Expect to make textile sector competitive by rebating all taxes/levies which are currently not being rebated under any other mechanismThe Union Cabinet chaired by the Prime Minister, Narendra Modi has given its approval for continuation of Rebate of State andCentral Taxes and Levies (RoSCTL) from 1 April 2020 onward until such time that the scheme is merged with Remission of Duties and Taxes on Exported Products (RoDTEP).RoSCTL scheme for apparel and made-ups will be continued with effect from 1 April 2020 without any change in scheme guidelines and rates as notified by Ministry of Textiles till such time that the RoSCTL is merged with RoDTEP.Continuation of RoSCTL beyond 31 March 2020 is expected to make the textile sector competitive by rebating all taxes/levies which are currently not being rebated under any other mechanism.
Source: Business Standard
Indian textiles minister Smriti Irani has appealed buyers to do commerce with compassion and not to cancel a single order that has already been placed. In a video message released by the Apparel Export Promotion Council (AEPC), Irani said delivery schedules can be reworked and payment plans can be extended. Commerce can be done with compassion, she added."India has always believed in the philosophy ofvasudhaiva kutumbakam, i.e. the world is one family. And there has been no such time in human history that the concept has been tested and found to be true. Now, the world is engulfed in coronavirus and our fight against it will be a testament to humanity," Irani said.Making an earnest appeal to the buying houses, the buyers of the Indian textile and apparel industry, Irani said, "For years you have enjoyed the craftsmanship of our textile industry. Our Prime Minister has recently announced measures to protect the rights and wages of our workers. Today, I appeal to you. Stand together. Let's show the world that we can do commerce with compassion. Do not cancel a single order that is being placed."Delivery schedules can be reworked. Payment plans can be extended. If we decide to work together, I reiterate my appeal –Do not cancel orders."Asking the buyers to give the world an example that commerce can be done with compassion, she said the ministry of textiles and the government ofIndia will stand shoulder to shoulder with the apparel industry in these times of challenges.
Source: Fibre2Fashion
The government has decided to go ahead with the ambitious Rs 1,480 crore National Technical Textiles Mission (NTTM). The Smriti Zubin Irani-led textiles ministry plans to implement it through a 3-tier institutional mechanism, textiles ministry said in a notification. The mission, which aims at improving penetration level of technical textiles in the country, has a four year implementation period from 2020-21 to 2023-24. As per the notification, textiles minister will lead aMission Steering Group that would be responsible to approve all financial norms and scientific / technological research projects.“The Mission Steering Group is fully empowered to approve all financial norms in respect of all Schemes, Components and Programme of the NTTM. In addition, all scientific / technological research projects under the NTTM shall require approval of the Mission Steering Group,” the ministry said. The next tier comprises an Empowered Programme Committee led by textiles secretary which will monitor the implementation of various components of the mission. It will also approve all projects within the financial limit of each programme as approved by the Mission Steering Group except research projects. The third tier-Committee on Technical Textiles on Research, Development & Innovation-would be chaired by a Niti Aayog member and will identify and recommend all research projects related to strategic sectors such as defence, para-military, security, space, and atomic energy.Technical textiles are materials and products manufactured primarily for technical performance and functional properties rather than aesthetic characteristics. They are used for various applications ranging from agriculture, roads, railway tracks, sportswear, health, bullet proof jacket, fire proof jackets, high altitude combat gear and space applications. India shares nearly 6% of world market size of $250 billion but the annual average growth of the segment is 12%, as compared to 4% world average growth. Penetration level of technical textiles is low in India at 5-10%, against 30-70% in advanced countries. “A sub-component of the research will focus on development of bio degradable technical textiles materials, particularly for agro-textiles, geo-textiles and medical textiles. It will also develop suitable equipment for environmentally sustainable disposal of used technical textiles, with emphasis on safe disposal of medical and hygiene wastes,” the ministry said. The mission has four components —research, innovation and development for which Rs 1,000 crore are earmarked; promotion and market development, export promotion for which an Export Promotion Council for Technical Textiles will be set up; and education, and training and skill development.
Source: Economic Times
The much-awaited fiscal stimulus of the government that would aim to mitigate the economic damage of the coronavirus could be worth as much as Rs1.5 trillion to begin with, according to sources familiar with the development. The package would seek to tackle the cash flow problem of businesses as well as individuals through a three-pronged attack. This would include cash transfers for daily wage labourers, compensating the micro, small and medium enterprises for loss of revenues and protecting individuals’ mortgages and auto loans. Details of the package include a fiscal stimulus of Rs50,000 crore in cash transfers, Rs50,000 crore in wage support and an additional Rs65,000 crore for EMI deferrals. The details of the plans are being worked out and GoI may roll them out immediately after the announcements.“The fiscal package should come Saturday if not earlier. It will address various sectors of the economy individually. The government may announce multiple packages in coming weeks or combine the first and the second part in one proposal and keep the rest for later," one of the sources said. The size of all the stimuli combined could be upwards of Rs3 trillion, he said. The other source said the package to be announced first would look to address the immediate damage caused to the economy as a result of the 21-day lockdown. The second set would be aimed at boosting the economy and that’s likely to be announced only later, this source said.“The first set needs to look at the funding need of small businesses, individuals as well as of the banks. EMIs for consumer loans like auto and home loans will be due any time now. With companies announcing salary cuts and layoffs, the government needs to act on asking the banks to defer payment of EMIs. The banks, both government-owned and private ones, will need to be compensated,"Sources said hectic exchanges were on amongst officials at the Prime Minister’s Office, the finance ministry and the Reserve Bank of India to sort out the technical and legal issues before the final announcement.“The banks will need to recalibrate their IT systems if they are to defer the payment of EMIs lest somebody is declared a defaulter. The authorities need to look at various provisions in different Acts and contracts to make sure all this passes off smoothly," the first source said.The country of 1.3 billion people is staring at an unprecedented economic loss due to the 21-day lockdown that has seen all airlines and trains stopping services and state borders being sealed.The government has allowed operation of only essential services with local police in all states strictly enforcing the lockdown and not letting people be on the streets.Companies across automobiles, electronics, textiles and fast moving consumer goods sectors have all shut their factories and workers have returned to home states. Some companies have announced pay cuts and many fear layoffs are round the corner.Since the pandemic struck in China in December, it has affected 458,927 people in 172 countries including 113,687 recoveries and 20,807 deaths, according to information available on Johns Hopkins University website. In India, there have been 12 deaths and 43 recoveries. There are currently 581 active cases in the country.
Source: Live Mint
Ease of doing business
·Enhance validity of existing licenses, approvals and NoCs
·Quick disbursal of pending dues to the private sector
·Speedy clearances for Pharma and Chemical industries
·Extend sunset date of SEZ units for direct tax benefits
Logistics
·Transport sector be deemed essential service
·Ways & means advance to pay salaries
·Single government point of contact for supply chains
·States can appoint private sector to handle warehousing and transport
Medical equipment and supplies
·Speedy clearance of medical devices at ports
·0% import duty on critical medical devices
·Respite from bank repayments for MedTech manufacturers
·0% import duty on sanitizers, masks and personal protection goods
Digital payments
·Extend incentive for customers and merchants to adopt digital payments
·Tax rebates for businesses with 70% digital transactions
·Mass ad campaing for digital transactions & e-comm
·Prohibit convenience fees and service charges
MSMEs
·License NBFCs to issue cards to SMEs for working capital credit
·60 day extension for payment of income tax and GST
·Extend business insurance policies and coverage
·Extension of bank EMIs till June 30
Textiles & Apparel
·Extend 0% interest loans equivalent to govt dues
·Wage subsidy up to50% for registered workers for 2 quarters
·Exempt raw materials from anti-dumping duties
·Working capital at max 7% from April-Dec 2020
Tourism & Hospitality
·6-9 month moratorium on working capital principle, interest payments
·GST holiday for hotels, tour packages and reservation services
·Short-term interest free or low interest loans
·Doubling of overdraft limits
Source: Economics Times
India's import basket sawa dip of 16 per cent during March 1-19 period mainly driven by decreased imports of precious & semi precious stones, gold and sharp drop in crude oil prices. The exports for the same period came down by 8.2 per cent to $16.3 billion, a report in Times of India said. With India now in a lockdown for the next 21 days, muted demand for fuel could further bring down India's import bill. At the same time, muted exports could shave off India's economic growth that already faces a challenges on the domestic frontdue to an ongoing slowdown and coronavirus pandemic.India's exports rose for the first time in seven months in February, up by 2.9 per cent and driven by growth in shipments of sectors such as petroleum, engineering and chemicals. For the April-February period of the current fiscal, exports dropped by 1.5 per cent to $292.91 billion.India has also banned exports of sanitisers and ventilators includinga all artificial respiratory devices anticipating spike in local demand as the country fights the coronavirus pandemic. The data accessed by Times of India, however, showed that iron ore exports saw a spike of nearly 80 per cent probably on the back of increased demand of raw material as China returns to work.
Source: Economic Times
The Cabinet approval for continuation of duty payback benefits for the export of garments and made-ups will help exporters in promoting shipments, the Apparel Export Promotion Council of India (AEPC) on Wednesday said. The Union Cabinet has approved the continuation of Rebate of State and Central Taxes and Levies (RoSCTL) for export of garments and made-ups from April 1, 2020, till the scheme is merged with Remission of Duties and Taxes on Exported Products (RoDTEP). AEPC Chairman A Sakthivel said that given the acute shortage of working capital, this reimbursement should be given as “Direct Cash Transfer”, as in the case of erstwhile ROSL and drawback."This will reduce the time and transaction cost of availing the scheme," he said in a statement. He added that the approval is much-needed policy support for the Indian apparel exporters."The apparel exporters, who were anyway facing trouble with the reversal of policy benefits like MEIS and delays in refunds, are now facing uncertainties related to both export orders and import of raw materials," he said. The continuation of the benefit will strengthen the entire cotton textiles value chain, he said.
Source: Outlook India
Taxation experts have welcomed the measures announced by the government, saying these steps will add up to 2-3 per cent of GDP but will go a long way in addressing the issue of liquidity and deferment of payment obligations. The government on Tuesday came out with a slew of relaxation in tax and payment compliances by reducing the quantum of penalties, extending the deadline to make clear the dues among others to help the public and corporates. Some of the key measures include extension of tax filing/returns and accordingly all tax due arising between March 20, 2020 and June 29, 2020 now stand extended to June 30, 2020.This is across income tax and GST, and would apply to all return filings, replies/appeal filings, and other compliance documents. For delayed payments, interest rates have been reduced to 9% under both income tax and GST. Welcoming the measures, Deloitte said these measures will help ease the compliance pressure on businesses and individuals and provide necessary relief to critical sectors in view of the Covid outbreak. Many analysts have said the lockdowns will shave off as much as Rs 9 lakh crore of the GDP. Gokul Chaudhri of Deloitte India said, "These steps will certainly give a lot of confidence to corporates and different sectors of the economy.The relief measures and easing of compliance deadlines will enable businesses to sustain themselves in the current atmosphere and is likely to have a positive impact on economic activities and more importantly remove uncertainty in the system. "From the tax point of view, the reliefs like tax breaks, accelerated depreciation, reliefs on payrolls, payments-weighted deduction, relief on contribution to PF will add up to 2-3 percent of GDP, which is much needed to help address the issue of liquidity and deferment of payment obligations," he said. The move to ensure 24/7 trade facilitation at ports through the customs will not only promote ease of doing business but also ensure smooth flow of trade, he added. Jiger Saiya, partner and leader for tax and regulatory services at BDO India, said the extension to the Vivad Se Vishwas scheme will go a long way in making the entire scheme a success as in the original form it was an impossibility to attain the objective. "With the extension, taxmen will now have time to clarify more aspects and taxpayers will have reasonable time to evaluate and seek settlement of tax disputes, under the scheme," Saiya said.Veena Sivaramakrishnan of Shardul Marchland Magnolias & Co said the tax measures are a step in the right direction and indicate more such practical measures to come in the future. KPMG India's Rajeev Dimri said the various tax reliefs announced by the finance minister would provide the much needed succor to all in these unprecedented times. Naveen Aggarwal of KPMG said extension of the deadline under Vivad Se Vishwas from March 31 to June 30 without paying additional tax of 10 per cent is a welcome move and isin line with the representations made by taxpayers and industry forums. This would help companies save for possible financial difficulties faced by companies in these crises. On the IBC changes, Manish Aggarwal of KPMG said changing the operative sections of the IBC will help avoid large scale insolvencies. The government also needs to consider sector specific measures to address the cash flow & liquidity enhancement measures to help businesses withstand this period. Stopping the process towards insolvency is necessary but not a sufficient condition to address fundamental issues facing the businesses now. Rajesh Narain Gupta, managing partner of SNG & Partners the measures announced will lead to a positive direction and will give a boost to trade and commerce.
Source: Economic Times
The finance ministry has asked the Reserve Bank of India (RBI) to consider implementing a series of emergency measures aimed at helping borrowers cope with the economic havoc wreaked by the Covid-19 pandemic, said a person aware of the development. Department of financial services secretary Debashish Panda wrote to the RBI on Tuesday suggesting a moratorium of a few months on the payment of equated monthly installments (EMIs), interest and loan repayments and a relaxation in the classification of nonperforming assets (NPAs), according to the person cited above. Panda also underscored the importance of maintaining liquidity in the system. The letter highlighted the need for relief measures as individuals and businesses face loss of income arising from the coronavirus outbreak. Prime Minister Narendra Modi announced a 21-day lockdown starting Wednesday to slow the spread of the outbreak. Businesses and individuals may not be able to service loans due to the lockdown and risk adverse action by banks and damage to their credit profile. Package Likely in 2-3 Days Under RBI rules, any default in payments has to be recognised within 30 days and these accounts are to be classified as special mention accounts. Finance minister Nirmala Sitharaman had on Tuesday announced relief from compliances under several laws and raised the threshold for insolvency filings to Rs 1 crore from Rs 1 lakh. She also said the government was working out a package to counter the economic impact of the Covid-19 pandemic and that this would be announced "sooner than later." Another government source said the economic package could be unveiled over the next two-three days and it was being finalised between the Prime Minister’s Office and the finance ministry. Top officials from the finance ministry have held several rounds of discussions with the PMO and RBI on the package, the person said. Asked about a likely pause on loan repayments, EMIs and credit card payments, and classification of NPAs, Sitharaman had said: “We will come back soon.” She had said discussions were on with the RBI on various issues. "We will do whatever it takes to support at this stage." Industry groupings have called for a moratorium on all loans. The Confederation of Indian Industry (CII) lobby group, which has sought a stimulus of about 1% of the GDP or Rs 2 lakh crore, has sought a three-month moratorium on all loans and said all repayment obligations should be suspended for this period. The Federation of Indian Chambers of Commerce and Industry (Ficci) has suggested a two-quarter moratorium. The CII emphasised that there is an immediate need to facilitate and enable advances for ways and means to industry across sectors. Though these relaxations will hurt lenders, experts feel that the immediate concern is to ensure that businesses survive. Care Ratings said India’s GDP growth could slump to 1.5-2.5% in the fourth quarter as the usual ramping up of production ahead of the March fiscal year-end deadline won’t happen due to the shutdown.
Source: Economic Times
Following directions from the union ministry of textiles, the Southern Gujarat Chamber of Commerce and Industry (SGCCI) has started of gathering information on the manufacturers of protective face mask and suit in Surat and South Gujarat region to curtail the price hikes and shortages. Ravi Capoor, textile secretary, government of India gave the directions to the district administration and the SGCCI authorities for submitting the details about the manufacturers at a meeting organised through videoconferencing from New Delhi on Wednesday. According to Capoor, the HLL Life care Limited, a government of India enterprise under the Ministry of Health and Family Welfare, has been appointed as the nodal agency for the official distribution and selling of the facemasks in India. The demand for face masks and suit has increased after the corona virus outbreak and the manufacturers have inflated prices to earn profits. President of SGCCI, Ketan Desai said, “The manufacturers of face masks and suit are required to sell their products to the HLL Lifecare limited, which is the nodal agency of the government of India. The textile secretary has directed the SGCCI to gather details of the manufacturers in Surat and South Gujarat.Desai added, “The government will be takinglegal action against the manufacturers and distributors of face masks and suits for the black marketing and increasing the prices.
Source: Times of India
The survey report of the ongoing 7th Economic Census will be completed in one month after the nationwide lockdown ends on April 14. The survey for the 7th Economic Census is being conducted nationwide through common services centres (CSCs) and was expected to be completed by March 2020."It will take about a month from the date when lockdown ends to complete the economic census survey," CSC e-Governance Services India CEO Dinesh Tyagi told PTI. The Ministry of Statistics and Programme Implementation (MoSPI) has tied up with CSC e-Governance Service for the 7th Economic Census. Over 1.5 lakh trained enumerators have been deployed for the nationwide survey who will visit 35 crore establishments and households to carry out the Census Started in 1977, only six economic censuses have been done so far due to massive work involving in-depth survey and data compilation. This is the first time economic census is being done using digital platform which has reduced time for survey to 6 months from 2 years earlier.
Source: Economic Times
Textile exporters on Wednesday made an appeal to Prime Minister Imran Khan to intervene and ensure the suspension of sales tax returns for a period of three months, complete moratorium on debt (both principal and interest), and defer all utility bills for at least three months. In a letter to the Principal Secretary to the Prime Minister Mohammad Azam, the All Pakistan Textile Mills Association (APTMA) stated that under the current circumstances, where mills and offices have been shutdown, the cash flow has come to a halt and certain measures are immediately required to enable industry to keep paying its workers in accordance with the PM’s strategy on COVID-19.Moreover, the notification of 7.5cents/KWh electricity for exporters has not yet been issued as this has been delayed for over a month, the letter reads. Talking to Pakistan Today, Naveed Gulzar, a textile miller from Faisalabad, said the government has already decided new energy price (of 7.5 cents/kWh) for exporters after the Economic Coordination Committee (ECC)’s approval and the cabinet’s ratification.“We don’t understand the rationale or motive behind holding the notification,” he said and lamented at the government for creating hurdles at a time when there is lockdown and governments of other countries are financially supporting their industries. “We urge the Ministry of Power to not hold the notification and issue it as soon as possible so the industry could adjust prepaid amounts against current bills and cash flow is averted,” Gulzar said. Shahid Nazir, a leading exporter, said during the prevailing economic breakdown worldwide most of retailers and brands had shut their stores and stopped further shipments due to the closure of borders.“The federal government must release funds to exporters, pending on account of sales tax, income tax besides rebates,” he demanded. He further demanded the government’s support for compensation on account of payments to workers without having production and the State Bank of Pakistan’s (SBP) intervention in freezing mark-up and deferring principal repayments of commercial banks from exporters.
Source: Pakistan Today
BKMEA says members can shut factories if they don’t have enough work orders Gerd Muller, Germany's federal minister of economic cooperation and development, on Tuesday assured that Bangladesh's garment sector will have his country's full support in coping with the corona virus fallout. Muller issued this notice in response to a letter from Rubana Huq, president of the Bangladesh Garment Manufacturers and Exporters Association (BGMEA).Huq wrote to the minister on Sunday, urging him to request German retailers to not cancel their work orders with Bangladeshi factories. Soon after the coronavirus pandemic began, apparel retailers in the west began to cancel their work orders with Bangladeshi manufacturers. As of 6:00pm yesterday, the total value for work orders cancelled from 936 factories stood at $2.58 billion while it was $2.25 billion the day before, according to BGMEA data. Work orders for about 800.18 million pieces of garment products have been cancelled so far, affecting the lives of 1.92 million workers, the BGMEA said."I greatly hope that we can find an approach that will safeguard the textile industry's survival in both Bangladesh and Germany since millions of people work in that sector," Muller said in a letter.In order to cushion the pandemic's impact on production-based countries such as Bangladesh, Germany is currently evaluating a number of support measures aimed at ensuring that firms are able to remain in business and safeguard the jobs and incomes of their workers, the response continued. In an emergency situation such as this, the demand for apparel products, particularly protective medical clothing, is changing, he said."I hope that for the interim, Bangladesh will receive orders for these products," Muller said, adding: "Bangladesh is one of the most important partners to the German textile industry and I understand all of your concerns."The COVID-19 pandemic has had a particularly hard impact on Germany's garment sector with some companies having reported even 70 per cent drop in consumer demand.The BGMEA's German counterparts fear that almost a third of the country's textile industry is under threat of total collapse.What makes the situation even more difficult is that it remains uncertain when the coronavirus pandemic will subside."Let me assure you that I share your concerns regarding the social distress and the threat to garment factories and their workers in Bangladesh. I response to your letter, I am informing you about my intent to pass your urgent request to the representatives of the German textile industry," Muller said. Earlier this week, the BGMEA issued a letter to the Prime Minister's principal secretary, seeking banking and policy support to help face the challenges brought on bythe pandemic. In the letter, the BGMEA said that due to work order cancellations, the apparel manufacturers will find it very difficult to make payments on letters of credit, wages and utility bills. Therefore, the BGMEA seeks all forms of government support, including the provision of an interest-free loan with a tenure of three years within the next six months.In a notice, the BGMEA said that member factories are continuing production.Besides, the head offices of those factories are also open to aid production and support workers.Garment factories are excluded from the purview of the government declared general holiday, the BGMEA notice said.However, the BGMEA also urged companies to take adequate safety measures if they keep their factories operational during the ongoing coronavirus outbreak. In a separate notice, AKM Salim Osman, president of the Bangladesh Knitwear Manufacturers and Exporters Association (BKMEA), suggested that member factories should shut down if they do not have enough work orders.Factory owners should make wage payments to their workers in a timely manner to avoid any kind of labour unrest, Osman added.
Source: The Daily Star
Virus-hit Western clothing retailers are suspending orders from Asia's export-geared and financially fragile apparel factories Apparel makers in South and Southeast Asia face months of potentially fatal factory closures and mass layoffs as European and American retailers shut their stores and suspend supply orders due to the Covid-19 pandemic. Garment producers in Bangladesh, Cambodia, Myanmar and Vietnam had until now only seen dozens of factories close because of disrupted supply chains in China, the earlier epicenter of the virus outbreak and the main supplier of the raw materials for many apparel manufacturers. Vietnam, the world’s eighth-largest textiles exporter, saw year on year export growth for garments decline to just 1.7% in January and February, according to its textiles industry group. That figure is expected to fall into the red now that the US and Europe are locked down against the coronavirus. Cambodia’s government recently predicted that as many as 200 factories employing roughly 160,000 workers might temporarilyclose their operations by the end of this month if they run out of raw material imports from China.On March 19, theMyanmar Timesreported that at least 20 out of 500 apparel factories in Myanmar have shut down while 10,000 of a total of 500,000 garment workers have been temporarily laid off.Although China’s supply chains are now reportedly beginning to re-open, clothing manufacturers now face the even bigger problem of declining supply orders from distributors and retailers in Europe and the US.
Source: Asia Times
"It will be a tough year for the textile industry," Hu Qinhua, owner of Shaoxing Hongyutong textile company told the Global Times Wednesday. As the COVID-19 pandemic rages overseas, some textile companies in China are suffering a continuing economic loss on foreign trades following the impact of the domestic outbreak.Hu's company is located in the China Light & Textile Industrial City in Keqiao of East China's Zhejiang Province. As the largest textile distribution center in Asia, the textile city achieved a turnover of 252.689 billion yuan on its online and offline markets in 2019.But the 2020 prospects are hazy due to the COVID-19 pandemic. According to a recent industry survey, over 78 percent of textile companies in the city feel they are losing orders, and about 65 percent said their customers have canceled orders.Hu said half of her orders are from overseas customers in European countries and the US, mainly Germany. As the coronavirus infection spikes overseas, her overseas customers either canceled their orders or didn't place new orders, which has hugely impacted her company."Some orders from my overseas customers have been produced, but they are now stockpiled in the warehouse," Hu said. "It is hard to evaluate the economic loss currently. We have to wait until the pandemic ends and contact our customers again."What's worse, domestic supply chain disruptions have continued to test her orders. "Production in dye factories, grey cloth factories have lagged due to the pandemic, which also affected our supplies," she added.The impact of the outbreak is a chain reaction. Zhou Shuiping, a manager with Shaoxing Baishanchang textile company in Keqiao which produces women's clothing fabrics, told the Global Times some of his garment customers whose products are mainly sold to Japan and South Korea, stopped placing orders since mid-March."Usually this is the peak season and we deliver lots of goods every day, but this year there are only a few orders," Zhou said, adding that he has lost more than half of the orders year-on-year.Foreign trade in China's textile industry started to see decline before the coronavirus surged overseas. According to customs statistics, China's export of textile yarns, fabrics, and products in January and February reached $13.77 billion, down 19.9 percent year-on-year. Exports of clothing and related accessories reached $16.06 billion, down 20 percent year-on-year. The demands from overseas markets continue to shrink as overseas companies and factories, and even national borders are being closed in a bid to contain coronavirus. Textile companies in China are seeking a change."We are stepping up development on new products for summer outfits to explore domestic markets," Zhou told Global Times. "Fortunately, domestic markets are moving, we are receiving orders for March and April now."Hu's company mainly produces medium and high-end uniform fabrics, such as public security uniforms, military uniforms, business suits, and women's wear. Now she is considering exploring the domestic fabric market of children's cloth. China is a major exporter of clothing and textile. 60 percent of the world's clothing materials are produced in China, and 20 percent of the international trade of semi-finished goods such as spinning thread, cloth, and zipper buttons is related to China, according to reports.
Source: Global Times
