Commerce & Industry Minister Suresh Prabhu is expected to chair the meeting scheduled on April 4. To increase exports to China in order to make a substantial dent in the trade imbalance, the Commerce Ministry has scheduled a brainstorming meeting this week with other line ministries and export promotion organisations to identify sectors and strategies to step up performance. “Exports to China have increased but not to the extent India was hoping for. Commodities such as sugar and soyabean, which hold a lot of promise, haven’t delivered yet. However, there are farm items such as grapes and pomegranate where there is a big scope to increase exports. The meeting will focus on bringing together stakeholders so that the right strategy can be adopted,” a government official told BusinessLine. Commerce & Industry Minister Suresh Prabhu is expected to chair the meeting scheduled on April 4. While India’s exports to China increased 36.87 per cent to $11.10 billion in the April-November 2018-19 period, performance decelerated in the next three months and export growth in April-February 2018-19 slowed 28.6 per cent to $15 billion. India’s trade-deficit with China in 2017-18 was a whopping $63 billion, which prompted Chinese President Xi Jinping to promise to his Indian counterpart Narendra Modi at the Wuhan Summit last April, that his country would take steps to increase Indian imports of items such as rice, sugar, fruits, soyabean and pharmaceuticals .
Disappointment for India
What has come as a big disappointment for India is the fact that it has not been able to export commodities where it thought it had a clear advantage. For instance, although there was substantial scope for India to export soyabean due to China’s stand-off with the US, a primary supplier of soyabean, it did not materialise into business for Indians as imports were made from other countries such as Argentina. Similarly, while China had promised to buy sugar from India, it instead decided to release quota for Pakistan in March. “In the meeting, participants will analyse what more can be done from the Indian side to increase exports to China. Inputs will also be sought from the Indian Embassy in China on how to deal with Chinese officials on the matter,” the official said. On the positive side, export shipments of grapes from India has already been sent to China and exports of pomegranates, too, is expected to begin soon. Commerce Ministry is also positive that with a little diplomatic effort, India can resume selling tobacco to Beijing.
Source: The Hindu Business line
Amid slowing global merchandise trade growth, India’s exports are likely to register an all-time high of $330 billion this fiscal. “The growth is propelled by higher exports of pharmaceuticals, petroleum and engineering,” said an official aware of the details. India’s total outward shipments were $303.5 billion in 2017-18. The all-time high is $314.4 billion posted in 2013-14. March exports are expected to be above $30 billion, buoyed by strong performances by engineering and pharmaceuticals sectors. Services exports are likely to cross $200 billion in FY19, taking overall exports to over $500 billion. Commerce and industry minister Suresh Prabhu is confident of India’s exports touching new heights this year. “This happened because we had our sectoral strategy, an institutional mechanism... a product-geography matrix,” he told ET in an interview. As per official data, India’s overall exports (merchandise and services) in April-February 2018-19 were estimated to be $483.98 billion, exhibiting a growth of 8.73% over the yearago period. Exports have been hit by the muted growth of traditional exports such as gems and jewellery, farm and engineering as well as liquidity crunch stemming from the goods and services tax, and global factors. The healthy growth in exports comes at a time when the World Trade Organization has cut global trade forecast to 2.6% in 2019 from 3% in 2018. “World trade will continue to face strong headwinds in 2019 and 2020 after growing more slowly than expected in 2018 due to rising trade tensions and increased economic uncertainty,” WTO said. The multilateral trade watchdog attributed slow trade growth in 2018 to new tariffs and retaliatory measures affecting widely-traded goods, weaker global growth, volatility in financial markets and tighter monetary conditions in developed countries, among others.
Source: Economic Times
The financial year 2018-19 (FY19) ended on a happy note on the goods and services tax (GST) front. At Rs 1.06 trillion, the government has announced the highest monthly collection from GST in March since its roll-out 21 months ago. This is the fourth time in FY19 that the monthly GST collection has crossed the Rs 1-trillion mark, meeting the target. With this, the total GST collected during the year has touched Rs 11.77 trillion, still nearly Rs 75,000 crore short of the initial annual expectation. Even so, the GST mop-up, together with the direct tax collection of Rs 11.5 trillion (against a Budget target of Rs 12 trillion), may somewhat ease the government’s worry about a steep tax shortfall for now. Analysts said the latest numbers would help the government move closer to the fiscal deficit target of 3.4 per cent of the country’s gross domestic product (GDP) set for FY19. “The monthly average of GST revenue during FY19 is Rs 98,114 crore, which is 9.2 per cent higher than 2017-18. These figures indicate that the revenue growth has been picking up in recent months, despite various rate rationalisation measures,” the finance ministry said in a statement on Monday. The total GST collections in March were up 16 per cent from the corresponding period last year. Of that, the central GST (CGST) stood at Rs 20,353 crore, while state GST (SGST), and integrated GST (IGST) were pegged at Rs 27,520 crore and Rs 50,418 crore, respectively.
Source: Business Standard
Manufacturing activity slowed to a six-month low of 52.6 in March due to lower levels of new orders and production, according to a private sector survey. The Nikkei India Manufacturing Purchasing Managers’ Index came in at a lower reading in March from 54.3 in February. A reading over 50 implies expansion while one below that denotes a contraction in activity.
Improving conditions
“Registering 52.6 in March, the Nikkei India Manufacturing Purchasing Managers’ Index continued to signal improving operating conditions in the sector,” the report said. “However, falling from 54.3 in February to a six-month low, the latest figure highlighted a loss of growth momentum.” “Softer increases were registered for new orders, production, input buying and employment,” the report added. The report said that the increase in new orders was the slowest in six months, with firms reporting that the effect of strong underlying demand, successful advertising, and the receipt of bulk orders was being curbed by competitive conditions and the upcoming elections. That said, the report highlighted the fact that business sentiment strengthened to a seven-month high in March with companies predicting that marketing initiatives, capacity expansion plans and favourable public policies after the elections would support production growth over the course of the coming 12 months. “Although global headwinds and a general slowdown in trade present some concerns for the future health of Indian manufacturers’ order books, so far companies have been able to weather the storm and secure healthy inflows of new work from abroad,” said Pollyanna De Lima, principal economist, IHS Markit and author of the report. “A guarded attitude towards appointing new staff dragged job creation to an eight-month low, while buying activity growth moderated amid sufficient input stocks at some companies,” Ms. De Lima added.
Source: The Hindu
During April-February 2018-19, India’s exports stood at $305.73 million, while imports were at $1.92 billion. India and Ukraine on Tuesday discussed ways to enhance bilateral trade and investments with a view to increase economic cooperation. The issue was discussed during the fourth meeting of India-Ukraine Working Group on Trade and Economic Cooperation. “Both sides agreed that trade was far below the potential and there was a need to step up their cooperation to enlarge the trade basket and increase the bilateral trade and investment. There is trade deficit on the part of Indian side and both sides agreed to find out the modalities to reduce it further,” the commerce ministry said in a statement. During April-February 2018-19, India’s exports stood at $305.73 million, while imports were at $1.92 billion. In order to promote trade, both sides should share the mandatory inspections’/ regulations’ requirement to be fulfilled at the time of exporting / importing of any product so that any delay related to such inspection could be reduced and it will also create a positive atmosphere for doing business, the statement said. The two countries also decided to increase cooperation in areas such as leather, tobacco, gems and jewellery and tea. Both the sides expressed interest in cooperation in exporting agricultural items such as apples, bananas, cake of soyabeans, cotton, coffee, cucumber and gherkins, flour of wheat, grapes, groundnuts, and maize. The Ukrainian side proposed India to look into the possibility of exporting railroad and underground railway carriage products; participation of Ukrainian enterprises in the implementation of energy projects; and modernisation of existing and construction of new Indian metallurgical enterprises. Further, the ministry said that bilateral investment relations between the countries have huge potential. “More can be done to faster cooperation in sectors such as railways, aircraft, pharmaceuticals, metallurgy and tourism,” it added.
Source: The Hindu Business Line
India and Iran have potential for cooperation in oil and gas, renewable energy, mining, copper, aluminum and other sectors, said Head of Seven-Member Parliamentary delegation from Iran at an interactive meeting organized by MVIRDC World Trade Center Mumbai and All India Association of Industries (AIAI). Speaking on the occasion, Head of the Delegation, Hamid Reza Foladgar said that the move that has been taken by approving the Double Taxation Avoidance Agreement (DTAA) with India will promote ease of doing business and bilateral investment. He said “Both the countries are also negotiating trade agreements to reduce customs and tariffs.” Besides this, he stated that the newly built Chabahar Port and Makiran Port will promote India’s trading ties with Iran, West Asia and Central Asia. Speaking about the US sanction on Iran, Foldagar said, “US has imposed sanction on Iran despite the International Atomic Energy Agency (IAEA) expressing satisfaction about Iran’s compliance with the nuclear agreement. Government of USA must reconsider its sanction in the absence of credible evidence of violation of the nuclear agreement.” In his remarks, Consul General of the Islamic Republic of Iran, Khosroo Rezazadeh, said, “This is the right time for India and Iran to enhance their commercial partnership. India is the only country in this region to secure waiver from US sanction for importing crude oil from Iran. This shows the diplomatic influence of India in this region.” It will be a pity if business communities from both the regions do not use this opportunity to enhance trade ties. Government of Iran offers e-visa for six months for Indian businessmen visiting Iran. In order to promote tourism, the government also offers visa on arrival, he added. Rezazadeh invited Indian businessmen to approach his office in case they face any issues in trading with Iran. He said, “The main purpose of bringing this Parliamentary delegation to India is to explore ways to promote bilateral cooperation. Both the countries must find ways to overcome the constraints on bilateral trade and investment arising from the US sanction.” Even amidst the economic sanctions imposed on Iran, India remains the largest importer of crude oil from Iran, said Vijay Kalantri, President, All India Association of Industries (AIAI). He said that the construction of Chabahar port has opened new vistas of trade and investment opportunities between both the countries. Besides this, there is huge opportunity for commercial cooperation in areas such as mining, agro-processing, crude oil, energy, textile, capital goods. Both the countries must strengthen their banking and insurance ties to facilitate commercial partnership, he stated.
Source: Knn India
Now more than ever is the time for UK businesses to be exploring opportunities overseas. UK's exports to India increased at the fastest rate among the country's top trading partners outside the European Union (EU), with a 19.3 per cent hike in goods and services trade in 2018, according to official figures. The figures released by the UK's Office for National Statistics (ONS) on Friday was hailed by the UK's Department for International Trade (DIT) as a major boost to the Brexit-hit economy's future trading prospects. Besides India, Japan (7.9 per cent), China (4.6 per cent), and Canada (4.2 per cent) also registered a faster exports hike last year when compared to the EU - which grew at 3.6 per cent. Even with an increasingly challenging global economic outlook, these latest figures show demand for UK exports across the globe continues to grow and there is clear appetite for British products all around the world, Liam Fox, UK secretary of state for international trade, said. Now more than ever is the time for UK businesses to be exploring opportunities overseas, he said. He said the DIT's Export Strategy is geared towards growing Britain's exports and boosting the economy by putting the UK at the heart of the world's fastest growing markets through independent post-Brexit trade policy. The DIT said that the latest figures show the export of goods and services to non-EU trading partners in 2018 reached a high of 345.1 billion pounds, demonstrating the growing appetite for British produce outside of the EU. The latest figures reveal an increase in the share of exports going to the UK's top three non-EU trading partners - US, China and Switzerland - increasing from 21.3 per cent in 2000 to 25.4 per cent in 2018. Contrastingly, the share of UK exports to the EU has decreased significantly from 54 per cent to 45.6 per cent over the same period. Eurostat data also shows the UK was one of only two EU member states to export more goods to non-EU countries than within the EU in 2018, demonstrating the UK's increasing popularity in markets beyond the union, the DIT noted.The US remains the UK's top destination for exports, increasing by 3.9 per cent to 118.2 billion pounds in 2018. Latest data also indicates a growing demand from Asian investors in the UK, with inwards investment stock increasing by 201 per cent since 2008, the highest growth rate of any continent.
Source: Business Standard
Infrastructure and manufacturing are among the key sectors in which businesses in Coimbatore can look at investment in Indonesia, the Consul General of Indonesia Ade Sukendar said here on Monday. Addressing the members of Indian Chamber of Commerce and Industry, Coimbatore, he said Indonesia permitted 100 % investment in film industry and Indian films were popular there. Nearly six lakh Indians visited Indonesia from India last year, mainly to Bali. The number of tourist centres had also been increased. In the case of education, India was attracting students from Indonesia, especially for IT, as it was affordable and the quality of education was good here. The Consulate in Mumbai served businesses in both the countries and Tamil Nadu was important for Indonesia as it was closer by sea route. He urged the trade and industry here to get in touch with the Consulate for details about doing business with Indonesia, he said. A trade expo will be held in Indonesia in October. Mr. Sukendar invited entrepreneurs here to participate in the business-to-business focused event. B. Sriramulu, vice-president of Indian Chamber of Commerce and Industry, Coimbatore, spoke about the strengths of Coimbatore in various sectors and the activities of the Chamber.
Source: The Hindu
Indian Technical Textile Association (ITTA) – the apex body of Technical Textile manufacturers in the country has joined hands with Taiwanese counterpart Taiwan Technical Textiles Association (TTTA) to promote the Technical Textile Industry in both the countries. ITTA Chairman Dr. K S Sundararaman has taken initiative to forge the partnership between the two leading associations and accordingly, a Memorandum of Understanding has been signed in Taiwan recently. From ITTA, Amit Agarwal, Vice Chairman of the association and Alex Lo, Chairman of TTTA has signed the MOU. The signing ceremony was held in the presence of Sridharan Madhusudhanan, Director General, India Taipei Association – the representative office of Govt. of India in Taiwan. Under this partnership, member companies of both the associations would be immensely benefited. Here to note that, India is an emerging market for technical textile products while Taiwan has matured technical textile industry and product know-how. Speaking to Textile Excellence, Amit Agarwal said “The MOU would facilitate Indian and Taiwanese companies to form joint ventures for technical textile manufacturing in either of the countries. Also, companies from both the countries would be able to collaborate for sharing technical knowledge and compliment the supply chain with trade of technical textile materials.” ITTA office would facilitate Indian companies to trade and form joint ventures with TTTA members and members can connect with Dr. Anup Rakshit, Executive Director of the association at ed@ittaindia.org
Source: Textile Excellence
Cotton, the key raw material for textile and apparel production, has become costlier by 6 per cent in March alone due to lower output last year. Thus, the benchmark variety of cotton jumped to Rs 12,373 a quintal on Friday from Rs 11,698 a quintal in the beginning of the month. Experts believe the natural fibre will continue to move northward. Cotton yarn prices have also jumped 6-7 per cent across all varieties in March. The industry uses only high quality cotton for technical textiles, which is why importing it for the garment and home textile sectors is not a viable option for Indian producers. The United States Department of Agriculture (USDA) estimates India’s cotton output at 5.9 million tonnes for 2018-19 as compared to 6.3 million tonnes for the previous year. “While prices of both cotton and yearn have increased in the last few weeks, fabric prices remained stable which will definitely impact margins of textile companies. Cotton output in India is lower this year than last year. Most importantly, the quality of available cotton has also deteriorated,” said R K Dalmia, President, Century Textile and Industries Ltd. According to Rahul Mehta, President, Clothing Manufacturers’ Association of India (CMAI), the textile industry works at a very thin margins of 2-3 per cent. "The raw material price rise of 6-7 per cent along with the increase in other cost is creating pressure on profit margins," he added. Experts believe that the seasonal uptick in textile demand usually sets in around this time. However, the ongoing rural agriculture distress coupled with less availability of disposal income has lowered textile demand. Meanwhile, China yarn demand remains healthy as destocking impact has ebbed, although players have yet to start restocking, given continued uncertainty around US-China trade talks. Textile players, however, are set to post an overall growth in their sales in December quarter. Market leader Vardhman Textiles is set to post 12 per cent sales growth in March ‘19 quarter versus 6 per cent jump December ’18 quarter. “Improvement in yarn demand along with ebbing of China destocking pressures has supported yarn industry spreads. Further improvement in yarn spreads requires Chinese mills to commence restocking. Also, fabric spreads remain healthy on continued demand strength. However, with no benefit of low-cost cotton inventory, Vardhman Textiles’ March 2019 quarter profit margin is likely to moderate Q-o-Q to 18.5 per cent (similar to June 20118 quarter levels),” said Avi Mehta, an analyst with IIFL Securities Ltd in its latest report on Vardhman Textiles. “The cotton season is coming to an end. Hence, prices of cotton and yarn have risen in the last few weeks. Hence, downstream players are facing margins pressure as they cannot raise prices beyond a point,” said Siddharth Rajagopal, Executive Director of Cotton Textile Export Promotion Council (Texprocil). India’s cotton textile exports, however, have jumped 12 per cent between April 2018 and February 2019. Rajagopal estimates the same growth rate to continue in the next few months.
Source: Business Standard
The rupee on April 2 recovered from the day’s low to finally settle at 68.74 against the US dollar with gains of 40 paise amid sustained foreign fund inflows and heavy buying in domestic equities. Forex dealers said foreign fund inflows in the debt and equity markets helped the rupee recover. Besides, the local currency gained strength after the RBI announced second dollar-rupee swap, they added. At the Interbank Foreign Exchange, the domestic currency opened lower at 69.32 a dollar but recovered the losses during the day and touched the day’s high of 68.70. It finally settled at 68.74 per dollar, up 40 paise over its previous close. The Indian unit had appreciated by 16 paise on Friday to close at 69.14. The Forex market was closed on Monday.
USD-INR swap
According to V.K. Sharma, Head PCG & Capital Markets Strategy, HDFC Securities, rupee and bonds rose after the RBI announced second USD-INR swap. “Sovereign bonds gain as RBI’s currency swap will add to liquidity in the banking system,” Sharma said, adding “the swap auction comes ahead of the important RBI policy statement that is scheduled this week. The central bank is expected to cut rates and a dovish statement could put pressure on the rupee”. The Reserve Bank of India (RBI) on April 1 said it will inject long-term liquidity worth $5 billion into the banking system through dollar-rupee buy-sell swap for a tenure of three years on April 23, the second such auction within a month. Forex dealers said foreign fund inflows and heavy buying in domestic equities supported the rupee, however, strengthening of the US dollar and rising crude prices restricted the upmove. Foreign institutional investors (FIIs) remained net buyers in the capital markets, putting in ₹543.36 crore Tuesday, as per the provisional data. Brent crude futures, the global oil benchmark, rose 0.10% to trade at $69.08 per barrel. The dollar index, which gauges the greenback’s strength against a basket of six currencies, surged 0.17% to 97.39. Rising for the fourth session in a row, the BSE benchmark Sensex on April 2 added another 185 points to hit an all-time closing high of 39,056 and the NSE Nifty closed above the key 11,700-level on intense buying mainly in auto, IT and banking stocks amid hopes of RBI rate cut. Meanwhile, Financial Benchmark India Private Ltd set the reference rate for the rupee/dollar at 69.1198 and for rupee/euro at 77.4478. The reference rate for rupee/British pound was fixed at 90.2119 and for rupee/100 Japanese yen at 62.09.
Source: Financial Express
In a small, gloriously cluttered room, six women chat while they embroider brightly coloured vulvas, guided by Jess de Wahls, an artist teaching them both skills and how to break a few taboos. Easily identifiable with her bright red lipstick and necklace of silver ovaries, the 36-year-old Berliner has made a name for herself with elaborate works with a sense of fun, but which address serious topics of gender inequality and social justice. In De Wahls' workshop in her home in Brixton, in the south of her adopted city of London, visitors are greeted by portraits of women. Further inside, floral works jostle for attention with embroideries of a menstrual cup or bloodied tampon, while everywhere are the tools of her trade -- embroidery hoops and patterns, thread and recycled fabric. There is jewellery and embroidery in her trademark symbol, ovaries, which take on various incarnations depending on how the mood takes her -- transformed as a cactus, as a rainbow in the sky, or a defiantly raised middle finger. "Pick your vulva," a smiling De Wahls tells her guests, as she offers different models to work from. Her students today are from all over the world, and they marvel at the diversity of female genitalia, comparing their views of nudity that reflect their own backgrounds. De Wahls is delighted at the free-flowing discussion, which also takes in the forthcoming opening in London of the "Vagina Museum", the first of its kind. "I think it is very helpful to have this conversation, making people comfortable with saying vagina, vulva, clitoris and all that kind of stuff," she told AFP. "Some people still have primary school reactions about it." The students already have an idea of what they will do with their embroideries. "I am going to take mine into work to show to my colleagues," said Jane, a 40-year-old textile curator. "I'd probably turn mine into a cushion," added Dana, a 29-year-old student at the Royal School of Needlework, suggesting it would become something of a talking point. For a long time, embroidery was viewed as an inoffensive pursuit carried out almost entirely by women. Its image is changing thanks to artists such as India's Sarah Naqvi, who use it to challenge stigmas surrounding women's bodies, and France's Julie Sarloutte, whose works resemble paintings. But textile artists still have some way to go to be taken seriously, De Wahls said, noting that when she wanted to showcase her work at London's Royal Academy of Arts, there was not even a dedicated category. She herself is a relative newcomer to embroidery, only having started four years ago after watching videos on YouTube. But quickly, "that just became a second language". Since then, she says social media has "helped massively" in raising her profile. It was through Instagram that she was spotted by the Tate Modern in London, which asked her to host a workshop, and by an Australian gallery which put on an exhibition last year entitled "Big Swinging Ovaries".Social media has also helped raise the profile of embroidery more generally, she says, passionate that it "be seen just as much as an art form as anything else".
Source: Business Standard
Telangana recently unveiled a portal for micro, small and medium enterprises (MSMEs), offering them a digital profile, which includes an online product catalogue, an e-commerce store and networking opportunities for identifying global buyers and suppliers. Telangana State GlobalLinker (ts-msme.globallinker.com) will digitise over 2.3 million MSMEs. The portal will also offer MSMEs access to industry news, articles and discussions, according to an official press release.
Source: Fibre2Fashion
|
Item |
Price |
Unit |
Fluctuation |
Date |
|
PSF |
1311.29 |
USD/Ton |
0.11% |
4/2/2019 |
|
VSF |
1840.27 |
USD/Ton |
1.23% |
4/2/2019 |
|
ASF |
2498.90 |
USD/Ton |
2.13% |
4/2/2019 |
|
Polyester POY |
1341.09 |
USD/Ton |
0% |
4/2/2019 |
|
Nylon FDY |
2905.70 |
USD/Ton |
0% |
4/2/2019 |
|
40D Spandex |
4753.42 |
USD/Ton |
0% |
4/2/2019 |
|
Nylon POY |
2607.68 |
USD/Ton |
0% |
4/2/2019 |
|
Acrylic Top 3D |
1534.80 |
USD/Ton |
0% |
4/2/2019 |
|
Polyester FDY |
3159.01 |
USD/Ton |
0.47% |
4/2/2019 |
|
Nylon DTY |
5632.58 |
USD/Ton |
0% |
4/2/2019 |
|
Viscose Long Filament |
1579.51 |
USD/Ton |
0% |
4/2/2019 |
|
Polyester DTY |
2697.08 |
USD/Ton |
0% |
4/2/2019 |
|
30S Spun Rayon Yarn |
2555.52 |
USD/Ton |
0% |
4/2/2019 |
|
32S Polyester Yarn |
2026.54 |
USD/Ton |
0.37% |
4/2/2019 |
|
45S T/C Yarn |
2875.89 |
USD/Ton |
0% |
4/2/2019 |
|
40S Rayon Yarn |
2175.55 |
USD/Ton |
0% |
4/2/2019 |
|
T/R Yarn 65/35 32S |
2577.87 |
USD/Ton |
0% |
4/2/2019 |
|
45S Polyester Yarn |
2890.79 |
USD/Ton |
0% |
4/2/2019 |
|
T/C Yarn 65/35 32S |
2533.17 |
USD/Ton |
0% |
4/2/2019 |
|
10S Denim Fabric |
1.37 |
USD/Meter |
0% |
4/2/2019 |
|
32S Twill Fabric |
0.83 |
USD/Meter |
0% |
4/2/2019 |
|
40S Combed Poplin |
1.11 |
USD/Meter |
0% |
4/2/2019 |
|
30S Rayon Fabric |
0.63 |
USD/Meter |
0% |
4/2/2019 |
|
45S T/C Fabric |
0.71 |
USD/Meter |
0% |
4/2/2019 |
Source: Global Textiles
Note: The above prices are Chinese Price (1 CNY = 0.14901 USD dtd. 04/02/2019). The prices given above are as quoted from Global Textiles.com. SRTEPC is not responsible for the correctness of the same.
Growth in global trade volumes is likely to slow down to 2.6 per cent in 2019 compared to 3 per cent in 2018, due to rising trade tensions between major economic powers and increased economic uncertainty, according to WTO estimates. Trade growth could then rebound to 3 per cent in 2020, but only if there is an easing of trade tensions, said a WTO report released on Tuesday. World GDP growth is expected to decline from 2.9 per cent in 2018 to 2.6 “Trade growth in 2018 was weighed down by several factors, including new tariffs and retaliatory measures affecting widely traded goods, weaker global economic growth, volatility in financial markets and tighter monetary conditions in developed countries, among others,” the report stated. Trade growth in 2020 is expected to outpace GDP growth due to faster growth in developing economies, it added. With trade tensions running high, no one should be surprised by this outlook, said WTO Director-General Roberto Azevedo. “Trade cannot play its full role in driving growth when we see such high levels of uncertainty. It is increasingly urgent that we resolve tensions and focus on charting a positive path forward for global trade which responds to the real challenges in today’s economy — such as the technological revolution and the imperative of creating jobs and boosting development,” he said. The US and China have been engaged in a trade war over the past year, imposing retaliatory duties on imports sourced from each other. Several other countries, too, have become increasingly protectionist, introducing a number of tariff and non-tariff barriers on imports. The value of merchandise trade was up 10 per cent to $19.48 trillion in 2018, partly due to higher energy prices. The value of commercial services trade rose 8 per cent to $5.80 trillion in 2018, driven by strong import growth in Asia, the report added. India recorded double-digit growth in commercial services trade on both the export side (11 per cent) and the import side (14 per cent).
Source: The Hindu Business Line
Bangladesh is growing fast to be a hub of organic textile manufacturing amid a rise in demand from international apparel retailers, said a statement of the Global Organic Textile Standard (GOTS), an international benchmark. The number of globally recognized textile factories, which use organic raw materials, rose 29 percent last year in bangladesh, with the growth rate being highest globally, said Sumit Gupta, GOTS representative for India and Bangladesh, said in a recent statement. In 2018, organic certification grew 25 percent in North America, 23 percent in Pakistan and 23 percent in South Korea, said the Global Organic Textile Standard (GOTS). “Bangladesh continued its second position and registered a growth rate of 29 percent in terms of GOTS certified facilities,” said Sumit Gupta. Globally, the number of facilities certified by the GOTS rose 14.6 percent to 5,760 in the year. GOTS certification covers the processing of certified organic fibres along the entire supply chain from field to finished product. Certified factories are located in 64 countries. In terms of total numbers, the highest increase is reported from India, which added more than 315 factories, followed by Bangladesh at 155 and Europe 98. Bangladesh has the second most GOTS-certified factories worldwide with 689 facilities, just after India with 1973 factories. The other top countries in terms of total number of certified units are Turkey (519), Germany (500), Italy (340), China (301), Pakistan (238), Portugal (215), the US (127), and South Korea (85). In the statement, GOTS Managing Director Claudia Kersten said that the increasing number of certified facilities aligns with the common desire to solve sustainability related problems. “It confirms that GOTS is seen as part of the solution. Company leaders use GOTS as risk management tool and as market opportunity. Consumers value the verifiable certification from field to finished product.” Bangladesh imports nearly 8 million bales of cotton every year, mainly from India, the US and from some African countries, of the imports, nearly 6 percent is organic cotton that comes from India and the US. It includes the entire postharvest processing of apparel and home textiles made with certified organic fibre and has both environmental and social criteria.
Source: Textile Today
Cambodian Prime Minister Hun Sen has announced plans to reform the nation’s economy on a large scale with a 17-point strategy, aiming to stimulate growth and save the private sector some US$400 million per year in costs. The strategy includes a series of savings initiatives for private businesses, including cutting costs related to transport, port services, and electricity, as well as reforming railway management. It sets out plans to cut the number of national holidays, introduce financial incentives for tax and customs sectors, as well as promote and implement amendments to the Law on Investment and the Law on Special Economic Zones. Speaking at a recent forum on the public-private sector, PM Hun Sen said that these reforms would help increase the competitiveness of export goods if the European Union (EU) decides to remove its preferential trade arrangements under the Everything But Arms (EBA) scheme. In February 2019, the EU officially announced it will begin the process of considering the withdrawal of Cambodia from the EBA scheme on the grounds that Cambodia had violated its conditions. This process will take place over the next 12 months. This causes great concern to businesses operating in Cambodia, especially in the textile sector, which is said to bring about US$676 million per year to Cambodia. Concerning the current serious power shortage in Cambodia, PM Hun Sen announced plans to split various types of electricity prices for users, thereby reducing about $0.02 per kWh for industries that hold high investment value. Meanwhile, Vice Chairman of the Cambodia Chamber of Commerce and Industry Lim Heng said that for a long time, the Cambodian private sector has asked its government to issue the aforementioned reforms to help reduce production costs. He affirmed that these efforts of the Cambodian government to reform the economy will contribute to strengthening the private sector, especially in terms of increasing incomes for workers.
Source: Saigon Online
Many Western media have recently reported that the EU is embracing industrial policy again, saying that the EU is inclined to accept the French proposal to carry out European industrial policies to reinvigorate its industry and strengthen the foundation of Europe's economic recovery. In fact, the introduction of policy measures to help the development of domestic industrial enterprises was common in Europe in the early postwar period. However, with privatization and deregulation since the 1980s, this intervention has gradually disappeared. Under the guidance of the state intervention theory of "Gaullism," the French government provided loan interest rate subsidies to select companies and established state-owned enterprises to encourage technological development since the 1960s. Thanks to this policy, France successfully developed new technologies, including high-speed rail, civil nuclear power plants, aerospace and aviation in the 1970s, quickly becoming a global leader in many industrial sectors, just two or three decades after the World War II. Industrial policy in the UK was first carried out to protect its textile industry from external products. After the Glorious Revolution, the British completely stopped importing wool textiles from France and the Netherlands, and in 1699 passed the Wool Act to protect the domestic textile industry. In 1700, the British Parliament enacted legislation prohibiting the import of cotton fabrics from India. Many British economic historians have pointed out that the industrial policy of the House of Tudor was the key to the rise of Great Britain. As for the comparative advantage theory advocated by Adam Smith, the originator of economics, the theory is only a set of statements that the British "invented" after obtaining its industrial predominance. The theory was used to persuade other European countries to no longer use industrial policy to foster domestic industrial enterprises to compete with the UK. The active intervention of the government's industrial policy also created the miracle of the German Confederation. In order to protect its own market, Prussia took the lead in establishing the German Customs Union, implementing a high-tariff policy to keep British and French industrial products out of the German Confederation. It set up state- owned enterprises and funded private companies, laying the foundation for Prussia's victory in the Franco-Prussian War in 1871 and the establishment of the German Empire. For more than a century from the 1820s to the 1930s, the US implemented unprecedented high tariff policies. It was under the protection of high tariffs that the US transformed from an agricultural country to the world's top industrial power. On the eve of World War I, the US had the highest industrial output in the world, accounting for 32 percent worldwide. After the 1980s, neo-liberalism became the dominant school of thought in Western countries. Its "market fundamentalism" railed against economic interventionism, and industrial policy was swept away by economics and government decision-making departments. Although these theoretical "revolutions" were beneficial to financial liberalization, they indirectly caused the industrial hollowing-out and social polarization in the West. In recent years, the significance of industrial policy in the strong economic growth of emerging economies has drawn the attention of developed countries that are suffering from industrial decline. As a result, Western countries have increased their intensity in accusing emerging economies in the WTO of state interventionism and violating the principles of free trade with their industrial policies. They must have forgotten the history of their own development. Fortunately, these first-comers in industrialization have finally realized the importance of industrial policy as they struggle to get out of their current "stagnation." They have started to rethink implementing industrial policy as a weapon to revitalize their industries. In fact, emerging economies only need fair competition in economic development and are not afraid of developed countries returning to their old ways of industrial policy. If developed countries could justify implementation of industrial policy, it would not necessarily be a bad thing for emerging countries that rely on their own industrial policies for rapid development.
Source: Global Times
The potential of the apparel and textile sector of Chattogram was discussed at the press conference by RedCarpet365, which was held on March 30, 2019, at the Chattogram Press Club. The forum was held on the occasion of BIGTEX, Bangladesh International Garment & Textile Machinery expo 2019, to be held from April 4-6, 2019, at the GEC convention centre. BKMEA is the associate partner, Well Group is leading from front as partner of the said exhibition. Garment & textile machinery, equipment, technology, accessories - manufacturer, dealers, suppliers, importers from home and abroad have participated at this mega exhibition. The press conference was led by Fatematuj Johra, director marketing – RedCarpet365, along with Ahmed Imtiaz, CEO – Redcarpet365. Md. Althaf Uddin, senior joint secretary (administration) – BKMEA Chittagong office has briefed about BKMEA’s role in this exhibition and in the textile industry of Bangladesh. Syed Sirajul Islam, managing director of Well Group gave his inputs about the importance of these exhibitions and recent needs of quality manufacturers and exporters. Fazle Karim Liton, managing director of Jack Machinery Import & Export, Chattogram briefed about potential of Chattogram’s textile & garment machinery market, Karimullah Chowdhury senior deputy secretary, BGMEA described the potential and rising apparel market of Chattogram, according to a press release by RedCarpet365. Ahmed, CEO of RedCarpet365, mentioned that the expo will have almost 135 stalls with products from 15 countries including Bangladesh, India, China, Germany, Italy, Japan, Korea, Malaysia, Switzerland, Taiwan, UAE, Switzerland, Taiwan, Malaysia, Thailand, Turkey, UK, and the US. “These exhibitions will play an important role with the latest machineries, technologies, dyes / chemicals, yarns, fabrics available for Bangladesh on display with manufacturers and suppliers from the world available to our industry at the doorstep. Also, these expos will provide an opportunity to our experts, engineers, and technicians in the field of textiles to have a practical knowledge of the recent technological advancements available, without going abroad,” he added.
Source: Fibre2Fashion
In recent years, with the continuous improvement of the economic and trade cooperation between China and Sri Lanka, Chinese enterprises have made leaps and bounds in their investment in Sri Lanka and signed contracts to invest in large-scale projects. The main investment projects are concentrated on infrastructure constructions which are directly under the broader framework of the Belt and Road Initiative (BRI). Currently, the key investment projects in Sri Lanka include Colombo International Financial City, Colombo International Container Terminals and Hambantota Port. Also, Chinese privateinvestments in Sri Lanka has grown rapidly. Chinese private enterprises mainly invest in hotel construction, agricultural product processing, manufacturing, warehouse logistics etc. The historical foundation of the China-Sri Lanka relations has laid exchanges on cultural, commercial and trade relations. The famous Sino-Lanka Rubber Rice Pact in 1952 officially commenced a strong bilateral economic and trade partnership allowing to strengthen diplomatic ties among the two countries. With China’s expertise hard and soft infrastructure construction such as roads and highways, value added agricultural products, construction of ports and related industries, Sri Lanka could maneuver the potential opportunities gained through establishing mutual cooperation among the two nations. This article has identified key areaswhere China and Sri Lanka could mutually benefit through cooperating in areas such as;value added agriculture, infrastructure construction, developing ports and related activities, upgrading local manufacturing industries and tourism development.
Towards value-added agriculture
Under the influence of the tropical monsoon climate, Sri Lanka has abundant rainfall, fertile land, and a wealth of tropical economic crops. SriLanka has favorable conditions for the development of the agricultural sector. In addition, Sri Lanka is rich in fisheries, forestry and water resources. Sri Lanka’s arable land area accounts for 61% of the country’s land area. It has a large area of rubber gardens, tea gardens and coconut gardens. These three types of agricultural products are the three pillars of Sri Lanka’s agricultural economic income. Export of agricultural products accounts for a section around 25 percent of the total export earning of the country. In recent years, Sri Lanka’s share of spices exports has gradually increased, becoming a major emerging industry in Sri Lanka’s agricultural exports. At the same time, Sri Lanka is also the world’s third largest producer of black tea and the largest exporter. In order to improve the international competitiveness, the Sri Lankan government has pointed out that increasing investment in research and development of agriculture and improving the quality of their agricultural products. Under the influence of this national policy background, China can strengthen cooperation with Sri Lanka’s agricultural sector, especially in the fields of tea, coconut and rubber. Sri Lanka is the world’s leading coconut producer, and its output is second only to India, the Philippines and Indonesia. China can strengthen cooperation with Sri Lanka in coconut production and deep processing, which can increase the added value of coconuts and related products.
Modernizing infrastructure
According toSri Lankan development goals, the Sri Lankan government points out that, it should continue to strengthen its investments in developing infrastructure and increase the annual investment by 30 percent to 35 percent which in return will drive the growth of the national economy.
Upgrading domestic roads
At this stage, there are three highways in Sri Lanka that are: the southern expressway from Colombo to Matra, the Colombo Airport Expressway, and the first phase of the Colombo Expressway. According to the Sri Lanka government’s national highway development plan, highways currently under construction include the Colombo Outer circular Expressway project and the original Southern Expressway extending the original road network to Hambantota Port and Hambantota International Airport. In addition to the highways mentioned above, the highways from the Kadawata to Dambulla in the central region and the expressways from Colombo to Rathnapura are undergoing preliminary preparations. At present, China’s domestic highways are developing rapidly and the researches on road construction technology have matured. China’s railway construction began in the Qing Dynasty. After more than a century of expertise in railway construction and development, at the end of 2016, China’s railways had a total mileage of 124,000 kilometres, ranking second in the world. Among them, 25,000 kilometres of high-speed railways ranked first in the world. The national railway double-track rate and electrification rate reached 54.9 percent and 64.8 percent respectively. Strengthening cooperation with Sri Lanka railways on the one hand will help ease the slow development of the Sri Lankan railway freight mileage and solve the people’s livelihood problem in Sri Lanka; On the other hand, it will help to develop advanced technology for China’s railways and to promote the Chinese railway construction standards to the world. So the cooperation between China and Sri Lanka is win-win cooperation.
From port to city and provincial development
The Sri Lankan government has already taken measures to develop port construction and development of industrial parks with an intention to increase exports and improve the value addition of its export products. At present, the Sri Lankan government manages a number of export processing zones and it is also learned that a couple of privately-owned industrial zones are also managed. They are located in the economically developed Western and Central provinces. The port industry involves a wide range of diversified industries. In addition to the most basic loading and unloading functions of the port, there are a number of related industries, such as the maritime industry and transportation. Chinese expertise in the construction of ports and managing industrial parks is well demonstrated under the framework of ‘Shekou mode’ also known as Port-Park-City (PPC) model. Followed by China’s open reforms and economic policy by the chief architect Deng Xiaoping in 1978, Shekou, a small fishing village in Shenzhen was transformed into an industrial zone in 1979. With an area of 2.14 square kilometres and a population of few thousands, Shekou Industrial Zone was constructed by the China Merchants Group and is the first export-oriented, industrial zone. Today, the Shekou industrial zone has become an international coastal new city with a population of 400,000 and a per capita GDP of more than US$ 60,000. The first phase of the Shekou mode or the Port-Park-City mode is to build the port and mainly based on developing a multi-purpose port to accommodate large vessels to receive bulk cargo. Construction of an industrial park with logistics and an export processing zone are a few components of the next phase. This development process will end up building a modern city with facilitating technological innovations.China Merchant Holdings have used the experience of Shekou to transform African port of Djibouti making use of its geographical advantage into an international hub for maritime cargo making. At present, the Djibouti International free trade zone with an overseas park has benefited from this model which has made breakthroughs and is expected to promote local development into a ‘Shekou of East Africa’ that integrated functions of finance, logistics and trade. After the operations of the new port commences, Djibouti aims to build a modern business district which is fully equipped with commercial and tourism facilities. It is important to understand that, mega infrastructure projects such as the construction of ports and industrial parks should not only be port-centric or park-centric. These approaches may not deliver the guaranteed results but unless these become international trading hubs which will sustain in the longer run. An industrial park consist of a special economic zone will boost inward investments and trade. On the other hand, industrial parks enable connectivity to global supply chains which in return will add value to local exports and contribute to cargo generation.
PPC model
Taking the experience of Shekou and Djibouti into practice, the port of Hambantota will be built according to the PPC model. The Sri Lankan government has announced thatan investment of 3.85 billion US dollars in the southern Hambantota refinery will start its construction. A cement plant project with an investment of US$100 million was started in parallel with the refinery project. These two projects are expected to create a large number of employment opportunities and have positive implications for stimulating local economic development.
Benefitting from Chinese industrial capacity relocation
Due to lack of its resource capacity, Sri Lanka depends heavily on import of raw materials. The textile and garment industry accounts for a significant contribution to the overall industrial composition. The textile and clothing industry accounted for 45.9 percent of Sri Lanka’s major export commodities in 2015. Sri Lanka hopes to promote the development of the Sri Lankan secondary industry through an agreement with the China Free Trade Zone, especially the relatively weak manufacturing and equipment manufacturing in Sri Lanka. Industry is also a key area of Sri Lanka’s major industrial development goals. The establishment of the China-Sri Lanka Free Trade Zone will help to increase the manufacturing capacity of Sri Lanka and help the development of its secondary industry. With regard to the cooperation between China and Sri Lanka in the manufacturing sector, Sri Lanka’s industries with advantages in development at this stage are labor-intensive, especially in the textile field, and China can transfer some of its production capacity in related fields. Chinese companies intending to invest in Sri Lanka’s textile manufacturing industry should give priority to areas in Sri Lanka where the transportation is convenient, where the population density is relatively high, and the southern provinces, and at the same time they negotiate details with the relevant departments of Sri Lanka and have targeted investment options. Today, China occupies a leading position in the global textile industry. It is not only the country with the largest production scale but also the country with the most complete industrial chain with prominence to global value chains.Data show that in 2017, China’s chemical fiber production reached 4,915,500 tons, accounting for more than 70 percent of the world’s total; the total production of garments The total production of garments accounts for 28.78 billion which is equivalent to 6.89 garments per person. As a traditional industry of the ‘Silk Road’, China’s textile industry is actively integrated into the BRI actively establishing cooperation with countries along the belt and road realizing the internationalization of productivity and supply chain through green investment, through raw materials, brands, Cross-regional cooperation in resources such as channels and R&D to achieve cooperation and development with Sri Lanka.
Chinese tourism-led growth
Sri Lanka’s natural and cultural tourism resources are abundant. Before the end of the civil war, the development of the country’s inbound tourism was slow and was less- attractive to the foreign market. Soon after the end of the war, Sri Lanka’s tourism industry began to recover becoming the most famous destination in the whole of South Asia. With the increase of the awareness of the potential merits highlighted in China’s belt and road initiative, Sri Lanka has made a positive response and is willing to support the initiative. In May 2016, China and Sri Lanka signed a memorandum of cooperation in tourism. It should be noted that, China is the world’s largest outbound tourist market which can allow countries like Sri Lanka to gain access to the world’s largest outbound market. The Sri Lankan government could introduce more favorable reforms to improve the quality of its tourism industry to attract high-end tourists around the world. Similarly, China is the second largest tourist source market for Sri Lanka. With the concept of BRI coastal and ocean tourism has set off a new wave in China. The long-standing friendship among China and Sri Lanka has promoted the enthusiasm of Chinese tourists to select Sri Lanka as a must-see tourist destination in South Asia.Sri Lanka has beach tourism around the sea in terms of natural tourism resources, alpine tea garden tours, gem tours, historic culture of Buddhism in cultural tourism, ancient colonial ruins, local ethnic culture, dance and musical heritage few other aspects. Each has its own characteristics and is one of the key industries in Sri Lanka. So the development and construction of new tourist attractions are also the focus of national development. Tourism is a comprehensive industry, which is will promote the progress of a series of related industries. Transportation infrastructure, hotels, restaurants, communications and private services will all be driven to a certain extent. The national goal of Sri Lanka is to develop a service-oriented economy and tourism will greatly promote the progress of a series of related industries including the service industry. Chinese related companies intend to invest Sri Lanka and can adapt to the trend of tourism development to invest in the development and construction of new tourist attractions. In line with the current state of aviation and transportation development in Sri Lanka, it is recommended that Chinese companies choose to travel in the east and south. In the past five years, China and Sri Lanka have made important progress in negotiating and joining hands for the belt and road initiative. Sri Lanka is located in the middle of the Silk Road and has a very advantageous geographical position. The proposal of the Belt and Road strategy is a good opportunity for Sri Lanka. China’s current development is like a fast-moving train with clear goals and a bright future. The Chinese people open their hands and open their doors to welcome people from all countries, including Sri Lanka, to take advantage of China’s development to achieve common development. China welcomes to work hand in hand to jointly build a grand blueprint for the Belt and Road and jointly build a community of shared destiny among both.
Source: Daily Mirror
Viscose-rayon is expected to be the next big thing in sustainable fashion fabric, as its production involves lower carbon emissions and zero deforestation, its Indonesian producer, Asia Pacific Rayon, said in Jakarta on Thursday.Producing viscose-rayon, a new type of biodegradable fabric, is part of APR's efforts to transform the company abd make it to be more sustainable. Production of the textile from start to finish is environmentally friendly, Cherie Tan, vice president of communication and sustainability at APR, said at the Indo-Intertex fashion and textile exhibition at JIExpo Kemayoran in Central Jakarta. "Many countries are now looking for an alternative to single-use plastics, and they are looking for natural options. Viscose is a good alternative because it is a natural raw material that's also biodegradable," Cherie said. APR had just started their viscose production using all-wood raw materials made to international certification standards. Most of the raw materials come from their sister company, the APRIL Group. "April manages the plantation [where the raw materials are procured]. In 2015, April made a strong 'no more deforestation, no more [land] expansion' commitment. They now have a 'one for one' policy, for every hectare of plantation they manage, they also conserve and restore one hectare of forest," Cherie said. To raise awareness of their new product, APR has been trying to get local fashion designers to use viscose-rayon as part of their collections. They also launched the "I Love Viscose" campaign in collaborations with fashion schools in Indonesia. "We want to share more of our story, about April's sustainable forest management, about the work we've been doing for certification and plantation management, and about our efforts to be totally transparent in showing the full traceability of our viscose [materials]," Cherie said. APR also looks forward to help meet the government's Industry 4.0 goals by making the material much more accessible to manufacturers in Indonesia. "How we can support the [Industry] 4.0 agenda is by ensuring we produce enough raw materials in Indonesia, for the Indonesian market. Our goal is to make us less reliant on imports," Cherie said. Three areas have to be managed expertly if viscose production is to be sustainable: pulp-sourcing – making sure that pulp is produced sustainably and does not contribute to deforestation; supporting international certification standards including the International Sustainability and Carbon Certification (ISCC) and Program for the Endorsement of Forest Certification (PEFC); ensuring that the manufacturing of raw materials for viscose is also sustainable by lowering emissions; and improving engagement and relationship with local communities. APR has already formed plans to collaborate with garment producers in the future, but for now it is focusing on starting production smoothly in its new factory in Riau. "To start our operation smoothly, we must focus on the quality of our product, the service we give to our customers and keep working on new innovations, while never forgetting the sustainability principle," Cherie said.
Source: Jakarta Globe
The Ministry of Commerce & Textile (Textile Division) and Small and Medium Enterprises Development Authority (SMEDA) has signed a agreement for the establishment of 150 industrial stitching units across the country under Phase-1 of the project, said a press release issued here on Monday. The Ministry of Commerce & Textile (Textile Division) and Small and Medium Enterprises Development Authority (SMEDA) has signed a agreement for the establishment of 150 industrial stitching units across the country under Phase-1 of the project, said a press release issued here on Monday. Senior Joint Secretary, Ministry of Commerce & TextileMasoodul Hassan Qureshi and General Manager Out-Reach (GMOR), SMEDA, Javed Iqbal Khattak signed the agreement on behalf of their respective organizations. The agreement signing ceremony was held in SMEDA Head Office, Lahore. Other those present on the occasion were included Chaudhry Ahmad Mansoor (GM-Monitoring), Nadia Jehangir (GM-Policy Planning) and Shehryar Tahir (DGM). The Phase-1 of the project, the establishment of 150 industrial stitching units (ISUs) will costRs.350.545million and complete in three years. Under the agreement, SMEDA will implement the project as per its own policy and procedures and according to the approved PC-1. It will design an operation manual for the project and shall not sublet the implementation of the project to any other party/department/ executing agency, but execute the project as per its mandate and policy. The authority will place the project staff including SMEDA officials engaged with the project throughout Pakistan at provincial and regional offices to monitor and supervise the implementation of the project. The agreement will be for a period of 3 years commencing from the date of its signing and it is extendable automatically for another period of same duration unless notice of termination is served from either party. Talking to this scribe, an official of SMEDA said that the project has been envisaged to promote public private partnership to boost the value addition in the field of textile garments by establishing industrial stitching units by strengthening small and medium entrepreneurs. In this project 50% funding for the machines will be provided from PSDP through the said project by the Ministry of Commerce and Textile and 40% would be borne by the owner of the stitching units. The Project Management Unit (PMU) will be established at SMEDA Head Office, Lahore. The objectives of the project are the poverty reduction; improvement in socio-economic conditions of the target community; enhancement in self-employment through skill development; export promotion through value addition by improving competitiveness of textile sector in garment manufacturing sub-sector; empowerment of female population through skill development and their participation in economic activities; up-gradation of textile industry by subsidizing machinery for the new entrepreneurs and existing manufacturers; technology up-gradation; improvement in quality of garments products; human resource development in textile sector and creation of over 26000 directly jobs and 100,000 indirect jobs wherein young male and female will be employed in the field of textile garment manufacturing to promote value addition in garment sector and earn livelihood as well as foreign exchange for the country.
Source: Urdu Point
