The Synthetic & Rayon Textiles Export Promotion Council

MARKET WATCH 03 JULY, 2017

NATIONAL

INTERNATIONAL

Textiles India 2017: Industry leaders raise concerns over impact of GST on exports

Rakesh Mohan Joshi, faculty at Indian Institute of Foreign Trade, said that GST implementation remained a concern for the industry at large. A day after the goods and services tax (GST) roll-out, concerns regarding its implementation were shared by various industry leaders who took part in conferences and technical sessions at Mahatma Mandir in Gandhinagar, Gujarat, where the 3-day global mega trade show ‘Textiles India 2017’ concluded on Sunday. At a conference on ‘India as a Global Sourcing Hub & Investment Destination’, convened to discuss challenges in the textile sector, Gautam Nair, chairman of Matrix Clothing, said: “The GST implementation has brought in serious uncertainty, particularly to exporters. Will we be refunded all the embedded taxes, what about those taxes not covered under GST?” He added: “Whereas a bulk of the world market is in synthetics, India competes in cotton and related segments, while China straddles the whole market place. Labour laws are a huge constraint deterring large-scale corporate investment and the sector gets no duty advantages to EU and Canada unlike our competitors like Sri Lanka, Pakistan, Vietnam and Bangladesh.” Rakesh Mohan Joshi, faculty at Indian Institute of Foreign Trade, said that GST implementation remained a concern for the industry at large. He said a study titled ‘Challenges & Strategies to Promote India as a Sourcing Destination for Textiles’ found that India’s textile exports have dropped since 2014 and were pegged at $35.4 billion with 4.89 per cent of global market share. He said that while India has bettered its textile exports, the gap between India and China has widened. Sunil Arora, managing director of Impulse International, also cautioned over industry’s concerns on GST implementation while giving the buyers’ perspective at the session.

Source: The Indian Express

Back to top

‘GST a bane to textile traders’

A majority of garment traders would be badly hit owing to the newly-introduced Goods and Services Tax (GST) as 80% of textile traders come under the unorganised sector and earn modest living from the trade. Under the GST, five % tax is levied on readymade garments priced under ₹1,000. The tax for garments priced over ₹1,000 is 12%. With the introduction of GST, there would be 10% increase in purchase price when the product reaches the consumer, which would reduce sales, said merchants of Telangana State Federation of Textiles’ Association (TSFTA). While there were 20,000 to 30,000 textile traders in Hyderabad alone, over 45% of them would have to stop their business owing to over-taxation. “We were promised that we will be exempted from the purview of GST in the initial years of discussion over it,” they said, while raising their grievances with Union Labour Minister Bandaru Dattatreya, who was in the city on Sunday. Speaking to media, Prakash Ammanabolu, president of TSFTA, said the GST should not be levied on the textile sector as the business was heavily dependent on debt. “The textile trade is a credit-oriented business. Especially in the wholesale trade, the payment is received only six months after the sale of goods. Under the new GST, the trader is expected to pay tax immediately after the sale. This will result in tremendous pressure on the trader in the form of liquidity,” Mr. Ammanabolu said. Besides, only 11% of the shops in the country possess computers making it difficult to comply with the new GST norms, including tax-filing. “How does the government expect uneducated small-time traders to know tax-filing? They hardly make a living out of textile trade,” said Subhash Agarwal of Hyderabad Cut Piece Cloth Merchants’ Association. The traders pointed out that the textile trade was carried out in all parts of the country, including remote villages. “The rural traders earn a small amount and their families depend on the business. Many chose garment or textile business as it’s a free trade. It does not require any particular skill,” Mr. Ammanabolu said, requesting the Minister to exert pressure on the Centre to roll back the GST on small traders and retailers. “If the government wants to exact GST, let it tax the manufacturers. At present, some of the manufacturers are taxed only five %. It is the wholesale and retail sellers who get taxed the most,” said Purushotam Gupta, a cut-piece wholesaler. Mr. Dattatreya responded positively to their request and said he would represent their cause to Finance Minister Arun Jaitley.

Source: The Hindu

Back to top

GST implementation brings textile industry to a standstill

Mumbai: Apparel makers and wholesalers say the implementation of the goods and services tax has brought business to a standstill as their unregistered suppliers and customers try to stay out of the ambit of the new tax regime. “There are about 25% of dealers who don’t pay tax at all,” said Suresh Chhatwani, owner of Mumbai-based Surkan International which makes, supplies and exports readymade women’s garments. About “10-20% of my business comes from unregistered dealers, who only want to deal in cash. What happens to my business if they refuse to comply with GST?” According to Chhatwani, while high end, branded apparel makers will benefit from the 28% tax rate, prices of small, local apparel brands will rise as implementation of GST will erode their thin margins. Wholesalers in the apparel business usually earn around 10-15% margin, he said.  “These people (unregistered dealers) do not even have an agreement on the houses they live in, no ration card, no sales tax numbers, what will they do with GST?” said another distributor and supplier of women’s readymade garments from Mumbai who did not want to be named. “Officially, these dealers are making a lot more than Rs20 lakh a year (the turnover limit under which a business need not register for GST),” the distributor said, adding that he expects supplies from such dealers to be disrupted for another month to a month-and-a-half. It is not just suppliers, some small garments shops, too, are unwilling to make non-cash payments for stocks. “If customers are not wanting to pay in cash or register, then there is a problem,” said Arnav Goyal, owner of Kanha Fashion that makes and supplies women’s wear to retail outlets. “Customers are unwilling to buy (stock) in the market right now.” Businesses in the industry have been splitting their holdings so that each is under the Rs20 lakh turnover limit, said another distributor who did not want to be named. “There are a number of factors that are at play,” said Anita Rastogi, indirect tax partner at tax advisory firm PwC. “One is ignorance on how the GST works; the second is that these businesses are very cash dependent; it is hard to convince them to move on from cash. Also, there are unfounded rumours in the market that there are 37 returns to file,” she said, adding that rather than three returns a month, the GSTR-1, 2 and 3 were parts of the same monthly tax return to be filled at three different times of the month The unorganized sector makes up about 85% of the total Indian retail market, according to a January 2016 report by India Brand Equity Foundation, and is expected to reach 87% by 2019. Of women’s apparel, the fastest growing apparel segment in India, only 11% is made up by the branded market, as per a June 2017 report by Avendus Capital.

Source:  Livemint

Back to top

GST one of the shining examples of cooperative federalism: Smriti Irani

Textiles India 2017: “Among the government partnerships, we have inked a MoU between India and Australia on handloom, handicraft and fashion sector and just now a request had come from Australian firms to work on improving wool quality in India with Indian companies," said Union textile minister Smriti Irani. Close to 65 Memorandums of Understanding (MoU) were inked on day two of the 3-day global textile and handicrafts event ‘Textiles India 2017’, hosted by the textile ministry on Saturday. The event showcased the entire value chain of Indian textile industry, handloom and handicrafts sector. Of the partnerships that were forged, 3 MoU’s were between governments, while the rest (62 MoU’s ) were between business, informed Union textile minister Smriti Irani adressing reporters on Saturday at Helipad grounds. “Among the government partnerships, we have inked a MoU between India and Australia on handloom, handicraft and fashion sector and just now a request had come from Australian firms to work on improving wool quality in India with Indian companies. India and Chinese government have signed a MoU so that Chinese researchers and National Silk Board can work in tandem in the field of silk research.” “Silk waste can be harnessed in pharmaceuticals and in beauty products and this MoU will explore opportunities in diversification and on sericulture. BGMEA University of Fashion and Technology or BUFT from Bangladesh and India’s National Institute of Fashion Technology(NIFT) will partner for an exchange of fashion research. Close to 62 MoUs were inked between businesses and this is proof that the Indian textile industry is looking to forge international partnerships to grow their local business. We also want to closely link the textile industry with tourism which is why union tourism and culture minister Mahesh Sharma will be present at the event.” While Assam, Maharashtra and Andhra Pradesh were partner states for the mega trade show, Telengana, Karnataka, Jharkhand were focus states and there were special state sessions for investment opportunities in Andhra Pradesh, Maharashtra, Assam and Gujarat at the mega trade show. Speaking on GST rollout in the country on Saturday, Irani said, “Yesterday industry came together on one this stage here in one voice supporting the Prime Minister on this national tax reform called GST. Everybody knows that this a step taken in convergence, conversation and a cohesive decision taken with all state governments. Everybody knows that this is a journey which was unanimously traveled by governments across the country- one of the shining examples of cooperative federalism. Everybody knows that those who have trade under 20 lakhs do not have to file returns, those who have trade up to 75 lakhs can avail of the composite scheme, if you are trader you come under 1%, a manufacturer would come under 2 %. I think that in itself covers and in some ways gives a lot of security and support to small traders. State governments and finance ministry has given out facts that need to be put in the public domain. One needs to recognise that this is not an individual decision, but one taken by every state government, every political party in this country.” Irani averred that a bevy of cabinet ministers like Radha Mohan Singh, Venkaiah Naidu, Nirmala Sitaraman (MoS) for commerce and industry, Rajiv Pratap Rudy, Nitin Gadkari, Mahesh Sharma, textiles secretary Anant Kumar Singh , NITI Aayog Vice-Chairman Arvind Panagariya and Arun Jaitely are slated to be present at the valedictory function at the close of Textiles India 2017. The textile minister also declared the mega trade show held at Helipad Grounds open to public on from10 am and said that it will not just be limited to industry but common people as well.

Source: The Indian Express

Back to top

GST impact on textiles: Erode textile merchants to seek exemption in meet with FM Arun Jaitley

 “If the Finance Minister accepts our plea and exempts us from GST, we will continue our trade, failing which we will resort to an indefinite strike from July 5 in Erode district.” said R Ravichandran, President of the Association. Representatives of Erode Handloom Cloth Merchants Association will meet Union Minister Arun Jaitley soon to reiterate their demand to withdraw five per cent GST on textile goods, failing which they threatened an indefinite stir. Speaking to reporters after the Association’s general council meeting here today, its president R Ravichandran said the Finance Ministry’s decision to levy five per cent GST for textile goods would certainly affect their trade and consumers would also be affected. They had already sent a representation to the Ministry of Finance seeking to exempt them from GST, but nothing was done, he claimed. Further, he said they had made attempts to meet the Minister, who had granted time on Monday or Tuesday. “If the Finance Minister accepts our plea and exempts us from GST, we will continue our trade, failing which we will resort to an indefinite strike from July 5 in Erode district, as a result of which textile shops, powerloom weaving sheds and textile dyeing units, would shut shop,” he said.

Source: Financial Express

Back to top

Partial relief for man made yarn processing

In a partial relief for man-made textile units, the rate of goods and services tax (GST) on texurising, twisting, weaving and yarn-dyeing has been reduced from 18 per cent to 5 per cent. Although the industry has welcomed the rate reduction, a senior industry representative said that, despite relief, several looms and fabric makers will still have unutilised credit on their books, raising the cost of fabric by 8-10 per cent. An industry official said that Partially Oriented Yarn (POY), Polyester Filament Yarn (PFY) and Staple Fibre manufactured by virgin chips/granules are covered under the umbrella of "man-made fibres" and liable to be taxed at 18% under GST. But other processes of textile yarn units, such as twisting, warping, doubling, dyeing, printing, bleaching, mercerising, texturing, multi-folding, cabeling, air mingiling, air-texturising, sizing, etc, are not covered under the umbrella of “man-made fibres”. The job work rate of such processes at textile yarn units falls under the 5 per cent GST slap. This is a relief for certain processes and works beyond chips will get this benefit. Huge credit will remain unused as the duty on fabric is 5 per cent; the cost of fabric will increase by 8-10 per cent, a senior synthetic yarn industry official said. Merchant exporters who make garments and buy fabric or do all the processes outside will also suffer as the duty refund will have to bear the burden of unutilised credit, he added. They will be at a disadvantageous position as compared to composite mills that do all processes in-house.

Source:  Business Standard

Back to top

Sustainability is the future, textile is at the heart of it: Amit Aggarwal

"Sustainability is the future and textile is at the heart of it," he told IANS on the sidelines of Textiles India 2017. Textiles India 2017, held from June 30-July 2, is positioned as the first ever global B2B textiles event in India. Designer Amit Aggarwal, whose creations are worn by the likes of Kajol, Sonakshi Sinha and Sonali Bendre, says sustainability is the way to take fashion to a new level and textile is at the heart of it. “Sustainability is the future and textile is at the heart of it,” he told IANS on the sidelines of Textiles India 2017. “It is the Textiles India show that encourages the country’s leading designers to reach out to the weavers, craftsmen and artisans and encourage their skills to present garments that are relevant to modern times,” he added. Textiles India 2017, held from June 30-July 2, is positioned as the first ever global B2B textiles event in India. It brings to the fore the inspiring vision of Prime Minister Narendra Modi – “From Farm to Fibre, Fibre to Factory, Factory to Fashion, Fashion to Foreign Exports”. Textiles India aims to showcase the strength of the value chain in India. Talking about how important such shows are for the betterment of the fashion and crafts industry, Aggarwal said: “Indian textiles come from our heritage. The huge subcontinent has a very diverse variety of weaves reflecting our culture, craft and skills.” “Some of these dying heirloom techniques, which are so unique to the world, need support from the fashion industry to sustain. The Textiles India show is a very important event to revive and promote traditional Indian textiles by bringing them into mainstream fashion.” As part of the exhibition, two shows are curated and produced by IMG Reliance Industries Ltd. The first one was Evolution of Textiles of India. The vision of the show was to present a compelling story of the textiles of India, focussing on innovations in craft and design. Said to be the largest curated presentation of Indian textiles on the runway, it unfolded the story of growth and development of the Indian textiles sector and its transformation to become a global power. Another show is the Indian Handloom Show and the vision of the show is to present a story of the India Handloom brand initiative launched by Modi on National Handloom Day in 2015. Talking about his designs, the designer, who showcased his collection on Friday, said: “This year, I was particularly proud to showcase our couture line as we have extended our sustainable design philosophies into it.” “This collection derived inspiration from several unusable, unclaimed pieces of heritage that seem to have lost their original purpose. The focus will be on pre-owned Patola saris that we have sourced and restored. The vintage textile is fortified with man-made yarns and moulded into relevant runway designs; thus extending its lifespan,” he said. Asked how he plans to promote textiles with his collection, he said: “I draw inspiration from our rich heritage crafts and blend it into our eclectic present. I believe we exist in a world where product life cycle can be extended through responsible design ethics.“This frayed textile that is unusable as a sari becomes more meaningful by changing its application. Hence, it may evoke new feelings and express new values. I have shown this collection in Paris and it has been loved by people all over the world so, I have already begun the process.” Are the consumers ready for sustainable fashion? He said: “Designers have always understood the importance of textiles. But I feel, for the consumers, it’s more about the garment as a whole – the textile, design, colour, fit and feel. “Having said that, consumers today are more aware about textiles and sustainability. The market is shifting towards classic styles as opposed to seasonal trends from fast-fashion.”

Source: The Indian Express

Back to top

62 MoUs aim to fashion innovation

GANDHINAGAR: On the second day of Textile India 2017 in Gandhinagar, the Union textiles ministry inked 62 MoUs. These include MoUs with Australia, China, and Bangladesh for silk research, fashion technologies, and knowledge transfer. The Gujarat government signed three MoUs. The signing ceremony was presided over by Union textiles minister Smriti Irani and Union minister of state for textiles Ajay Tamta. However, the value of the MoUs was not disclosed; Irani explained that the process of signing MoUs would continue till late in the night. MoUs were signed between various domestic and international organizations, both private and government-owned. Three government-to-government (G2G) MoUs were signed as well. These were signed between the central silk board and department of agriculture of the Gyangxi Zhuang Autonomous Region, China, for development of improved silk worm breeds and mulberry varieties with the exchange of sericulture genetic materials. The second MoU was signed between the ministry of textiles and the department of foreign affairs and trade, Australia, for textiles and fashion projects. The third was signed between the National Institute of Fashion Technology and the Bangladesh University of Fashion and Technology to encourage academic cooperation between the two institutes and strengthen academic interventions. Addressing the media, Irani said that this was the era of the development of the textile industry. She affirmed the commitment of the Government of India to promote the sector. She also said that many Union ministers woulkd attend Textiles India tomorrow, on the 3rd and final day, on Sunday.

Source: The Times of India

Back to top

Who's who from fashion & politics lit up events at Textile India Summit 2017

Though handloom and textile were the focus of the Textile India Summit 2017, the stars of the grand fashion show on Saturday were top-notch designers of the country. Sixty models were flown down for the show, where 30 designers participated along with 14 hair and make-up artists. The fashion presentation called 'Symphony Of Weaves' was based on the seven musical notes, and was divided into daywear and bridal looks. Curated by Gautam Kalra of IMG Reliance, and each designer presented four ensembles on the runway that displayed a larger-than-life spool of yarn at the end of the stage. Designer who participated included Sabyasachi, Manish Malhotra, Tarun Tahiliani, Ritu Kumar, Rakesh Pratap, Sanjay Garg, Anavila and Gaurav Gupta - Delhi and Mumbai's fashion glitterati. While Goabased designer Wendell Rodricks opened the show with an inspiring presentation of minimal designs, Rohit Bal closed it with crushed mul and velvet wedding opulence, with inspiration from Kashmir. As for the workmanship that was displayed, the range included manipuri weaves, handloom wool by Rajesh Pratap Singh, Rahul Mishra and Gaurav Jai Gupta, craft like zardosi, upcycled and recycled fabrics by Abraham & Thakore and Amit Agarwal, banarasi weaves, patola by Rina Dhaka, among others. The colour-palette of the opening act was largely muted with hues like pale cream, indigo and earthy brown, while the wedding ensembles brightened up with the likes of the striking dhoti pants and high collared jackets in a fiery red by Anamika Khanna. The event was held as a collaboration of several Export Promotion Councils under the Ministry of Textiles with Confederation of Indian Industry (CII) as the industry partner. While Delhi-based designer Amit Agarwal said showcased how a vintage, beautiful sari like the Patola can be revived into a contemporary language, Hyderabad-based Gaurang Shah's presentation was dedicated to weavers of Andhra Pradesh and their jamdani weaving inventiveness to create a whole new look to Khadi.

Source:  India Today

Back to top

Modi ropes in ministers to attract investment, boost textile industry

Prime Minister Narendra Modi on Sunday roped in seven union ministers to hard sell India on the final day of “Textiles India-2017” event here to attract foreign investment in the textile industry and to boost domestic players while urging them to focus on creating jobs. Union Ministers M. Venkaiah Naidu, Nitin Gadkari, Ananth Kumar, Nirmala Sitharaman, Radhamohan Singh, Mahesh Sharma and Rajiv Pratap Rudy took part in different sessions here at Mahatma Mandir and urged the players to help and support Prime Minister Narendra Modi’s Avision of “Make In India”. They explained that the government was working towards the modernization of the various sectors of the textiles industry and emphasised that it was also working to develop skills, so as to create more employment opportunities. “India is the only bright spot in the world economy and it has emerged as a most favourable destination. Great opportunities are awaiting in this sector for Indians and the foreign investors,” Naidu told the concluding session of the three-day event that was inaugurated by Modi on June 30. “Textiles sector has ... contributed immensely towards socio-economic development. (It) has linkages to both agriculture and industry. It contributes 10 per cent to India’s manufacturing production,” Naidu said. Union Road Minister Gadkari said a new way of using geo-textile fabrics in road construction was very important and the government and engineering institutions were always ready to encourage and sponsor the amendment in this area. “Geo-textile fabric is a new area, which can help reduce the cost of road construction,” Gadkari said, addressing a session on “Exploring growth potential of technical textiles for building India”. Agriculture Minister Radha Mohan Singh said the overall growth of natural fibre sector was important for the economy. “Natural fibres are the backbone of the Indian textile industry. It constitutes more than 60 per cent of the total fibre industry”. “After the agricultural industry, the Indian textile industry gives direct employment to millions... In India, 30 million farmers are involved in the production of natural fibres,” he said. Focussing on an urgent need to increase the productivity of cotton with the introduction of high yielding plants, best agronomic practice and innovative technologies, Singh said cotton alone contributed for 50 per cent of apparel use in the 1990s. However, at present, its share has declined to less than 30 per cent in world apparel market. Minister of State for Commerce and Industry Sitharaman talked about challenges the textiles industry was facing and the possible interventions that could be made to promote growth in terms of scale, profitability and adequate compensation to indigenous artisans and traders. “The focus should be on promoting niche areas that cover indigenous artisans, weavers and craftsmen as they provide a unique identity to the country’s textile output. The industry’s efforts to match up to the demand for man-made fibre, the focus has shifted away from these niche areas and that these need to be promoted,” she said. Ananth Kumar said it would be necessary for India’s textile industry to diversify. “India is one of the world’s largest producers of cotton; however overall production at the global level is either declining or stagnant. Man-made fibres is the future of the textile industry and a heavy dependence on cotton will only increase the burden on farmers and nature. Producing eco-friendly fibres can help expand the textile market of India,” Kumar said. Amitabh Kant, CEO NITI Aayog, said the textile sector was crucial to the country’s growth rate. “The textile sector is the second largest industry in the country and its growth would contribute greatly to the GDP,” he said, adding that the government’s objective was to promote growth while creating jobs. He emphasized on the need to promote healthy competition between states, build up size and scale, promote investment in the sector and replace the existing incentive-driven model with competency driven mode to provide further momentum to the growth of the textile sector.

Source: Nagaland Post

Back to top

Indigenous textiles come alive at Symphony of Weaves

Positioned as the first ever global B2B textiles event in India, ‘Textiles India 2017’ brought to the fore the inspiring vision "From Farm to Fibre, Fibre to Factory, Factory to Fashion, Fashion to Foreign Exports". In this regard, "Symphony of Weaves", a fashion show curated and produced by IMG Reliance Industries Ltd at Mahatma Mandir in Gandhinagar over the weekend, was a unique fashion presentation celebrating the story of Indian textiles in the form of exquisite innovations in craft and design. The show was the largest curated presentation of Indian textiles on the runway that unfolded the story of growth and development of the Indian textiles sector and its transformation to become a global power. Inspired by the seven key notes of music that form the Sargam, a fundamental base for any tradition of music, the show celebrated the entire spectrum through seven key segments covering cottons, silks, wools, embroidery, hand-dyed and hand printed, modern/industrial and futuristic sustainable textiles of India. Leading Indian designers joined hands with master-craftsmen to showcase their work in heritage handlooms, handicrafts as well as modern and futuristic textiles. The textile panaroma spans across regions and states of North-East India, Gujarat, Maharashtra, Jharkhand, Karnataka, Andhra Pradesh, Telangana, Assam and many more. The story of the evolution of cottons in India was showcased by 31 designers such as Anavila Misra, master craftsmen Chaman Siju from Kutch and Richana Khumanthem from Manipur as well as Wendell Rodricks for Goa Kunbi Cotton Handlooms. The rich legacy of Indian silk included Banarasi Silks by Sanjay Garg, Meghalaya Ryndia Silk by Daniel Syiem and Tussar handlooms from Jharkhand by Shruti Sancheti. Rahul Misra and Rajesh Pratap Singh among others showcased the story of evolution of Wool. The embroidery category was presented by eminent designers such as Anamika Khanna, Anita Dongre, Manish Malhotra, Ritu Kumar, Rohit Bal, Sabyasachi, TarunTahiliani among others. Young gen next label Poochki collaborated with Master craftsman BerulalChippa from Rajasthan to showcase Bagru handicraft and Vineet Rahul collaborated with Mohammed Yusuf Khatri from Bagh, Madhya Pradesh to showcase Bagh handicrafts in high end fashion. Gaurav Gupta and Pankaj & Nidhi presented modern textiles and in the final segment Abraham &Thakore, Amit Aggarwal, Hemang Agrawal and Manish Arora presented modern and futuristic textiles that included man-made fibres, metal yarns and sustainable recycled fabrics. Talking about how such shows are going to bridge the gap between designers, craftspeople and government, Dongre told: "It's for the first time that such a large initiative is done by the textile industry that everyone has come together to showcase what they got or are known for. Our textile industry is very versatile and no other country has this versatile textile industry like ours, so it's good to see so many foreign buyers coming under one roof." The lavish set had a circular ramp and a huge spindle as the centre piece. The backdrop installation for the show was inspired by the handloom jacquard attachments for punching pattern cards that is considered as an initial version of the modern computer. The Symphony of Weaves fashion show was attended by Union Minister of Textiles Smriti Irani, Ajay Tamta, Minister of State for Textiles, and Industry Commissioner of Gujarat MamtaVerma.

Source: The Hans India

Back to top

Now there’s connect between India’s fashion, textile industries: Tarun Tahiliani

Gandhinagar, Ace designer Tarun Tahiliani, who has been in the industry for over two decades, says it’s a significant move that India’s textile and fashion industries are coming together for the overall development of the country’s textile market. “I think it’s very nice that finally a connect is being shown between the Indian textile industry and the Indian fashion industry,” Tahiliani told IANS on the sidelines of Textile India 2017. “Till 45 years back, the Indian fashion industry was really a textile industry and the textile ministry has always had trouble with the fact that there is a separate fashion world emerging which needs to now be blended in. After all, abroad what is the textile industry without the fashion industry?” “So, I think for me, this is a significant coming together, or a collaboration, or an acknowledgement that the two industries are not mutually exclusive and must, in fact, work together for the betterment of this overall textile industry and the undisputed role that the craftsman has to play in upmarket fashion for this country,” Tahiliani said. “It’s much more complex… It cannot all be duplicated by machines and, therefore, even keeping our sociological needs, must be viewed at differently,” he added. Textiles India is an annual event with the objective to connect and collaborate with global manufacturers, investors and buyers. It is positioned as the first ever global B2B textiles event in India. As part of the exhibition, there were two fashion shows curated and produced by IMG Reliance Industries Ltd – Evolution of Textiles of India and The Indian Handloom Show. Some of the known fashion designers showcased their collections at the platform. Tahiliani was also a part of a multi-designer show that took place on Friday night at Textile India 2017. He took the opportunity to showcase his love for textiles and embroidery. “We showcased four of our wonderfully handcrafted and embroidered in gota and sequins couture pieces — which are part of the bridal collection — to demonstrate how traditional Indian embroidery can be paired with an international fit and lightness that the world has come to expect to lead in real life,” he said. Asked how he thinks this support from the government will boost the fashion and crafts industry, he gave references from his own life journey to illustrate the benefits. “Before I did my first collection, we flew to Benaras to educate ourselves, and I also always say that my education of India has happened largely at the hands of a wonderful book given to me by Martand Singh called ‘Vishwakarma’, which charted and followed many wonderful weavers and craftsmen across the country. I have diligently gone to many of those centres.” “So, I have always worked for the textile heritage. In the beginning, we were discouraged because a lot of the fabrics such as some of the Chanderis and Maheshwaris were not strong enough to be cut. This meant we had a lot of rejection because the clothes would get frayed. But by and by, we have become more adept in learning of how to use them and the weavers have also learnt how to upgrade their construction,” he said. “I can’t comment on how much the government has done. I feel there has been tremendous breakthrough, but the fact is that there are a lot of weavers still committing suicide, so maybe the government needs to do much more and to prevent the dumping of Chinese goods copying Indian brocades.” He also feels weaver service centres need to be upgraded so that new techniques such as lycra can be woven to suit the readymade industry. “After all, this country is not going to just sell saris for the rest of the millennium,” he added. Tahiliani, who works with lot of centres in Bhuj and Kutch, also feels that people have now begun to appreciate India’s textile heritage much more than ever. “They have had their fill of readymade and western clothing and so as everything goes in cycles… They are ready to come home to roost.”

Source:  India News

Back to top

Paddy, cotton crops lost due to flooding after rain

A farmer drains out water from his paddy field in Satrod Kalan village of Hisar on Sunday. Tribune photo Hisar, July 2:Rains have left thousands of acres of agricultural land inundated, causing extensive damage to cotton, paddy and vegetables in several villages of Hisar, Bhiwani and adjoining districts. However, crop insurance agencies have refused to assess the loss, stating the crops were not yet insured under the Pradhan Mantri Fasal Bima Yojana (PMFBY). Sources say crops over 5,000 acres in Satrod Kalan, Satrod Khurd, Ladwa Dabra, Mahrana, Kharkhari villages in Hisar, Chang and adjoining villages of Bhiwani district and Madina, Kharkara, Ajayab, Bharan, Singhwa villages in the Hansi-Meham belt between Rohtak and Hisar districts have been inundated. However, farmers alleged that the crop insurance officials had refused to entertain their complaints about flooding in the areas and crop loss, stating they had not yet received premium under the PMFBY and the crops were not qualified for the insurance benefit. Krishan Singh, a farmer of Satrod Kalan village, who is a zila parisad member, said crop, mostly paddy, cotton and moong, on 2,500 acres had submerged. “We have been approaching the district officials to provide pump sets for draining out the water. While there are no chances of survival of the standing crop, we hope some late varieties of paddy are sowed if the water is drained out at the earliest,” he said. Telu Ram, a farmer of Satrod Khurd, said they took 10 acres on lease for Rs 30,000 per acres and planted paddy over 20 acres (10 acres he owned), but the entire crop was destroyed in the standing water. “Cotton, which requires less water at this stage, is completely damaged. The adjoining vegetable growers have also suffered an extensive damage, resulting in a spurt in the vegetable prices,” he said. Krishan said when they complained to insurance officials to conduct a survey of the affected areas, they refused, saying the crops were not insured. An official said the damaged crops could not be covered under the insurance scheme as the insurance agencies were yet to be paid the premium. Vinod Kumar Phogat, Deputy Director (Agriculture), said he had received a complaint from Kharkhari village about inundation in the field resulting in crop loss.

Source:  The Tribune

Back to top

Global Textile Raw Material Price 2017-07-02

Item

Price

Unit

Fluctuation

Date

PSF

1117.54

USD/Ton

0.33%

7/2/2017

VSF

2220.33

USD/Ton

0%

7/2/2017

ASF

2183.44

USD/Ton

0%

7/2/2017

Polyester POY

1158.11

USD/Ton

0.32%

7/2/2017

Nylon FDY

2729.31

USD/Ton

0%

7/2/2017

40D Spandex

5089.79

USD/Ton

0%

7/2/2017

Polyester DTY

1497.43

USD/Ton

0.50%

7/2/2017

Nylon POY

2876.84

USD/Ton

0%

7/2/2017

Acrylic Top 3D

5842.19

USD/Ton

0%

7/2/2017

Polyester FDY

1379.41

USD/Ton

0.54%

7/2/2017

Nylon DTY

2537.52

USD/Ton

0%

7/2/2017

Viscose Long Filament

2360.48

USD/Ton

0%

7/2/2017

30S Spun Rayon Yarn

2876.84

USD/Ton

0%

7/2/2017

32S Polyester Yarn

1703.97

USD/Ton

0.61%

7/2/2017

45S T/C Yarn

2714.55

USD/Ton

0%

7/2/2017

40S Rayon Yarn

1844.13

USD/Ton

0%

7/2/2017

T/R Yarn 65/35 32S

2286.72

USD/Ton

0%

7/2/2017

45S Polyester Yarn

3039.12

USD/Ton

0%

7/2/2017

T/C Yarn 65/35 32S

2316.22

USD/Ton

0%

7/2/2017

10S Denim Fabric

1.37

USD/Meter

0%

7/2/2017

32S Twill Fabric

0.85

USD/Meter

0%

7/2/2017

40S Combed Poplin

1.19

USD/Meter

0%

7/2/2017

30S Rayon Fabric

0.66

USD/Meter

0%

7/2/2017

45S T/C Fabric

0.68

USD/Meter

0.22%

7/2/2017

Source: Global Textiles

Note: The above prices are Chinese Price (1 CNY = 0.14753 USD dtd. 7/02/2017). The prices given above are as quoted from Global Textiles.com.  SRTEPC is not responsible for the correctness of the same.

Bangladesh-Garment export tax retained at 1pc, corporate tax cut further

The government on Wednesday retained tax at source of 1 per cent on export earnings from readymade garment sector for the next fiscal year 20217-2018 beginning Saturday.  Corporate income tax for apparel manufacturers, however, was lowered to 12 per cent from 15 per cent set in the proposed budget placed at the national parliament on June 1. The rate of corporate tax for green factories was reduced to 10 per cent from the proposed 14 per cent. The Finance Bill-2017 was passed by the parliament on Wednesday incorporating the changes.A number of changes were also made in other proposals related to value-added tax, income tax and customs duty that finance minister Abul Maal Abdul Muhith proposed in the budget proposals on June 1. Muhith in his final budget speech on Wednesday placed a set of amendments to the proposed budget. He said that the RMG exporters would have to pay 1 per cent tax at source in the new fiscal year. The rate is supposed to be 1 per cent in FY2017-2018 after exporters paid the tax at the rate of 0.7 per cent in FY17 as the National Board of Revenue reduced the rate for the year through a special statutory regulatory order. In the outgoing FY 2016-2017, the rate of corporate income tax for the apparel sector is 20 per cent but Muhith in the budget proposals reduced the rate to 15 per cent before cutting further to 12 per cent on Wednesday. The parliament also decided to impose VAT at reduced rate on spices like pepper, turmeric and coriander based on tariff value.It also waived the meditation service from paying value-added tax for the next two years. Computer, cellular phone and their spare parts will also be included in the VAT-exemption list as these devices are being produced in the country. The tax benefits for ship breakers and recyclers will also be continued in the next fiscal year.  Motorcycle industry will enjoy VAT exemption at local manufacturing stage, according to the approved finance bill.Import of computer software by Microsoft Bangladesh Limited on which no customs duty is applicable will be VAT free, Muhith said. Supplementary duty on refrigerator manufactures has been lowered to 20 per cent from the proposed 30 per cent. The parliament also waived the import of composite LPG container from payment of VAT to encourage use of LPG gas in the country. On the other hand, VAT will be in place in import of iron-made LPG container to protect the local industry. The government also withdrew the additional customs duty imposed through the proposed budget on motorcycle industry under progressive manufacturing agreement. The government also reduced duty on import of raw materials and other elements for motor cycle and motor car production following request of Japan Embassy and Nitol Niloy Company as they informed the government that they would start production of motor cycle and motor car soon in the country. Additional import duty on solar panel proposed by Muhith in his budget proposals has also been withdrawn as the sector is still dependent on import. 

Source: New Age BD.

Back to top

Kenya : Industry in crisis as ginneries close for lack of cotton, farmers ruined

Luanda Ginnery in Busia county, which no longer operates due to lack of cotton /AGATHA NGOTHO Four years ago, the Nyanza Ginnery in Kisumu was bustling with activity as trucks offloaded cotton from Bondo, Kendu Bay, and as far as Baringo. But now all is quiet, with only a few employees in the premises. Shafiq Zavery, the owner of the ginnery, says three years ago things started going downhill until they were eventually forced to close. He had been i0n the cotton business for 12 years up to 2013. Zavery says the company was forced to close due to the lack of raw material. He says due to a lack of understanding of dynamics that govern export commodities in the global market, farmers got confused by price fluctuations. “At one time we were buying at Sh30 then increased to Sh65 then went down again to the current price of about Sh42, before dropping to Sh40 per kilogramme of lint,” Zavery notes. “In 2012 we processed 78 bales, before that we did 100 bales and the year before we did about 160 bales. So when we go downwards, it means the farmers are not growing cotton. We have a capacity of 600 bales a month and 2,400 bales a season. The highest we have ever reached was 1,600 bales in a season.” He explains that before relocating to Kisumu, they used to transport cotton to Kitui. “But we realised it’s cheaper to look for a ginnery in Nyanza and that is how we acquired the Kisumu ginnery,” Zavery says. The Kisumu ginnery is among 17 out of 22 that are obsolete. The five that are operational - Kitui, Makueni, Meru, Mpeketoni and Salawa – are functioning below capacity. In the 1970s and 1980s, Kenya was the leading producer of lint in the region and the industry was the second leading employer after the public service. The cotton industry collapsed in the late 1980s and early 90s after the liberalisation of the agriculture sector following introduction of the Structural Adjustment Programmes by the Bretton Wood Institutions -World Bank and International Monetary Fund. This led to the collapse of most ginneries as farmers abandoned the crop due to low prices and gross mismanagement. Zavery is passionate about the cotton business. He was born into a family that had been farming cotton since 1935 as their main economics stay. “Starting with our great grandparents, we don’t know any other business in our family and that is the reason I want to revive it. It gives us the drive. Cotton is such a thing that when you are distributing the seeds, there is always the hope that it will be better and it keeps you going. For our family, we have an addiction to cotton farming,” he says. The family is mobilising resources to restructure the ginnery and make it operational by October or November. “We want to approach the business in a very different concept. We are in talks with the county government to revive the ginnery and the first thing that needs to be done is grow enough cotton. They have offered us foundation seeds and we have put aside 400 acres for that. This year we will just be dealing with the foundation seeds in order to distribute them to farmers next year,” Zavery says. Under the new business model, the company will contract farmers and then reach out to the county government to provide educated extension service officers. The officers will help in educating farmers on modern farming techniques and solving various challenges. They will walk with the farmers from the time of planting until harvest time. The aim is to boost farmers’ morale and encourage them to double their efforts to increase production. “If this can be done, there will be an increase in the number of farmers growing cotton because they will be more confident. Farmers have to realise that it is their livelihood and change their attitude towards cotton farming,” says Zavery. "We need to make them aware that they can increase productivity from 200 kilos per acre, to a minimum of 600-800 kilos per acre. To achieve this we need the assistance of the extension service providers." He adds that his company will establish buying centres in various subcounties to ease the challenges of transporting the raw material from farms to Kisumu. Michael Onyoro, a cotton farmer in Kisumu subcounty and chairman of the Kisumu County Cotton Growers Union, says growers abandoned cotton-growing due to low prices. “This led to the closure of many ginneries in Kisumu. Now we sell cotton to ginneries in Makueni, Baringo and Meru counties,” he says. Even though the cotton industry is in a sorry state, Onyoro says he has educated his children, bought a motorcycle and car from the proceeds of his 10-acre cotton farm. A kilogramme of cotton sells for Sh46 as per the government gazetted price. “The actual cost is Sh64, but due to the transportation cost of Sh18 per kg, we get Sh46. When we had ginneries around, the cost of transportation was as little as Sh2 to Sh3,” he says. The high cost of insecticides, Onyoro says, is a challenge threatening to force farmers out of business. A farmer needs to spray his crop about six times and on average it costs Sh150 per acre per session to fight bollworms. “Production of cotton 30 years back was high and many farmers were able to produce the AR high quality grade unlike the BR grade, which is of low quality due to insect infestation. AR fetches almost twice the amount of BR. Most farmers produce BR grade, but those who produce AR have to spray many times, which is very expensive,” says James Riaga, the union's secretary. At Luanda Ginnery, machines are rusty and covered in dust, despite the huge investment poured with the support of World Bank in 1969 to benefit at least 40,000 cotton farmers. Vincent Egesa, who is the chairman, says they are out of business because farmers no longer produce enough lint to sustain the ginnery. The facility had a processing capacity of 10,000 bales but due to low cotton productivity, low prices and lack of market, the ginnery, which employed 1,000 farmers has closed its doors. Egesa says despite the Busia government allocating Sh63 million from 2013 to 2017 to revive the cotton sector, Luanda Ginnery has only received Sh1.2 million. The 2016-17 budgetary allocation of Sh20 million is yet to reach the union, which has a membership of 40,000 cotton farmers.  “We need about Sh150 million to be able to fully revive the ginnery and sensitise farmers to start growing cotton, service some of the machines and buy modern gins. The machines are intact and only need some repairs for them to start working again,” Egesa says.

National cotton production

According to the Fibre Crops directorate interim head Anthony Mureithi, the current national seed cotton production is at 30,000 bales per year, which is far below the country's demand. Local cotton production only meets 17 per cent of local demand, the rest is imported. Mureithi says cotton production peaked in 1984, with an output of 70,000 bales. But it has declined since the 1990s to 30,000 bales of lint cotton currently. Back then the Bura Irrigation Scheme used to produce 30 per cent of the national production. To bridge the gap, the government imports substantial amounts of cotton lint and seed cake for local textile mills and feed manufacture, mainly from Tanzania and Uganda, which produce 15 times and five times Kenya’s production respectively every year. “The country potential demand is estimated to be 260,000 bales per year and Kenya currently imports 70,000 bales per annum, mainly from Sudan, Uganda and Tanzania. The country has a potential production of 350,000 bales of lint from 300,000 hectares ( 741,316 acres) under rain-fed agriculture and an additional 35,000 hectares (86,486) under irrigation,” Mureithi says. Out of the total land suitable for cotton farming, only 30,000 hectares (74,131 acres) is currently in use. The decline in production, Mureithi says, has been caused by a combination of factors that include market liberalisation, competition from synthesis fibres, disease and pest buildup, especially the African bollworm and cotton strainers. “Poor crop management, low prices, high cost of inputs, inefficient marketing channels, over-dependence on rain-fed cotton growing and poor quality seeds have also contributed to the decline,” he adds. Thomas Kipkurgat, Rivetex managing director in Eldoret, says even as the company is modernised, the 10,000 bales of cotton from farmers that is available for processing is not sufficient. “The output is below the capacity for Rivetex to fully be operational for a year. We need more than 72,000 bales annually for the company to be fully operational,” he says. Side bar Call for GM technology to enhance cotton production. Farmers in countries such as Sudan, Burkina Faso and India have embraced genetically modified cotton and are enjoying the yields while their Kenyan counterparts continue to struggle. Thomas Kipkurgat, Rivetex managing director in Eldoret says unlike conventional cotton, which has low yields and less productivity, genetically modified cotton is high yielding and is insect-resistant. He says if Kenya embraces the technology and irrigation, the cotton sector can employ up to 40,000 farmers directly and indirectly, employ 18,000 in the ginneries and up to 2,100 in the manufacturing sector. In a nutshell, Kipkurgat says, the cotton industry will be able to create more than 60,000 jobs in Kenya annually. “It is high time Kenya moved to address GM because this is the way to go. Countries such as Malawi are heading to commercialisation of GM cotton, while in Kenya the debate is characterised by politics and influences from interested groups, thus strangling the plan. The government should appreciate the hard work scientists have put so we move on and allow farmers to grow Bt cotton,” he says. The GM cotton, according to Kipkurgat, is drought-resistant and can produce up to 1,800 -2,000kg per acre while conventional cotton can only go to 400-500kg per acre, which is below productivity level. “Currently farmers need to spray 12 times a year but with Bt cotton, you spray two to three times a year. For economies of scale, this is the way to go.” Paul Chege, the programme officer Open Forum on Agricultural Biotechnology-Kenya, says GM cotton is resistant against bollworm. “The bollworm affects the cotton bolls so that they are not able to bud and produce a flower, hence low production,” he explains. Chege states that the bollworm affects a crop's productivity by 50 to 90 per cent. Besides, farmers have to spray up to 12 times in a season of four to six months to control the pest, which is very expensive. “Bt cotton is resistant to the bollworm and farmers do not have to spray. They only need to spray against the mealybugs and aphids, which do not require much [pesticide] and can be controlled through irrigation,” he says. He adds that GM cotton has been researched by the Kenya Agriculture and Livestock Research Organisation and Monsanto from 2006 to 2014. An Environmental Impact Assessment has also been applied and approved by the National Biosafety Authority in accordance to the 2009 Biosafety Act. The stalemate, according to Chege, is with the National Environmental Management Authority, which is yet to issue the EIA certificate so that the National Performance Trials can go on before the crop is commercialised and released to farmers.

Source: The Star

Back to top

Bangladesh : Garment makers oppose Accord's time extension

Local garment manufacturers have opposed the time extension of the Bangladesh Accord on Fire and Building Safety by three more years, saying factory remediation work will be completed within the current tenure. “We don't accept the new agreement. It is a unilateral decision by the Accord,” said Siddiqur Rahman, president of Bangladesh Garment Manufacturers and Exporters Association (BGMEA). “We have not been included in the board of the Accord and the signatories did not even show the draft copy of the new agreement,” Rahman said. “We don't need the Accord anymore,” said Atiqul Islam, a former president of BGMEA. Trade unions and leading apparel brands extended the tenure of the Accord for three more years at the OECD Global Forum on Responsible Business Conduct in Paris June 30. But local factory owners say proper implementation of the amended labour law would protect the workers' rights and the local union leaders would play a vital role in formation of trade unions at factory level and in ensuring freedom of association. They called for strengthening of the Department of Inspection for Factories and Establishments (DIFE) and the Remediation Coordination Cell (RCC) for fortifying workplace safety and better labour rights. Islam said the government, the RCC and BGMEA can continue working on strengthening the workplace safety and improve the labour rights. Islam was the president of BGMEA when the current Accord was signed in May 2013. The current five-year campaign for fire and building safety expires next May and involves only European brands. Islam, however, admired the remediation activities of the Accord as thousands of loopholes in nearly 3,000 factory buildings have been identified and repaired. No more industrial accident has taken place in the garment sector since the Rana Plaza building collapse because of strong inspection, remediation and monitoring by the experts of the European-led Accord and the North American-led Alliance, according to Islam. “But, I am concerned about the handling of millions of workers by the Accord as it will work on freedom of association and improvement of labour rights. Bangladesh has its own labour law,” Islam said. AK Azad, managing director of Ha-Meem Group, another leading garment exporter, echoed Islam.  “The Accord has done excellent work in the first phase as buildings are safe now thanks to its intensive inspection, remediation and monitoring.” “But, we don't want the extension of the Accord in case freedom of association as it is an internal issue of Bangladesh,” he said. Rubana Huq, managing director of Mohammadi Group, a leading garment exporter, said the inclusion of freedom of association in the new agreement is very surprising to her whereas Bangladesh has a very strong labour law which has given full freedom of association to the workers at factory level. She said they had hoped that the signatories of the new agreement would include the government and BGMEA in the executive body of the Accord. But this has not happened. Huq is concerned about the future of local trade unions if the Accord starts working in the area of freedom of association and labour rights at factory level. “Where will our local unions go?” she asked. After the Rana Plaza building collapse in April 2013 that killed 1,138 workers, the retailers and brands formed the Accord with a view to repairing thousands of structural, fire and electrical loopholes in the garment factories.Yesterday, Valter Sanches, general-secretary of the IndustriALL, said in a statement, “The Accord can be expanded to other sectors, and as worker representatives, we urge you to acknowledge the new Accord's significance as an important step towards responsible global supply chains.” John Evans, general secretary of the Trade Union Advisory Committee to the OECD, said the signing of new Accord shows that the legally-binding agreement between brands and unions is a successful model for driving positive change in global supply chains. “The G20 leaders need to learn this lesson and give it full support,” he said. On Thursday, Commerce Minister Tofail Ahmed told The Daily Star that it is the decision of the retailers and unions. “The extension is not our decision. We don't know about it yet. They have not spoken to us in this connection. We are with them until the expiry of the first agreement.” So far, 25 lakh Bangladeshi garment workers have been covered by the Accord and 1,800 factories surveyed along with 7,000 periodic follow-up inspections, according to IndustriALL. A total of 118,500 acts of violations of fire, electrical, and structural safety standards have been identified, and 79 percent of them are being corrected. As of Thursday, 23 companies signed the new agreement with two Switzerland-based global trade unions IndustriALL Global Union and UNI Global Union. But a large majority of the previous signatories—217 brands—are expected to be part of the new deal, said Christy Hoffman, deputy general secretary of UNIGlobal Union, according to the Associated Press.

Source: The Daily Star

Back to top

Pakistan : Cotton falls

Karachi Slow trading was witnessed at the Karachi Cotton Exchange on Saturday, while spot rates dropped Rs400/maund. The spot rates dropped Rs400/maund to Rs6,200/maund (37.324kg) and Rs6,645/40kg. Ex-Karachi rates also decreased to Rs. 6,335/maund and Rs6,790/40kg after an addition of Rs135 and Rs145 as upcountry expenses, respectively. An analyst said the prices reduced because of the lack of interest by the buyers, while sellers were forced to sell at lower rates after no activity in the market for a couple of days. “New crop has started arriving, but prices of new lint have reduced by around Rs1,000/maund in a few weeks, which are expected to further drop in the coming days,” he said. “A better crop is expected this year, which will suppress the prices.” New York cotton market witnessed an increase on all its futures. July futures rose 1.31 cents to 75.31 cents/pound and July futures increased 1.31 cents to 70.36 cents/pound.

Source: the News International

Back to top

IFC, NRDC promote sustainability in China's textile sector

IFC, a member of the World Bank Group, and the Natural Resources Defense Council (NRDC) haver released cumulative results of their joint ‘Green Textile City Initiative’. Launched in partnership with leading global apparel retailers and fashion brands in 2013, it aimed to scale up sustainability efforts in large textile clusters in Shaoxing and Guangzhou. The sector-level initiative was expanded to Suzhou in 2015. The Initiative, under IFC’s China Water Program, provided sector-level capacity building and technical training for over 100 textile mills in the three textile cities. Half of the trained mills implemented resource efficiency projects on their own. China produces more than half of the world’s textile fabrics with $267 billion in exports in 2016, but this water-and-energy intensive sector has a large environmental footprint. In the Greater Suzhou Area alone, 23 textile mills implemented 138 factory projects last year, saving $8.4 million in water, energy, and chemical operating costs. These projects had an average payback of 17 months and collectively saved 4 million cubic meters of water and 30,000 tons of coal (or its energy equivalent) per year. “The latest results from the Suzhou programme further demonstrate that the ‘Clean by Design’ best practices can drive significant environmental improvement and cost savings for apparel and textile supply chains,” said Kurt Kipka, NRDC senior project manager. “This joint initiative with NRDC is a good example of how we can leverage partnerships and expertise of multiple stakeholders to scale up resource efficiency in manufacturing supply chains,” said Navneet Chadha, IFC resource efficiency lead for East Asia and Pacific. “A sustainable textile industry will benefit the private sector while supporting a better environment in China. IFC’s China Water Program has been implemented since 2012 to catalyse industrial water efficiency financing in partnership with the Hungarian Export-Import Bank, the Netherlands Ministry of Economic Affairs, and the Netherlands Enterprise Agency RVO. “We are encouraged to see the strong developmental results this programme has achieved in a difficult market and Hungary is happy to have partnered with IFC to support sustainable development in China,” said Gábor Szõcs, director for Hungarian Export Import Bank and private sector liaison officer for Hungary.

Source: fibre2Fashion

Back to top