Union textiles minister Smriti Irani announced a Centre's proposal to set up a yarn depot jointly with the state government, giving a further boost to the textile sector that has garnered proposals worth Rs 7,000 crore in the run-up to investors' summit that began on Wednesday. Running short of time because her session began late, Irani said the PM says that all subsidies should reach the needy but whenever she spoke to weavers, she was told that they hardly received any subsidy. "I propose to the state government that a yarn depot be set up in UP through which weavers can directly purchase yarn at subsidised rates," Irani said. She also urged UP industry minister Satish Mahana and textile minister Satyadeo Pachauri to start negotiations with industrialists to restart closed knitwear mills. She said the new textile policy was an inducement as many UP industrialists want to return to the state. Pachauri said that problems faced by mills in Kanpur, mainly due to trade unions, were now over.
Source: The Times of India
NEW DELHIL: The government is likely to impose anti-dumping duty of up to USD 211 per tonne on a chemical used in textiles and pharma industry, imported from China and Turkey for a period of five years. Imposition of the duty on 'Dimethylacetamid' would provide level-playing field to the domestic industry and also guard them from cheap imports. Following complaints from domestic companies, the Directorate General of Anti-dumping and Allied Duties (DGAD), under the commerce ministry, investigated the matter. In its final findings of the probe, the directorate has concluded that the product has been exported to India from these two countries below normal values, and due to this the domestic industry has suffered material injury. "The authority recommends imposition of definitive anti-dumping duty...so as to remove the injury to the domestic industry," the DGAD said in a notification. DGAD has recommended the duty in the range of USD 48 per tonne and USD 211 per tonne. The finance ministry takes the final call on imposition of the duty. Rashtriya Chemicals and Fertilizers Ltd and Balaji Amines LtdBSE -0.30 % had filed the application for initiation of the anti-dumping investigations. Countries carry out anti-dumping probe to determine whether their domestic industries have been hurt because of a surge in cheap imports. As a counter measure, they impose duties under the multilateral regime of WTO. The duty is also aimed at ensuring fair trading practices and creating a level-playing field for domestic producers with regard to foreign producers and exporters. India has already imposed anti-dumping duty on several products to check cheap imports from countries including China, with which India has a major concern of widening trade deficit. The deficit with China stood at USD 36.73 billion during April-October this fiscal. The country has imposed the duty on as many as 98 products, as on December 27 last year, imported from China.
Source: The Economic Times
India’s e-retail market may rise by 250 per cent in the next three years as players shift from discounts to consolidation, geographical diversification, business realignment and enhancing customer loyalty, says a Crisil report. The market is 1.5 per cent (Rs 70,000 crore) of the overall Rs 49-trillion Indian retail sector, implying enormous growth potential. The online shopping segment has trebled over the past three fiscals due to rising Internet penetration, awareness of online shopping as well as alluring deals and discounts. "After the initial phase where e-retailers focused only on gaining market share through discounts, the next phase will be characterized by consolidation, geographical diversification, business realignment, as well as enhancing customer stickiness," a news agency reported quoting the Crisil report. A frenzied search for unicorns in the past couple of years ended badly for many investors, who saw their equity wiped out and resulted in about 26 prominent start-ups shutting shops in the past two years. The company’s analysis of 11 major e-retail firms showed that around 45 per cent of the over Rs 40,000 crore invested between fiscals 2013-14 and 2015-16 was wiped off due to losses at e- retailers. The funding trend indicates cautious and focused investing with an eye on profitability, the report said. As the online customer base in the country is largely concentrated in major cities, faster growth will slow down in these regions as it is already highly penetrated and players would need to move into small towns to sustain growth, the report added.
Source: Fibre2fashion
To develop and support khadi artisans across Uttar Pradesh and empower their growth in the digital economy, Amazon India has inked MoU with the state's Khadi & Village Industries Board, a government of Uttar Pradesh undertaking. As part of the MoU, Amazon India will educate, train and enable rural artisans to directly sell their products to Amazon.in customers. Through this partnership, Amazon India and Uttar Pradesh Khadi & Village Industries Board intend to empower and generate livelihood opportunities and income for the rural artisans and boost the economy of the khadi and village industry. By bolstering digital connectivity of the artisans community, this collaboration will help them be a part of and benefit from India’s booming digital economy. With the option of selling products online, rural artisans will be able to expand their reach, fetch an appropriate price for their unique products, which in-turn will help raise their overall standard of living. "Khadi-India’s signature fabric has seen a new wave of acceptance from customers in the last few years. There are thousands of weavers and artisans who bring this craft to life through their skills. We believe that e-commerce is the best suited way for these artisans to reach customers across the corners of not only this country but the world. We are happy to partner with Amazon India to support the digital journey for these artisans, expand their reach and boost employment for the sector. This venture into the online commerce space truly supports government’s ‘Digital India’ initiative and we look forward to providing our support to Amazon in this journey," said Satya Dev Pachauri, minister of khadi and village industries, Government of Uttar Pradesh. "With khadi becoming more popular among modern customers, it’s very important to understand their ever changing tastes and preference. This is where e-commerce can play a crucial role provide such insights to further improve our product offerings. Through this partnership with Amazon India, we want to provide maximum opportunities to these khadi societies and village industries and support their growth," said Avinash Krishna Singh, CEO, Khadi & Village Industries Board, Government of Uttar Pradesh. "In line with our vision to transform the way India buys and sells, Amazon India has been continuously working towards enabling more and more sellers, weavers and artisans to embrace online selling and become profitable. To support the surge in demand for Khadi products in the last few years, we are very happy to partner with Uttar Pradesh Khadi & Village Industries Board to take these products to millions of loyal Amazon customers. Through training, marketing, selling and delivery of various khadi and village industries products, we seek to drive disruptive change and transform the lives of rural artisans from across the state. We look forward to offering them the most comprehensive suite of seller services and requisite tools in their new digital journey," said Gopal Pillai, director & GM, seller services, Amazon India. "This partnership will help promote our products to a larger customer base and in turn boost sales which will be motivating for our rural artisans. With their rich experience and deep understanding of consumers, Amazon India can really make a difference in facilitating these gifted artisans and craftsmen to take advantage of the growing digital economy," Navneet Sehgal principal secretary, Khadi & Village Industries, Government of Uttar Pradesh, said. Amazon India, over the course of one year, has partnered with various government bodies like DC Handloom, ministry of textiles, The Tribal Cooperative Marketing Development of India, Government of Telangana, Government of Nagaland and National Skill Development Corporation, Gujarat Tribal Development Department to supplement the efforts of the government to uplift artisans & SMEs across the country. The company has created specialised training modules, conducted workshops with on-ground staff and shared learning resources to help them start & grow their businesses online.
Source: Fibre2fashion
National Cotton Council economists point to a few key factors that will shape the U.S. cotton industry’s 2018 economic outlook. In recent months cotton prices have maintained a stronger appearance despite the increase in world production. Although the current supply and demand fundamentals appear somewhat bearish strong U.S. export sales a weaker U.S. dollar heavy speculative buying and large mill fixations have supported prices. For the coming year projections of record ending stocks outside of China could pressure prices. Looking longer term several positive factors point to a more optimistic outlook for the cotton industry over the next few years. The world economy is improving and stronger growth is projected in 2018 and 2019. World cotton demand is increasing with current estimates calling for an increase of approximately five percent in 2017 which is more than double the previous five-year average. China will begin the next round of reserve auctions next month. A successful auction series in 2018 could easily position China to become a larger cotton importer again. Dr. Jody Campiche the NCC’s vice president Economics & Policy Analysis told delegates at the NCC’s 80th Annual Meeting in Fort Worth Texas today that “World mill use is expected to exceed world production in the 2018 marketing year and global cotton stocks are projected to decline by 5.4 million bales in the 2018 balance sheet.” In the NCC’s annual Economic Outlook she noted the global stocks decline is due to reduced inventories in China. China’s stocks are declining with USDA estimating a drop of 8.0 million bales in 2017. In 2018 an additional 10.0 million bale reduction in total stocks is expected. She said world production is projected to be 119.3 million bales in 2018. World mill use is projected to increase by approximately three percent in 2018 to 124.8 million bales with most of the growth from China Vietnam and Bangladesh. While projections of global consumption exceeding production normally would be supportive of prices the implications for the coming year may not be as clear cut as stocks outside of China are projected to increase by 8.6 million bales in 2017 and 4.6 million bales in 2018. Regarding domestic cotton mill use Campiche said 2017 U.S. mill use is estimated at 3.4 million bales up 100 000 bales from 2016. The Economic Adjustment Assistance Program continues to be an important source of stability allowing mills to invest in new facilities and equipment. For 2018 the NCC is projecting a modest increase in U.S. mill use of 60 000 bales. She noted that export markets continue to be U.S. raw fiber’s primary outlet. The United States will remain the largest cotton exporter with a market share of 39 percent in 2017 as compared to 40 percent in 2016. China is currently the top export market for the 2017 crop year followed by Vietnam and Pakistan. World trade is projected to be higher in the 2017 marketing year but increased competition from other major exporting countries has led to a decline in the U.S. market share. U.S. export sales have been very strong with early sales surpassing recent crop years. For 2017 the NCC estimates U.S. exports at 15.0 million bales up 0.6 percent from 2016. However shipments have been lagging behind sales during the first half of the marketing year. While several factors led to shipping delays earlier in the marketing year trucking shortages along with increased trucking costs currently are affecting cotton shipments. The shipment pace has increased over the past few weeks and will need to remain strong for the remainder of the marketing year to reach the 15.0 million bale estimate. Looking ahead to 2018 increased competition from other cotton-producing countries is expected to reduce both U.S. exports and U.S. market share. With exports pegged at 14.3 million bales Campiche projects total U.S. offtake of 17.7 million bales in 2018 leading to an increase in ending stocks of 1.5 million bales. In China cotton mill use has increased but competition from lower-priced man-made fiber remains a limiting factor for the continued growth of cotton fiber use. Although internal cotton prices are still strong relative to polyester prices polyester prices increased in 2017 and are currently at the highest level since 2014. China’s new environmentally-friendly policies could also affect man-made fiber production and use. In her analysis of the NCC Annual Planting Intentions survey results Campiche said the NCC projects 2018 U.S. cotton acreage to be 13.1 million acres 3.7 percent more than 2017. With abandonment assumed at approximately 15 percent for the United States Cotton Belt harvested area totals 11.1 million acres. However due to the dry conditions that currently persist across the Cotton Belt and the forecasts of abnormally dry conditions throughout the spring particularly in the Southwest the final abandonment rate could be higher. Using an average U.S. yield per harvested acre of 842 pounds generates a cotton crop of 19.4 million bales with 18.7 million upland bales and 744 000 extra-long staple bales. However it is important to note that although the survey results suggest a slight increase in acreage the increase is largely the result of weaker prices of competing crops. Although cotton prices have improved slightly compared to other crops cottonseed prices have dropped significantly thus leading to an increase in net ginning costs. Many producers will continue to face difficult economic conditions in 2018. Production costs remain high and unless producers have good yields current prices may not be enough to cover all production expenses.
Source: Tecoya Trend
NEW DELHI — The 40th year of Apparel Export Promotion Council (AEPC) was celebrated at APEC Head office in Gurgaon today with Mr. Amitabh Kant CEO NITI Aayog presiding as the chief guest for the event and delivered the foundation day speech highlighting the importance of Indian Apparel sector as a pivot for higher value addition and employment generation with very low capital investment. In his address Mr. Amitabh Kant said “China has started moving out of the apparel sector and there is a huge opportunity for India. Today the wages in China are 2-3 times that of India and given the aging population of China the cost of apparel manufacturing will continue to rise there. In such a scenario the global suppliers will start looking at other avenues for sourcing. Countries like Bangladesh and Vietnam are having preferential access in European Markets and hence it is extremely important that we get the FTA with Europe ratified at the earliest. As far as Indian apparel exports are concerned India is heavily reliant on cotton and we need to see how we can move to man-made fibres which can help us to garner more global share. There has been a reduction in the benefits of the Industry post GST roll out and we are looking at ways through which we could bring it at par with the rates prevalent in the previous regime. For the benefit of the Industry central and state levies should be refunded and Government will work with The Industry to resolve this issue.” He has also mentioned that at the immediate phase to create positive signs it is important to resolve the issues viz. blocked taxes and refund of GST and exchange rate related concerns to bring back the apparel export and manufacturing sector in a growth path from consistent decline trends. Speaking on the occasion Mr. HKL Magu Chairman AEPC said “AEPC’s well-timed initiatives and confidence to take calculated risks braving all odds perceptible across all circumstances is the key fuel for the India’s apparel export growth. As India is gearing up to move towards WTOcompatible production-based subsidies from export-based subsidies it becomes extremely important that we position India strongly as a responsible Apparel city in offing Investor ’s summit we have signed a MoU with UP Government to construct an apparel city in 200 acres on Yamuna Expressway. With AEPC’s capability and initiatives and continued understanding and support of the Government India’s apparel exports are sure to grow from strength to strength while providing international buyers with most superior solutions in fashion and apparel”. Meanwhile it may be noted here that AEPC was born in 1978 as a quota monitoring entity. AEPC is today one of the largest councils of the country. It is recognized worldwide as a powerful body for the promotion and facilitation of garment manufacturing and export from India. Built as a sponsored body under the Ministry of Textiles it boasts of a strong membership base that exceeds 8300 members.
Source: Tecoya Trend
Ratings agency further expects challenges to be countered by improved demand growth on a year-on-year basis and operating leverage benefits. Lower cotton prices and demand recovery are expected to support textile sector profitability, a report said. "We have maintained a stable outlook for cotton textiles and synthetics for FY19. This is in view of expected margin expansion due to softening in cotton prices, improved consumer spending outlook in key user countries and the low base effect of FY18," according to India Ratings and Research (Ind-Ra). The report noted that the slowdown in domestic demand for textiles due to demonetisation and the goods and services tax (GST) implementation, seems to have bottomed out in the second half of the fiscal. Better margins, modest reduction in working capital requirements and subdued capex in FY19 will improve the overall credit profile, Ind-Ra said. The report noted that the textile sector outlook is constrained by the possible impact of pink bollworm on cotton output and prices, and increasing crude prices on synthetics. Increasing crude price is likely to narrow the spread between cotton and synthetic yarns, thereby moderating the pace of switch to synthetics from cotton textiles. Operating margins of synthetics manufacturers may witness volatile margins due to crude price fluctuations and delays in passing on cost inflation. However, these challenges may be countered by improved demand growth on a year-on-year basis and operating leverage benefits, Ind-Ra said. A higher-than-expected rise in cotton acreage at 19 per cent and a consequent 11 per cent increase in crop production in FY17-FY18 are likely to moderate cotton prices in FY19, despite increase in prices in the last few months due to the pink bollworm issue. The global stock-to-use ratio for cotton, excluding China, increased to 56 per cent in FY18 from 47 per cent in FY17, although Chinese inventory declined 17 per cent year on year.
Source: The Economic Times
JALNA/BEED: As they stand in the remains of their farm with discarded grapes strewn around their feet, 83-year-old Aasrabai Shelke and her daughterin-law Mandakiniburst into tears. A hailstorm ten days ago claimed their grape harvest in Jalna’s Revgaon village it was expected to fetch them a handsome Rs8 lakh. They were hoping it would compensate for their cotton crop, wrecked by the pink bollworm pest that has swept through Vidarbha and Marathwada. “Most women in our family have no jewellery left. In the last five years, we had three years of drought. We had a good monsoon last year but our cotton crop was eaten by pests. Now our grapes are gone too,” said Aasrabai’s son Ramrao Shelke. Families across Vidarbha and Marathwada are grappling with the double whammy of hailstorms after the largest pest attack of the pink bollworm on their cotton fields. After losing cotton crop over the last year, their winter crop of fruits, jowar and wheat was meant to be their lifeline. Nearly 3 lakh hectares of rabi crop was hit by hailstorms, which are expected to strike again in north Maharashtra. Over 80% of cotton crop in the state was impacted by the pink bollworm, according to the revenue department. The state has 42 lakh hectares under cotton crop. 34 lakh hectares of cotton fields have been affected. In Beed district, Ankush Chalak’s family lost most of their 7-acre cotton field to the pest attack. “We usually got a yield worth Rs4 lakh. This year, we will not even make Rs2 lakh,” he rued. The hailstorm claimed their jowar field too. Around 98% of cotton crop in the state uses BT cotton seeds. But while the BT cotton trait BGII claims to have resistance against the American and pink bollworm, the pest attack has renewed questions over the claim. The state had written to the Centre last year to have BGII denotified as it had lost resistance to pink bollworm, but the proposal did not proceed. The government says it has advised seed companies to declare BGII is not resistant to pink bollworm. “If they don’t, they will have to face the liability of compensation claims from farmers. We have also advised short duration BT seeds be planted as this breaks the pest’s life-cycle,” said state agriculture secretary Bijay Kumar. BGII technology was developed by global seed giant Monsanto and marketed in India through the joint venture firmMahyco Monsanto Biotech India Ltd, which licenses the technology to Indian seed companies. BGII was launched in 2006. A Mahyco Monsanto Biotech (India) Pvt Ltd spokesperson has contested the drop in yield, saying cotton arrivals are in line with last year’s data. The company also said farmers need to be helped to follow integrated pest management practices to prevent pest attacks. It said some factors that led to increased infestation are lack of non-BT refuge planting, use of unapproved BT seeds and prolonging the crop cycle over the recommended period. Around 13 lakh farmers have filed compensation claims but the process of dispensing it is yet to begin. The state had declared compensation of Rs30,380 per hectare. Of this, around half is to be paid by the seed company and the rest through crop insurance and National Disaster Relief Fund. Meanwhile, distress is growing. “I wanted to send both my sons to a private school this year. But now I cannot afford it,” said Babasaheb Golde, who lost his cotton field to the bollworm and grape farm to the hailstorm. His sister-in-law Sita has sold 4 tolas of gold to raise money but has lost hopes of recovering it. “How do we raise money for next crop?” she asked.
Source: The Times of India
The Indian rupee crossed the 65-mark dropping as much as 32 paise to hit a new three-month low against the US dollar on Thursday as the BSE Sensex plunged over 150 points in the morning deals. The rupee saw a decline of 32 paise to a fresh three-month low 65.09 vs the US dollar at the interbank foreign exchange market on Thursday. The domestic currency has been under pressure since last week. From Thursday, the rupee had slipped about 118 paise against the US dollar with a major depreciation on Tuesday this week when it lost 58 paise to close at a three-month low. The Reserve Bank of India fixed a reference rate of 64.8161 against the US dollar on Wednesday. Earlier yesterday, the rupee made a slight recovery after falling 58 paise on Tuesday closing at 64.77 against the US dollar. The dollar rose to a one-week high against a basket of major currencies on Thursday, after minutes of the Federal Reserve’s January meeting showed policymakers were more confident of the need to keep raising interest rates, Reuters said in a report. The dollar index edged up 0.1% to 90.099. Earlier, it climbed to 90.166, the highest level since 13 February. That lifted it about 2.2% from a three-year low near 88.25 plumbed last week, Reuters added. While on the other hand, oil was also trading lower on Thursday with the WTI crude dropping 1.07% to 61.02 while Brent crude tripped 0.83% to $64.88 per barrel. The Reserve Bank of India in its sixth and last bi-monthly policy meeting in the financial year 2017-2018 kept the key policy rates unchanged for the third time in a row. The concerns of higher inflation on the back of rise in crude oil prices and fiscal slippages steered the central bank to leave the repo rates unchanged. Earlier yesterday, the minutes of the monetary policy meeting of the Reserve Bank of India was released. According to the minutes of the meeting, RBI governor Urjit Patel was worried over inflationary pressures and decided to keep policy rate on hold as the economic recovery was at a nascent stage. Meanwhile today, Indian equities begin the day on a negative note with Sensex slipping over 150 points and Nifty tripping below 10,350 as shares of heavyweight companies such as HDFC Bank, HDFC, Reliance Industries, Maruti Suzuki and State Bank of India dragged. Shares of Sun Pharmaceutical Industries recovered some of its losses emerging as the top gainer among the Sensex components after yesterday’s rout. The benchmark Sensex lost as much as 153.3 points to hit the day’s low of 33,691.56 whereas the broader Nifty 50 fell below 10,350-level dropping 56.8 points to mark the day’s low at 10,340.65. Calculate your income tax post budget 2018 through this Income Tax Calculator, get latest news on Budget 2018 and Auto Expo 2018. Like us on Facebook and follow us on Twitter.
Source: Financial Express
Canadian Prime Minister Justin Trudeau on Thursday made a push for taking bilateral trade and investment ties between India and Canada to the next level, even as he hinted at concluding the talks for a Foreign Investment Protection and Promotion Agreement (FIPPA), and a Comprehensive Economic Partnership Agreement (CEPA) between the two countries. “Trade lifts the poor from poverty. We can create better labour standards and empower women by doing more trade and investment with each other’s countries. We can have trade and investment that are profitable and benefit from economic growth,” Trudeau said at an event that jointly organised by industry lobbies CII, FICCI and Assocham. Trudeau, who is on a week-long visit to India, said there are over 400 Canadian firms doing business in India and would like to see greater trade and investment flow between both countries. “Our trade agreements allow unparalleled market access to the global economy. If the Canada-India relationship was based on aid in the 1950s, today it is defined by trade and investment,” he added. He also said that during his trip, the Indian industry had committed investments worth over a billion dollars in Canada which he believed was “true vote of confidence” by India to Canada. “It is my hope that this trip will lay the foundation of a stronger relationship in future. We need to leverage the business and knowledge network that already exists. We have to deepen and broaden our historic friendship. We need to shift from the whole-of-government approach to whole-of-country approach,” he said. Trudeau will meet Prime Minister Narendra Modi on Friday. This will be their first-ever bilateral summit-level meeting.
Canada’s wishlist
During the meeting, Canada is expected to push India for “de-linking” the pacts on investment and trade. The Trudeau government has already made it clear to India that in the absence of the FIPPA, large-scale Canadian investments, especially, in the thriving pension fund segment will not come to India, sources told BusinessLine. A FIPPA ensures adequate legal safeguards on foreign investments coming to the host country. India, on the other hand, is insistent that the FIPPA be signed along with the CEPA. But while the talks on the FIPPA are in their final stages, negotiations on the trade pact are far from over, sources said. “We are in the midst of negotiating a free trade agreement between Canada and India. I think there is goodwill on both sides, and I was really encouraged by the positive experience we had. The economic relationship between India and Canada is on good footing, but a lot more can be done,” said Canadian Foreign Minister Chrystia Freeland at an event here.
Source: Business Line
WELLINGTON/SYDNEY (Reuters) - The final version of a landmark deal aimed at cutting trade barriers in some of Asia-Pacific’s fastest-growing economies was released on Wednesday, signalling the pact was a step closer to reality even without its star member the United States. More than 20 provisions have been suspended or changed in the final text ahead of the deal’s official signing in March, including rules around intellectual property originally included at the behest of Washington. The original 12-member deal was thrown into limbo early last year when President Donald Trump withdrew from the agreement to prioritize protecting U.S. jobs. The 11 remaining nations, led by Japan, finalized a revised trade pact in January, called the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP). It is expected to be signed in Chile on March 8. The deal will reduce tariffs in economies that together amount to more than 13 percent of global GDP - a total of $10 trillion. With the United States, it would have represented 40 percent. “The big changes with TPP 11 are the suspension of a whole lot of the provisions of the agreement. They have suspended many of the controversial ones, particularly around pharmaceuticals,” said Kimberlee Weatherall, professor of law at the University of Sydney. Many of these changes had been inserted into the original TPP 12 at the demand of U.S. negotiators, such as rules ramping up intellectual property protection of pharmaceuticals, which some governments and activists worried would raise the costs of medicine. The success of the deal has been touted by officials in Japan and other member countries as an antidote to counter growing U.S. protectionism, and with the hope that Washington would eventually sign back up. “CPTPP has become more important because of the growing threats to the effective operation of the World Trade Organization rules,” New Zealand Trade Minister David Parker said on Wednesday. Last month, Trump told the World Economic Forum in Switzerland that it was possible Washington might return to the pact if it got a better deal. New Zealand’s Minister for Trade and Export Growth David Parker speaks to reporters during a news conference regarding the revised text for the recently agreed Trans-Pacific Partnership (TPP) in Wellington, New Zealand, February 21, 2018. However, Parker said on Wednesday that the prospect of the U.S. joining in the next couple of years was “very unlikely” and that even if Washington expressed a willingness to join CPTPP, there was no guarantee that the members would lift all the suspensions. Parker said the deal would likely come into force at the end of 2018 or the first half of 2019. Governments were quick to tout the economic benefits of the agreement. “The TPP-11 will help create new Australian jobs across all sectors - agriculture, manufacturing, mining, services - as it creates new opportunities in a free trade area that spans the Americas and Asia,” said Steven Ciobo, Australia’s minister for trade, in an emailed statement. The first attempt to agree to a deal last November stalled amid opposition from Canada, which was seeking protection of its cultural industries. An economic analysis released by the Canadian government on Wednesday said the pact would provide exporters with tariff savings of C$428 million ($338 million) per year. Total Canadian exports to other CPTPP countries are projected to increase by C$2.7 billion, or 4.2 percent, by 2040, compared to gains of C$1.5 billion under the original TPP. New Zealand’s government expected the CPTPP to boost the island nation’s economy by between NZ$1.2 billion ($881 million) to NZ$4 billion a year, with beef and kiwifruit exporters among the top beneficiaries of the deal. The 11 member countries are Australia, Brunei, Canada, Chile, Japan, Malaysia, Mexico, New Zealand, Peru, Singapore and Vietnam.
($1 = 1.3615 New Zealand dollars)
($1 = 1.2667 Canadian dollars)
Reporting by Charlotte Greenfield in WELLINGTON and Colin Packham in SYDNEY Editing by Kim Coghill and Phil Berlowitz
Source: Reuters
The China-proposed Belt and Road Initiative has paved the way for new opportunities for Nepal to realize its dream of development and economic prosperity government officials and experts said here on Monday. They made such remarks during a one-day seminar entitled "Strengthening cooperation to promote the construction of the Belt and Road" organized by Nepal China Chamber of Commerce and Industry (NCCCI) in Kathmandu. Stating that the Belt and Road Initiative will bring opportunities in multiple fields including trade connectivity physical infrastructure development tourism and investment they pointed out the need of concrete mechanism for implementation. "We have chalked out strategies and plans to implement the initiative but I believe Belt and Road Initiative is a much broader concept. We should have three tracks of approach including the government one business to business approach including private sector and knowledge-based approach to gain maximum benefits " Shanker Das Bairagi Secretary at Ministry of Foreign Affairs said after inaugurating the event. Stressing that Nepal is a land-locked and least development country the foreign secretary said that it needs the cooperation of neighbors especially China to upgrade its status to a developing country. Nepal and China had signed a Memorandum of Understanding on Belt and Road Initiative on May 2017 in Kathmandu. Introduced by China in 2013 the Belt and Road Initiative aims to build a trade and infrastructure network connecting Asia with Europe and Africa along the ancient trade routes of Silk Road. Addressing the function Chinese Ambassador to Nepal Yu Hong said that development of the Belt and Road Initiative needs sincerity and resolution and the vision of all parties. "China is willing to work closely with Nepal to seize the historical chance to develop concrete cooperation under the framework of the Belt and Road Initiative and bring China-Nepal relations to a new height” Yu said. On the occasion she pointed out various points to enhance the cooperation namely strengthening policy coordination and consolidate mutual trust expanding connectivity and sharing experience for economic development promoting the unimpeded trade deepening the financial integration and constructing the road for innovation strengthening the people-to-people bond for mutual learning. Experts were of view that there is a need of sincerity and political commitment for the implementation of the initiative from the Nepali side. They pointed out that Nepal's government should focus on some basic pre-requisites like connectivity infrastructure development reforms in laws and policy amendments among others. Dr Rajesh Kazi Shrestha President of Nepal China Chamber of Commerce and Industry said "We are eager to welcome investment under the Belt and Road Initiative in various possible sectors like hydropower agriculture trade related infrastructure tourism herbs and herbal products natural resources and service sectors." Nearly 100 experts from different countries investors’ traders and business community members attended the one-day seminar.
Source: China Daily
ECONOMYNEXT – Sri Lanka’s textiles and garments exports exceeded US$5 billion in 2017, up 3.0% from 2016 with earnings in the month of December alone up 19% after the resumption of duty free shipments to the European Union earlier that year. Textiles and garments exports rose 19.4% to US$470 million in December 2017 from a year ago, according to central bank data. “Recording the highest value for the year, earnings from textiles and garment exports continued to increase significantly in December 2017 with increased exports to the European Union (EU) following the restoration of the GSP+ facility in May 2017,” a statement said. Earnings from garment exports to the EU increased by 27.2 per cent year-on-year, while garment exports to the USA and other non-traditional markets increased by 18.0 per cent and 14.1 per cent during December 2017. Earnings from merchandise exports surpassed the one US dollar mark in December 2017 for the fifth time during the year and recorded a double-digit growth for the sixth consecutive month compared to 2016, the statement said. The increased performance in industrial exports supported by textiles and garments largely contributed to this growth, it said.
Source: Economy Next
Global experts on Monday said that Bangladesh’s readymade garment sector should be transformed to a fashion-oriented industry from commodity-oriented one to remain competitive in the global market. This was the time for Bangladesh to be innovative with adoption of latest technology as the global apparel industry is moving towards smart wears, said speakers at the Fashionology Summit. The summit, first ever in Bangladesh, was organised by Bangladesh Apparel Exchange at International Convention City Bashundhara in the capital. ‘Improve the factory layout and improve worker’s efficiency. Your worker is your most important capital and investment in your worker delivers the best return,’ said David Birnbaum, transfer pricing expert and strategic adviser to World Bank. He said that there was an apprehension that the adoption of technology would make the workers jobless but if the workforce was technologically advanced, they would not loss their job as industry would grow with skilled people. Birnbaum said that it would not be possible to remain competitive in the new dimension of global fashion technology by producing basic items and suggested that Bangladesh should transformed its garment sector to a fashion-oriented industry. Birnbaum said that garment makers in Bangladesh would have to emphasise quality products, not only quantity to remain competitive in the new dimension of future fashion technology. He said that the man-machine ratio is higher in Bangladesh than any other competitor countries and it should be reduced by adopting technology. Birnbaum suggested making investment for product development, speed to market and new skill sets for coping up with the future fashion technology. ‘Your people are your greatest capital assets. Invest in your people. Value your people,’ he said. Muchaneta Kapfunde, founder and editor-in-chief of Fashnerd, predicted that the global market size of smart textiles would be $130 billion by 2025 as it was able to do many things that traditional fabrics could not such as interacting with surrounding environment and reacting to changes in its environment. She said that the smart fabrics space was opening up a massive creative space for fashion designers and it would offer enhancement of human capabilities. The world fashion industry was excited about the smart fabrics as it would be possible to access advanced functions such as monitoring one’s emotional state, stress level, and ergonomic posture through the fabrics, Muchaneta said. Eva Van Der Brugge, innovation manager of Fashion for Good, said that Bangladesh apparel and textile industry would have to adopt latest technology to cope up with future fashion technology. She said that Bangladeshi garment makers were gradually adopting technology and it was obvious for the sustainability of the industry. Mustafuz Uddin, chief executive officer of Bangladesh Apparel Exchange, said that they endeavoured to bridge the gap between the present and future of Bangladesh textile and apparel industry through technology, innovation and knowledge sharing by organising the summit. A total of 17 global experts on fashion and technology spoke at the programme.
Source: New Age BD.
The Arab Fashion Council (AFC), representing the 22 Arabic countries' members of the Arab League, has established a multi-year partnership with the British Fashion Council (BFC). The partnership will help deliver a growth strategy for the fashion industry within the Arab World and provide a gateway into the region for British and international brands. This partnership, which will see the BFC become a Strategic Development Partner of the Arab Fashion Council has two main aims to deliver a growth strategy for the fashion industry within the Arab World and to provide a gateway in to the region for British and international brands without a foothold there currently. "We look forward to working with AFC as they develop their fashion infrastructure and community. We also look forward to developing opportunities for brands and businesses to expand into the Arabic countries through this new relationship with the AFC, who are experts in their market," said Caroline Rush, chief executive, British Fashion Council. The partnership is the foundation of a long-term strategy to establish a sustainable fashion infrastructure in the Arab World, harnessing design, manufacturing, retail, commerce and education, positioning the region as a key strategic hub cementing the fashion industry as a key pillar for the creative economies in the region. "This important partnership will support the Arab Fashion Council in achieving its ambition to unite a sustainable fashion system for the Arab World. With the counsel and expertise of the British Fashion Council, the AFC will nurture and promote the talent resource from the region and strategically reinforce the Arab World as an important economic hub for the international fashion industry," said Jacob Abrian, founder and chief executive, the Arab Fashion Council. As part of the Council's regional expansion, in December 2017, the AFC announced the opening of its regional office in Riyadh and the appointment of Princess Noura Bint Faisal Al Saud as honorary president. "We are pleased to form a strategic alliance between the Arab Fashion Council and the British Fashion Council. This reflects the global interest in our vision to transform the fashion and retail sector in Saudi Arabia into both a regional and global destination. This can only happen by stimulating local and regional industry, by encouraging trade exchange and global business in line with the Vision 2030, as our gateway to a future that reflects the cultural image of Saudi Arabia and its people," Noura Bint Faisal Al Saud said. Layla Issa Abuzaid, country director Saudi Arabia, the Arab Fashion Council, summarised "The strategic partnership we are announcing today between the Arab Fashion Council and the British Fashion Council is part of our quest to strengthen the fashion sector in Saudi Arabia and to support talent in a young society where median age is just 29. We are confident that we are on the right track to transform the fashion industry of the Kingdom into one of the leading economic sectors for Saudi Arabia, creating new job opportunities, opening markets for Saudi exports and supporting the economic development of the country by becoming part of a world industry worth over three trillion dollars."
Source: Fibre2fashion
The Central Agency for Public Mobilization and Statistics (CAPMAS) announced that total cotton exports fell to 128.3 thousand quintals during the first quarter of the 2017-2018 agricultural season, compared to 202.5 thousand metric quintals during the same period of the previous season, thus recording a decline of 36.7 percent. The CAPMAS attributed this decline to decreasing area cultivated with cotton.
CAPMAS added in its quarterly bulletin on cotton for the year 2017-2018 that the total quantity of cotton consumed domestically has reached 44.5 thousand quintals during the period (September / November 2017) compared to 107,000 quintals in the same period of the previous season, declining by 58.4 percent, as some cotton mills stopped production. The quantity of treated cotton rose to 515.9 thousand metric quintals during the same mentioned period, compared to 263.8 thousand quintals during the same period of the previous season, recording an increase of 95.5 percent. This increase is due to the accumulation of the crop from the previous season, according to CAPMAS report.
Source: Egypt Independent
Producers have several changes to consider as they determine best insurance options for 2018. March 15 crop insurance deadline quickly approaching. Growers need to be aware of changes. Drought-stricken cotton growers are encouraged to take advantage of new crop insurance provisions and consider insurance add-ons such as the Cottonseed Pilot Endorsement (CPE) to increase coverage levels, as the March 15 crop insurance deadline approaches. Producers have several changes to consider as they determine best insurance options for 2018, says Shawn Wade, director of policy analysis and research at Plains Cotton Growers, Lubbock, Texas. Wade, spoke to producers at the Seeking Solutions to Economic Risk meeting in Lubbock. “If a grower has a yield loss and the insurance price is 74 cents on the lint, the cottonseed endorsement is going to add a little over 11 cents to their coverage to account for the loss associated with cottonseed. So, it’s a good addition when you have experienced a physical loss,” Wade says. For 2018, the CPE yield loss coverage for cottonseed has been set at 9 cents per pound, the equivalent of $180 per ton. “The way this works, you can add it to a yield policy or a revenue policy but the cottonseed coverage will only kick in with an actual physical loss below that yield guarantee,” explains Wade. “If you have a 1,000-pound Actual. Production History (APH) with 70 percent coverage, when that actual yield falls below 700 pounds, those lost pounds would trigger an indemnity under the cottonseed endorsement.” Since its inception, CPE has paid out over $650 million in extra insurance payments to producers, with Texas growers accounting for the most users. “In 2017, out of about 50,000 cotton policies sold nationwide, we have just under 30,000 that added the cottonseed endorsement, or about a 58 percent use rate nationwide,” says Wade. “It’s a cost-effective way to add a little extra bit of value to your insurance policy.” For 2018, the statewide seed-to-lint conversion factor in Texas is a little over 1.3, according to Wade. “As these newer varieties have come on these last 10 or 15 years, we’ve seen the seed size go down, and we’re seeing that reflected in the calculated seed-to-lint ratio.”
More Changes
Before growers make their final insurance decisions, Wade says they need to be aware of several changes including:
Replanted Crop
A new definition for a “Replanted Crop” in the common crop insurance policy will consider any failed crop acreage replanted to the same crop prior to the end of an established Late Planting Period, or within the time specified in the Special Provisions (which impacts cotton specifically), to be a replanted crop from which any production will be determined and used to establish any possible indemnity that might be payable.
Enterprise units by practice
RMA also has announced that beginning in 2018 producers who choose to insure their farms with Enterprise units will now be able to, not only, create separate enterprise units by practice, but also elect to mix enterprise unit coverage on one practice with optional unit coverage on a different practice. “The ability for a grower to choose, for instance, to insure non-irrigated cotton under an enterprise unit, but maintain optional unit coverage on their irrigated units will greatly enhance a producer’s ability to fine-tune their insurance coverage to match the financial risks they face on their farm.” notes, Wade.
Yield cups
Another change of which growers need to be aware is with yield cups. In the past, this provision, which prevented a grower’s APH from dropping more than 10 percent from year to year, was automatically a part of the policy. Now, growers must request yield cups be added to their database, Wade cautions. “It’s a one-time election. It doesn’t cost anything. So, just make sure it has been elected for your policy.”
Trend Adjusted Yield
RMA has extended the applicability of yield cups to both Trend Adjusted Yield (TA) and the 2014 farm bill’s Yield Exclusion (YE) adjusted APH databases, which should help prevent large year-to year fluctuations in TA- or YE-adjusted APH database yields.
Cotton quality adjustment
A new provision in the cotton quality adjustment procedures “eliminates the 15 percent deductible and replaces it with a 10 percent trigger. Beginning in 2018, growers who can show a 10 percent quality reduction, can trigger the quality loss provision and calculate a production adjustment factor, they’re going to calculate that loss all the way from 100 percent of the applicable state base quality value, all the way down, to each bale’s actual loan value.”
Conservation compliance dates
The deadline for receiving revised AD-1026 Conservation Compliance forms was shifted from June 1 to the premium billing date, to allow more time for updated forms to be submitted to the USDA Farm Service Agency (FSA) and then to RMA to avoid loss of premium subsidy benefits. Crop insurance is a complex issue that will require a close examination of multiple options. Producers should check with crop insurance representatives as soon as possible to determine the best policy options for each farm, crop and level of acceptable risk.
Source: Southwest Farm Press
