New Delhi: The biggest tax reform since Independence, the Goods & Services Tax (GST), has been a big challenge especially for small and medium traders. In conversation with BusinessLine, Praveen Khandelwal, National Secretary General, Confederation of All India Traders, shares the concerns of the trading community in implementing the indirect tax regime. Excerpts:
How has 2018 been for GST?
The year 2018 was as such normal for the trading community though being the initial year, traders across the country faced many difficulties, including glitches in the GST portal, irrational classification of goods in different tax slabs, complicated tax procedure, non availability of refunds from the tax authorities etc.
Are traders/businesses happy with the new indirect tax regime? What are the basic issues?
The new indirect tax regime is good in one sense for the traders as it relieves them from the onerous task of filing too many papers, compliance of various taxes, interaction with Department officials and also rescuing them from decade-old clutches of inspectors. Also, only 35 per cent of the trading community has computers, which creates major compliance issue. Further, awareness about GST Law, Rules & Regulations among the trading community is poor and that creates a big challenge.
What could be done now to make GST more accessible for businesses?
Since GST is an indirect tax regime, the final tax has to be paid by the consumer and undoubtedly traders are the only contact with the consumers. Major responsibility of collecting tax is devolved upon the traders and they have an important role to play for a successful GST tax regime. It is suggested that a nationwide awareness campaign should be launched by the government with support of trade associations all over the country. Subsidy should be provided by the government to empower the traders with computerisation in order to ensure better compliance.
Do you think new single page return will make things easy for traders?
The single-page return will enable the traders to file returns on their own and they need not dependent upon the chartered accountant or tax consultant. It will encourage more and better compliance and revenue base will increase tremendously.
Do you believe GST has helped in formalisation of economy?
If GST procedures are made simple and traders are not unnecessarily harassed or victimised, it will inculcate confidence among the trading community and more and more people will come under the formal economy. There are about 7 crore small businesses in the country and approximately half of them can be brought under GST, if it is a trader-friendly tax regime.
Source: Business Line
Indian officials will hold bilateral meetings with a few countries, including China and some ASEAN members, in the coming days to iron out issues hindering negotiations of the Regional Comprehensive Economic Partnership (RCEP) trade deal, an official said. After the bilateral meetings, the RCEP members will meet for the 25th round of negotiations in February in Indonesia. The main issues that need resolution include number of goods on which import duties should be eliminated and norms to relax services trade. RCEP members want India to eliminate or significantly cut customs duties on maximum number of goods that it traded on.
Source: Business Line
India will aim to receive USD 100 billion in foreign direct investments in the next two years and special industrial clusters are being created for countries like Japan, South Korea, China and Russia where their companies can invest and operate, Union Minister Suresh Prabhu said. The commerce and industry minister said his ministry has also identified sectors and countries which holds huge potential for investments in India. “I have given a target. USD 100 billion of FDI should come from different sectors into India. It will not happen in one year. We have identified companies, sectors and countries and now we are going for road shows to attract investors,” Prabhu told PTI in an interview. He said India would remain a top destination for foreign investors in 2019 and the ministry would look at all sectoral issues that may come come in the way to attracting overseas investments. “For countries like Japan, South Korea, China and Russia, we are creating industrial clusters where they can invest and operate,” Prabhu said. The minister said China has agreed to set up industrial parks in India and the Chinese authorities have been asked to give a list of companies that are willing to set up factories in India. Similarly, India would be happy to welcome firms from Europe and the US who want to move out of other countries and set up manufacturing bases in India, Prabhu said. “We will be very happy to give them special status in India,” he added. The comments follow several steps taken during 2018 to further liberalise norms and improve business climate in India to attract greater FDI. In the World bank’s doing business report, India’s rank has improved to 77th from 130th earlier. Earlier this year in January, the government permitted foreign airlines to invest up to 49 per cent in debt-ridden Air India, and eased norms for investment in single brand retail, construction and power exchanges. Norms were also relaxed for medical devices and audit firms associated with companies receiving overseas funds. The government permitted 100 per cent FDI under the automatic route for single brand retail trading and also in power exchanges that provide an online platform for trading in electricity. This was the second major liberalisation in FDI policy by the NDA government after major changes effected in June 2016. Total FDI in India, including re-invested earnings, rose to USD 61.96 billion in 2017-18, from USD 60.22 billion in 2016-17. In April-June period of the current fiscal 2018-19, the country has attracted USD 16.86 billion of foreign investments. Experts, however, said the government needs to focus on areas like infrastructure modernisation and easing of procedures to attract global investors. “Globally also, FDI inflows have cooled down. India needs to take steps in areas like infrastructure and procedural easing to further attract investments,” Professor Biswajit Dhar of Jawaharlal Nehru University (JNU) said. India mainly attracts investments from countries like Mauritius, Singapore, Japan, UK, the Netherlands, the US, Germany, Cyprus, France, and UAE. The sectors that received maximum FDI during 2018 include services, computer hardware and software, construction development, trading, automobile, pharmaceuticals, chemicals, and power. To attract overseas companies, several states such as Madhya Pradesh, Gujarat, Andhra Pradesh, Jharkhand, Uttar Pradesh and West Bengal are also organising investors’ meet for their respective states. The commerce and industry ministry has also started ranking of states on their ease of doing business. In the last report, Andhra Pradesh topped the chart among all the states and union territories. The ministry has now decided to help the states undertake a similar exercise for their respective districts.
Source: Financial Express
Rupee vs dollar today: The Indian rupee opened higher at 70.05 against the US dollar, an appreciation of 30 paise in the currency market from its previous close of 70.35 per US dollar. On Thursday, the domestic currency plunged 29 paise to close at 70.35 against the US dollar amid strengthening of the US currency despite crude oil prices easing. At 9:20 AM, the domestic currency was trading at 70.08 per US dollar, up 26 paise after touching an intraday low of 70.10 per US dollar and an intraday high of 70.03 per US dollar from the Thursday’s close of 70.35 per US dollar, according to data available with Bloomberg. Meanwhile, Sensex and Nifty opened higher tracking on Friday global cues, after Asian equities were mixed in trade, and US markets ended in the green. Sensex zoomed more than 220 pts to 36,027.79, while the broader Nifty 50 was trading above 10,800. Yes Bank share price gained by more than 2.1% to Rs 182, while ICICI Bank shares zoomed 1.3% to Rs 360.20. The rally was being led by financials, pharma and auto stocks. Asia stocks gained on Friday after Wall Street ended volatile trade in the green, adding to the big advances of the previous session, although lingering investor jitters helped support safe-haven currencies such as the yen. MSCI’s broadest index of Asia-Pacific shares outside Japan rose 0.3 per cent. It has fallen almost 4 per cent so far in December, Reuters reported.
Source: Financial Express
The manufacturing sector, particularly textile and iron and steel segments, maintained its pace of sales growth in the second quarter of 2018-19 as compared to the year-ago period, the RBI said on Wednesday. Strong sales growth for India's textile manufacturing sector in Q2The manufacturing sector in India recorded significant improvement by the textile industry. Demand condition in the manufacturing sector “maintained its pace in the September quarter 2018-19 as reflected in strong sales growth (year-on-year)”, as per the RBI analysis of 2,700 listed private sector non-financial companies. “The manufacturing sector sales growth was mainly supported by robust demand conditions in chemical and chemical products, iron and steel, and petroleum products industries coupled with significant improvement recorded by textile industry,” the RBI said. The central bank said heavy moderation was seen in the sales growth of motor vehicles and other transport equipment, driven in part by a large adverse base effect, and pharmaceutical and medicine industries. The information technology (IT) sector also recorded further improvement in sales growth over the year-ago period. The manufacturing sector continued to record strong growth in net profits, which received support from other income. The RBI said companies in manufacturing sector posted a net profit of Rs 47,100 crore in the reported quarter, up 29.4 per cent from the same period last year. The data is based on abridged financial results of 1,734 companies in the manufacturing sector. “Despite continuous contraction in the telecommunication, the services (non-IT) sector posted a turnaround riding on the support from wholesale and retail trade,” the RBI said. The profit of IT sector, based on data of 172 firms, was Rs 17,700 crore in the second quarter, up 5.8 per cent over the July-September period of 2017-18. As per the RBI, the combined sales of 2,700 companies was Rs 9,81,800 crore in the September quarter, up 18.2 per cent from the year-ago period. Their net profit was Rs 71,900 crore, an increase of 41.7 per cent year-on-year. On expenditure front, manufacturing companies continued to face rising input cost (cost of raw materials, staff cost) pressures. In case of IT sector, staff costs accelerated in tandem with the improvement in sales growth, the RBI said.
Source: India Retailing
The Indian ministry of textiles will soon take up the issue of reducing the tax rate of Kashmiri handicrafts under the goods and services tax (GST) with the GST Council, Shantamanu, development commissioner, handicrafts, in the ministry told a seminar on Kashmiri art and craft organised by the Kashmir Chamber of Commerce and Industry recently. Local artisans told Shantamanu that the 12 per cent GST on handicrafts has badly affected the trade, according to a report in a top Kashmiri newspaper. The issue of refund of GST on raw-material for handicrafts will be addressed, he said. To boost the shawls and carpet industry, raw material banks for pashmina and silk will be encouraged, he said. A study-group will be formed to undertake a survey on new and promising export markets for the Kashmir handicrafts. (DS)
Source: Fibre2fashion
Jharkhand chief minister (CM) Raghubar Das has inaugurated the first unit of Rampur Arvind Smart Textile as part of Arvind's expansion plans. The garment manufacturing unit set up in Ranchi with an annual capacity of 16 million, will create 7,500 job opportunities. Meanwhile, the company has also extended production to Gujarat and Andhra Pradesh. The locals are being trained through various skill development programmes to be well-equipped for the upcoming employment opportunities, said Das. "The impact of the government's efforts on skill development is also in front. People are getting employment in their home. Earlier, our girls had to go to another State for jobs of Rs 7-8 thousand. They were exploited in every way. Now they will not only get rid of the life of hell, they will also get employment of 12-13 thousand rupees in their house," media reports said quoting Das. Arvind also runs a garmenting facility in Ethiopia which, at full capacity, can produce up to 50 million garments per annum. To double the company's revenue from the textile segment to ₹120 billion, Arvind aims to invest Rs 5 billion per annum in the next four-five years. (RR)
Source: Fibre2fashion
|
Item |
Price |
Unit |
Fluctuation |
Date |
|
PSF |
1272.09 |
USD/Ton |
0% |
12/27/2018 |
|
VSF |
1979.93 |
USD/Ton |
-0.22% |
12/27/2018 |
|
ASF |
2349.08 |
USD/Ton |
0% |
12/27/2018 |
|
Polyester POY |
1194.49 |
USD/Ton |
-1.38% |
12/27/2018 |
|
Nylon FDY |
2697.93 |
USD/Ton |
-0.53% |
12/27/2018 |
|
40D Spandex |
4772.15 |
USD/Ton |
0% |
12/27/2018 |
|
Nylon POY |
5468.39 |
USD/Ton |
0% |
12/27/2018 |
|
Acrylic Top 3D |
1465.01 |
USD/Ton |
-1.94% |
12/27/2018 |
|
Polyester FDY |
2538.38 |
USD/Ton |
-1.13% |
12/27/2018 |
|
Nylon DTY |
2480.36 |
USD/Ton |
0% |
12/27/2018 |
|
Viscose Long Filament |
1406.99 |
USD/Ton |
-1.02% |
12/27/2018 |
|
Polyester DTY |
2988.03 |
USD/Ton |
-0.48% |
12/27/2018 |
|
30S Spun Rayon Yarn |
2683.43 |
USD/Ton |
0% |
12/27/2018 |
|
32S Polyester Yarn |
1958.18 |
USD/Ton |
0% |
12/27/2018 |
|
45S T/C Yarn |
2871.99 |
USD/Ton |
0% |
12/27/2018 |
|
40S Rayon Yarn |
2988.03 |
USD/Ton |
0% |
12/27/2018 |
|
T/R Yarn 65/35 32S |
2465.85 |
USD/Ton |
0% |
12/27/2018 |
|
45S Polyester Yarn |
2103.23 |
USD/Ton |
0% |
12/27/2018 |
|
T/C Yarn 65/35 32S |
2480.36 |
USD/Ton |
0% |
12/27/2018 |
|
10S Denim Fabric |
1.33 |
USD/Meter |
0% |
12/27/2018 |
|
32S Twill Fabric |
0.81 |
USD/Meter |
0% |
12/27/2018 |
|
40S Combed Poplin |
1.09 |
USD/Meter |
-0.13% |
12/27/2018 |
|
30S Rayon Fabric |
0.64 |
USD/Meter |
-0.23% |
12/27/2018 |
|
45S T/C Fabric |
0.69 |
USD/Meter |
0% |
12/27/2018 |
Source : Global Textiles
Note: The above prices are Chinese Price (1 CNY = 0.14505 USD dtd. 27/12/2018). The prices given above are as quoted from Global Textiles.com. SRTEPC is not responsible for the correctness of the same.
LAHORE: The year 2018 has been another disappointing year for our textile sector that failed to deliver despite 29 percent depreciation of rupee during this calendar year, as the industry is plagued with inefficient technology and low-skilled workforce. It is worth noting that the rupee was valued Rs109 against the US dollar on January 1, 2018 the existing dollar rate of Rs140 is 29 percent higher than it was at the start of year. Pakistani exports have not picked up in recent months despite high devaluation of rupee. The exports in fact declined in the month of November 2018 by over six percent compared with November 2017. The exports are unlikely to surge under the current circumstances. The decline in energy and power rates at best can stem the decline, but is unlikely to boost exports. The mills in basic textiles are still closing. Last week, a weaving mill called it a day in Punjab despite lucrative concessions from the federal government. The total number of mills that have closed down is over 125; majority closed in 2018. The international market has not been responsive during most of the year. The US sanctions against China equally hit Pakistani textile exports, as most of our yarn and fabric goes to that country. The value-added textile exports did increase, but the growth was no way near the devaluation of the rupee. In fact, the exports of both readymade garments and knitwear increased robustly in quantity but there was a sharp decline in per unit value. The value-added textile sector is facing efficiency and sustainability issues. International Finance Corporation, a member of the World Bank Group, has signed an agreement with leading global apparel company, Gap Inc in Pakistan to boost resource efficiency in its operations and drive long-term sustainability. This programme, if successfully implemented, may boost value-added exports in future. Under the agreement—the first of its kind in Pakistan’s textile industry—IFC’s Advisory Services will assess the use of resources at Gap Inc’s supplier factories in the country, and help them implement efficiency measures to reduce the use of water, energy, chemicals, and other resources. This will also help Gap Inc improve competitiveness and sustainability. The perception of the country has also not improved and there are reports that some US importers are reluctant to place repeat orders with Pakistani exporters, probably on lobbying from anti-Pakistan forces. Textile sector is also facing shortage of skilled hands. In four years, the sector fired most of their best hands due to decrease in exports. Many of them have either changed profession or are self employed in different sectors. Most of them are not in a position to take the risk of rejoining the industry that dumped them; they are content with what they are earning regularly. While government policies did play a role in increasing the plight of the textile sector, the industry itself increased the stress due to its lethargic attitude towards achieving efficiencies. Perhaps several decades long textile exclusive facilitations by the government played a role in making the sector complacent. They expected a bailout package from the government. They did not upgrade technology nor did they improve efficiencies. Take the case of the spinning industry, where 90 percent of the spindles are power inefficient because of old technology. The new high tech spindles consume 40 percent less power. Had efficient technology been used, the industry would have survived high power and energy prices in the past 5 years. The present government, realised the high power and gas rates, and rationalised. But the technology was still old, which meant it ended up subsidising power inefficiency to the tune of 40 percent. This subsidy should have been conditional. The government should have asked each industry to improve power efficiency by at least 10 percent per year, which meant technology upgrade of ten percent each year. This way the government would not have had to increase the subsidy even if the exporting industry grew by 10 percent. In case of failure to improve power efficiency, a tariff penalty of 5 percent should have been slapped on the defaulting mills. This would force the exporters to improve efficiency, or else subsidy would increase every year. If we look at the current scenario the textile sector, the competitiveness of the textile sector stands fully restored. The only handicap now is their obsolete technology and general inefficiencies (IFC has jumped in to remove these inefficiencies). The other parameters are ideal for any industrial sector in Pakistan. The minimum wage of Rs15,000 that was equivalent to almost $150/month a year back is now equivalent to $105/month. This minimum wage is only $10 higher than that of minimum wage in Bangladesh. Indian worker gets minimum wage of $175 per month that is $60 higher than current minimum wage in Pakistan. The minimum wage in China is $240 and Vietnam is $145. Rupee devaluation is icing on the cake. Water charges for industries in Pakistan are half than the charges borne by industries in China, India, and Bangladesh. The power and energy rates are at par or lower than most competing economies. The domestic textile sector lost another advantage of procuring its main input - cotton - from local production that continues to decline. The decline in cotton production that was an institutional failure, also stressed domestic textile industry. In 2012-13 Pakistan produced 12.88 million bales from 2.8 million hectares. In 2017, the cotton sowing area was reduced to 2.41 million hectares while the production declined more sharply to 10.73 million bales. Cotton productivity declined in Punjab from 701 kg/hectare in 2012-13 to 664 kg in 2016-17. The projections for 2018 crop are also not very bright.
Source: International News
Hanoi (VNA) – The Vietnam National Textile and Garment Group (Vinatex), the largest textile maker in the country, expects its export turnover to rise up to 8 percent in 2019, the group said at a press conference on December 27. According to Vinatex Executive Director Cao Huu Hieu, the group is striving for 5 percent increase in industrial production, 7 percent growth in revenue, and 12 percent hike in profit. It exported more than 3 million USD worth of products in 2018, a year-on-year surge of 10.9 percent, and gained 46.3 trillion VND (1.98 billion USD) in industrial production value, up 9.7 percent against the previous year. Meanwhile, total revenue rose 6.6 percent to 48.6 trillion VND (2.08 billion USD). Although the group has secured orders until the end of 2019’s Quarter 1, high input costs are deemed as a formidable challenge to the corporation, he said, adding that the minimum wage is forecast to expand 5.3 percent, resulting in a rise in social insurance premium and labour cost. Garment and textile firms must outline rational measures for each market scenario. To be more specific, they should join hands with their customers and partners to set up value chain to overcome difficulties, Hieu stressed. He underlined that Vinatex has paid due attention to quality of orders and customers, and worked to be in top five producers in Vietnam. Besides investing heavily on modern machines and equipment that meet international standards to manufacture excellent products, the group will channel focus to improving labour productivity and increasing workers’ income, he added.-VNA
Source : Vietnam Plus
LAHORE/KARACHI: Textile industry on Wednesday urged the government to settle more than Rs100 billion in outstanding sales tax refunds, which are causing serious liquidity crunch for manufacturers and exporters. Ali Ahsan, chairman of All Pakistan Textile Mills Association said current and deferred sales tax refunds are lying pending at various large taxpayer units (LTUs) and regional tax offices (RTOs) mainly due to the cross-matching of invoices. “The FBR (Federal Board of Revenue) should issue directions to all the LTUs and the RTOs for expeditious processing of refunds and subsequent payments against the refund payment orders issued in order to save industry facing the threat of being declared as defaulter,” Ahsan said in a statement. “Banks are already reluctant to revise (financing) limits of companies as per the increased cotton rates.” Textile exporters said the government has not released a single rupee on account of duty drawback of taxes (DDT) and drawback of local taxes and levies (DLTL) since it came into power four months back. Value-added textile exporters said the previous government released Rs32.18 billion on account of payment of DDT under the Prime Minister’s Trade Enhancement Package and DLTL claims under the textile policies of 2009/14 and 2014/19. “The sitting government has not released a single rupee till date,” Jawed Bilwani, central chairman of Pakistan Hosiery Manufacturers and Exporters Association (PHMA) said in a separate statement. “The new government has taken over charge for more than four months (and) is busy in lip service, verbal announcements and photo sessions but no practical steps and measures have been taken yet to release the amount of claims of DDT and DLTL.” Textile exports remained flat at $5.506 billion during the first five months of the current fiscal year of 2018/19 as the value-added sector couldn’t perform up to the mark despite constant rupee devaluation against the US dollar. Rupee has lost a quarter of its value against the US dollar since December last year. Bilwani said huge amount of exporters’ liquidity of billions of rupees in DDT and DLTL has been stuck with the government, causing great sufferings to the already-burdened exporters who couldn’t understand “how to make both ends meet and such an alarming situation will ruin the export business of the value-added textile exporters”. “The government has not given any firm commitment to release DDT and DLTL claims,” he added. PHMA’s chairman further said billions of rupees in sales tax refund, customs rebates and withholding tax claims of exporters are also pending with the government. “Value-added textile export sector is the backbone of Pakistan’s economy (and) earns major amount of foreign exchange and revenue for the government,” he added. “Besides, the sector is also labour-intensive and largest employment provider and generator. Value-added textile exporters are battling for their survival in the global market due to costly inputs and high cost of manufacturing.” Bilwani demanded of the government to help the industry overcome the challenges, provide an enabling business environment and create a level-playing field for textile exporters. “It is crucial that the government should immediately release payment against DDT and DLTL claims of textile exporters and accord priority to resolve the issues of textile exporters.”
Source: International News
The New York City Council has approved a comprehensive plan to support fashion production and commercial office expansion in the Garment Center. Based on recommendations of the Garment Center Steering Committee, the City has created a multi-pronged approach to balance the interests of fashion industry with those of other industries in the Garment Center. The City will implement a set of targeted zoning changes with real estate and programmatic support. The initiatives will provide fashion manufacturers with the long-term stability needed to maintain their foothold in the historic home of fashion. The citywide strategy includes the creation of a 200,000-square foot garment production hub at the Made in NY Campus in Sunset Park, New York City Economic Development Corporation (NYCEDC) said in a press release. The new plan addresses rapid diversification of industries in the Garment Center, whose 66,000 jobs across industries is expected to grow to 72,000 by 2021. As the district has grown, its economic profile has changed: although fashion office space has grown by 17 per cent in the past five years, 60 per cent of the area’s jobs are now in non-profit, healthcare, entertainment, and IP services. “The plan removes a decades-long ineffective zoning mechanism that will finally allow the Garment Center to achieve its potential as a mixed-use neighborhood that includes significant office space alongside manufacturing, wholesale, and showroom space,” the release said. “We’re preserving the City’s fashion manufacturing capacity both in its traditional home in the Garment Center, and with investments across the city,” said Mayor de Blasio. “The vote ensures that the Garment Center will continue to thrive as a mixed-use neighbourhood - and that New York City will always be the world’s fashion capital.”The zoning changes lift the cumbersome 1:1 preservation requirement that prevented as-of-right office conversions and led to disinvestment in building infrastructure. The zoning changes also include a new special permit to curb hotel development throughout the entire Special Garment Center District. Non-zoning tools will preserve garment manufacturing space, with mechanisms including a customised tax incentive programme that requires property owners to provide long-term, affordable leases for fashion manufacturers; and funding support for the public-private acquisition of a building to permanently house garment production. These strategies are further bolstered by other investments in the district and programmatic support for garment manufacturing and fashion businesses located across the city through partnerships with industry stakeholders. The approval of the new plan is a culmination of a nearly two-year effort between the administration, Speaker’s Office, Manhattan Borough President’s Office and local and industry stakeholders. (RKS)
Source: Fibre2fashion
China enters trade talks said to begin early next month in Beijing having made concerted efforts to end the standoff with the U.S., and also unsure it’s done enough. Since President’s Xi Jinping and Donald Trump came to a temporary truce almost a month ago, China’s removed a retaliatory duty on U.S. automobiles and is drafting a law to prevent forced technology transfers. It’s also slashed import tariffs on more than 700 products and began buying U.S. crude oil, liquefied natural gas and liquefied natural gas and soybeans again. Officials have been in constant contact with the U.S. to try to determine what else is needed to move things forward in January, according to people familiar with the talks. It appears to Chinese officials that the U.S. itself isn’t clear on what it wants, said the people, who asked not to be named because the negotiations are private. China wants the U.S. to remove the punitive tariffs that have been imposed and not add new ones, but suspects the U.S. will ask for more before it agrees to do that, the people said. Officials are working on alternative retaliatory measures in case the talks collapse, they said. “After the meeting in Argentina, the incentive for China to speed up opening up and reform has increased,” said Lu Xiang, an expert in bilateral ties at the state-run Chinese Academy of Social Sciences in Beijin. “The key obstacle to a deal is whether the U.S. demands are a bottomless pit.” The newly announced measures are a response to the “appropriate U.S. concerns,” he said, using the term in the Chinese truce statement which referred to some of the issues the U.S. has raised. China’s flurry of policy announcements since the Argentina meeting between Trump and Xi happened despite Canada’s arrest of a top Huawei Technologies executive at the U.S.’s request, and despite Xi delivering a defiant speech declaring China wouldn’t be dictated to by anybody. China underscored its determination to implement the agreement by including it as a key goal in an important annual policy statement published last week.Deputy U.S. Trade Representative Jeffrey Gerrish will lead the Trump administration’s team heading to Beijing in the week of Jan. 7, people familiar told Bloomberg News on Wednesday. The group will also include Treasury Undersecretary for International Affairs David Malpass, the people said.
Talks Confirmed
Chinese Ministry of Commerce spokesman Gao Feng confirmed in a regular briefing Thursday in Beijing that the two sides planned to sit down for talks next monthGao provided no date and said both countries continue to maintain close communication. News of the talks was followed by a potential source of renewed strain: a Reuters report saying Trump might declare a national emergency next month that would ban U.S. companies from using telecommunications equipment made by Huawei and ZTE Corp. Asked about the report Thursday, Chinese Foreign Ministry spokesman Hua Chunying said a “certain country” needed to address cybersecurity concerns with facts and stop politicizing national security issues. China is eager to seal the deal while at the same time is intent on preserving its economic system, said Jonathan Fenby, chairman of China research at TS Lombard in London. It aims to give Trump enough to be able to claim victory by March, enabling it to get on with the business of modernizing its economy, he said. Tariffs on Hold Trump has agreed to put on hold a scheduled increase in tariffs on $200 billion in annual imports from China while the negotiations take place. He is pushing the Asian nation to reduce trade barriers and stop the alleged theft of intellectual property. The delay in tariffs is through the start of March. In response, China temporarily lowered tariffs on U.S. car imports for the same period. China’s significant recent efforts to unveil policies that address Trump’s concerns have been underappreciated in the U.S., said Wang Huiyao, an adviser to the State Council, or cabinet. China has shown it wants to make a deal, but it can’t meet all the U.S.’s demands, he said. After the recent U.S. stock market’s plunge, the U.S. should quit the trade row “while it’s still ahead,” said Wang, founder of the Center for China and Globalization, a Beijing-based think tank. But there’s still skepticism about the prospects for an agreement. China thought it had a deal in May, only for Trump to back out, and some in Beijing warn the same could happen again. If there is an agreement, it would just be a framework deal, according to Mei Xinyu, a researcher at the Chinese Academy of International Trade and Economic Cooperation affiliated with the Ministry of Commerce. "Trump showed no spirit of respecting contracts in the past, and I suspect he will do so again time. Will he backtrack even after a deal is inked?"
Source: Economic Times
Taking its textile show to New York for the first time, organizers of The London Textile Fair will introduce Texfusion—New York Jan. 16–17 at Manhattan’s Penn Plaza Pavilion. With the idea of connecting more European textile resources with a North American apparel-manufacturing audience, the show will host more than 100 companies. “We have been organizing textile trade shows since 2007, and our leading exhibition in London, The London Textile Fair, counts around 500 predominantly European exhibitors,” Texfusion’s New York organizer, John Kelley, said in a statement. “The London Textile Fair is the biggest industry show within the U.K. and one of the leading European exhibitions for fashion fabrics, accessories, print studios and vintage garments.” Manufacturers including Italy’s premium-fabric house Etique; Scottish waxed-cotton and waterproof-canvas manufacturer Halley Stevensons; Tekstina, a men’s shirting mill from Slovenia; French textile mill Deveaux, EGR,a woven-jacquard manufacturer from Turkey; and France’s women-and-girls’ fabric house Ercea will be on hand to showcase fashion and technical fabrics, accessories and denim. “Our database of European manufacturers is complete, and some of the most prestigious mills have exhibited with us since the very beginning,” Kelley explained. “We have a close relationship with our exhibitors, and some of them asked us to organize a show in New York as the U.S. market is very important for them.” The initial installment of Texfusion—New York has been scheduled to take place following The London Textile Fair, which will be hosted at London’s Business Design Centre Jan. 9–10. The United Kingdom’s version of Texfusion will also take place at the Business Design Centre and is scheduled for March 26–27. “The London Textile Fair format is very successful in London, and we are sure it will have the same reception in the U.S.,” Kelley said. “We are very excited about this new project.”
Source: Apparel News
Nepal exported jute and jute-made products worth more than Rs 1.66 billion to India in the first four months of this fiscal, despite anti-dumping duty imposed by India. The rise in this export is also expected to narrow the increasing trade deficit with India. Six operating jute factories out of 11 are producing thread, twine, hessian and sacking clothes. Nepal’s financial year starts on 16 July.According to Morang Merchant Association and Morang Industry Association that issue the certificate of origin to Nepali jute, Nepali factories have been importing raw jute from India and Bangladesh and exporting 95 per cent of the finished goods. Arihant Multi Fibres, which has the largest and modern jute mills in Nepal, exported jute products worth Rs 790.11 million, according to a report in a top Kathmandu-based daily. Raghupati Jute, Swastik Jute Mills, Baba Jute Mills, Nepal Jute Industry and Chandra Shiva Jute Mills exported jute products worth Rs 470 million, Rs 220 million, Rs 110 million, Rs 40 million and Rs 10 million respectively. Jute Industry Association chairman Raj Kumar Golchha said the anti-dumping duty imposed by India and the Nepali Government’s less than favourable policy have been creating problems for Nepal’s jute industry. India imposes anti-dumping duty ranging from $6.30 to $351.72 per tonne on the import of jute and jute products from Nepal. India has also been imposing countervailing duties on Nepali jute products. (DS)
Source: Fibre2fashion
