MUMBAI — The MMF textile industry has called upon the government to remove the condition of lapsing of Input Tax Credit post payment of tax for the month of July 2018. For promoting smooth business under the GST regime Government needs to allow Input Tax Credit on finished goods and raw material lying in stock as on 31 July 2018 urged Mr. Narain Aggarwal Chairman Synthetic & Rayon Textiles Export Promotion Council (SRTEPC) in a letter to the Finance Minister. Mr. Aggarwal noted that the textile industry and fabrics manufacturer ’s welcomes the move of allowing refund of unutilised Input Tax Credit post July 2018. This will help to reduce the cost of fabrics manufacturer which in turn will be reflected in reduction in prices of garments in India. However the condition of lapse of credit remaining unutilised as on end of July 2018 will have major negative effect on exports including the on-going orders and contracts he pointed out. In this regard SRTEPC members who are manufacturers of Fabric/Exporters have raised the following hypothetical situation: The member-company has stock of Yarn & other Raw Materials as on 31st July 2018 on which GST has been paid. The said goods will be utilised after 1st August 2018 on which 5% GST will be paid. The inverted structure for MMF fabrics manufacturer are mainly on account of inward supply of their primary raw material yarn @ 12% GST and Chemicals @ 18% GST whereas outward supply leviable on fabrics is @ 5% GST. The process of converting yarn into fabric has various stages and usually takes 1-2 month time. Thus most of the manufacturers plan their procurement of inputs 3-4 months in advance to fulfil their orders for outward supplies of fabrics. The purchases made till July 2018 will be for outward supplies to be made in August September & onwards. The condition of lapse of all the Input Tax Credit availed till 31 July 2018 will have a huge adverse impact on the costing of already existing orders and contracts as manufacturers didn’t factor in the additional burden of non-availability of Input Tax Credit. This will not only impact the exporters of fabrics but also manufacturers who supplies goods within India. Apart from exporters it will also have major impact on integrated textile manufacturers. The fabric industry comprises of many Micro Small and Medium Enterprises (MSMEs) and they are in the decentralised sector. The above amendment in Principal Notification in nutshell has an impact of loss not only on account of writing off accumulated un-utilisable Input Tax Credit as on 31 July 2018 but also of at least 5% of ITC on finished goods and raw material lying in stock as on 31 July 2018. This sudden amendment in policy of Government will negatively affect the entire industry. As there will be huge amount of accumulated input tax credit lying unutilised in balance especially in case of the MMF fabrics segment and in view of the above the MMF textile industry hopes for an amendment and removal the condition of lapsing of Input Tax Credit post payment of tax for the month of July 2018.
Source: Tecoya Trend
The third edition of ‘Source India,’ India’s largest sourcing show for man-made fibre textile products, would be held in Surat from September 21 to 23, said Ronak Rughani, Vice-Chairman, Synthetic and Rayon Textiles Export Promotion Council. Speaking at a roadshow conducted in association with Southern India Mills’ Association (SIMA) here on Tuesday, Mr. Ronak said manufacturers and exporters of man-made fibre textiles, including yarns, fabrics, apparels, made-ups, home textiles, technical textiles and accessories, would be showcasing their products at Source India. More than 200 buyers from 40 countries were expected to visit the event, expected to attract 5,000 visitors, including domestic buyers, representatives of Indian and international buying houses, procurement managers from large retail brands, sourcing agents, industry heads and business leaders, he said. D. Jayaraman, Head-Spinning, South India Textile Research Association (SITRA), gave a presentation on ‘Market potential and emerging trends in textile trade.’
Source: The Hindu
NITRA, India’s premier textile research association has launched Focus Incubation Centre (FIC), a step towards innovation. Further, NITRA in association with Confederation of Indian Textile Industry (CITI) is also planning to come out with a competition to identify bright and innovative ideas, and help such ideas be converted into commercial utility. This is a move to promote innovation and startups in the textile arena by providing the right facilities and support to budding entrepreneurs of the industry, said NITRA chairman Sanjay Kumar Jain. During the event, Ajay Tamta, minister of textiles, mentioned about the deep impact of textile industry in Indian economy in terms of its significant contribution to the country’s GDP, foreign exchange earnings and employment generation. He asserted that the government has already taken many necessary steps and offered various attractive schemes in order to boost the Indian textile industry with special thrust on technical textiles. "Focus Incubation Centre (FIC) will provide necessary facilities and technical guidance to encourage technical textile entrepreneurs for testing new ideas and technologies and thereby leap forward to more innovations in the products that they make. He is very confident that many new developments will happen in FIC and invites entrepreneurs from across the country to join FIC to make their dreams a reality," director general, NITRA Dr Arindam Basu. Keeping NITRA’s excellent service for the textile industry in mind and to bring up this success to the next higher level, the textiles ministry has designated NITRA as Centre of Excellence (CoE) for protective textiles and automotive textiles with providing infrastructure for developing expertise and technical capability for quality evaluation, product development and knowledge dissemination in the field of protective textiles.
Source: Fibre2Fashion
NEW DELHI: Textiles and apparel exports dropped by nearly Rs 8,000 crore to Rs 2,30,056 crore in 2017-18 owing to competition from emerging economies like Bangladesh and Sri Lanka which enjoy preferential duty access in key markets, the government said today. The country's textiles and apparel exports stood at Rs 2,37,922 crore in 2016-17, Minister of State for Textiles Ajay Tamta said in a written reply to the Rajya Sabha. Replying to another query, the minister said that during the current cotton season (October 2017 to September 2018), shipments of cotton from the country are expected to touch 70 lakh bales, registering a 20 per cent increase over the previous season. According to Tamta, while 51.2 lakh bales have been exported up to April 30, 2018, no target as such has been set for cotton exports. Besides, he said there is no proposal to frame a separate policy for export of cotton, as its shipments are dependent on various factors including demand and supply conditions and the ruling domestic prices vis-a-vis international prices.
Source: Indian Express
New Delhi : The total collection from Goods and Services Tax (GST) in July exceeded ₹96,000 crore, the Finance Ministry said. This is higher than the June number, but slightly lower than the target of ₹1 lakh crore. Interim Finance Minister Piyush Goyal said the collection is in line with the government’s target and it is set to increase further in the coming months with the rise in compliance and market demand. “These are monsoon months during which usually the economic activity is relatively lower. We still have the busy season ahead of us. Considering, that we have very good collections on GST,” he told reporters here. He said the Cabinet took note of the recent decisions of the GST Council and also considered the proposed Bill to bring in amendments to various GST laws. A Finance Ministry statement said the total gross GST revenue collected in July is ₹96,483 crore of which CGST is ₹15,877 crore, SGST is ₹22,293 crore, IGST is ₹49,951 crore (including ₹24,852 crore collected on imports) and cess is ₹8,362 crore (including ₹794 crore collected on imports). “This (revenue collection) is broadly on expected lines,” the statement said. The latest figure does not include the impact of rate cut which was made effective from July 27. The GST Council, in its meeting on July 21, decided to lower tax on around 100 products which mainly include consumer electronic products such as smaller TV, fridge, washing machine, hair dryers, iron etc beside sanitary napkins, handloom and handicraft products. It is estimated that total revenue loss on account of rate cuts will be around ₹9,000 crore which may grow to ₹15,000 crore if refund of accumulated credit on account of inverted duty structure to fabric manufacturers taken into accounts. Better GST collection is also critical from the Centre’s fiscal deficit point of view. The deficit is estimated at 3.3 per cent of GDP. Now, if GST rate cuts impact overall revenue, then it will be tough for the Government to keep the deficit at the budgeted level. The deficit has already touched 68.7 per cent of the Budget Estimate in the first three month of the current fiscal. Commenting on the collection, Abhishek A Rastogi, Partner at Khaitan & Co, said while collection looks good, there is need to analyse the quantum of the refunds which are pending before the authorities. The refunds pending will show the actual reduction which may happen in the subsequent months. “The budgetary support announced has not been given to various units located in the backward zones. There could be a hit in the months to come due to this outflow of refunds,” he said.
Source: Financial Express
Ahead of the National Handloom Day celebrations in Chirala, weavers there will press for repealing the GST on yarn, dyes and fabric handloom products. Faced with competition from mechanised looms, 50,000 looms in and around Chirala have dwindled to 10,000 facing hurdles in sourcing raw material and in finding market for environment-friendly products. “We add value to our products and go all out to woo health-conscious customers by using organic cotton and vegetable dyes. Yet, we are finding it hard to survive because of competition from power looms,” Indira Abhyudaya Silk Handloom Weavers Co-operative Society president B. Shyam Sundar told The Hindu. The Neta Bazar in Chirala needed a facelift to improve the market for them, he said.
Wait for soft loans
As weavers are forced to go to Bengaluru and Dharmavaram to procure silk yarn, “It is high time a silk yarn depot is set up in Chirala itself,” said Mr. Sundar, adding that the 20% incentive promised by both the governments on products sold by them remained unpaid for three years. A bank for soft loans to weavers was pending. “For products sold through the Andhra Pradesh State Handloom Weavers Cooperative Society, we wait for payment for more than 10 months,” said Jawala Narasimham, weaver. Subsequent generations were changing professions as weaving was no longer lucrative and viable, said M. Gourishankar of the Sitaramaraju Handloom Weavers Cooperative Society. The governments should provide house-cum-worksheds on a saturation basis since at least 2,000 applications were pending, added K. Lakshma Rao.
Source: The Hindu
The Goods and Services Tax Council, in its meeting on Saturday, is likely to consider extending some monetary sops to micro, small and medium enterprises (MSME) within the turnover threshold of `1.5 crore, sources said. The 29th Council meeting is being held to exclusively discuss challenges facing small taxpayers, which include laws, tax rates, procedure and GST Network-related issues. Although a final proposal on sops is being formulated, sources said small taxpayers could be given refund of a certain percentage of tax paid by them. This would ensure that no separate exemptions/differential rates are carved out under the GST and the input credit tax (ITC) chain also remains intact. The decision to provide succour to the MSME sector is based on the fact that many such businesses were exempt from the excise duty in the pre-GST regime, but their tax liability now is equivalent to a combination of excise and VAT. This has robbed them of the competitive advantage since the rollout of the GST. For instance, small scale industries were exempt from excise duty for units with turnover of less than Rs 1.5 crore since 2008. Incentives to MSMEs will come with adverse revenue implication, but sources said even a small quantum of relief would cover a large part of taxpayers, given that small taxpayers contribute a small fraction to the GST revenue collection. According to official data, registered taxpayers up to turnover of `1 crore constitute over 78% of the total base, but contribute less than 7% to the revenue collection. In absolute terms, these assessees pay about `6,000 crore in GST every month if the total collection is `90,000 crore. “It would be a welcome step if the GST Council provides us with refunds to lower tax liability, but the MSME sector needs much more. Ideally, MSMEs with turnover of up to `5 crore should be exempt from the GST and businesses with up to `25-crore tunrover should be allowed to file and deposit tax quarterly,” Chandrakant Salunkhe, founder and president of the SME Chamber of India, said. The Council had allowed quarterly return filing for assessees with up to `5-crore turnover in last meeting, but they would still need to deposit tax every month. The MSMEs sector is believed to have suffered the most in the aftermath of demonetisation. Besides, they have also had the hardest time adjusting to IT-heavy infrastructure of the new indirect tax regime, which has made it difficult for small taxpayers to comply without engaging a tax professional. This had led to additional cost to the businesses. However, the Council would have to factor in the possible shortfall in GST revenue collection due to the proposal. In the last meeting, the Council had cut rates on 88 items with an estimated revenue loss of nearly `12,000 crore annually. Even though the GST revenue collection has been growing every month this fiscal, it is still a long distance away from the `1.12 lakh crore of monthly collection required to meet the Budget target for FY19.
Source: Financial Express
NEW DELHI: Manufacturing activity eased marginally in July after reaching a seven-month high in June following lower output growth and new orders, but demand continued to be strong, a private survey showed on Wednesday. The Nikkei India Manufacturing Purchasing Managers’ Index declined to 52.3 in July from 53.1in June. A reading of over 50 on this survey-based index indicates expansion, below that contraction. “The recent improvement in Indian manufacturing conditions lost some impetus in July, with softer rises in output, new orders and employment all recorded,” said Aashna Dodhia, economist at IHS Markit and author of the report. The index is based on a survey conducted among purchasing executives of more than 400 companies. The survey cited anecdotal evidence pointing to favourable market conditions and strong demand from international markets for Indian goods. “The sector continued on a steady expansionary path, as production and new business rose at marked rates. Moreover, July survey data pointed to strong demand from both domestic and international sources,” Dodhia said. Output, new business and exports rose in consumption and intermediate goods. The Reserve Bank of India raised key rates on Wednesday by 25 basis points, its’ second after the previous policy announcement in June. Hardening of input price pressures was one of the eight risks to inflation that the bank highlighted on Wednesday, the others being — crude oil, volatility in global financial markets, minimum support price, households' inflation expectations, monsoon, fiscal slippage and revision of house rent allowance. Looking ahead, Indian manufacturing companies held optimistic projections for output in the next 12 months. Expected improvements in demand, promotional activities and expansion plans were the key factors behind confidence. The level of positive sentiment strengthened to a three-month high during July but some respondents expressed fears of a potential slowdown in the year ahead, according to Dodhia.
Source: The Economic Times
India has lost a lot by keeping out international investment over the last 7 decades through myriad restrictions and regulations. The deliberations of the task force constituted by the Union government of India to come up with a suitable e-commerce policy have now been consolidated into a draft policy and covered widely in the media. The authors of this policy would have made the mandarins of the erstwhile Planning Commission in the 1950s and 60s very proud. While they rightfully acknowledge the potential of the digital economy now and in the decades to come, the understanding of what the digital economy and e-commerce is all about seems to be quite muddled. The India of today does not need a “nanny-state” treatment. The nation urgently needs to catch up, in just about every domain, with the developed world if it were to give a chance to all its 1.3 billion inhabitants to live a better life. Innovative, intelligent use of various digital technologies and platforms provide a glimmer of hope to a nation which has unfortunately missed the previous industrial revolutions and must not miss the incoming industrial revolution 4.0. With the incredible pace of change all around us, the last thing that India needs is the straitjacket of a government created “policy” which creates artificial and undesirable schisms such as scale of e-commerce businesses, ownership in terms of nationality of the key investors in such businesses, differentiation of goods sold through such businesses in terms of country of manufacture, etc.There are several glaring anomalies and impracticalities in this draft policy. The first one is to do with the supposed distinction between “domestic” and “foreign” firms. In today’s economy, capital flows are seamlessly global. India-based start-ups, with Indian nationality entrepreneurs, require access to millions (and in some cases, billions) of dollars in funding at various stages of their growth. These funds (and in many cases, technical and managerial know-how) cannot be sourced only from resident Indian investors. Indeed, almost all the major venture capital and private equity funds raise their corpus from investors that are spread across the globe. Many of these ventures may also have a need to enter into mergers/acquisitions/divestments to other business entities who may have different ownership structures (in terms of nationality). India has already lost a lot by keeping out international investment in the country over the last 7 decades through myriad restrictions and regulations. It is high time that the nationality of investors in almost any business in India (other than, perhaps, in a very few areas relating to national defense and internal security) is no longer a matter of consideration for the Centre in normal business activity. Secondly, it is absolutely essential to support the MSME sector. However, that support has to be provided by the Central government only by way of providing requisite high quality, cost-effective physical infrastructure and facilitating access to start-up/growth capital through suitable policy and fiscal incentives. Thereafter, it is up to the MSMEs to take advantage of a growing economy and rising consumer demand and set up/grow their businesses in tandem. Governments, in the past 70 years, have nearly killed many business sectors by creating all kinds of reservations based on scale and area of operation. Textile industry is one such example wherein the Centre’s confused thinking in 1980s-2000s prevented Indian industry to grow while China was still a relatively small player in that sector. Today, India is struggling to even compete with Bangladesh and Vietnam simply because the Centre created policy distortions. In e-commerce, for successful companies, the entire world is a potential market and many such companies can rapidly scale up from being an MSME to world scale businesses. The last thing Indian MSMEs need is government forced restraints on their scale of operation. Thirdly, the Union government has no business to directly or indirectly exercise any kind of price control on the goods (and services) being sold to Indian consumers. There is no definition or benchmark of what constitutes a normal discount versus excessive discount. Competitors and consumers decide what the appropriate price should be. In any exceptional situation of any evidence of predatory pricing, the CCI can easily take a view and address any such anti-competitive practice. E-commerce in India, currently, is less than 2% of the total consumer spending across various channels. Surely, at this insignificant level of penetration, it cannot distort the market conditions. Indeed, even if it touches 10% penetration in a decade from now, it would still be the smallest channel of retail for the 1.3 billion relatively low-income consumers who need the lowest possible price for whatever they buy. It would have been useful if this task force had studied if any such e-commerce “policy” currently exists in any developed nation before it attempted to write one for India and thereby potentially stymie growth of e-commerce in the country. What this task force should limit its attention to is on a few specific areas. Data protection and data privacy is a genuine challenge, and therefore the Centre should ensure this. Transparency in the ownership structure of all businesses operating in India is important so that there is no circumventing of various laws and regulations through creative corporate holding structures. There should be adequate protection to the consumer whereby the channel/marketplace through which they have bought any specific product or service is held fully accountable for remedying any genuine shortcoming experienced by any consumer post purchase. Accordingly, CCI and ministry of consumer affairs should update and upgrade their expertise to handle issues arising out of e-commerce.
Source: Financial Express
Domestic factory production slowed down as the Nikkei India Manufacturing Purchasing Managers' Index (PMI) came in at 52.3 in July, down from 53.1 in June. However, the index still recorded its 12th consecutive month of expansion. Output and new orders rise at slower, but marked rates while the input cost inflation eased from June's near four-year high. Manufacturing conditions across India improved at a modest and slower pace at the start of the quarter, reflecting softer rises in output, new orders and employment. On the price front, input cost inflation eased from June's multi-year high and was broadly in line with the series trend. Subsequently, firms raised their output charges at a modest and slower pace. Meanwhile, business sentiment towards the 12-month outlook for output strengthened to a three-month high. This index is based on the survey conducted among purchasing executives in over 400 companies. These companies are divided into eight broad categories: Basic Metals, Chemicals & Plastics, Electrical & Optical, Food & Drink, Mechanical Engineering, Textiles & Clothing, Timber & Paper and Transport. An index over 50 shows expansion, while one below 50 stands for a contraction. The index is prepared by IHS Markit and released along with a detailed report.
Source: Business Standard
The Government is implementing Power Tex India, a comprehensive scheme for power loom sector development.Under the scheme, existing plain powerlooms are upgraded to semi-automatic and shuttleless looms to improve quality and productivity, by providing financial assistance to powerloomunits. So far, more than 2.16 lakh looms have been upgraded in the country under the in-situ upgradation component of the scheme. For implementing Amended Technology Upgradation Funds Scheme (ATUFS), a comprehensivei-TUFS software has been developed. Through the iTUFS software, the beneficiary units can directly upload their applications. The beneficiary units can also track their application at each stage of the process. India is the largest producer of cotton in the world. India is the second largest exporter of textiles in the world. During 2017-18, India exported cotton textiles volume at USD 1854 million to Bangladesh and USD 1020 million to China.During 2013-17, man-made fibre (MMF) exports of China have grown at a CAGR of 2%,while India’s MMF exports have grown by3% during the same period.
Source: Khabar India
The rupee bounced back from early losses to end at a fresh two-week high of 68.43, up by another 11 paise against the US dollar, even as the RBI hiked repo rate by 25 basis points on Wednesday. The forex market sentiment was buoyed by the Reserve Bank maintaining its growth outlook for the economy, projecting an GDP expansion rate of 7.4% in 2018-19 on the back of robust macroeconomic environment. The central bank’s upbeat comments on the economic growth outlook predominantly triggered a fresh leg of a bullish move for the home currency after initial wobbliness. A sharp fall in global crude prices further supported the local currency. Joining the global tightening bandwagon, the RBI for the second straight meeting raised its benchmark interest rate by 0.25% to 6.50% on hardening inflationary risks, while not strangulating growth. The key trigger for the rate hike was the expectation that inflation could go up rapidly in the next one year impacted by a steep hike in minimum support prices of crops. Markets were expecting that the RBI would prefer to wait for the full impact of the MSP, monsoon progress and the US Fed outcome before hiking rates in October, a forex dealer commented. The bond markets also reacted positively, with the 10-year benchmark bond yield plugning by 7 bps to 7.70% from 7.77%.Earlier, the Indian unit opened flat at 68.55 against overnight close of 68.54 at the interbank foreign exchange market ahead of the monetary policy. It weakened further to hit a low of 68.60 in early trade before a trend reversal in reaction to RBI policy announcement. The rupee finally managed to end at the day’s high at 68.43, revealing a rise of 11 paise, or 0.16%. this is the highest level since July 17 when the rupee had closed at 68.45. Yesterday, the rupee had gained 13 paise. The Financial Benchmarks India private limited (FBIL), meanwhile, fixed the reference rate for the dollar at 68.6058 and for the euro at 80.1151. Globally, the US dollar traded firm against its major rivals after a report said the US is considering raising the suggested tariffs on USD 200 billion worth of Chinese goods from 10% to 25%, giving a severe blow to the Chinese economy.
Source: The Hindu
A delegation from the Indian textile industry will display the latest trends at the Apparel Textile Sourcing Canada (ATSC) show, featuring more than 500 international exhibits, beginning August 20. The 3-day fair will open scope for foreign direct investment (FDI), with Indian firms quick to innovate and adapt to the fast-changing demands of the industry. "We are thrilled to announce that 40 established, new and emerging businesses will be featured in the show’s new India Pavilion, which will showcase trending Indian apparel, textiles and accessories,” said Jason Prescott, CEO of JP Communications, ATSC producer. The India Pavilion will be organised and managed by Comnet Exhibitions Pvt Ltd. (CEPL), India’s leading trade promotion organisation that connects Indian exporters to a world of trade opportunities at international trade fairs across the globe. "With abundant availability of raw materials, such as cotton, wool, silk, and jute, as well as a skilled workforce, India offers a favourable market for global retail brands," Chandrika Behl, CEPL director, emphasising that Indian exhibitors are looking forward to forging strong relationships with Canadians. “The industry is one of the largest contributors to India’s exports, with approximately 11 per cent of total exports worth $41.4 billion," Behl added CEPL – with support from the Indian department of commerce under the ministry of commerce and industry, the federation of Indian chambers of commerce and industry (FICCI), the apparel export promotion council (AEPC) and the wool and woollens export promotion council (WWEPC) – will assist textile and apparel businesses to connect with international companies, sign deals and develop trading and export opportunities at the trade show. "Everyone loves Indian textiles and apparel for their fine craftsmanship and traditional opulence," Behl added, explaining that the industry boosts exports, creates jobs and helps to promote the Indian cultural identity globally. "For the past 30 years, CEPL has encouraged, educated and assisted the Indian textiles and apparel industry to take on the world by providing access to new markets. Canada is the next destination for the ‘Made in India’ marque that has become synonymous with style and quality." India is one of more than 20 countries participating in ATSC, including other South Asian countries such as Bangladesh, Pakistan and Nepal. The show will also feature hundreds of exhibits from China as well as a display of offerings from China’s top 10 brands. New fashion innovations from countries such as the Ukraine, Switzerland, Spain, the UK, Turkey, the US and Canada will also be on display. (RR)
Source: Fibre2Fashion
BENGALURU: Mobile platforms will influence more than two-thirds of apparel and fashion accessory purchases by 2022, said a report by social media firm Facebook and consultancy KPMG. Facebook alone, according to the report, is expected to influence more than half the mobile-influenced purchases for both apparel and fashion accessories by 2022. “More than four hours a day are spent on the mobile. We believe the adoption of mobile as a media strategy helps reduce friction in the purchasing funnel. It also compacts the journey,” said Pulkit Trivedi, director – global sales organisation at Facebook India. The report said that moving media spend to mobile devices could decrease the cost of acquiring customers by 5%. Facebook’s revenue is primarily drawn from advertisements by brands attempting to reach consumers. For 2016-2017, Facebook India Online Services reported revenue of ?341.8 crore.Brands are increasingly focused on using data from sites such as Facebook to target ads to their customers. Trivedi said Facebook was also working with brands and providing a suite of tools that help them measure the impact of their marketing on the platform. Over the past 12-18 months more brands have begun refining their digital marketing studies, said Sreedhar Prasad, partner and head of consumer market and internet business.
Source: Economic Times
President Ram Nath Kovind will inaugurate a MSME summit for promoting `One district, one product’ scheme in Lucknow on August 10. Aimed at boosting micro, small and medium enterprises, the Summit would be corollary to UP Investor’s Summit held in Lucknow in February. The ODOP was designed to promote traditional industries and spur local economy and the scheme seeking international branding was launched on January 25 this year. MSME and Khandi and Village Industries minister Satyadeo Pachauri said in Lucknow on Wednesday that President Ram Nath Kovind will formally inaugurate the summit on August 10 and distribute loan sanction papers worth Rs 500 crore to beneficiaries of ODOP scheme. Pachauri said that ministers in-charge of districts will also distribute loans to beneficiaries of the scheme. He said that tool kits will also be provided to entrepreneurs of cottage and handicrafts. The minister said that beneficiaries of ODOP scheme from Varanasi, Gorakhpur, Moradabad, Agra and Kanpur will also share their experience with the President. He said that arrangements were being made for live telecast of the programme across the state which will be held at Indira Gandhi Pratishthan, Lucknow. The President will also inaugurate a three-day exhibition where one product from each district would be put on display. Pachauri said that 8 technical sessions would he organized during the Summit on subjects like handloom, textiles craft, tourism, agro and food processing, credit and finance. He said that the Summit will be the first of its kind by any state government in the country and was expected to give a big boost to MSME and handicrafts in the state. MSME sector is the backbone of UP’s industrial landscape and contributes 60% to its annual industrial output by employing around 4 crore people and generating direct economic activity worth Rs 1.2 lakh crore annually. The state is home to over 50 Lakh MSMEs and the sector is the second largest employer after agriculture, making it imperative for any development roadmap, especially in the backdrop of the government targeting to generate 20 lakh jobs in the next four years. The MSME department is also pursuing investment proposals received at Investors Summit in February, so that they could translate on the ground soon. The sector had netted investment proposals worth over Rs 60,000 crore. In all, investment commitments of Rs 4.68 lakh crore were signed during the UP Investors summit. UP is famous for product specific traditional industrial hubs across 75 districts viz. Varanasi (Banarasi silk sari), Bhadohi (carpet), Lucknow (chikan), Kanpur (leather goods), Agra (leather footwear), Aligarh (lock), Moradabad (brassware), Meerut (sports goods), Saharanpur (wooden products) etc.
Source: The Pioneer
|
Item |
Price |
Unit |
Fluctuation |
Date |
|
PSF |
1360.36 |
USD/Ton |
0.87% |
8/1/2018 |
|
VSF |
2052.26 |
USD/Ton |
0% |
8/1/2018 |
|
ASF |
3122.37 |
USD/Ton |
2.40% |
8/1/2018 |
|
Polyester POY |
1473.23 |
USD/Ton |
0.30% |
8/1/2018 |
|
Nylon FDY |
3415.55 |
USD/Ton |
0% |
8/1/2018 |
|
40D Spandex |
5130.65 |
USD/Ton |
0% |
8/1/2018 |
|
Nylon POY |
3224.98 |
USD/Ton |
2.33% |
8/1/2018 |
|
Acrylic Top 3D |
1671.13 |
USD/Ton |
0.44% |
8/1/2018 |
|
Polyester FDY |
3518.16 |
USD/Ton |
0% |
8/1/2018 |
|
Nylon DTY |
5533.77 |
USD/Ton |
0% |
8/1/2018 |
|
Viscose Long Filament |
1693.11 |
USD/Ton |
0.22% |
8/1/2018 |
|
Polyester DTY |
3093.05 |
USD/Ton |
0% |
8/1/2018 |
|
30S Spun Rayon Yarn |
2770.55 |
USD/Ton |
0% |
8/1/2018 |
|
32S Polyester Yarn |
2118.23 |
USD/Ton |
0.35% |
8/1/2018 |
|
45S T/C Yarn |
2873.16 |
USD/Ton |
0.51% |
8/1/2018 |
|
40S Rayon Yarn |
2257.49 |
USD/Ton |
0.65% |
8/1/2018 |
|
T/R Yarn 65/35 32S |
2448.05 |
USD/Ton |
0% |
8/1/2018 |
|
45S Polyester Yarn |
2931.80 |
USD/Ton |
0% |
8/1/2018 |
|
T/C Yarn 65/35 32S |
2506.69 |
USD/Ton |
0% |
8/1/2018 |
|
10S Denim Fabric |
1.37 |
USD/Meter |
-0.11% |
8/1/2018 |
|
32S Twill Fabric |
0.84 |
USD/Meter |
0% |
8/1/2018 |
|
40S Combed Poplin |
1.17 |
USD/Meter |
-0.12% |
8/1/2018 |
|
30S Rayon Fabric |
0.66 |
USD/Meter |
0% |
8/1/2018 |
|
45S T/C Fabric |
0.70 |
USD/Meter |
0% |
8/1/2018 |
Source: Global Textiles
Note: The above prices are Chinese Price (1 CNY = 0.14659 USD dtd. 1/8/2018). The prices given above are as quoted from Global Textiles.com. SRTEPC is not responsible for the correctness of the same.
The Trump administration plans to propose slapping a 25 per cent tariff on $200 billion of imported Chinese goods after initially setting them at 10 per cent, a source familiar with the plan said on Tuesday. President Donald Trump's administration said on July 10 it would seek to impose the 10 per cent tariffs on thousands of Chinese imports. They include food products, chemicals, steel and aluminium and consumer goods ranging from dog food, furniture and carpets to car tires, bicycles, baseball gloves and beauty products. While the tariffs would not be imposed until after a period of public comment, raising the proposed level to 25 per cent could escalate the trade dispute between the world's two biggest economies. The source said the administration could announce the tougher proposal as early as Wednesday.There was no immediate reaction from the Chinese government. In July it accused the United States of bullying and warned it would hit back. Investors fear an escalating trade war between Washington and Beijing could hit global growth, and prominent US business groups have condemned Trump's aggressive tariffs. A spokeswoman for the US Trade Representative's Office declined to comment on the proposed tariff rate increase or on whether changing them would alter the deadlines laid out for comment period before implementation. In early July, the US government imposed 25 per cent tariffs on an initial $34 billion of Chinese imports. Beijing retaliated with matching tariffs on the same amount of US exports to China. Washington might also impose tariffs on an extra $16 billion of goods in coming weeks, and Trump has warned he may ultimately put them on over half a billion dollars of goods - roughly the total amount of US imports from China last year.
Source: Financial Express
US President Donald Trump recently issued a proclamation suspending application of duty-free treatment for all apparel items from Rwanda under the African Growth and Opportunity Act (AGOA). Rwanda, however, remains eligible for non-apparel benefits under AGOA. “We regret this outcome and hope it is temporary,” said Deputy US Trade Representative (USTR) CJ Mahoney. The presidential action suspends AGOA benefits for a class of imports that totalled $1.5 million in 2017, and which accounts for nearly 3 per cent of Rwanda’s total exports to the United States, according to a USTR press release. The action does not affect the vast majority of Rwanda’s exports to the United States. “We look forward to working with Rwanda to resolve this issue so that benefits in the apparel sector may be restored,” Mahoney said. An AGOA issue relating to new barriers to United States trade and investment first arose in 2015 when the East African Community (EAC) established a plan to ban imports of used clothing and footwear. The USTR’s engagement on this issue intensified in 2016 when the EAC announced it would phase in the ban by 2019. Thereafter, three EAC AGOA beneficiaries—Kenya, Tanzania, and Uganda—worked with the United States and took actions to revise their policies. As a result, they continue to receive full benefits under AGOA. Rwanda, however, insisted on continuing with a policy that has raised tariffs on imports of used apparel and footwear by more than 1,000 per cent, effectively banning imports of these products. President Trump believes suspension of AGOA’s benefits, instead of termination of Rwanda’s status as an AGOA beneficiary, is the appropriate remedy in this instance, the USTR added. (DS)
Source: Fibre2Fashion
The Sustainability Consortium (TSC). The report on the trends in sustainability is based on the key performance indicators (KPI) that drive the sustainability index. The 2018 Impact Report, 'Transparent Supply Chains for Better Business' stated that in comparison to the data from 2016 to 2017, fewer organisations chose the KPI response 'Unable to determine at this time'. The average supplier scores increased 3 per cent, from 33 per cent to 36 per cent. While, the number of individual KPI scores between 0 and 10 per cent has decreased from 50 per cent to 48 per cent from 2015 to 2017. The number of KPI scores between 90 and 100 per cent has increased from 22 per cent to 26 per cent from 2015 to 2017. "In 2017, we saw an unprecedented increase in the implementation of our work, and we saw more companies commit to improve their performance. This is a clear response to the demand signal from retailers, brands and other major purchasers to improve supply chain transparency, understand sustainability impacts and take action to improve. It’s also a positive response to growing consumer demands, and another endorsement of the idea that sustainability is good for business," TSC chief executive Euan Murray said. TSC’s report also showed that the highest-scoring companies were those that have been working on sustainability the longest. That group has the highest scores, the biggest improvements and the best track-record in transparency and sustainability. It also means there’s a clear path for all other companies to follow. For the majority of suppliers who did not score in the upper ranges, the best way to improve their score is to improve the transparency of their supply chain. Suppliers who participated in TSC’s training were asked if they had done anything in the past year to improve their sustainability index score, and 88 per cent answered yes, with over half of those suppliers saying that they had engaged their own suppliers around sustainability performance and relevant data, the report revealed. "The year-to-year comparisons suggest that most companies are to be able to improve their transparency over a period of one to two years. From our experience in working with suppliers, increases in scores have occurred in part because brand manufacturers have improved the systems to increase transparency into what is happening in their factories and supply chains. This is all positive evidence that increasing transparency is happening as a measured outcome," Dr Kevin Dooley, TSC chief scientist, said. "Over the last three years, Spectrum Brands has worked to improve our scores on the sustainability index, powered by TSC. We saw our scores improve, directly leading to new business efficiencies. We joined TSC not only to support the great work the organisation puts out to help companies like ours improve sustainability efforts and become more efficient, but also to take action on the major issues we face in sustainability today," said Dan Hutter, DVP and chief sustainability officer, Spectrum Brands, said.
Source: Fibre2Fashion
WASHINGTON (AP) — U.S. factories grew at a slower pace in July, but American industry remains healthy despite growing concern about trade conflicts. The Institute for Supply Management, a trade group of purchasing managers, said Wednesday that its manufacturing index slipped last month to 58.1 from 60.2 in June. Anything over 50 signals growth, and U.S. manufacturing is on a 23-month winning streak. Seventeen of 18 manufacturing industries expanded in July, led by textile mills and makes of electronic equipment, appliances and components. New orders, production and new export orders all grew more slowly in July. Factories stepped up hiring last month. Manufacturers are coping with labor shortages and supply disruptions connected to ongoing trade disputes with China, Canada, Mexico and Europe. Among other things, U.S. tariffs on imported steel and aluminum are raising costs for many manufacturers. Nearly half the companies that responded to the survey expressed concern about trade, said Timothy Fiore, chair of the institute's manufacturing survey committee. "It's the No. 1 issue," he said. Factories so far have been able to shrug off a 5 percent rise in the value of the dollar against major currencies since mid-April a stronger dollar makes U.S. products more expensive in foreign markets. The overall economic backdrop, however, remains healthy. The U.S. economy, fueled in part by tax cuts, expanded in the second quarter at a 4.1 percent annual pace, fastest since 2014. Jim O'Sullivan, chief U.S. economist at High Frequency Economics, said that the ISM index "was still quite strong, despite continued angst about trade policy."
Source: The Herald
About 150 workers at Panda textile and garment factory in Hlaing Tharyar township, Yangon Region, held a protest after management threatened not to rehire them if they do not sign an employment contract. Daw Zar Zar Latt, an official of the factory labour union, said most of the workers refuse to sign the contract because some of its terms and conditions were not discussed first with the union and are unfair to the workers. “The workers don’t have houses since the factory was transferred from the government to private ownership. According to the contract, we have to move out if we are sacked,” said Daw Zar Zar Latt. She said they refused to sign the contract because they want the one they signed when the factory was still managed by the government. The protesters want the factory to re-hire workers who were sacked, to stop the factory owner’s actions that are deemed illegal, and to take action against the owner for breaking the law. The factory used to be run by the government as Paleik No. 2 Factory, but in 2012, the government privatised it. In March 2016, Panda won a long-term lease for K360 million (US$248,618) a year from the Myanmar Investment Commission. The factory issued a notice to workers on July 20 that the government instigated the new employment contract not the company, said factory general manager Daw Tin Tin Shwe. “For nearly six months we have been trying to convince the workers to sign the contract. We want them to have equal rights. The rules were set in cooperation with the factory coordination committee. Out of 1000 workers, about 600 signed the contract, which has 21 terms and conditions,” said Daw Tin Tin Shwe. She said the workers’ demands are against the law, and any actions by the company were taken after consulting with the government, she said. “We dismissed four workers only after we warned them many times that they weren’t following the rules. Some of the protesters don’t know the rules so we will explain them patiently,” Daw Tin Tin Shwe said
Source: Myanmar Times
Led by the United Nations Economic Commission for Europe (UNECE), the ‘Traceability for Sustainable Value Chains - Textile and Leather Sector’ survey targets all enterprises and experts engaging in the various stages of the value chain, and/or working on sustainability performance in the textile and leather sector. The UNECE, together with experts from governments, private sector, academia, international governmental and non-governmental organisations (NGOs), including the International Trade Centre (ITC), has looked into the risks and impacts of the leather and textile production and has launched a project for an international framework initiative on transparency and traceability for sustainability patterns in the sector. All tanneries are invited to participate in the survey, described by Cotance (Confederation of National Associations of Tanners and Dressers of the European Community) as an important exercise “for evidencing at international level the position of the leather industry with regard to this important issue”. The project aims at developing principles and policy recommendations, standards and implementation guidelines for traceability of sustainable value chains in the textile and leather industries. Deadline for submission is September 10, 2018. For further information, please contact Maria Teresa Pisani at maria-teresa.pisani@un.org
Source: International Leather Maker
