The Prime Minister, who took part in a virtual summit with Denmark's Prime Minister Mette Frederiksen, did not name any country and said COVID-19 has shown that it is risky to have global supply chains dependent on a single source. India and Denmark share rules-based, transparent, humanitarian and democratic value-system and the events of past few months have made it clear how important it is for like-minded countries to work together, Prime Minister Narendra Modi said on Monday. The Prime Minister, who took part in a virtual summit with Denmark's Prime Minister Mette Frederiksen, did not name any country and said COVID-19 has shown that it is risky to have global supply chains dependent on a single source. He said India is working with Japan and Australia for supply-chain diversification and resilience and other like-minded countries can also join in this effort. COVID-19 originated in the Chinese city of Wuhan and many companies are planning to shift their manufacturing bases from China. "The events of the past few months have made it clear that how important it is for like-minded countries, who share rules-based, transparent, humanitarian and democratic value-system, to work together," the Prime Minister said. "COVID-19 has shown that it is risky to rely excessively on any single source of global supply chains. We are working together with Japan and Australia for supply-chain diversication and resilience. Other like-minded countries can also join this eort," he added. The Prime Minister said that the virtual summit will not only be useful for bilateralrelations between India and Denmark but also in contributing to a shared approach to global challenges. Noting that he had a "very productive meeting with Denmark's Prime Minister a few months back, the Prime Minister said they talked on increasing cooperation between the two countries in several areas. "It is a matter of happiness that we are giving new direction and speed to these intentions through the virtual summit," he said. India hosted the virtual bilateral summit. Bilateral trade in goods and services between India and Denmark has grown by 30.49 per cent, from US$ 2.82 billion in 2016 to US$ 3.68 billion in 2019. Around 200 Danish companies have invested in India in sectors such as shipping, renewable energy, environment, agriculture, food processing and smart urban development.
Source: Economic Times
Providing relief to companies amid the coronavirus pandemic-induced disruptions, the government has extended the duration of “several schemes” till December 31, including the fresh start scheme. Providing relief to companies amid the coronavirus pandemic-induced disruptions, the government has extended the duration of “several schemes” till December 31, including the fresh start scheme. The corporate affairs ministry has extended the Companies Fresh Start Scheme and the LLP Settlement Scheme, besides allowing companies to conduct EGMs (extraordinary general meetings) and board meetings through video conference or other audio-visual means till end of this year. Further, the scheme for relaxation of time for filing forms related to creation or modification of charges under the Companies Act, 2013 as well as the deadline for independent directors to register themselves on a data bank for them has been extended. The earlier deadlines were to end on September 30. In a series of tweets, Finance and Corporate Affairs Minister Nirmala Sitharaman’s office said the corporate affairs ministry has “extended the duration of several schemes till 31.12.2020 in view of the continued disruption caused due to the Covid-19 pandemic in certain parts of the country and to provide greater Ease of Doing Business”. The Companies Fresh Start Scheme as well as the LLP Settlement Scheme -- which began from April 1 -- are aimed at enabling companies to make good on their previous defaults. Under the schemes, entities are allowed to submit filings without late fee and also get immunity from penal proceedings with respect to delay in submission of requisite filings. Independent directors are required to register themselves on the independent directors’ data bank maintained by the Indian Institute of Corporate Affairs (IICA), which comes under the corporate affairs ministry. The ministry is implementing the Companies Act and LLP Act, among other activities.
Source: Hindustan Times
Nobel Laureate Abhijit Banerjee on Tuesday said India is among the worst performing economies in the world and the government's economic stimulus was inadequate to tackle the problem. He, however, said that the country will see a revival in growth in the July-September quarter of the current fiscal. Speaking at a virtual event, Banerjee said the country's economic growth was slowing down even before the Covid-19 pandemic hit. "Indian economy is among the worst performing in the world. The country's economy will see revival in the current quarter (July-September)," he said, adding that economic growth in 2021 is going to be better than this year. Banerjee, currently a professor at Massachusetts Institute of Technology (MIT), said he does not think that India's economic stimulus was adequate. “India’s economic stimulus was limited. It was a bank bailout. I think we could have done more," he said. The stimulus measures "did not increase consumption spending of lower income people as the government was not willing to put money in the hands of the low income population," he noted. Talking about inflation, Banerjee said India's growth strategy was closed economy with the government creating lots of demand, which resulted in high growth and inflation."India had 20 years of high inflation and high growth. The country benefited a lot from stable high inflation in the last 20 years," he opined. The eminent economist noted that India needs to be globally more competitive.
Source: Business Standard
Preferential Trade Agreements are a widely practiced norm in international trade policy in recent times; India too, has its share of PTAs. For example, in 2009, India signed the ASEAN FTA with 10 nations including Brunei, Cambodia, Indonesia, Laos, Malaysia, Myanmar, the Philippines, Singapore, Thailand, and Vietnam which entitled exports from such countries to India at a preferential rate of duty. But there are increasing trade irregularities and undue claims of Preferential Tariff Treatment by fraud and manipulation of country of origin (CoO) criteria. In order to check the undue claims under PTT and to bring in the requirement for stringent checks on imports of goods especially focusing on the CoO, the Government of India notified the CAROTAR Rules 2020 which came into effect on September 21, 2020.
Changed for importers and conditions to be fulfilled
Under the CAROTAR regime, the declaration and verification criteria will become comprehensive for import under PTT. There are some changes in particulars of the bill of entry such as the declaration regarding satisfaction of originating goods (for PRD), CoO details, originating criteria “wholly obtained” (WO) or “Not wholly obtained” (NWO), accumulation or cumulation, back to back CoO or direct transport, etc.
Musts:
The importer is required to obtain basic minimum information from the exporter such as the process of claiming WO, the production process for NWO, origination criteria, inputs used in the production with HSN codes, regional value content, and goods of unascertained origin, etc, at the time or prior to import. Additional information and supporting documents from the importer to establish the accuracy and truthfulness can also be demanded.
Impacts:
The stringent requirements will impact the importers, especially those who are legitimately claiming PTT. The parallel amendment has also been made to Customs Act to enable the confiscation of goods imported on a claim of PRD which are in contravention to applicable provisions of the CAROTAR. In addition, there can be a demand for the short-levied duty, interest, and penalty under the Customs Act.
Some more tedious consequential implications and challenges due to the CAROTAR can be:
1) Identical goods from the same producer or exporter shall be liable to rejection of PTT without any verification due to contravention by the importer.
2) Terms like ‘reasonable care about accuracy and truthfulness’ of information and documents received from exporter and an officer’s ‘reason to believe’ to doubt such accuracy for further verification, are nowhere defined or explained which may lead to an arbitrary extension of the jurisdiction of the authorities.
3) Strict timelines are expected to be imposed on the submission of information by the importer and on the response by verification authority in the exporting country. Failure to adhere to such timelines may lead to rejection of PTT.
4) The Authority has the power to suspend the FTT during the course of verification or allow it on provisional assessment with payment of security equivalent to differential duty, which is a long-drawn process.
5) No reservations provided on obtaining the proprietary business information from the exporter/ producer. This will give rise to conflicts and commercial disputes between parties in cross-border trade.
6) Possible investigation of past transactions.
7) Examination of all subsequent imports under PTT resulting in a delay in clearances.
Requirements
It is advisable to develop a robust system for compilation/collection of all essential information prior to import, to enable prompt and spot-on submission whenever asked by the authorities (at the time of or after import).
Conclusions we can draw
Despite the onerous requirements and compliances under the CAROTAR, the overriding effect to Rules of Origin of the respective agreement shall always give an edge to and protect the rights of the importer. One needs to see the conflicting aspects of the CAROTAR with respective Rules of Origin to take immunity from some unwanted obligations due to these new requirements.
On first reading, compliance to some aspects of the CAROTAR seems to be impossible and is an apt example of “lex non cogit ad impossibilia” due to geographic conditions, terms of agreement, jurisdiction and proprietary of the business. Such cul-de-sacs may become legal challenges to the CAROTAR if the concerned authority presses for information beyond justified limits. However, considering that the intent of the lawmakers is to only catch the foul players, it can be expected that due diligence of existing or prospective imports with proper documents will satisfy the Customs Authorities. In any case, importers should carefully avoid any ‘ignorance or omissions’ to the CAROTAR, to enjoy an uninterrupted claim of PTT.
The CAROTAR Rules 2020 can be seen as a motivator for the domestic industry as it aims to cut down on frivolous imports at a preferential rate. It also implicitly boosts the Government agenda of “Aatmanirbhar Bharat”. It will be interesting to see whether this move will achieve its desired objectives by spotting suspicious claims under PTT or end up as another dent to India’s image on ‘ease of doing business’. It may well be a roller coaster ride for the government as well as the industry.
Source: Financial Express
Minister of Petroleum and Natural Gas Dharmendra Pradhan today said that the government is exploring overseas crude storage facilities in the US and other commercially viable locations. Speaking at the ‘GCTC Energy Security Conference 2020’, Dharmendra Pradhan added that taking the advantage of low crude oil prices in April and May 2020, India filled the existing strategic petroleum reserves with 16 million barrels of crude oil, resulting in saving Rs 5,000 crore for the government. The minister further invited the participation of companies in the development of 6.5 MMT of crude storage capacities at Chandikol and Padur in the next commercial-cum-strategic reserve programme, according to the Ministry of Petroleum & Natural Gas. During 2019-20, the consumption of petroleum products was 213.7 MMT and the percentage of import dependency of oil and oil equivalent gas was 77.9 per cent, the petroleum minister had said in Lok Sabha. In an effort to strengthen energy security in the hydrocarbons sector, the country is gradually improving crude and petroleum products’ storage capacity from the existing 74 days of national consumption to 90 days. The move is made to cut India’s import dependency for hydrocarbons. Given a significantly low domestic production against the country’s overall production, India began importing crude oil from the US in 2017 to diversify import basket beyond the OPEC nations.
India eyes the US for oil imports, now for storing oil
In recent years, India has substantially increased its oil imports from the US. US oil supplies to India have jumped ten-fold to 2,50,000 barrels per day (bpd) in the last few years, visiting US Energy Secretary Dan Brouillette said earlier this year. US President Donald Trump had also mentioned that Indian imports of US oil were 25,000 bpd a couple of years ago, and have now risen to 2,50,000 bpd. At present, the US is the sixth-largest oil supplier for India. Meanwhile, Dharmendra Pradhan underlined that the oil & gas sector PSUs alone will have capital expenditure spending of Rs 1.2 lakh crore in 8,363 projects/economic activities during the current financial year. Other ministries in the energy sector also have similar ambitious Capex spending projects, to help boost employment and economic growth, he added.
Source: Financial Express
A bill that provides for a slew of amendments to the companies law, mainly to decriminalise various compoundable offences, has received assent of the President. The corporate affairs ministry will now notify separately when various provisions would be coming into force, according to an official. The Companies (Amendment) Bill, 2020 -- that also seeks to promote ease of doing business in the country -- was cleared by Parliament on September 22 when Rajya Sabha gave its nod. Lok Sabha had passed the bill on September 19. President of India Ram Nath Kovind has accorded assent to the bill, according to a notification dated September 28. The bill has now become an Act, the official said. There will be changes by way of 65 clauses, including amendments to 61 sections of the Companies Act, 2013. Besides, a new chapter related to producer organisation is being introduced in the Act, the official added. Decriminalisation of various offences and a provision to permit direct overseas listing of Indian corporates are part of the legislation. Reduction in penalties for certain offences as well as in timeline for rights issues, relaxation in CSR compliance requirements and creation of separate benches at the National Company Law Appellate Tribunal (NCLAT) are also among the amendments.
Source: Business Standard
Experts feel while certification is important to help our existing workforce get better work and wages, the rush to achieve targets has come at the cost of skilling, which was the main focus under the Skill India Mission. Government has saved nearly Rs 6000 crore or 50% of the funds allocated for its agship skilling scheme. This is despite achieving 93% of the target of skilling one crore youth in four years under Pradhan Mantri Kaushal Vikas Yojana scheme. The catch here is that the government undertook certication of the existing workforce in a big way under its recognition of priorlearning scheme (RPL) as the cost of it is one-tenth than skilling a fresh candidate and takes only a week to upgrade their skills. “We have skilled and certied 93 lakh individuals under PMKVY in four years (2016-20) and have spent just Rs 6000 crore against the budgetary allocation of Rs 12,000 crore for a four-year period,” a top oicial told ET. Skilling costs the government Rs 13,000-Rs 15,000 per candidate for three months depending on the job role while certifying the individuals with already some skills under recognition of prior learning (RPL) programme cost Rs1000-Rs 2000 for a week long course. Experts feel while certication is important to help our existing workforce get better work and wages, the rush to achieve targets has come at the cost of skilling, which was the main focus under the SkillIndia Mission. “Government is way behind its target for fresh skilling. Focus is more on certifying the individuals with some skills sets as the cost and time taken is less than fresh skilling,” an industry expert said requesting not to be identied. Another expert, who also spoke on the condition of anonymity, said there is no guarantee if the wages of the certied candidates have gone up or not post certication. “Hence, it is better that we continue to focus on skilling fresh candidates as per global standards to meet the requirements of a skilled workforce from across the world if we aim to become the skilled capital of the world,” the second expert said. Under PMKVY 2.0, the government intended to train 60 lakh youth under short-term skills training programme while certifying 40 lakh individuals under RPL. Of this 34.17 lakh have been trained as on September 21 while 33.2 lakh candidates have been trained under RPL and 1.54 lakh have been trained under special projects, taking the total number of trained candidates so far to 68.9 lakh candidates. However, training for 93 lakh candidates has been approved but could not be completed since the outbreak of Covid-19 pandemic.
Source: Economic Times
Experts feel while certification is important to help our existing workforce get better work and wages, the rush to achieve targets has come at the cost of skilling, which was the main focus under the Skill India Mission. Government has saved nearly Rs 6000 crore or 50% of the funds allocated for its agship skilling scheme. This is despite achieving 93% of the target of skilling one crore youth in four years under Pradhan Mantri Kaushal Vikas Yojana scheme. The catch here is that the government undertook certication of the existing workforce in a big way under its recognition of priorlearning scheme (RPL) as the cost of it is one-tenth than skilling a fresh candidate and takes only a week to upgrade their skills. “We have skilled and certied 93 lakh individuals under PMKVY in four years (2016-20) and have spent just Rs 6000 crore against the budgetary allocation of Rs 12,000 crore for a four-year period,” a top oicial told ET. Skilling costs the government Rs 13,000-Rs 15,000 per candidate for three months depending on the job role while certifying the individuals with already some skills under recognition of prior learning (RPL) programme cost Rs1000-Rs 2000 for a week long course. Experts feel while certication is important to help our existing workforce get better work and wages, the rush to achieve targets has come at the cost of skilling, which was the main focus under the SkillIndia Mission. “Government is way behind its target for fresh skilling. Focus is more on certifying the individuals with some skills sets as the cost and time taken is less than fresh skilling,” an industry expert said requesting not to be identied. Another expert, who also spoke on the condition of anonymity, said there is no guarantee if the wages of the certied candidates have gone up or not post certication. “Hence, it is better that we continue to focus on skilling fresh candidates as per global standards to meet the requirements of a skilled workforce from across the world if we aim to become the skilled capital of the world,” the second expert said. Under PMKVY 2.0, the government intended to train 60 lakh youth under short-term skills training programme while certifying 40 lakh individuals under RPL. Of this 34.17 lakh have been trained as on September 21 while 33.2 lakh candidates have been trained under RPL and 1.54 lakh have been trained under special projects, taking the total number of trained candidates so far to 68.9 lakh candidates. However, training for 93 lakh candidates has been approved but could not be completed since the outbreak of Covid-19 pandemic.
Source: Economic Times
The upending of rules of the WTO has unleashed increased pressure for bilateral negotiations, which is only going to increase with unenforceable WTO rulings as the recent one. But no bilateral agreement can be a substitute for the far more superior values of multilateralism—both for governments and businesses In a brief and well-reasoned report released on September 15, a World Trade Organisation (WTO) panel held that certain tariffs unilaterally imposed by the United States against China, pursuant to investigations under Section 301 of the US Trade Act, 1974, are inconsistent with the principles of the WTO. The case is of particular interest to India, since we are currently facing a US Sector 301 investigation on taxes applied on digital transactions, which was implemented under the Finance Act, 2020. India has also been consistently subjected to Sector 301 investigations on the laws relating to intellectual property and their enforcement. What is ‘S.301’ all about? S.301 to S.310 of the US Trade Act, 1974 (collectively referred to as ‘Section 301’) grant the US Trade Representative (USTR) a range of responsibilities and authorities to investigate and take action relating to foreign trade practices. The European Union had, in 1998, challenged S.304 which gives the USTR the power to impose retaliatory action. A WTO panel agreed with the EU that the statutory language under the US Trade Act constitutes a serious threat that unilateral determinations, contrary to the WTO’s Dispute Settlement Understanding (DSU), may be taken. The panel, however, concluded that “this threat had been removed by the aggregate effect” of the undertakings of the US government that it would “base any S.301 determination that there has been a violation or denial of US rights,” on the findings of a WTO panel or Appellate Body as adopted under WTO’s rules. Till recently, S.301 investigations have, therefore, been used only as a soft tool for bilateral negotiations. The underlying reason for this is because any unilateral imposition of retaliatory tariffs always runs the risk of violating the obligations undertaken under the agreements of the WTO. But as a recent report of the US Congressional Research Service (CRS, a body that provides policy and legislative analysis to the US Congress) notes, since the establishment of the WTO “the US has used Section 301 authorities primarily to build cases and pursue dispute settlement at the WTO. However, President Donald Trump has been more willing to act unilaterally under these authorities,” and that the “Trump administration’s use of Section 301 has been the subject of congressional and broader international debate.” The trigger for the current WTO panel ruling was a S.301 investigation by the US on China’s laws and practices affecting intellectual property rights and technology transfer, pursuant to which the US started imposing retaliatory tariffs in an incremental manner beginning June 2018. China did not play by the WTO rules either, and returned the favour with counter-tariffs on imports from the US. The relations between the two countries have been a hectic spate of tit-for-tat tariffs, bilateral trade negotiations and conclusion of a “phase-I trade deal,” while continuing with retaliatory tariffs. China also initiated a WTO dispute in August 2018, which resulted in the current panel ruling. The US, however, has so far not challenged China’s retaliatory tariffs, which are also without any WTO authorisation; a fact that was noted by the panel. The American argument before the panel is that the countries were engaged in bilateral negotiations, and hence a WTO panel should not entertain the dispute. This was refuted by China, stating that bilateral negotiations do not address its grievances. The panel noted that the WTO contemplates a “mutually satisfactory” solution, rather than the one based on one party’s unilateral assertion that may be satisfactory to it, but not to the other party, and proceeded to hear the dispute. Practical effect of the panel report: The WTO panel’s ruling is only a paper victory for China, an eventuality that China would have anticipated at the time of dispute initiation itself. The appellate function of the WTO has been successfully rendered dysfunctional by the US, which has consistently blocked appointment of members for over two years now. And now, to avoid the adoption of the panel report, the US will likely take advantage of the situation it was instrumental in creating, i.e. appeal to a non-existent Appellate Body. The USTR’s reaction to the panel ruling was to reiterate the Trump administration’s grievance that “the WTO is completely inadequate to stop China’s harmful technology practice.” The US had initiated consultations on China’s IPR policies for which a WTO panel was composed on January 2019; however, the US has not proceeded ahead with the dispute. The EU had challenged some of China’s technology transfer policies; it is now pending adjudication at the WTO. The WTO is not a panacea for all the problems ailing world trade, but it remains the foremost multilateral system of agreed rules on a vast range of issues, and one that can provide the forum for future rule-making as well. China’s policy of internal regulatory controls that seeks to keep out foreign competition, while aggressively seeking market access in other countries for Chinese goods, services and investment, coupled with its vast support for state-owned enterprises engaged in the same, are the challenges that need to be addressed multilaterally. ‘Trade wars’ and increasing protectionism, however, cannot achieve any real long-term solutions. And yet the upending of rules of the WTO has unleashed increased pressure for bilateral negotiations, which is only going to increase with unenforceable WTO rulings as the recent one. Such agreements can be used carefully and creatively to achieve certain shortterm objectives, including better forms of interdependence and resilience in a globally interconnected world, to deal better with any emergency—be it natural or manmade. At the same time, no bilateral agreement can be a substitute for the far more superior values of multilateralism—both for governments and for businesses. The collective strength of developing countries at the WTO has had significant outcomes such as the TRIPS amendments relating to public health, and the decision on public stockholding for food security purposes, in both of which India played a key role. For businesses, too, a multilateral system represents lesser transactional costs and greater predictability, as compared to a maze of fragmented rules under multiple bilateral agreements. Building on bilateral synergies, while developing a clear strategy for reinvigorating the multilateral rules-based system, therefore, is the only sensible way forward. On January 1, 1948, India was one of the 23 founding members of the GATT 1947, the predecessor to the WTO. India played a crucial role in the formation of the WTO in 1995. We need to play an equally effective role in the resurrection of the multilateral system. The author is partner, Clarus Law Associates, New Delhi, and specialises in international trade law and policy.
Source: Financial Express
India is likely to increase import duty on Phthalic Anhydride, a chemical used in insecticides and plastic industry, for two years from South Korea with an aim to guard domestic players from jump in the inbound shipments. The increase in duty was recommended by the commerce ministry’s investigation arm DGTR after concluding a probe into an alleged increase in imports of the chemical from South Korea following complaints by domestic firms. According to a notification issued by the Directorate General of Trade Remedies (DGTR), IG Petrochemicals Ltd and Thirumalai Chemicals Ltd had filed an application for initiation of the bilateral safeguard probe. In its conclusion, the directorate has stated that increased imports of the product have caused “serious injury” to the domestic industry. The investigation on the imports was conducted under India-Korea Comprehensive Economic Partnership Agreement (Bilateral Safeguard Measures) Rules, 2017. It is a kind of a free trade agreement. “The authority recommends increasing the rate of customs duty on imports of subject goods originating in Korea to the level of Most Favoured Nation (MFN) applied rate of customs duty on the subject goods as on the date of application of bilateral safeguard measure or MFN applied rate of customs duty on the subject goods on the day immediately preceding the date of entry into force of the Trade Agreement, whichever is less,” it said. The measure is recommended for a period of two years. For the first year, the directorate has suggested to “increase the rate of customs duty @ 100 per cent to the level of most favoured nation applied rate of customs duty”. For the second year, it has recommended to “increase the rate of customs duty @ 75 per cent to the level of Most Favoured Nation applied rate of customs duty”. The finance ministry will take the final call to impose the duty. The bilateral trade between the two countries slightly dipped to USD 20.5 billion in 2019 from USD 21.5 billion in the previous fiscal. Trade balance is highly in favour of Korea
Source: Financial Express
The mobile application, Vepar Suraksha Kavach Arjun, has data of traders, including their identity details and address, to ensure transparency in business. In a bid to identify and avoid “cheating firms”, the Surat Merchantile Association (SMA) on Monday launched a mobile application for android phones for textile traders. The mobile application, Vepar Suraksha Kavach Arjun, has data of traders, including their identity details and address, to ensure transparency in business. SMA president Narendra Saboo, a textile trader, said, “The main objective of this application is ensuring fair business practices… it will help businessmen identify cheating firm owners. The annual loss due to cheating is over Rs 500 crore with many innocent traders being victimised… some of them even committed suicide due to the losses they faced.” “We have also rated the business record of textile traders. The names of traders involved in cheating will be displayed alongwith their photos, address and shop details,” he added. The data uploaded on Arjun application, developed by Surat based IT firm Healthy infotech, was cross-verified, said jitendra Surana, core committee member of SMA. Textile traders also can put up advertisement on the portal, announce vacancies as well as update details on shifting business. There are over 80,000 textile traders in Surat city in 175 textile markets and the SMA claims to have 15,000 registered members. Gaurav Bhasin, another cofounder member of SMA, said, “We will cover the powerlooms sector, embroidery industry, as well as dyeing and printing sectors. Thousands of people from other states come to Surat to buy textiles, unaware about the trader with whom they are doing business. We will also register the cloth merchants of others states on this application later.”
Source: Indian Express
Over 8 lakh artisans and weavers from 22 States, including 17 Government Emporiums will participate in the mela. Ahead of the festive season, Amazon.in today announced the launch of a first-of-its- kind virtual ‘Handicrafts Mela’, showcasing over 55,000 unique products across 270+ art and craft forms from various parts of the country. Over 8 lakh artisans and weavers associated with 1500 Karigar sellers and 17 Government Emporiums including Tantuja, Harit Khadi, Tribes India and national level artisan organizations like Craftmark & Dastkari Haat Samiti will benefit from this Mela. The ‘Handicraft Mela’ will run from midnight of 26/9/2020 till 10/10/2020. Amazon’s Handicrafts Mela will help customers discover and purchase products from artisans and weavers from different parts of the country by visiting specific sections like handloom zone, handicrafts home décor, kitchen items, handmade toys, handcrafted festive collection and many more. Customers can also discover unique products like Sambalpuri from Odisha, Banarasi from UP, Bamboo and natural fibre crafts from north east, Dhokra craft from Chhattisgarh among many more. During the lead up to festive season sales, customers can shop for unique products available at Handicrafts Mela and get upto 50% off. Pranav Bhasin, Director- MSME and Seller Experience at Amazon India said “Exhibitions and melas have been the primary avenues through which Karigars have been able to reach their customers. However, as these on ground events have been brought to a grinding halt, the online marketplace has emerged as an avenue that these sellers can leverage to reach customers across the country during the festive season. Through a virtual Handicrafts Mela, Amazon India aims to generate consumer demand for arts and crafts that reflect the cultural heritage of the country. Considering the success witnessed by sellers through previous sale events and initiatives we rolled out, we’re optimistic about the positive impact that Handicrafts Mela will have in the lives of lakhs of artisans and weavers from across the country.” In its mission to bring all forms of Indian crafts online and expand the selection of products made available to customers, Amazon India launched the Karigar program in 2016. Since launch in 2016, Amazon.in has on-boarded more than 3000 master weavers, co-operatives, artisans and government organizations under various Ministries like Textiles, Cottage Industries, Tribal Welfare amongst others to sell online. The Karigar program has made a difference in the lives of over 8 lakh individuals’ part of artisan and weaver communities from over 22 states and union territories. Amazon.in has also partnered with 22 Government Emporiums and 5 Government bodies to showcase authentic crafts to craft lovers and increase market connectivity. Today, Karigar store showcases over 60,000 products, including 270+ unique arts and crafts from over 20 states. To aid in the revival of the businesses of these Karigars, Amazon India had announced the 10 week long ‘Stand for Handmade’ initiative in July 2020. The event proved to be a massive success, nearly doubling the sales of Karigar sellers from across the country over the 10 week period. In addition to this, the initiative positively impacted over 10,000 artisans from Chhattisgarh, whose businesses were revived through the sale of Bell Metal and Dhokra handicrafts. Over 5200 weavers from Bengal are now back to weaving exquisite weaves on their looms and over 4500 Pochampally weavers from 56 villages of Telangana have recovered and were able to resume their handloom weaving business.
Source: Business World
|
Item |
Price |
Unit |
Fluctuation |
Date |
|
PSF |
783.74 |
USD/Ton |
-0.65% |
30-09-2020 |
|
VSF |
1306.47 |
USD/Ton |
0.06% |
30-09-2020 |
|
ASF |
1759.56 |
USD/Ton |
0% |
30-09-2020 |
|
Polyester POY |
744.88 |
USD/Ton |
0% |
30-09-2020 |
|
Nylon FDY |
1950.18 |
USD/Ton |
0% |
30-09-2020 |
|
40D Spandex |
4252.27 |
USD/Ton |
0% |
30-09-2020 |
|
Nylon POY |
5278.68 |
USD/Ton |
0% |
30-09-2020 |
|
Acrylic Top 3D |
953.10 |
USD/Ton |
0.39% |
30-09-2020 |
|
Polyester FDY |
1818.21 |
USD/Ton |
0% |
30-09-2020 |
|
Nylon DTY |
1964.84 |
USD/Ton |
0% |
30-09-2020 |
|
Viscose Long Filament |
894.44 |
USD/Ton |
0% |
30-09-2020 |
|
Polyester DTY |
2199.45 |
USD/Ton |
0% |
30-09-2020 |
|
10S OE Cotton Yarn |
1715.57 |
USD/Ton |
0% |
30-09-2020 |
|
32S Cotton Carded Yarn |
2715.59 |
USD/Ton |
0% |
30-09-2020 |
|
40S Cotton Combed Yarn |
3198.00 |
USD/Ton |
0% |
30-09-2020 |
|
30S Spun Rayon Yarn |
1788.89 |
USD/Ton |
0% |
30-09-2020 |
|
32S Polyester Yarn |
1378.32 |
USD/Ton |
0% |
30-09-2020 |
|
45S T/C Yarn |
2221.44 |
USD/Ton |
0% |
30-09-2020 |
|
40S Rayon Yarn |
1935.52 |
USD/Ton |
0% |
30-09-2020 |
|
T/R Yarn 65/35 32S |
1708.24 |
USD/Ton |
0% |
30-09-2020 |
|
45S Polyester Yarn |
1561.61 |
USD/Ton |
0% |
30-09-2020 |
|
T/C Yarn 65/35 32S |
2082.15 |
USD/Ton |
0% |
30-09-2020 |
|
10S Denim Fabric |
1.15 |
USD/Meter |
0% |
30-09-2020 |
|
32S Twill Fabric |
0.65 |
USD/Meter |
0% |
30-09-2020 |
|
40S Combed Poplin |
0.94 |
USD/Meter |
0% |
30-09-2020 |
|
30S Rayon Fabric |
0.48 |
USD/Meter |
0% |
30-09-2020 |
|
45S T/C Fabric |
0.66 |
USD/Meter |
0% |
30-09-2020 |
Source: Global Textiles
Note: The above prices are Chinese Price (1 CNY = 0.14663 USD dtd. 30/09/2020). The prices given above are as quoted from Global Textiles.com. SRTEPC is not responsible for the correctness of the same.
The UK’s manufacturing sector is poised on the edge of a golden opportunity for growth, leading experts from the worlds of fashion education, retail, design and technology have agreed. Manufacturing maestros discussed the brave new world ahead of the UK’s fashion industry during a virtual panel discussion at the digital version of trade show Make it British, which took place from 24-25 September. Speakers included Omer Kulka, chief marketing officer at digital printing specialist Kornit, Fiona Lambert, who has held senior positions at retailers including Next, George at Asda and River Island, and Jenny Holloway, CEO of London manufacturer Fashion Enter. They were joined by textile designer Davinder Madaher, head of business engagement at Manchester Metropolitan University Barbara Shepherd, and Kate Hills, the founder of Make it British. Debate centred on why more retailers are looking to reshore production – bringing it back to the UK from foreign countries – in the wake of the Covid-19 pandemic, and how the UK can capitalise on its existing strengths of speed, quality and expertise. “Producing closer to the end consumer is a smarter way of doing business,” argued Kornit Digital’s Kulka. “The UK has the potential to create much more concise and focused supply chains for retailers. There are good reasons why current supply chains are built the way they are, but because of the pandemic, the entire ecosystem of the fashion industry is changing. Manufacturing was all about cost per unit, but what does cost per unit matter if you’re not selling 20% of what you produce? The reason to manufacture in the UK is [clear] from a sustainability incentive, an ethical incentive and an economic incentive – but it will be a challenge to shift supply chains.” Technology, sustainability and collaboration are at the heart of a successful future for the UK garment manufacturing industry, the panellists said. Manufacturers need to arm themselves for the future by investing in innovative technology and sustainability solutions. One such example is Kornit’s complete digital printing systems. Used by factories in more than 100 countries, Kornit offers digital printing technologies for the garment and textile industries. It allows manufacturers to create innovative business models by offering customisation and printing on-demand. Kornit also uses an exclusive eco-friendly printing process, NeoPigment, and reduces water waste. “Manufacturers and retailers need to work together,” Fashion Enter’s Holloway argued. “It is not just up to manufacturers to take on the costs of new technology and sustainability. A new age of transparency is required. There are many hardworking, skilled manufacturers out there who might not understand the complexity of new technology and audits, and need help and support. A good relationship between manufacturer and retailer is a win-win for both parties, it goes both ways.” We have to look at the technology as an enabler to achieve something bigger Omer Kulka, chief marketing officer, Kornit Kulka agreed: “There is not one piece of technology that can secure the future of UK manufacturing – it is about using the best technology on offer and building infrastructure and partnerships. We have to look at the technology as an enabler to achieve something bigger and meet the requirements of today’s consumers and the changing retail model.” Covid-19 has been devastating for the fashion and retail industry in many ways, but it has also shown the many strengths of the UK manufacturing industry. Many brands with onshore manufacturing capabilities, including Burberry, Barbour and David Nieper, turned their hands to making personal protective equipment (PPE) for the NHS and the public when the country needed it most. As factories in offshore manufacturing markets were forced to close, retailers also turned to UK production. “No-one can beat the UK for speed,” said Holloway. “No-one could have predicted Covid19 but it has proved the beauty of UK manufacturing, which is that you can buy small and react quickly, going back to do bigger buys of winning product if needed. The next revolution for the sector will be all about print and being able to print on demand. It is a fantastic time for the UK garment industry.” Lambert added: “Covid-19 has made businesses relook at UK manufacturing and that is an amazing opportunity. We have to seize it. Grabbing this opportunity will take lots of hard work and collaboration but it goes back to that old saying: “if not now, then when, and if not us, then who?” Consumers are buying more and more online and that isn’t going to swing back. When you’re buying for ecommerce you need a breadth of products but less depth, to buy quicker and in less quantities, which UK manufacturing is perfect for.” Making sure the next generation of fashion talent understands and appreciates UK manufacturing will also help the sector secure a strong future. “We teach our students that to be the best buyer, or the best designer, they have to understand how products are made and the advantages of manufacturing in the UK,” said Manchester Metropolitan’s Barbara Shepherd. “All our students are interested in sustainability and how to manufacture ethically. There are a lot of negatives to come out of the Covid-19 pandemic, but it has given our industry a once in a lifetime moment that we need to all grasp.” With so much of the future still uncertain as the Covid-19 virus continues to hold the world in its grip, retailers need to build reliable, fast and trustworthy supply chains. Manufacturing in the UK gives the industry the chance to meet consumer’s changing needs. And to meet retailer’s demands, manufacturers must be equipped with the latest technologies, with sustainability at their core.
Source: Drapers
Vietnam’s textiles enjoying preferential export tariff to the Eurasian Economic Union (EAEU) are likely to surpass the trigger level which results in the application of a safeguard measure cited in the Vietnam-EAEU Free Trade Agreement (VN-EAEU FTA), the Ministry of Industry and Trade (MoIT) has warned. Vietnam’s textiles enjoying preferential export tariff to the Eurasian Economic Union (EAEU) are likely to surpass the trigger level which results in the application of a safeguard measure cited in the Vietnam-EAEU Free Trade Agreement (VN-EAEU FTA), the Ministry of Industry and Trade (MoIT) has warned. In a diplomatic note sent to the MoIT on September 15, the Eurasian Economic Commission noted that women’s wear shipped from Vietnam from the start of the year to July hit 79.4 percent of the trigger level. According to the MoIT, the EAEU may apply a trigger safeguard measure for Vietnamese goods in case the import volumes during a calendar year exceed the trigger level. Depending on the exceeding import volumes, Vietnam’s textiles may face most favoured nation (MFN) treatment for six or nine months. Firms exporting such products to the EAEU are advised to devise plans in an appropriate, timely and effective manner.
Source: Vietnam Plus
Apparel industry of Turkey has always been one of the leading industry in Turkey mainly due to its widespread and innovative manufacturing power and features of competitiveness. The Turkish apparel industry is listed 6th largest exporter in the world and the 3rd largest supplier to the EU. The Turkish apparel industry exported nearly 18 billion $ in 2019 with more than 10 thousand of manufacturing and exporting companies. The Turkish apparel manufacturers are supplying to global buyers and brands in many countries around the globe. Aegean Region of Turkey has a significant place in apparel manufacturing in Turkey. Over 1.000 member companies which are located in/or around the Aegean Region of Turkey and active in the fields of manufacturing and exporting a wide range of top quality apparel products are represented by Aegean Apparel Exporters’ Association. Exports realized by members of the Association total up to 1,3 billion $ per year. The Aegean Apparel Exporters’ Association works in promoting apparel exports of the Aegean Region and Turkey, expanding the range of export products as well as finding new markets. The Aegean Region is one of the most important centers for manufacturing exclusive apparel products. Aegean apparel manufacturers have many competitive advantages in terms of design capabilities in comparing other countries thanks to its talented designers, young and qualified workforce and also design background & cultures. Besides design capabilities, the Aegean manufacturers have strong transportation and communication network as well as have taken advantage of flexibility which means capable of producing small and large quantities. Being a center of production of the high quality “Aegean Cotton”, the region has established itself as a manufacturing hub of knitted and woven men’s, women’s, children’s and babies wear. Moreover, the region has specialized in the manufacturing of organic textiles and apparel. In our area, many companies have Global Organic Textile Standard Certification. The Better Cotton production is also an increasing trend. The region is a reliable production partner for many worldwide known brands and retail chains by being flexible in terms of production & delivery times and a fashion-oriented mind as well as taking advantage of geographical proximity to the European market. Regarding the sourcing practices, sourcing volume will likely shift from the traditional production centers to the other countries over the next period to mainly Turkey and the countries that are located in the Mediterranean basin will likely have sourcing advantages (nearshoring market) for Europe. Sustainability is one of the top priorities of the Association amid Covid-19. The Aegean apparel manufacturers had already noticed the necessity of sustainable production before Covid-19 and declared the year of 2020 as “The Year of Sustainability” and has conducted a number of projects to raise awareness among its members. Aegean Apparel Exporters’ Association established a new cluster for “Sustainability Project” that aims to optimize managerial and operational process of the 30 member companies. Aegean Apparel Exporters’ Association became the first Exporters’ Association in Turkey which became a member of United Nations Global Compact, the world’s largest corporate sustainability initiative and it focuses on universal principles on human rights, labor, environment and anti-corruption. The Association is planning to develop further projects, webinars about sustainability to increase the capabilities of its members in the next period.
Source: Fashion United UK
Elevate Textiles, a provider of advanced, high quality products and mission critical textile solutions, has announced that its American & Efird (A&E) division is set to purchase the high performance yarn business of Charles Craft. Charles Craft is a manufacturer of highperformance flame resistant/cut resistant industrial yarns and other specialty products. The purchase is expected to close in early October. The combination of these legacy brands brings together leading technical yarn expertise and expands A&E’s product offering related to thermal protection, cut resistant and flame retardant yarns. The purchase includes the assets of the Charles Craft manufacturing operation in Hamer, SC, which will operate as part of the A&E US manufacturing platform, according to a media statement by Elevate Textiles. “We are very excited to welcome the Charles Craft high performance yarn line-up into the A&E and Elevate family of brands. Charles Craft is a respected brand in the industry known for its high-end industrial yarns and quality service to the safety apparel markets. Bringing together these two longstanding brands benefits both and allows us to support our combined customer base with an expanded product offering and enhanced technical expertise, all with the same reliable service they expect,” Mark Hatton, managing director at A&E said. “Charles Craft is excited to have its performance yarn business become part of Elevate Textiles and join with some of the industry’s most iconic brands. More than 53 years ago my father, Charles Buie, acted on his life-long dream to create a small business, which grew into a leading industry brand. Becoming part of the larger A&E brand provides new life and longevity to our well-known technical yarns, while offering new opportunities for our employees and customers. We are committed to a very smooth transition for our customers and look forward to greater collaboration and synergies ahead,” Frank Buie, vice president of sales for Charles Craft, who will join A&E as part of the sales management team said.
Source: Fibre2Fashion
The autumn edition of the Yarn Expo proved its importance to the industry as a vital business hub, and additionally this year as a chance to reconnect and recover both in-person and virtually. The leading first yarn & fibre industry event was held from September 23-25, 2020, at Shanghai’s National Exhibition and Convention Centre with 15,707 visitors. Around 419 exhibitors from six countries and regions including China, Hong Kong, India, Pakistan, the US, and Vietnam, took part in the fair. Yarn Expo answered the current and future needs of the industry, a number of themed areas and events featured at the fair. This included the China Fibre Fashion Trends Display Zone, China Knitted Fancy Yarn Trends Display Zone, New Fibre Horizon – Textile Material Innovation Forum, and Product Launch Conference, according to a press release by Messe Frankfurt. “We are very pleased that we have been able to successfully hold the Yarn Expo and Intertextile Apparel fairs in both Shenzhen in July and now in Shanghai on schedule this year, as we know how many companies rely on these platforms to generate new business and foster existing relationships. From the feedback from participants this week, it’s clear these events have provided a real boost to help their businesses to make up some of the ground lost earlier in the year, and to look forward to the seasons ahead with some confidence. What’s more, the chance to reconnect in-person was widely acclaimed, while the new online platforms have been especially well-received by international exhibitors and buyers who were unable to be physically in Shanghai this year as a further increase to their outcomes from the fairs,” Wendy Wen, senior general manager of Messe Frankfurt said. “We always visit both editions of Yarn Expo to check out the new trends. This year, especially after the pandemic, we really needed to be here to see how the textile industry is going to evolve. I’ve attended a few seminars and they are very inspiring. Last year, we purchased a seaweed fibre that I learned about in a seminar. I really prefer sourcing in a physical fair because it’s much easier when I can meet face-to-face with the suppliers, as well as touch the products to feel the quality. Yarn Expo is the most professional fair of its kind in China, so I’m very glad the autumn edition went ahead as planned. It’s been an effective sourcing trip,” Maggie Lu, sourcing manager, Orkla Group Procurement Hub Shanghai, China said. Yarn Expo Autumn 2020 was held concurrently with Intertextile Shanghai Apparel Fabrics – Autumn Edition, PH Value, and CHIC, providing a concentrated overview of the latest trends and developments in the textile sector.
Source : Fibre2fashion
