Union minister Smriti Irani said the textile sector has attracted up to Rs 27,000 crore investments since the announcement of incentive package last year, and is likely to get more investment from international and domestic markets going forward. The Government in June last year announced a Rs 6,000 crore special package for the textile and apparel sector, which included several tax and production incentivesAccording to a PTI report: The Government in June last year announced a Rs 6,000 crore special package for the textile and apparel sector, which included several tax and production incentives. “As per the record of textile commissioner’s office, an investment of up to Rs 27,000 crore has come in, and we are hopeful that with the government’s intervention, we will get more investments, both from the international and domestic markets,” Irani was quoted by PTI as saying. The minister said that she is positive about the future because the industry and the Government have found an ecosystem where the two work together on a day-to-day basis. “One of the challenges the government and the industry need to address is turnaround time for our goods after the production,” Irani was further quoted by PTI as saying. The Government for the first time created a logistics department within the commerce ministry to reduce the turnaround time significantly, she said. The minister said that she will be meeting commerce minister Suresh Prabhu in the next three to four days to discuss various issues being faced by the textile industry and the WTO challenge that the country is set to face. Meanwhile, the textile industry today requested the minister to raise the issue of free trade agreement (FTA) with the commerce ministry for exports growth since the competitive countries were enjoying the duty-free status.
Source: India Retailing
SURAT: The Federation of Surat Textile Traders‘ Association (FOSTTA) has urged Prime Minister Narendra Modi to form a special task force to study the impact of GST on the textile sector. In a letter to Modi, the FOSTTA office-bearers have stated that the production of man-made fabric has reduced from four crore meters per day to less than two crore meters, the sale of polyester fabric including saries and dress material has decreased by almost 40% and that the export of finished fabrics has reduced by almost 28% in the last 10 months post-GST implementation. The FOSTTA stated that more than 60,000 embroidery machines have been shut and that over 90,000 powerloom machines have been sold in scrap in the last 10 months. Thousands of women employed doing hand embroidery work have been rendered jobless due to the closure of the embroidery machines. FOSTTA secretary Champalal Bothra said, ―Many weavers and embroidery owners were investing in modern machines pre-GST, but the rate of investment has almost come down to 70% in the last 10 months due to the implementation of GST. Post-GST, the fabrics imported from other countries including China has become cheap and that the Indian fabrics have become costlier. The benefits of duty drawback scheme to the exporters has been stopped completely.‖ Bothra added, ―We have urged the PM to re-consider the government‘s decision on including textile sector in the GST. We want the government to remove the traders and weavers from the ambit of the GST, while the GST should be charged at the yarn stage only.‖
Source: Times of India
New Delhi: Representatives from Apparel Export Promotion Council today raised issues related to blockage of GST refunds and delay in disbursal of Rebate on State Levies (RoSL) dues in a meeting with Finance Minister Piyush Goyal and Textiles Minister Smriti Irani here. The country‘s textile and apparel exports have witnessed a down slide in the last eight months. A statement issued by the AEPC said that in the two-hour long meeting, the finance minister noted the concerns of the apparel industry with regard to the huge blockages in GST refunds and the slow disbursements in RoSL. Finance minister has instructed his team to urgently identify central and state embedded taxes and work out a reimbursement mechanism. Also, Ministry will expedite GST and RoSL refunds in a time bound manner,? AEPC claimed. The body further said that Goyal assured all possible support from his ministry to enable growth in exports and job creation by the employment intensive apparel, made ups and textile industries. According to Apparel Export Promotion Council (AEPC), due to the blockages of working capital arising because of the blocked GST refunds and slow disbursements in RoSL - the industry has not been able to book orders in the peak season and hence is losing out to its competitors in a big way. Industry apprised finance minister about the crisis faced across industry in embedded and inverted taxes not being considered for refund as well as the huge delays in receiving GST/ROSL claims. Since over 90 per cent of apparel manufacturers are in the MSME sector with limited financial capability, this has created crippling pressure,? said HKL Magu, Chairman, AEPC. AEPC claimed that the apparel industry has witnessed a reduction in the drawback and RoSL benefits by over 5 per cent of (Freight on Board) FoB since the pre-GST period. This, coupled with the disadvantage of around 10 per cent faced by the industry vis-a-vis its competitors in the major markets like EU, due to lack of preferential access, had led to India losing out to Bangladesh and Vietnam in a big way, it said.
Source: Business Today
The Central Board of Indirect Taxes and Customs (CBIC) has asked its field offices to levy GST on goods in customs warehouse only at the time of final clearance. The move is aimed at ensuring ease of doing business for importers, experts said. In a circular to principal chief commissioners and chief commissioners, the GST policy wing of the CBIC said, "transfer/sale of goods while being deposited in a customs bonded warehouse" is a common trade practice whereby the importer files an 'into-bond' bill of entry and stores the goods in a customs bonded warehouse. The importer then supplies such goods to another person, who then files an 'ex-bond' bill of entry for clearing the said goods from the customs bonded warehouse for home consumption. The CBIC said that the Customs Tariff Act has been amended with effect from March 31, 2018, to state that the valuation for the purpose of levy of Integrated GST (IGST) on warehoused imported goods at the time of clearance for home consumption would be either the transaction value or valuation done at the time of filing the 'into-bond' bill of entry, whichever is higher. The circular said that integrated tax shall be levied and collected at the time of final clearance of the warehoused goods for home consumption, which means at the time of filing the 'ex-bond' bill of entry. However, the value addition accruing at each stage of supply would be accounted for, on which Goods and Services Tax (GST) would be payable at the time of clearance of the warehoused goods. "The supply of goods before their clearance from the warehouse would not be subject to the levy of integrated tax and the same would be levied and collected only when the warehoused goods are cleared for home consumption from the customs bonded warehouse," the CBIC said. This circular would be applicable for supply of warehoused goods, while being deposited in a customs bonded warehouse, on or after the April 1, 2018, it added. AMRG & Associates Partner Rajat Mohan said the tax authorities has finally given in to the demands of importer lobby by rectifying a major anomaly on account of supply of warehoused goods which was loaded with a double tax since July, 2017. "This course correction is a laudable effort and would go a long way in easing the liquidity crunch of importers," Mohan said. EY India Tax Partner Abhishek Jain said "this clarification brings a sigh of relief for various businesses. However, given its applicability from April 1, there still remains ambiguity on supplies made prior to April".
Source: Financial Express
The commerce and industry ministry will work on several areas, including formulation of a comprehensive action plan to boost exports and give special thrust on industrial corridors in the last one year of the NDA government, Union Minister Suresh Prabhu said. Expressing satisfaction over the performance of his ministry in the last four years, Prabhu said several steps were taken to promote exports as well as industrial growth and many more initiatives are in the offing. "We will release agriculture export policy this year, besides creating logistics hubs and bringing a multi-modal (logistics) bill this year," he told PTI. He was replying to a question about the completion of four years of the NDA government and areas of focus on the remaining period. "I have told the director general of foreign trade (DGFT) to prepare a country and product specific plan to boost exports. These plans are being dovetailed into the action plan, collected from concerned ministries. We have given time to them by end of this month," he said. The ministry has also asked the Federation of Indian Export Organisations (FIEO) to involve all export promotion councils and prepare their independent plan this year to increase exports. Exports increased by 9.78 per cent in 2017-18 to USD 303 billion. On the industry side, Prabhu said, the ministry will come out with a new industrial policy and give a special thrust on the industrial corridors, which are under different stages of implementation. "We will also undertake GIs (Geographical Indications) campaigns and come out with a district level plan to promote economic activities. That is happening this year," he added. A GI is primarily an agricultural, natural or a manufactured product (handicrafts and industrial goods) originating from a definite geographical territory. Typically, such a name conveys an assurance of quality and distinctiveness, which is essentially attributable to the place of its origin. Darjeeling Tea, Tirupathi Laddu, Kangra Paintings, Nagpur Orange and Kashmir Pashmina are among the registered GIs in India.
Source: Business Standard
Coimbatore : The Union Government has assured the textile and clothing industry that it will identify Central and State embedded taxes and work out a reimbursement scheme soon. HKL Magu, chairman of Apparel Export Promotion Council, has said in a press release that representatives from apparel, made up, and textile segments met the Union Finance and Textile Ministers and officials of the two ministries on Sunday. In the two-hour meeting, the industry explained the issues of concern, pending GST refunds and slow disbursement of rebate of State levies (ROSL). The embedded and inverted taxes were not considered for refund and there was a delay in receiving the GST refunds, they said. Over 90 % of the textile and clothing industry was in the MSME sector and these delays had affected the financial capability of the units. The exporters were unable to book orders during the peak season. The industry had seen reduction in drawback and ROSL by over 5 % of FOB since the pre-GST period. Further, Indian textile and clothing exporters did not have preferential access in countries markets such as the European Union which countries such as Bangladesh and Vietnam had. These had an impact on the exports. Mr. Magu said the Finance Minister had instructed the officials to immediately identify the Central and State embedded taxes and work out a reimbursement mechanism. The Ministry would also expedite refund of GST and ROSL in a time-bound manner, the release said. Though annual apparel exports are at 17 billion $ now, the industry is confident of 20 % growth this financial year if there a level-playing field.
Source: The Hindu
NEW DELHI: Industry chamber CII today said businesses across several key sectors are seeing firm growth in sales and orders, indicating that the economy is on a recovery path and investments will pick up. CII President Rakesh Bharti Mittal said the impact of sustained structural reforms is now being felt on the ground as a mammoth economy is turning around. Businesses across several key sectors are experiencing firm growth in sales and orders, indicating better capacity utilisation and higher investment expectations," Mittal added. Sectors like consumer non-durables, two-wheelers and tractors are witnessing strong rural consumption. Prudent macroeconomic management has encouraged growth and investments for capacity expansion are being planned as demand conditions recover, CII said in a statement. With several major development campaigns such as Make in India, Digital India, Swachh Bharat, Clean Energy and others gaining traction, as well as recovery in the global economy and expectations of a normal monsoon, CII expects growth to record 7.3-7.7 per cent in 2018-19," it added. The capital goods sector is showing steady improvement and order books are filling up. Exports, too, are poised to grow at a faster pace in the current fiscal year, which started on a good note, CII added. ."The feedback from businesses is that the rebound in the economy is now firmly entrenched and the positive impact of the actions taken by the government, including major structural reforms, are being felt on the ground," Mittal added. The government has avoided slippage in the fiscal deficit despite the rise in oil prices. Inflation too has remained under control to the extent possible even as cost of oil is going up, the CII statement said. The industry chamber highlighted eight key areas where reform measures have unlocked growth forces. These include India's biggest reform Goods and Services Tax (GST), emphasis on ease of doing business, Insolvency and Bankruptcy Code, liberalisation in foreign direct investment (FDI) policy and high infrastructure spending.
Source: The Economic Times
New Delhi: India and other key members of the World Trade Organisation (WTO) will discuss ways to combat growing protectionism across the world, including recent actions taken by the Trump regime in the US, at an informal meeting of select Trade Ministers at the OECD meet in Paris later this month. “India’s Commerce & Industry Minister Suresh Prabhu has been invited to participate in the informal Ministerial meeting hosted by Australia in Paris. The EU, the US, Brazil, South Africa and China are among the members expected to attend,” a government official told BusinessLine. The OECD meet is taking place between May 31 and June 3. The ways to take forward unresolved issues flowing from the Buenos Aires Ministerial meeting in December 2017 — such as food security and permanent solution for treating procurement subsidies, curbing fisheries subsidies and treatment of new issues such as e-commerce and investments — are also likely to be taken up. New Delhi had hosted an informal meeting of select WTO members in March, where members stressed on the need to operate within the ambit of the multilateral trade forum and dispute settlement mechanism. No concrete decision, however, was taken on how to move ahead with the multilateral negotiations. “There is a lot of anger against unilateral tariff action being taken by the US in the steel and aluminium sectors. Trump has now indicated that there may be similar action announced against automobile imports. These actions go against the spirit of the WTO which advocates that members cannot be singled out for application of higher tariffs,” the official said.
Retaliatory tariffs
The EU, India, China, Russia, Japan and Turkey have already threatened to impose retaliatory tariffs on goods from the US if it imposes the additional tariffs on steel and aluminium imports that have been selectively announced on these countries. Prabhu is also likely to hold detailed discussions on the high import tariffs in his meeting scheduled with US Trade Representative Robert Lighthizer in the week starting June 11. The Trade Ministers will also discuss how to end the crisis triggered in the dispute settlement system of the WTO with the US refusing to approve the selection of new judges in the Appellate Body to replace the ones who have retired/left. The US wants certain changes in the dispute settlement system and is unwilling to approve new appointments till those are implemented. “Some alternatives to settle disputes at the WTO need to be seriously explored as the short-staffed Dispute Settlement Body will soon not be able to handle new cases,” the official said.
The next WTO Ministerial Meet is scheduled in December 2019.
Source: Business Line
They seek implementation of draft notification of revised wages that was withdrawn in March. The new Chief Minister, who claimed his government will pre-empt protests with talks, seems to be facing several challenges already. It‘s not just farmers who are disgruntled, so are garment workers. Garment workers are all set to launch an agitation demanding that the new government implement the revision of minimum wages that the Siddaramaiah-led government attempted by issuing a draft notification in February 2018, but withdrew in March 2018. The industry employs around 4.5 lakh people in the State, mostly women, with nearly 3.5 lakh workers in Bengaluru alone. The Labour Department issued a draft notification on Feb. 22, 2018, proposing to double minimum wages in the tailoring industry. The wages were proposed to be revised to Rs. 445 a day for an unskilled worker in the tailoring industry in Bengaluru, more than double what is presently paid at Rs. 220 a day. The highest wages proposed was for highly skilled workers in Bengaluru at Rs. 593/day and the least for unskilled workers in taluks and panchayats at Rs. 385/day. But the garment workers‘ hopes were dashed when the Labour Department issued an order withdrawing the draft notification. The department said the industry management objected to the revision on the grounds that minimum wages in Karnataka were higher than in other States and it would have an adverse impact on an industry that is already facing tough international competition.This is a false argument. Minimum wages in China, which dominates the garments industry across the world, pays almost double the wages paid here. Industrialists have held up minimum wage revisions earlier as well,‖ said K.R. Jayaram, secretary, Garments and Textile Workers‘ Union (GATWU). The last revision in 2009 was implemented in 2014 only after labour unions won a case in the High Court. But the justification for the withdrawal of the draft notification was that it was to ensure pay parity between the tailoring industry, spinning mill industry, silk industry, and dyeing and printing industry. A tripartite committee of the government, industry, and labour unions has also been formed to ensure pay parity. A copy of the order is available with The Hindu. GATWU argues this is only a fig leaf and a deliberate obfuscation of facts by the government. The same Labour Department had even issued final notification revising minimum wages for spinning mill, silk and dyeing, and printing industries on December 30, 2017, and the new wages that have come into force are exactly the same as proposed in the draft notification for tailoring industry. Pay parity will be achieved if wages are revised for tailoring industry as well,‖ said Pratibha R., president, GATWU. We demand that the new government scrap the Labour Department‘s order withdrawing the draft notification and implement the revised wages with immediate effect. If they don‘t, we will hold a large agitation in Mandya on June 12,‖ Ms. Pratibha said.
Source: The Hindu
Sick public sector undertakings (PSUs) that are wading through their accumulated loss are now looking forward for capital infusion from the government for a thorough course correction. A majority of the 40 companies under the Department of Industries and Commerce that were facing the threat of extinction for want of professional management, scrutiny, audit, and other lapses over the years were brought on track and 14 units have turned around too. Still, 26 ailing units call for urgent intervention. The posts of chief executive officers and a number of significant middle-level positions continue to remain vacant in some PSUs. The Public Sector Restructuring and Internal Audit Board has identified the posts and seeks to expedite recruitment. It has also informed the government that paucity of workmen in some companies has led to overtime assignments, resulting in a surge in wage bills. Some units were still unable to make the statutory Employees‘Provident Fund (EPF), Employees‘State Insurance (ESI), gratuity, and pension contributions owing to low revenue generation. Occasional grant of working capital through the Plan fund is used to meet such commitments. A one-shot capital infusion is imperative for reviving the textile sector. All textile mills are incurring loss and the Kerala State Textile Corporation tops the list. The Corporation‘s turnover increased from ₹9.73 crore in 2016-17 to ₹32.13 crore in the past year, but the loss also grew from ₹29.36 crore to ₹31.60 crore. Sitaram Textiles and other units too share the same plight.
Panel recommendation
An expert committee headed by P. Nandakumar had mooted a one-time fund infusion of ₹494.81 crore — ₹317.89 crore for capital investment, and ₹176.93 — crore as working capital for putting the 17 mills in the State back on track. The recommendation for one-time investment assumes significance as ₹521.09 crore granted in fits and starts during the past one decade had not done any good to the industry. The 17 mills, in the public and cooperative sectors, offer direct employment to 5,000 and indirect employment to 15,000 people. The government had approved the report, but the uncertainty in releasing funds has halted the revival process. Bureaucratic wrangles have to be cleared for implementing the proposals for which administrative sanction and Plan allocation have been accorded, sources said.
Source: The Hindu
Grasim Industries, an Aditya Birla group company, expects to generate additional revenues of about ₹1,200 crore per annum with its plan to invest ₹1,000 crore in expanding caustic soda and new chlorine value-added products. Sushil Agarwal, Director and Group CFO, said the brownfield expansion at various plants in Karnataka and Gujarat are expected to be commissioned in 18 months after receiving the environment clearances.
Integrated operation
Rising input cost in the viscose staple fibre business is not much of a concern for Grasim as it sources 80 per cent of its raw material from group companies. The almost fully backward integrated operation has helped the company to stay ahead of the cost curve, he added. The company is fully integrated for caustic soda, carbon disulphide, power and carbon, which accounts for 30 per cent of production cost. It sources 60 per cent of dissolving grade pulp, which constitutes 55-60 per cent of the overall cost, through joint venture companies in Canada and Sweden. Agarwal said though the pulp is sourced at market price, the cost benefit flows back in the consolidated account through profit from the joint venture company. Grasim has competitive advantage over others as 80 per cent of the cost is hedged through high backward integration.
Expanding textiles biz
This apart, the company plans to invest ₹6,400 crore in the textile business by the financial year 2021, he said. The company plans to fund the expansion largely through internal accruals. The net debt was ₹14,165 crore in the year ended March 2018 against a surplus of ₹2,438 crore in the same period last year. On a standalone basis, its surplus has come down to ₹384 crore from ₹2,260 crore, he saidDilip Gaur, Managing Director, said while the demand for VSF (Viscose Staple Fibre) has been good in both the global and domestic markets, the fresh capacity of about one million tonne being added this year in China is a concern. However, he added the VSF capacity addition will not be more than half-a-million tonne as concerns over environment have been raised. Grasim expects viscose filament capacity of 25,000 tonnes taken over on lease from BK Birla-owned Century Textiles to add an Ebitda of ₹450 crore this fiscal. The plant, which is located at Shahad near Thane, will save about ₹20 crore through the synergy with Grasim operations, he said.
Pact with Century Textiles
Grasim has entered into an agreement with Century Textiles to manage and operate its viscose filament yarn business for 15 years. The agreement would provide Grasim the right to use the Century Textiles assets, while the ownership will remain with the BK Birla Group. As per the agreement, Grasim will pay ₹600 crore as royalty and make a refundable security deposit of ₹200 crore; these will be from internal accruals.
Source: The Hindu BusinessLine
Textile traders in Ahmedabad will get in-house legal advice as over a-century-year-old textile body Maskati Market Kapad Mahajan has recently hired two advocates to guide textile traders in business disputes. The appointments will improve the accessibility of legal course of action at nominal expenses, encouraging them to resort to legal course of action, say players. "Two advocates will work from 11:00 am to 8:00 pm from the office of Maskati Mahajan. We have created a dedicated space of 400 square feet for them to operate," said Gaurang Bhagat, president of Maskati Market Kapad Mahajan. The move will give a fillip to the arbitration activities being facilitated by the Mahajan. It gets close to 400 complaints pertaining to disputes between traders. In absence of the arbitration activity by the Mahajan, these need to be routed through conventional legal and judicial channels, which are time-consuming and costlier. The advocates will also provide the traders end-to-end legal services including stamp papers and services of a Notary among others. Traders will no longer require stepping into a court to resolve legal matters. Mahajan also resolves cases of returns of cheques, disputes of traders with their employees and any complaints that is brought by their members.
Source: Daily News & Analysis
Foreign-flagged ships will be allowed to transport agriculture, horticulture, fisheries and animal husbandry commodities between Indian ports without a licence, the Shipping Ministry said in an order issued on Tuesday in a second round of cabotage relaxation. On Monday, the Ministry had eased cabotage rules by allowing foreign-flagged container ships to carry export-import (Exim) containers for transshipment and empty containers on local routes without a licence.
Local route access
Only Indian registered ships are allowed to ply on local routes for carrying cargo, according to India‘s cabotage law. Foreign ships can operate along the coast only when Indian ships are not available, after taking a licence from the Director-General of Shipping, according to the rule that was designed to protect local ship owners. The cabotage relaxation granted to foreign flagged ships for carrying agriculture, horticulture, fisheries and animal husbandry commodities specified in the Indian Trade Classification (ITC), Harmonised System (HS) of the Director-General of Foreign Trade, Union Ministry of Commerce and Industry, is conditional on such commodities contributing to at least 50 per cent of the total cargo on board the ship, PK Sharma, Under Secretary in the Shipping Ministry, said in the May 22 order reviewed by BusinessLine.
Commodities
These commodities are meat and edible meat offal, fish and crustaceans, molluscs and other aquatic invertebrates, dairy produce, bird‘s eggs, natural honey, edible products of animal origin (not elsewhere included), vegetables and certain roots and tubers-edible, fruits and nuts- edible, peel of citrus fruits or melons, coffee, tea, mate and spices, cereals, products of the milling industry, malt, starch, inulin, wheat gluten, oil seeds and oleaginous fruits, miscellaneous grains, seeds and fruit, industrial or medicinal plants, straw and fodder, vegetable plaiting materials (not elsewhere specified or included), animal or vegetable fats and oils and their cleavage products, wool prior to yarn formation, cotton, prior to yarn/thread formation, vegetable textile fibres such as flax, hemp and jute. Water-borne transportation modes, including coastal shipping, being comparatively cheaper modes of transport would enable farmers to access a larger market profitably, widen the range of goods which can be marketed, and lengthen the distances over which domestic trade can be conducted, according to the ministry. The national perspective plan of Sagarmala programme estimates a potential of more than 9 million tonnes a year for coastal movement of food grains and processed food.
Source: The Hindu BusinessLine
A cursory look at their past performance will reveal that most states had previously registered growth rates much lower than 14% from the taxes that later collapsed into GST. A cursory look at their past performance will reveal that most states had previously registered growth rates much lower than 14% from the taxes that later collapsed into GST. It may appear that the goods and services tax (GST) hasn’t given a big boost to states governments’ tax revenue (or for that matter, the Centre’s) so far, but there’s little reason for them to complain. The constitutionally guaranteed compensation mechanism under GST ensures, in effect, a 14% annual growth in the states’ revenue. A cursory look at their past performance will reveal that most states had previously registered growth rates much lower than 14% from the taxes that later collapsed into GST. The chart shows how some states’ own tax revenue (OTR) — a major component of which (roughly 60% in most cases) are levies like state VAT, entry tax, octroi, purchase tax, luxury tax etc that are now subsumed in the GST — grew in the three years prior to the launch of the new comprehensive indirect tax. OTR is a good proxy for GST and the two’s growth rates are comparable. Recently, several non-BJP ruled states including Kerala, Andhra Pradesh, Punjab and West Bengal blamed the ‘shabby implementation’ of the GST for their lower-than-expected tax collections and sought amendments to the terms of reference of the 15th Finance Commission to factor in the impact of GST on the states’ revenues. Sources had told FE that Tamil Nadu, Andhra Pradesh and West Bengal saw 20% ‘shortfall’ (gap between actual collections and what 14% annual growth over 2015-16 base would entail) in July 2017-February 2018 period. The shortfall was even higher at around 30% in case of Odisha and Madhya Pradesh, 40% for Bihar and Punjab and 50% for Himachal Pradesh. Kerala finance minister Thomas Isaac recently bemoaned that the state’s GST revenue growth is less than 10% as against an expected 20%. “The reason is a (properly designed) GST system is not in place,” he said. But Kerala’s OTR had grown an average of 9.65% only between FY15 and FY17. “The initial period of GST introduction saw several changes in rates, returns, time-lines etc and also the dilution / delayed introduction of anti evasion measures such as invoice matching, reverse charge etc. These could have, in part, led to lower collections in the initial phase. With the introduction of the e-way bill and other measures on the anvil, the GST revenues are expected to increase,” MS Mani, partner, Deloitte India, said. The GST revenue growth has been hobbled by the absence of a comprehensive return-filing system as the taxpayers continue to file summary return which was originally meant to be an interim measure. Besides, suspension of provisions like reverse charge mechanism for buying from unregistered dealers, tax collected/deducted at source (TCS/TDS) has left the system prone to evasion. The crucial mechanism of e-way bill designed to plug revenue leakages in business-to-consumer transactions was only implemented in April and its benefits will be clear from collections in May. Even the new simplified system of return-filing would take a year to be fully in place. Further, because of technical glitches and cumbersome compliance process, the tax department has been cautious in its enforcement actions.
Source: Financial Express
Teejay Lanka, one of Sri Lanka’s largest textile manufacturers, has announced that the company has doubled the production capacity of its Indian mill, Teejay India, following the completion of an expansion project involving an investment of $15 million. The mill is located within the 1,000-acre Brandix India Apparel City (BIAC) in Vizag, Andhra Pradesh. Teejay India is now capable of manufacturing up to 42 million metres of weft knitted fabric annually using state-of-the-art machines for knitting, dyeing, finishing, and inspection, according to the company. The expansion entailed the installation of state-of-the-art machinery for knitting, dyeing, finishing, and inspections as well as fully-automated packing machines, a lab dip dispenser for colour service, and a chemical dispensing system. These can produce 12,500 tons of fabric a year. The expansion has also generated additional employment opportunities for up to 276 people, the company disclosed. The formal opening of the expanded Teejay India manufacturing plant took place recently with the participation of senior management of Teejay operations in Sri Lanka and India, major shareholders Brandix and Pacific Textiles of Hong Kong and representatives of key customers. The company’s deputy CEO, Pubudu De Silva said, “We now have a remarkable new facility in India which is one of the best in BIAC and sends a clear message that Teejay is a global company which believes in high standards of production, and is ready to take on more orders. "The decision to expand despite tough market conditions is likely to be one of the best the company has made, as it equips Teejay to tap into the broader Asian and expanding EU business.” Teejay India was incorporated in 2009 as Ocean India Private Limited and became part of the Teejay Group in 2015, as a fully-owned subsidiary of Teejay Lanka. It was renamed as Teejay India Private Limited in 2016 with the rebranding of Teejay. (GK)
Source: Fibre2Fashion
|
Item |
Price |
Unit |
Fluctuation |
Date |
|
PSF |
1399.96 |
USD/TON |
2.05% |
5/27/2018 |
|
VSF |
2236.81 |
USD/TON |
0.14% |
5/27/2018 |
|
ASF |
3034.55 |
USD/TON |
0% |
5/27/2018 |
|
Polyester POY |
1413.25 |
USD/TON |
-0.49% |
5/27/2018 |
|
Nylon FDY |
3472.52 |
USD/TON |
0.46% |
5/27/2018 |
|
40D Spandex |
5552.91 |
USD/TON |
0% |
5/27/2018 |
|
Nylon POY |
1704.98 |
USD/TON |
0% |
5/27/2018 |
|
Acrylic Top 3D |
3628.94 |
USD/TON |
0.44% |
5/27/2018 |
|
Polyester FDY |
5912.68 |
USD/TON |
0% |
5/27/2018 |
|
Nylon DTY |
1689.34 |
USD/TON |
-0.18% |
5/27/2018 |
|
Viscose Long Filament |
3144.04 |
USD/TON |
1.02% |
5/27/2018 |
|
Polyester DTY |
3128.40 |
USD/TON |
0% |
5/27/2018 |
|
30S Spun Rayon Yarn |
2956.34 |
USD/TON |
0% |
5/27/2018 |
|
32S Polyester Yarn |
2260.27 |
USD/TON |
0.35% |
5/27/2018 |
|
45S T/C Yarn |
3050.19 |
USD/TON |
0.52% |
5/27/2018 |
|
40S Rayon Yarn |
2361.94 |
USD/TON |
0.67% |
5/27/2018 |
|
T/R Yarn 65/35 32S |
2580.93 |
USD/TON |
0.62% |
5/27/2018 |
|
45S Polyester Yarn |
3112.76 |
USD/TON |
0% |
5/27/2018 |
|
T/C Yarn 65/35 32S |
2674.78 |
USD/TON |
0% |
5/27/2018 |
|
10S Denim Fabric |
1.46 |
USD/METER |
0% |
5/27/2018 |
|
32S Twill Fabric |
0.89 |
USD/METER |
0.18% |
5/27/2018 |
|
40S Combed Poplin |
1.25 |
USD/METER |
0% |
5/27/2018 |
|
30S Rayon Fabric |
0.70 |
USD/METER |
0% |
5/27/2018 |
|
45S T/C Fabric |
0.74 |
USD/METER |
0% |
5/27/2018 |
Source: Global Textiles
Note: The above prices are Chinese Price (1 CNY = 0.15642 USD dtd. 27/5/2018). The prices given above are as quoted from Global Textiles.com. SRTEPC is not
The government in an effort to stop the influx of pirated textiles on the local market has adopted some strategies to curb the phenomenon which is gradually threatening the survival of the local textile companies. Trade and Industry Minister, Mr Alan Kyerematenhas revealed that, plans of government to combat the textile piracy include the introduction of tax stamps for the local textile and garment industry. Government is also considering getting Chinese investors who produce textiles in China to invest in the textile industry in Ghana, by establishing their textile printing factories in Ghana. This will give government control over their operations as a way of combating pirated textiles. Government has already giving textile traders a three month ultimatum to clear old stocks then start the implementation of the textile tax stamp policy.The tax stamp policy is therefore to be effective from September this year. This is to avoid seizure by an anti-piracy taskforce put together by the Trade Ministry and the Industrial and Commercial Workers‘ Union (ICU). At a joint press conference on happenings in the textile industry last week in Accra, Mr Kyerematen said failure to affix the stamp will warrant severe sanctions. Mr Kyerematen noted that government was doing everything in the interest of all parties to solve the issue of pirated textiles. He explained that government was ready to roll out a comprehensive strategy aimed at combating pirated textiles. These measures are expected to bring a lasting solution to the smuggling and counterfeiting of fabrics in the country. As a government, we are committed to solving the issue of piracy, he stressed. Other measures, he stated includes government providing stimulus packages to textile traders to offer them some relief in their business. He admitted that measures outlined in the past in the fight against pirated textiles had not yielded appreciable results and there was the need to think outside the box. Apart from making sure that government earns the revenue, it will also be necessary that the government regulates the trade in this sector particularly in the markets and retail centres…every textile will have tax stamp to be issued by the Finance Ministry. Once this is done, it is easier to identify the pirated goods in the sector, he stated. The four textiles manufacturing companies operating in the country currently including Volta Star and GTP, have had to lay off workers due to high operational cost and their inability to compete favorably in the market. The textile workers have also protested against the unfair competition especially from the pirated textiles. Meanwhile, local textile producers may have to contend with competition from imported ones until they are able to fully meet the demand for textiles. Local textiles producers are able to meet only a quarter of the demand. Of the 120 million yards of fabric needed annually, local producers are able to supply only 30 million yards. It is due to this that, government is considering getting Chinese investors who produce textiles in China to invest in the textile industry by establishing their factories in Ghana. When these investors are able to invest by establishing textile companies in Ghana, it will create employment, generate the needed revenue and help to stop Ghanaians who travel all the way to China to import pirated textiles, Mr Kyerematen said. Apparently, despite all these plans outlined by government, angry textile workers have planned to picket at the Presidency as they are provoked by government‘s reaction to their recent demonstration. Last month hundreds of the distressed workers hit the streets of Accra to demand that government extends the mandate of the anti-pirated textile taskforce to enable it move from the borders to the markets. This will pave way for the seizure and destruction of pirated wax-prints in compliance with regulations of the World Trade Organization (WTO). Deputy Trade Minister Carlos Ahenkorah has reportedly indicated that, government cannot grant the request of the textile workers to destroy pirated wax prints due to the huge amounts invested by the textile traders. But the textile workers who have re-petitioned the Ministry have punched holes into the claims. Spokesperson for the Coalition of Textile Workers John Abeka told journalists in Accra that government is flouting international trade regulations. We heard the Minister saying these are people who are using their monies and so he considers the fact that their monies are going to be burnt once we seize the pirated wax prints and burn them. Why would you condone something that is wrong? If it‘s wrong it‘s wrong. These are smugglers. And so we don‘t have to accept the fact that because they are crying we have to listen to them. Then let us go and listen to the people importing Indian hemp, Tramadol and cocaine because they are also doing business. If the Minister is saying the women are complaining their products and money get missing during the raids by the taskforce is he saying the Police, military men or custom officers are thieves? Such statements should not come from him,‖ he said. Deputy Trade Minister Carlos Ahenkorah has also indicated that government will release funds to the ailing textile companies as a stimulus. However, speaking on the stimulus package promised by government to help revive the textile industry, Mr Abeka said the stimulus package will not make any impact on the operations of the textile companies if government does not rid the market of pirated wax prints. We don‘t need stimulus packages. That is not the priority for us at the moment. Because if the smuggling of pirated textiles does not stop the stimulus package cannot help the ailing textile companies. They must listen to us. Because if they don‘t we will hit the streets again and this time around it will be at the Jubilee House‖, he said. The textile workers have given government one month to allow the anti-pirated textile taskforce to seize and destroy pirated wax prints.
Source: The News Ghana
US tends to tighten imports by setting up new requirements on product quality, food hygiene and product traceability. According to the General Department of Customs (GDC), the US remained Vietnam‘s biggest export market in the first four months of the year which consumed USD 13.8 billion worth of Vietnam‘s exports, an increase of 11.4 percent over the same period last year. Vietnam-US bilateral trade turnover, which was USD 1.4 billion only in 2001, has been increasing steadily since the Bilateral Trade Agreement (BTA) took effect, reaching USD 50.8 billion last year. The big challenge for Vietnam is the strict regulations that export products have to observe. In addition to the federal law, each US state has different rules and regulations of its own. Deputy Minister of Industry and Trade Do Thang Hai warned that the US tends to tighten imports by setting up new requirements on product quality, food hygiene and product traceability. The US‘s big changes in its trade policies will have a big impact on the export of many Vietnam‘s key items,‖ Hai said. The businesspeople present at the Vietnam-US Trade Forum held in HCMC several days ago confirmed that more Vietnam‘s export products now bear anti-dumping duties or have to satisfy higher technical requirements. Any export product, from shrimp, fish to steel nails and any business could be subject to anti-dumping or anti-subsidy lawsuits. The US policy to protect local production had tightened recently, which means the high possibility of Vietnamese exporters becoming defendants in lawsuits. Currently, Vietnam exports 60,000 tons of shrimp to the US or just 10 percent of total shrimp products the US imports a year. Vietnam‘s capacity is twice as much as the figure. According to Ministry of Industry and Trade (MOIT), Vietnam‘s major export products to the US are footwear, textile & garments, wooden furniture and electronics which have low added value.
Source: News Week
A thirteen-member delegation, led by the Minister of Food and Agriculture (MOFA), Dr Owusu Afriyie Akoto, was in China to explore the possibilities of entering into the Chinese market with Ghanaian products. The delegation also sought partnerships with Chinese counterparts to invest in the various sectors of the economy of Ghana. Additionally, it explored partnership in the cotton, cocoa products, the shea nut processing and fertiliser production as well as other areas of common interest.
Delegation
Other members of the delegation were the Technical Advisor to the minister, Mr Emmanuel Asante Krobea, Ghana‘s Ambassador to China, Mr Edward Boateng, the Chief Executive of the COCOBOD, Mr Joseph Boahen Aidoo, the Chief Executive of the Ghana Cotton Development Authority, Mr James W. B. Yesseh, the Managing Director of the Cocoa Processing Company (CPC), Nana Agyenim Boateng, the Chief Executive Officer of the Cocoa Marketing Company (CMC), Dr Mensah Aborampah.
Chinese Chamber of Commerce
During a meeting with the Vice-Chairman of the Chinese Chamber of Commerce for Import and Export Textile and Apparel, Mr Zhang Xi-An, Dr Akoto explained that he was liaising with the chamber to get Chinese companies interested in the cotton industry to consider investing in the production, processing and marketing of the cotton both locally and into the Chinese and other African markets. He told Mr Xi-An that the government had a discussion with two Chinese companies two years ago for the possibility of setting up a cotton processing facility in Ghana. Dr Akoto, who said the discussion with the two companies began during the President Mahama-led administration, explained that when he took over the ministry, I felt that this is an important project and, therefore, decided to re-establish communications between Ghana and the chamber. He said he followed up with an invitation of the representatives of the two companies to Ghana who, during the meeting, reminded the ministry that there was already a memorandum of understanding (MoU) between them and the ministry. Dr Akoto said the government of Ghana had set aside 100,000 hectares of land for cotton production in the northern part of Ghana as a way of revamping the cotton industry. He, therefore, invited the Chinese investors, especially those in the cotton industry, to take advantage of the opportunity to invest in the sector from the farm to garments, to feed the local market and the international market as well.
How cotton is produced in Ghana
The Chief Executive Officer of the Cotton Development Authority, Mr Yesseh, took members of the chamber through how the cotton was produced and used in Ghana. He said currently what pertained in the cotton production was that small-scale farmers interested in farming cotton were supported by interested cotton companies with improved seeds, fertilisers and other resources. Mr Yesseh added that when the farmers produced the cotton, it was sold to the cotton companies which in turn processed it, sold some to the local textile industry and exported some.
Commercialising cotton production
But now, we want to modify the system to make sure that we do commercial farming,‖ he explained, adding that what Ghana was looking forward to attract Chinese companies to establish a plant in the country to process the cotton and also manufacture garments. Mr Yesseh explained that the idea was to make cotton production viable and more commercial than what was going on currently in order to revamp the industry.
Chinese business community excited
Mr Xi-An expressed excitement with the decision by Ghana to redirect its attention to Chinese companies, explaining that his association was directly in charge with the production, manufacturing and marketing of garments in China. He said the association was expanding its activities outside the South Asian countries to African countries and Ghana, where he described as potential ground for cotton production. Mr Xi-An pledged to mobilise Chinese businesses to explore the possibilities of investing in Ghana through the association, adding that the association, which was already operating in some African countries, was glad to include Ghana.
Source: The Graphic Online
KARACHI: Industrial and export oriented sectors termed increase in policy rate (basic points system) by 50 bps to 6.5 percent by State Bank of Pakistan (SBP) as business unfriendly attitude on Saturday. The business community was expecting reduction of 100 basis points in policy rate for the period of next two months. The increase in policy rate would put export oriented and other industrial sectors in hard time as these sectors were facing grappling economy and financial crunch. Besides prospects for investment climate would become weaken that were all important providing financial relief to industrialists especially exporters, industrial people were of the view. Representatives of chamber of commerce and industry in the country besides associations of industry and trade along withFederation of Pakistan Chambers of Commerce and Industry, All Pakistan Textile Mills Association, Pakistan Tanners Association (PTA), Pakistan Cotton Ginners Association (PCGA), Surgical Instruments Manufacturing Association Pakistan (SIMAP), All Pakistan Marble Mining Processing Industry and Exporters Association (APMMPIEA) and other industrial and importers trade organisations said upward revision in policy rate would create liquidity crunch to the industry, which was already braving high cost of energy and production besides other crisis. Policy rate increase would weaken exporters‘ competitiveness in international market as they could not avail loan facility on higher bank interest rate besides it would weaken productivity level. India, Bangladesh and Sri Lanka are remained the major competitors in the international market. Increase in policy rate would encourage government the major borrower of the commercial banks to borrow more money. Agha Saiddain senior member of PTA said availability of surplus liquidity in the market is always essential and prime reason behind investment in the industry. But after increase in policy rate liquidity would shrink. Increase in bank mark-up rate would discourage fresh investment in the industry particularly in the leading exporting textile and leather industry. The SBP‘s policy rate increase would keep the cost of living, the cost of doing business and rate of defaults and unemployment higher and within no control limits. Private sector would not become able to attract and raise fresh funds, Ghulam Rabbani, senior member Karachi Cotton Association said. Higher rate never helped government in reducing imports of oil, food, raw material and essentials while it has reduced growth and savings, triggered unemployment and made imports costly. Increase 50bps in policy rate is not positive for stock valuations and earnings of leveraged companies and for overall economic revival. This step would not help to control unemployment and expansion plans of industry and it would be better if mark up would come to 5 percent. Private sector commercial banks‘ borrowing would not get momentum and banks would prefer lending to government on higher interest rate as well as the private sector would be wary from borrowing bank loan. The current decision shows SBP was not initiating in right direction and does not think for the growth of industrial sector. The step will not help to keep control inflation to average 10-11 percent in next two-three months. The textile, leather and other billions of dollars exporting sectors of the country have great potential to attract foreign investment. Members of KCCI said different segments of the society were expecting downward revision upto 2 percent that could benefit industry and trade. Industry was facing hike in power tariffs of 65 percent, 35 percent for commercial and 16 percent for residential consumers. APMMPIEA Chairman Sanaullah Khan said increase in policy rate would not helpful for developing export-oriented industrial sectors including marble, surgical and sports, as they were in need of commercial bank loans and funds from other sources on reasonable rates. It would not ease helping returning banks‘loan by the borrowers, which would increase the ratio of non-performing loans (NPLs). This increase would not provide any help smoothing food supplies, contain price of perishable items, administrative prices and there is likely a higher inflation rate. Businessmen and industrialists were expecting 100 points cut in discount rate (DR) by SBP in upcoming Monetary Policy statement. The major indicators including headline inflation level and consolidation of external account made a favourable room for SBP to cut DR significantly. Analysts said the probability is high and SBP will follow a gradual policy of reducing benchmark interest rate because it is difficult to forecast the global price of oil after a sudden fall. Improved external sector outlook could be another key trigger for a likely rate cut as its scenario has also been very stable lately as total foreign exchange reserves of the country currently stand at $10.6 billion. Money market was anticipating a 100bps cut in upcoming MPS as yields on government securities have declined significantly. Real interest rates have also increased significantly due to widening gap between interest rates and inflation.
Source: Daily Times
The earliest days of health foods in a big supermarket consisted of looking for a special sign "natural or health" foods and then walking down one narrow aisle, out of a dozen more, to get low-sugar, low-fat groceries usually free of additives and boasting of natural grains, juices and pesticide-free produce. What if you will be walking into clothing malls of the future and ask the shop manager where to find the "health" racks of clothes made of bamboo, and hemp? Textile makers are turning a tide and an Australia-based company is a sign that we are moving, in addition to cars, to other daily items in our lives that need sustainable alternatives. Long story short, Australian company Nanollose is now focused on a plant-free fabric aimed at the sustainable fashion trade. The company made news on Wednesday at Planet Textiles 2018 event in Canada when they launched their microbial cellulose fabrics. The fabrics are derived from natural coconut byproducts coconut waste. The company is talking up the eco-friendly nature of their material. The apparel industry is the second largest consumer and polluter of natural resources on the planet, with an urgent need for sustainable alternatives. Their microbial cellulose is grown through natural fermentation. The company said, "Nanollose Technologies, which uses industrial organic and agricultural waste products to produce plant-free cellulose, does not involve the felling of trees or require the use of arable land or its associated use of irrigation, pesticides and other resource intensive inputs making it a sustainable product with potential for industrial scale manufacture." It can be grown all year round, no waiting for "crop seasons." Also, their numbers show microbial cellulose has a significant yield-to-field advantage. Their development speaks to those in the industry who are on the trail of finding sustainable alternatives to rayon and cotton. A publication's title reflects the times. Ecotextile News is an "environmental magazine for the global textile and clothing supply chain." It reported that the Planet Textiles event marked the first time that its 'Nullabor' branded fabrics have been shown in public. Nanollose chief executive Alfie Germano told over 400 Planet Textiles delegates: "We identified a source of cellulose raw material (coconuts) and made a fibre in a very quick time-frame. But there's nothing like a deadline, and so to be in front of you all today, I'm very happy to say that not only do we now have a fibre, we've used industrial methods to spin this fibre into a yarn and produced the very first batch of fabrics to bring to this event." Meanwhile, one can note a news story last month which appeared in Manufacturers' Monthly. "The company [Nanollose] today announced signing a Memorandum of Understanding (MoU) with Indonesian food producer, PT Supra Natami Utama, a subsidiary of PT Niramas Utama, to develop a commercial scale factory and supply chain solution for cellulose production." PT Supra Natami Utama is a producer of coconut food, beverages and cosmetic products. It has facilities across Indonesia with access to quantities of coconut bi-product and waste stream. The report said "Nanollose intends to access these waste streams for use in the production of textile grade microbial cellulose on an industrial scale.
Source: Tech Xplore
Every time Michigan residents take their trash out to the curb, instead of recycling, they are throwing away tons of money. How much money? According to a report completed by the West Michigan Sustainable Business Forum, the value of Michigan‘s municipal solid waste that goes to landfills or incinerators every year is $368 million. Along with the economic value, recycling and reusing these materials could generate more than 2,600 jobs, the study found. State and local leaders have acknowledged that Michigan‘s overall recycling rate of 15 percent is among the worst in the nation. We‘re behind,‖ Gov. Rick Snyder conceded in his 2018 State of the State address. We‘re half the national average on recycling. We have to do more. It is for our own good. And it is for the well-being of our society and our world. Michigan is in the process of dumping its longtime practice of relying on landfills and shifting toward policies that promote reuse and recycling of residential waste. Snyder has set a goal of doubling the recycling rate by 2025, and the Michigan Department of Environmental Quality would like to see the current rate tripled by 2045. It‘s a big mountain to climb, but the first steps are already being taken.
Another fine mess
How did we get into this mess?
In the 1990s, there was a fear that the country was running out of landfill space, and Michigan went on a building binge for dumping sites. The state also has among the lowest tipping fees in the nation, at 36 cents per ton. The national average is $49.78 per ton, according to the DEQ. That low rate has attracted haulers from other states and Canada to bring their garbage here. Last year 10.5 million cubic yards of waste were brought in from outside Michigan, an 11 percent increase from 2016. Canada accounted for 20 percent of the total waste going to landfills here. Snyder has proposed raising the tipping fee to $4.75 per ton, the same as Ohio. If approved, that amount would generate $79 million a year, with $15 million to be earmarked for recycling efforts, with the majority going toward toxic waste cleanup. The increase would cost the average household an additional $4.75 a year in waste hauling costs. Michigan also has leaned on its deposit program, enacted in 1974 to provide 10 cents for returning containers. That has been a success, with 90 percent of the bottles and cans being returned. But it‘s not enough. ―We‘ve got complacent,‖ Snyder said. We thought we did the deposit law so we were doing great on recycling.‖
Not so.
Trash talking
Michigan sends almost 53 percent of its municipal solid waste to landfills, and another 13 percent is diverted to generate energy. In 2013 the US. Recovery rate was 34.6 percent, with recycling at 25.4 percent and composting of organic materials at 8.9 percent. Michigan can do better, experts contend. We found that most material currently being disposed of through landfills and incinerators could be recycled or composted without great difficulty where recycling services are available, the West Michigan Sustainable Business Forum found. The organization, which promotes reuse and recycling practices, worked with Grand Valley State University and recyclers and waste companies to survey what was going into landfills. They found that 41 percent of the material, including numbered plastic, glass, paper and metal, could be handled with standard recycling, and 35 percent was compostable, such as food and yard waste and compostable paper. Another 8 percent textiles, bulk items, electronic waste, soil and hazardous material could be recycled with effort, they stated. The average American throws away 70 pounds of clothing every year.Fifteen percent of waste, including inorganic waste and foam plastic, would not be practical to recycle. Paper made up 22 percent of the solid waste; plastics, 12 percent; metal, 4 percent; and glass 2 percent. Food waste accounted for 13.6 percent of waste. The paper being thrown away has a total value of $95 million, according to the study; plastics, $128 million; metal, $104 million (with aluminum at $50 million); and textiles, $24 million. Matthew Connolly, with Green Earth Electronics Recycling, wraps up recycled computer equipment during a community recycling event held at the Southeast Berrien County Landfill Recycling Center in Buchanan. Discarded plastic bags alone add up to $14.4 million, and corrugated cardboard comes in at $57.5 million. The Sustainable Business forum report recommends aggressively promoting efforts to recover corrugated cardboard, with a priority on commercial customers; increasing conventional recycling by doubling the recycling rate for paper products and metal, and tripling the rate for high-value plastics; increasing textile recycling; reducing and diverting food waste from landfills; and decreasing electronic waste by half. The recycling and reuse industry is already big, and could be bigger, advocates point out. The DEQ reports that the industry accounts for 35,954 jobs, which is 1.74 percent of Michigan‘s employment, and 2.56 percent of its economic output. The Sustainable Business Forum reports that Michigan‘s sold waste has a potential economic value of $399 million.
Nitty gritty
In response to Snyder‘s call to double – and eventually triple – the state‘s recycling and reuse rate, the Michigan Recycling Initiative has been established. The group is in the process of drafting proposed changes to solid waste laws to emphasize recovery over dumping. To improve how we recycle and plan for our waste material, Michigan‘s solid waste law must change, the draft states. It is expected that legislation will be introduced this spring. If enacted, the new law will trigger the development of new materials management plans by all 83 counties in 2020, with the first new plans approved by 2023.Goals of those changes include ensuring residents have convenient access to recycling services in their homes, businesses, places of work, and in all State of Michigan facilities, the draft document declares. Wherever there is a garbage can, there also should be a recycling bin. The revisions emphasize local planning for the siting and development of facilities for recovering waste materials, composting and processing recycled materials, and improvements to licensing provisions for landfills and better DEQ oversight of all material management facilities to minimize risks to people and the environment.
Source: Herald Palladium
