FW
The decline in cotton production in Gombe State and the country in particular has been attributed to a lot of factors with the government taking the larger part of the blame.
Farmers, especially, yearn for the good old days when cotton farming and production was attractive and rewarding and plead with government to return them to those glorious days.
Gombe, usually referred to as Gombe State is located in the north eastern part of Nigeria. There, the history of cotton production dates back to the 1940s when the British Cotton Growers Association (BCGA) set up a collection centre about five kilometers from the then Gombe town from where they collect cotton from farmers after the harvest season.
The development led the colonial masters, who ruled the country at the time, to construct a railway line linking Gombe and Lagos for easy transportation of cotton to the seaports in Lagos and onward export to Liverpool in the United Kingdom and other developed countries.
The BCGA area, which was initially a collection centre, gradually metamorphosed into a residential area after labourers who usually spend the night there loading cotton into the trains for transportation to Lagos, started to build houses and settle with their families.
In the late 1970s and early 80s, the BCGA area gradually merged with the nearby villages to form the BCGA residential quarters in the present Gombe State.
Nevertheless, there are still some indigenous companies like Nasara Agro-Industrial Company Limited (NAICO), West African Cotton (WACOT) and OLAM that buy cotton from the farmers, process and sell to textile owners outside the state as there is no single textile factory there, according to All Farmers Association of Nigeria (AFAN).
The withdrawal of government from cotton farming dealt the sector a huge blow from which it is yet to recover 20 years hence. Apart from lack of good seedlings, pesticides, fertilizers and stable price, insecurity is another problem that contributed in crippling cotton production in Gombe. It was gathered that herdsmen invaded the farms and destroyed crops, close to the time of harvest.
Encouraged by good rains and higher prices, farmers across India have sown a record area of different varieties of pulses, shows data released by the agriculture ministry.
So far, an area of 12.1 million hectares has been planted with pulses, over 11% more than the five-year average sowing of the crop.
While these numbers could rise as the data is gradually updated compared to year-ago figures, sowing of pulses is said to be nearly 35% more -12.1 million hectares as against 8.97 million hectares in 2015-16.
While areas under pulses touched a record high, sowing of cotton has shown a 12.6% downward trend compared to the normal on fears of pest infestation, the data adds. So far, an area of 9.65 million hectares has used for planting of cotton compared to 10.57 million hectares planted in the same period last year.
Interestingly, the data shows that while the area under the genetically modified Bt cotton fell from 9.7 million hectares in 2015-16 to 8 million hectares in 2016-17, area under non-Bt desi (indigenous) cotton rose from 0.88 million hectares to 1.66 million hectares during this period.
The reason for the reduction in area of cotton seed sowing in the current year is the fear of whitefly infestation in Punjab and Haryana and pink boll worm in central and southern India, said a note from the agriculture ministry.
With a few days before there could be an increase in cotton prices, farmers can expect prices to range between 65 cents and 78 cents over the next few months, according to a Texas A&M AgriLife Extension Service cotton economist at College Station.
Overall, there is a weak demand, said Dr. John Robinson, cotton economist Texas A&M AgriLife Extension Service, who spoke during the Ag Market Network’s roundtable at the New York Stock Exchange recently.
Over the last 30 days, the Texas cotton crop has been hit hard with excessive hot, dry weather. Harvest projections for Texas are 7 million bales on the higher side, Robinson claimed. The low side would be the five-year average for Texas excluding the 2011 result of about 5.5 million bales, Robinson said.
Robinson said the Blacklands region has a few areas that could surprise a lot of folks once harvest activities begin in another month.
Harvest activity in South Central Texas will begin in another 30 days or so. Robinson said timely rains will help boost yields leading to harvest.
Cordura has launched a range of denim fabrics in collaboration with Artistic Milliners.
Cordura is a brand belonging to Invista. Artistic Milliners is a denim fabric and apparel manufacturer from Pakistan. It has produced the collection by using Cordura fiber technologies combined with tencel fibers. Artistic Milliners is known for denim innovations and goes beyond traditional heavy denims, to denims that can sit effortlessly with the wearer throughout the day - wherever they may go. By blending these fibers the company has been able to take performance denim to another level.
Cordura Denim Infinity fabrics were developed in order to integrate the best of both worlds – softness with strength, fashion and function, durability with definition. Tencel fiber brings additional comfort, strength and sustainability benefits to the collection. The denim range is part of Cordura’s Authentic Alchemie collection.
With leading brands including Lycra, Coolmax, Cordura, Stainmaster and Antron, Invista is one of the largest integrated producers of chemical intermediates, polymers and fibers. The company’s Cordura fabric, known for its resistance to abrasions, tears and scuffs, is a primary ingredient in many high-performance gear and apparel products ranging from luggage, upholstery and backpacks to footwear, military equipment, tactical wear, work wear and performance apparel.
In the coming years, many industries in Vietnam, especially those pertaining to engineering, information technology, health care, textiles and footwear, will have a great demand for employees.
In the Vietnam Industry Development Strategy to 2025 with a vision to 2035, the Government has decided to give priority to develop three industries including the processing and manufacturing industry, electronics and telecommunications and new and renewable energy.
The strategy will target key sectors, including electricity, mineral exploitation and processing, construction material production, agro-forestry-aquaculture processing, food, beverage, chemicals, garment and textiles, footwear, electronics, IT, mechanics, metallurgy and petroleum.
The situation shows that the labour force is likely to have more opportunities to seek jobs. Totally, demand for professionalised human resources, the engineering and technology sectors account for the highest proportion with 35 per cent followed by the group of economics, finance, banking, legal and administrative works with 33 per cent; the natural science industry, 7 per cent; and others 3-5 per cent.
According to the International Labour Organisation (ILO), the number of jobs in Vietnam is likely to increase by 14.5 per cent by 2025, thanks to the country’s participation in the ASEAN Economic Community (AEC).
Vietnam is predicted to receive a strong increase of foreign direct investment (FDI) flow especially in manufacturing and IT sectors and food production and processing industries, when the Trans-Pacific Partnership (TPP) agreement is officially signed.
Meanwhile, sectors such as textiles, footwear, handicrafts, electronics, wood and furniture, and aquatic product processing are expected to expand, which will be creating more jobs.
In the international cotton market, prices remain firm though China is likely to extend the cotton auction, which is mainly supported by the tight supply.
Pakistani cotton has begun to arrive on the market, but the quantity is small. Australian cotton output is less than 0.50 million tons. US, Indian, Uzbekistani, West African and Turkish cotton will arrive in November. So international cotton supply will remain tight till November.
For China, state cotton auction can refill the demand, so imported cotton yarn prices continue to be higher than Chinese cotton yarn prices. With the tight cotton supply till November, imported cotton yarn inventory at major Chinese ports don’t amount to much. With lower import volumes and higher prices, Chinese cotton yarn prices are not likely to fall.
With the fall in spot cotton prices, traders show lower interest in auctioning reserve cotton. Cotton supply for textile mills is expected to increase later. Cotton yarn prices are also ticking down.
The weaker sentiment has also passed on the downstream fabric market.
Chinese auction of state cotton may be extended from August 31 to September 30.
Looking at cotton yarn costs calculated by cotton futures, Chinese cotton yarn costs are lower than Vietnamese cotton yarn costs.
After declining in the first fortnight of July, the prices of Brazilian cotton started regaining lost ground and started its upward march in the second fortnight of July.
Although harvesting of the 2015/16 crop was steady and firm, the availability of cotton in the spot market fell in mid-July. This factor pushed the cotton prices upwards.
‘Keeping an eye on international price rises, Brazilian cotton sellers pushed for quicker deliveries in the domestic market, leading to a quickening of pace in cotton trades,’ the Center for Advanced Studies on Applied Economics (CEPEA) said in a report.
Although textile mills were slower in purchasing cotton in late July, Brazilian traders ensured higher liquidity and stability to prices.
In the second fortnight of July, traders searched for batches to accomplish contracts for prompt-delivery, while processors were cautious about buying new batches, concerned with the prices.
Brazilian cotton growers continued harvesting and processing cotton from the new crop but a lack of rains in some producing regions, resulted in a production break, a scenario that concerned growers.
Between June 30 and July 29, the CEPEA/ Escola Superior de Agricultura Luiz de Queiroz (ESALQ) Index cotton type 41-4 delivered in São Paulo with payment in 8 days dropped 1 per cent, closing at BRL 2.63 or $0.8123 per pound on July 29.
Bangladesh is interested in cotton from Australia.
While Australian cotton is expensive for Bangladesh’s spinners, tie-ups between textile companies in Bangladesh and big retail buyers in Australia are proving to be a lucrative and growing channel for Australian cotton growers.
Australia’s trade with Bangladesh has grown steadily over the past few years. With a growing middle class of around 30 million, Bangladesh is also developing as a significant consumer market, while exports account for 25 per cent of GDP.
Bangladesh is the second largest cotton importer in the world and has recorded an annual growth of six per cent since 1990 due to its growing textile industry. It is also the second largest garment exporter in the world, with readymade garments accounting for nearly 80 per cent of the country’s export revenue. Yet, as only 0.1 million bales are produced locally, Bangladesh imports more than six million bales of cotton. This is projected to double within four years and see Bangladesh overtake China as the world’s largest importer of cotton.
Australia is the world’s fourth largest cotton exporter and has earned a reputation as a reliable supplier of high-quality cotton which has almost zero contamination. Short shipping times from Australian ports, in Brisbane, Sydney and Melbourne, to Asian markets provide added advantages.
Grafica Flextronica, a manufacturer and exporter of screen printing machines, has teamed up with Aeoon Technologies, Austria, to market their digital textile printing machines in the Indian market by displaying the latter’s digital textile printing machine at the show.
Aeoon's CEO, Angelo Schiestl, who will be present at KnitShow said that it is true that digital DTG presses were hitherto used for low volume or novelty production, but with Aeoon's new technology, it can now become the industrial production method for garment decoration.
Bhargav Mistry, managing director at Grafica Flextronica, said that both digital and screen printing technologies can co-exist. While digital press can be used for printing spot and CMYK colours even with big quantity, screen printing process would still be required to print high density and special effects.
The Aeoon machine can reach printing speed of up to 950 t-shirts per hour (A4 print size, depending on image and resolution). The machine is available with four or eight print heads that can be configured according to requirement.
Till-date, two Aeoon digital textile printers have been sold in India through their partner Grafica. Since its launch, KnitShow, the one-stop sourcing and selling platform, is getting bigger every year. This year, the show, to be held in Tirupur from 7 to 9 August, will provide an opportunity for garment manufacturers and printers in the city to experience live demonstrations.
Knit Show, organized by City Leaves, is the definitive gateway that shares local knowledge and helps businesses reach out to the textile and garment machinery and accessories market worldwide.
"The UK shook the world with Brexit vote as the country is the fifth largest economy of the global market and second in the EU after Germany. Brexit will not only result in crucial changes for the UK and its economy but also for the whole region. The leaving process is expected to take 2-3 years and is expected to have a major impact on Turkish economy."
The UK shook the world with Brexit vote as the country is the fifth largest economy of the global market and second in the EU after Germany. Brexit will not only result in crucial changes for the UK and its economy but also for the whole region. The leaving process is expected to take 2-3 years and is expected to have a major impact on Turkish economy. As an important partner in both export and imports, the UK counts among crucial markets of textiles and ready-to-wear industries. Experts feel rapid new trade regulations should be developed with the UK as it is set to exit tariff union once Brexit is complete.
Turkey-UK Foreign Trade
The total foreign trade volume between Turkey and the UK was approx imately $16 billion in 2015. Turkey has been importing more from the country since 2001. As per 2015 data, exports from Turkey to the UK were $10.56 billion while imports were around $5.54 billion. Exports to that country increased 80 per cent in the last decade. Turkey’s total exports to the UK were up to $3.5 billion.
Turkey exported textile and RMG, electronic and non-electronic machines, etc to the UK, while importing electronic and non-electronic machines, etc. As an important partner supporting Turkey’s EU membership, the UK is known to have $1.3 billion investments in Turkey.
UK is the second largest market for RMG Turkey’s 13 per cent of total 2015 RMG exports at $17 billion, were made to the UK out of which $2.2 million were achieved as income. Thus, the UK was the second largest market for Turkish garments after Germany. The industry’s exports to the UK was $671 million in January-April 2016. Meanwhile, Turkey imported only around $21.8 million from the UK during 2015.
Textile and raw materials industry exported worth $330 million to the UK in 2015, while the country ranked fifth gaining 4 per cent in textile exports. In January-April 2016, textiles exports to the UK was down 2.8 per cent to around $135.5 million. Looking at imports of textile and raw materials from the UK, it was $76 million during 2015.
New opportunities
According to İHKİB President Hikmet Tanrıverdi, the UK is the second RMG market for Turkey following by Germany, adding that exports were on a positive path during the first 5 months of 2016. Analysts foresee the country will grow 6 per cent less until 2030 following the exit. Therefore, Turkey may see some negative reflections on trade with England. Nevertheless, the country may witness some positive impacts and Brexit may open new opportunities for their exports as well. Brexit will push the UK out of Tariff Union and Turkey and the UK should create a new mechanism for foreign trade rapidly.
UK is an important market for Turkish ready-wear industry, according to TGSD President Şeref Fayat, the country is the only one for which Turkey records foreign trade surplus. He argued that UK leaving Tariff Union and possible duties on Turkish exports will cause negative affects particularly for ready-wear industry. If the UK does not sign FTA with Turkey once it leaves the EU, they may face a dramatic end-up similar to the US, to which our export goods are due to 30 per cent duty.
