FW
The turnover of the textile sector in Germany slowed down in January 2015. On the other hand, turnover of retailers increased in January 2015 as compared to December 2014. Turnover in technical textiles, including nonwovens, is tending upwards. This is in contrast to the classic textile segments.
Domestic production has fallen in clothing by 9.4 per cent and in textiles by 2.5 per cent. The order situation also shows lower values in January 2015. It dropped in textiles by 3.3 per cent and in clothing by 23.6 per cent. Exports fell in comparison to January 2014 by 3.7 per cent. Textile imports increased 0.2 per cent. Clothing exports were 8.4 per cent lower in January 2015 whereas imports increased by 3.9 per cent. Trade surplus of both segments increased 16.6 per cent against January 2014.
Raw material import decreased in January against the same month of 2014 by 6.2 per cent. Working hours are decreasing in both sectors. Textile working hours dropped by 3.1 per cent and clothing working hours by 4.8 per cent. Thus the total working hours in both sectors were 3.7 per cent lower than in January 2014. Producer prices increased further slightly in January 2015, in clothing by 1.3 per cent and in textiles by 0.3 per cent.
Bangladesh sees China as the next major export destination due to its rising middle class and the duty free benefits it enjoys under the Asia-Pacific Trade Agreement (APTA). Because of the low cost of production and the duty free allowance, Chinese buyers can save up to 15 per cent on garment imports from Bangladesh. Almost 90 per cent of the garments Bangladesh exports to China without duty include T-shirts, jeans, sweaters and casual trousers.
Industry estimates indicate that garment exports to China, which is Bangladesh’s second largest apparel market after Japan, increased 73.5 per cent year-on-year in the fiscal year 2013-14 to $241.37 million. Besides apparel, jute, jute goods, leather and leather goods from Bangladesh are also gaining popularity in China.
Bangladesh currently enjoys duty free trade with China on more than 4,000 items and at the moment, the country is working on ways to gain duty-free access under more product categories. From July 2014 to February 2015, Bangladesh exported 513 million worth of goods to China, according to the Export Promotion Bureau.
High demand for biodegradable, environment-friendly, versatile, and cost-effective materials from end-use industries is a key factor that stimulates demand from the global cellulose fibers market. With rise in awareness about the rise in carbon footprint, excessive oil dependence, and fuel sustainability, the demand for cellulose fibers is expected to surge substantially. Industry research and trends signal at growth of global market for textiles focused on biodegradable, eco-friendly, and skin-friendly fabrics.
The rise in demand for sustainable fabrics would in turn lead to the growth of the global cellulose fibers market in the years to come. The global cellulose fibers market is segmented on the basis of applications and geography. On the basis of application, the cellulose fibers market is segmented into clothing, spun yarn, fabrics, and others including tapes, sealants, and adhesives. The other end-use industries for this market are carpet production and the paper industry. With demand exceeding 50 per cent of the total, clothing is the largest end-use segment of the global cellulose fibers market. This segment is anticipated to expand rapidly at a 7.3 per cent CAGR between 2012 and 2018. Viscose, corn fibers, tencel, lyocell, modal, and rayon are the different forms in which cellulose fibers are applied in industries.
The apparel industry uses rayon, since it is a highly absorbent material. Rayon and its variants are also used for producing home furnishings such as carpets and curtains. The global cellulose fibers market is segmented into Asia Pacific, North America, Europe, and Rest of the World. Asia Pacific dominated the global cellulose fibers market in 2011 with a market share of 45.3 per cent. It is anticipated that the Asia Pacific cellulose fibers market will grow rapidly from 2012 to 2018, at an 8.1 per cent CAGR. The expanding textile markets in India and China drive the Asia Pacific cellulose fibers market.
Indo-Bharat Rayon, Aoyang, Shandong Helon Textile Sci. & Tech, KelheimFibres, Fulida, TangShanSanyou, Lenzing AG, and Sateri are a few prominent companies operating in the global cellulose fibers market.
www.indobharatrayon.com
Amin Hashwani, Chairman of Karachi Cotton Association (KCA), has expressing concern over reports regarding a proposal to impose standard sales tax on cotton in Budget of 2015-16. This is expected to generate Rs 50 billion revenues. Hashwani said the KCA has traditionally opposed such proposals. In a statement, Hashwani stated that the proposal discourages production and inhibits the smooth flow of exports and runs counter to the policy of encouraging cotton trade in the country. The Pakistan government has set a target for cotton production 2015-16 season at 15.49 million bales. With this, there is a strong possibility for Pakistan to potentially export a million bales of raw cotton. Nearly 80 to 85 per cent of the cotton crop is exported in the form of raw cotton, cotton yarn, cotton fabrics, garments and cotton made-ups, and sales tax, if levied on raw cotton, would be refundable thereon at the export stage.
Cotton, being a highly priced commodity, is usually operated upon by exporters on narrow margins. They cannot afford to keep substantial borrowed amounts struck-up by way of payment and refund of sales tax for 6-7 months as was the case in the past. This would create serious liquidity problems for cotton exporters, and eventually cotton exports would adversely suffer. Keeping in view the importance of export of cotton and cotton products to the country’s economy, the Association strongly urged the authorities not to impose sales tax on raw cotton in the next budget.
Taiwan has an international reputation for technical textiles. The composites industry is one of the key industries in Taiwan. Taiwan stands fourth in the world in carbon fiber capacity and 30 per cent of electronic grade glass fibers are manufactured in Taiwan. Taiwanese composite and technical textile companies are keen to bring their products to India with growing demand for and consumption of technical textiles.
Taiwan’s functional textile market has invested a lot of resources in textile technology innovation. The industry produces fabrics which are anti-bacteria, water-repellent, and moisture transferring. Many of the largest sportswear and outerwear manufacturers and retailers source active wear fabrics from Taiwan.
Taiwan’s 20 companies exhibited products at the recent Technotex 2015 held in They showcased high-end composites, innovative technical textiles, raw materials, accessories and nonwoven machinery. These products have a wide range of application fields like protective, performance functional, eco-friendly, mobile, non-woven and new materials for architectural and geotechnical construction.
India is a dynamic market with a lot of potential and scope for Taiwanese companies to expand their exports. The Indian composite industry is pegged at Rs 15,000 crores with an expected growth of 15 per cent per annum over the next four years.
www.technotexindia.in/
US apparel imports edged down by 0.5 per cent in February compared to the same month last year. Apparel imports from Vietnam increased 0.5 per cent in the month, making it the number two source of US apparel imports and giving the country a 0.4 percentage point share gain so far this year to 12 per cent of total dollar imports.
Apparel imports from India were grew second fastest among all major trading partners in the first two months of the year, growing by 7.8 per cent, giving the country a half point share gain of US apparel imports. Apparel imports from India grew by almost 6 per cent in 2014.
Imports from Bangladesh gained 2.8 per cent, a nice swing from the 2.3 per cent decline in 2014. Indonesia’s apparel shipments to the US declined by more than 8 per cent in the first two months of 2015, resulting in a 0.4 per cent share loss, as the country tries to grapple with infrastructure deficiencies and labor issues.
Other countries among the top 10 to enjoy share gains include El Salvador, whose apparel shipments to the US grew by 13 per cent, and Honduras, up seven per cent compared to the same period last year.
Invista Performance Technologies (IPT), the PTA industry's most prolific licensor, has introduced an upgraded platform that offers licensees significant production efficiencies. While IPT's previous vintages of technology provided significant competitive advantage compared to alternatives, this new PTA platform drives customers’ variable and capital costs even lower. IPT's focus on process simplification, value engineering and layout optimization has resulted in a compact design that significantly improves the capital productivity.
Invista’s latest technology offering—called P8—delivers significant variable cost improvements through milder reactor conditions, improved energy integration and recovery. The process is a net electricity exporter with a reduced environmental footprint resulting from low energy and water usage and reduced waste generation.
Invista Performance Technologies has been licensing PTA and polyester technologies for more than 40 years, driving scale and variable cost reductions through innovations that deliver licensees a competitive advantage relative to other available technologies.
IPT’s rigorous technology design process includes fundamental research, modeling, process and safety engineering, functional and operational expertise, and critical vendor developments. This collective approach to design and technical services leverages the knowledge and expertise of IPT’s personnel to deliver unparalleled value to the market.
Invista is one of the world’s largest integrated producers of chemical intermediates, polymers and fibers.
www.invista.com/
Congestion in ports has pushed the Southern India Mills' Association (SIMA) to weigh the possibility of tapping the New Mangalore Port (NPT) in Karnataka for cotton imports. Members of SIMA, along with those from the South India Spinners Association (SISPA), traders and liners, held talks in this regard with chairman of New Mangalore Port Trust P C Parida and other officials earlier this week.
The predominantly cotton-based textile industry in the south, particularly mills in Tamil Nadu, imports significant volumes of West African cotton to manufacture knitted garments. According to SIMA, NPT offers excellent warehousing facilities, specially for the benefit of small and medium scale spinning mills.
SIMA has sought extension of customs-free bonded warehouse for cotton -- as in Malaysian ports -- so that traders could store the imported cotton and supply to small and medium spinning mills all over southern states. Such a facility would also enable the traders to return the unsold cotton to the original destination without any additional cost. Moreover, port handling charges, wharfage and demurrages are much lower in the case of NPT and authorities have invited them to visit the port.
The Tirupur Exporters' Association (TEA) has reported a 15.5 per cent rise in revenue at Rs 20,730 crores during the 2014-15 fiscal years against Rs 18,000 crores reported by it, in the previous fiscal. The export figure was arrived at after consolidating the knitwear exports data collected from 38 banks located in Tirupur and surrounding areas.
After reaching a figure of Rs 18,000 crores in 2013–14, the association had announced a target to double the export to Rs 36,000 crores over next three years to the financial year 2016-17.
Apparel, Made ups and Home Furnishing Skill Sector Council (AMHSSC) Chairman A Sakthivel, who is also the President of Tirupur Exporters Association, is also part of Indian skills mission, a high-level trade delegation comprising Chairmen and CEOs from 15 skill sector councils, who are accompanying Prime Minister Narendra Modi on the three-nation tour.
www.tea-india.org
While industry bodies like Texprocil are asking the government to direct Cotton Corporation of India (CCI) to release of almost 50,000 cotton bales a day to bring down shortage in the domestic market, CCI chairman B K Mishra has said that there is no shortage of cotton bales in domestic market.
“That the market is facing a shortage of cotton is a misnomer. While India is expecting a bumper harvest of 40 million bales in the current year through September, as estimated by the Cotton Advisory Board, exports have crashed due to a slowdown in top buyer China, so there is ample cotton available in the domestic market,” Mishra said.
CCI procures cotton from farmers at the MSP to avoid distress sales by them and sells the stocks in the market. Last week, in a letter to textile minister Santosh Kumar Gangwar, Confederation Of Indian Textile Industry chairman Prem Malik has said, “In some states like Andhra Pradesh, Telengana and Maharashtra, the CCI has bought large quantities through MSP operations…. There is a shortage of cotton in these states at present and the local mills are forced to get cotton from distant places, incurring additional transportation and other costs.”
“We have urged the government to instruct Cotton Corporation of India (CCI) to immediately start releasing at least 50,000 bales per day for a period of 100 days through E-auction directly to the actual users,” Texprocil Chairman R K Dalmia has also said in a statement.
For now, cotton textiles industry is facing issues due to non-availability of adequate quantity of cotton on account of the ‘Stop-Go’ policy of the CCI in spite of holding high level of stock, he added, further stating that CCI has procured 86 lakh bales of cotton under the Minimum Support Price (MSP) during the current season to protect the interest of the farmers. Out of this, CCI has offloaded only three lakh bales of cotton so far and is presently releasing between only 3,000 to 5,000 bales per day as against a stock of around 83 lakh bales, which leading to steep rise in prices besides creating shortage of good quality cotton, which in turn is adversely affecting the exports of yarn, fabrics & made-ups. Cotcorp.gov.in
