India may have to reduce its target of exporting $900 billion worth of goods by 2020, as the current growth rate doesn’t support the target, the Federation of Indian Export Organizations (FIEO) said. The target is part of the current Foreign Trade Policy (2015-2020), which is currently undergoing its mid-term review. Senior government officials had earlier said the figures could see a downward revision. Addressing the press on Thursday, FIEO Director General Ajay Sahai said exports would need to grow at a compound rate of 27 per cent annually till 2020 for the existing target to be reached. “With global trade growth forecasts still slow at 2.4 per cent, I’m expecting a compound growth of 15 per cent annually for India’s exports”, Sahai said. This will allow total exports to reach a cumulative $700-750 billion by 2020, he added. The industry body forecasts further challenges for exporters, expecting continued appreciation of the rupee in the near future. At the same time, further depreciation of currencies of major competitors is expected. FIEO also raised the issue of exporters being left without crucial working capital under the upcoming Goods and Services Tax (GST) regime. Exporters are now allowed duty-free import of goods that are used for the manufacturing of export products. However, under the GST, they would have to pay the duty upfront and apply for refunds later. While the government had earlier promised the duty would be refunded within the first seven days of submission of complete application, it later added a further step of acknowledging each claim within three days after that. Commerce and Industry Minister Nirmala Sitharaman had said that provisions had been made for additional refunds to the tune of six per cent interest if payments are late. The last 10 per cent of refunds would be subject to verification done by the revenue department. However, FIEO President Ganesh Kumar Gupta said the interest on delayed payment would be received only after 60 days. “The additional cost of credit to manage liquidity should be borne by the government if present exemption is not brought forward by the GST”, Gupta said. The commerce ministry had formed a three-member committee, including Commerce Secretary Rita Teaotia, head of the committee on duty drawbacks G K Pillai, and a finance ministry official to submit issues raised on GST by exporters to the GST council. This involves the treatment of current incentive schemes for exporters. Also, under GST, if exempt goods become inputs for products used finally for exports, export credits will not be provided for those products.
Source: Business Standard
As many as 3,26,471 direct and 4,24,412 indirect jobs were created in the sector in the last fiscal, according to the estimate. Investments to the tune of Rs8,544 crore flowed into the sector through the ministry’s flagship scheme — the Amended Textile Upgradation Fund Scheme (A-TUFS) — that was tweaked last year to give additional subsidy to the garment makers, as part of the package. A senior government official said the jobs data are based on the investment that flowed into various segments (such as weaving, garmenting, processing technical textiles and composites) through only A-TUFS. Employment generated by the investments made outside the A-TUFS is not captured in this estimate (The capital-intensive spinning sector is now out of the A-TUFS ambit). The estimate is based on the thumb rule, often adopted by government and industry executives, that every Rs1 crore of investment creates as many as 70 direct jobs in the labour-intensive garments segment and 30 direct jobs in the spinning segment. Similarly, every 10 direct jobs created in the textile and garment sector leads to the generation of 13 indirect jobs (such as in hand embroidery, lacework, handwork, specialised dyeing and washing and logistics). However, some industry executives said such a method — although used often for a quick estimate of job creation — may not give a correct picture, especially when the jobs data are derived from A-TUFS investment. This is because subsidy under A-TUFS is offered mainly for setting up new units as well as for the upgrade of technology. While setting up new units may create jobs, technology upgrade may even result in a reduction in workforce. According to the textile ministry data, garment exports went up almost 9% after the package was announced. Between July 2016 and March 2017, garment exports rose to $13.47 billion, against $12.37 billion a year earlier. By contrast, overall textile and garment exports dropped 3.5% in the last fiscal to $38.6 billion, mainly due to a decline in outbound shipments of textiles. Still, the additional job creation, investments and exports are way off the government’s ambitious targets. The government was targeting one crore new jobs, additional investments of Rs74,000 crore and extra exports of $30 billion over three years, through last year’s garments package. Sources said one of the main reasons for the non-fulfilment of the targets is that the several notifications required to implement the package came at much later even though the package was announced in late June. For instance, the refund of state levies under the duty drawback scheme was rolled out only in September, while the proposed fixed-term employment rules to allow garment factories to hire contractual workers for a fixed period were notified as late as October by the labour ministry. Also, a critical component of the package — voluntary contribution to the EPF by workers earning less than Rs15,000 a month — is yet to be implemented, as it involves an amendment to the EPF Act for which parliamentary clearance is awaited. To boost competitiveness of the garments sector, the government in June announced a raft of measures, including the introduction of fixed-term employment, optional contribution to the EPF by workers earning less than Rs15,000 a month, the refund of employers’ contribution of the EPF, additional incentives under the A-TUFS, enhanced duty drawback and some income tax relief, for the garment sector.
Source: Banikinkar Pattanayak
Enabling grassroot entrepreneurship could be the answer to India’s efforts in creating more jobs and improve competitiveness, says eminent management thinker and Harvard University professor Michael E Porter. Porter said technology and easy internet access was leading to democratisation of starting new businesses and creation of many bottoms-up activities. India should focus on creating jobs at the grass-root level, he added. On measures to create new jobs, his mantra was: “Make people believe that the best job is to work for your self — be self-employed.” He was addressing a group of business leaders and policymakers at National Competitiveness Forum here. Porter, who is visiting the country after 14 years, said as India becomes digitally connected, the idea of grassroot entrepreneurship and job creation were game changers. “This also gives a sense to people that they can participate in the economy,” he added. Porter, an authority on the principles of sustainable competitive advantage, stressed that the country, despite significant economic progress in the recent years, has an issue related to workforce participation. “If people can’t participate in workforce, then system is not working for them.” The economist noted the journey to build a prosperous country is like a marathon. “It takes decades.” Referring to his 30 years of research in this subject, the professor said in this journey to be a prosperous country on a sustainable basis, both business and society had to win. Porter said the only institution in a society that could create wealth is business. “Businesses can create wealth. Government can’t create wealth… We can’t antagonise business and create prosperity,” he said. Earlier in the day Porter had a one-hour meeting with Prime Minister Narendra Modi. Earlier in the day Porter had a one-hour meeting with the Prime Minister. In the evening, delivering Niti Aayog’s Transforming India lecture series, the eminent economist noted that initiatives like JAM (Jhandhan Aadhaar Mobile) in India are breaking new ground in economic policy and the process of development.
Source : Business Standard
Stating that 62 per cent of the raw lac is produced in Jharkhand, he said Mukhyamantri Udyami Board is being set up in which women of 32,000 villages would be connected and there is a plan to connect 48 lakh women and train them Rs 700 crore would be spent in training the women to make lac products Ranchi, May 25 Chief Minister Raghubar Das today inaugurated the Jharkhand Fashion Festival here and launched a website to help online shopping of tussar. The state produces 82 per cent of the tussar available in the country but due to lack of guidance the raw tussar are being used by others. The state government was committed to give a filip to tussar industry and help it in every way, he said. Jharcraft, a state government undertaking for the development of silk textiles and handicraft should work in this area and develop its brand, he added. Tussar products and tussar clothing should change with the changing times so that Jharkhand can keep its identity in the tussar sector at the world level and become a strong market force, an official release said quoting the chief minister. He said three textile industries has begun work and more investments would come. Stating that 62 per cent of the raw lac is produced in Jharkhand, he said Mukhyamantri Udyami Board is being set up in which women of 32,000 villages would be connected and there is a plan to connect 4.8 lakh women and train them. Rs 700 crore would be spent in training the women to make lac products. Ranchi, May 25 Chief Minister Raghubar Das today inaugurated the Jharkhand Fashion Festival here and launched a website to help online shopping of tussar. The state produces 82 per cent of the tussar available in the country but due to lack of guidance the raw tussar are being used by others. The state government was committed to give a filip to tussar industry and help it in every way, he said. Jharcraft, a state government undertaking for the development of silk textiles and handicraft should work in this area and develop its brand, he added. Tussar products and tussar clothing should change with the changing times so that Jharkhand can keep its identity in the tussar sector at the world level and become a strong market force, an official release said quoting the chief minister. He said three textile industries has begun work and more investments would come. Stating that 62 per cent of the raw lac is produced in Jharkhand, he said Mukhyamantri Udyami Board is being set up in which women of 32,000 villages would be connected and there is a plan to connect 4.8 lakh women and train them. Rs 700 crore would be spent in training the women to make lac products.
Source: OutlookIndia
India has a historic relationship with indigo. How far have today’s designers succeeded in ensuring the survival of the distinctive dye? This is the centenary year of the Champaran Satyagraha, when Mahatma Gandh highlighted the woeful plight of Indian farmers who had been forced to cultivate indigo by the British. It also happens to be a time when synthetic rather than natural indigo is in vogue. Indigo is suddenly on the lips of everyone from fledgling fashion students to fashionistas. With the authorities giving indigo a push, it has become fashionable for even those designers who are heavily influenced by the haute couture of London, Paris and New York to use the distinctive blue dye in their creations. The Ministry of Textiles is promoting indigo across the country. A grand celebration marking the historic Champaran movement was held recently in Patna, Bihar recently in which the National Insititute of Fashion Technology (NIFT) was involved. “German companies are now developing special dyes to replace indigo but the new generation needs to know that it was Champaran where it was created locally and the movement was given a thrust by Mahatma Gandhi,” says Sunil Sethi, president, Fashion Design Council of India (FDCI). “Delhi also has a special connection with indigo as Nila Gumbad in Nizamuddin has dazzling blue tiles on its dome.”
Fashionable hue
Mechanised textile production has led to a big boom in clothing and accessories by big international brands. But rather than succumb to the competition, Indian designers are still creating the indigenous dye in the traditional way, and generating jobs for village-based artisans. As designer Payal Jain says, “Since the Indus Valley civilization, India has been the forerunner in dyeing techniques. In those days, natural colours were extracted from plants, vegetables, roots and flowers. Indigofera tinctoria, a plant from bean family, is extremely difficult to procure and expensive. Only a handful of families, mostly in Gujarat and West Bengal, know the technique of creating indigo dye from this plant.” Extracting natural indigo is a lengthy process and the dye is used for block printing, resist printing, dip dyeing and yarn dyeing. “This ancient technique is on the verge of extinction. So as designers it is important for us to continue patronising the native industry,” adds Jain. Indigo has a special place in Indian textile history. In West Bengal, the tyranny of European planters led to the ‘Blue Mutiny’ between 1859 and 1862. It wiped out indigo plantations. In 1908, roughly 30,000 acres of land was engaged in cultivating indigo but, today there are only a handful of families in India who do indigo farming. Has commercialisation diminished the importance of issues concerning crafts and artisans in India today? Jain says, “I feel the Indian handloom and textile industry have suffered a lot since Independence. However, in the past few years, there have been a series of conscious and collective efforts by designers, media, NGOs, corporates, political leaders to revive this sector.”
Spotlight on technique
Inspired by a trip to Kolkatta, Payal Jain has a ‘blue line’ that uses tie-and-dye, Japanese Shibori, selective dipping into indigo to colour only parts of the garment (using a resist to protect the other parts) and complete dyeing. The fabric is then embellished with hand embroidery, pin-tucking and pleating. Jain’s biggest problem was in making the indigo colour-fast. “When you buy a couture creation, you don’t expect the colour to bleed. We worked with textile designers in Kolkata to explore variations of designing a collection which would address this issue. For this reason, historically in India, indigo was usually the last colour to be applied to prevent unwanted colour from permeating into rest of the fabric,” says the designer. For couturier Anita Dongre, indigo is one of the strongest colours in her design story. “It is natural, eco-friendly and locally produced, making this expression intrinsic to what I do and believe in. Indigo is easier and cleaner and can be partnered with other naturally dyed fabrics. I love how it works with hand-embroidered pieces and intricately woven fabrics,” says Dongre.
Real heroes
The designer gets her artisans to retain most of the old indigo dyeing techniques unchanged. “Rather than looking at new ways to explore this technique from a design perspective, we encourage practising this craft as our artisans’ forefathers did. Hand-woven fabric from Bhagalpur is sent to Bagru, a region known for its Dabbu printing. In this method, artisans carve intricate patterns on wood with their chisels, drills and hammers. After preparation of a mud paste and tracing resist pattern, these carved wooden blocks are then used to stamp natural indigo dyes onto fabric to give birth to beautiful block printed stories,” says Dongre. For Dongre, the artisans are the real heroes. “We work with artisans who have done this for generations. This is a way of life for them that doesn’t change irrespective of the change around them. Indigo does not damage fabrics and yarns. But you must be experienced enough to ensure the right hue without affecting the strength of the yarn,” she says.
Synthetic rules
Designer Kavita Bhartia, who likes to wear a lot of indigo, says this colour has always been a significant part of her collection. “I have experimented with indigo using various indigenous techniques. Though it is slightly tricky to follow the traditional method because indigo bleeds, we have utilised it in prints and tie-and-dye. We have experimented using brocade in indigo and gold. The label is also coming up with a collection next season on this theme.” Synthetic indigo is used extensively, especially for dyeing denim. “Few people use natural indigo to dye denim,” says designer Pallavi Mohan. “Denim is made in huge quantities in India, Pakistan and Italy where a lot of indigo dyes are not natural. However any chemical, used ethically and judiciously, is better for the environment.”
Source: The Hindu
Tamil Nadu Handloom Weavers’ Co-operative society organised the “Co-optex Cool Comforts” exhibition at TTD Kalyana Mandapam in Himayath Nagar on Wednesday. B Srinivasa Reddy, Additional Director of handlooms and textiles inaugurated the exhibition. “We are showcasing Kancheepuram silk, Arani silk sarees, Salem silk sarees, Coimbatore soft silk, erode bedsheets, kurties, chudidar sets and readymade shirts," said Chandra Shekar Co-optex, Regional Manager. The highlight of the expo is newly introduced organic cotton sarees The expo will end on June 2.
Source: The Hans India
The nine-day 'Pochampally IKAT Art Mela’ was inaugurated by Tollywood actress Shaalu Chourasia in Ameerpet on Thursday. Socialite Padmaja Manepalli was also part of the inauguration.Shaalu said, “It’s nice to see various apparel particularly Ikat fabrics, silk and cotton sarees, to be showcased for the handloom fashion connoisseurs.” “Handlooms are part of an age old Indian tradition, element of Indian culture and rich artistry,” said Manepalli. “We support the artisans and local community who have been passing on their skills for generations. Promoting creativity and originality, each design is a result of individual artisan’s creativity, which is influenced by the local traditions and cultures,” said Chikka Krishna Founder and Chairman, Pochampally Handloom Park.
Source: The HansIndia
Benetton India has sought approval to undertake e-commerce and retail trading of imported goods under the ‘ 100% FDI in single-brand retail’ route The Benetton Group sells apparel under the brand name of United Colors of Benetton. Photo: Mint New Delhi: Two companies, including fashion chain Benetton Group, have sought approval of the government to enter India through the “FDI in single-brand retail” route. The Benetton Group sells apparel under the brand name of United Colors of Benetton. Benetton India Pvt. Ltd has sought approval to undertake e-commerce and retail trading of imported goods, according to the department of industrial policy and promotion Karnataka-based Actoserba Active Wholesale Pvt. Ltd wants to undertake single-brand retail trading and e-commerce of Zivame branded lingerie products. Two foreign individuals—Katarzyna Dmoch and Rami Shinnawie—have also sought nod from the government to set up a 100% foreign-owned Indian retail arm of Caracole Interior Designs, Qatar. Currently, foreign direct investment (FDI) up to 49% is permitted under the automatic route but beyond that limit, government’s nod is required. Foreign investment is allowed subject to certain conditions, which require products to be of a “single brand” only and to be sold under the same brand globally. Furthermore, in respect of proposals involving FDI beyond 51%, it is mandatory to source 30% of the value of goods purchased from India, preferably MSMEs. To attract more FDI in retail sector, government is considering allowing 100% foreign investment through automatic route in single-brand retail to attract a larger number of global players in the sector.
Source: LiveMint
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$ 52.73 per barrel (bbl) on 25.05.2017. This was lower than the price of US$ 53.28 per bbl on previous publishing day of 24.05.2017. In rupee terms, the price of Indian Basket decreased to Rs. 3401.49 per bbl on 25.05.2017 as compared to Rs. 3455.43 per bbl on 24.05.2017. Rupee closed stronger at Rs. 64.51 per US$ on 25.05.2017 as compared to Rs. 64.86 per US$ on 24.05.2017. The table below gives details in this regard:
|
Particulars |
Unit |
Price on May 25, 2017 Previous trading day i.e. 24.05.2017) |
Pricing Fortnight for 16.05.2017 (April 27, 2017 to May 11, 2017) |
|
Crude Oil (Indian Basket) |
($/bbl) |
52.73 (53.28) |
49.22 |
|
(Rs/bbl) |
3401.49 (3455.43) |
3162.88 |
|
|
Exchange Rate |
(Rs/$) |
64.51 (64.86) |
64.26 |
Source: PIB
India is working on a new system to allow companies with units in tax-free zones to claim refund of the Goods and Services Tax (GST), helping ensure a smooth transition to the new regime for businesses located in industrially marginal areas. "The Department of Industrial Policy and Promotion is working on a scheme that will replace the current system, built on areabased exemptions, once we switch over to the GST," a government official, privy to the deliberations, told ET. Area-based programmes allow businesses in special-category states with a low industrial base, such as Himachal Pradesh, Uttrakhand, and the Seven Sisters of the Northeast, exemptions from the payment of central taxes such as excise duty and some other state levies. DIPP would build the new framework, keeping in view the development needs of these states. The new mechanism is crucial for automobile, pharma and consumer goods companies that have set up units in these states, taking advantage of Excise duty is being folded into the GST. The GST seeks to replace multiple central taxes, including central excise duty, service tax, national calamity and contingency duty, cesses, and state taxes, such as value added tax, octroi, entry tax, entertainment tax, into a single levy. It is proposed to be rolled out from July 1. Several exemptions at the product level have been pruned under GST and it is expected that other tax holidays will also be terminated. But, most of the exemptions would be grandfathered: For instance, excise duty exemptions in Uttarakhand will expire in 2020, but investments made until then will need to be grandfathered. New Delhi would reimburse the Central GST paid by companies in these areas, while individual states would take a call on the continuation of specific incentives, such as exemptions from value added tax. "The central scheme will reimburse only the central GST paid by these firms," the official said. This would imply that units in these areas would have to pay the tax first, and then file for refunds. According to another official, refunds would take a maximum of seven days. The new mechanism will allow these units to claim credit on the tax paid for inputs and pay the remaining tax, which would be reimbursed later. The refund mechanism will allow smooth transition under the GST regime, keeping the new tax framework free from complications. Tax experts say that the proposed tax apparatus should be clarified soon to help the industry prepare well in time. "The industry requires clarity on the area-based exemptions in the GST regime for it to take the necessary decisions for the transition. Since the entire pricing in the supply chain, including cash-flow planning, depends on these exemptions, an early decision will help these industries to comply with the new tax laws," said Bipin Sapra, partner at EY. According to tax experts, the government must engage with the industry to ensure that the existing benefits remain. "The intention of the government is to grandfather the benefits availed by industry in excise-exempt zones, although the mechanism would be by way of refund instead of upfront exemption, ensuring that the GST chain is not broken. It would be important for the government to engage with the industry to understand the quantum of incentive currently available and devise a mechanism so that it is not diluted," said Pratik Jain, leader, indirect taxes, at PwC.
Source: The Economic Times
|
Item |
Price |
Unit |
Fluctuation |
Date |
|
PSF |
1102.84 |
USD/Ton |
0% |
5/25/2017 |
|
VSF |
2147.63 |
USD/Ton |
-0.67% |
5/25/2017 |
|
ASF |
2292.74 |
USD/Ton |
0% |
5/25/2017 |
|
Polyester POY |
1110.09 |
USD/Ton |
0% |
5/25/2017 |
|
Nylon FDY |
2445.10 |
USD/Ton |
0.30% |
5/25/2017 |
|
40D Spandex |
5296.52 |
USD/Ton |
0% |
5/25/2017 |
|
Polyester DTY |
2466.87 |
USD/Ton |
0% |
5/25/2017 |
|
Nylon POY |
1327.76 |
USD/Ton |
0% |
5/25/2017 |
|
Acrylic Top 3D |
2684.54 |
USD/Ton |
0% |
5/25/2017 |
|
Polyester FDY |
5753.61 |
USD/Ton |
-0.25% |
5/25/2017 |
|
Nylon DTY |
1335.01 |
USD/Ton |
0% |
5/25/2017 |
|
Viscose Long Filament |
2299.99 |
USD/Ton |
0.32% |
5/25/2017 |
|
30S Spun Rayon Yarn |
2800.62 |
USD/Ton |
0% |
5/25/2017 |
|
32S Polyester Yarn |
1683.28 |
USD/Ton |
0% |
5/25/2017 |
|
45S T/C Yarn |
2684.54 |
USD/Ton |
0% |
5/25/2017 |
|
40S Rayon Yarn |
2307.25 |
USD/Ton |
0% |
5/25/2017 |
|
T/R Yarn 65/35 32S |
1828.39 |
USD/Ton |
0.80% |
5/25/2017 |
|
45S Polyester Yarn |
2249.21 |
USD/Ton |
0% |
5/25/2017 |
|
T/C Yarn 65/35 32S |
2960.24 |
USD/Ton |
0.49% |
5/25/2017 |
|
10S Denim Fabric |
1.35 |
USD/Meter |
0% |
5/25/2017 |
|
32S Twill Fabric |
0.85 |
USD/Meter |
0% |
5/25/2017 |
|
40S Combed Poplin |
1.17 |
USD/Meter |
0% |
5/25/2017 |
|
30S Rayon Fabric |
0.65 |
USD/Meter |
0% |
5/25/2017 |
|
45S T/C Fabric |
0.66 |
USD/Meter |
0% |
5/25/2017 |
Source: Global Textiles
Note: The above prices are Chinese Price (1 CNY = 0.14511 USD dtd. 25/05/2017) The prices given above are as quoted from Global Textiles.com. SRTEPC is not responsible for the correctness of the same.
ICE cotton futures were little changed on Thursday after a weekly government report showed lower-than-expected export cancellations. "The export cancellations were not as bad as expected ... It is just a question of whether speculators stop selling and getting out of longs or not. At the moment it looks like they will hold on to their positions and we might see a rebound coming," Peter Egli, director of risk management at British merchant Plexus Cotton. Net upland sales for the 2016-17 crop last week totaled 16,200 running bales (RB), down 87 percent from the previous week, weekly export sales data from the U.S. Department of Agriculture showed on Thursday. However, export cancellations were below market expectations with reductions of 11,500 RB from India and 4,300 RB from Bangladesh against previous week's reductions of 23,300 RB and 12,800 RB from India and Japan. "The speculators are getting and buying their shorts back. That's why the market is finding a balance here. I don't see the market selling off too hot and speculators liquidating a big amount," Egli said. "There is not much reason for the prices to go much higher and lower." The December cotton contract on ICE futures U.S. settled up 0.14 cent, or 0.19 percent, at 73.22 cents per lb. It traded within a range of 72.61 and 73.47 cents a lb. Meanwhile, the July cotton contract settled down 0.5 percent at 77.16 cents per lb. Traders said index funds rolled over positions from July to December, making use of a surge in prices. The July contract hit a high of 78.14 cents after the export sales report and finally settled lower.
Certificated cotton stocks deliverable as of May 24 totaled 418,593 480-lb bales, up from 411,726 in the previous session. The dollar index was up 0.04 percent. The Thomson Reuters CoreCommodity CRB Index, which tracks 19 commodities, was down 1.50 percent.
Source: The Times of India
Islamabad (PTI) Cash-strapped Pakistans economy for the first time crossed the USD 300-billion mark and achieved over five per cent GDP growth. Finance Minister Ishaq Dar today announced that Pakistans Gross Domestic Product (GDP) had grown 5.28 per cent in fiscal year 2016-17, against the target of 5.7 per cent. The finance minister shared the report of National Economy Survey 2016-17 ahead of federal budget which he would present before the parliament tomorrow. "The 5.28 per cent growth is less than our target but still is huge improvement to the 3.5 per cent when the government took over in 2013,? he said. "We had set a challenging target and I am satisfied with the growth," Dar said. "There has been a visible growth in the national economy. This is the first time in 10 years that we have crossed the five per cent GDP growth mark," Dar said. "For the first time, Pakistans economy crossed the USD 300-billion mark," he added. The industrial sector grew 5.02 per cent, agriculture 3.46 per cent and services 5.98 per cent, the finance minister said. He said the growth rate for the next fiscal year has been set over 6 per cent. "Pakistan?s growth is far better than the global growth," he said. The government also met its budget deficit target of 3.8 per cent, with the actual deficit registering at 3.7 per cent. Proudly sharing the massive recovery of the economy, Dar said by 2030 Pakistan would be part of G20 group of nations. "By 2050, Pakistan would surpass Canada, Italy and South Korea," he said. He also said that by 2019 Pakistan would not need to go the IMF for loans. He said there was 22 per cent growth in per capita income which has increased from USD 1,333 last year to USD 1629. Dar said the FDI inflow would also double to USD 2.58 by the end of current fiscal year on June 30. Foreign reserves have increased to USD 21 billion from paltry USD 6 billion in 2013. "When we took over, there was danger of default. And now we are being branded as one of the leading economy," he said. The remittances are expected to reach USD 19.5 billion for this year. Talking about growth of utilities, he said there was 3.4 per cent increase recorded in electricity, gas supply in the existing fiscal year. He said so far the country has lost USD 123.13 billion due to war on terror. He also said that 25,000 security personnel were killed and as many were injured since the start of crackdown against terrorists post 9/11. Talking about debt, he said public debt was at 53.1 per cent of GDP in 2008, which went up to 60.2 per cent of GDP and it was now at 59.3. The import of heavy machinery surged 70 per cent, textile sector showed a 23 per cent increase while the construction increased by 67 per cent and agriculture 37 per cent. "As far as (lower-than-expected) exports are concerned, as oil prices declined so did the prices of commodities (which Pakistan exports)," Dar said. "Our future is in diversified exports and we are focusing on IT exports for this purpose. We have announced an IT park with Korea in Islamabad ? we will replicate the model in Karachi and Lahore," he said. PTI SH PMS AKJ PMS
Source: India Today
ISLAMABAD: The Ministry of Textile Industry has opposed the restoration of duty on cotton imports in an attempt to safeguard the interest of textile manufacturers, but the move will hurt farmers who have already been suffering for the past few years. Many farmers have switched focus to other crops, particularly sugarcane, as incentives for cotton import have made their produce less appealing. In the last fiscal year, the agriculture sector performed below par because of lack of interest on the part of government, which is considered pro-industry. However, now that elections are just a year away, the PML-N government is trying to win support of the farmers and has decided to restore the import duty and general sales tax on cotton import despite fierce resistance from the textile secretary. At present, the Ministry of Textile Industry runs the Cotton Commissioner office and the Pakistan Central Cotton Committee, which could ignore the challenges faced by the farming community. The textile ministry, which mainly looks after the interest of industrial sector, has a natural clash of interest with the agriculturists. It has forged no linkages with the agricultural community and all issues related to research on seeds and other inputs are being dealt with by the Ministry of National Food Security and Research. In a meeting of the Economic Coordination Committee (ECC) held on May 16, the Finance Division recalled that the ECC had decided in April to constitute a committee, headed by Board of Investment Chairman Miftah Ismail, which would review the proposal of re-imposing duty and sales tax on cotton import and submit its report. The committee would comprise commerce secretary, finance secretary, textile industry secretary and national food security and research secretary. The Finance Division said the committee held its meeting on May 5 where the textile industry secretary insisted that the incentive package given by the government had restored confidence of the textile industry. It was reflected in the data for textile exports as well. In March 2017, textile exports grew 6.16% to $1.06 billion compared to the corresponding period of previous year. Earlier, textile exports were unimpressive. They stood at $13 billion in financial year 2012-13, but dropped 2% and 7.4% in financial year 2014-15 and 2015-16 respectively. Making the case for duty-free cotton import, the textile secretary pointed out that Pakistan’s cotton demand was estimated at 14 million bales whereas it produced only 10.6 million bales last season, reflecting a shortage of 3.4 million bales. He said millers had so far imported 1.7 million bales, but still 2 million bales more were needed. Hence, an abrupt reversal of incentives would send negative signals to the market. Ban on cotton sowing lifted in Punjab. However, after comprehensive discussion, the committee recommended that the government may restore the duty and sales tax on cotton import instantly, but it should be applicable from August 15.The Finance Division sought ECC’s approval for the recommendation of the committee. The ECC agreed to restore the duty and sales tax on cotton import from July 15, 2017.
Source: The Express Tribune
Fibre producer Lenzing is launching a new eco fibre called EcoVero which it says is helping it achieve the next milestone in its sustainability journey by offering eco-friendly viscose with the lowest environmental impact in the industry*, setting a new industry wide benchmark. “The environmental awareness of consumers has been growing steadily over the last decade, more recently in the fashion and textile industry. Textile consumption is expected to double by 2025, and the industry is anxiously looking for more sustainable solutions with minimal eco-footprint. Achieving low environmental impact requires developing eco-friendly raw materials and a sustainable manufacturing process,” the Austrian company said in a press statement today. Lenzing says it is addressing this unmet market need for more sustainable viscose by launching EcoVero fibres that set a new industry standard in sustainable viscose based on three pillars: the use of sustainable wood sources (FSC or PEFC certified), an ecological production process (significantly lower emissions and water impact than conventional viscose), and full supply chain transparency by identifying EcoVero fibres in the final product. Sustainable wood sources EcoVero fibres are made from wood, a natural and renewable raw material which, according to Lenzing comes from sustainable forestry plantations that are certified by industry-leading associations such as FSC. Lenzing has a comprehensive wood sourcing policy that it says “goes above and beyond the call of duty to ensure that the most sustainable wood sources are used for viscose production.” Lenzing says it enforces strict environmental standards during viscose production and has invested millions over the years to achieve an eco-friendly production process. For example, Lenzing's viscose production sites where EcoVero fibres are produced comply with the stringent guidelines of the EU Eco Label, a world-leading environmental manufacturing standard, the company adds. The EU Eco Label is a sign of environmental excellence and is awarded to products and services meeting high environmental standards throughout their lifecycles: from raw material extraction to production, distribution and disposal. In addition, Lenzing says, its flagship viscose production site in Austria uses a significant amount of renewable bio-energy in the manufacturing process. Full supply chain transparency Lenzing is keen to emphasize EcoVero’s transparent supply chain. “With EcoVero fibres, Lenzing launches one of the most environmentally friendly viscose fibres. A special manufacturing system enables us to identify EcoVero fibres in the final product, long after the textile processing and conversion steps. Thus, retailers and brands are fully assured that they are indeed incorporating the eco-friendly viscose, and not a generic market viscose,” it says. "With this special identification technology for EcoVero fibres, we are supporting the trend in the fashion industry towards greater transparency. It is becoming increasingly important to know where the products come from and which path they have covered," Robert van de Kerkhof, Chief Commercial Officer, explains. EcoVero fibres offer an extensive marketing service package and are part of Lenzing's Branding & Licensing Program. Fabrics containing EcoVero fibres can be certified at the company’s in-house certification centres in Europe and Asia. The new fibres will be launched at the global textile trade shows from this autumn onwards. “Right now, the sampling phase has started and special customers are developing products using EcoVero fibres,” Lenzing concludes.
Source: InnovationinTextiles
Demand for dhaka garment and textile products is continuously growing in the international market as the result the confidence of Dhankuta-based entrepreneurs involved in the production of garments made from dhaka has been going up these days. Dhankuta is a district located in the eastern Nepal, is home to around three dozen small and cottage enterprises engaged in production of Dhaka textile and garments. Rajganga Dhaka Factory, located at Maunabudhuk, is one such manufacturer of Dhaka garments for the last two decades has seen an uptick in demand abroad. Its director Rajkumari Limbu said that his factory exported dhaka garments worth Rs600,000 in the last six months. UK is the biggest export market for Rajganga, But the factory also exports dhaka goods to South Korea, Germany, the US and Hong Kong. Limbu said that the demand for garments, such as daura suruwal, the national dress of Nepal, saris and kurtas, is relatively high abroad. Lately, they have also been exporting caps and shawls made of dhaka. Demand for these goods increases during festivals such as Dashain, Tihar, Ubhauli and Udhauli. As consumption of dhaka products is growing abroad, Rajganga has started hiring more people, with the size of his workforce expanding to 265. To cater to the growing demand for dhaka products abroad, Rajganga has also started outsourcing production works. And to maintain the quality of goods produced by outsiders, it has also started offering training. Most of those who receive the training are women. Like Rajganga, Khada Dhaka Textile Factory and Gurans Dhaka Textile Factory have also seen a rise in demand for dhaka products abroad. Beni Kumari Khada, the promoter of Khada Dhaka Textile Factory said the items most in demand is surke thaili, [a traditional purse that is carried by women]. Most of the surke thaili that they produce are exported to the US. Nepalis settled abroad seeing the demand for Dhaka products growing in the international market have started opening showrooms abroad.
Source: YNFX
