New Delhi : The last date for filing of return in Form GSTR-3B for the month of April has been extended by two days. Taxpayers can now file their April GSTR-3B return till May 22. Filing GSTR 3B is mandatory for all those who have registered for the Goods and Services Tax (GST) The move to extend the due date follows the “emergency maintenance” being carried out on the system in the wake of technical issues being faced by the taxpayers during the filing of Form GSTR-3B. MS Mani, Partner-GST, Deloitte India, said considering the difficulties faced in filing the GSTR 3B returns including issues such as data not being saved, data becoming null, etc, it would be preferable that the return filing timeline is extended by a week and not two days. Abhishek Jain, Partner, EY, said the extension is expected to bring substantial relief to those taxpayers who were struggling with system issues on the last working day (for most) before the due date for filing on May 20.
Source: Business Line
The UN World Economic Situation and Prospects (WESP) as of mid-2018, launched here today, said GDP growth in India is expected to climb to 7.5 and 7.6 per cent in fiscal years 2017-18 and 2018-19 respectively. This is a substantial recovery from the 6.7 per cent growth India registered in fiscal year 2017. Global GDP is now expected to expand by more than three per cent this year and in 2019. Image source: Pixabay India's economy is projected to grow 7.6 per cent in fiscal year 2018-19, remaining the fastest growing economy in the world, as robust private consumption and benefits from past reforms help the country's GDP gain momentum but sustained recovery in private investment remains a crucial challenge, according to a UN report. The UN World Economic Situation and Prospects (WESP) as of mid-2018, launched here today, said GDP growth in India is expected to climb to 7.5 and 7.6 per cent in fiscal years 2017-18 and 2018-19 respectively. This is a substantial recovery from the 6.7 per cent growth India registered in fiscal year 2017. "Among the major economies, growth in India is gaining momentum, underpinned by robust private consumption, a slightly more supportive fiscal stance and benefits from past reforms," the report said. It added that although capital spending has shown signs of revival, a more widespread and sustained recovery in private investment remains a crucial challenge in India. In China, growth is expected to remain solid, supported by robust consumer spending and supportive fiscal policies. Amid ongoing structural reforms, growth in the Chinese economy is projected to gradually moderate from 6.9 per cent in 2017 to 6.5 per cent in 2018 and 6.3 per cent in 2019. While ongoing efforts to address financial vulnerabilities will contribute to more sustainable medium-term growth, the authorities face the policy challenge of ensuring that associated deleveraging does not derail growth in the short term. The report added that growth in the world economy is surpassing expectations and global GDP is now expected to expand by more than three per cent this year and in 2019, reflecting strong growth in developed countries and broadly favourable investment conditions. However rising trade tensions, heightened uncertainty over monetary policy, increasing debt levels and greater geopolitical tensions can potentially thwart progress, according to the report. World economic growth is now forecast to reach 3.2 per cent both in 2018 and 2019, an upward revision by 0.2 and 0.1 percentage points, respectively. This revised outlook reflects further improvement in the growth forecast for developed economies due to accelerating wage growth, broadly favourable investment conditions, and the short-term impact of a fiscal stimulus package in the US. World trade growth has also accelerated, reflecting a widespread increase in global demand. Many commodity-exporting countries will also benefit from the higher level of energy and metal prices. While the modest rise in global commodity prices will exert some upward pressure on inflation in many countries, the report notes that inflationary pressures remain contained across most developed and developing regions, the report said. Speaking at the launch, UN Assistant Secretary-General for Economic Development and Chief Economist Elliott Harris said the upward revision in the global economic forecast reflected in the report is positive news for the prospects of making tangible progress towards achieving the Sustainable Development Goals, but cautioned that "there is a strong need not to become complacent in response to upward trending headline figures"."The report underscores that the risks have increased as well and highlights the need to urgently address a number of policy challenges, including threats to the multilateral trading system, high inequality and the renewed rise in carbon emissions," he added. The macroeconomic outlook in South Asia remains favourable, amid robust domestic demand, strong infrastructure investment and moderately accommodative monetary policies. GDP growth in the region is expected to strengthen to 6.6 per cent in 2018 and 6.8 per cent in 2019, following an expansion of 6.0 per cent in 2017. Regional inflation is anticipated to remain stable and at relatively low levels. This positive outlook provides an enabling environment for most countries in the region to make further progress in addressing the vast development challenges across economic, social and environmental dimensions. "Deeper reforms, such as strengthening fiscal accounts and tackling the region's large infrastructure gaps, are also needed to boost productivity gains and unleash the region's growth potential. Downside risks faced by the economies in South Asia include setbacks on the reform agenda, heightened regional geopolitical tensions, or a sharp rise in oil prices," it said. GDP growth forecasts in 2018 have been upwardly revised in nearly 40 per cent of countries since the previous forecast presented in the WESP Report 2018 was released last December. However, some countries and regions are still not sharing in the global cyclical upturn, in many cases due to structural impediments to development. The report also notes the trade tensions that have been building among many of the world's largest economies. Major trade agreements such as NAFTA have undergone prolonged renegotiation, and a range of tariff and trade barriers have been put forward by major economies. In addition to these measures taken outside the auspices of the World Trade Organisation, a rising number of disputes have been raised within the WTO in recent months, including cases involving Australia, Canada, China, India, Pakistan, South Korea, Russia, Ukraine, the UAE, the US and Vietnam. "A move towards a more fragmented international trade landscape could reverse recent improvement in the global economy," it said.
Source: Zeebiz.com
Influential British weekly, "The Economist", has regretted that India's exports, which had reached a whopping 25% of Gross Domestic Product (GSP) in 2013, quadrupling since 1991, not far from the global average, thanks to the liberalising reforms which "helped integrate India into the global economy", this year they have reached the "lowest level in 14 years", around 17-18% of the GDP. Pointing out that this has forced economists "to ponder why India has been unable to boost exports even as the global economy has purred along", the top weekly says, "In the 12 months to March 2018, $303bn of Indian goods ended up overseas. That was up on the previous year, but still short of the $310bn achieved in 2014, when the Indian economy was a quarter smaller." It adds, "Imports, meanwhile, have increased to $460bn, pushing the merchandise deficit to $157bn last year, up from $109bn in 2016-17 and its highest level in five years. A surplus in services such as IT outsourcing helps reduce the overall trade deficit by around half, but even there imports are growing faster than exports." Asserting that India's central bank, Reserve Bank of India, even today "holds enough foreign reserves to pay for nearly a year’s worth of imports", "The Economist" warns, "India’s current-account deficit ... is expected to reach 2% of GDP this fiscal year, triple last year’s reading", adding, "Gold imports, used for saving or jewellery, have their own unpredictable rhythms, but also deepen the deficit." Suggesting that things have worsened because of oil prices, the weekly says, "The current trade lull extends beyond gold and oil, however. Exporters across the economy are being squeezed by the poor implementation of a goods-and-services tax (GST) that came into force last July." It adds, "Perhaps 100bn rupees ($1.5bn) of refunds due to exporters once they can prove they have shipped their wares abroad are being held up by sclerotic administration. That is working capital which small-time exporters cannot easily replace." "Worse", "The Economist" says, "A $2bn suspected fraud by a diamond dealer in February has resulted in regulators banning certain types of bank guarantees that exporters use to ensure they get paid promptly, exacerbating their funding problems. These snafus come as many firms are still recovering from the ill-advised 'demonetisation' of November 2016, when most banknotes were taken out of circulation overnight." Noting that the move "snagged local supply chains, giving foreign rivals opportunities to fulfil orders that would have gone to hobbled Indian firms and to gain market share in India itself", the weekly underlines, "Those woes come on top of perennial frailties", especially "crippling red tape".Lamenting that, meanwhile, the Government of India is still "unwilling to enact labour and land-acquisition reforms that might foster larger firms", the weekly says, instead, "it is trying to shield industry from foreign competition." Thus, "In recent months it has imposed tariffs on a dizzying array of goods, from mobile phones to kites. Though those will no doubt help stymie imports, it is just as likely that trade measures imposed by other governments will hobble India’s exports." Especially taking on Modi's friend US President Donald Trump, the weekly says, it is India’s misfortune that the US "has multiplied the salvos against India, whether decrying supposed export subsidies, making it harder for Indian IT workers to get visas or accusing India of artificially weakening its currency." Thus, it adds, "Unlike many American allies, India has not been exempted from imminent steel tariffs."
Source: Counter View
The current Indian technical textile sector has to develop a lot and this can be done only by Indian and foreign companies investing in this sector, Anant Kumar Singh, secretary, ministry of textiles, Government of India, has said. Globally, the demand for man-made fibre is on the rise and industries should focus more on man-made goods to reap the benefits. “There are various initiatives that government has taken to liberalise the laws regarding investments which will help manufacturers to do business in India, Singh said at the TECHNOTEX 2018 - a Curtain Raiser programme organised by FICCI on the theme ‘Technical Textiles: Transforming India’. TECHNOTEX 2018, scheduled on June 28-29, 2018 in Mumbai, will prove to be a turning point in building confidence of Indian and foreign companies to invest in the technical textile sector in India, Singh said. During the event, the Event Brochure of Technotex 2018 and BIS Standards on Protective gloves for firefighters and Protective clothing for firefighters was also released. Kavita Gupta, textile commissioner, ministry of textiles, highlighted that the government has already allowed 100 per cent FDI in the sector and this is an opportunity for foreign companies to invest in India. Varghese Joy, scientist G & deputy director general, BIS, said that the Bureau of Indian Standards (BIS) is continuously working on adopting international standards to provide a friendlier environment to the industry. (RKS)
Source: Fibre2Fashion
Mumbai : The spectre of being impacted by the US sanctions on Iran could force Indian firms from bidding on a tender to manage, operate and maintain (MOM) the container and multi-purpose terminals at Chabahar port. This will make it tougher for New Delhi to develop the Iranian port for strategic reasons. Earlier, interest in the MOM contract was shadowed by viability concerns. Now, with the decision of the US to scrap the nuclear accord and reinstate sanctions on Iran, India Ports Global Pvt Ltd is re-writing the commercial and financial terms of the MOM contract to attract bids, a person briefed on the development said.
Payment terms
While the earlier tender terms stipulated bank guarantee and upfront payment by the successful bidder in dollar terms, the new terms will prescribe these payments in Indian rupees because of difficulties in getting dollars. “The deal will be between India Ports Global and the successful bidder and the commercial and the financial terms will be in rupees. Still, the deal will be risky for us because of the fear of attracting US sanctions for operating in Iran. This could act as a dampener yet again,” said an executive with one of the three firms that had applied on the earlier tender.
No smooth sailing
A Shipping Ministry official said that the Government was waiting to see how the reinstatement of sanctions on Iran will pan out. “Definitely challenges will increase. All said and done, Iran is a risky country and Chabahar port project is not commercially viable,” an official said. India Ports Global, a 60:40 joint venture between Jawaharlal Nehru Port Trust and Deendayal Port Trust (previously Kandla Port Trust), was set up by the government to make strategic investments in ports overseas. India Ports Global and Aria Banader Iranian Port signed a deal in May 2016 to equip and operate the container and multi-purpose terminals at Shahid Beheshti – Chabahar Port Phase-I with capital investment of $85.21 million and annual revenue expenditure of $22.95 million on a 10-year lease.
New norms
Accordingly, India Ports Global had invited bids to select a strategic private MOM partner. The earlier contract had set a fixed management fee and a variable management fee with the bidder quoting the lowest variable management fee from IGPL winning the deal. These terms are also being eased, the person mentioned earlier said. The new terms will have to signed off by the Union Cabinet, he said. The successful MOM partner had to incorporate a special purpose vehicle (SPV) in Iran with a local private partner. This SPV will take a 10 per cent stake in a separate SPV floated by IGPL in Iran to run Chabahar port. This clause is expected to be removed. India Ports Global had earlier set a March 31, 2018 deadline to finalise the MOM partner.
Equipment
India Ports Global, meanwhile, has picked an Iranian firm to run the port for about 18 months from mid-June till an MOM partner is finalised for a 10-year period, Managing Director Arun Kumar Gupta told BusinessLine. “By that time, we should finalise everything; not only the Indian MOM partner but all the equipment, etc should be in place to enable full-fledged operations. Those equipment are not off the shelf, they have got their own lead time ranging from 12 to 18 months. The existing equipment are not ideal, we can discharge cargo with them, but efficiency will not be there,” Gupta added. India Ports Global has ordered four rail mounted quay cranes (RMQCs) for a combined $29.8 million from Chinese crane maker Shanghai Zhenhua Heavy Industries Co Ltd (ZPMC) and 14 rubber tyred gantry cranes (RTGCs) for about $18 million from Finnish crane maker Cargotec OYJ for erecting at Chabahar port.
Source: Business Line
Thiruvananthapuram : Inditrade Group, a leading agri-commodity financier, is entering the MSME lending business after identifying a “large unmet demand” from a segment which it describes as one of the most unbanked. “We’re starting with merchant cash advances (MCA) to shopkeepers, restaurants, spas, saloons, groceries or kirana shops,” Sudip Bandyopadhyay, Chairman, told BusinessLine.
Collection schedule
“This would be our newest offer over and above agri-commodity financing and microfinance. We’re targeting those segments of trade or groups of people who do not have a banking line, banking limits or whose banks refuse to lend.” Inditrade will initially look at predominantly urban shopkeepers and outlets and make recoveries from their collections – daily, weekly or monthly – depending on the structure of the loan. “We’ve got the team, systems and procedures in place. We’re starting in Mumbai. We would then go to Pune, Hyderabad and Chennai. Kerala would be the next stop, with a focus on Kochi, Thiruvananthapuram, Kannur and Kozhikode.” Hyderabad, Pune and Mumbai would be covered during this quarter itself. Coimbatore is the other city in Tamil Nadu where Inditrade plans to launch operations by end of this quarter or early next.
Only a few players
“The requirement is huge, and we’ve done our analysis,” said Bandyopadhyay. “There are only a few players who serve this segment. But, by and large, no more than 10 to 15 per cent of the demand is met.” When asked about the size of the market, he said that retail is a huge opportunity in India, and will become even bigger, going forward. The storied consumption trend has been holding out for the most part. “If you take out the organised retail – the Shoppers Stops, Lifestyles and Big Bazaars – I would say 80 per cent of the market is unorganised. The demand is significant.” There are multiple estimates at different levels about the size of the market at different levels. It is very difficult to put an exact number to it since the segment is being mainly serviced by moneylenders, own resources, friends and family. The loan ticket size with one-year tenor can range between ₹3-25 lakh, said Bandyopadhyay. “We’ve created three buckets of ₹3-10 lakh; ₹10-15 lakh; and ₹15-25 lakh.”
Loan book size
Inditrade has set a target loan book size ₹100 crore for this financial year itself. The interest rate will depend on the credit risk it assumes for a borrower. Normally, it would be 1.5 per cent per annum. This can go up to 2 per cent in individual cases. But it can also come down in deserving cases. Explaining the standard system of recovery, Bandyopadhyay said the case of a borrower with a PoS machine at his outlet is instructive. “We’ve a working arrangement with PoS vendors. Let’s say, you’re a kirana shop with a PoS machine and you swipe for ₹5,000 a day. The PoS vendor may collect ₹500 and give you ₹4,500.” This is agreed in advance with the borrower. Repayment schedules are customised in most cases, based on the business cycle. Inditrade has got all approvals of the RBI in place to enter the business, added Bandyopadhyay.
Source: Business Line
Mumbai : The countrys foreign exchange reserves decreased by USD 1.237 billion to USD 417.702 billion in the week to May 11, on account of a fall in foreign currency assets, the Reserve Bank data showed today. In the previous week, the countrys foreign exchange reserves had fallen by USD 1.426 billion to USD 418.940 billion.The reserves had touched a record high of USD 426.028 billion in the week to April 13, 2018. It had crossed the USD 400-billion mark for the first time in the week to September 8, but has since been fluctuating. In the reporting week, the foreign currency assets, a major component of the overall reserves, declined by USD 1.262 billion to USD 392.453 billion. Expressed in US dollar terms, the foreign currency assets include the effect of appreciation or depreciation of the non-US currencies such as the euro, the pound and the yen held in the reserves. Gold reserves rose by USD 26.2 million to USD 21.687 billion in the reporting week, the data showed. The special drawing rights with the International Monetary Fund (IMF) dipped by USD 0.3 million to USD 1.515 billion. The countrys reserve position with the IMF also declined by USD 0.3 million to USD 2.045 billion, the apex bank said. PTI HV DSK SBT SBT
Source: Business Standard
After a brief respite, the rupee once again turned shaky and plunged by 30 paise to end at a fresh 16-month low of 68 against the US currency on renewed dollar buying interest amid global macro challenges. The forex sentiment wobbled after the crude prices broke the psychological threshold of USD 80 a barrel - spurring a fresh wave of dollar demand from state-run oil marketing companies fearing a further depreciation in rupee value. Traders also reported hedging-related demand as importers rushed to pay forward premium, putting additional pressure on the local currency. The rupee selloffs accelerated last week against the grim backdrop of surging global crude prices and growing concerns over widening twin deficits even as foreign investors reduced their rupee-dominated exposures. The home currency had recovered 37 paise in the last two days after hitting a low of 68.15 on Tuesday. Massive capital outflows have largely contributed to declines despite a series of measures taken by the RBI and authorities. Reversing its recovery momentum, the rupee opened weak at 67.78 from Thursday's close of 67.70 at the Interbank Foreign Exchange (forex) market. Being engulfed in selling pressure, the local unit subsequently hit a low of 68.07 in mid-afternoon deals before regaining some lost ground as state-run banks sold the greenback likely on behalf of the central bank. It finally settled at 68.00, revealing a steep loss of 30 paise, or 0.44 per cent. For the week, the Indian currency lost another 67 paise against the USD - stretching the fall to six-straight week. The RBI, meanwhile, fixed the reference rate for the dollar at 67.9577 and for the euro at 80.2784. The rupee is Asia's worst performing currency this year on concerns that slowing capital flows and a wider trade deficit could stretch the funding of India's current account gap. On the energy front, the brent crude continues to edge higher after topping USD 80 a barrel yesterday impacted by Middle East tensions and signs that global stockpiles continue to decrease. The Brent crude futures, an international benchmark, was trading higher at USD 79.60 a barrel in early Asian trade. Meanwhile, D-street took investors on a turbulent ride as key benchmark indexes veered into a steep slide that knocked 300 points off the Sensex, while the broader NSE Nifty cracked below the 10,600-mark. The dollar index, which measures the greenback's value against a basket of six major currencies, was higher at 93.53. Globally, the greenback traded little changed against its major trading rivals. The US Treasury market eased a bit on Friday during the European session after the benchmark 10-year Treasury yield rose to 3.13% overnight, its highest level since 2011. In the cross currency trade, the rupee retreated against the pound sterling to end at 91.69 per pound from 91.31 and drifted back against the euro to finish at 80.08 from 79.79. It also fell back against the Japanese Yen to close at 61.27 per 100 yens as compared to 61.21 earlier. Elsewhere, the common currency, euro is consolidating just above its 2018 lows against the resurgent greenback amid fading political uncertainty after the 5-Star movement leader Di Maio confirmed agreement on a government contract with the League party. While, the British pound edged lower as investors now seemed to have digested the latest Brexit headline that the UK is prepared to stay in the customs union beyond 2021. In forward market today, the premium for dollar continued to fall on the back of sustained receiving from exporters. The benchmark six-month forward premium payable in September eased to 93-94 paise from 93.25-95.25 paise and the far-forward February 2019 contract softened to 227.50-228.50 paise from 227-229 paise previously.
Source : Business Standard
The finance ministry on Friday said rising crude oil prices could drive up India’s import bill in the range of $25-50 billion this fiscal, worsening the current account deficit. However, elevated oil prices would impact neither economic growth nor the fiscal deficit of the Centre, economic affairs secretary Subhash Chandra Garg said, stressing that there is no threat to the country’s solid macroeconomic fundamentals due to weakening rupee, rising oil prices or foreign portfolio investor outflows. Talking about the recent shortage of cash in some states, Garg said adequate amount of currency is available across the country now. “For the last few days in fact we are seeing net increase in the currency. In last three to four days there is surplus deposit of rs 4,000 crore,” he said. While the cash shortage was mainly driven by an unusual spurt in demand, he didn’t rule out the impact of increased demand ahead of Karnataka polls on the shortage. On oil prices, Garg said the government would intervene only if prices exceed its comfort level, without mentioning the trigger point. He didn’t offer any commitment on duty cuts to provide relief to people but added the recent spurt in oil prices is unlikely to drive up the Centre’s petroleum subsidy bill from the FY19 budgeted level of Rs 25,000 crore. This is because of the two subsidised petroleum products — LPG and kerosene — only the latter has some remote link with global oil prices. The secretary also rejected suggestion that the Centre is benefiting much from rising fuel prices. oil price, OPEC, Crude prices, Crude, Gasoline, petrol price, diesel price, petrolGoldman Sachs in a recent report said crude oil prices may rise further in the coming months, driving up the current account deficit (CAD) to around 2.4% of GDP in 2018-19 (from 2.1% forecast earlier), while Nomura has forecast the CAD worsening to 2% in calendar year (CY) 2018 from 1.5% in CY17, “reflecting higher oil prices and a strong cyclical recovery”. “Although funding should not be an issue, the basic balance of payments will be negative, making funding susceptible to global risk sentiment,” Nomura said in mid-March. Globally, Brent crude broke through the $80 a barrel mark on Thursday for the first time since November 2014. Talking about the weakening rupee, the secretary said that the currency movement is normal and there’s no reason for panic. The rupee has declined from Rs 65 against the dollar on March 28 to Rs 67.50 on Friday. He also added that the volatility in the bond market will stabilise soon and that the government will continue with its borrowing programme, as planned, for the first half of this fiscal. As for the second half, there is space for a reduction in borrowing and that the government could decide to trim its buyback programme in H2. In March, the government had said it would borrow just 47.5% of its budgeted full-year target (gross) through bonds in the first half of 2018-19 — much lower than the 60-65% in the corresponding period over the previous five years — and take more from the National Small Savings Fund (NSSF) to finance the fiscal deficit, as it seeks to ease pressure on the bond market that has witnessed a spurt in yield in recent months. With its plan to borrow Rs 25,000 crore more from the NSSF and reduce buyback by Rs 25,000 crore in 2018-19, the government signals its intent to trim its gross market borrowing by Rs 50,000 crore from its full-year budgeted target of Rs 6.06 lakh crore.
Source: Financial Express
Union Minister of State (Independent charge) for MSMEs Giriraj Singh told The Hindu that the Centre has doubled the fund allocation under key schemes aimed at supporting artisans this financial year. The Union Government was committed to providing sustainable employment for traditional artisans, he added. “We will be setting up 100 livelihood business incubators (LBIs) and 20 technology business incubators in the country during the current financial year. To facilitate such initiatives, the fund allocation under the ‘Aspire’, a scheme for promotion of innovation and entrepreneurship had been increased to ₹ 232 crore this fiscal from ₹ 50 crore earmarked during 2017-18 financial year,” he said. The Minister was here to inaugurate two coir clusters, and one khadi cluster in the district on Friday. The LBIs would help bring down unemployment in rural areas considerably. Mr. Singh said that the allocation under Prime Minister’s Employment Generation Programme, implemented with Khadi and Village Industries Commission as nodal agency, was increased from ₹ 1,024 crore in 2017-18 fiscal to ₹ 1,800 crore for 2018-19. Similarly, the Scheme of Fund for Regeneration of Traditional Industries (SFRUTI) has been flushed with ₹ 125 crore for the current financial year, which was a substantial increase over the last year’s allotment, he added. On the day, Mr. Singh inaugurated a khadi cluster at Kangayam and coir clusters at Uthiyur and Puliyampatti in the district. Coir Board chairman C.P. Radhakrishnan was present. These clusters were set up with grants from MSME Ministry using the funds under the Scheme of Fund for Regeneration of Traditional Industries and through beneficiary contributions. Mr. Singh will interact with various industry stakeholders at NIFT-TEA College of Knitwear Fashion.
Source: The Hindu
It was some sort of heritage's sun blooming in the horizon of modernity, when first Khadi Plaza of Khadi and Village Industries Commission (KVIC) was inaugurated by Maharaja Gaj Singh of erstwhile Jodhpur State at the Sun City of Jodhpur, recently. The former Maharaja, in his inaugural address, said that with its purity and trendy look, Khadi has not only become the favourite fabric for one and all, it has showcased its presence right from the sleepy hamlets to mega malls of the cosmopolitans. "I am impressed with the kind of designs and colours introduced in Khadi in the recent days for all walks of lives. Undoubtedly, Khadi, with a unique history and bright future, evokes emotion in India," he said, adding, "I am sure that the people of Jodhpur will adopt Khadi, which is our own heritage." KVIC Chairman Vinai Kumar Saxena, in his presiding address, said that a new sun of hope has risen in the Sun City of Jodhpur. "In this land of scorching sun, only Khadi is the fabric that provides the surge of relief to all who don it. I am sure that this air-conditioned signature fabric of India is the only hand-spun and hand-woven cotton cloth that can sustain the scorching sun of Rajasthan to chilling westerlies of Jammu and Kashmir," he said, adding, "With the revival of Khadi Plaza – which was forced to shut down in 2009, the KVIC now has proved that revival of old institutions is in our top priority under the present government – which has earmarked Khadi as medium of economic transformation." It may be noted that the three-storey building of this Khadi Plaza was constructed in 2008 in the heart of the city by the KVIC, but could not run more than a year and was shut down by KVIC due to alleged government ennui. KVIC Member (North Zone) Dr Hina Shafi Bhat was also present on this occasion.
Source: The Millenium Post
China on Friday made two important concessions to the United states on trade, but denied reports that it was prepared to reduce its trade surplus with the United States by $200 billion. President Trump met with Chinese Vice Premier Liu He at the White House on Thursday, but he was pessimistic about the prospect about reaching a deal with Beijing that will avert a trade war “Will that be successful? I tend to doubt it,” Trump said at a press conference. “The reason I doubt it is because China’s become very spoiled.” China’s ministry of commerce announced that it was dropping a dumping case against the United States over imports of sorghum, a grain that accounted for $1.1 billion in sales last year. Tariffs on the grain were imposed beginning in April in response to President Trump’s imposition of tariffs on Chinese steel and aluminum. In another move, the Chinese government approved the $18 billion sale of the memory chip unit of Toshiba to a group led by Bain Capital and that includes Apple. The deal had been stuck in limbo and China could have delayed the sale indefinitely as a show of its impatience with the Trump administration. The U.S. Administration has recently blocked several high-profile Chinese acquisitions of U.S. tech firms on national security grounds. In another action, it banned giant Chinese phone maker ZTE from any business with U.S. companies for seven years, a move that could put the firm out of business. There had been a rising tide of optimism earlier this week when U.S. officials said the Chinese were offering to increase purchases of U.S. goods by $200 billion a year as part of a settlement of their trade dispute. In Beijing, the Chinese foreign ministry quickly denied those reports. “This rumor is not true. This I can confirm to you,” Chinese foreign ministry spokesman Lu Kang told a regular news briefing.
Source: Financial Express
UNCTAD/Adam Kane Tanzania has experienced high economic growth rates but inequality especially among women has remained high. Global economic growth is exceeding expectations this year but heightened geopolitical tension and uncertainty over international trade could thwart progress, according to a new United Nations report. The global Gross Domestic Product (GDP) is due to expand by more than 3 per cent this year and next, according to the UN World Economic Situation and Prospects (WESP) — an improved outlook compared with the 3 per cent and 3.1 per cent growth for 2018 and 2019, forecast six months ago. The revision reflects strong growth in developed countries due to accelerating wage increases, broadly favourable investment conditions and the short-term impact of a fiscal stimulus package in the United States. At the same time, widespread increase in global demand has accelerated the overall growth in trade, while many commodity-exporting countries will also benefit from the higher energy and metal prices. Speaking at the launch, Elliott Harris, UN Assistant Secretary-General for Economic Development and Chief Economist, said the accelerated growth forecast was positive news for the international effort to reach the 2030 Sustainable Development Goals (SDGs), which include eradicating extreme poverty and hunger. However, Mr. Harris cautioned that “there is a strong need not to become complacent in response to upward trending headline figures”. He added that the report “underscores that the risks have increased as well”, adding that rising risk “highlights the need to urgently address a number of policy challenges, including threats to the multilateral trading system, high inequality and the renewed rise in carbon emissions”. Trade barriers and retaliatory measures mark a shift away from unambiguous support for the norms of the international trading system, the report notes, which threatens the pace of global growth with potentially large repercussions, especially for developing economies. The report also finds that income inequality remains alarmingly high in numerous countries but there is evidence of noticeable improvements in some developing countries over the last decade. It cites some countries in Latin America and the Caribbean region where specific policy measures related to minimum wage levels, education and government transfer payments have significantly reduced inequality over the last 20 years. The report also finds that global energy-related carbon dioxide emissions increased by 1.4 per cent in 2017 due to faster global economic growth; the relatively low cost of fossil fuels and weaker energy efficiency measures, among other factors. Reforming fossil fuel subsidies and providing tax breaks to boost greener economic growth could accelerate the international effort to meet the greenhouse gas emission targets outlined in the 2015 Paris Agreement.
Source: Europian Sting
KARACHI: Governor Sindh Mohammad Zubair on Friday emphasised value-addition in textile sector to increase exports, boost domestic economy and create jobs opportunities. “Value addition in textile sector is of immense importance as it is a crucial component of our exports,” Zubair said while talking with Humyoun Zafar, president of Textile Institute of Pakistan (TIP). Abdul Jabbar, dean/director of Quality Enhancement Cell TIP was also present on the occasion, a governor house’s statement said. Governor Sindh said value addition is the way forward for textile industry and as it guarantees enhancement in exports and would also result in accelerated industrialisation and employment opportunities. Zubair, while pointing towards various incentives for textile sector, said separate ministry was constituted owing to the importance of the sector to resolve the problems being confronted by the industry as well as boost garments exports. He said the government is resolving issues of the textile sector that contributes more than 50 percent in the country exports and generates around 38 percent of employment. “During this fiscal year exports have again picked up momentum as compared to previous fiscal year and textile sector’s performance is also improving,” he added. Governor Sindh said there is room for further expansion of the textile sector with improvement in law and order and energy situations. “As compared to 2013, Pakistan is a changed country now with conducive environment for both local and foreign investors,” he added. Zubair hoped that textile sector would perform better in all the six major sub-sectors, including spinning, weaving, processing, printing, garment manufacturing, and yarn manufacturing, by adopting value addition and modern techniques. Governor Sindh lauded contributions of Textile Institute of Pakistan in producing professionals of highest quality in textile science, design technology, management and marketing, apparel manufacturing and merchandizing, fashion design management and industrial manufacturing and management. “It is commendable that graduates of TIP are performing at the highest level both in and outside the country.” Zubair said problems confronted by Textile Institute of Pakistan would be resolved in consultation with concerned quarters to facilitate the institute in its functioning. Zafar said graduates from Textile Institute of Pakistan are engaged in textile industry in Bangladesh, Sri Lanka and Vietnam.
Source: The News International
The strong rate of trade expansion is likely to continue, while slowing slightly in the second quarter of 2018, according to the WTO’s latest World Trade Outlook Indicator (WTOI) released on 17 May. The WTOI’s current value of 101.8 remains above the baseline value of 100 for the index but below the previous value of 102.3, which suggests continued solid trade growth in the second quarter of 2018 but probably at a somewhat slower pace than in the first quarter. The recent dip in the WTOI reflects declines in component indices for export orders in particular but also for air freight, which may be linked to rising economic uncertainty due to increased trade tensions. Strong trade growth continues but momentum may soften in Q2, trade indicator suggests. The latest results are broadly in line with the WTO's most recent trade forecast issued on 12 April 2018, which predicted a moderation of merchandise trade volume growth from 4.7% in 2017 to 4.4% in 2018. Risks to the trade forecast posed by rising trade tensions remain present. The moderate dip in the overall WTOI index was driven by declines in component indices for export orders and air freight. The forward-looking export orders index dropped sharply, falling from an above-trend plateau to a below-trend value (98.1) in the latest month. While the air freight index remains above trend (102.5), it has lost momentum in recent months. Container port throughput remains above trend (105.8) but shows signs of plateauing, while automobile sales (97.9) and agricultural raw materials (95.9) are currently weighing down the WTOI. In contrast to the mixed results elsewhere, the index for electronic components trade (104.2) has turned up, climbing above trend. Designed to provide "real time" information on the trajectory of world trade relative to recent trends, the WTOI is not intended as a short-term forecast, although it does provide an indication of trade growth in the near future. Its main contribution is to identify turning points and gauge momentum in global trade growth. As such, it complements trade statistics and forecasts from the WTO and other organizations. Readings of 100 indicate growth in line with medium-term trends; readings greater than 100 suggest above-trend growth, while those below 100 indicate the reverse. The direction of change reflects momentum compared with the previous month.
Source: WTO
Farmers pick brown cotton in a farm near Ahmedabad. Kenya’s cotton sector is generally characterised by about 140,000 smallholder farmers with a low average yield of 0.53 tonnes of seed cotton per hectare, according to the World Bank. FILE PHOTO | NMG
In Summary
• Kenya’s cotton sector is generally characterised by about 140,000 smallholder farmers with a low average yield of 0.53 tonnes of seed cotton per hectare, according to the World Bank.
• The average production of 18,000 tonnes per year over the period 2005-2010 represents a mere 9 per cent of the country’s potential.
• Kenya is at crossroads on whether to allow GM cotton or not. It would, therefore, be incisive to draw parallels with the experiences of Burkinabe and Indian small-scale farmers who have already commercialised it.
• Consequently, cotton should in fact be viewed as a food and feed crop and the government must ensure that consumer safety is prioritised before any consideration of commercialisation of genetically modified cotton.
Cotton is mainly grown for its fibre, which accounts for about 35 per cent weight of the primary product known as seed cotton. The seed is the main by-product, which accounts for about 65 per cent. The seed is then used to produce four main products namely cotton seed oil, cake, and hulls for livestock feeds, and linters used for other products as film, plastics. Kenya’s cotton sector is generally characterised by about 140,000 smallholder farmers with a low average yield of 0.53 tonnes of seed cotton per hectare, according to the World Bank. The average production of 18,000 tonnes per year over the period 2005-2010 represents a mere 9 per cent of the country’s potential. Amongst the key challenges faced by the sector are poor agronomic practices, inadequate extension services, high cost, and poor quality seed. The pest pressure of the African cotton bollworm is not mentioned as a key challenge because Bt cotton has been developed targeting this pest. In terms of regulation, conditional release has been granted for (GM) Bt cotton to Kenya Agricultural Livestock Research Organisation (Kalro) and Monsanto by National Biosafety Authority (NBA).
However, an environmental impact assessment report is still pending from the National Environmental Management Authority. Kenya is at crossroads on whether to allow GM cotton or not. It would, therefore, be incisive to draw parallels with the experiences of Burkinabe and Indian small-scale farmers who have already commercialised it. Bt cotton was claimed to be resistant to the most common pest of cotton in India, the pink bollworm. In 2006, just four years after its release by Monsanto, the pink bollworm had become resistant to it in Western India. Rapid development of resistance occurs because Bt cotton plants are engineered to continuously release toxins, and this constant, long term exposure encourages the survival of any pests that are genetically resistant to the toxin.
POOR QUALITY
As a result, the usage of insecticide on cotton increased from a reported 0.5kg per hectare in 2006 to 1.20kg in 2015 in India. The cost of proprietary GM seed in Burkina Faso was $45 (Sh4,500) per bag compared to $1.25 for conventional cotton seed. This trend has been observed in India and South Africa and has a high likelihood of being replicated in Kenya. On claims that Bt cotton has increased yields, from 2007 to 2016, yields stagnated as production rose from 67 to 92 per cent and eventually declined in 2016-17. The cotton was officially approved in 2002 by Mahyco Monsanto Biotech (India) Ltd, a joint venture between Mahyco Seeds and Monsanto India, which also supported its rolling out by an aggressive advertising campaign. There is no hybrid seed for cotton available in Kenya and the last variety bred was in 1989 which was a multiline. Current cotton seed is from ginneries and is of poor quality. The national demand for seed cake surpasses its domestic production, which suggests that there is a domestic market opportunity for both oil and animal feed production, which will in turn spur growth in the country’s cottonseed subsector. Consequently, cotton should in fact be viewed as a food and feed crop and the government must ensure that consumer safety is prioritised before any consideration of commercialisation of genetically modified cotton. Evidence has also pointed to farmer suicides increasing with area under Bt cotton. In the Vidarbha region of Maharashtra province, factors linked to its cultivation are reported to have led to 7,992 farmer suicides between 2006 and 2011. Today, it is clearer that Bt cotton’s benefits claims are exaggerated and now it’s rejection is not only from civil society voices, but official government ones as well. As a result of the challenges experienced by Burkina Faso between 2011 and 2016 where it lost $82.4 million, it has now implemented a complete phase out of GM cotton for the 2017/18 season. Certainly, the future of the crop is not Bt cotton. Wanjiru Kamau is the Informaton and Policy Manager of Kenya Organic Agriculture Network (KOAN) (wanjiruk@koan.co.ke) and Rohit Parakh coordinates India For Safe Food (rohit.2691@gmail.com)
Source: Daily Nation
When you think about knitting, you might picture grandmas clicking big wooden needles or something wintery, like a snow-covered lodge. But knitting is everywhere, producing just about everything you put against your skin each day, from socks and t-shirts to hoodies and beanies. And thousands of years after it was first invented, new kinds of knitting are poised to fundamentally change how we think about these “basics,” making our bodies more connected than ever to the computerized world we live in. Today, you can buy a $40 dress from Uniqlo that was produced by a knitting machine in one piece with no cutting or sewing—which means no seams and almost no wasted fabric. This “seamless” or “whole garment” knitting technique was first developed in Japan 20 years ago, but high costs have prevented it from hitting the mainstream until recently. The machines work something like 3D printers for clothes: yarn is loaded in, the machine is programmed, and out comes a full garment. Bringing us performance wear like knit shoes, Adidas’Warp Knit leggings, and Nike’s Pro Elite Knit shirts, this technique is arguably responsible for the rise of “athleisure” fashion. But paired with other innovations in the science of fibers, whole garment knitting opens the door to far more futuristic applications, like jackets that warm and cool you as needed or shirts that measure your heart rate. The main difference between these potential products and the wearables we know (and are disappointed by) today, is that their technology can be seamlessly integrated into our clothes. Remove the battery, and such smart garments would be nearly indistinguishable from their un-enhanced ancestors.
A short history of knitting tech
Most of us probably wouldn’t think of a plain, white t-shirt as a piece of technology, but this Walmart basic is the result of thousands of years of engineering, shaped by repeated waves of what we would now call “disruptive” technologies. While weaving likely came first, one of the oldest surviving items of fabric clothing is a pair of Egyptian socks made through nålbindning, an early form of knitting that used one instead of two needles. Imagine slipping your sweaty, callused feet into soft, knitted socks after a lifetime of wearing sandals or shapeless woven bags on your feet: knitting’s first disruption. During the industrial revolution, knitting and weaving machines became automated. The first automated loom, introduced in the early 1800s, was the forefather to the modern computer, utilizing early binary code and inspiring the original Luddite revolts. When Silicon Valley was still farmland, innovations in the textile industry were shaping the globe, making some communities rich, enslaving others, and sparking wars and revolutions across the world. In the near future, however, this largely invisible tech might soon be seen at the frontier of technology again as designers dream of new possibilities with electronically enabled textiles.
The future is squishy
When I asked Rebeccah Pailes-Friedman, the founder of Interwoven Design Studio, why knitting has been a focus for e-textile makers, her answer was simple: “The majority of what people own is already knitted,” she said. “It’s what people want to put on their body.” According to Despina Papadopoulos, the founder of Principled Design, knitting also has special attributes that are particularly suited towards advanced applications. Principled Design recently collaborated with Ralph Lauren for the battery-powered, self-heating 2018 US Winter Olympic Team Jackets, and Papadopoulos described modern knit technology as an expansion of control over form, especially with the integration of conductive yarns. “You have more control in terms of dimensionality than you have with woven fabric,” she said. “That dimensionality gives you both the ability to manipulate the structure of the fabric as well as to create pockets, to create layered structures that make incorporating electronics seamless, hidden, in a way that you cannot with other technologies.” The importance of seamlessness may seem small, but the failure of wearables like Google Glass demonstrate what happens when clunky tech products try to replace objects we’re familiar with. Advanced knitting offers something past seamlessness approaching invisibility. Not only does it enable clothing makers to hide hard electronics, it even lets them create electrical components from the actual yarn—sensors that are an integral part of the garment and not tucked in or laminated on top. For example, a knit machine programmer can create a small “patch” of conductive yarn, stack a non-conductive above it, and then another conductive patch on top of that to make a sandwich. As the two conductive sections get closer together, they make more and more contact through the non-conductive but porous sandwich “filling.” This increased conductivity can be measured by a microchip to create a pressure sensor which, when built into a sock, could measure stride and footfall for runners or balance indicators in elderly patients who are prone to falling. This knitting technique can also be used to create stretch, temperature, and humidity sensors and even begin analyzing sweatiness which can convey the stress level of the user (not unlike in a lie detector machine)—applications currently in development for consumer products. Ultimately, 3D knit structures can become a plethora of sensors and actuators, antennae, and even allow for computer interaction through soft, knit protrusions that serve as buttons, or planar pads for gesture sensing. One of the greatest challenges in the development of smart textiles has been making garments that are machine washable over time. The way most companies have tackled this problem is to include a removable “puck” (as it’s called in the industry), which contains the device’s battery and computer control. Lights, vibration motors, sensors, and the like remain in the garment and are either encased in plastic or laminate tapes for waterproofing, or are comprised of the conductive fibers themselves which are largely impervious to the washing processes. Companies like Sensoria are already selling clothing with smart sensors laminated onto their products, but, crucially, knit production technology may soon enable all of this straight from the machine, without the secondary process of lamination, resulting in a cheaper, more streamlined product that’s nearly indistinguishable from the knitwear we are familiar with today.
To spin a yarn
Advances in fiber technologies are definitely not limited to simple conductivity. I spoke with Yoel Fink, a professor of material sciences at MIT and the founder and CEO of Advanced Functional Fabrics of America (AFFOA). A federally funded textile research center in Cambridge Massachusetts, AFFOA began with an initial input of $300 million and operates with a budget of $60 million per year. “This is not a YouTube kind of operation,” said Fink said via FaceTime while striding through his top-of-the-line textile research lab. He showed me various objects his researchers were working on, including a battery-scarf knit from yarn containing lithium-ion components so that the textile itself stores energy, a fabric that changes colors with minimal power needs (similar to the e-ink displays common in Amazon Kindles), and a baseball-cap that translates light from common ceiling mounted LED bulbs into audio. Finally, Fink held up some some normal looking all-black yoga pants that come alive with miniature, green LED lights. The leggings are being developed through one of the techniques being pioneered at AFFOA for the fabrication of what Fink called “advanced yarns,” fibers containing conductors, insulators, and semi-conductors—the same necessary ingredients for a computer chip. To make the “yarn,” a cylinder of these three ingredients about 12 inches tall and six inches wide is heated and drawn out until it becomes incredibly thin. “You make something big, you heat it up, and out comes miles of the same thing but really small,” Fink said. In this case, a hair-like black yarn which is then knit into yoga pants. To make these leggings without such yarns, you’d need to manually laminate silicon-mounted LEDs onto the surface of the pants one at a time, creating something uncomfortable, delicate, and very expensive. Fink’s version, on the other hand, is nearly indistinguishable from standard, athleisure-style leggings—except they can light up for a night-time jog. When I asked Fink what it is about knit that is so desirable for making tech-enhanced clothing, he echoed Papadopoulos. “Knitting has this exquisite control that you get along with the [full] garment capability. There’s many more degrees of freedom in knitting in terms of being able to build structures.” Basically, you can have incredibly minute control over how a garment is shaped and where sensors and actuators are placed on the body. This also means that garments can be extremely customizable at a low cost. Already today, designers have used 3D scanning to create clothing specifically tailored to its wearers. In the near future, customers could be inputing biological specifics to tailor their chosen suite of sensors and actuators to integrate seamlessly with their unique biology.
But would you wear it?
Pailes-Friedman, Papdopolous, and Fink all agree that the costs will be coming down on technologically enhanced cloth, and this will fundamentally change the way in which we interact with technology—and hence, each other and our environments. “We think textile and humanity are inseparable, so we think it could become a perfect computing platform, and that’s part of the disruption we are trying to make,” said Tony Chahine, CEO of Myant, one of the leading knit smart-textile groups. Fink agreed, also predicting that this will occur quite rapidly. “In the years ahead, the basic properties, capabilities, and functions of fibers are going to increase in a way that is similar to what happened with Moore’s Law in computer chips,” he said. “There, the function doubled every 18 months. In the case of filaments I think it’s going to double over a much shorter period of time, and you’ll see this consistent increase in the capabilities of fibers and yarns and filaments.” In the end, the smart apparel of the future could fundamentally change how we think about clothing, shifting it from a good to service. “You’re no longer going to pay for the shirt, you’re going to pay for what that shirt does for you,” Fink said. “You pay for the service and you get the fabric.” “As humans, we value experiences and services a lot more than we value goods,” Fink continued. “We relate to things that are unique…. we are looking for a little bit of something special. And when we get something that’s special, we’re prepared to pay for it. That’s really whats happening in fabric, we’re going to start to see some really special things happening.” We’ve come a long way from those Egyptian socks. Myant is developing socks that not only comfortably insulate and protect your feet, but also give them targeted compression, measure your posture and footfall, and even heat your feet automatically when they get cold. But the biggest question going forward is “What does the consumer want?” A wearable computing platform would inevitably create huge amounts of data from our bodies, something the public is understandably wary about. “How does the customer feel about data?” said Pailes-Friedman. “What do they want from data? Right now I think it’s pretty much a love/hate with data. For as much as we love having connected objects, every day we hear in the news about another hack, another abuse of data, another way we’ve been compromised and manipulated by our personalized data. That makes just as many people feel queasy as they also feel empowered. So there is a lot of questions about what can this data do that makes people feel good, what do people really want done?” While a pair of smart socks that could be hacked to spy on you is a troubling idea, consumers will likely want connected clothing with far more basic functions. Pailes-Friedman paints a picture of a travel jacket that would flexibly respond to fluctuating weather patterns, warming us when it is cold and cooling us when it is hot. It’s pretty obvious that we would want this jacket, but what other outputs acting upon collected data are of actual value to the everyday consumer? For now, the majority of data-focused innovators in this space are focusing on health and wellness, safety, athletic performance and recovery, and medical spaces. For the rest of us, we’re looking at warming and cooling, lighting, and pattern changes. All the same stuff we look for in traditional fashion with a techy twist.
Source: GIZMODO
The 34th edition of World Fashion Convention oganised by the International Apparel Federation (IAF) will discuss the future for smart and sustainable fashion. The convention beginning from October 8 in the Netherlands will feature a mix of speakers from brands, retailers, manufacturers, associations and top class suppliers to the industry. The registrations for convention have begun. The three-day programme caters to industry leaders and therefore covers a broad spectrum of strategic issues, ranging across the supply chain, from raw materials to retail and from sourcing and supply chain management to retail and branding. IAF is the only global federation of its kind representing Apparel Associations from 60 countries, representing over 150,000 companies. (RR)
Source: Fibre2Fashion
