The Synthetic & Rayon Textiles Export Promotion Council

MARKET WATCH 29 NOV, 2018

NATIONAL

INTERNATIONAL

Suresh Prabhu urges textiles industry to prepare road map for boosting exports

Union Minister of Commerce & Industry and Civil Aviation, Suresh Prabhu, urged the textiles industry to prepare a road map in order to tap into the export market. Addressing a Global Conclave of Confederation of IndianTextile Industry in New Delhi today, Suresh Prabhu said that Government is willingto extend all possible support to the textiles industry.  Suresh Prabhu said that the contribution from textiles and apparel can be increased by scaling up and increasing investments into the industry along with cost optimization and vertical integration. Investing in new and more efficient technologies and processes will lead to more superior products. The Minister said that the Indian textile industry should modernize their approach as well as the technologies and gain competitive advantage over neighboring countries and diversify product range across the value chain.The Minister said that the Commerce Ministry is making all efforts to onboard all line ministries for greater synergy in order to promote exports. Suresh Prabhu further said that textiles industry should look forward to exporting their products to countries other than the US and EU. For this, the Government of India has been making all efforts in identifying potential export partners and strengthening relationships with them. Suresh Prabhusaid that a free trade agreement with EU would relieve the pressure on the industry and enhance competitiveness. The Government is also looking to fast track negotiations of Free Trade Agreements with EU and Australia.

Source: PIB

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Working on action plan for implementing new industrial policy: Union Minister Suresh Prabhu

The commerce and industry ministry is preparing an action plan for implementing the proposed new industrial policy, aimed at promoting manufacturing and economic growth of the country, Union Minister Suresh Prabhu said Wednesday. The proposed policy aims at promoting emerging sectors and modernising existing industries. The commerce and industry ministry is preparing an action plan for implementing the proposed new industrial policy, aimed at promoting manufacturing and economic growth of the country, Union Minister Suresh Prabhu said Wednesday. He said the ministry looks to prepare the action plan before seeking the Cabinet approval for the new policy. “Very soon we will be announcing the new industrial policy. It is getting delayed because before we actually go to the Cabinet, an action plan of implementing the policy is being worked out,” he said at a function here. The proposed policy aims at promoting emerging sectors and modernising existing industries. It will also look to reduce regulatory hurdles and encourage adoption of frontier technologies such as robotics and artificial intelligence. The Department of Industrial Policy and Promotion (DIPP) in August last year floated a draft industrial policy with an aim to create jobs for the next two decades, promote foreign technology transfer and attract USD 100 billion FDI annually. This will be the third industrial policy after the ones released in 1956 and 1991. Talking about free trade agreements, Prabhu said the ministry has appointed two agencies to prepare a template for negotiating these trade pacts. In such agreements, two or more trading partners eliminate customs duties on maximum number of goods traded between them. He also urged the textiles industry to prepare a road map to boost exports. He said the contribution of textiles and apparel can be increased by increasing investments. Prabhu added that a free trade agreement with EU would relieve the pressure on the industry and enhance competitiveness. The ministry is looking to fast track negotiations of the long stalled proposed free trade agreements with the European Union.

Source: Financial Express

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Government, RBI should have continuous dialogue to address problems affecting economy: Venkaiah Naidu

"RBI was not doing things at that time and now they have tightened everything, so there are there are problems...," he said. In apparent reference to the recent spat between the government and the Reserve Bank, Vice President M Venkaiah Naidu Tuesday said there should be a regular dialogue between the two in the boardroom to arrive at solutions to address problems affecting economy. Referring to the issue of liquidity crunch, Naidu said the problem was because few "black sheep" who have taken the system for ride, affecting the entire industry. "All of us have to introspect. Politicians... and the industry. A few people.. have taken the system for a ride and banks lent money left and right... "RBI was not doing things at that time and now they have tightened everything, so there are there are problems...," he said. Naidu said these problems have to analysed and understood. The Reserve Bank of India (RBI) and the government of India must have a regular continuous dialogue. "There is no question of who is powerful or who is final. Final are the people and their interest. All these systems are created to facilitate people's welfare. "So they should have to have a dialogue within their boardroom rather than discussions through media and then come to some solutions addressing the actual problems," he said while addressing the diamond jubilee celebrations of the Confederation of Indian Textile Industry (CITI) here. Amid growing tensions with the central bank, the Finance Ministry had earlier sought discussions under the never-used-before Section 7 of the RBI Act which empowers the government to issue directions to the RBI Governor. RBI Deputy Governor Viral Acharya had in a speech last month talked about the independence of the central bank, arguing that any compromise could be "potentially catastrophic" for the economy. On November 19, the RBI board had held a marathon meeting amid a rift between the central bank and the government over several issues including how much capital the apex bank needs, lending norms for small and medium enterprises and rules for weak banks. Following the meeting, the RBI and the government agreed to refer to an expert committee the contentious issue of appropriate size of reserves that the RBI must hold, while restructuring of stressed loans of small businesses would be considered by the central bank. Vice-President Naidu further said India was the most favoured destination for investment and global organisations like World Bank and World Economic Forum, which are of the view that if the country continues with its reform process, it will become the third-largest economy in the world. He also called upon the textiles industry, which contributes more than 3 per cent to the GDP, to adopt new innovative technology in line with the demands of 4th industrial revolution. Addressing the gathering, Textiles Minister Smriti Zubin Irani said the government was committed for the growth of the textile industry.

Source: The Economic Times

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India needs to modernise textiles sector: Naidu

Vice President M. Venkaiah Naidu addressing the CITI Global Textiles Conclave 2018, organised to commemorate CITI Diamond Jubilee celebrations, in New Delhi on November 27, 2018. Vice President M. Venkaiah Naidu on Tuesday called for modernization of textile industry by proving requited skill, investment and market to recapture India’s past glory in the textiles sector. Addressing the CITI Global Textiles Conclave 2018, organised to commemorate CITI Diamond Jubilee celebrations, in New Delhi, the Vice President said that the textile sector is the second largest employer after agriculture accounting for 21 per cent employment. With the world moving towards 4th industrial revolution based on cyber physical systems, Naidu said that the Indian textile industry must take lead in industry 4.0 in view of the distinct advantage enjoyed by us in the IT sector. He called up on the textile industry to fully tap the potential of IoT cloud, artificial intelligence and big data and analytics. He said that it was high time for the industry to establish textile industry 4.0 learning factory in all the major clusters adopting Hub and Spokes Model with Hub focusing on advance training and spokes focusing on basic training. There was a tremendous interest in India’s growth story in the world community, he added. Naidu said that UN and the world community must take lead and see that an agreement is made to exchange information on bank accounts. He added that Accountability and Transparency, Ethics in Business and Standards in Products must be maintained to sustain in the global competitive scenario. He said that India definitely has a competitive advantage in terms of abundant availability of raw material, skilled manpower, manufacturing competitiveness, huge spinning, weaving, processing and garment manufacturing facilities. Naidu stressed the need to give major thrust to skill development, up gradation and use of Digital technology and adoption of lean manufacturing systems to remain globally competitive. The Vice President said that India has the unique advantage of combining traditional workmanship with modern methods. We not only have to showcase the wide range to the world but become a global leader in textiles manufacturing and exports, he added.

Source: SME Times

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3-digit engineering exports seems a reality: EEPC India

Indian engineering exports are expected to reach the three-digit level soon, having achieved an all-time high of $76.2 billion in the last fiscal and a 11.3 per cent hike over the first seven months during the current fiscal, an official said on Wednesday. "Indian engineering exporters' aspirations for reaching a three-digit level in their annual shipments could soon be a reality," Engineering Export Promotion Council of India's (EEPC India) Chairman Ravi Sehgal said at the 34th Eastern Regional Awards of the apex body. West Bengal Governor Keshari Nath Tripathi and Patti Hoffman, US Consul General at Kolkata were present at the event. Lauding the Union Commerce Ministry for formation of the Directorate General of Trade Remedies (DGTR), Sehgal said the directorate would provide trade defence not only to the domestic industry but also to exporters in dealing with increasing instances of investigations instituted against them by the importing countries. "Dealing with non-tariff barriers" needs government support that would be made available by the DGTR, the council said. The apex body, however, expressed concern over ambiguity on continuation of generalised system of preferences (GSP) which allows duty-free entry of 1,937 products worth $5.6 billion from India into the US, benefiting exporters of textiles, engineering, gems and jewellery and chemical products. Sehgal also said tariff war between the US and China, possible phasing out of India's export promotion schemes and rise of trade protectionism in developed countries are among notable challenges impeding the growth of Indian overseas shipment in future.

Source: Business Standard

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Indian rupee rises 8 paise to 70.79 against US dollar on easing trade worries

MUMBAI: The Indian rupee recovered by 8 paise to close at 70.79 against the US dollar on Tuesday on increased selling of the greenback by exporters and softening crude oil prices. Forex traders said the rupee's rise was supported by dollar-selling by exporters and banks after the Chinese foreign ministry announced a mutually beneficiary agreement with the US. At the Interbank Foreign Exchange (forex) market, the rupee opened lower at 70.91 and lost further ground to hit a low of 71.02 on a stronger dollar, strengthening US yields and worries about escalation in US-China trade war. The local unit, however, pared the initial losses and finally settled the day on a higher note at 70.79 to the US dollar, up 8 paise. "The rupee recovered sharply from the day's low in the second half after Chinese Foreign Ministry spoke of mutual beneficiary agreement between US President Donald Trump and his Chinese counterpart," V K Sharma, Head PCG & Capital Markets Group, HDFC Securities, explained. The rupee Monday fell by 18 paise to close at 70.87 against the US dollar. "Our analysis suggests the fair value of the INR, based on productivity-adjusted REER, is in the 67-70 range. If the current trend of lower oil prices lasts through March 2019, we estimate end-FY19 INR against $could trade in the 69-72 range," UBS Securities India Economist Tanvee Gupta Jain and Analyst Gautam Chhaochharia said in a research report. Forex dealers said bullish trend in the equity market as well as easing crude oil prices also supported the rupee's upward movement. Globally, Brent crude, the international benchmark, was trading 0.23 per cent higher at $60.62 per barrel. The BSE benchmark Sensex rose for the second day, gaining over 159 points on hectic buying in banking and IT stocks as easing concerns on the macro-economic front bolstered investors' risk appetite. The broader NSE Nifty too witnessed a rise of 57 points. The 10-year government bond yield remained almost flat at 7.732 per cent from its previous close of 7.727 per cent. The dollar remained strong at almost two-week high of 97.19 against the basket of global currencies. Meanwhile, foreign institutional investors (FIIs) made fresh purchases worth Rs 811.52 crore Tuesday, according to the provisional data. The Financial Benchmark India Private Ltd (FBIL) set the reference rate for the rupee/dollar at 70.9065 and for rupee/euro at 80.4207. The reference rate for rupee/British pound was fixed at 90.8369 and for rupee/100 Japanese yen at 62.49.

Source: The Economic Times

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Global Textile Raw Material Price 28/11/2018

Item

Price

Unit

Fluctuation

Date

PSF

1260.30

USD/Ton

0%

11/28/2018

VSF

1992.60

USD/Ton

0.14%

11/28/2018

ASF

2832.08

USD/Ton

0%

11/28/2018

Polyester POY

1194.12

USD/Ton

0%

11/28/2018

Nylon FDY

3078.82

USD/Ton

-0.47%

11/28/2018

40D Spandex

4776.48

USD/Ton

-0.60%

11/28/2018

Nylon POY

5423.90

USD/Ton

0%

11/28/2018

Acrylic Top 3D

1467.47

USD/Ton

0%

11/28/2018

Polyester FDY

2891.79

USD/Ton

-0.99%

11/28/2018

Nylon DTY

1381.15

USD/Ton

0%

11/28/2018

Viscose Long Filament

2474.56

USD/Ton

-9.47%

11/28/2018

Polyester DTY

3337.78

USD/Ton

-1.28%

11/28/2018

30S Spun Rayon Yarn

2690.37

USD/Ton

0%

11/28/2018

32S Polyester Yarn

1935.05

USD/Ton

0%

11/28/2018

45S T/C Yarn

2920.56

USD/Ton

-0.49%

11/28/2018

40S Rayon Yarn

2560.89

USD/Ton

0%

11/28/2018

T/R Yarn 65/35 32S

2992.50

USD/Ton

0%

11/28/2018

45S Polyester Yarn

2488.95

USD/Ton

-0.57%

11/28/2018

T/C Yarn 65/35 32S

2086.12

USD/Ton

0%

11/28/2018

10S Denim Fabric

1.34

USD/Meter

0%

11/28/2018

32S Twill Fabric

0.81

USD/Meter

0%

11/28/2018

40S Combed Poplin

1.14

USD/Meter

0%

11/28/2018

30S Rayon Fabric

0.64

USD/Meter

0%

11/28/2018

45S T/C Fabric

0.68

USD/Meter

0%

11/28/2018

Source: Global Textiles

Note: The above prices are Chinese Price (1 CNY = 0.14387 USD dtd. 28/11/2018). The prices given above are as quoted from Global Textiles.com.  SRTEPC is not responsible for the correctness of the same.

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Dubai Fashion Days celebrating international fashion

Dubai Fashion Days by Hala China, a joint initiative between Meraas and Dubai Holding, co-organised by Arab Fashion Week and JollyTrust, is celebrating international fashion in Dubai. The eight-day celebration is showcasing design talents from the Middle East, China and the rest of the world, affirming Dubai’s position as both an economic and creative hub. Headlining Dubai Fashion Days is the 7th edition of Arab Fashion Week featuring runway shows from over 30 international and regional UAE designers. This pioneering cultural initiative ending on November 28 sees the most powerful and influential fashion and development institutions of Dubai joining forces, to stage an innovative programme of fashion shows, retail pop-ups, industry talks and exhibitions. "The inaugural edition of Dubai Fashion Days at City Walk and d3 aligns with Hala China’s strategy to develop ongoing events and explore opportunities in trade, tourism and investment that can mutually benefit our economies. We have worked diligently to bring together industry experts and stakeholders to create an event that aims to positively impact the fashion world. With a strong offline and online presence, we are confident that Dubai Fashion Days will enable Chinese brands to explore the Dubai market and provide them with international exposure. The event will also establish links between UAE-based designers and the Chinese fashion industry," Sheikh Majid Al Mualla, chairman of Hala China, said. "Arab Fashion Week is delighted to co-organise this powerful new initiative together with JollyTrust, in partnership with Hala China. The sum of our collective expertise will propel Dubai into new heights on the International Fashion Week Calendar, by providing designers participating in Arab Fashion Week with the unprecedented opportunity to sell their collections from the runway directly to the consumer," Jacob Abrian, founder and chief executive of the Arab Fashion Council, said. "Fashion is an expression of culture and a way to seek resonance. It is also an exploration of the future," said David Ding, co-founder and executive president of Jollychic, the strategic partner of Dubai Fashion Days and leading mobile e-commerce platform in the Middle East. "Emerging designers in China and the Arab world are becoming increasingly influential. Their voices are being heard and ambitions understood. We are very glad to support them on this journey as they seek to gain visibility on the international fashion stage and shape the future of our industry." For the first time, Jollychic is presenting and live streaming their closing show at Arab Fashion Week, via their app, so that those unable to attend the show can still feel immersed in the excitement and can purchase directly from the catwalk. "We aim to provide a seamless user experience to our clients. We are honored to work with all our partners to make Arab Fashion Week and Dubai Fashion Days a world-class event infused with creativity and technology, leveraging our position as a leading e-commerce platform to close the distance between couture, catwalk and consumer," said Ding. Aligned to Dubai Fashion Days, ‘China’s Textile Exhibition’ is presenting 20 exhibitors from China, connecting Dubai-based designers with fabric suppliers and manufacturing facilities. It will also provide an ideal platform for designers from the two countries to network and exchange experiences and best practices through a series of talks and workshops led by industry experts. (RR)

Source: Fibre2Fashion

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Nigeria signs $60-mn country programme with UNIDO

Nigeria recently signed a $60-million country programme for inclusive and sustainable industrial development with the United Nations Industrial Development Organisation (UNIDO). The former’s industry, trade and investment minister Okechukwu Enelamah and UNIDO director general Li Yong signed the agreement that will guide the latter’s interventions till 2022. The programme build on the cumulative achievements of past country programme implemented by both sides and collaborate with other government and private development partners, according to Nigerian media reports. The new country programme, the second in the series of UNIDO’s support to Nigeria, is aligned with the government’s priorities outlined in its Economic Recovery and Growth Plan (ERGP) and the Nigeria Industrial Revolution Plan. It covers industrial governance, research and statistics; micro, small and medium enterprise development; special economic zones, industrial parks and private sector development; and innovation science and technology management. Other areas are agro industry and agribusiness development; minerals and metals development; trade capacity building; renewable energy development; and environmental management. Yong said UNIDO will collaborate with the ministry to mobilise funds and resources for successfully implementing the programme. (DS)

Source: Fibre2Fashion

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Azerbaijan :  First country not to provide textile raw materials

Referring to the currency supply problem, Eftekhari said that now, for one month, no currency has been given to anybody in the clothing industry. "Before that, we were importing major raw materials from China through the Kunlun bank of China, but with the imposition of sanctions, China was the first country which announced that they will not provide us with textile raw materials anymore." Iran Textile Exports and Manufacturers Association Majid Nami said that, "We have nearly $3 billion worth of smuggled clothes, Also, "Easy and high profits make smuggling of clothes economically beneficial." The official import of clothes into Iran last year amounted to $59 million, which is a small part of foreign clothes in the local market, member of the board of directors of Iran Textile Exports and Manufacturers Association Majid Nami quoted in Tehran. He said currently there are some 300,000 people working in Iran's clothing industry, and the figure has the potential to increase to 1 million. Also, he added that, "But now our concern is the loss of 200,000 jobs.” "Another problem is the flow of liquidity and circulating capital. Nothing can be done overnight by a producer, due to the rise in the price of currency and the fall in the value of the national currency," he added.

Source : Yarn and fibres

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Hong Kong steps up textile recycling efforts

HONG KONG – As Hong Kong begins to take a more pro-active approach to textile waste, Redress – an NGO that promotes environmental sustainability in fashion – reports that over eighty companies from across the city took part in its ‘Get Redressed Month’. This initiative tackles the issue of textile waste, and follows on from the opening of the first spinning mill in Hong Kong for several decades in September, which will produce recycled yarn derived from the region’s unwanted clothing. “Across the world, every second the equivalent of one garbage truck of textiles is landfilled or burned” Dr. Christina Dean – founder and chair of Redress – noted. “Here in Hong Kong we are disposing around two hundred and eighty garments per minute into Hong Kong’s overflowing landfills every single day.”

Source : Eco Textiles

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Indonesia announces unilateral concession on 20 tariffs to Pakistan

ISLAMABAD : Advisor to the Prime Minister on Commerce, Textiles and Investment Abdul Razak Dawood on Wednesday said Indonesia had notified unilateral concession on 20 tariffs to Pakistan to provide more market access through expansion of Preferential Trade Agreement (PTA) between the two countries. After successful negotiation between the two countries, Indonesia had agreed and notified the unilateral concession on 20 tariff lines for providing market access on textile and agriculture items including rice, mangoes and citrus , demin fabric, ethanol, home textile and towel, the adviser said while addressing a press conference here. He said the Indonesia-Pakistan Preferential Trade Agreement (PTA) was signed in February 2012. He said after this trade facility, there would be a further increase of around $150 million in Pakistan's exports to Indonesia. The adviser said Pakistan wanted to get market excess in China, Japan, Indonesia and South Korea to increase the country's exports volumes for narrowing the trade gap for economic development of the country. He said the government was committed for narrowing the trade deficit, and in this regard, "We initiate the comprehensive strategy to get market access in potential markets of the world."The adviser hoped that there would be around $one billion Foreign Direct Investment in the country in coming two years due to prudent economic policies of the government. Replying to a question, he said a delegation of Suzuki Japan during its recent visit agreed to invest $450 million in auto sector in the country. He said French company Gemalto had signed agreement to invest $300 million in hi-tech for animation in Pakistani passport. Abdur Razak Dawood said the ministry of commerce had evolved a comprehensive national tariff policy, which would be presented before the Cabinet for approval on Thursday. To a question, the adviser said he would visit Japan accompanied by a high business delegation in second of December to negotiate on market access to Pakistani goods. He said priority of the government was to provide market competitiveness for increasing country's exports and to get market access in foreign potential markets. Razak said the European Union give us huge market access through Generalized Scheme of Preference (GSP-Plus) for increasing local exports.

Source: Urdupoint

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