The handloom weavers have urged the Centre to exempt all textile products from the GST. About one lakh families are involved in handloom weaving in Salem district. They have been producing pure silk textiles, dhotis and saris for many decades. The Centre has announced 5% tax under GST for textile items. The office-bearers of the Jaari Kondalampatti Pure Silk Textiles Producers Association presented a petition to the District Collector on Saturday urging him to recommend exemption for all textile goods from GST. The GST tax rate would only hike the price of textiles, which in turn would lead to stagnation of textiles at the production centres. Only exemption from GST would protect this industry, the petition said. Balaraman, president of the association and Jayaraman, its secretary, handed over the petition to the Collector.
Source: The Hindu
Traders and businesses will have to display the goods and services tax (GST) registration number on their business sign boards and the registration certificate on the premises. Also, composition dealers will have to mention that they are availing the composite scheme and are not entitled to collect taxes from people. “Every taxable person is required to display his Goods and Services Taxpayer Identification Number (GSTIN) on name board or sign board of business and is also required to display his registration certificate in business premises so that a citizen can easily find out whether a person is registered or not,” a tax official said. The composition dealer is required to mention in the business premises along with registration certificate that he is not entitled to collect tax from taxpayers. “That is the legal requirement. So that the citizen can find out whether the person from whom he is buying is entitled to collect tax from him or not,” the official added. The GSTIN is a 15-digit number which taxpayers get after registering with the GST Network portal. Initially, a business is given a provisional ID on logging into the portal and within 3 months the business has to complete the registration process by giving details of business. This provisional ID is then converted to GSTIN. Revenue secretary Hasmukh Adhia said that if a business entity does not generate certificate of registration within 90 days then the provisional ID will stand cancelled. The GST, which subsumes service tax, excise and VAT, has been implemented from 1 July.
Source Business Line
Lakhs of labourers working in powerlooms and processing units have been rendered jobless due to the shutdown of mills due to the ongoing strike. Textile traders take out a rally against the newly introduced GST in Surat on July 8. Textile traders in Ahmedabad began an indefinite strike on Monday, July 10, in order to mount pressure on the Centre to roll back the goods and services tax (GST) on cloth. According to a release issued by traders associated with three major textile markets in the city – Maskati Cloth Market Association, New Cloth Market and Panchkuva Cloth Market – the 5% GST imposed by the Centre on fabrics is “not acceptable to anyone who is in the textile business.” In Surat, textile traders have been on an indefinite strike for over one week, with thousands taking part in a mass rally on Saturday, July 8, to protest against the new tax regime. Holding banners and placards, and shouting slogans, thousands of textile traders in Surat walked for three kilometres through the city’s main textile market in a mammoth rally led by Hitesh Sanklecha – a textile trader who has been on a hunger strike since July 1, Times of India reported. According to an Indian Express report, at the conclusion of the protest, the textile traders handed a memorandum to the Surat district collector demanding that no GST be imposed on the textile-trading segment. According to Hindustan Times, union minister Parshottam Rupala urged traders to refrain from protesting and instead engage in talks with the Centre. “The intention behind rolling out GST was to give a boost to trade and business, not to harass people. I agree that traders are agitating because they are facing some problems due to this new tax structure. But, the issue can be resolved with dialogue with the government.” Meanwhile, lakhs of labourers working in powerlooms and processing units have been rendered jobless due to the shutdown of mills for over a week due to the ongoing strike. Textile industry – the second largest employment sector of the country – including weavers, technicians, daily wagers and labourers, has been badly hit by the implementation of GST. Textile traders chant slogans during a protest against GST in Surat. Under the new tax regime, master weavers are required to shell out taxes for yarn – 18% on man-made fibre yarn and 5% on cotton yarn – apart from paying a 5% tax on services. While the loom owners are afraid that the rise in their manufacturing cost will not be offset by the tax on products, textile workers are staring at an uncertain future. The powerlooms manufacture weaved cloth, which is purchased by textile traders who then send it to the processing units for dying and printing. There are around 350 processing units in Surat with a daily turnover of approximately Rs 70 crore. The weavers have, however, shut operation due to the lack of demand leading to piling of unsold stock. According to Indian Express, the printing mills have been running with leftover stock, making it difficult to keep operation going without any fresh supply, and as a result 70% of the factories have shut shop. Demand for abolition of GST has reached other parts of the country as well with 5,000 textile producing units and retail shops and over 20,000 powerlooms in the Erode district of Tamil Nadu remaining closed for the fifth consecutive day on Monday, July 10. According to the traders, they have incurred a loss of Rs 150 crore due to the ongoing stir and that huge stocks of unsold textiles have begun piling up in their shops, godowns and factories. All major cloth markets in Amritsar also remained closed on Sunday, July 9, with traders demanding the government roll back its decision to impose GST on unstitched clothes, The Tribune reported. According to Jatinder Singh Moti Bhatia, the president of Federation of Textile Traders of Amritsar, taxes on the textile sector make the readymade and other garments costly, and traders fear that these taxes would make apparels luxury goods.
Source : PTI
SURAT: Textile GST Sangharsh Samiti members met a committee of three state ministers here on Sunday and sought removal of Goods and Services Tax (GST) on fabrics. They are expected to meet chief minister and deputy chief minister in Gandhinagar on Monday. The state government has set up a panel of ministers comprising Atmaram Parmar, Nanu Vanani and Gnapat Vasava to talk to the agitating textile traders. The meeting was held at Circuit House in the evening. Surat district collector Mahendra Patel and city police commissioner Satish Sharma were also present, a release said. Meanwhile, the Textile GST Sangharsh Samiti has asked the textile traders to continue with their indefinite bandh peacefully. The textile traders are on an indefinite strike in the city for over a week now. The Yuva Brigade of Textile GST Sangharsh Samiti will organize a 'hasya kavi sammelan' for the agitating traders on Monday. A number of well-known Hindi poets are expected to take part in it.
Source: The Times of India
Surat: Deputy chief minister Nitin Patel has asked the agitating textile traders to call off their indefinite strike as the state government is ready to represent their demands to the GST council and the central government. The state government had invited the leaders of the Textile GST Sangharsh Samiti (TGSS) for parley at Gandhinagar on Tuesday. The TGSS leaders represented to the government that the textile traders do not want GST on MMF fabric. They put forth the demand of removing GST from fabric and increasing the GST rate on yarn from 18 per cent to 28 per cent or postpone the implementation of GST on textile sector till April 1, 2019. It was the failed efforts of Navsari MP C R Paatil, which resulted in further igniting the anger of the textile traders community. Then came Union minister of state for road transport and highways, Mansukh Mandaviya, an emissary sent by the central government last week, who too remained unsuccessful to stop the agitating traders from taking out the mammoth rally. Now, the baton is passed to the Gujarat government to appease the textile traders to end the indefinite strike and begin talks with the government. Talking to TOI, convener of TGSS, Tarachand Kasat said, "We had a fruitful meeting with the Dy CM for around three hours. He has assured that the GST council member from Gujarat and his government will strongly represent the demand of textile traders to the central government, but we have to call off the indefinite strike." Kasat added, "The government is very much concerned about the labour force in the industry rendered jobless due to the indefinite strike for over a week. The GST council is meeting on August 3 but we urged the government to see that the council meets before July 20 to resolve the GST issues." Back home, the TGSS is facing an uphill task of conciliating the agitating traders' community, who are on an idefinite strike for last eight days. On Monday, the textile traders organised a kavi sammelan at Salasar Gate as part of their protest against the central government. Poetries targeting the central government and its ministers were recited by the poets who are invited by the textile traders. Hitesh Sanklecha, a textile trader who is on indefinite strike for last 10 days, said, "The indefinite strike will continue till our demands are met. Meanwhile, we are organizing a public meeting on Tuesday to get the vibes of the traders and expose the leaders who have sat in the laps of the government."
Source: The Times of India
Mumbai: India's garment exports are expected to register a 15-18 per cent growth in FY 18 as against USD 17 billion registered last year, a senior government official said here."We have clocked 18 per cent growth in garment exports since January 2017 and we hope that similar trend may continue for remaining period this year. Last year our garment exports stood at USD 17 billion," Textile Commissioner Kavita Gupta said. She was speaking after inaugurating the 65th national garment fair here. "Rebates on state levies have been introduced to encourage exports. There is an additional 10 per cent subsidy for the garment and made up segments, which means the home textile industry will effectively get 25 per cent capital investment subsidy on new machines they bring in, leading to efficiency and modernisation of the sector," said Gupta. Subsidies have proved be very beneficial for the sector and led to increase in employment and attracted huge investments, she said. The textile industry needs to utilise the various schemes launched by the government for the benefit of customers, the commissioner added. The industry is looking at entering into CIS, Africa and Far East markets to increase garment exports, apart from our traditional markets of US and Europe, Gupta said. To showcase business opportunity, Clothing Manufacturers Association of India(CMAI) has organised three-day national garment fair, the largest apparel trade show in Mumbai. The B2B fair will be spread over approximately 6 lakh square feet, covering all the halls at the Bombay Exhibition Centre. "We hope to generate 10 per cent increase in trade at Rs 750 crore from this fair, which will have 881 stalls displaying 1005 brands by 822 exhibitors," CMAI president Rahul Mehta said. Whilst welcoming the GST, Mehta said the government needs to reduce the GST applicable on job work for garments and made ups from 18 per cent to 5 per cent. The 18 per cent GST would be a major blow to the small manufacturers, most of whom follow the job work basis of manufacturing, he added. AP RMT
Source: PTI
Even as farmers seem inclined to bring more area under cotton this year, they fear a decline in yield due to deficient rainfall in major growing areas during the last three weeks. The India Meteorological Department (IMD) forecast this year's monsoon, like last year's, to be normal. But, despite being a normal monsoon in terms of the long-period average (LPA), distribution remained a worry last year. While the middle, northern and eastern parts of India received above normal rainfall, the western and southern parts remained deficient. Experts have started fearing a repeat of last year, with reports of deficient rainfall in large cotton-growing regions. Farmers' fears of lower yields this year assume significance as they had achieved record productivity and got better prices last year despite lower acreage. Encouraged by last year's realisation, farmers have slowed down the speed of cotton sowing after over 50 per cent increase in acreage early this season. "While the Cotton Advisory Board (CAB) is likely to come out with cotton output forecast, we are estimating 10 per cent increase in acreage with an output of 350 lakh (35 million) bales this year," said Kavita Gupta, Textiles Commissioner, Ministry of Textiles, Government of India, on the sidelines of 65th National Garment Fair here on Monday. Arun Dalal, a large city-based cotton trader and exporter, said, "The crop is projected to get delayed by at least a month and the yield prospect also seems to get affected due to a delay in sowing. Strong enquiries have been reported from the northern region, though a delay in upcoming crop may prompt immediate bargains. The demand of cotton has been good. Therefore, cotton prices may rise further and may sustain the prevailing range of Rs 42,500-44,500 a tonne. Meanwhile, private weather forecasting agency Skymet had reported a four per cent surplus rainfall in June. But, it has forecast July to remain rainfall-deficient. "Rains over most parts of interior Maharashtra, Telangana, Andhra Pradesh, interior Karnataka and Tamil Nadu will remain subdued for the next 4-5 days. Gujarat, Rajasthan and western parts of Haryana and west Madhya Pradesh will also see scanty rains only," Skymet said in its latest report. Meanwhile, data compiled by the Ministry of Agriculture showed sowing area under cotton rose marginally to 7.2 million hectare (ha) by July 7 compared to 6.8 million ha by the same time last year. "Rainfall during July and August are crucial for Indian agriculture. Hence, we will have to wait until the end of August before making any firm assessment on agricultural output this kharif season," said Madan Sabnavis, Chief Economist, Care Ratings. Fears of started mounting in for re-sowing of cotton seeds in the areas where rainfalls remained deficient so far this season and crops damaged thereupon. Meanwhile, farmers have increased sowing of cotton. During most period of last year, cotton prices remained above the minimum support price (MSP) unlike the case of oilseeds and pulses which continued to trade below the MSP almost throughout the season. Prompted by last year's realization, farmers have increased their cotton sowing area by a staggering 45 per cent so far this season. Data compiled by the Cotton Advisory Board (CAB) under the Ministry of Textiles showed India's cotton yield at a record high last year at 568 kgs per ha compared to 484 kgs per ha for the previous year due to favourable climatic condition. The yield, however, remained abysmally higher than that of 566 kgs per ha received in 2013-14.
Cotton yield stagnates despite increase in area
Source: Business Standard
By Our Staff Reporter MUMBAI JULY 10— The Union Textile Minister Ms. Smriti Irani today inaugurated the “India’s Largest Apparel Trade Show – The 65th National Garment Fair” and released the Show Directory on the eve of the Fair. Ms. Kavita Textile Commissioner Mr. Sanjay Lalbhai Chairman – Arvind Group and Mr. Kishore Biyani – CEO of Future Group graced the occasion. This B2B Fair has been spread over Approx. 6 Lakh Square Feet covering all the Halls at the Bombay Exhibition Centre. There have beenFIRST TIME EVER display of 1005 Brands by 822 Exhibitors.The stalls have been categorized into 4 zones viz. Men’s Wear Women’s Wear Kids Wear & Accessories. This would be India’s Largest Ever Garment Fair held so far. Approx. 50 000 Retailers from all over India were expected to visit the 3 Day B2B Fair. The Business Networking Sessions would continue this year as well. There would be Three Sessions comprising of (1) Agents & Distributors (2) High Street Retailers (3) National Chain Stores & E-Commerce Companies. Mr. Rahul Mehta President – The Clothing Manufacturers Association of India (CMAI)has welcomed the GST on textiles & garments. However he demanded that the Govt. should reduce the GST applicable on job work for garments & made ups from 18% to 5%. 18% GST would be a major blow to the smaller manufacturers most of whom follow the job work basis of manufacturing. CMAI he informed info association with Tata Consultancy Services (TCS) and Shah Chambers has Developed ‘ADHIGAM’ Software for Textiles & Garment Manufacturers Traders & Retailers to prepare them for GST Compliance. This Software automatically converts regular Invoices to GST Compliant invoices sends Reminders to Vendors or Suppliers who have not paid Tax at any stage in Textile Value Chain. A manufacturer knows which Vendor in the Value Chain has not paid the Tax and hence he can guide the Vendor to pay the Tax. The 65th National Garment Fair has been supported by “Bhumi World Industrial Park” – A Fastest Developing Integrated Industrial Hub in Bhiwandi.
Source: Tecoya Trend
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$ 46.12 per barrel (bbl) on 07.07.2017. This was lower than the price of US$ 47.59 per bbl on previous publishing day of 06.07.2017. In rupee terms, the price of Indian Basket decreased to Rs. 2985.32 per bbl on 07.07.2017 as compared to Rs. 3082.52 per bbl on 06.07.2017. Rupee closed stronger at Rs. 64.73 per US$ on 07.07.2017 as compared to Rs. 64.78 per US$ on 06.07.2017. The table below gives details in this regard:
|
Particulars |
Unit |
Price on July 07, 2017 Previous trading day i.e. 06.07.2017) |
|
Crude Oil (Indian Basket) |
($/bbl) |
46.12 (47.59) |
|
(Rs/bbl) |
2985.32 (3082.52) |
|
|
Exchange Rate |
(Rs/$) |
64.73 (64.78) |
Source: PIB
MUMBAI: Grasim Industries, an Aditya Birla Group company, has entered into a share transfer agreement with Mumbai-based Donear Group to sell its entire holding in Grasim Bhiwani Textiles, a wholly-owned subsidiary. Grasim Bhiwani is engaged in the business of manufacturing and marketing of polyester-viscose Fabric. GBTL constitutes a small proportion of Grasim’s consolidated financials with a revenue / EBITDA share of less than one per cent. It registered a consolidated revenue of ₹9,980 crore and Ebitda of ₹2,142 crore in the March quarter. The divestment is the outcome of the business portfolio review exercise from time-to-time. It is in the direction of consolidation and greater focus on core businesses of the company, said Graim.
Source: Business Line
Mumbai: As the yesteryear glory, Indu Mills in Dadar gets ready for the final demolition for the construction of a grand memorial to Babasaheb Ambedkar, Sunday, 9 th July witnessed a nostalgic run by the Textile fraternity. Some 2000 odd runners from across the city, 50 cotton growing farmers from Vidarbha & Maharashtra, alumni of the Sasmira Institute of Textiles, family members of forgotten textile workers, Star Runners and more came together for the heritage run hosted by Sasmira Alumni Foundation. The cause NO NAKED CHILD was a unique initiative which aims to provide clothing to under privileged children across the country which was an effort to galvanize the alumni and others from the textile industry in a unique way to execute the world's 1st Textile Community Run, "Texathon". The event was graced by Ms. Kavita Gupta, Textile Commissioner of India who shared, "I am really very happy that SAF has put together this first of its kind event in the world which throws light on two key aspects, one is the cause of No Naked Child which means clothing for the under-privileged through the run and other is the Physical Fitness which takes a back seat in this otherwise glamorous world. Texathon has thus aimed to bring two energies together making it a memorable event for the Textile fraternity". “Texathon” was run at distances of 10k, 5k, 3.5k respectively. The run traversed through scenic parts of Mumbai covering the Indu Mills, Cadell Rd, Kirti College and Catering College junctions, old bungalow of David Sassoon, Century Bazaar, Mayor’s Bungalow at Shivaji Park etc. The run commenced & ended at one of the heritage mills of Mumbai, Indu Mills Compound. The 10k run was won by Swapnil Sawant with a time of 35.20 mins, he was followed by Sachin Grote in 2 nd and Ashish Sapkal in 3 rd . In the women’s race, Varsha Bhawari came 1 st , followed by Simta Sharma in 2 nd and Shweta Gawade in 3 rd . Aghorilal Chauhan (69) and Gurzarilal Chandra (62) two farmers who came out to support the cause, Gurzarilala Chandra clocked the 4 th fastest time of the race. Former National champion in 10000 mtrs, Leelamma Alphonso also participated in the veteran women’s section which she won. "It’s a proud moment for us, since We, the textile fraternity could curate this beautiful thought of Texathon. The team over the last few months has been working religiously towards Garment Collection Drive and have managed to raise a sizeable amount of clothing and still counting, also the farmer community support has been a boon to us all and most importantly the heritage venue of Indu Mills by NTCC as been the icing on the cake. We look forward to many more seasons and years to come" shared Mr Sharad Tandon, President, SAF. The event also saw participation of 50 Cotton growing farmers from Marathwada & Vidarbha areas of Maharashtra. The whole idea was that the entire value chain right from producers (farmers) to manufacturers (Textile Industry) to end users (community) participated in the run. The event thereafter saw the farmers being exposed to latest trends in technology serving the growing textile industry. SAF facilitated the visit of this farmer community to the Government of India designated, “Centre of Excellence for agro-textile” at the Sasmira campus in Worli. Mr. Manish Daga of SAF and coveted as Cotton Guru shared, "First time ever in history of any race of any size, COTTONGURU™ is able to initiate and mobilize 50 genuine & progressive Cotton farmers to participate 'without any complaint and demand' with the sole intention of getting them accepted as an integral part of the cotton textile supply chain". SAF has reached out to many helping hands to give their surplus clothing to the No Naked Child cause, the contributions of which will be given to Goonj, a national NGO founded by Anshu Gupta who states,” For us the issue was that clothing was never considered an issue, despite being in the list of 3 basic needs of human kind. Goonj, uses clothes as a resource for the have not. I wish Texathon all the best for the campaign and we are certainly happy to work together on this campaign.”
Source: Furniture Today
BGMEA University of Fashion & Technology (BUFT) signed MoU with National Institute of Fashion Technology (NIFT), Ahemedabad, Gujarat on July 1, facilitating an academic exchange and faculty training programme. The MoU will extend the current agreement between the two universities for another five years. The agreement was signed by Founder Chairman, Board of Trustees of BUFT Muzaffar U Siddique and textile minister of Gujarat. The objective of this agreement is to encourage international cooperation, and strengthening two institutes in the following areas: NIFT will provide a semester study for BIFT students while BIFT will facilitate NIFT students to carry out Internship and Graduation Project/ Research Project in Apparel Industry at Bangladesh. Exposure to workshops, exhibitions and conducting special lectures, Joint industrial projects and joint research activities.BIFT faculty / faculty groups may go to NIFT for training or NIFT may send experienced faculty members to BIFT to train the faculties of BIFT. NIFT will offer a semester input to BIFT Students at NIFT India and BIFT will facilitate NIFT students to carry out Internship, Graduation Project and Placement in Apparel Industry in Bangladesh. Special arrangements for groups of students from one institute to another for the purpose of short-term visit (workshops, exhibitions, industries exposure) may be negotiated in a separate agreement. Founder trustees of BUFT Faruque Hassan, S M Mannan Kochi, Zarina Siddique and Pro-VC of BUFT Prof Dr Engineer Ayub Nabi Khan were present on the occasion.
Source: Yarns and fibres
|
Item |
Price |
Unit |
Fluctuation |
Date |
|
PSF |
1153.40 |
USD/Ton |
0% |
7/10/2017 |
|
VSF |
2245.09 |
USD/Ton |
0.20% |
7/10/2017 |
|
ASF |
2174.56 |
USD/Ton |
0% |
7/10/2017 |
|
Polyester POY |
1187.19 |
USD/Ton |
0% |
7/10/2017 |
|
Nylon FDY |
2791.67 |
USD/Ton |
1.60% |
7/10/2017 |
|
40D Spandex |
5069.09 |
USD/Ton |
0% |
7/10/2017 |
|
Polyester DTY |
1550.11 |
USD/Ton |
0% |
7/10/2017 |
|
Nylon POY |
2894.52 |
USD/Ton |
0% |
7/10/2017 |
|
Acrylic Top 3D |
5686.19 |
USD/Ton |
-0.77% |
7/10/2017 |
|
Polyester FDY |
1410.53 |
USD/Ton |
0% |
7/10/2017 |
|
Nylon DTY |
2585.97 |
USD/Ton |
1.73% |
7/10/2017 |
|
Viscose Long Filament |
2350.88 |
USD/Ton |
0% |
7/10/2017 |
|
30S Spun Rayon Yarn |
2909.21 |
USD/Ton |
1.02% |
7/10/2017 |
|
32S Polyester Yarn |
1748.47 |
USD/Ton |
0% |
7/10/2017 |
|
45S T/C Yarn |
2703.51 |
USD/Ton |
0% |
7/10/2017 |
|
40S Rayon Yarn |
1851.32 |
USD/Ton |
0% |
7/10/2017 |
|
T/R Yarn 65/35 32S |
2277.42 |
USD/Ton |
0% |
7/10/2017 |
|
45S Polyester Yarn |
3070.84 |
USD/Ton |
0.48% |
7/10/2017 |
|
T/C Yarn 65/35 32S |
2306.80 |
USD/Ton |
0% |
7/10/2017 |
|
10S Denim Fabric |
1.36 |
USD/Meter |
0% |
7/10/2017 |
|
32S Twill Fabric |
0.85 |
USD/Meter |
0% |
7/10/2017 |
|
40S Combed Poplin |
1.18 |
USD/Meter |
0% |
7/10/2017 |
|
30S Rayon Fabric |
0.66 |
USD/Meter |
0.22% |
7/10/2017 |
|
45S T/C Fabric |
0.68 |
USD/Meter |
0% |
7/10/2017 |
Source: Global Textiles
Note: The above prices are Chinese Price (1 CNY = 0.14693 USD dtd. 10/07/2017). The prices given above are as quoted from Global Textiles.com. SRTEPC is not responsible for the correctness of the same.
Pakistan and Turkey’s Free Trade Agreement (FTA) will be signed on August 14, for enhancing the bilateral trade between two countries. The seventh round of negotiations between the two countries on Free Trade Agreement (FTA) was milestone to reach the final agreement. Secretary Ministry of Commerce Younas Dhaga led Pakistan’s delegation in negotiation on FTA between Pakistan and Turkey. Pakistan and Turkey discussed the specific sectors including textile sector during the negotiation, a senior official of Ministry of Commerce said. The two sides exchanged provisional lists for a final agreement in round of negotiation. Pakistan’s trade balance with Turkey remained positive until 2011,however, it started decreasing since 2011, when additional duties on various commodities were imposed by the two countries. Pakistan’s major imports from Turkey include manmade textiles, towels, steel structure, tanning and plastic chemicals, processed milk and whey. Whereas, the country’s major exports to Turkey are denim PET, ethanol, cotton yarn, fabric and rice, garments, leather, carpets, surgical instruments, sports good, chemicals. The official said that after signing the FTA agreement Pakistan will get market space in agriculture and pharmaceutical sector in Turkey.
Source: Yarns and fibres
Ethiopia is to inaugurate two Chinese built industrial parks in September, as the East African nation strives to become the continent's manufacturing hub. The statement was made on Monday by Tadesse Haile, state minister of economic affairs at the office of the Ethiopian Prime Minister Hailemariam Desalegn. The two industrial parks are the Dire Dawa Industrial park 446 kilometers east of Ethiopia's capital city Addis Ababa and the Adama Industrial Park 99 km east of Addis Ababa. Dire Dawa Industrial Park and Adama Industrial parks are both being built by China Civil Engineering Construction Company (CCECC) at a cost of $190 million and $125 million respectively. Both industrial parks are primarily aimed at full filling Ethiopia's ambitions to be a textile and apparel manufacturing hub in Africa earning the country $1 billion by 2020 and providing ample employment opportunity for its estimated 45 million workforce. Li Zhiyuan, deputy project manager at CCECC on his part says industrial parks are a means for Ethiopia to enhance local employment, increasing investment attractiveness and boost its competitive advantage.
Source: China Daily
Punjab Agriculture Department has decided to impart cotton-picking training to women, who work in cotton fields. A spokesman for the department said on Monday that women did not adopt proper methods of cotton-picking due to lack of training, which affects the quality of the produce. "Ultimately farmers suffer as the price of the commodity decreases at international level," he added. The first phase of the training would be completed in July while the second phase would continue in August and September, he added.
Source: The Nation PK
CAIRO, July 10 (Xinhua) -- Egyptian government on Monday pledged to take measures to encourage cotton production and exports in order to meet local demand and increase export. President Abdel-Fattah al-Sisi chaired a meeting to discuss means to support the expansion of cotton planting and the textile industry as a way to boost the national economy, the official MENA news agency reported. The meeting was attended by Prime Minister Sherif Ismail, Trade and Industry Minister Tarek Kabi, Public Business Sector Minister Ashraf el Sharkawi, and Agriculture Minister Abdel Moneim el Bana. Sisi ordered "to set a reasonable price for the supply of cotton from farmers to encourage them to expand the cultivation of this vital crop during the coming years in order to cover the needs of the local market and exporting," the report said. The president also stressed the importance of establishing integrated companies for the spinning and weaving industry in new areas. Kabi said that his ministry's strategy "focuses on the the spinning and weaving industry as part of four main sectors." Known as "white gold," Egyptian cotton is world famous for producing extra long fibers, which are ideal material for making soft and luxury fabrics and clothes. Cotton production and exporting is a strategic sector of Egyptian economy as it contributes 26.4 percent of the gross industrial product and generates 7 billion U.S. dollars in annual exports, Kabi said. Also, 25 percent of the labor force are working in around 7,000 textile companies whose investments amount to 50 billion dollars, he said. Egypt plans to double cotton production to 1.4 million qintar (160 kg) in the 2017-18 fiscal year starting in July from a year earlier. Cotton production in Egypt has declined sharply since 2011 due to political turmoil. Enditem
Source: Xinhua
The garments sector of Pakistan holds great promise when it comes to increasing export-led growth primarily because of the high value addition of exported products. Even though there has been an increasing trend in garment exports the sector is far from its true potential. After extensive stakeholder discussions BR Research has come to the view that one of the major barriers that are constraining exports is the inability of exporters to tap into new markets. The traditional export markets of North America and Europe have become saturated with thin margins and extreme competition. Coupled with the high cost of production borne by Pakistan exporters and the lack of any new market linkages established in untapped markets, the lacklustre export trajectory is not surprising. Therefore, the need of the hour for exporters is to move ahead of constantly complaining about the same issues such as power outages, and become proactive in finding new markets where there is huge untapped potential. In this regard, the Pakistan Readymade Garments Manufacturers & Exporters Association (PRGMEA) has been keenly active when it comes to creating new market linkages. In a MoU signed with the China Chamber of Commerce for Import and Export of Textile and Apparel (CCCT) delegation last year, the association aims to make China the next top destination for Pakistan garment exports. The Chinese are eager to take advantage of the host of incentives being offered to Chinese companies to invest in the textile sector. In its recent visit the CCCT chalked out the future roadmap of facilitation with the PRGMEA. A key step pertains to trade fairs whereby the CCCT will help PRGMEA in establishing market linkages with their counterparts in China. The Chamber has invited PRGMEA to lead the delegation for B2B meetings at the Canton Fair being held in China later this year. Unlike Europe where the Trade Development Authority of Pakistan (TDAP) facilitates delegations in international trade fairs, there is little government assistance when it comes to China. Other matters of importance included deciding methods for dispute resolution with CCCT and PRGMEA considering mutual arbitration with the two bodies as the main focal point. PRGMEA also highlighted the need to streamline visa access to Pakistani businessmen especially in view of the preferential treatment given to the Chinese when it comes to visas. According to Ijaz Khokhar, chief patron of PRGMEA, it was essential to ensure that the same incentives were provided to Pakistan entrepreneurs as are being given to the Chinese. For example, tax holidays can be availed by Chinese investors by investment in not just CPEC special economic zones but generally as well. Whereas, local businessmen are alarmingly unaware about the exact nature of incentive provided under the corridor. There was also talk of establishing a facilitation desk in China to assist Pakistani textile exporters in establishing market linkages and increase their market presence. This will go a long way in helping local businessmen tap the immense potential of the Chinese market. Ijaz is of the view that given the proper measures are taken China can become a $1.5-2 billion incremental market for textile exports in the near future.
Source: Business Recorder
In 2016, the total value of the U.S. apparel market — both online and offline — was $200 billion, with Amazon claiming about $3.4 billion of that, a new report from One Click Retail has found. While total U.S. apparel sales climbed 3 percent last year, Amazon's apparel sales in the U.S. saw a 25 percent increase over the same period. Most recently, Amazon announced Prime Wardrobe, its take on a clothing subscription service. Women who feel "awkward" buying bras and underwear at brick-and-mortar retailers are now ringing up their lingerie purchases online instead, and this is helping Amazon gain coveted market share, a new report from sales analytics firm One Click Retail has found. The so-called Amazon effect is striking again, and this time in the clothing department. As the internet giant has tackled categories such as electronics, entertainment, books and most recently grocery — by way of a pending deal withWhole Foods — Amazon has been low-key in beefing up its apparel offerings. In 2016, the total value of the U.S. apparel market — both online and offline — was $200 billion, with Amazon claiming about $3.4 billion of that, One Click Retail said. While total U.S. apparel sales climbed 3 percent last year, Amazon's apparel sales in the U.S. saw a 25 percent increase over the same period. The top-performing apparel categories on Amazon.com in 2016 included men's bottoms, which pulled in $375 million in sales women's intimate apparel, which boasted $250 million in sales women's denim, with revenue of $170 million and men's underwear, with sales of $165 million, according to data from One Click Retail. A representative from Amazon didn't immediately respond to CNBC's request for comment on these figures. Amazon's third annual Prime Day event this week will be the perfect opportunity for the e-retailer to promote itself more in the fashion department, Kantar Retail analyst Meaghan Werle told CNBC. She said she'll be watching for Amazon to "leverage the visibility of its private-label brands, especially in fashion." Amazon could do a lot more there, Werle added. In Amazon's "sneak peak" of Prime Day deals, the company said its Prime Exclusive clothing, handbags and more, would be 40 to 50 percent off. Prime members can also save 30 percent on select clothing, shoes and more for men, women, kids and in the baby department, Amazon said. In the spring, Amazon introduced Simple Joys by Carter's, a line of children's clothing sold in bundles the Carter's company designed this line to sell exclusively to Amazon and its Prime members. Before this, Amazon was selling its own private-label clothing brands, but they were hardly being marketed online. Thus far, Amazon's so-called bread and butter when it comes to apparel has been more "everyday essentials" and not as much luxury. "Our data shows that the company is having great success with necessities and everyday items such as jeans, socks, underwear and men's work clothes," One Click Retail's report said. Though, "in their efforts toward a hassle-free shopping experience, Amazon is investing in innovation: in payments, order fulfillment, product selection and now, with Amazon Prime Wardrobe, return policy flexibility." One of those efforts to ease the shopping experience is a test it's doing of Prime Wardrobe, a new fashion platform looks similar to other wardrobe subscription services like Stitch Fix and Trunk Club. According to Amazon's website, Prime Wardrobe includes brands outside of Amazon's private labels, for example, Adidas, Calvin Klein, Levi's and Hugo Boss. The service allows customers to order items like shoes, clothes or accessories at no upfront charge, only paying for what they decide to keep. Shoppers have seven days to decide what they don't want. And it's possible that Amazon's reach in the market for clothing will extend to the physical world. After theWhole Foods acquisition was announced, some analysts began floating the idea of Amazon looking to buy specialty apparel retailers next, for example Luluemon. One reason Amazon might look to make a real estate heavy acquisition in the future: department stores, discount stores and specialty stores remain the top store formats where women shop most often for clothes, according to a recent research report from Fung Global Retail & Technology. Meantime, a whole host of specialty retailers have filed for Chapter 11 bankruptcy protection this year alone, including clothing brands The Limited, Wet Seal, BCBG Max Azria, Rue21, Gymboree and just last week True Religion. There's no reason to suspect Amazon couldn't be a buyer of one of these apparel retailers looking to sell, either, Josh Sussberg, a partner in Kirkland & Ellis' restructuring group, told CNBC. "I think that every retail company is looking at their economies of scale — whether or not they have liquidity or upcoming maturities — and all of these companies are trying to figure out how to adapt to an ever-changing environment." This chart shows how quickly Amazon is 'eating the retail world'. Amazon is now "eating the retail world," MKM Partners analyst Rob Sanderson wrote in a note to clients last week. It's important to note that Amazon still only boasts a 5 percent share of total retail sales, excluding food, across the country, according to data from the U.S. Census Bureau. But Amazon's share of retail sales across the U.S. in key categories — sporting goods, clothing, personal care and electronics — will only continue to accelerate from here, Sanderson said
Source: CNBC
Multan : Punjab Minister for Agriculture Naeem Akhtar Khan Bhabha Monday said there were bright chances of fixation of good price of cotton crop this year. He said cotton produced at home was also insufficient to meet the demand of textile sector. While talking to a delegation of farmers, the minister said that the world expects 22.9 million tonnes of cotton production this season whereas the consumption has been assessed at 24. 3 million tonnes, said a press release issued by the media liaison unit of Punjab Agriculture Department He said Bangladesh and Vietnam are expected to witness five per cent increase. Bhabha disclosed that according to international cotton advisory, average price of a maund of cotton would be over Rs 3,500. To keep the prices stable in the domestic market, the provincial government was trying to get the cotton in cotton utilisation this year. He said that there were chances of reduction in cotton production in India and USA due to weather changes. banned during the cotton harvest season, he added. He further stated cotton area has also been reduced to some extent in China adding that it may compel China to increase its cotton imports Bhabha said the Punjab government was spending Rs 335.82 million to improve the quality and production of cotton in Punjab. He urged farmers to improve quality and per acre production of cotton to by 10 per cent. He said that China want to import cotton from Pakistan. attract premium price from the lucrative international markets
Source: Pakistan Observer
Cambodia’s first garments manufacturing training institute will begin classes today, aiming to educate a new generation of students in apparel design, development, management, merchandising and industry engineering. More than 160 workers from 14 factories across the country will begin classes at the Cambodian Garment Training Institute, which has been organized by the Garment Manufacturers Association in Cambodia and set up inside the Phnom Penh Special Economic Zone. The institute seeks to be part of the solution to the “skills gap” that exists in one of Cambodia’s most important industries, and will look to train workers and help fill middle-management vacancies. “These courses are based on the jobs that are lacking the most in the industry,” said Andrew Tey, the institute’s director. The institute offers three different diploma programs, which all last about three months, and will be made up of a selection of 27 short courses that span three to five days each. Mr. Tey said the short courses on their own had seen the most interest. “So far, we haven’t had factories send their staff members to receive diploma courses because they find that they cannot afford to send their staff for so long,” Mr. Tey said. Most of those attending the initial courses will have their tuition covered by their factories, he added. In addition to courses on manufacturing skills, the institute will also offer a “Train and Place” program for high school and university students as well as current garment workers that includes placement at a factory as a management trainee. The program requires a $800 deposit, but students will receive a minimum salary of $250 during their stints as trainees and can look to make up to $450 per month for similar positions once they graduate after about a year, the institute said. The garments manufacturing industry is currently Cambodia’s largest formal private sector employer with more than 700,000 workers, according to an Asia Foundation report from March. The International Labor Organization says the sector also provides almost 80 percent of the country’s total export revenue. However, finding workers with the right skills remains a challenge, the Asia Foundation report says. Chou Ngeth, senior consultant at regional firm Emerging Markets Consulting, said the productivity of production line workers was a concern, explaining that the industry needed to improve their skills and use modern machines in order to produce higher-value added goods and remain competitive. Rising wages and intensifying competition from neighboring countries—such as Burma and Vietnam—have been threatening the sector’s attractiveness for investors. Mr. Ngeth added that managerial opportunities in the garments industry could be an attractive option for university graduates, many of whom have struggled to find jobs. “This is an opportunity for them to first do professional work,” and in the long term work at the management level, he said. According to the institute, funding for the center has come from the French Development Agency (AFD), while TaF.tc International, a Singapore-based fashion institute, is providing technical assistance. Ath Thorn, president of the Cambodian Labour Confederation, questioned GMAC’s use of loans from the AFD to fund the institute, saying it looked more like a “profit-making business” than an effort to build the capacity of garment workers. “The institute is a good idea in order for workers to learn those skills. But employers have a responsibility to train workers anyway, and they have not. This project is more like a business idea than what we thought,” he said. “They should allow workers who want the training to take it, and they should reduce the fees,” he said, adding that the project should have a committee overseeing how the money from AFD is allocated. “If factories send over only management staff to receive the training, and those who do not have jobs want to receive training in order to get jobs, they still can’t do anything.” Mr. Tey, the institute’s director, said all of the courses on offer had come directly from TaF.tc and would be taught by international trainers for the first year. By the second year, they hope to have at least 50 percent of the courses taught by Cambodian trainers, moving to 100 percent by the third year. The institute has eight classrooms and can handle about 200 students at a time, Mr. Tey said.
Source: The Cambodia Daily
