The Synthetic & Rayon Textiles Export Promotion Council

MARKET WATCH 26 OCT, 2018

NATIONAL

INTERNATIONAL

‘India must create jobs in textiles, leather’

Mumbai : India needs to work on creating jobs in sectors such as textile, garments and leather to generate employment for its unskilled youth, Zarin Daruwala, CEO, Standard Chartered Bank India said at the India Summit 2018 organised here. “People are always talking about the macro situation. They should focus on the micro story which is very, very good. India’s engineering exports is growing among merchandise exports. We have three times increased exports of auto components and have achieved 40% increase in automobile production,” she said. “[As many as] 1,400 global multinational companies have opened their global centres in India. More than 45% of their global centres outside their own countries are in India. This micro story is making Indian industry a high tech one. Since that part of the economy has moved up, the government should now need to work on how to create jobs to the youth who are not that educated,” Ms Daruwala said. She said the jobs can be generated by the ‘government sectors’ which can create employment in 100 poorest districts of India. “The wages in these districts are low and comparable to Bangladesh. If India can focus on getting some business for this sectors, we can create many more jobs for the unskilled population,” she said. Speaking at the event Amitabh Kant, Chief Executive, NITI Aayog said improvement in ease of doing business ranking in eastern states will help India to further move up in the World Bank ranking. “India is a very large country, a lot depends on the states. Since a lot of investments happen in states, the ease of doing business must improve there. To ensure that we are ranking states and there is intense competition among them,” Mr Kant said. “The good thing is that the eastern States like Odisha, Jharkhand, Chhattishgarh are doing extremely well in ease of doing business ranking. Once the eastern part of India starts doing well then India will certainly improve it ranking,”he said. “Because these are mineral rich states and attract big investment. Any improvement there will help India to do well. We are putting the ranking in public domain and naming and shaming states to improve their ranking and it is helping,” Mr. Kant added.

Source : The Hindu

Back to top

Indian Institute of Skills to be set up in PPP mode

The Union Cabinet chaired by Prime Minister Narendra Modi has approved setting up of Indian Institute of Skills (IISs) at different locations across the country. The IISs shall augment the global competitiveness of key sectors of Indian economy by providing high quality skill training, applied research education and a direct connection with industry. The Public Private Partnership (PPP) mode will be explored for promotion of IIS at select locations based on demand and available infrastructure, an official statement said. “By leveraging advantages of private sector enterprise and public capital in terms of Government land, it would create new institutes of expertise, knowledge and competitiveness,” the statement said. IISs will provide opportunity to aspiring youth across the country to have access to highly skilled training, and enhance the scope of accountability through linkage with industry and global competitiveness across sectors. (RKS)

Source : Fibre2fashion

Back to top

Handloom Expo at Kakinada from today

Kakinada:  The sixteen-day Handloom exposition and sales will be organised from October 26 to November 11 at SRMT function hall in Kakinada under the aegis of   the Handloom and Textile department. Disclosing the details of the 16-day exhibition joint director of Handlooms M. Nageswara Rao asked the people of East Godavari to make purchases for their requirements for both Diwali and Sankaranti festivals and encourage the sale of handlooms. Another joint director Jawahar Bashan and Assistant Director Satyanarayana also participated.

Source : The Hans India

Back to top

Bangladesh opens Chattogram, Mongla ports for trade with India

New Delhi  A cruise service will be launched between Kolkata and Dhaka from March next year, an operator who will launch the service said here on Thursday. The cruise operator, Exotic Heritage Group, has already booked the service for five years. Exotic heritage group already runs cruises on River Ganga. “The bookings are already done for five years,” Raj Singh, Group Chairman, Exotic Heritage Group, told BusinessLine. Singh said this on the sidelines of a conference where India and Bangladesh signed an agreement to use Chattogram and Mongla Ports in Bangladesh for movement of goods to and from India. Both the countries also decided to initiate river cruises services between Kolkata- Dhaka- Guwahati-Jorhat. Both sides agreed to develop Jogighopa as a trans-shipment terminal for movement of cargo to Assam, Arunachal Pradesh, Nagaland and Bhutan and notifying Munsiganj River terminal by Bangladesh Customs for routing third party Exim cargo through Kolkata Port. Speaking to the media, Shipping Secretary Gopal Krishna said the move will strengthen trade ties between the two neighbours. “An addendum to Protocol on Inland Water Transit and Trade (PIWTT) between India and Bangladesh was also signed for inclusion of new ports Dhubri in India and Pangaon in Bangladesh,” said Krishna. On December 3, the trade representatives from both countries will sort out the issues at a meeting in Kolkata, Chairman of Inland Waterways Authority Pravir Pandey, said. Discussions were also held to make Nakugaon Land Port in Bangladesh and Dalu ICP in India operational and to connect Gelephu in Bhutan as tripartite cross border route. Bangladesh shipping secretary Md. Abdus Samad expressed satisfaction with the present round of talks and said that the next round of talks is expected to be in December. “The last round of talks between India and Bangladesh was held in 2016 and I am happy that India has resumed the talks after two years.” These agreements will boost trade between the two countries.

Source : Business Line

Back to top

Rupee declines 11 paise to 73.27 against dollar

The rupee depreciated by 11 paise to close at 73.27 against the US dollar Thursday due to steady capital outflows and sharp decline in domestic equities amid intensifying geopolitical tensions. Dealers said a spurt in dollar demand from importers and hardening yields in the US markets weighed on the domestic currency. Foreign investors pulled out around Rs 1,495.71 crore on a net basis from capital markets Thursday with stocks declining 1 per cent in line with global sell-off. FPIs had pulled out Rs 2,046.54 crore on net basis Wednesday. However, easing crude oil prices restricted the fall in the local currency, dealers said. Oil prices fell over fears of possible drop in oil demand after a melt down in global equities. Brent crude prices were trading at USD 76.71 per barrel. At the Interbank Foreign Exchange, the rupee opened on a lower note at 73.33 and dipped further to hit an intra-day low of 73.37 against the US dollar. But the local unit gained some ground and finally settled for the day at 73.27, showing a loss of 11 paise over the previous close. On Wednesday, the rupee strengthened by 41 paise to close at more than three-week high of 73.16 against the US currency. Unabated capital outflows by foreign funds, and heavy selling in domestic equities dampened the sentiment, dealers said. The benchmark BSE Sensex slumped about 344 points Thursday to settle at 33,690.09, while, the broader NSE Nifty closed below the 10,200-mark by slumping 99.85 points, or 0.98 per cent at 10,124.905. The Financial Benchmark India Private Ltd (FBIL) set the reference rate for the rupee/dollar at 73.2746 and for rupee/euro at 83.6478. The reference rate for rupee/British pound was fixed at 94.6190 and for rupee/100 Japanese yen was 65.33. Meanwhile, bond markets were almost flat on easing crude oil prices. Yield of the benchmark 10-year government security was almost steady at 7.869 against 7.87 Wednesday.  Yield of the benchmark 10-year government security was almost steady at 7.869 against 7.87 Wednesday. The yield of 6.84 government security maturing in 2022 eased by 1 basis point to 7.72.

Source : Economic Times

Back to top

Applied DNA enters FY2019 with strong momentum

Applied DNA Sciences, the leader in large-scale PCR-based DNA manufacturing, has entered its FY2019 with strong momentum in the first month in textiles, food-based agriculture, and through the LineaRx subsidiary. The company is a provider of molecular technologies that enable supply chain security, anti-counterfeiting, and anti-theft technology. Textiles business expansion includes a shipment of taggant for the upland Delta cotton variety in the current 2018-2019 ginning season, two new pilots for the company’s CertainT system in synthetic textiles (following one additional customer pilot completed in September 2018) and one new feasibility study for the tagging of a food-based agricultural commodity. LineaRx, the company’s wholly-owned subsidiary focused on next-generation biotherapeutics, received a new order for PCR-produced DNA for biotherapeutic applications, Applied DNA said in a media statement. “Our structure for managing people, processes, and technologies supporting global cotton supply chains, from the US and Australian cotton gins, to local customer sales and support in India and Europe, through to our testing labs in Stony Brook and Ahmedabad, India and our partnerships with IT platform companies, has been a necessary investment for our unique selling proposition in end-to-end supply chain traceability. This sets a foundation from which our other supply chain pilots can be initiated and completed more quickly,” James Hayward, president and CEO of Applied DNA said. “Our LineaRx opportunity looks strong, with steady inquiries incoming for DNA biotherapeutic products as the benefits of linear, PCR-produced DNA is highlighted in the media,” Hayward added.

Source : Fibre2fashion

Back to top

Chinese imports are undermining ‘Make in India’

Most countries are critical of China’s approach to trade and investment. The 145th Report of the Parliamentary Standing Committee on Commerce, July 2018, is critical of the impact of massive Chinese import through unscrupulous means (under-invoicing/misdeclaration/smuggling, selling of substandard/counterfeits/rejects and routing export through FTA countries). The Report of Directorate of Revenue Intelligence (2015) to the Supreme Court-appointed SIT on black money has alleged massive under-invoicing (prices lower than even basic manufacturing cost) of Chinese imports. Over the last 10-15 years, massive inflow of cheap Chinese imports have made our manufacturing uncompetitive.

The Chinese ‘deluge’

The removal of quantitative restrictions in 2001, decline in weighted average basic import duty rates (22 per cent in FY 2003 to 9 per cent in FY 2008) and the steady appreciation of rupee have spurred imports from China. It surged at a CAGR of 52 per cent during FY 2004-08. The trade deficit with China was 40 per cent of the total deficit in FY 2018. Chinese imports in dollar terms (without accounting for under-declared value of imports) multiplied by 68 times with a CAGR of 23.5 per cent over 1998-2018 period. Their share in non-oil imports increased from 3.4 per cent in FY 1998 to 21.4 per cent in FY 2018. Massive Chinese imports have undermined capacity utilisation, technological advancement and dented capex. Markets for electronics, electrical goods, solar panels, chemicals, bulk drugs, metals, furniture, many household/gifts items, toys, footwear, hardware, tiles, automobile components, tyres, bicycle parts, bearings, and machinery are dominated by Chinese products. Make-in-India is swamped by Made-in-China. Chinese imports have led to the closure of many businesses, switching from manufacturing to trading and over-dependence on Chinese inputs. The spread of banking, digital payments, financial inclusion drive, opening of Jan Dhan accounts were expected to improve the GDP to currency with public (CWP) ratio. However, it steadily declined from 11.26 in 1990s to 9.65 in 2000s and further to 9.25 during 2011-16. This ratio was stable at around 11.5 during entire 1985-00 period. It shows significant decline in later years coinciding with a surge in under-invoiced/smuggled Chinese imports. Concomitantly, the share of high-denomination notes (500 and 1000 notes) in CWP steadily increased from 27 per cent in FY 2001 to 70 per cent in FY 2008 and further to 87 per cent by October 2016. Despite greater formalisation of the economy following demonetisation and GST, CWP now exceeds pre-demonetisation level. Reportedly, high-denomination notes are not returning to banks. All these, imply the use of larger volume of cash to finance huge unscrupulous import from China. Export subsidies (17 per cent — as per the 145th Parliamentary Committee Report), economies of scale, flexibility in production of goods as per importers’ specifications in terms of quality, price, counterfeits, under/mis-invoicing create unequal competition for domestic industries versus Chinese import. Connivance among exporters, importers, clearing agents, brokers and customs aid and abet this. Even small businesses have found it easy to import Chinese goods thanks to the network of Indian brokers in India, China, Hong Kong and the convenience of hawala payments.

The remedial measures

There is an urgent need to address the issue of Chinese imports. Dismantling of the shady importing nexus, random and surprise check of imports at ports in terms of invoice prices/description of goods and their actual/reference prices in the national/international markets, fixing of minimum import prices wherever possible, blacklisting and taking punitive actions against importers/exporters/clearing agents/customs involve in dubious imports etc. are some of the steps the government must take. International cooperation in sharing information on illegal money transfers by banks in hawala-heavens like Hong Kong, Dubai can be useful in fixing accountability of such banks. Scrutiny of GST and e-way bills relating to imported items can help in detecting malfeasance. The tax authorities can track the sale prices of imported items in the trade chain with the help of the goods and services tax network/market survey and check if an importer has underdeclared prices. However, we have to take well calibrated measures without creating sudden and large disruptions as many industries are dependent on import of raw material and components from China. We can first begin with inessential and consumption imports. The Make in India strategy needs to be synchronised with planned phasing out of illegal/under-invoiced imports and spurring domestic capex and capacity.

Source : Business Line

Back to top

Raymond Q2 net up 4.7 pc to Rs 65.20 cr

New Delhi :  Diversified group Raymond Thursday reported a 4.75 per cent increase in consolidated net profit to Rs 65.20 crore for the second quarter ended September 2018. The company had posted a net profit of Rs 62.24 crore in the July-September period a year ago, Raymond said in a filing to the BSE. Its total income during the quarter under review rose 16.04 per cent to Rs 1,875.70 crore as against Rs 1,616.39 crore in the corresponding period of the previous fiscal. Total expenses stood at Rs 1,771.77 crore, compared to Rs 1,542.45 crore earlier, up 14.86 per cent. Raymond Chairman and Managing Director Gautam Hari Singhania said: "The initiatives that we have undertaken in recent past are yielding strong results and with seasonally strong quarters coming in, we are confident to continue on the growth trajectory, enhancing value for all our stake holders." Revenue from branded textile was at Rs 884 crore, higher by 15 per cent over the previous year "led by 14 per cent growth in the suiting business and 17 per cent in the shirting business".Branded apparel segment sales was at Rs 484 crore, up by 15 per cent, "driven by strong performance in MBO channel along with growth in Raymond and Parx brands supported by new customer segments".Shares of Raymond Ltd on Thursday settled at Rs 620.25 on BSE, down 3.87 per cent from the previous close. KRH ABM

Source Time of India

Back to top

Global Textile Raw Material Price 25-10-2018

Item

Price

Unit

Fluctuation

Date

PSF

1478.57

USD/Ton

-0.96%

10/25/2018

VSF

2182.21

USD/Ton

-0.33%

10/25/2018

ASF

3005.39

USD/Ton

0%

10/25/2018

Polyester POY

1495.86

USD/Ton

-1.80%

10/25/2018

Nylon FDY

3399.34

USD/Ton

-0.42%

10/25/2018

40D Spandex

4825.34

USD/Ton

0%

10/25/2018

Nylon POY

3168.88

USD/Ton

0%

10/25/2018

Acrylic Top 3D

1678.07

USD/Ton

-1.27%

10/25/2018

Polyester FDY

3528.98

USD/Ton

-0.81%

10/25/2018

Nylon DTY

5444.71

USD/Ton

0%

10/25/2018

Viscose Long Filament

1750.09

USD/Ton

-0.82%

10/25/2018

Polyester DTY

3125.67

USD/Ton

-0.46%

10/25/2018

30S Spun Rayon Yarn

2837.59

USD/Ton

-0.51%

10/25/2018

32S Polyester Yarn

2146.20

USD/Ton

-0.33%

10/25/2018

45S T/C Yarn

2967.22

USD/Ton

0%

10/25/2018

40S Rayon Yarn

2679.14

USD/Ton

0%

10/25/2018

T/R Yarn 65/35 32S

2304.64

USD/Ton

0%

10/25/2018

45S Polyester Yarn

2535.10

USD/Ton

0%

10/25/2018

T/C Yarn 65/35 32S

3154.48

USD/Ton

0%

10/25/2018

10S Denim Fabric

1.34

USD/Meter

0%

10/25/2018

32S Twill Fabric

0.82

USD/Meter

0%

10/25/2018

40S Combed Poplin

1.15

USD/Meter

0%

10/25/2018

30S Rayon Fabric

0.66

USD/Meter

0%

10/25/2018

45S T/C Fabric

0.70

USD/Meter

0%

10/25/2018

Source: Global Textiles

Note: The above prices are Chinese Price (1 CNY = 0.14404 USD dtd. 25/10/2018). The prices given above are as quoted from Global Textiles.com.  SRTEPC is not responsible for the correctness of the same.

Back to top

Pakistan imposes regulatory duty on textile items

To strengthen the local textile industry, Pakistan’s Federal Board of Revenue (FBR) has imposed regulatory duty on the import of various textile items. Notification no SRO 640(I)/2018, released in May this year, has been issued for imposing duty on imported items including textiles falling under the Pakistan Customs Tariff (PCT) code of the first schedule. In effect from early this month, the FBR has imposed 50 per cent duty on the articles of apparel and clothing accessories, of leather or of composition leather. Footwear with outer soles of leather or composition leather and uppers of textile materials will be charged 40 per cent. Further, the government has taxed 10 per cent on woven fabrics of cotton containing 85 per cent or more by weight of cotton, mixed mainly or solely with manmade fibres and other woven fabrics of cotton, 8 per cent on woven fabrics of synthetic filament yarn and artificial filament yarn. Import of cotton yarn (other than sewing thread), woven fabrics of polyesters, artificial staple fibres and synthetic staple fibres is charged 5 per cent. While, 2 per cent regulatory duty is imposed on yarns from synthetic staple fibres, artificial staple fibres and man-made staple fibres. (RR)

Source : fibre2fashion

Back to top

Nepal : Textile entrepreneurs threaten to shut business from Nov 1

Kathmandu : Citing that the government overlooked the concerns raised by textile entrepreneurs, domestic textile manufacturers have warned of shutting their businesses across the country from November 1. A recent meeting of the Nepal Textile Industries Association (NTIA) has decided to shut all textile factories from next week if the government fails to address their issues, informed Sailendra Pradhan, president of the association. Textile manufacturers are especially against the cancellation of the Value Added Tax (VAT) refund system in textile, which came into effect from this fiscal, stating that the decision has further deteriorated the competitiveness of Nepali textiles in the domestic as well as international markets. They had repeatedly urged the government, particularly the Ministry of Finance (MoF), to review its decision. However, since the government has shown no signs of addressing the aforementioned issue textile manufacturers have threatened to shut down their businesses. The textile manufacturers had been enjoying 70 per cent VAT refund until last fiscal year but the government had scrapped such provision through the budget speech for 2018-19 fiscal year. “Amid Nepali textile products already facing a hard time to compete with foreign textiles, cancelling VAT rebate system in the sector has further hit the competitiveness of Nepali textiles,” informed Pradhan, adding that though MoF had earlier provided assurance to resolve the problems being faced by textile manufacturers, it has not done anything substantial till date. The Finance Ministry had formed a committee on July 31 to look into concerns raised by textile manufacturers. The committee was given the mandate to look into problems plaguing the domestic textile industry and come up with effective suggestions for the government. However, Pradhan said that the committee had not been able to accomplish its task within the stipulated time and textile manufacturers had thus decided to warn the government of closing their businesses. As per Pradhan, the government should either review its decision regarding the cancellation of VAT rebate on textile or pay back the equivalent amount to textile manufacturers through any other means. Similarly, textile manufacturers have also urged the government to curb the illegal import of foreign textile products worth billions of rupees in domestic market. Meanwhile, officials at the Finance Ministry said that necessary decisions will be taken on the basis of the recommendation of the committee. “However, the industry minister should also look into the issues raised by textile manufacturers and suggest MoF for further actions,” opined an MoF official.

Source : The Himalayan

Back to top

Italy : Textile Exchange 18: can textiles go circular?

MILAN - The second day of the Textile Exchange Conference began with a two-part session on the ways in which the textile sector can transition away from the linear practices hitherto utilised as the norm within the industry. Representatives from the European Commission (EC), Ellen MacArthur Foundation and World Resources Institute (WRI) took to the stage, making the case for implementing circular business models in order to move away from the looming environmental crisis facilitated by fashion’s current practices.

Source: Ecotextile

Back to top

GRS Certification For Radicigroup Recycled Polyester


BERGAMO, Italy : RadiciGroup’s post-consumer recycled polyester yarns, r-Radyarn® and r-Starlight® – UNI 11505-certified since 2014 – have recently been certified to the Global Recycled Standard (GRS) promoted by the Textile Exchange, a non-profit organization that operates internationally for the promotion and responsible development of sustainability in the textile industry. From 22 to 24 October, the organization sponsored a three-day event in Milan where the key theme was “Accelerating Sustainability in Textile and Fashion”. “GRS certification was yet another goal achieved by the Group – evidence of its customary transparency with the greatest clarity,” pointed out Filippo Servalli, marketing and sustainability director of RadiciGroup, emphasizing how measuring environmental impacts and continuously working to reduce them is always a top priority of the Group. “Indeed, these are the operative words guiding the RadiciGroup Comfort Fibres Business Area on a daily basis on its road to certifying its fibres obtained from recovered materials.” The GRS certificates obtained by RadiciGroup cover two families of products: raw and yarn-dyed 95% r-PET and solution-dyed 85% r-PET. Compliance with GRS requirements allows the Group to provide a third-party-verified report with every delivery of r-Starlight® and r-Radyarn®, certifying the content and the origin of the recycled materials used to make the product, as well as its compliance with the environmental and social requirements of the entire supply chain. Thus product requirements (covered by UNI 11505) are complemented by system requirements: a decision that responds to market demand and moves toward full traceability of the raw materials. r-Radyarn® and r-Starlight® post-consumer recycled polyester yarns, are on the Textile Exchange list of “preferred fibres”, that is, fibres which can be traced, comply with precise reporting standards and give positive environmental and social results, and whose environmental impact can be calculated using a Life Cycle Assessment (LCA). Moreover, the GRS-certified products are in conformity with the Manufacturing Restricted Substances List (MSRL) compiled within the Zero Discharge of Hazardous Chemicals (ZDHC) Programme, an initiative with the objective of eliminating hazardous chemical substances in the textile industry. “Again with the aim of saving natural resources, and water in particular,” Mr. Servalli concluded, “the Group offers solution-dyed polyester (and nylon) yarn. Solution dyeing requires less water and energy usage compared to conventional yarn or piece dying, because the colour is added ‘upstream’ during the extrusion stage and thus becomes incorporated into the polymer matrix.” As demonstrated by LCA studies conducted by NOYFIL SA and NOYFIL SpA (Group companies engaged in polyester fibre production), solution-dyed yarn has a lower environmental impact compared to traditional yarn-dyed yarn. This difference is even greater for solution-dyed r- Radyarn®, made with recycled polymer. Solution-dyed yarn offers a number of additional advantages, resulting in excellent performance: Solution dyeing is typically utilized for dyeing large quantities of product in a standardized production process. However, RadiciGroup is set up to apply this sustainable technique even for the production of small lots, ensuring a high degree of consistency and homogeneity. Furthermore, the company provides an in-house service for the development of colour recipes and samples of solution-dyed yarns capable of meeting any customer need for the creation of colour palettes for any particular purpose.

Source : Textile World

Back to top

Sweden, ITC collaborate to support Arab textile industry

The Government of Sweden and the International Trade Centre (ITC) have announced a new programme aimed at strengthening the international competitiveness of textiles and clothing producers in four Arab states-Egypt, Jordan, Morocco and Tunisia. This is expected to boost exports, create jobs and raise incomes across the Middle East and North Africa region. The project 'Strengthening the International Competitiveness of the Textile and Clothing Sector in selected Middle East and North African Countries' (MENATEX), is funded with SEK 42 million ($4.63 million) from the Swedish government and will be implemented by the Geneva based ITC in close collaboration with the Swedish International Development Cooperation Agency (Sida), said a press release from ITC. Global trade in textiles and clothing stood at $751 billion in 2017, of which the four target countries of the programme accounted for $10.8 billion. With $3.7 billion in exports, Morocco leads the four, followed by Egypt ($2.8 billion), Tunisia ($2.6 billion) and Jordan ($1.7 billion). The vast majority of products from Morocco and Tunisia go to the European Union, while Egypt and Jordan's top export destination is the United States. To expand and diversify exports, the four countries will have to complement their existing production base and market connections with new products and markets and upgraded customer service. The three-year programme is intended to support the four Arab countries to build sustainable export-oriented sectors with increased sales to traditional markets in Europe and North America along with new markets in sub-Saharan Africa. Creating long-term and better-paid work, especially for women and young people, is a key goal of the project. Another goal will be to strengthen regional economic integration among the four countries under the Agadir Agreement, a 14-year old trade accord between the same four countries. To achieve lasting improvements in the sector's export competitiveness, the project will focus on bolstering the capacities of national institutions such as textile and clothing business associations and training centres to help better support local businesses to export. This will involve improving internal management processes and service portfolio development. The project will also work directly with domestic enterprises, providing advisory services, training and coaching designed to help firms move up the value chain from cutting and sewing to fabric sourcing, product and design development and branding. "We are pleased to start this innovative programme in cooperation with ITC and the four beneficiary countries in Northern Africa," said Eva Smedberg, head of the MENA unit at Sida. "It is an excellent example of donor coordination and alignment that will bring important synergies to achieve lasting changes in this crucial sector. MENATEX will also ensure that companies will be able to turn social and environmental sustainability challenges into opportunities, which is a priority for Sweden." (PC)

Source: Fibre2fashion

Back to top

Tunisia industrial production down 0.5 pct in first 9 months

TUNIS -- For the first nine months of the year, Tunisian industrial production has seen a drop of 0.5 percent compared with same period last year, the National Institute of Statistics (INS) said on Thursday. It is due to the drop in the petroleum refining sector, the non-energy products extraction, and crude phosphate production. The agricultural food industry sector grew by 6.9 percent, due to the increase in the production of olive oil, the mechanical and electrical industry, as well as the textile, clothing and leather industry.

Source : Xinhuanet

Back to top

Turkey's $20 Billion Trade Pitch to Merkel Envoy Is Tough Sell

A request to expand Turkey’s customs union with the European Union is on the table for talks with German Economy Minister Peter Altmaier, whose visit to Ankara on Thursday is the latest signal of detente between the two NATO allies. That’s after Merkel ended a diplomatic freeze with Turkish President Recep Tayyip Erdogan in September. A party ally of Merkel, Altmaier has the chancellor’s ear and heads the cabinet ministry in charge of credit guarantees, a tool used to boost German exports. While business ties between Germany and Turkey are reason enough to engage, he’s offered no promises on the EU trading relationship that Turkey views as key to its regional economic ambitions. “I’ve noted that this is an important topic for our Turkish partners,” Altmaier told reporters after meeting Treasury and Finance Minister Berat Albayrak in Ankara. It’s a “difficult topic” that requires further talks and can’t be solved by Germany alone, he said. Erdogan’s PitchErdogan reached out to German business leaders during his Berlin visit. During a meeting with executives from companies such as Deutsche Bank AG and Robert Bosch GmbH, he asked for the same kind of solidarity that the euro area showed Greece during the debt crisis, four people who were at the closed-door event said. Erdogan is seeking an expansion of German credit guarantees for exports to Turkey and increased direct investment, according to two Turkish officials. While the Economy Ministry has signaled it’s open to using its influence, Merkel’s government actually tightened conditions for Turkish export guarantees this year given a weaker economic outlook and currency risks. While German state guarantees backed 2.1 billion euros ($2.4 billion) of business with Turkey in 2015, the amount fell to 1 billion euros in 2016 and 1.6 billion last year. A bigger, more distant prize is expanded trade with the EU. Turkey calculates that its exports account for about half of the $170 billion in annual trade with the EU. If Europe overhauled and expanded the existing customs union, those exports could increase by as much as a quarter, or about $20 billion, according to government estimates.

German CEOs

Turkey wants Germany to use its influence in the EU to push for the removal of restrictions on its producers and service providers, according to a senior Turkish official, who asked not to be identified by name. Turkey also is unhappy that non-EU countries with free-trade deals with the bloc get access to the Turkish market without automatic reciprocal benefits, the official said. With Erdogan pressing Saudi Arabia for answers on the death of writer Jamal Khashoggi in Istanbul, Turkey’s regional ambitions are at center stage as Altmaier begins his two-day visit. He’s accompanied by German industry leaders, including EON SE Chief Executive Officer Johannes Teyssen. Merkel’s government has repeatedly said it’s concerned about Turkey’s stability, but ruled out financial aid. The Turkish lira has recouped more than 20 percent of its value against the dollar from a record low in August, buoyed by central-bank tightening and signs that Turkey is patching up relations with the U.S.

Source: Financial Express

Back to top