and that’s it (that has not started sourcing). So we will talk about it at a later stage. I think the kind of positivity that we have seen and the encouragement from our retailers on the whole traceability system - I think it’s one of its own kind not only in home textiles but in the apparel industry. I think we are setting a benchmark, which will be in fact a landmark in the industry on traceability. Input costs seem to have impacted overall margins by 3%. Regarding commodity costs, I’d just like to say that our portfolio of innovation contributes around 36% of our turnover and 16% is the brands. I think our margins, to that extent, will be quite strong but yes, of course, the commodities have their impact on the business too. Would you be taking any price hikes in this fiscal? I think there are different kinds of approaches that can be taken. There are ideas that could be innovative when we speak to the customers about different kind of products; there could be some price rises and a new range of products as we’re discussing. Any price hikes likely in the current quarter? How much will it be? It is an on-going conversation and when you talk about programmes, they don’t happen all of a sudden because you are talking about thousand stores. It is a progressive thing and will continuously happen in every quarter as we go forward. I won’t be able to talk about how much it will be at the moment. That’s because there are two aspects to it. One is the commodity side and second is GST. I think everybody is waiting and watching till July. For the domestic market, of course, we will be looking at some price hikes that will happen before July. Could you also take us through the preparations for the upcoming goods and services tax (GST) regime? Our whole supply chain planning has been quite calibrated. In fact, even for domestic we have taken a calibrated approach in this first quarter and the second. And anyway, if you know about the domestic market, the biggest upswing comes in the latter half of the year, i.e. August. Nearly 75% of selling happens August onward. So I think we are completely prepared. We have taken a very calibrated and controlled approach in the inventory. We’re also continuing to work with our partners in the distribution channel. So there is no cut-back on the production as such? No, not at all. We would have gone and launched a spring summer collection if possible, but I think this time it has been quite a controlled approach that we have taken. Are you delaying the new launches to fit into the post-GST scenario?  The scenario actually works in our favour. That’s because we are launching Spaces and the new look of Spaces for the new season of autumn winter. So I think that's where we have actually already planned ourselves and we’re pretty confident and quite controlled about what we are doing. What’s the progress on the e-commerce vertical that you were to launch? Our website called www.shopwelspun.in has gone live. So there's a lot of development happening on the e-commerce front. Overall sales from online channels have seen a 40% growth this year and in the next year, we are seeing a 100% growth globally (primarily in the US, the UK and India). Interestingly enough, it's not just about e-commerce, but we have also tied up with our retailers to be able to deliver the omnichannel experience. So there is a whole lot of momentum that is happening globally on this initiative.

Source: DNA

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Global Textile Raw Material Price 2017-05-14

Item

Price

Unit

Fluctuation

Date

PSF

1047.19

USD/Ton

-0.34%

5/14/2017

VSF

2227.73

USD/Ton

-0.19%

5/14/2017

ASF

2290.05

USD/Ton

0%

5/14/2017

Polyester POY

1058.06

USD/Ton

0.14%

5/14/2017

Nylon FDY

2449.49

USD/Ton

0%

5/14/2017

40D Spandex

5333.79

USD/Ton

-0.54%

5/14/2017

Polyester DTY

5783.11

USD/Ton

-0.25%

5/14/2017

Nylon POY

1333.45

USD/Ton

0%

5/14/2017

Acrylic Top 3D

2304.55

USD/Ton

0%

5/14/2017

Polyester FDY

2463.98

USD/Ton

0%

5/14/2017

Nylon DTY

1289.97

USD/Ton

0%

5/14/2017

Viscose Long Filament

2681.39

USD/Ton

-1.07%

5/14/2017

30S Spun Rayon Yarn

2869.81

USD/Ton

0%

5/14/2017

32S Polyester Yarn

1652.32

USD/Ton

-0.26%

5/14/2017

45S T/C Yarn

2681.39

USD/Ton

0%

5/14/2017

40S Rayon Yarn

3014.75

USD/Ton

0%

5/14/2017

T/R Yarn 65/35 32S

2333.53

USD/Ton

0%

5/14/2017

45S Polyester Yarn

1811.75

USD/Ton

0%

5/14/2017

T/C Yarn 65/35 32S

2246.57

USD/Ton

0%

5/14/2017

10S Denim Fabric

1.35

USD/Meter

0%

5/14/2017

32S Twill Fabric

0.85

USD/Meter

0%

5/14/2017

40S Combed Poplin

1.17

USD/Meter

0%

5/14/2017

30S Rayon Fabric

0.65

USD/Meter

0%

5/14/2017

45S T/C Fabric

0.66

USD/Meter

0%

5/14/2017

Source: Global Textiles

Note: The above prices are Chinese Price (1 CNY = 0.14494 USD dtd. 14/05/2017) The prices given above are as quoted from Global Textiles.com.  SRTEPC is not responsible for the correctness of the same.

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Pakistan’s textile industry wooed by technology

FRANKFURT:  Apart from traditional products being exported to European countries, Pakistan’s textile industry is looking to produce smart technology-based material to meet growing demand in lucrative markets in the west. With the help of European technique firms, Pakistani companies in textile sector will be using modern technologies to produce value-added products like solar energy harvesting tents and other tailor-able textile devices. According to Salman Zulfiqar Ali, deputy general marketing of Spire Fitting Mills, exhibitions of textile products at Messe Frankfurt are providing an opportunity to know new inventions, processing techniques and new materials being introduced in the world under one roof. “Though the suppliers of new processing and technique devices usually visit Pakistan, at the international exhibition we can directly talk to experts of such technologies,” he said. Ali said that textile product of Pakistan is usually sold out at $2 to 2.5 per meter in European markets but with the application of new techniques and subsequent production as per the demand of valuable markets the same product may fetch $8 to 15 per meter. Mahrooz Textile Industry CEO Mian Muhammad Shahid, who was attending the show for the first time, said that his company has been supplying tents to Middle Eastern countries but now it has decided to focus on European countries. To tap the lucrative markets, his company has also decided to make joint ventures with technique firms in EU. “With the help a French company we will be producing solar harvesting tents in Pakistan,” he said, adding that technology-based tents and cloths would also protect agricultural products from weather hazards. With 312 exhibitors from 36 countries and a growth rate of 14%, Techtextil, Texprocess, the leading international trade fair for the processing of textile and flexible materials in Frankfurt had showcased, for the fourth time, all the stages of the value creation train in the textile industry.

Source: Tribune

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Bangladesh : RMG linkage up for compliance too

Western retailers' platform Accord now moves to bring the garment-linkage industries, too, under its extended inspection purview to look into labour-right and safety issues. Industry sources said the expansion of the scope of clean-up drive over entire spectrum of Bangladesh's export-oriented clothing industry comes in conjunction with the consumer-side coalition's plan for pronging its tenure for additional five years. The backward-and forward-linkage industries up for compliance search are textile mills, spinning mills, leather and tanneries, factories making sheets, towels and other household textiles, and apparel-washing facilities. Electrical and structural-integrity assessment in line with the much-orchestrated remediation operation kicked off in the readymade garment sector by two foreign coalitions against the backdrop of a few tragic incidents in factories. Global-right groups, especially the witness signatories to the Accord on Fire and Building Safety in Bangladesh, want to expand the tenure of the platform over next five years to 2023, the sources said. Their local affiliates, however, said the duration is yet to be fixed but they would like it to be three years. "Such a renewal is essential to ensure that the gains achieved by the Accord are sustained and that the additional factories that come into the supply chains of Accord brands and retailers are properly inspected, with all hazards corrected and with full public reporting," according to the memo by the four witness signatories of Accord. After four years of supporting the mission of the Accord as witness signatories, carefully examining the strengths and weaknesses of the Accord programme thus far, and consulting closely with their Bangladeshi union and NGO partners as well as Accord staff, they have developed a number of recommendations for enhancing the terms of the Accord, via the negotiation of a renewal of the agreement for 2018-2023, it added. The signatories-Clean Clothes Campaign (CCC), International Labour Rights Forum (ILRF), Worker Rights Consortium (WRC) and Marquila Solidarity Network (MSN)--issued the memo explaining the progress of Accord and proposing five years' (2018 to 2023) extension. They also have made an-eight point recommendation for changes styled 'Accord II'. The groups estimated that at least several hundred factory buildings are involved, most of them multi-story and most very likely burdened by the same safety deficiencies as the typical pre-Accord assembly facility. "Applying the existing Accord inspection and remediation regime to these buildings is an opportunity to protect hundreds of thousands more at-risk workers," the coalition believes. Centre for Policy Dialogue research director Khondaker Golam Moazzem says though there were some discomforts initially, the apparel-makers accepted the inspection framework and the western retailers' platform should prioritise completing the remaining works. The tenure might be extended until the completion of ongoing safety activities and should conclude together activities of both the western retailers' platforms-Accord and Alliance-as they started almost the same time, he added. If the Accord plans further initiative, it should be separate from the existing one and also the evaluation, he said explaining if a spinning mill is found non-compliant, it should not affect the end-supplier or garment-maker that uses the mill's products. Accord and Alliance should support enhancing the public-sector capacity by rendering their expertise and technical know-how during their extension, he opined. The apex trade body in RMG sector takes the fresh Accord move with a grain of salt, as its chief says local supervision of the conditions of the linkage industries is enough to set the matter straight. "Accord should not interfere into issues related to workers' rights as this is beyond their mandate which is only related to workplace safety. There is law of the country and ILO to look into the issues," Bangladesh Garment Manufacturers and Exporters Association (BGMEA) president Md Siddiqur Rahman told the FE. Opposing inspection of backward-linkage industries by the western retailers' platform, he said local initiative should be enough to monitor safety in those units. Both the Accord and Alliance were formed under the Sustainability Compact and the government would decide whether it would allow extension or not, said Mahmud Hasan Khan, vice-president of BGMEA. "There is no need to extend the western retailers' platform if the capacity of DIFE (Department of Inspection for Factories and Establishments) has developed," he said. The performance of DIFE could be reviewed year on year, he proposed.

Source: The Financial Express Bangladesh

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Bangladesh : Garment rags change economy of Bogra

Unwanted or discarded things are usually thrown out considering those valueless. But precious products can be made from such things. And this is happening in Adamdighi upazila of Bogra district where many entrepreneurs are producing some value added and finest items through using garment rags also known as 'jhoot'. During a recent visit to Saoel village in the upazila, it is found that more than a thousand entrepreneurs are producing various kinds of quality and finest products including shawls, bed sheets, towels, blankets and other such products with threads made from garment rags. Such business has changed the lot of around 10,000 families and the socio-economic outlook in the locality. A market has been set up there centring the industry where traders from different parts of the country throng to buy such quality products. Yearly transaction of the market is around Tk 5-Tk 6 billion. The entrepreneurs said some of their products are also being sold in the name of different reputed brands or even in the name of some foreign countries' products like Kashmiri or Indian products. Despite having huge demands and potentials, the sector cannot flourish due to lack of required facilities and some problems including narrow road, lack of dyeing factory, sufficient finance, proper marketing channel, product and market diversification and required spaces.  Mofazzol Hossain, a local businessman of Saoel village, told the FE that they have been doing such business since 1985. At the very beginning, he said, they did such work from wool, but since 1988 they started bringing garment rags from the capital's Mirpur. "Now we bring such items mainly from Dhaka, Gazipur, Narayanganj, Chittagong and Comilla," he said. Mofazzol, also president of Tontubai Somobai Samity Market, said such business significantly contributes to the economic development of the locality. "Around 10,000 families in the area now benefit from this business." Apart from a large number of male workers, he said, female workers of the country are also getting involved in such job and earning extra money for their families. Despite having huge demand for their products both in local and international markets, he said, the sector could not thrive due to some problems including narrow roads and lack of required financial help, proper marketing channel and dyeing factories here. "We have to go to distant districts mainly in Feni and Chittagong to colour our threads which is time and cost-consuming," he added. He said dyeing factory cannot be set up here as there is no gas connection. "We badly need a dyeing factory and we hope the government will help us in this regard." Faruk Hossain, owner of Adiat Hasan Enterprise, told the FE that due to lack of proper marketing channel, they are also being deprived of getting fair prices of their products. "Some of our products are being sold at higher prices in the name of different brands or in the name of different country products, but we sell such items at lower prices as we don't have proper marketing channel," he added. He said scarcity of spaces is another problem being faced by the sector. "Setting up of a separate industrial park can help promote the sector," he added. At a discussion meeting, Deputy Commissioner (DC) of Bogra Md Ashraf Uddin said such business can meet the demand for winter clothes of the country. "I think if properly nurtured, country's 90 per cent demand for winter clothes including shawls, blankets etc can be meet by Bogra businessmen." He said despite having potentials, entrepreneurs here are facing problem in getting loans at low interest. They also need skilled manpower and required spaces. He said land should be allotted for the sector so that they can do such business and can help flourish the sector. However, SME Foundation has taken some short and long-term initiatives to promote the sector. The foundation is providing financial help for such entrepreneurs. An official of the foundation said 60,000 skilled and semi-skilled workers -60 per cent male and 40 per cent female- are involved in the sector. To improve the skills of both entrepreneurs and workers, he said, the foundation is also providing them with training and working to develop the website of their products and identify obstacles to exporting their products.

Source: The Financial Express Bangladesh

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Fashion Industry Leaders vow to move towards a Circular System

If the global fashion industry wishes to secure its future then now is the time to come together to and takes steps towards a circular system. That was the main takeaway from the Copenhagen Fashion Summit this week, which took place on May 11 at the Koncerthuset in one of the most green countries in the world: Denmark. Industry leaders from around the world came together for the annual conference, which asked brands, retailers and companies alike to come together and pledge to begin working towards adopting a circular business model. The Global Fashion Agenda, which organises the sustainable fashion summit, Call to Action has been signed by over 20 leading companies, including H&M, Kering, Bestseller, Asos, M&S, Target and Inditex. "I'm very pleased that some of the world's leading and biggest companies signed our Call to Action for a Circular Fashion System,” says Eva Kruse, CEO of the Global Fashion Agenda (GFA). “I take this as a clear sign that the industry is not only aware of the need to change and the need to strive towards a closed loop system, but also ready to act.” Together, the companies which signed the GFA call to action commitment have pledged to start working on defining a circular strategy within their business, setting fixed targets for 202 and will report on the progress of their commitment. A circular system, different from the linear model most companies use which sees the raw materials used to create commercial goods that are bought and then eventually thrown away by consumers, reuse products (and waste) at their end of life cycle to create new products over and over. Leading fashion players sign Call to Action at the Copenhagen Fashion Summit The Global Fashion Agenda’s call to action comes after the release of a new report ‘The Pulse of Fashion 2017’. Created together by the GFA and the Boston Consulting Group, the report highlights the urgency the industry faces in shifting towards a circular model. For example, apparel consumption is predicted to reach 102 million tonnes by 2030, up from 62 million tonnes in 2016, as the global population will rise to 8.5 billion - putting a huge strain on the world’s resources. “We are currently using the resources of 1.7 planet’s - even though we only have the one,” says Kruse. The report also highlights the economic advantage in adopting a circular system which addresses the current environmental and social issues at hand: approximately 160 billion euros would be added to the world's economy annually by 2030. At the moment the fashion industry has a low pulse when it comes to sustainability, scoring a 32 out of 100 in the newly developed global Pulse Score. Although a number of big fashion players scored high, the remaining fashion players scored rather low, as a number of medium to smaller-sized companies are said to have shown little effort towards becoming sustainable. A number of larger players have already made a number of commitments initiatives towards becoming circular, including H&M, Kering and C&A. For example, H&M previously set itself a goal of only using 100 percent recycled or sustainably sourced materials in its products by 2030 last month, following the launch of its garment collection initiative in 2013. C&A, together with William McDonough, a renowned expert on Cradle to Cradle, took on the challenge of creating its first C2C certified t-shirts. Following the Cradle to Cradle Certified Programme, which sets standards for raw material and chemical usages, ensures products are designed using materials which allow for reuse and made in safe and fair working conditions, C&A created a t-shirt certified at “Gold” level which retails for 9 euros and decomposes in 11 weeks if thrown onto a compost heap. Kering previously launched its innovation labs which are dedicated to developing new and sustainable materials, ranging from regenerated cashmere and recycled nylon. Kering, H&M and C&A have also invested in a number of start-ups to accelerate the development of the technology needed to take on a circular system. Together H&M and Kering have invested inWorn Again, which uses chemical recycling technology to separate and extract polyester and cotton from post-consumer products, while C&A teamed up with William McDonough, Kering, the Ellen MacArthur Foundation and the Sustainable Trade Initiative to create the global initiative Fashion For Good, which aims to help the industry rethink how fashion is designed, make used and reused. However, in spite of these initiatives, there is still much work to be done if the fashion industry aims on becoming circular, which is why collaboration, innovation, technology and creativity were underlined as the key drivers for change throughout the Summit. “At Kering we are rethinking luxury as sustainable but to make real progress and to address our global challenges and to address our global challenges it is essential to join forces across the fashion industry,” says Marie-Claire Daveu, Chief Sustainability Officer and Head of international institutional affairs at Kering. “Many of the conventional and unsustainable practices employed by our industry must be transformed and we believe that working with our peers through collaborative initiatives can influence real, positive change.” Kruse stresses that for the past 8 years, the Copenhagen Fashion Summit has unsuccessfully been trying to put that message across to the industry. “Actually we haven't succeeded very well in getting the message across the stage," says Kruse. "So we thought that we have to do it differently this time." But with the GFA new call to action, which sees an increasing number of brands pledge to take concrete steps towards taking on a circular system, Kruse is hopeful for the future of fashion. As was McDonough, who reminded the fashion industry that "being less bad is not being good." Sustainability leader and co-founder of the Cradle-to-Cradle movement. McDonough opened the Summit's nine-hour programme, which included more than 50 industry speakers, such as Michael Kowalski, CEO of Tiffany & Co., Vanessa Friedman, The New York Times chief fashion critic, Dame Ellen MacArthur, circular economy authority and Livia Firth, founder of Eco Age Ltd. Together these industry experts shared their thoughts and ideas on how the fashion industry can work towards making sustainability the new norm and taking on a circular system. Part of the GFA call to action led to the launch of a new initiative - The Circular Fibre Initiative. This new initiative, launched by the Ellen MacArthur Foundation, brings together key industry retailers and stakeholders to create a circular economy for textiles, beginning with apparel and is supported by the C&A Foundation, H&M, Nike, The Danish Fashion Institute, Fashion for Good, Cradle to Cradle and MISTRA Future Fashion. Together they aim to work together to create a new system for global fibres which will be based on the principles of a circular economy and generate growth for both consumers and businesses while phasing out negative impacts, like pollution and waste. “The way we produce, use, and reprocess clothing today is inherently wasteful, and current rising demand increases the negative impacts. The Circular Fibres Initiative aims to catalyse change across the industry by creating an ambitious, fact-based vision for a new global textiles system, underpinned by circular economy principles, that has economic, environmental, and social benefits, and can operate successfully in the long term”, said Dame Ellen MacArthur, Founder, Ellen MacArthur Foundation. One of the initiatives first steps will be producing a report by autumn 2017, together with McKinsey & Co., which maps how textiles travel across the global economy, and the externalities which stem from the current system. The report will then explore what a new, circular economy for textiles - one that is restorative and regenerative - may look like, and lay out the steps needed to build it. Although the results and the initiatives launch are promising, the question remains as to how long it will take for the rest of the fashion industry to step up and start working together to take on a circular system.

Source: Fashion United

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‘Concerted efforts can help achieve cotton target’

KARACHI: It is not possible to ascertain the near-to-estimated cotton crop target without sharing input of members of Pakistan Cotton Ginners Association (PCGA), Karachi Cotton Association (KCA), Cotton Ginners Forum (CGF), Pakistan Yarn Merchants Association, All Pakistan Textile Mills Association and real stakeholders of the sector. For several years, Federal Cotton Committee sets target of 14 million bales, but later target had been trimmed by more than one million bales of cotton. This tendency is disturbing for ginners, growers, textile spinning and cloth sector and exporters, members of these bodies asserted. And moreover, the cotton production stands to range between 11 million to 12 million bales in several consecutive crop seasons. This attitude of not taking all stakeholders across the board has not shown sign of any significant improvement in cotton output. Ghualm Rabbani of PYMA said inter-sectoral coordination and efficiently working as a team could result in achieving near to target size of crop. The country will have to import more than 2.5 million cotton bales to offset the affect of shortfall next season during February to June 2018. The import will cost around $96 million to the country as production is remained below the target during season. "Inadequate policies of the federal government besides non professional approach by Central Cotton Committee, setting the parameters to achieve target of crop will cost national exchequer to bear the brunt of heavy foreign earnings, Rabbani added. Standard Operating Procedures (SOPs) were required to evaluate and monitor the release of biotech varieties in Pakistan. The SOPs should be more transparent, efficient and professional and they should be streamlined without compromising on principles of bioenvironmental safety, he opined. Rana Abdul Sattar of PCGA was of the view inPakistan, most of the BT cotton varieties were marketed with wrong notation of resistance to all pests. In some instances this variety was mixed with non-BT cottonseed and affected the yield. KCA members stressed upon development of long and extra long staple cotton varieties in order to get premium prices while trading cotton internationally. Ahsanul Haq of CGF was of the opinion that natural climatic condition and seed quality issues were major obstacles in achieving cotton production targets. Moreover government asked farmers to sow cotton in mid April every season, which forced them to grow sunflower and maize to keep the land cultivable. However, after repeated suggestion and recommendation date has been revised, but the decision came late as farmers have already harvested several other minor crops. It is estimated the cotton crop size for year 2017-18 in Punjab would stand at 10 million bales, Sindh at 3.60 million bales, Khyber Pakhtunkhwa at 0.0018 million bales and Balochistan at 0.1170 million bales respectively.

Source: Daily Times

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Vetnam textile sector sees India for new raw material sources

Việtnam is one of the five biggest exporters in the world with exports of US$28.5 billion last year. But to achieve this, the country imports large volumes of feedstock including yarn, fabric and others, said Nguyễn Thị Tuyết Mai, deputy general secretary of Việtnam Textile and Garment Association (VITAS). However, the Vietnamese textile and garment industry needs to diversify its raw material import sources if it wants to develop. Depending on one or two sources will limit manufacturers’ production capacity and development. Seeking new sources is necessary for the industry to lessen its dependence on traditional sources in ASEAN and China. Members of VITAS and the HCM City Association of Garments, Textiles, Embroidery and Knitting (AGTEK) agreed that India is one of the best alternative choices. Phạm Xuân Hồng, chairman of AGTEK, said that many Vietnamese garmen companies have visited India to explore co-operation opportunities and returned impressed with the country’s garment and textile industry. Many raw materials available in India fit their needs. For a long time, Việt Nam has imported garment and textile raw materials from China. It is now time to upgrade technologies as well as have more raw material sources. Mai said that establishing co-operation with India is a good idea as Indian products have good quality and prices thanks to the free trade agreement signed between India and ASEAN. Furthermore, garment and textile is among the products on which India would cut taxes in future. This is an opportunity for Vietnamese to find a new raw material source. The Indian consulate in HCM City has promised strong support for Vietnamese companies seeking to tie up with their Indian counterparts. The two governments have put garment and textile in the priority list for further development. The exhibition would enable the Vietnamese companies to study the Indian garment and textile industry closely and identify new raw material sources. It hoped a large Vietnamese delegation would attend the 2017 Textile India, a garment and textile exhibition in Ahmedabad, India where they could find all the products they need from yarn and fibre and cotton.

Source: YNFX.

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Fourth Industrial Revolution poses labor problem

Although the Fourth Industrial Revolution (4IR) brings about economic efficiency, higher labor productivity, product improvements and better competitiveness, it will undeniably pose a big labor problem as millions of jobs in many countries including Vietnam will be affected. Fourth Industrial Revolution poses labor problem, vietnam economy, business news, vn news, vietnamnet bridge, english news, Vietnam news, news Vietnam, vietnamnet news, vn news, Vietnam net news, Vietnam latest news, Vietnam reaking news. Representatives of APEC member economies discuss policy responses to changes in the labor market  This topic was explored in the APEC 2017 High-Level Policy Dialogue on Human Resource Development in the Digital Age held in Hanoi on May 11.

Women, unskilled workers most affected The 4IR is having a dramatic impact on the labor market, with APEC members no exception, said Phu Huynh, labor expert of the International Labor Organization (ILO). Technologies are gradually penetrating the production process and changing the structure of the labor market, such as robotic automation, artificial intelligence, Internet connectivity and 3-D printing technology. In fact, the percentage of population using the Internet has risen sharply over the past 15 years. In 2000, the percentage of Vietnam’s population with access to the Internet was small but in 2015, it surged to more than 55%, according to ILO data. For more developed member economies like Japan, South Korea or Canada, the rate is up to 95%. In addition, the speed of automation in production has increased rapidly. Vietnam is one of the countries with the highest rate of labor affected by automation, after China, with nearly 70% of positions, said the ILO. It is estimated that 86% of Vietnam’s textile-garment and leather-footwear workers and 75% of employees in the electronics industry would face the onslaught of automation, says a report recently published by the ILO. These are the most labor-intensive sectors in Vietnam today. Vietnam has yet to witness the impact of technology at the workplace to a degree similar to that some other neighboring countries have experienced. This is mainly thanks to competitive labor costs coupled with relatively high costs of investment in technology. However, innovations such as robot automation have infiltrated into various industries, including textile-garment, leather-footwear and electrical-electronic products. Women and unskilled workers will be the most vulnerable to automation, Phu Huynh said.

In need of coordination

Navigos Search managing director Nguyen Phuong Mai said job seekers’ English skills were always a top concern of employers. Citing information technology (IT) as an example, the demand for hiring IT engineers is huge, which is not met by the current supply, both in quantity and quality. The market is short of workers in general and skilled people fluent in foreign languages in particular. “Because of their dire need for IT engineers good at foreign languages, many foreign businesses have changed their recruitment requirements by prioritizing English proficiency over expertise,” Mai said. In addition, as Vietnam has officially joined the ASEAN Economic Community (AEC), the “brain drain” would rise, especially among middle- and high-level human resources. More and more talented people in some sectors such as IT and accounting/auditing are offered good opportunities by companies in other regional countries. Kim Le, human resources manager of ManpowerGroup Vietnam, expressed a more optimistic view, saying, “We believe the future of employment is not necessarily a trade-off between people and machinery. The development of the digital age is a chance for governments to create more jobs.” Technology is facilitating the emergence of new models that can help solve the current problems in the labor market, such as the birth of the gig economy, with thousands of short-term jobs created through the formation of technology startups like Uber, Lyft, Airbnb and Grab, according to ManpowerGroup. “On the positive side, human intelligence combined with the rapid development of new technology will make our world more prosperous,” Le said. In order to capture the opportunities and mitigate the negative effects of digital technology, it is essential to improve the capacity of human resources in the right way, said ManpowerGroup. This requires enduring and persistent efforts, well-rounded investment and strategy for human resource development, from training and retraining to the addition and renewal of skills and knowledge. Navigos Search suggested there be regulations to assist enterprises in staff training policies as well as guidance on orientation and promotion of labor migration in the AEC. At the macro level, Huynh from the ILO said APEC members should undertake joint research, share knowledge and monitor job market indicators. At the same time, there should be close coordination between policymakers, businesses and educational institutions.

Source: Vietnam.net

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China April factory output, investment growth miss forecasts

China's factory output and fixed asset investment growth cooled more than expected in April, adding to signs that momentum in the world's second-biggest economy is slowing from a strong start in the first quarter. Factory output rose 6.5 percent in April from a year earlier, while fixed-asset investment grew 8.9 percent in the first four months of the year, both worse than expectations. The soft activity data, combined with weak manufacturing sector growth and slowing producer prices inflation, reinforced analysts' view that China's economic expansion remains solid but is starting to taper off. Analysts polled by Reuters had predicted factory output would grow by 7.1 percent in April, easing from March's 7.6 percent. Output growth slowed on tumbling steel and iron ore prices amid concern over rising inventories after China's mills cranked out as much metal as possible to drive factory output to its highest since December 2014. Fixed asset investment had been forecast to grow 9.1 percent over the first four months of the year, easing from 9.2 percent in Jan-March. Retail sales rose 10.7 percent in April from a year earlier. Analysts had expected a 10.6 percent rise, edging lower from the previous month. Private investment growth slowed to 6.9 percent in January-April period from 7.7 percent in the first quarter, the National Bureau of Statistics said on Monday, suggesting small- and medium-sized private firms still face challenges in accessing investment-finance. Private investment accounts for about 60 percent of overall investment in China. With growth comfortably above this year's target of around 6.5 percent, Chinese policymakers have shifted their focus to reining in financial risks and stamping out speculative activity in the property market. China's National Bureau of Statistics said Monday that more positive factors were seen in the economy in April, though structural problems remain. China is targeting growth of around 9 percent in fixed asset investment for 2017, and expects retail sales to increase about 10 percent. The country's first quarter economic growth came in at a faster-than-expected 6.9 percent, the quickest since 2015 on higher government infrastructure spending and a gravity-defying property boom. China has cut its economic growth target to around 6.5 percent this year to give policymakers more room to push through painful reforms and contain financial risks after years of debt-fuelled stimulus.

Source: Returns

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Africa: Ethiopia's Potential to Become Africa's Textile, Apparel Hub

The Jakarta Post reported that Indonesian textile industry is facing competition from Ethiopia. According to the newspaper, despite Indonesian governments' effort to "lure textile manufacturers away from China to the archipelago, [the nation] is facing a rising threat from East African country, Ethiopia, which is offering companies a competitive cost structure." The claim is that China's textile manufacturers are shifting their production overseas due to increased labour costs and air pollution, in to the availability of less expensive labour and electricity in Ethiopia, many of them are settling here. Ethiopia's export is currently dominated by Coffee which represent 16.5 percent of the total exports of Ethiopia, with flowers, vegetables and oily seeds follow in big fractions underscoring the fact that the economy still depends on Agriculture.

Source: All Africa

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