MARKET WATCH 09 APRIL, 2020

NATIONAL

INTERNATIONAL

Centre seeks suggestions to revive textile industry

Union Textiles Minister Smriti Irani on Wednesday constituted four committees to come up with suggestions on how the textile and clothing industry could be revived post the COVID-19 crisis. The committees, with representation from the industry and the Ministry, will come out with suggestions in a week. A textile association head, who participated in the video call with the Minister, said the committees would explore how industries could re-start production in a phased manner, the financial needs of the sector, promoting Indian brands, and how exporters could tap the potential in the global market once the crisis is over. The committees, with members from the industry and the Ministry, will come out with suggestions in a week and discuss it. The Union Ministry of MSMEs has also sought suggestions from the industry on how MSME associations could ensure social distancing and other safety norms when the units reopen after the lockdown period. The Coimbatore District Small Industries Association said that the units would restart production only when the Central and State governments gave the nod and did not prefer phased re-opening as there was the risk of the virus spreading. The government should provide fitness certificates to all workers so that they can return to work. Norms such as social distancing may be difficult to practice in micro and small units. But the MSMEs would do their best to follow all the prescribed procedures. Naushad Forbes, co-chair of Forbes Marshall and former president of the Confederation of Indian Industry, said that manufacturing activities continued in several countries that are affected by COVID-19. Manufacturing should not be distinguished as essential or non-essential and should be permitted to resume operations in a phased manner. Industries should also put in place all the required precautionary measures, not only on their premises but also in the supply chain, he said.

Source: The Hindu

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IT Department to release all pending income tax refunds up to Rs 5 lakhs immediately ; Around 14 lakh taxpayers to benefit and All GST & CUSTOM refunds also to be released ; to provide benefit to around 1 lakh business entities including MSMEs

Rs 18,000 crore of total refund granted immediately

In the context of the COVID-19 situation and with a view to provide immediate relief to the business entities and individuals, it has been decided to issue all the pending income-tax refunds up to Rs. 5 lakh, immediately. This would benefit around 14 lakh taxpayers.

It has also been decided to issue all pending GST and Custom refunds which would provide benefit to around 1 lakh business entities, including MSME. Thus, the total refund granted will be approximately Rs. 18,000 crore.

Source: PIB

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Shri Piyush Goyal calls upon the Exporters to think big and be ready for harnessing the potential in the post-Covid era; Says that we are globally responsible citizens;

Ministry of Commerce and Industry today held interaction, through Video conferencing, with various Export Promotion Councils of the country to assess the ground situation and problems being faced by them in the wake of Covid-19 and subsequent lockdown. This was the third such meeting since the lockdown in the country. Union Commerce and Industry & Railways Minister Shri Piyush Goyal, MoS Shri Hardeep Singh Puri, Commerce Secretary Dr Anup Wadhawan, DGFT and other officers of the Department of Commerce were present in the meeting. Calling upon the exporters to think big, and be ready to harness the opportunity in the post-Covid era, Shri Goyal said that if we improve our quality, build capacity, bring in economies of scale, improve price competitiveness, then we can grow and harness the potential in post-Covid world.  “My personal belief is that when a country engages with big scale and looks at market dominance - automatically you focus on quality, cost of production comes down, productivity improves, efficiency improves.”, he said. Giving the examples of adopting LED-bulbs, providing toilets all over the country, providing electricity to one and all, and Universal Health scheme, Shri Goyal said that the Government has been thinking big and delivering on the ideas. Shri Goyal said that even in these challenging times, we have to keep our priority to keep exports open, so that we don’t lose our export market permanently. He assured that efforts will be made to ensure that urgent and important export orders, stuck for any reason, fructify at the earliest. The Ministry is working it aggressively so as to get the exports revitalized, looking for export opportunities to expand. He said that many geographies are becoming matter of concern. “There cannot be a better time for export and manufacturing business to bring about change in their thinking. You can focus on areas of your core competency. We should also look at areas where we are strong but our global share is very small. We can continue to improve on such areas.” he said. The Minister said that in this After-Covid world, India can shine, being a vibrant and transparent democracy, and working with rule of law, along with a humanitarian approach. He said “We are globally responsible citizens and we will ramp up our pharma sector for global needs. We are one family with the whole world. We have a lot of spare pharma products, Should we help the world or be greedy. I am proud of the Prime Minister who believes we have a responsibility to the world.” The Minister said that We need to bring the economy back on track, without compromising the health of the people. Ultimate decision will depend on the health. Quoting the example of IT industry, he called upon the exporters not to take the support of the Government crutches. He said the Winners have the killer instinct that will not let them settle for the second best. He urged the Exporters to install the Aarogya setu app on their mobiles and popularize among others also, as this will help us in fight against the Covid, by applying technology, artificial intelligence, and identifying the hotspots. The Minister also called upon them to contribute whole-heartedly towards the PM CARES fund. The meeting was attended by Office bearers of FIEO, EPCs of Gem & Jewelry, Leather, Electronics & Software, Synthetics & Rayon, Handicrafts, Project exports, Telecom, Textiles, Cashew, Plastics, Sports goods, Woolen, Oilseeds & Produce, Silk, Engineering Exports, Services, Pharma, Chemicals and dyes, Forest produce, Carpet, Allied chemicals.

Source: PIB

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India Considers Narrowing Lockdown to Coronavirus Hotspots

NEW DELHI — India is considering plans to seal off coronavirus hotspots in Delhi, Mumbai and parts of the south while easing restrictions elsewhere as a way out of a three-week lockdown that has caused deep economic distress, officials said on Wednesday. The sweeping clampdown in the country of 1.3 billion people to prevent an epidemic of COVID-19, the respiratory disease caused by the virus, ends on April 14 and Prime Minister Narendra Modi is to decide this week whether to extend it. He told a conference of political leaders on Wednesday that several state governments had asked for an extension of the lockdown to cope with the outbreak. But he also said that India was facing serious economic challenges, according to a statement issued by his office. Scenes of poor migrant workers and their families walking long distances on empty highways to their homes in the countryside after losing their jobs have increased pressure on Modi to reopen parts of Asia's third largest economy. More than 80% of confirmed COVID-19 cases in India, also the world's second most populous country, have been traced to 62 districts representing less than 10% of India's landmass, according to government data. These are concentrated in the western state of Maharashtra, home to financial capital Mumbai, the capital Delhi and the southern states of Tamil Nadu, Telangana and Kerala. Such a skewed geographical spread strengthens the case for a more targeted approach under which the affected area and its neighbouring district would be cordoned off, health officials said. "To manage coronavirus, we are working on a cluster containment strategy," said Health Ministry joint secretary Lav Agarwal, leading the effort to tackle the outbreak.

"BHILWARA MODEL"

He said such measures were already in place in east Delhi, in Agra, site of the famed Taj Mahal monument, and in the textile town of Bhilwara in the western state of Rajasthan which has become a test case for a more targeted fight against COVID-19. Under the "Bhilwara model", which was adopted last month soon after about 30 people tested positive in the first big wave of infections, the town and its surrounding villages were sealed off with a virtual curfew in place. People were not allowed even to step out of their homes to get essential stocks or medicines, instead they were asked to call helpline numbers for delivery of staples to their homes. "It is a lockdown, within a lockdown," said district information officer Gouri Kant. The government of Uttar Pradesh, India's most populous state, said 15 districts which had each recorded six or more cases of COVID-19 would be cordoned off beginning Wednesday night as it steps up the fight to stem the infections. "There will be no movement in these areas and government will ensure the supply of essentials," additional?? chief secretary Awanish Awasthy said. So far, India has registered 5,194 COVID-19 infections of whom 149 have died, government data showed on Wednesday. The small numbers, in comparison to large countries such as the United States, Italy and China, have prompted questions from Modi's critics about whether India has gone too far in shutting down its economy, throwing millions of those who depend on pay by the day out of work and onto the brink of poverty. However, health experts say India needs to ramp up testing for infections to help ensure it has a grasp on how widespread the coronavirus is, and that a lockdown alone is no solution.

Source: New York Times

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Demand shocks to hit textile exports, production to decline by 12%: KPMG

Demand shocks are expected to hurt India’s textile exports over the next few quarters due to the outbreak of coronavirus across the globe. If the current scenario continues over the next few months, the domestic retail market would also be impacted significantly, said a KPMG report on ‘Potential impact of Covid-19’. The textile and apparel sector production is expected to decline by 10% to 12% in the April-June quarter, the report said. There has been a limited impact so far due to lockdown. If the situation persists, the impact would be higher. With a drastic fall in global demand and an export ban on certain critical raw materials (those used to make masks for example), the impact on exports would be considerable, the report said. With the lockdown in China, prices of man-made fibre imports are expected to rise significantly, resulting in higher prices for some goods in the domestic market. Prices of imported man-made fibres used for high value products is expected to rise by 25% to 30% over the next two quarters (April-September 2020), KPMG said in its report. China is the fourth-largest trading partner of India for purified terephthalic acid (PTA) and also largest trading partner for polyester staple fibre (PSF). Cotton prices have been reduced by 3% and are expected to be impacted further over the next few months, it pointed out. While cotton prices are expected to take a hit, the yarn, which accounts for 29% of India’s textile trade, will witness its production contract by 12-15% over the next two quarters due to a marked decline in demand from both domestic and global markets. Similarly, fabric production is expected to decline owing to decline in exports and stagnation in apparel/home textiles production. From a manufacturing perspective, employment would be impacted owing to limited demand in both domestic and international markets. According to the report, apparel production is expected to decline by 18-20% owing to decline in global demand. Effect of lockdown on the domestic market is yet to be witnessed. Home textiles industry has had limited impact of the Covid-19 induced global downfall. The report said that the sector contributes 2% of GDP and employs over 45 million people directly. With the nation-wide lockdown, there have been some temporary closure of factories and lay-offs have already begun among low-wage earners. The need of the hour is that the government should extend tax compliances considering the nationwide lockdown and taxes need to be reviewed to minimise the impact of decline in demand. The sector has been under severe financial crisis hence interest rate reduction should be considered. Credit ratings based loan facilitation for MSME players need to be reviewed in order to make the sector competitive/lucrative, the report pointed out.

Source: Financial Express

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Coronavirus lockdown: Textile industry stares at Rs 12,000 crore loss

Ready-made garment players had been hoping for a revival in demand in China but with the virus spreading to Europe, the US and other major markets, there are no orders coming from the major retailers. The busy roads of Tirupur, one of the largest textile hubs in the country, look deserted. Gone is the hum of the 10,000 factories — mainly small and medium enterprises — where over 600,000 people worked. The city used to do around Rs 25,000 crore worth of exports and around the same amount in the domestic market. Now the town expects a Rs 10,000-12,000 crore loss in just three months. Tirupur’s fate has been replicated across other major textile hubs ever since the lockdown was announced. The textile industry, the second largest employer after agriculture, may lose 25 per cent of its jobs. Around 129 lakh people’s livelihoods depend on the industry and nearly 70 per cent of them are women. While the Covid-19 pandemic has completely halted production and new orders, exporters say that payments have also been delayed for the shipments sent before the lockdown. Exporters say some customers are not taking delivery of the shipments because they have shut shop. Ready-made garment players had been hoping for a revival in demand in China but with the virus spreading to Europe, the US and other major markets, there are no orders coming from the major retailers. It’s true that the government has extended the rebate on state and centre taxes from 1 April to boost the liquidity and competitiveness of these players but this will not help many buyers who are going bankrupt because the lockdown and concomitant closure of stores has resulted in a fall in exports. For FY20, the margins are likely to be impacted by 120-150bp and credit metrics to moderate with pressure on liquidity and higher working capital utilisations, according to India Ratings and Research. The agency assumes that India’s exports — already reduced by more than 40 per cent till January 2020 owing to the US-China trade war —will be substantially hit till H1FY21. The agency assumes Ebitda will drop at least 15 per cent in FY21 across its textile portfolio. The home textile industry has seen shipments being held up and faces bleak uncertainty about operations being resumed in the short term. A handful of larger players have sufficient liquidity to manage the tough times but if the impact of the coronavirus is larger or longer than expected, the outcome will be grim for the smaller companies. With malls and shopping centres closed, movement restricted, and mass transport unavailable, domestic sales have withered. India exported $16.2 billion worth of garments in 2018-19. The apparel sector accounts for 43 per cent of India’s textiles exports in value terms and for 5 per cent of overall exports. From manufacturing through to retail, the garment industry employs close to 25 million people. If the current situation continues beyond a month from now, nearly a quarter of the jobs in the industry will be lost, according to the Clothing Manufacturers’ Association of India (CMAI). Recovery, the CMAI predicts, will take at least 10 months to a year. Without government support, it adds, the industry cannot survive this unprecedented crisis. Bhilwara in Rajasthan was known as a centre for pv suitings and dyed yarn worth Rs 25,000 crore. Now it is known as a coronavirus hot spot. S N Modani, chairman, Rajasthan Textile Mills Association and managing director, Sangam in Bhilwara, said the textile industry in the town is worth around Rs 35,000 crore, including exports. Since the night of March 21, Bhilwara has been locked down. If the industry can resume operations after April 14 when the lockdown is scheduled to be lifted, a 15-20 per cent annual basis loss is expected on the topline. The bottomline will be even worse because of fixed expenses. If the lockdown is extended, the losses will rise as vertically as the virus curve. Exports from Rajasthan total around Rs 10,000 crore. With no clearance from the ports, borders sealed and customers cancelling orders, 25 per cent of business has already been lost. “European buyers, particularly from Italy and Spain, have already asked our members not to export garments to them and wait for a minimum of one or two months till the situation improves and shops are reopened. Some buyers are cancelling orders outright,” said Tirupur Exporters’ Association President Raja M Shanmugham. He said that small and medium enterprises will not be able to repay bank loans. “We apprehend that due to non-clearance of dues, the banks may classify such units as non-performing assets as per BASEL norms,” said Shanmugham. Even those who manage to resume operations will have to face having to pay 30 per cent more for dyes and chemicals which will impact their cost of production. Some in the industry are pinning their hopes on demand reviving once the virus settles down. Others are focused on getting financial support from the government along the lines offered by many developed countries hoping to limit the damage caused by Covid-19’s disruption of economic activity. The CMAI has asked the government to consider postponing income tax, advance tax, and GST, give a minimum 180-day moratorium on repayment of all bank loans, and provide a disbursement of 25 per cent additional working capital loans on zero interest to tide over the current liquidity shortfall. It has also asked for a wage subsidy to avoid job losses, the creation of a special Factor Fund for small and medium companies to discount their bills immediately, urged that banks should not treat a failure to repay loans as a non-performing asset, and provide a one year moratorium on repayment so that smaller players can avoid going under. It is only such a package, says the CMAI, that will allow the industry to see the other side of the lockdown.

Source: Business Standard

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Coronavirus | Federation of Indian exporters expects order loss of nearly 50%

The coronavirus crisis is hurting exports of apparels, textiles, gems, and jewelry and could lead to at least 50 percent loss of orders, Federation of Indian Export Organisations (FIEO) told CNBC-TV18. Orders for many consumer goods have been fully canceled or deferred and there is an expectation of 50 percent loss in Q1 of FY21. There is no reason to not allow exporters to work at 50 percent capacity and the government needs to come out with a stimulus package for exporters soon, the organisation said. Pointing out that Bangladesh had already given an $8.6 billion package to its industry, FIEO said it has also requested the government for a Rs 25,000 crore stimulus package and relief on GST and employee salaries. India's textile industry is also reeling under the impact of COVID-19. Eleven countries buy 41 percent of India's cotton yarn exports and these countries have reported COVID-19 cases, according to the Cotton Textiles Export Promotion Council (Texprocil). In value terms, yarn exports are down 30 percent in January-February against a year ago. Cotton yarn exports to China, Iran, Korea, and Vietnam have seen a steep decline. The US and Europe are the two largest markets for Indian textile exporters. Both are imploding with new cases every day. The pandemic has killed more than 70,000 people worldwide, with nearly three-quarters of the deaths being reported in Europe. The US has reported over 10,000 deaths. The UK has announced a six-month lockdown while most of the US has social distancing and quarantine measures, with stay-at-home orders for more than a third of the population. The pandemic has already led to big fashion labels announcing cancellation of orders and relieving labour. Macy's, the US-based retail giant, has announced that it would grant leave to most of its 1,30,000 employees. British luxury giant Burberry have predicted a steep drop in sales of about 70-80 percent. The UK-based retailer Primark has cancelled all new orders and Inditex (the owner of popular brand Zara) has written off some $336 million worth of inventory.

Source: Money Control

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The Textile Association (India) completes 81 years

The Textile Association (India) or TAI, has announced that it is celebrating its 81st ‘Incorporation Day’. Established on April 9, 1939, by ten visionary technocrats, who used to meet casually as a 'Friday Club'. They formalised TAI along with 126 likeminded technocrats. The objective was to facilitate free exchange of information on technical cooperation. The founders’ vision was to create a common platform where technocrats and leaders from small and big industries come together to bring laurel to the industry and country at large. TAI today is the leading and one of the largest national bodies, of textile professionals, striving for the growth of India’s largest industry. The association has more than 25,000 strong members through its 26 affiliated Units (chapters), spread throughout the length and breadth of the country. “Our heartiest congratulations to the founders, trustees, predecessor presidents, committee members all our esteemed members and sincere thanks for the whole hearted support to the entire textile industry extended over all these years,” Ashok Juneja, National President, TAI, said in a press release. “It is my proud privilege to lead such a prestigious association which has had eminent presidents during its glorious journey from Late Dr Nazir Ahmed to Late Homi Modi; Late Dr Vikram Sarabhai; Late NV Ullal, Late Maj RP Poddar, Sh JJ Randheri, Sh MK Mehra, Sh RK Dalmia, Sh RC Kesar, Sh Mathivanan, Dr PR Roy and many other eminent personalities TAI, in all these years has conferred prestigious awards and honourary memberships to highly respected personalities like Sh Nazir Ahmed, Sh Kasturbhai Lalbhai, Sh KMD Thackercy, Sh Gulzarilal Nanda, Sh Homi Modi, Sh GD Birla, Sh GD Ambekar, Sh Vikram Sarabhai, Sh Arvind N Mafatlal, Sh Naval H Tata, Sh Padampat Singhania, Sh Neville Wadia, Hon Maj RP Poddar, ShG Hari Singhania, Sh Abhaykumar S Kasliwal, Sh Dhirubhai H Ambani , Sh KK Birla, Sh Mukesh D Ambani and many more distinguished people who have contributed towards the growth of textile industry in India. “With emphasis and commitment to professional ethics and social responsibilities, our renewed vision is to be internationally renowned as a leading association of textile technocrats and professionals promoting scientific and technological knowledge and training with benchmarking performance,” Juneja said. “With our new office bearers elected for 2020-21, we wish to make TAI more connected with the industry through various ground activities organised by different units across the country. One such initiative started by us is interaction through JTA.” Juneja said. The Textile Association (India) provides opportunities for professional growth of technologists in the Indian textile industry across all sectors. The association organises seminars, conferences, workshops, refresher courses and exhibitions of textiles and allied machines for the benefit of members. These activities are held across the country with the help of all 26 federal units, which are autonomous in their activities. TAI also publishes small tablets and textbooks of practical value for the benefit of practicing professionals and students. It publishes study materials which help members acquire textile qualifications by appearing for standard examinations. It offers added qualification of ATA and GMTA for technicians who can earn and study to acquire a Diploma (ATA) and a degree (GMTA). ATA is recognised as equal to a diploma and GMTA is equivalent to a university degree. TAI members who acquired GMTA have also completed their post graduate and doctorate programmes from reputed universities in India. Internationally, TAI is the founder member of the Federation of Asian Professional Textile Associations (FAPTA). TAI’s national president is one of the members in International Advisory Committee of FAPTA. The association organised the 1st International Asian Textile Conference (ATC) in 1991 and the 7th International Asian Textile conference (ATC) in 2003 in New Delhi. TAI is also the co-sponsor of India ITME Society and the national president is one of the vice chairmen on their steering committee.

Source: Fibre2fashion

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IITs, research institutes get govt funding for Covid-19 solutions

The department of science & technology (DST) and the Science and Engineering Research Board (SERB) have awarded initial funds to the tune of Rs 1.25 crore to four institutes, including three IITs, to develop a range of products that can help India fight the Covid-19 pandemic better. While IIT-Delhi will develop new formulations for decontamination of surfaces, Jawahar Lal Nehru Centre for Advanced Scientific Research (JNCASR) in Bengaluru will produce antiviral surface coatings and IIT-Bombay will identify biomarkers for treatment among other innovations. The projects were selected after peer-review and assessment by a Special Expert Committee for CoVID-19 projects. The DST-SERB had called for research projects to urgently ramp up national R&D efforts against the pandemic and these projects are the first five to make the cut. IIT-Bombay will work on two projects — identifying global metabolite biomarkers in Covid-19 infected patients for targeted therapy and developing antibodies. In another project, IIT-Delhi will develop chemical formulations for decontamination of inanimate surfaces. “This will help develop material which may be applied to mops to disinfect the surfaces to remove any adhering viruses or bacteria,” said professor B S Butola, department of textile and fibre engineering, IIT-Delhi.

Source: Times of India

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Coronavirus cloud hovers over thousands of Andhra weavers’ future

Due to lack of orders for the past two weeks, thousands of weavers across the state have been rendered jobless. Be it in Ponduru (Srikakulam), Venkatagiri and Potur in Nellore or Mangalagiri in Guntur, the textile sector is facing one of its toughest challenges as the state remains in the 21-day lockdown to bat t l e coronavirus. Ponduru, famous for its khadi products, and its surrounding villages are home to around 1,000 weavers and workers. With khadi bhandars (shops) in Srikakulam and Visakhapatnam shut, Ponduru khadi society, which employs 800 spinners and 100 weavers, has suffered a loss of Rs 25 lakh since the lockdown began on March 25. The district houses four khadi manufacturing societies: one each at Ponduru and Narasannapeta and the remaining two in Srikakulam. “We have seven authorised outlets in Srikakulam and Visakhapatnam districts. With them closed, we have suffered a loss of Rs 25 lakh till now. Summer is the season when khadi is in demand,” G Venkata Ramana, secretary of the Ponduru khadi society, explained. Handloom and powerloom weavers in Venkatagiri, Patur and Nagari get bulk orders, especially during festivals, as they produce fine handwoven cotton sarees popular across the state. More than 50,000 workers are dependant on the 3,000 looms in Venkatagiri. They have not been able to get raw materials, which they get from Karnataka and Tamil Nadu after district and state borders were sealed. Even though the power loom weavers have some raw materials left with them, they have not been getting any new orders ever since the restrictions came into place. “The lockdown has changed our lives completely. If the situation continues and we don’t get any orders, we all will lose our livelihood,” said Pynam Ramanaiah, a weaver. Before the pandemic hit India, the handloom weavers were able to make 15 to 25 sarees a month and made Rs 450- Rs 550 per piece. “Now we are forced to survive on loans from individuals even to buy essential commodities,” said K Siddaiah, an artisan from Patur. Weavers in Guntur’s Mangalagiri are demanding that the government announce financial assistance for them as, in addition to the lockdown, they have been facing issues beginning from productivity to marketing. President of the masterweavers’ association Jonnadula Varaprasada Rao urged the government to announce aid for 1,900 workers of the Mangalagiri looms. Weavers and other workers have had no income since the lockdown began, he added.

Source: The Indian Express

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Coronavirus | Punjab’s textile industry hit by slowdown, lockdown

The industry has demanded that the government not impose anti-dumping duty on raw materials for two years.  Punjab govt. urged to provide concessions, including loan deferment, for survival. Reeling under losses amid nationwide lockdown due to Covid-19 outbreak and economic slowdown, Punjab’s textile industry has urged the State government to lend a helping hand to mitigate the problems of the industry. Amritsar Textile Processor Association (ATPA) has written to State Industries Minister Sunder Sham Arora and pointed out that amid the economic slowdown and the lockdown the industry is unable to meet its expenses, including interest cost on term loan and working capital, instalments of term loan, statutory taxes, dilution in value of stock due to seasonal fashion trends, revenue losses due to low demand in export as well as domestic market and salaries. “Banks should should be asked to defer all instalments of loans for six months till 30.09.2020. MSMEs may be allowed to repay these six instalments without interest over a period of 12 months. Also, there should not be compulsion for payment of full salary-wages to employees from the employer for lockdown period,” said Krishan Kumar Sharma, president ATPA. Mr. Kumar said the association has also demanded the government not to impose anti-dumping duty on textile basic raw materials for a period of two year. “This is needed so that the user industry can avail the advantage of international decline in rates of key textile raw materials to be able to remain competitive,” he said. The textile processing units, which prepare dye and print fabrics are considered to be the backbone of nearly 700-800 textile factories that are involved in warp-knitting, woollen, embroidery, spinning and weaving. The closure of these processing units is apparently having a cascading affect on the textile business.

Source: The Hindu

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Global Textile Raw Material Price 09-04-2020

Item

Price

Unit

Fluctuation

Date

PSF

736.22

USD/Ton

0%

09-04-2020

VSF

1288.38

USD/Ton

0%

09-04-2020

ASF

1765.50

USD/Ton

0%

09-04-2020

Polyester    POY

739.76

USD/Ton

0%

09-04-2020

Nylon    FDY

1755.59

USD/Ton

0%

09-04-2020

40D    Spandex

4035.03

USD/Ton

0%

09-04-2020

Nylon    POY

2180.33

USD/Ton

0%

09-04-2020

Acrylic    Top 3D

906.11

USD/Ton

0%

09-04-2020

Polyester    FDY

2081.23

USD/Ton

0.68%

09-04-2020

Nylon    DTY

5210.14

USD/Ton

-0.54%

09-04-2020

Viscose    Long Filament

991.06

USD/Ton

0%

09-04-2020

Polyester    DTY

1670.64

USD/Ton

0%

09-04-2020

10S OE    Cotton Yarn

1752.76

USD/Ton

-0.16%

09-04-2020

32S    Cotton Carded Yarn

2725.42

USD/Ton

-0.10%

09-04-2020

40S    Cotton Combed Yarn

3189.80

USD/Ton

-0.09%

09-04-2020

30S    Spun Rayon Yarn

1861.78

USD/Ton

-0.75%

09-04-2020

32S    Polyester Yarn

1415.80

USD/Ton

0.50%

09-04-2020

45S    T/C Yarn

2222.81

USD/Ton

0%

09-04-2020

40S    Rayon Yarn

1599.85

USD/Ton

0.89%

09-04-2020

T/R    Yarn 65/35 32S

2067.07

USD/Ton

0%

09-04-2020

45S    Polyester Yarn

2024.59

USD/Ton

-0.69%

09-04-2020

T/C    Yarn 65/35 32S

1755.59

USD/Ton

0%

09-04-2020

10S    Denim Fabric

1.19

USD/Meter

-0.36%

09-04-2020

32S    Twill Fabric

0.65

USD/Meter

-0.22%

09-04-2020

40S    Combed Poplin

0.94

USD/Meter

-0.30%

09-04-2020

30S    Rayon Fabric

0.51

USD/Meter

-0.55%

09-04-2020

45S    T/C Fabric

0.65

USD/Meter

0%

09-04-2020

Source: Global Textiles

Note: The above prices are Chinese Price (1 CNY = 0.14158 USD dtd. 03/04/2020). The prices given above are as quoted from Global Textiles.com.  SRTEPC is not responsible for the correctness of the same.

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The Kenyan factory that transformed into a surgical mask assembly line overnight

KITUI, Kenya — A week ago, Josephine Wambua spent her days stitching gardening clothes. This week, the factory where she works transformed into an all-out effort to make 30,000 surgical masks a day in a country that barely produced any before. “To sit here and do something that is useful to the world is a dream,” said Wambua, 24, who never went to school. “I never thought I would be part of something that has the potential of saving millions from dying.” The factory’s shift in production reflects a dire need for even the most basic protective equipment here. Like Kenya, most African countries have little experience manufacturing medical supplies, instead relying on imports from China and foreign aid. But as the coronavirus spreads more widely on the continent, African governments are coming up against stiff competition from heavily industrialized economies in bids for masks and other gear. Some are relying almost entirely on donations made by Chinese billionaire Jack Ma, who has shipped 6 million masks to Africa, in addition to huge numbers of gloves, swabs, protective suits and even 500 ventilators. Kenya alone says it needs 15 million masks. African countries are not the only ones struggling to provide enough masks for their health workers — nor is Africa the only place receiving millions of them from China. But while wealthier countries are counting on huge corporations to bridge the supply gap, others are turning to humbler means. In Mexico, for instance, hundreds of small businesses are switching to mask production — as are prisoners, who are being put to work on mask assembly lines. And in the Palestinian territories, a shoe factory has switched over to masks, and an engineer duo is even making their own ventilators.  Before each shift, workers line up to have their temperature checked, a measure to prevent the spread of the coronavirus at the Kitui County Textile Center. Before each shift, workers line up to have their temperature checked, a measure to prevent the spread of the coronavirus at the Kitui County Textile Center. (Luis Tato/AFP/Getty Images). A doctor checks an employee’s temperature. None of the employees are allowed to commute home; instead, they sleep at a dormitory next to the factory. A doctor checks an employee’s temperature. None of the employees are allowed to commute home; instead, they sleep at a dormitory next to the factory. (Luis Tato/AFP/Getty Images). In this small county 100 miles east of Nairobi, the governor decided last month that she was fed up with waiting on imports or donations from China. She knew how quickly the coronavirus could spread: Not only was she Kenya’s health minister 15 years ago, but her daughter and son-in-law became two of Kenya’s first 10 confirmed cases upon returning from a trip to Spain. Sign up for our Coronavirus Updates newsletter to track the outbreak. All stories linked in the newsletter are free to access. “Let’s not wait and wonder,” said Charity Ngilu, sitting at an appropriate social distance at the end of a long conference table in her governor’s office in Kitui. “We import everything and produce nothing, despite having all the resources at our disposal.” Kenya has fewer than 200 confirmed cases of the coronavirus and just one in Kitui County so far. But the county is churning out as many as 30,000 masks a day and selling them to private and public hospitals across the country, which are desperate for them. Nearly 400 stitchers work in the factory, and 80 percent are women, most of whom never got a formal education. They once made all sorts of uniforms, and even embroidered sets of place mats and napkins, but now all their effort is focused on surgical masks that match the high industry standards for N95 respirators. They were retrained in just a week.“It was a lot of challenge to bring them from the village to where they are today,” said Mbuvi Mbathi, the factory manager. “But they are all experts now. They could each run their own factory, if you ask me.”Workers gather to check the day’s production of face masks. Workers gather to check the day’s production of face masks. (Luis Tato/AFP/Getty Images)Nearly 400 stitchers work in the factory, and 80 percent are women. Nearly 400 stitchers work in the factory, and 80 percent are women. (Luis Tato/AFP/Getty Images). They are separated into three teams that work in eight-hour shifts, which keeps production going all day and night and also helps them keep their distance from one another. Instead of commuting, each shift sleeps and eats together at a dormitory of a vocational school next door that is closed because of the outbreak. They get paid less than $200 a month, but some said they consider the pay to be good for Kitui County, one of Kenya’s poorest areas.

Source: Washington Post

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Pak garment units exempted from lockdown, start production

Pakistan’s garment industry has started production following a government announcement exempting it from the ongoing lockdown. The Pakistan Readymade Garments Manufacturers and Exporters Association (PRGMEA) and Pakistan Hosiery Manufacturers & Exporters Association (PHMA) appreciated the decision, vowing to take strict precautionary measures. PRGMEA chief coordinator Ijaz Khokhar said the opening of industry will retain millions of workers in their jobs, especially the women and the poor. PRGMEA regional chairman Sohail A Sheikh said urged the government to focus on formulating sector-wise polices for boosting exports, , according to Pakistani media reports. PHMA vice chairman Shafiq Butt suggested the government should take economic measures to keep industrial wheels running and save the livelihood of millions, including fast disbursement of all outstanding sales tax refunds. Meanwhile, APTMA Punjab chairman Adil Bashir demanded that the government should withdraw the ad hoc bills of Sui Northern Gas Pipelines Ltd (SNGPL ) and extend the last date for payment of gas bills issued for March till the lockdown is lifted. Since there has been no production since March 23, therefore, there has been no consumption of gas in the textile units, he said.

Source: Fibre2fashion

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Munich Fabric Start gives updates on upcoming trade fairs

Munich Fabric Start (MFS), an international fabric trade fair, has announced that during this difficult and uncertain phase, their team’s thoughts and sympathy are with people who live in countries without a functioning healthcare system or facing evacuation. MFS is aware of the impact on global textile industry and the challenges industry has to face.  As an organiser of trade fairs, the current situation also prevents the heart of MFS business: bringing together people and exchanging information in the industry. MFS is aware of the great importance and relevance of their trade fair for manufacturers and fashion companies. “In this situation, the next meeting and exchange of ideas will become incredibly important. We want to set an example by offering a perspective and providing the textile industry a platform with optimal conditions as soon as possible. To achieve this, we remain flexible in our actions and are prepared to respond to any future developments. We are currently organising the next two fairs as usual and are working at full capacity to ensure that View Premium Selection in July 2020 and Munich Fabric Start in September 2020 can take place on the planned dates.” Sebastian Klinder, managing director Munich Fabric Start. The current time of isolation and social distancing affects all players in the industry which is why MFS considers that coming together at the fair will be immensely valuable. This is confirmed by the usual high number of registrations and positive feedback MFS is currently receiving. Bluezone is already fully booked for September 2020 and MFS reported that it is stunned by the great amount of trust and loyalty placed in us. At this point, MFS is also trying to put itself in the position of the exhibitors and visitors to find solutions which are best for all parties involved. To this end, MFS is currently examining various scenarios with which it can react flexibly and in a solution-oriented manner to any changes in government guidelines for events. “At the moment, it is probably more a question of thinking about how to organise a trade fair with Corona – instead of after Corona. We are therefore already thinking about necessary modifications for possible Plan B scenarios. In addition to hygiene measures, this may include for example, widening aisles between the stands to create the necessary distancing, possibly regulating access to the exhibition halls, distributing the visitor flow to avoid congestion, distance markings or digital ticketing.” Frank Junker, creative director Munich Fabric Start. MFS further stated that the current push for digital alternatives also offers interesting approaches. MFS is taking a proactive approach to the opportunities which may open up here in the future. At the same time, MFS is convinced that a digital solution can never completely replace its core business, textile products. Therefore, its Plan B is not necessarily completely digital – in view of the fact that a digital format involves many different parameters and functions that have to interlock perfectly. There are still several months until MFS’s trade fair dates – valuable time that can be decisive. At this point in time, MFS considers it is too early to make a final statement on the execution of the two trade fairs. It is expected that MFS will be able to make a decision at the end of April as to whether the fairs can take place. MFS is in close contact with other trade fair organisers and rely on the findings of experts and political decisions, without own interpretations or statements on the current social and political issues.

Source: Fibre2fashion

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Intertextile Shanghai & Yarn Expo postponed amid COVID-19

Messe Frankfurt has announced that the Intertextile Shanghai Apparel Fabrics and Yarn Expo will be held along with Intertextile Shenzhen Apparel Fabrics and the debut Yarn Expo Shenzhen, from July 15-17, 2020. Exhibitors of Intertextile Shanghai Home Textiles – Spring Edition can partake in the Autumn Edition, to be held from August 24-26, 2020. 2020 marks the first edition of the newly rebranded Intertextile Shenzhen Apparel Fabrics (formerly Intertextile Pavilion Shenzhen), as well as the debut edition of Yarn Expo in Shenzhen. The fairs will take place in the brand-new Shenzhen World Exhibition and Convention Centre, according to a press release by Messe Frankfurt. The Intertextile Shenzhen Apparel Fabrics will take place from July 15-17, 2020, with an estimated 2,000+ exhibitors expected to join a space of 60,000 square metres. In addition to being held with the first Shenzhen edition of Yarn Expo, CHIC and PH Value will also take place concurrently. The Intertextile Shanghai Apparel Fabrics – Autumn Edition and Yarn Expo Autumn editions will take place from September 23-25, 2020, at the National Exhibition and Convention Centre in Shanghai. The fairs will be held concurrently with CHIC and PH Value. Intertextile Shanghai Home Textiles – Autumn Edition is Asia’s leading international business platform for the home and contract textiles sector. “Since the announcement of the postponement, it was always our intention to hold the Shanghai editions of each fair this year. However, it is with regret that this is no longer logistically possible due to the worldwide spread of the virus. Given the importance of these fairs to the global textile sector, and our desire to support the industry’s efforts to return to normal as quickly as possible, we will now offer a platform for our exhibitors to present their spring / summer 2021, as well as autumn / winter 2021-22, collections at Intertextile Shenzhen instead,” Wendy Wen, senior general manager of Messe Frankfurt said.

Source: Fibre2fashion

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