The government has identified hundreds of products including electronics, toys, blankets and several daily-use items for possible “import substitution” by discouraging their shipments into the country. While a detailed list of products has been prepared by the commerce department, which is spearheading the move, a final decision will only be taken in consultation with other government agencies. The strategy to check imports could be multi-fold, including an increase in import duty to prod global players to set up shop in India and provide protection to domestic industry that may be currently manufacturing it. Besides, a list of products are also being discussed for possible safeguard action by the Directorate General of Trade Remedies, including products such as iron and steel among 100-150 items that are under scrutiny. While the commerce department has been seeking standards for a host of items to check imports from China, its suggestions have found few takers even within the government with some of the ministers themselves opposing it. Import substitution has been a key theme of commerce and industry minister Piyush Goyal ever since he moved into Udyog Bhawan in June. He along with some of his colleagues in the government such as MSME minister Nitin Gadkari sees it as part of the ‘Make in India’ strategy, which will also help exports in the long run. India has a poor export performance to show during the last five years, although the government has blamed global demand for it. Critics are, however, arguing that the entire plan, where repeated rounds of discussions have also taken place, could come a cropper if the government goes ahead with the signing of the Regional Comprehensive Economic Partnership (RCEP), the proposed free trade agreement between the ASEAN countries, China, Japan, South Korea, Australia and New Zealand as India will allow duty free import of 80-90% goods at low or zero duty. At the same time, a knee-jerk response by raising import duty or other restrictions on products is also fraught with other risks. For instance, the department is now realising that it may have erred in putting curbs on agarbatti and related product imports as it may be detrimental to the interests of domestic players. Similarly, higher import duties on some of the electronic products have resulted in discouraging imports from several countries but higher shipments from Vietnam, which is part of Asean and has a free trade agreement with India. As a result of the move, companies such as Samsung, which have sought to position themselves as champions of ‘Make in India’, are now sourcing more of their products from their factory in Vietnam.
Source: Economic Times
India’s trade deficit with the RCEP nations taken together is $105 billion, with the lion’s share being accounted for by China. The government has taken a policy decision that it will not walk out of the RCEP negotiations, which are supposed to be finalised later this week. Paradoxically, this decision could place it in a tougher bargaining position as other RCEP nations — China, ASEAN nations and Australia — are sticking to their guns on getting India to agree to deep tariff cuts in a host of areas including sensitive sectors such as textiles. “We had suggested an early trigger mechanism, which could allow us to raise tariff substantially in case of a surge in imports of a particular line. However, neither the domestic industry nor our trading partners are showing much interest. The domestic industry said it is not a suitable mechanism, while partner countries say it is too late to introduce the clause,” said commerce ministry officials. The commerce minister is expected to lead a team to Bangkok later this week to put final touches to the Regional Comprehensive Economic Partnership (RCEP) pact being negotiated among 10 ASEAN members and their six trading partners including China, Japan, India and Australia. Several Indian industries including textile and dairy have warned against opening up their sectors. India’s trade deficit with the RCEP nations taken together is $105 billion, with the lion’s share being accounted for by China. India has free trade pacts with ASEAN nations, Japan and South Korea and its experienced industry bodies have pointed out that an increase in the volume of exports by these countries to be the detriment of India. The most crucial negotiations on market opening up with China remains stuck mainly on account of India’s fears that its trade deficit with China will go up and Commerce Minister Piyush Goyal and his team are expected to try and sew this up. However, attempts to stall the opening up of Indian textile and dairy markets, which Indian negotiators thought would be acceptable to other RCEP members seems unlikely as informal sounding with negotiators from these countries show that they are not in the mood to concede to all of India’s demands.
Source: Indian Express
Both leaders may announce more confidence- building measures at the informal summit at Mamallapuram. India and China are likely to announce additional confidence building measures to strengthen relationship between the two countries when Chinese president Xi Jinping and Prime Minister Narendra Modi meet in Mahabalipuram later this week. But no new agreements are expected to be signed, a government official has said. The timing of Xi’s visit to India, scheduled on October 11-12, is important as it is is taking place right after his meeting with Pakistan’s Prime Minister Imran Khan in Beijing and concurrently with the crucial meeting of Trade and Economic Ministers from countries negotiating the ambitious Regional Comprehensive Economic Partnership (RCEP) pact including the ASEAN, India, China and three others in Bangkok. “The objective of the India-China Summit in Mahabalipuram is the same as that of the first bilateral Informal Summit in Wuhan in April 2018. The aim is to build contacts at the highest level. We do not expect any MoU or agreement signing,” the official told BusinessLine. While on paper the agenda of the meet appears simple, it is actually nuanced and complex with both countries eager to push their interests. China, which is fighting a long and fierce trade war with the US, is keen that India agrees to ambitious market opening commitments at the RCEP so that it has tariff-free entry into the country’s market and has uninhibited access to the entire bloc which also includes the ASEAN, Japan, South Korea, Australia and New Zealand. “New Delhi has not yet been able to agree to the steep demands for market access being put forward by most of the RCEP members including China. Xi is likely to try and convince Modi to take the plunge,” a Delhi-based trade expert said. The reason for India's indecision at RCEP is the fact that almost all industrial sectors ranging from plastics and chemicals to steel and engineering goods are against lowering of tariffs, especially from China, as they fear a surge in cheap imports. Farmers and the dairy industry, too, are up in arms against opening up of their sectors. At the bilateral meet, India is likely to use the opportunity to press for the full implementation of the earlier set of confidence building measures agreed to between the two leaders which included bridging of the yawning trade gap between the two countries. Although the trade gap, in Beijing’s favour, has come down to $ 53 billion in 2018-19 from over $60 billion a year before, it still accounts for almost a third of India’s total trade deficit with the world. “After the Wuhan meet, China had agreed to import a number of items from India such as sugar, soyabean and buffalo meat, but more progress is required in the talks. Indian officials will take up the pending trade issues with Chinese officials who will accompany the Chinese President,” another official said. The reason why Mahabalipuram, near Chennai, was chosen as the venue for the talks is the fact that it is a world heritage site and there has been a historical connect between Southern India and China. “There used to be a lot of trade with China during the rule of the Pallava and Chola dynasties. President Xi is interested in history and culture. And Mahabalipuram also has appropriate logistics facility. So, it was felt that it would be an ideal venue,” the official said.
Source: The Hindu Business Line
The Indian government expects the economy to grow by 6.5 per cent this fiscal and all efforts are focused on bringing India to a higher growth trajectory, according to NITI Aayog vice chairman Rajiv Kumar, who recently said announcements over the last two months and the Reserve Bank of India’s (RBI) fifth consecutive rate cut are indications of that target. “We do want to have this growth rate which will probably end about 6.5% this year which is lower than what we expect, to go up to 8 per cent sooner rather than later,” said Kumar, at the India Economic Summit organised by the World Economic Forum and the Confederation of Indian Industry (CII) in New Delhi last week. The RBI last week cut rates by 25 basis points, bringing the repo rate to 5.15 per cent, the lowest since March 2010. The RBI also cut its gross domestic product (GDP) growth forecast to 6.1 per cent from 6.9 per cent. The RBI has cut repo rates by 135 basis points, cutting rates in every policy meetings this year. One basis point is one hundredth of one per cent. Kumar said there would be a lot more announcements on ease of doing business and that the government is aware of and working on issues faced by the industry, particularly around logistics and high energy costs, according to Indian media reports. Two more labour codes would come out in the next parliament session, he said.
Source: Fibre2Fashion
The Tamil Nadu State Commission for Women conducted a hearing here on Wednesday to elicit views of workers and employers on its draft guidelines related to workplace safety, dignity, and security of women in textile and garment units. R. Karuppuswamy, Director of Rights Education and Development Centre, told presspersons that the Commission constituted a committee last year to study and come out with guidelines related to employment of women in textile and garment units. The committee has released the draft guidelines. A meeting was held with the workers here on Wednesday morning and with representatives of employers’ associations in the afternoon. Meetings will be held with workers in Erode and Tiruppur on Thursday. Similar meetings will be organised in Salem and Namakkal areas in the first week of November. The guidelines are likely to be finalised by the end of this year. A member from the employers might be added as member of the committee too.
Source: The Hindu
The Modi-Xi informal summit is a good time to analyse the economic capacity of China, especially the role of manufacturing sector, in powering the country and its positioning in the China-India dynamics. Anticipation mixed caution prevails in the run up to the second informal summit between Chinese President Xi Jinping and Prime Minister Narendra Modi at the south Indian coastal town of Mamallapuram, in Tamil Nadu, this weekend. Given that the jury is still out on whether any substantive and tangible deliverables have been achieved from the first such exercise at Wuhan, in China, in May 2018, such an approach is understandable. The optics of the meeting between the two leaders is expected to be political and strategic, even though economics looms as signifier for the relations of both countries in the background. Perhaps, it is a good time to analyse the economic capacity of China, especially the role of manufacturing sector, in powering the country and its positioning in the China-India dynamics. The manufacturing base in China was largely the result of the invigoration of the economy after the 1978 reforms, with the focus on attracting foreign investments, especially in the coastal provinces. Along with the aim of getting foreign capital, the Chinese diaspora along with businesses based in Taiwan and Hong Kong, were also targeted of these investment policies. Over the years, the rise of the Chinese economy was on the wings of the industrial production and development. While the bulk of heavy industry is under State-Owned Enterprises (SOEs), an increased proportion of manufacturing also falls in light and consumer-oriented firms, which are either private or joint ventures. With deepening diversification, the industrial pace picked up in 1990s, with the development of automobile, electronics, and semiconductors, along with steel, cement, metallurgy and textiles. A cursory glance through the Indian market is enough to understand why the sobriquet ‘Factory of the World’ fits for China — such is the range of myriad consumer goods tagged as ‘Made in China’. Intricately connected with the global value chains, the manufacturing sector in China has often been considered robust. This purportedly successful industrial development model has been offset with significant challenges. That the real essence of the Belt and Road Initiative (BRI) was to find a fix for industrial and infrastructural overcapacities, is a well-acknowledged fact. With the rise of labour costs in the mainland along with the increasing worker protests, mainly in south China — the industrial hub of the country — due to despotic labour regimes in workplaces, manufacturers are grappling with either automating labour-intensive industries or move them to newer locations like Southeast Asia. Further, the US-China trade war over the last one year has compounded in the slowing of economic growth resulting in the shrinking of the manufacturing sector. In fact, the trade war has also impacted the Made in China 2025 project, at least in terms of its active pronouncements and projections. These need to be contextualised while probing the dynamics and possibilities for China’s manufacturing sector to make forays in India. There has been a spike in investments by Chinese companies in electronics (mainly mobile phones), home appliances, and automobiles, along with the tech sectors. The lion’s share of Chinese investments in India are private companies, thereby highlighting the reticence towards big ticket SOEs, and dawning the realisation that a good amount of such partnerships take place outside the purview of government-to-government engagements. However, these partnerships and investments are not necessarily the markers for the whole manufacturing sector, as there exist multiple humps on the road for both countries. The increasing clamour among sections of the Indian business and political elite —enamoured by the glitter of China’s advancement —to ‘transplant’ the Chinese model in Indian settings, is oblivious to the inherent problems on both sides. The avowed ‘win-win’ as often bandied by the Chinese doesn’t translate into reality when it comes to technological transfer or knowledge sharing. Doubts exist in the count on employment creation, as Chinese enterprises abroad mostly seek have technical and supervisory/managerial personnel only from the mainland, thereby hiring local workers only for other routine and auxiliary tasks. This is often justified in the name of ‘work culture’ and ‘efficiency’. Further, they view the regulative environment, with complex labour laws, discouragingly. The suppression of labour rights, is an inherent part of the ‘Chinese model’, and is even visible in subcontracting firms, as illustrated by developments at this phone manufacturing facility Delhi NCR; the export of this exploitative model is well documented in Southeast Asia. Clearly, there are enough warts are always cheek by jowl with the gloss.
Source: Money Control
The excessive dependence of our big export industries on markets in the West is fraught with risk. Twenty years into what has been called the Asian Century, it is quite clear where global trade is headed. Yet, Indian companies remain focused on the West. A recent discussion paper, The Future Of Asia: Asian Flows And Networks Are Defining The Next Phase Of Globalization published by McKinsey & Co., states that Asia is increasingly the centre of the world economy and, by 2040, could account for more than half of global gross domestic product (GDP) and about 40% of global consumption. This shift comes on the back of increasing integration and regionalization in Asia, with 60% of the goods traded by Asian economies being within the region. We are seeing what Parag Khanna, managing partner of FutureMap, in his latest book, The Future Is Asian, calls “Asianizing". As he explains in an interview, “If you want to be a successful global company, you cannot make the statement, ‘I am a successful global company’, unless you are a big deal in Asia." (mck.co/2VswOEf) Sadly, India continues to be among a handful of nations such as Bangladesh, Pakistan and Uzbekistan that have historically had low integration with the rest of the region. Even the best Indian companies have made little effort to seriously explore Asian markets, especially China and Japan. India’s biggest export sectors, such as auto components, textiles and IT services, are concentrated in the US and Europe. According to data from the Automotive Component Manufacturers Association of India (ACMA), in 2018-19, Europe accounted for 33% of India’s exports of components, followed by North America. Nor has India’s most export-oriented industry—IT services—been able to crack the Asian puzzle. The US is its top destination, with the UK next. This kind of concentration is fraught with risk. In the past, once-promising export sectors such as garments saw growth disappear once their primary markets, the US and Europe, imposed higher tariffs. What’s more, both these markets are going through an upheaval and uncertainty surrounds business prospects. In Europe, Brexit looms. In the US, despite protestations of bonhomie between the world’s two big democracies, the Donald Trump administration’s tweaks of the H-1B visa programme suggest difficult days ahead for Indian IT firms at a time when they also face competitive headwinds. According to the World Trade Organization’s World Trade Statistical Review 2018, while India’s share in information and communication technology services exports globally fell from 47% in 2008 to 42% in 2017, Ireland logged the best export performance among top traders in 2017 (up 20%), mostly as a result of rising exports of computer services, which now account for almost half its service exports. With decades of experience in global markets, back-end systems and processes configured to meet the most exacting standards, Indian IT companies need to be at the forefront of any concerted push into Asia, which, with Japan and China, is now home to the second and third-largest IT services markets in the world. Admittedly, access to both markets has been difficult, partly because of language and culture issues, but also because of significant non-tariff barriers. China’s exports to India account for nearly 80% of the two-way trade between the countries, while in case of Japan, the figure is 60%, though that is partially offset by massive Japanese investment in India. For various reasons, India hasn’t been able to exercise much influence on Chinese imports. Thus, India imports 90% of its bulk drugs from China, though it accounts for just 20% of the volume of global generic drug exports. While Indian telecom firms seem keen to use the beleaguered Chinese company Huawei’s hardware, they have no access to China’s vast mobile telecom market, worth nearly $200 billion this year with some 1.5 billion subscribers. There is another reason why Indian companies need to look at China. Chinese companies are evolving new marketing models that Indian companies could gain from. In a recent Harvard Business Review article (bit.ly/2GOyMYJ), Kimberly A. Whitler, an assistant professor of marketing at the University of Virginia’s Darden School of Business, writes, “Chinese marketers have developed a unique approach tailored to China’s mobile-first consumer. It relies on the creation of shareable, viral content and the presence of dominant, channel-straddling media giants. It is faster, cheaper, and in some respects more effective than the traditional Western marketing paradigm." After years of aping Western models of business, it may be useful to consider a structurally different archetype, one that is rooted in an entirely different culture with behaviour patterns that don’t necessarily follow those of Western consumers. In the face of a bruising trade war with the US, China has been looking to win other markets for its production surpluses in various sectors by negotiating trade barriers. The Indian government has rightly held out on negotiations for the Regional Comprehensive Economic Partnership trade pact on the grounds that its own demands for lower duties and easing of restrictions on the cross-border movement of professionals need to be addressed first. This may be as good a time as any to press the Chinese to give Indian companies access to such markets as IT services, auto and pharma. The companies, in turn, must be ready to do battle in the land of the dragon.Sundeep Khanna is a former executive editor of Mint
Source: Live Mint
To boost skill development at the district level, the Ministry of Skill Development and Entrepreneurship (MSDE) today signed a contract with the Indian Institute of Management (IIM) Bangalore for introducing a two-year fellowship programme Mahatma Gandhi National Fellowship (MGNF) programme. The contract was signed in the presence of Shri R. Subrahmanyam, Secretary, Dept. of Higher Education, Ministry of Human Resource Development, GoI, Dr. K P Krishnan, Secretary, Ministry of Skill Development and Entrepreneurship,Shri G Raghuram, Director, IIM, Bangalore, Mr. Junaid Ahmad, Country Director, World Bank, and officials from the Ministry of Skill Development & Entrepreneurship, GoI. The program has been developed under the able guidance and leadership of Dr.Mahendra Nath Pandey, Minister for Skill Development and Entrepreneurship; who has given a renewed focus to skill development at the district level, since his joining at the Ministry. Designed under Skills Acquisition and Knowledge Awareness for Livelihood Promotion (SANKALP) the fellowship aims to address the challenge of non-availability of personnel for implementation of various programmes at national, state and district levels. The MGNF programme has an in-built component of on-ground practical experience with the district administration. Launched on a pilot basis in 75 districts across Gujarat, Karnataka, Meghalaya, Rajasthan, Uttar Pradesh and Uttarakhand, eligible fellows for the programme have to be in 21-30 years age-group, have a graduation degree from a recognized university and be citizens of India. Proficiency in official language of state of fieldwork will be mandatory. Commenting on the partnership, Dr. KP Krishnan, Secretary, Skill Development and Entrepreneurship,said, “A dearth of individuals who can implement and manage skill development programmes at the grass roots level is a deficit we seek to address with this fellowship programme with IIM Bangalore. MGNF seeks to create a cadre of young individuals and train them in a blended academic programme that provides both academic inputs and a component of field immersion at the district level. Besides allowing for an immersive experience to fellows under the programme, MGNF will also be an attractive proposition for those who wish to eke a career in public policy. It is only fitting that we have launched this programme on the 150th birth centenary of Gandhi ji who was strong believer in decentralized planning.” “Through this endeavour we are ensuring participation of a larger community for local merit good and we are certain that this program will attract great talent which will further strengthen the skill component at the district administration level,” he further added. Shri R. Subrahmanyam, Secretary, Department of Higher Education, Ministry of Human Resource Development, said, “Today, our nation's youth is willing and is anxious to contribute to our nation building exercise and to the society at large. It has to be our effort to ensure that they are given the right opportunities to extend their support. This is a great initiative by MSDE and I am sure that it will see through all the challenges at the district level and come out to be a great outcome based program.” In the course of their training, fellows will work under the close supervision of state skill development missions (SSDM) and will spend time and effort in understanding skilling challenges and gaps in the district.They are expected to enrich skilling programmes by bringing in fresh thinking to local planning, execution, community interaction and outcome management.Fellows will receive a stipend of Rs. 50,000 in the first year and Rs. 60,000 in the second year. On completion of their engagement, they will be awarded a Certificate in Public Policy and Management from IIM Bangalore. Shri G Raghuram, Director, IIM, Bangalore, said, ““The Mahatma Gandhi National Fellowship programme is aimed to identify and train a group of young, committed and dynamic individuals, who will leverage the IIMB ecosystem in management, entrepreneurship and public policy and work with the district administration in strengthening the process of skilling to create a vibrant local district economy. Its unique design will allow the Fellows to take academic learning at IIM Bangalore and use it in the field under faculty mentorship with the goal of understanding challenges and barriers that the district ecosystem faces in fostering growth and development.” Launched by the Government in January 2018, SANKALP is a World Bank loan assisted project that aims to strengthen institutional mechanisms for skill development and increase access to quality and market-relevant training for youth across the country. Four key result areas have been identified under SANKALP viz: (i) Institutional Strengthening; (ii) Quality Assurance; (iii) Inclusion; and (iv) Expanding Skills through PPPs.
Source: PIB
The meet is aimed at attracting investments in logistics, warehousing space, agro-processing, tourism, pharma, information technology, textile and other sectors. The first investors' summit of 9- month-old Congress-led government in state christened Magnificent Madhya Pradesh" to woo investments will be organised here on October 18. The meet is aimed at attracting investments in logistics, warehousing space, agro-processing, tourism, pharma, information technology, textile and other sectors. After the introduction of Goods and Services Tax (GST), we want to develop the state into a hub of logistics and warehousing sector, chief secretary RS Mohanty told reporters. He said that the summit focuses to attract investments in agro-processing, tourism, pharma, IT, renewable energy, fast-moving consumer goods, artificial intelligence, cement manufacturing and mining sectors. Mohanty said, "We have tailored 10 industrial policies for as many sectors, according to the wish of investors, instead of one for all. "We have more than 25,000 hectares of land available at different places in our land bank for new industrial investment. If needed, more land can also be arranged for investors," he said.
Source: Money Control
India’s foremost trade promotion organization for the export of handwoven products from India will attend the International Sourcing Expo Australia for the eighth consecutive year, furthering solid industry links and cooperation between the Australian and Indian governments in relation to textiles and fashion, says a recent press release. HEPC Handloom India, Sourcing Expo AustraliaFigure: India’s foremost trade promotion organization for the export of handwoven products from India will attend the International Sourcing Expo Australia. Handloom Export Promotion Council (HEPC) initially exhibited at the expo with ten participants in 2012. With a contingent of 20 signed up for the show at the Melbourne Convention and Exhibition Centre in November, they will once again be a welcome addition to International Sourcing Expo. As the 8th largest importer of handwoven textile products from India, Australia is an attractive market for HEPC’s members and the Indian handwoven sector with its wide range of exportable products and has the potential to further improve its market presence. “The product profile of the exhibitors under the aegis of HEPC has evolved from the initial phase of participation offering just an exclusive home textile range of products to the current participants offering the whole gamut of all textile products including an entire range of home textiles such as coir products, clothing, accessories and garments. Initially, we were exhibiting with 10 participants and this has doubled to 20 exhibitors,” Dr. S.B Deepak Kumar, IAS, Executive Director, HEPC said.
HEPC Indian handloom
Organizers from IEC Group Pty Ltd welcome the increased participation from HPEC and see it as a sign of the show’s steady growth. “The Handloom Export Promotion Council plays an important role in International Sourcing Expo Australia by helping local buyers connect with the right Indian suppliers for sourcing handwoven products from India. We are delighted to see their participation continue and grow year on year,” Julie Holt, Global Exhibitions Director, IEC Group Pty Ltd said. IEC Group Pty Ltd anticipates more than 4,000 trade visitors will visit International Sourcing Expo and co-located Footwear and Leather Show Australia. Along with China Clothing Accessories Textiles Expo, which is held concurrently, more than 700 textile, apparel and footwear manufacturers and agents from 20+ countries will exhibit at the Melbourne Convention & Exhibition Centre from November 12-14 2019. The trade-only event will showcase exhibitors from China, India, Bangladesh, Pakistan, Hong Kong, Fiji, Indonesia, Vietnam, South Africa, United Arab Emirates, Peru, Taiwan, Turkey, Thailand, Vietnam, Australia, and the USA. To register to attend International Sourcing Expo Australia and the co-located Footwear and Leather Show Australia,
Source:Textile Today
Bucking economic slowdown, Japanese fashion retailer Uniqlo clocked sales of Rs 2.2 crore in the first two days of opening its maiden store in the country in Delhi last week, according to people aware of the matter. Although Uniqlo's first day sales of around Rs 1.2 crore pale in comparison to the Rs 1.75 crore reported by Sweden's Hennes & Mauritz (H&M) in 2015, market watchers termed Uniqlo's figure "impressive" since it came in the middle of a slowdown, when consumers are cutting spending on everything from fashion to cars. Uniqlo, Japan's largest fashion brand, opened its first store in India for public on Friday, offering competition to Spain's Zara and H&M. A spokesperson for Uniqlo did not answer specific questions on business the store generated on the first two days but said the company was "thrilled with the response from Indian customers, especially with the feedback our store received directly over the opening weekend." The 35,000-sq ft in Vasant Kunj’s Ambience Mall, spread over three floors, is the first of the three outlets Uniqlo has announced to open in the country in the initial phase. In the coming months, the Japanese retailer plans to open two more outlets in the National Capital Region, one in DLF Avenue Mall in Saket and another smaller version in DLF CyberHub in Gurgaon. India is the third country that the flagship label of Tokyo-based Fast Retailing is entering this year, along with Italy and Vietnam. Over the decades, Tadashi Yanai, founder of Fast Retailing, has transformed his father’s small clothing shop business into one of the world's largest fashion powerhouses. In 1984, in Hiroshima, he founded Unique Clothing, which is currently known as Uniqlo. Uniqlo operates more than 2,200 outlets in 23 countries, including China, the US, Europe, Australia and Southeast Asia. Tokyo-listed. Fast Retailing reported revenue of $19 billion and profit of $1.4 billion for fiscal 2018. "Fast Retailing has long wished to open stores in India, in view of the tremendous potential of a nation of 1.3 billion people that generates annual GDP growth of 7% and has an average age of 27," Yanai, who is also the richest businessman in Japan, said at the time of store inauguration. In an interview to ET in June, Yanai had said that India will be Uniqlo's fastest growing market in the coming decades.
Source: Economic Times
|
Item |
Price |
Unit |
Fluctuation |
Date |
|
PSF |
1000.21 |
USD/Ton |
-0.42% |
10/9/2019 |
|
VSF |
1501.02 |
USD/Ton |
0% |
10/9/2019 |
|
ASF |
2146.61 |
USD/Ton |
0% |
10/9/2019 |
|
Polyester POY |
1054.77 |
USD/Ton |
-0.26% |
10/9/2019 |
|
Nylon FDY |
2336.16 |
USD/Ton |
-0.30% |
10/9/2019 |
|
40D Spandex |
4042.82 |
USD/Ton |
0% |
10/9/2019 |
|
Nylon POY |
2196.27 |
USD/Ton |
0% |
10/9/2019 |
|
Acrylic Top 3D |
2280.21 |
USD/Ton |
0% |
10/9/2019 |
|
Polyester FDY |
1175.08 |
USD/Ton |
-0.59% |
10/9/2019 |
|
Nylon DTY |
2559.99 |
USD/Ton |
-0.54% |
10/9/2019 |
|
Viscose Long Filament |
5287.84 |
USD/Ton |
0% |
10/9/2019 |
|
Polyester DTY |
1279.99 |
USD/Ton |
-0.54% |
10/9/2019 |
|
30S Spun Rayon Yarn |
2140.32 |
USD/Ton |
0% |
10/9/2019 |
|
32S Polyester Yarn |
1622.72 |
USD/Ton |
0% |
10/9/2019 |
|
45S T/C Yarn |
2406.11 |
USD/Ton |
0% |
10/9/2019 |
|
40S Rayon Yarn |
2406.11 |
USD/Ton |
0% |
10/9/2019 |
|
T/R Yarn 65/35 32S |
2014.42 |
USD/Ton |
-0.35% |
10/9/2019 |
|
45S Polyester Yarn |
1776.60 |
USD/Ton |
0% |
10/9/2019 |
|
T/C Yarn 65/35 32S |
2252.23 |
USD/Ton |
0% |
10/9/2019 |
|
10S Denim Fabric |
1.24 |
USD/Meter |
0% |
10/9/2019 |
|
32S Twill Fabric |
0.68 |
USD/Meter |
0% |
10/9/2019 |
|
40S Combed Poplin |
0.96 |
USD/Meter |
0% |
10/9/2019 |
|
30S Rayon Fabric |
0.57 |
USD/Meter |
0% |
10/9/2019 |
|
45S T/C Fabric |
0.66 |
USD/Meter |
0% |
10/9/2019 |
Source: Global Textiles
Note: The above prices are Chinese Price (1 CNY = 0.13989 USD dtd. 09/10/2019). The prices given above are as quoted from Global Textiles.com. SRTEPC is not responsible for the correctness of the same.
Vietnam spent over 9.7 billion U.S. dollars importing cloth in the first nine months of this year, posting year-on-year increase of 3.2 percent, according to the country's Ministry of Industry and Trade on Wednesday. Its largest import market of cloth was China, followed by South Korea and Japan. Between January and September, Vietnam imported more than 1.1 million tons of cotton worth roughly 2.1 billion U.S. dollars, down 7.8 percent in volume and 12.2 percent in value. The country also spent more than 1.8 billion U.S. dollars importing 822,000 tons of yarn in the same period, up 3.8 percent and 7.8 percent, respectively. In 2018, Vietnam poured 12.9 billion U.S. dollars in importing cloth, up 13.5 percent, over 3 billion U.S. dollars in importing cotton, up 28.5 percent and 2.4 billion U.S. dollars importing yarn, surging 32.7 percent. Vietnam reaped 30.4 billion U.S. dollars from exporting garments and textiles last year, up 16.6 percent against 2017, mainly to the United States, Japan and China, according to the country's General Statistics Office.
Source: Xinhua
The textiles and jute ministry has urged the finance ministry to increase by five percentage points the cash incentive for the export-oriented jute and jute goods. It requested the finance ministry to raise the cash incentive for jute yarn and twine to 12 per cent from the current seven per cent. It also urged the finance ministry to increase the cash incentive for the export of hessians and sackings to 17 per cent from 12 per cent and to raise it for export diversifying jute products to 25 per cent from 20 per cent. Textiles and jute ministry officials told New Age on Tuesday that they made the demand to the finance ministry last month in a bid to bolster export of the items. The Bangladesh Bank on September 22 announced cash incentives against export of products under 37 categories, including one per cent additional special incentive for readymade garment products, for the current fiscal year of 2019-20. Textiles and jute secretary Mohammed Belayet Hossain said they were now negotiating with the finance ministry for an increase in the cash incentive by five percentage points. Last month, textiles and jute minister Golam Dastagir Gazi met the finance minister to discuss the demand over the cash incentive, he said. Ministry officials think that the increase would help the export of jute and jute goods bounce bank, Belayet said. He said the export income from jute and jute goods declined by 22.41 per cent in last fiscal year compared with that in the previous fiscal year. He said the main reason for a decline in the demand for jute and jute goods was the devaluation of currencies in African countries against the US dollar. He said state-owned Bangladesh Jute Mills Corporation could ship out 29,030.30 tonnes of jute goods in 2018-19 whereas the amount was 86,678.00 tonnes in 2017-18. Belayet said that jute goods exporters were not enjoying privileges the country’s readymade garment exporters were enjoying although value addition of jute and jute goods were 100 per cent. Besides, jute goods exporters have not received loan support from banks on easy conditions and one-stop-service facility, he said. Policy Research Institute executive director Ahsan H Mansur said cash incentive was not a good option for increasing export performance. He suggested trying alternative options like devaluation of currency and tax break. The exchange rate of the local currency, taka, against the US dollar is hovering at around Tk 84 and is at least Tk 3 more in the curb market in the current week. Besides, the National Bard of Revenue has extended tax benefit facilities for the jute and jute goods industries. The government has been assisting the loss-making jute mills for long. There are 26 jute mills under the BJMC which incurred losses of Tk 395 crore in eight months of last fiscal year and Tk 466 core in 2017-18. A total of Tk 7,000 crore was allocated for the mills in last one decade.
Source : New Age Business
As a result of the progressive policies and personal interest of the Prime Minister, especially by providing regionally competitive energy tariffs the textile industry has become viable after remaining in the red for 10 long years, said All Pakistan Textile Mills Association (APTMA). According to a press release issued by APTMA Islamabad office, the textile industry has achieved a record increase of 26 percent growth in quantitative terms although this did not directly reflect in the dollar amounts due to a substantial worldwide decrease in textile prices. However, if this 26 percent increase in quantity had not been achieved the exports would have been less than $ 8.5 billion, the international prices have now recovered. As per records, profits of the companies were over 5 percent. The companies have posted a turnover of $ 16 billion out of which $ 13.3 billion was exported and $ 2.8 billion were sold in the domestic market. Industry has contributed to the exchequer through income tax of Rs 40 billion as well as various other indirect taxes and levies of over Rs 35 billion. The importance of the industry can be assessed from the fact that it also employs over 10 million workers with many more dependents. As a result of the confidence reposed by the Prime Minister in the industry and the appointment of a dedicated Task Force to not only formulate but ensure implementation of a progressive textile policy, industry is all poised to take off and double exports in the next four years. Industry as a result of the profits posted has strong balance sheets and an equity fund of $ 1 billion earned directly from the international market. These funds can be leveraged to invest at least $ 4 billion in the next year alone. “We profusely thank the Prime Minister for having taken personal ownership and stewardship of the industry and chaired over a dozen meetings with the industry during this last year to resolve their issues," the press release maintained.
Source: Business Recorder
The new IMF chief warned that the widespread deceleration means that growth in 2019-20 will fall to its "lowest rate" since the beginning of the decade.
HIGHLIGHTS
1. IMF chief has warned that India will be hit hard by global slowdown
2. Global economy was in a synchronized upswing 2 year ago, she said
3. Almost 90% of the world will face slower growth this year, she warned
As the global economy is witnessing "synchronized slowdown", the effect is "more pronounced" this year in some of the largest emerging market economies like India, said the new International Monetary Fund (IMF) Managing Director, Kristalina Georgieva. Ms Georgieva pointed out that the widespread deceleration means that growth in 2019-20 will fall to its "lowest rate" since the beginning of the decade. Almost 90 per cent of the world will face slower growth, she said on Tuesday. "Two years ago, the global economy was in a synchronized upswing. Measured by GDP, nearly 75 per cent of the world was accelerating. The global economy is now in a synchronized slowdown. In 2019, we expect slower growth in nearly 90 per cent of the world," said Ms Georgieva in her first speech as managing director of the International Monetary Fund. "In the United States and Germany, unemployment is at historic lows. Yet across advanced economies, including in the US, Japan, and especially the Euro area, there is a softening of economic activity. In some of the largest emerging market economies, such as India and Brazil, the slowdown is even more pronounced this year," she said. The IMF Managing Director said that global trade growth has come to a "near standstill." The IMF had cut its projection for India's economic growth by 0.3 percentage points to 7 per cent for the fiscal year 2019-20 owing to the "weaker-than-expected outlook" for the domestic demand. Kristalina Georgieva, who this month took over leadership at the IMF from Christine Lagarde, said that currencies are once again in the spotlight and Disputes now extend between multiple countries and into other critical issues. "Even if growth picks-up in 2020, the current rifts could lead to changes that last a generation -- broken supply chains, siloed trade sectors, a "digital Berlin Wall" that forces countries to choose between technology systems," she said. Amid rising trade war between the countries which is generally fought through tariffs and counter-tariffs, the chief called for nations to work together and said: "Everyone loses in a trade war"
Source: NDTV
The All Pakistan Textile Mills Association (Aptma) on Tuesday urged the government to withdraw 11 percent duties and taxes on cotton imports. Speaking at a press conference on Tuesday, Aptma Chairman Dr Amanullah Kassim Machiyara said there was a need to import five million cotton bales worth around $1.5 billion to achieve the textile export target in the current fiscal year 2019-20. “It is now clear that cotton crop would be short and industry’s demand will have to be met through imports. Imposing duty and taxes on raw material (cotton) would only result in damaging exports,” Dr Machiyara added. “If the government withdraws duties and taxes from imports, then our textile sector may meet the export target. Otherwise, we may miss the goal by 5-10% in the current fiscal year,” he said. “The government has yet to realise that duties on imports will be a disaster for the economy.” Responding to a question, he said, import of 5 million bales would cost the country up to $1.5 billion therefore measures should be taken that such failures do not take place in future. Textile exports accounted for 61% (or $2.30 billion) of the total export proceeds of $3.75 billion in the first two months (July-August) of the current fiscal year. They had come in at 58% (or $13.32 billion) of the total export proceeds of $22.97 billion in the previous fiscal year, according to the Pakistan Bureau of Statistics. He pointed out that cotton production had been badly hit by untimely rains and pest attacks. The Pakistan Cotton Ginners Association (PCGA) has revised down the cotton production estimate by 32% to 10.2 million bales in the fiscal year that started on July 1, 2019.
Source: Pakistan Profit
The country has undergone an economic miracle in recent years, albeit at huge cost to its garment workers. But things are finally starting to improve for them. Tasnia Akter has come home. It’s a public holiday in Bangladesh, the one time of year the 25-year-old can leave the mayhem of the city behind and see her family: her mother, her aunt.
And her daughter.
“There she is!” Her little girl is standing in front of the two-bedroom tin hut in a remote village 200km (125 miles) north of Chittagong, south-east Bangladesh. Mother and daughter embrace. If she could, the young seamstress would still live here. The air is fresher, there is more space, and some of her friends still live in the village. There’s just one problem: “There isn’t any work.” Agriculture has ceased to be a feasible source of income. Money doesn’t grow on trees – it is spun in the textile looms of the city. And so this family copes as best it can, the older women raising the child while Tasnia works six-day weeks, sewing T-shirts and jeans for global consumers, for about 8,400 taka (£80) a month. These three generations are a neat microcosm of an entire nation. The older women, who grew up in the years after independence in 1971, worked in unpaid labour, trying to survive in the grinding poverty for which the country became renowned in the 1970s. The young girl, a 21st-century child, schooled and spirited, will in all probability enjoy better prospects. And in the middle, Tasnia Akter, from the “factory generation”, one of approximately 4.5 million textile workers who have transformed the fortunes and reputation of Bangladesh. The crucial question is this: is Akter a glorious paragon of the “rise and rise” of Bangladesh, with its 50-year journey to becoming a middle-income nation powered by hard-working women? Or is she a sickening example of an exploited labourer who ruins her health for companies making high margins and consumers who buy cheap jeans? The answer: perhaps a bit of both. “Sure, Tasnia suffers a lot, she has to support her family – but I had to suffer much more,” says her aunt, Honufa Begum. After her husband died, Begum worked as a maid in Chittagong. “Just provide food and lodging for me and my daughter,” she recalls asking the family. They did. But they did not pay her. Begum did not complain.
Source: The Guardian
Expotextil, the fair for textile and garment sector in Peru, to be held from October 24-27 in Lima, will have a large representation of Italian textile machinery manufacturers this year. Inside the Italian pavilion organised by Italian Trade Agency and ACIMIT, the Association of Italian textile machinery manufacturers, 18 Italian companies will exhibit. The Italian companies exhibiting at the fair will be Arioli, Biancalani, Bianco, Btsr, Danitech, Ferraro, Itema, Lawer, Marzoli, Mcs, Ms Printing Solutions, Proxima, Pugi Group, Ratti, Roj, Santex Rimar Group, Stalam and Ugolini. In Peru, the textile and clothing industry is one of the leading sectors of the local economy. In fact, the country is the world's leading producer of alpaca fibres (over 95 per cent of the world production of this fibre is produced in Peru). There is also the cultivation and processing of cotton, especially in the northern area of the country. Finally, the sector is supported by government programmes aimed at increasing the quantity and quality of products made in Peru. "In a framework of technological renewal of the Peruvian textile industry, the Italian presence at Expotextil is strategic. If it wants to remain competitive, the local industry needs to renew its machinery and to improve the quality of its items. The strategic partnership with the Italian technological offer is essential for textile companies that aim to increase their competitiveness with respect to imported products," said Alessandro Zucchi, president of ACIMIT. The textile industry in Peru has already benefited, over the years, from the partnership with Italian textile machinery manufacturers. Peru is the fourth largest market for Italian sales in South America. In 2018, sales of Italian textile machinery in the country reached a value of around €10 million. Moreover, in the first four months of 2019 Italian exports to Peru increased by 8 per cent compared to the same period in 2018. ACIMIT represents an industrial sector that comprises roughly 300 manufacturers, which produce machinery for an overall worth of around €2.5 billion, of which 83 per cent are exported.
Source: Fibre2Fashion
