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India’s first textiles city is likely to come up in Andhra Pradesh. The central government has already initiated the process of identifying land, technology and expertise for the purpose. The buzz is textiles minister Smiriti Irani has spoken to Andhra Pradesh chief minister N Chandra Babu Naidu for providing land and other facilities. With Naidu’s Telugu Desam Party being an ally of the ruling National Democratic Alliance at the Centre, the proposal, mooted by the Niti Aayog, is likely to be accepted. Irani, along with Naidu and top officials from Niti Niti Aayog are likely to visit China to get a first hand information on the working and structure of the proposed mega textile city.
It may be recalled the Ministry had announced a special package for the textile sector in June aimed at improving India’s competitiveness which would lead to greater production. The package is estimated to cost Rs 6,000 crores, which includes funds for additional five per cent duty drawback for the garments sub-sector. The government will also bear the cost of employers’ contribution under the Employees’ Provident Fund scheme for new employees of the garment sector earning less than Rs 15,000 a month for the first three years. The textiles sector is the largest employer in the country, employing 32 million people and is critical to Prime Minister Narendra Modi’s plans of creating jobs in the country.
Guess is an American clothing brand reports its Q2 earnings for FY17 which saw an increase of 76.4 per cent as against the second quarter of fiscal 2016. Diluted earnings per share too soared 81 per cent for the second quarter compared to the earlier fiscal’s second quarter. During the quarter, Guess saw gains from sale of a minority interest investment of around $22.3 million. Excluding the gain from the sale of the minority interest investment, adjusted net earnings were $12 million and adjusted diluted earnings per share were $0.14 dollars during the second quarter of fiscal 2017.
In the quarter under review, net revenues however, fell marginally to $545 million vis-a-vis $546.3 million in the fiscal ago quarter, while they rose 0.5 per cent in constant currency terms. Operating margin in the second quarter of fiscal 2017 also declined 190 basis points to 2.9 per cent versus 4.8 per cent in the corresponding period of the previous fiscal.“Operating margin fell mainly due to higher expenses, driven by retail expansion and the negative impact from currency exchange rate fluctuations, partially offset by lower charges related to legal matters.
GST may be in place by April 2017. The proposed levy will be a single tax that will cover all levies at the Centre and state levels, including entry tax. It is a value-added tax, which means a levy at each stage of production, sale or consumption will be set off against taxes paid in the previous stage. It is expected to benefit consumers and help government revenues and add to overall economic growth.
States want the GST rate to be upward of 20 per cent to protect their revenue. The one nation, one tax regime is expected to help Karnataka’s growth and also help draw investments. West Bengal which had strongly supported passage of the bill seems to have adopted a wait-and-watch policy as it has deferred the date for the debate on the issue. Karnataka is also taking its own time to approve the legislation.
Once GST comes into effect, all central- and state-level taxes and levies on all goods and services will be subsumed within an integrated tax having two components: a central GST and a state GST. This will ensure a complete, comprehensive and continuous mechanism of tax credits. Under it, there will be tax only on value addition at each stage, with the producer/seller at every stage able to set off his taxes against the central/state GST paid on his purchases. The end-consumer will bear only the GST charged by the last dealer in the supply chain, with set-off benefits at all the previous stages.
The Union government is rethinking capping the price of Bt cotton. This move comes three months after it issued a controversial gazette notification that armed the government with powers to intervene in the seed market to fix the prices of Bt cotton seeds, the genetically engineered cotton crop cultivated all over the country. Facing sharp criticism, the Union agriculture ministry withdrew the notification but later put out the same as a draft proposal and sought public comments. The ministry is now evaluating public opinion and will consult all stakeholders before finalising the guidelines, sources said.
With the ministry set to debate the prices of Bt cotton seeds, as many as 10 Indian firms have teamed up to put up an unified front to take on the government. These companies are: Bayer, Dow Agro, Dupont Pioneer, Mahyco, Metahelix, Monsanto, Namdhari, Rasi Seeds, Shriram Bioseeds and Syngenta. They joined hands earlier this week to form the Federation of Seed Industry of India. Together these companies constitute more than 30% of India's GM seed market.
Several companies are of the feel the government’s plan to control cotton seed prices was a retrograde step that would destroy the industry.
Bangladesh is the second largest producer of denim products after China. The country ships around 180 million pieces of denim jeans around the world annually. In last seven months, the country’s garment makers exported nearly 200 million pairs of men’s and boys’ jeans.
Bangladesh’s denim producers are helped by the fact that orders are shifting to them from their rivals. To cope with the increasing demand, the country's denim industry is poised to go for expansion and upgradation. A good price range and quality are the two factors helping Bangladesh to increase its denim exports. In last seven month of 2016, exports of denim products to the US and EU rose by roughly 25 per cent.
Brands like Charles Voegele, G-Star, Jack and Jones, s.Oliver, River Island, H&M, C&A, PVH and Gap have turned to Bangladesh in the last couple of years for denim product imports. Many companies in Bangladesh are doubling their capacity. New export orders for denim goods have surged by nearly 20 per cent when fresh orders for knitwear and other woven products are on the wane.
Bangladesh produces 30 million yards of denim a month against a monthly demand of nearly 60 million yards. Around 25 domestic denim makers supply 50 per cent of the demand.
Cotton ginners in Haryana have said they will not to start operations this season unless the Haryana government addresses their grievances regarding refund of VAT and reduction of the market fees. The ginners also want the exclusion of ‘Kutcha arhtiyas’, commission agents in grain markets from purchasing raw cotton from farmers. The ginners, want the market fee plus the Haryana Rural Development Fund (HRDF) on cotton reduced from 4 per cent to 1.6 per cent as was being done since 2011-12 and refund the extra VAT they will have to pay on raw cotton in the wake of the government’s waiver on cottonseed and oilcakes. The government issues a notification for this purpose every year. However, no notification has been issued this year so far, members of the Haryana Cotton Ginners Association rue.
It may be remembered that the National Agriculture Marketing (NAM) initiated by Prime Minister Narendra Modi has a provision for farmers selling their produce directly to millers without the involvement of commission agents.
"In an attempt to solidify Hong Kong’s position as a hotspot for global fashion and style, Hong Kong Trade Development Council (HKTDC) is all set to launch CENTRESTAGE, a brand new fashion promotion and launch platform, to be held from September 7 to 10, 2016 at the Hong Kong Convention and Exhibition Centre (HKCEC)."
In an attempt to solidify Hong Kong’s position as a hotspot for global fashion and style, Hong Kong Trade Development Council (HKTDC) is all set to launch CENTRESTAGE, a brand new fashion promotion and launch platform, to be held from September 7 to 10, 2016 at the Hong Kong Convention and Exhibition Centre (HKCEC).
Organised by the Hong Kong Trade Development Council (HKTDC), the trade show will feature some 200 fashion brands from 20 countries and regions, as well as more than 50 spectacular events, including the large-scale opening gala fashion show ; CENTRESTAGE Elites’ and around 30 other fashion shows. There will also be designer sharing sessions, industry seminars, networking events and more. The trade show is supported by local and overseas industry players, and is expected to attract buyers, particularly select shops, department stores and e-tailers, as well as fashion media and fashion enthusiasts in the region. Designers and guests at the press conference include local designer Mim Mak as well as Simon Choi, Project Director of Fashion Mirage, Hong Kong Fashion Designers Association and Elina Lee, Director of Partnership, Marketing, Communications, Events & Special Projects, Hong Kong Design Centre (HKDC).
Fashion shows interspersed with informative seminars
Spread over four thematic zones: Glam, Allure, Metro and Forward, CENTRESTAGE will see participation from Chinese mainland, Taiwan, Japan, Korea, Malaysia, Thailand, India, Australia, the United States and Europe. The show will also be attended by various trade organisations like Hong Kong Fashion Designers Association, the California State Trade and Export Promotion & Center for International Trade Development from the US, the Taiwan Textile Federation and the Thailand Textile Institute. The event will showcase almost 30 fashion shows featuring brands like 45R, anagram, ANTEPRIMA, Aquascutum, ARTHUR LAM, ATSURO TAYAMA, Charmante, Galtiscopio and more.
Forecasting trends in fashion and retail
Apart from the fashion shows the event will have in depth seminars, analytical discussion with experts from WGSN and Fashion Snoops to forecast fashion and retail trends for the coming year. The seminar CENTRESTAGE Elites will focus on Asia’s design influence on international styles and trends. There will also be seminars to grasp the latest developments in global market. The event has been designed to become a signature fashion event for the region showcasing the best of fashion and styling in Asia. To promote CENTRESTAGE the first of its kind fashion event, HKTDC is launching a citywide campaign ‘Hong Kong in Fashion’, an aggressive promotional series.
HKTDC is the international marketing arm for Hong Kong-based traders, manufacturers and services providers. With more than 40 offices globally, including 13 on the Chinese mainland, the HKTDC promotes Hong Kong as a platform for doing business with China and throughout Asia.
World’s leading manufacturer of technical textiles, Freudenberg Performance Materials has launched an open innovation competition under the name ‘Next-Generation Nonwovens’. The company has invited external developers, scientists, students, organizations and other interested parties to submit their ideas in response to two questions. First, how can nonwovens be developed from polyester, which will then be biodegradable within defined time period and the second is how can highly transparent fibers be developed that are suitable for the production of polyester nonwovens. The deadline of the competition is November 30, this year.
Elaborating on the background Frank Heislitz, Chief Technology Officer at Freudenberg Performance Materials said the company wants to encourage all experts, not just its internal teams to get involved at the very earliest idea-development stage. The competition is part of Freudenberg’s ideaTrophy program through which the Group has in the past sought external responses to various topics, such as renewable energy, water and health.
Despite having what it takes for a thriving textile industry, Nigeria spends around over $4 billion yearly on imported textile and other readymade clothing. The industry, that is said to be the second largest employer after the government, has been going through a bad patch due to lack of infrastructure and smuggled textile from Asian countries, especially China. Brushing away fears, Director-General, Nigerian Textile Manufacturers Association (NTMA), Hamma Kwajaffa said despite the prevailing harsh operating environment, the situation is redeemable.
He believes what is required to turn around the industry is for the government to address key issues raised by operators in the cotton and textile value chain. This, is the only way recent initiatives unveiled by government to revive the sector will yield results. The NTMA boss feels influx of smuggled textiles into major markets in the county not only undermines local industry but also denies Nigerians the opportunity of getting employed. Worse still, uncontrolled import of fake and sub-standard textiles into the country deprives the government of revenue while also draining the country’s precarious foreign exchange reserves.
It is understood that about eight issues have been brought to the notice of the government and that most of the issues for which its intervention was sought are within the ambit of existing policy framework whereas some require new initiatives. Summing up, Kwajaffa says these measures to revive the textile industry have become necessary in view of the fact that the country has the potential to produce for the local market and also export to the Economic Community of West African States (ECOWAS) market of 175 million people as well as to the developed world.
American company Wazoodle, which provides a variety of different fabrics and sewing materials online through its official website Wazoodle.com, is working towards the bringing leadership back to the American textiles. It would also help in making the fabric available at an affordable cost and create more job opportunities for fellow Americans. Since 2010, the company has managed to create more than 500 jobs in the country. Aimed at reviving the textile industry in the United States, Wazoodle wishes to promote in-house manufacturing in the country. It specializes in selling high-quality fabrics, diaper sewing supplies and sewing accessories at an affordable cost. The company happens to be the brainchild of a bunch of highly educated professionals Arch and Sid who left their managerial jobs to move to the US for their college-bound children Karishma and Ashrey.
As a quality and change management expert, Arch found a position in the medical device industry while Sid, being a textile engineer started working in a mill. Together they formed AKAS, (for Arch, Kay, Ash, and Sid) which will be committed to full-time manufacturing and supplying fabrics to the customers.
The group’s mission was to make textiles in the US and within a few years they started making good sales. While they were looking for the opportunity to expand, they decided to buy an in-trouble textile company in Canada called Wazoodle Fabrics. After the purchase, the company started doing well and gained popularity among the customers across the country.
At Wazoodle, they care about the environment and believe in reuse and recycling as well as minimize wastage. All the fabrics are made under Sid’s supervision who has an experience of 40 years as a textile engineer with strong attention to detail. He ensures that the fabric is made without toxic substances using the best raw material available.
