FW
The governor of Punjab, Muhammad Rajwana has assured All Pakistan Textile Mills Association (APTMA) members that he will take up all issues related to the Punjab-based textile industry with the Prime Minister Shahid Abbasi. "I fully understand your problems and would join you to get them resolved from the federal government," he noted. He was addressing the textile association during his visit to APTMAs Punjab office on Wednesday.
Representatives from the Pakistan Textile Exporters Association, the Pakistan Hosiery Manufacturers and Exporters Association, the Power Loom Owners Association and the Pakistan Sweater Exporters Association were also present on the occasion. The governor expressed his displeasure over the increasing number of mills that were closed in Punjab. He disclosed the textile mills in Punjab were facing issues right from cotton to value added exports. He noted that the trust deficit between industry and policymakers is alarming.
Discussing the damage caused to the cotton acreage due to sugar industry issues, he expressed his view that no industry should succeed at the cost of another. He further said that the textile industry should be permitted to import cotton from all sources including Afghanistan to meet the current shortage.
He was aware that APTMA was agitated over their demands not being considered since the last four years and said that the time has now come to make textile industry competitive in the region by removing disparities in the energy cost.
Discussing the issue of sales tax refund, he said that some of the departments were also misusing their authority. Earlier, Chairman APTMA Aamir Fayyaz made a detailed presentation on the existing state of affairs in the Punjab-based textile industry. The presentation also noted the huge difference in cost of production in Pakistan as against regional countries. He said the government should immediately address the energy cost issues by ensuring uniformity in prices, ie, electricity at Rs 7 per kWh and LNG at Rs 600 per MMBTU. He also sought an immediate release of sales tax refunds of the industry.
ITM 2018 International Textile Machinery Exhibition, will be held from April 14 to 17, 2018 organised by Tüyap and Teknik Fairs in cooperation with Textile Machinery and Accessories Industrialists’ Association (TEMSAD). The 15th International Istanbul Yarn Exhibition, HIGHTEX 2018 International Technical Textiles & Nonwoven Exhibition and the 8th International Textile Conference will be held at the same location.
At the ITM 2018 Exhibition, many textile machinery leaders will announce their world launches. This is the most important textile technology show in the region. The Istanbul Yarn Exhibition will showcase high performance products from the yarn sector along with latest technological innovations and state-of-the-art products of the leading yarn manufacturers in the world and Turkey. The Yarn Exhibition, will host sector representatives and display high-performance and quality products of the major producers of the yarn sector.
The exhibition, which focuses on international marketing activities to open the yarn sector to new markets, will offer significant commercial opportunities to all participants. Another exhibition to be held simultaneously with ITM 2018 is HIGHTEX International Technical Textiles and Nonwoven Exhibition organised by Tüyap and Teknik Fairs Ltd Co. In addition, HIGHTEX 2018 Exhibition is the first and only exhibition in its field in Turkey.
Nonwoven, technical textiles and smart textiles are among the most crucial markets of the textile sector, which quickly adapts to technological developments. The latest textile products related to these markets will be advertised at the 7th HIGHTEX Exhibition held in 2018.
The HIGHTEX Exhibition will display technical textiles and nonwoven raw materials, intermediate and final products and production technologies.
The 8th International Istanbul Textile Conference (ETT 2018) organised by Marmara University will be held between April 14-16 at TÜYAP Fair and Congress Centre. The conference, which will be have presentations by academicians and sector experts, will be held simultaneously with ITM 2018, Istanbul Yarn Exhibition and HIGHTEX 2018.
The theme of the ETT 2018 Conference is "Current and Future Developments in Innovations and Enterprises in Traditional Textile, Technical Textile and Ready-Made Clothing Areas".
The aim of the African Continental Free Trade Agreement (CFTA), which was launch recently, is to create a single market for goods and services, free movement of people and enhance intra-African trade. The CFTA also has the capacity to promote regional value chains. Current inter-linkages between African economies are not sufficient to speed up economic growth within regional economic communities including the Common Market for Eastern and Southern Africa (COMESA), East African Community (EAC) and the Southern African Development Community (SADC).
Extra-regional trade has outpaced intra-regional trade, often up to 90 per cent. Africa struggles behind much of the world in intra-regional integration. It’s share of trade with countries within regional economic communities in Africa are much below that of regional economic communities in Europe or Asia.
The European Competitiveness Report records the EU12 (Bulgaria, Czech Republic, Estonia, Cyprus, Latvia, Lithuania, Hungary, Malta, Poland, Romania, Slovenia and Slovakia) are more vertically integrated than the EU15 (Austria, Belgium, Denmark, Finland, France, Germany, Greece, Ireland, Italy, Luxembourg, Netherlands, Portugal, Spain, Sweden and the UK).
European governments have responded to decreased employment with a wave of labour market reforms and investment toward returning estranged workers to the labour force. While some of the regulations implemented by European governments are noteworthy such as unemployment insurance, other reforms have been criticised as being protectionist such as subsidies, quotas and non-tariff barriers. While social safety nets were not implemented to work as a panacea for the loss of jobs created by increased international value chain integration, they have been able to mitigate the negative effect of outsourcing employment.
Policymakers need to look at broader issues such as: Would the CFTA lead to “headquarter” and “factory” economies? Who would be the likely winners and losers? How would distributional impacts of trade and integration be addressed? And what social safety nets and skills policies need to be implemented to manage the winners and losers situation?
Simon McDonald, Permanent Under-Secretary of the UK’s Foreign and Commonwealth Office disclosed that post Brexit the UK would continue to provide tariff-free market access for Bangladeshi goods. This was announced during the UK-Bangladesh second Strategic Dialogue in London.
The discussions centred on political and bilateral issues, economic and development cooperation, security and defence cooperation, amongst other issues. McDonald elaborated, “The Strategic Dialogue was held at an important juncture for both countries as the UK prepares to leave the EU and Bangladesh advances to middle-income country status. I repeated the UKs commitment to continue tariff-free market access for Bangladeshi goods entering the UK market after the UK leaves the EU.”
Bangladesh’s Md. Shahidul Haque said, “The second Strategic Dialogue provided us an important opportunity to discuss how both sides can encourage the transition to a broader relationship between the UK and Bangladesh in the post-Brexit and post-LDC context. We agreed to plan now for a future development partnership focussed on innovation, knowledge, skills development and employment while continuing to ensure that no-one is left behind, especially women, girls, and people with disabilities. We appreciated the UK Government’s firm commitment to continue to provide duty-free, quota-free market access to Bangladeshi goods to the UK market after it left the EU. We highlighted the valuable contribution that the British-Bangladeshi community continues to contribute to British society and prosperity,” he added.
The UK welcomed Bangladesh’s efforts and commitment to improving performance against the World Bank’s “Doing Business Index”. Both sides agreed that trade was an important tool in tackling poverty and that increasing bilateral trade could bring significant benefits to both countries.
Pakistan is considering the option of reducing the customs and regulatory duties on import of over 500 raw materials used by export-oriented industries in the upcoming budget in an effort to enhance exports. As per a commerce ministry statement, “While a comprehensive tariff policy for industrial expansion including the medium and long-term measures is being developed, in the short term the immediate rationalisation of tariff is being considered on 515 tariff lines.” It also asked for feedback on the proposed tariff structure from all concerned stakeholders by March 28.
The commerce ministry is working on the formulation of a five-year strategic trade policy framework 2018-23 in consultation with all stakeholders. “One of the key enablers identified for increasing the competitiveness of the export sector is the rationalisation of tariffs on critical inputs of the export-oriented industry,” the statement added.
Mohammad Ashraf, DG, Ministry of Commerce said the government reduced duties on some imported raw materials used by export-oriented industry in the budget for the current fiscal, but the proposal to rationalise tariffs was made for almost all the critical inputs. It took three months for us to devise a list of the critical inputs.
The commerce ministry and the National Tariff Commission attempted to identify inputs/raw materials of the export-oriented products and the tariff structure. “The objective is to rationalise the tariffs in order to make exports more competitive and facilitate participation of local manufacturers, including SMEs, in global and regional value chains,” the statement noted. “The proposed tariff rationalisation will improve the competitiveness of the leading export sectors including textiles, apparel, leather, spices, chemical products, plastics and articles thereof, iron and steel,” the statement further added.
Jawed Bilwani, Chairman of the Pakistan Apparel Forum, representing four textile trade associations said the commerce ministry is expected to hold a meeting by the end of the current month to discuss trade issues and proposed tariffs with businessmen. Textile exports, which accounted for over 60 per cent of the country’s total exports, went up by 7.2 per cent to $8.79 billion in the July-February period
Featuring 104 exhibitors, including 23 new entries, with seven different industry specialisations Made in France Premiere Vision, show will promote French textile/apparel manufacturers from March 28 to 29 at the Carreau du Temple venue in Paris.
The crafts and trades represented are accessory manufacturing, components, garment and knitwear manufacturing, fabric enhancement and raw materials. In addition, service providers, professional associations and training organisations will also be represented. Vocational training will be this edition's central theme, notably via the presentation of studio work by the Trans-faire workshops, the Atelier du Haut-Anjou and the flexible materials section (shoe and leather accessory makers, upholsterers and trunk-makers) of the Compagnons du Devoir and Tour de France craft associations, as well as via a showcase by nine international designers.
The Rencontres du Made in France conferences will focus on the perennial issue of recruitment and training, at a time when the French government intends to review apprenticeship rules.
IFM's Dominique Jacomet will host the conferences, with panellists Delphine de Canecaude (Twenty Magazin), Jean-Luc François (Groupement de la Fabrication Française) and Olivier Toussaint (of the Le Club des CHO think-tank). Four other conferences are scheduled, ranging from the redirection of sourcing towards France, to the challenges of company acquisitions, the role that a digital approach can play for French craftsmanship, and how French manufacturing is regarded by foreign buyers.
Last year, France apparel exports were worth €9.5 billion, up 27 per cent over a period of 10 years. In 2015, French textile manufacturers' revenues were worth €7.2 billion, providing 5,700 jobs, while the French apparel industry was worth nearly €8 billion, with 39,826 jobs.
The Lenzing Group is recommitted to sustainability by implementing a further significant reduction of specific emissions by 2022. The commitment includes a 50 per cent sulfur emission reduction by 2022 as against 2014 and a 20 per cent reduction in chemical oxygen demand (COD) — which measures the amount of organic compounds in water— also by 2022.
The Group is also creating a specially designed eco-investment program to further its goal and the company is also looking at getting the EU Ecolabel for all of its production sites. In Lenzing’s Sustainability Report 2017 published recently, the Group’s CEO Stefan Doboczky stated, “Climate protection and thus the preservation of forests as carbon sinks storing CO2 are two key issues with respect to societal acceptance of the textile and nonwovens industry. In recent years, we have contributed to a positive shift in awareness in the industry thanks to our exemplary wood procurement policy based on sustainability principles.”
The report further noted. “Lenzing is committed to protecting ancient and endangered forests, improving the health and biodiversity of global forests and supporting the afforestation of degraded areas. The Lenzing Group will initiate and finance a first conservation solution by replanting degraded land in Albania. This project will involve a nursery, training for local communities, and monitoring of forest growth over a long period.”
The Group’s focus is also on a more circular economy. Lenzing projects a demand for wood-based cellulose fibres will increase by 5 per cent to 6 per cent each year to 2020. Lenzing’s chief commercial officer, Robert van de Kerkhof, noted, “We are at the beginning of the value chain and can contribute much to improving the situation thanks to our activities and a maximum level of transparency, especially with partnerships. We will also press ahead even more with the systemic transformation of our industry on the basis of our products, for example by expanding our business with lyocell fibres manufactured in a particularly environmentally responsible manner and innovative solutions such as our Refibra technology, which partly uses cotton scraps for fibre production,” he added.
The latest update and industry analysis of the Indian textiles and apparel sector for March, 2018 indicates textile contributes to 14 per cent of industrial production and 4 per cent to GDP. With over 45 million people, the industry is one of the largest source of employment generation in the country. The industry accounts for nearly 15 per cent of total exports.
The size of India’s textile market in 2016 was around $ 137 billion, which is expected to touch $ 226 billion market by 2023, growing at a CAGR of 8.7 per cent between 2009-23 (estimated). Production of raw cotton in India grew from 28 million bales in FY07 and further increased to 35.1 million bales in FY17. During FY07-17, raw cotton production expanded at a CAGR of 2.3 per cent During FY16 (till February 2017), domestic consumption was 30 million bales, while in FY15, domestic consumption of raw cotton stood at 30.4 million bales Raw cotton and man-made fibres are major segments in this category.
Khadi products sales increased by 33 per cent year-on-year to Rs 2,005 crore ($311.31 million) in 2016-17 and is expected to exceed Rs 5,000 crore ($776.33 million) target for 2018-19, as per the Khadi and Village Industries Commission (KVIC).
The production of cotton in India is estimated to increase by 9.3 per cent year-on-year to reach 37.7 million bales in FY 2017-18. The total area under cultivation of cotton in India is expected to increase by 7 per cent to 11.3 million hectares in 2017-18, on account of expectations of better returns from rising prices and improved crop yields during the year 2016-17.
Indian exports of locally made retail and lifestyle products grew at a CAGR of 10 per cent from 2013 to 2016, mainly led by bedding bath and home decor products and textiles. The textiles sector has witnessed a spurt in investment during the last five years. The industry (including dyed and printed) attracted Foreign Direct Investment (FDI) worth $2.68 billion during April 2000 to September 2017.
Global Organic Textile Standard (GOTS) recently hosted a popular round table for the textile sector in the US. GOTS is the stringent voluntary global standard for the entire post-harvest processing (including spinning, knitting, weaving, dyeing and manufacturing) of apparel and home textiles made with organic fiber and includes both environmental and social criteria.
GOTS round tables take place all over the globe to connect stakeholders and help with opportunities and provide feedback to GOTS on specific sectoral or regional needs. In May 2011, the United States Department of Agriculture formally recognised GOTS certification supporting the proper labeling of textiles sold as organic in the US.
GOTS certification enables consumers to purchase items that are third party certified organic from field to finished product. Bangladesh saw the highest increase in GOTS-certified facilities in 2017, amounting to 40 per cent.
There has been a 14 per cent increase in the number of chemicals on the GOTS Positive List, translating as more than 17,900 chemicals from 720 manufacturers. Over 1.74 million workers were employed in 19 GOTS-accredited independent certification bodies in 2017.
The top 10 countries with the highest number of GOTS-certified production units were: India, Bangladesh, Germany, Turkey, Italy, China, Pakistan, Portugal, USA and South Korea. India has a total of 1,658 GOTS-approved manufacturing facilities and has been the highest ranked GOTS country since 2008.
Commerce Minister Suresh Prabhu says the world is facing serious challenges as the US is taking protectionist measures and India needs to explore ways to boost exports. The comments came amid US President Donald Trump imposing $ 60 billion of tariffs on Chinese imports, and also increasing import tariff on steel and aluminium in case of India.
He further added India is a firm believer in a rule-based, transparent and participatory trading system and recently it has invited key WTO member countries here to discuss ways to reinvigorate the global trading body. When asked about impact of the possible trade war between the US and China he mentioned if any country takes a unilateral action, it would definitely take note of it and will deal with it appropriately.
President Trump imposed $ 60 billion of tariffs on Chinese imports, a move that could escalate the already tense trade relations between the world’s two biggest economies. By doing market research all must take steps to promote exports to explore new markets says Prabhu. India is meeting leaders of some African countries to promote exports in the region.
