The Centre is likely to extend a key support scheme for export credit to enhance competitiveness of India's export sector, which was hit hard by slowdown in the developed countries, said people familiar with the matter. The upcoming budget could extend the scheme for pre- and post-shipment rupee export credit by five years, they said. The commerce and industry ministry have proposed an extension of the interest equalisation scheme beyond June 30, its sunset date, wherein manufacturer micro, small and medium enterprises (MSME) get 3% benefit and exporters of 410 identified tariff lines get 2% incentive. "The scheme is in place till June 30. There could be some small changes, but the broad contours will remain the same," said an official, who did not wish to be identified, adding that the finance ministry will take a final call on the proposal. The government has allocated ₹9,538 crore to the scheme since 2021-22 and an additional outlay of ₹2,500 crore was given in December last year. Under the scheme, the benefit to access bank credit at a subsidised interest rate to individual exporters is capped at ₹10 crore per annum per import export code. The subsidy is provided by the banks and they are later reimbursed by the government for their lower interest earnings. Exporters use the scheme to lower their cost of credit which improves their competitiveness. While industry has demanded higher incentive rates of 5% for MSMEs and 3% for the exporters of the 410 products, respectively, the benefits are unlikely to be changed, the official said.
Source: Economic Times
With a view to strengthen its economic ties and enhance its trade relationship with New Zealand and South Africa, India plans to soon start new free trade agreement (FTA) discussions with these nations, two officials aware of the matter told Mint. The strategic move is part of India's broader effort to diversify its trade partnerships and reduce its dependency on traditional markets. The scope of India's trade ties with New Zealand and South Africa, which is a key constituent of the South African Customs Union (SACU), is huge as India already shares robust trade relationships with both the countries. A comprehensive FTA with these countries would further help India diversify its trade relationships and strengthen its position in the global economic order. Ready for trade “New Zealand has reached out to us for FTA talks. We are taking it with priority," said one of the officials cited above, requesting to remain anonymous. “The geopolitical landscape has shifted, with most developed economies now keen on forging trade alliances with India, recognizing it as one of the fastest-growing major economies,” the official added. India is the world's fifth-largest economy in terms of nominal GDP and the third largest by purchasing power parity (PPP). “We are [also] exploring the possibility of initiating trade negotiations with South Africa, a key member of the South African Customs Union (SACU), to broaden our trade portfolio," noted the official. The commerce ministry also held a stakeholder consultation last week to discuss the way forward for holding discussions on new FTA deals. New Zealand's trade is primarily centered around agricultural products, education services, and technology. The country exports dairy products, wool, and fruits to India, while India exports pharmaceuticals, textiles, and information technology services to New Zealand. Meanwhile, the trade relationship between India and African nations has been growing steadily, with India serving as a major importer of raw materials and exporter of manufactured goods to the region. Queries emailed to commerce secretary Sunil Barthwal, spokespersons of commerce ministry, New Zealand High Commission and South African government remained unanswered till press time.
A mix of options “Until 2015, India was negotiating a comprehensive FTA with New Zealand, but the talks were paused. Both countries then shifted focus to negotiating the Regional Comprehensive Economic Partnership (RCEP) agreement. Now that India has exited RCEP, negotiations with New Zealand can potentially resume,” said Ajay Srivastava, founder of Global Trade Research Initiative (GTRI). "Two issues that dampen India’s enthusiasm [for an FTA with New Zealand] are the modest trade volumes and New Zealand's request for tariff cuts on agricultural and dairy products," Srivastava added. India has already signed FTAs with several countries, such as Japan, South Korea, Australia, and the European Free Trade Association (EFTA) countries in the past few years. These deals have facilitated increased trade flows, investment, and economic cooperation between the signatory countries. New Delhi is also negotiating FTAs with Oman, and economic blocs Asean and the European Union, among others. “As negotiations are underway with countries like the UK, the US, the European Union, Peru, etc., it is expected that by the end of this year, India may be able to complete or be near to completing an FTA with major economies except China," GTRI's Srivastava said.
Experts emphasize the importance of direct engagement with South Africa to facilitate effective bilateral trade discussions. “As a crucial member of the Southern African Customs Union (SACU), direct negotiations with South Africa are essential for advancing towards a comprehensive trade agreement. Although initial talks with SACU began in 2005, progress has been inconsistent,” said Abhash Kumar, assistant professor-economics at University of Delhi. Therefore, prioritizing direct engagement with South Africa is essential to overcoming historical challenges and achieving substantial advancements in trade relations, he added. SACU comprises five member countries—Botswana, Lesotho, Namibia, South Africa, and Eswatini (formerly known as Swaziland).
Trade tally According to data from the commerce ministry, India's exports to New Zealand dipped by 1.73% to $538.33 million, while imports from New Zealand dropped by 29.89% to $335.14 million in FY2023-24. Consequently, the total bilateral trade between the two countries decreased by 14.82% from the previous fiscal to $873.47 million. In contrast, exports to South Africa grew by a moderate 2.7% to $8.71 billion in FY2023-24 from the previous year, while imports saw an uptick of 8% to reach $10.54 billion. The total trade volume between the two countries for the year amounted to $19.25 billion, reflecting a 2.3% increase from the previous fiscal year.
Source: : Live Mint
The UAE-India CEPA Council (UICC), in collaboration with the Indian Chamber of Commerce (ICC), convened a business roundtable involving close to 30 Odisha-based businesses to discuss opportunities to leverage the benefits of the UAE-India Comprehensive Economic Partnership Agreement (CEPA). The UAE delegation was led by H.E. Abdulnasser Alshaali Ph.D., the Ambassador of the UAE to India, with participants including Ahmed Aljneibi, Director of the UICC, Mohammad Haseeb, Strategic Country Manager - India, Ras Al Khaimah Economic Zone (RAKEZ), and Mr. Yogpal Singh, Director, Corporate Affairs, DP World. H.E. Dr Alshaali said, “Odisha has played a critical role in supporting the UAE-India bilateral partnership. Its highly developed minerals and industrial sector and strong human capital are of key interest to UAE investors. We are confident that today’s event will serve to ensure businesses in Odisha take advantage of a range of economic, trade, and investment opportunities that have been offered through the signing of the CEPA.” Aljneibi highlighted the rapid growth in Odisha’s total trade with the UAE. “In the 2023- 2024 fiscal year, trade between the UAE and Odisha reached USD 2.63 billion, with Odisha constituting the UAE’s eighth-largest trading partner among India’s 28 states and eight union territories. It is essential that we undertake all efforts to continue to build upon this constructive trading relationship and seek out new avenues for mutually beneficial growth. The UICC, in partnership with the ICC, is committed to supporting businesses in Odisha to achieve their international trade and investment ambitions.” Odisha is India’s largest producer of steel, stainless steel, ferroalloys, alumina, and aluminium. The state holds a significant share of India’s reserves of nickel, bauxite, ironore, and coal. Over recent years, constructive steps have been undertaken to develop deeper investment and trade collaboration between the UAE and India. In June 2022, several memoranda of understanding, valued at USD 2.76 billion, were signed between the Government of Odisha and UAE companies. Most notably, the Lulu Group committed to exploring opportunities to establish hypermarkets, shopping malls, and agriculture and seafood processing hubs in the state. Underlining the key role of the CEPA in strengthening economic ties between the UAE and India, trade between the two countries stood at 83.64 billion for the 2023-2024 fiscal year. The importance of the CEPA is exemplified by the substantial trade growth in specific sectors such as gems and jewellery, drugs and pharmaceuticals, and fruits and vegetables, which saw rises of 64 percent, 39 percent, and 35 percent, respectively, over the 2023-24 fiscal year. The UAE is India’s second-largest export destination, third-largest trading partner, and fourth-largest investor. The UICC, established in early 2024, has played a pivotal role in harnessing the opportunities created by the signing of the CEPA. The impacts of the CEPA have been profound, catalysing billions of dollars in investments and fostering a heightened level of business confidence that spans multiple industries. The CEPA has not only facilitated easier market access and reduced barriers to trade but has also encouraged a dynamic exchange of goods and investments, leading to a diversified economic partnership between the UAE and India. The UICC is dedicated to fostering open dialogue, facilitating tangible cooperation, and accelerating trade ties between UAE and Indian businesses to cultivate mutual growth and prosperity.
Source: Business World
nion Minister for Textiles, Shri Giriraj Singh inaugurated the 71st edition of the India International Garment Fair (IIGF) at Yashobhoomi Convention Centre today. Delivering his inaugural address, the Union Minister emphasized that the India International Garment Fair (IIGF) offers a unique marketing platform for micro, small, and medium exporters, showcasing India’s latest trends and diverse offerings to the rest of the world. Shri Giriraj Singh further said that developing world class manufacturing facilities is a must for realising the Prime Minister’s vision of “Make in India “with “Zero Effect; Zero Defect” at each level of the value chain. Shri Singh also called for the adoption of the ‘hub and spoke’ model to enhance domestic manufacturing, encouraged industry collaboration and underscored the importance of establishing Indian brands. The ministry is also poised to revive the Scheme for Integrated Textile Parks (SITP) to create internationally standardized parks. Shri Giriraj Singh stated that, “Today, India is one of the fastest growing economies in the world with a GDP growth rate of 7.2% and is expected to be 3rd largest economy by 2027-28.” The convergence of a positive domestic outlook with a growth-oriented political establishment has provided a conducive ecosystem for business in India. Several measures have been taken by the Government of India to enhance the infrastructure sector and ease of doing business, he added. Further, the Minister stated that, the Indian Apparel and textiles market is of the size of 165 billion USD which has to touch 350 USD billion; a target, which has been fixed after industry consent. I request you to take it to 50 billion USD by 2030. Prime Minister made a roadmap to promote technical fiber and Geo textile, which is providing huge options for growth. “I have said that my challenge is not Bangladesh. I would like to take ahead of China in time to come. Bangladesh water and raw material charges are going high. Further Shri Singh suggested that we will make small clusters for smaller players in India to boost RMG exports”. Textiles Minister Giriraj Singh announces the expansion of the Rs 10,000 crore PLI scheme to the garment sector to boost domestic manufacturing and exports. Addressing the India International Garment Fair, Singh emphasizes revamping textile parks, and promoting green textiles will be our focus. Shri Sudhir Sekhri, Chairman AEPC during his address underlined, “the global headwinds negatively affected Indian apparel exports. But despite these adverse scenarios, the Indian apparel export industry was able to hold its own and contain the damage to quite an extent. Shri Mithileshwar Thakur, Secretary General said that there is a greater chance for Indian apparel exporters to expand its footprint across developed countries in coming years. The Indian apparel industry must encash this opportunity and start dreaming big. Knowledge sessions are also being organised on the sidelines on the 25th and 26th June’2024 covering various topics like Navigating Global Trade: Challenges and Opportunities for the Industry, The Efficiency Advantage: Driving Manufacturing – Excellence in Apparel and Sustainable Fashion: From Concept to Reality. This fair being organised by the Apparel Export Promotion Council (AEPC) through the International Garment Fair Association (IGFA), in association with three major garment Associations of India namely, Clothing Manufacturers Association of India (CMAI), Garment Exporters & Manufactures Association (GEMA) & Garment Exporters Association of Rajasthan (GEAR), is a testimony of the collective spirit, team-work and synergies built by these associations to achieve greater goal. More than 600 buyers from 50 countries participated in the event. 71st Edition will also host two fashion shows each day, from 25th to 27th June’2024, showcasing the best of the collections exhibited during the show.
Source: Textile Magazine
NEW DELHI: Union Minister for Textiles, Giriraj Singh, inaugurated the 71st edition of the India International Garment Fair (IIGF) at 2ashobhoomi convention centre in Dwarka.The event, organised by the Apparel Export Promotion Council (AEPC) in collaboration with major Indian garment associations, aims to showcase India’s prowess in the global apparel market. In his inaugural address, Minister Giriraj Singh underscored the fair’s significance as a pivotal platform for micro, small, and medium enterprises (MSMEs) in the textile sector, highlighting India’s diverse offerings and latest trends to international buyers. “Developing world-class manufacturing facilities is crucial to realising the Prime Minister’s vision of ‘Make in India’ with ‘Zero Effect; Zero Defect’,” Minister Singh remarked, emphasising the government’s commitment to enhancing infrastructure and ease of doing business. Singh projected India’s robust economic growth, citing a GDP growth rate of 7.2% and anticipated ascension to the third-largest economy by 2027-28. He outlined ambitious targets for the Indian apparel and textiles market, aiming to escalate its current $165 billion size to $350 billion, with a specific directive to achieve $50 billion by 2030. The Minister also addressed competitive challenges, stating, “My challenge is not Bangladesh; I aim to surpass China in the textile industry.” He proposed creating small clusters across India to bolster raw material garment (RMG) exports, noting India’s abundant labour force and eco-friendly employment opportunities, especially for women. Expanding on government initiatives, Minister Singh announced the extension of the Rs 10,000 crore Production-Linked Incentive (PLI) scheme to the garment sector, aimed at bolstering domestic manufacturing and exports. He emphasized revitalising textile parks and promoting green textiles as key priorities.’ During the event, Sudhir Sekhri, Chairman of AEPC, acknowledged global headwinds impacting Indian apparel exports but highlighted the industry’s resilience amidst adversity. Meanwhile, Shri Mithileshwar Thakur, Secretary General of AEPC, emphasised the potential for Indian apparel exporters to expand into developed markets in the coming years. The fair, which attracted more than 600 buyers from 50 countries, features knowledge sessions covering topics such as navigating global trade challenges, manufacturing excellence in apparel, and sustainable fashion trends. Additionally, two fashion shows daily from June 25 to 27 will spotlight collections exhibited during the event. Giriraj Singh reaffirmed India’s commitment to fostering a robust textile industry through strategic initiatives and global partnerships. “We have made free trade agreements with more than a dozen countries,” he stated, highlighting India’s proactive approach in international trade negotiations.
Source: The New Indian2
India’s Madhya Pradesh state’s Chief Minister (CM) Dr Mohan Yadav has emphasised the expeditious completion of processes related to the ₹5 billion (approximately $59.8 million) project approved by the Textile Ministry for the integrated textile and apparel park in Dhar district. The CM highlighted the importance of this project during a review meeting of the Industrial Policy and Investment Promotion Department at Mantralaya. He underscored the need for concerned agencies to promptly fulfil their roles to achieve the target of employing more than 25,000 people through 21 units in the PM mega textile park, the government of Madhya Pradesh said in a press release. The proposal to establish the PM MITRA Park in Bhensola village, Badnawar Tehsil, Dhar district, received formal approval from the government of India in March 2023. The MoU signing between the Ministry of Textiles and the government of Madhya Pradesh took place in Dhar district on May 21, 2023.
Dr Yadav also discussed the proposed industrial policy, instructing the preparation of an integrated plan for the development of industries. The Chief Minister pointed out that various ministries of the Central Government have already approved the establishment of different industrial units in Madhya Pradesh, stressing the urgency of implementing these projects.
The proposed investment of ₹350 billion in mega projects in Pithampur and Ratlam is set to create employment for more than one lakh people. The development of the Indore-Pithampur Economic Corridor, covering an area of 3,200 acres, is projected to cost ₹21.25 billion and will employ about one lakh people. Additionally, Indore’s multimodal logistics park, with an investment of ₹20 billion, will provide jobs for more than 5,000 people.
The state government is prioritising the establishment of employment-oriented industries. The year 2025 will be celebrated as the year of industry, with an investors summit proposed for January 2025. Regional industrial summits will be held across the state, and Dr Yadav will meet with industrialists in major Indian cities to attract new industrial investments.
During the meeting, it was revealed that initiatives beneficial to the youth in industries and business will be conducted with the cooperation of Madhya Pradesh Council of Science and Technology (MAPCOST) and organisations like ISRO. Dr Yadav issued several key instructions, including the preparation of an integrated plan for industry development, organising regional industrial conclaves, holding meetings with industrialists in major cities for new investments, focusing on employment-oriented industries, and starting preparations for the investors summit. The inauguration of 78 industrial units in the state are scheduled soon. The meeting also reviewed the progress of the industry summit held last year and the Regional Industry Conclave-2024 held on March 1 and 2 in Ujjain.
Source: fibre2fashion2
India’s textile industry is a major sector, contributing 12% to exports and employing over 45 million people. With a market size of $223 billion in 2022, it is the world’s second-largest producer of textiles and garments, accounting for 13% of industrial production and 5% of GDP.
Today, the government of India announced a capex of Rs 10,000 crore under the production-linked incentive (PLI) scheme to the garment sector to boost domestic manufacturing and exports. While addressing in India International Garment Fair, the textile minister emphasized that rebuilding textile parks and promoting green textiles will be the focus. Shri Sudhir Sekhri, Chairman AEPC during his address underlined, “the global headwinds negatively affected Indian apparel exports. But despite these adverse scenarios, the Indian apparel export industry was able to hold its own and contain the damage to quite an extent. This fair, organized by the Apparel Export Promotion Council (AEPC) through the International Garment Fair Association (IGFA), in association with three major garment associations of India, namely, Clothing Manufacturers Association of India (CMAI), Garment Exporters & Manufactures Association (GEMA), and Garment Exporters Association of Rajasthan (GEAR), is a testimony of the collective spirit, teamwork, and synergies built by these associations to achieve a greater goal.
Here are the stocks that shown significant movement after the announcement made by the Gov on the textile sector.
Gokaldas Exports Ltd.
Gokaldas Exports Limited is an Indian garment maker and exporter. The Company sells a variety of garment goods, including outerwear, activewear, and fashion wear. It exports to fashion labels and stores on all continents and has a delivery network spanning 50+ countries.
With a market capitalization of Rs 6,652.35 crore, the shares were trading at Rs 934.65 per share increasing around 4.71 percent as compared to the previous closing price.
Arvind Fashions Ltd
Arvind Fashions Limited is primarily engaged in the business of marketing and distribution of branded apparel and accessories. The Company operates through two geographical segments: In India, and the Rest of the world. The Company and its subsidiaries operate in the branded apparel, beauty, and footwear space.
With a market capitalization of Rs 7,218.18 crore, the shares were trading at Rs 541.90 per share, increasing around 3.60 percent as compared to the previous closing price.
Siyaram Silk Mills Ltd.
Siyaram Silk Mills L2imited is an Indian textile manufacturer. The company manufactures, brands, and markets textiles, ready-made clothes, and indigo-colored yarns. Its businesses include textiles, clothing, exports, home furnishings, institutional, yarns, and retail.
With a market capitalization of Rs 2,237.88 crore, the shares were trading at Rs 493.25 per share, increasing around 1.52 percent as compared to the previous closing price.
Nitin Spinners Ltd
Nitin Spinners Limited is an Indian firm that manufactures textiles. The company manufactures cotton yarn, knitted textiles, and completed woven fabrics. Its yarn line comprises cotton ring spun carded yarns from Ne 12 to Ne 50, cotton ring spun yarns from Ne 12 to Ne 30, and others.
With a market capitalization of Rs 2,006.21 crore, the shares were trading at Rs 356.85 per share, increasing around 2.56 percent as compared to the previous closing price.
Welspun Living Ltd
Welspun India Limited (Welspun) is an India-based company engaged, which is engaged in the textile business. The Company manufactures a range of home textile products, primarily terry towels, bed linen products, and rugs. The Company’s business segments include Home Textiles, Power and Flooring.
With a market capitalization of Rs 14,601.42 crore, the shares were trading at Rs 150.75 per share, increasing around 3.82 percent as compared to the previous closing price.
Source: Trade Brain
Underpinned by the buoyancy in economic activity witnessed in the first quarter, a keen policy focus on investment and the expectations of a normal monsoon, India’s economy may grow by close to 7.5% in 2024-25, the National Council of Applied Economic Research (NCAER) said on Wednesday.
Recently, the Reserve Bank of India (RBI) raised its projections for India’s Gross Domestic Product (GDP) growth to 7.2% from 7% in FY25. Growth projections have been upgraded by various other agencies as well with the median projection at 6.9%. “GDP growth during 2024-25 may turn out to be higher than 7% and even closer to 7.5%,” NCAER director general Poonam Gupta said.
High-frequency indicators showed that the domestic economy continues to remain resilient. The Purchasing Managers’ Index (PMI) for both manufacturing and services kept the expansionary momentum despite slowing down a bit in May. Growth in the Index of Industrial Production (IIP) for core industries accelerated in April 2024; Goods and Services Tax (GST) collections remained buoyant year-on-year; bank credit growth remained above 20% despite some deceleration in personal credit growth; and expectations of ‘above normal’ monsoon despite deficient rainfall in June held out strongly for the farm sector, Gupta said. With inflation seemingly having peaked, monetary policy is unlikely to be tightened any further, she said. “If anything, it may be eased during the year,” Gupta said. Retail inflation eased to a 12-month low of 4.7% in May, though food inflation remained elevated. Gupta said that taming food prices remains a challenge. “A broader policy framework may be needed to address it, including building climateresilient food supply as also a gentle shift toward packaged and preserved food supply to bridge the periodical supply and demand gap that has become routine,” she added. NCAER said global environment seems benign as well in the absence of any known global risks so far. The central government contained its fiscal deficit at 5.6% of GDP for FY24, as compared to the revised estimate of 5.8% and the budget estimate of 5.9%. Recently, S&P Global Ratings has revised India’s credit outlook from stable to positive while maintaining the long-term sovereign credit rating at the lowest investment grade of BBB-, indicating that an upgrade in the credit rating could occur if India’s fiscal deficit narrows, and if the central bank effectively controls inflation over time.
Source : Financial Express22
New Delhi: The government is considering various options including closure of state-run National Textiles Corporation Ltd (NTC) along with its 23 mills as commercial production in these units has been suspended since Covid, at least three officials with direct knowledge of the matter said. “NTC has a land bank of around 3,661 acres in prime locations, hence any such action would require proper planning,” one of them said. “The ministry of textiles is expected to prepare an action plan on this matter soon after consultin2g the NITI Aayog and the Department of Public Enterprises (DPE),” he said. Email queries sent to th2e government’s spokespersons, senior textiles ministry officials and the CMD of NTC on this matter eli2cited no response. “This is a work in progress as per the new PSE [public sector enterprise] policy, whi2ch stipulates that a final decision will be taken by the competent authority,” a second official said. Although the new government at the centre is “by-and-large” expected to maintain the policy continuity, the matter could be placed before the cabinet after a review, he added. The government on February 4, 2021 notified the new PSE policy, which asked DPE to identify central public sector enterprises (CPSEs) for closure or privatisation in non-strategic sectors as per the recommendation of the administrative ministry, he said. NTC is a non-strategic enterprise, he added. According to a third person, production activities in the 23 mills of NTC were on until Covid-19 pandemic hit the country in March 2020. Work was suspended in these mills due the nationwide lockdown. After the lockdown was lifted, work at 14 mills were restored with the available raw materials from January 2021. Then the second wave of Covid-19 pandemic hit again, leading to the closure of all NTC mills in April 2021. After that operations could not be restored to the normal level because of unavailability of working capital and other financial issues. According to available data, the company had been posting net loss of over ₹300 crore annually since 2018-19 till 2022-23. “The mills are sick because they are facing technical obsolescence, excess manpower, financial crunch and poor productivity,” he said. The 23 NTC mills are located in the states of Tamil Nadu (seven mills) Maharashtra (five), Kerala (four), Madhya Pradesh (two) and one each in Andhra Pradesh, Gujarat, Karnataka, Kerala, and Puducherry. According to the textile ministry’s annual report for 2022-23, NTC’s provisional net worth (the value of the company after deducting liabilities) was ₹920.10 crore.
Source: Hindustan Times
Industrial plots, plug-&-play facility likely at Barlai
Indore: Madhya Pradesh Industrial Development Corporation (MPIDC) has sent a proposal to develop a plug-and-play facility and industrial plots for textile sector at Barlai in Indore district. The corporation is planning to commence the work for the textile sector in Barlai in the current financial year. The shutdown Barlai sugar mill, about 25 km from Indore, and some part of the vacant land in the vicinity of the mill, together around 33 hectare will be converted into an industrial area for the textile sector.MPIDC plans to come up with a plug and play facility, industrial plots, commercial spaces and residential areas on 33 hectare. “We have sent a proposal for developing a textile cluster at Barlai sugar mill and hope to start the work in this financial year. As per the initial plan, the upcoming industrial belt will have a plug-and-play facility for industries wishing to move in a ready facility, plots for industries and residences. The idea is to create a proper ecosystem for industries,” said MPIDC executive director Sapna Jain. According to the corporation, they have received expressions of interest from many industries for land at Barlai. “Many industries have shown interest in taking up land at Barlai. Given the proximity to Indore and availability of resources, we expect good occupancy in this industrial belt,” said Jain. The industries department has been upgrading many existing industrial belts and adding new industrial areas in the region to attract investment from industries. In Pithampur, state’s one of the largest industrial areas, MPIDC is contemplating to develop residential apartments in phases with the initial phase consisting of around 600 flats of different categories. Industries and associations have been long demanding residential spaces in Pithampur as an estimated around 1 lakh workforce operates from Pithampur. RIICO is considering relocating industrial areas within the city, aiming to address challenges posed by urban development. Deliberations with the government are ongoing to offer a relocation package with favorable rates. The industrial zones are seeking feasible alternatives for relocation to mitigate operational hurdles and adapt to the changing urban landscape.
Source: Times of India
Surat, Gujarat : The textile traders in Surat have raised strong objections against the perceived ‘double standards’ of the Surat Municipal Corporation (SMC). The traders are upset that while the Surat Textile Market (STM) continues to operate without facing any sealing activity despite owing Rs 81 crore in lease money to the SMC, about 623 shops in five different textile markets on Ring Road have been sealed for non-payment of property tax and interest over the last fortnight. The traders from these affected markets have rallied together and met with the office-bearers of the Federation of Surat Textile Traders’ Association (FOSTTA) to voice their concerns. They pointed out that the textile trade in Surat is already struggling in the aftermath of the Covid-19 pandemic, with many traders facing significant financial losses. The sealing of 623 shops, each with property tax arrears of around Rs 20,000, has further exacerbated the difficulties for these traders. In stark contrast, the STM, despite having received about 13 notices from the SMC regarding their outstanding lease amount, remains fully operational. This discrepancy has led to accusations of favoritism and inconsistency in the SMC’s enforcement of regulations. Rasik Patel and Kalpesh Govind, representatives of the affected traders, expressed their frustration over the issue. They highlighted that the STM traders have been allowed to continue their business activities despite their significant debt to the municipality. Patel emphasized, “The textile shops at STM are allowed to operate even though the market management is yet to deposit the Rs 81 crore pending lease amount. The SMC has issued multiple notices, but no action has been taken against them. On the other hand, small shopkeepers with relatively minor dues are subjected to immediate sealing.”
The traders further criticized the SMC’s leniency towards STM. “Despite the outstanding amount of tax and lease amount of Rs 81 crore, instead of canceling the lease and proceeding with sealing, the shopkeepers have only been warned to pay Rs 1.50 lakh per year, or Rs 12,050 per month. The municipality has provided the facility to market traders to pay in installments. However, when small shopkeepers from other markets request similar considerations, municipal officials do not listen,” said Patel.
Source: The Blunt Times
According to United Kingdom-based waste management company Business Waste, the textile recycling sector in the U.K. and the European Union is in turmoil, and it is calling on fashion retailers to implement take-back programs.
“Sorters across the U.K. and Europe are facing full warehouses and halted collections due to an influx of low-quality clothing that requires costly disposal,” the company says in a news release.
The company claims over half of all clothing thrown away ends up in a landfill, creating 53 tons of textile scrap that takes up 5 percent of all landfill space. It adds that the fashion industry also is responsible for 10 percent of global greenhouse gas emissions. As a response, Business Waste says it is calling on retailers to implement take-back programs for unwanted clothing to help combat textile scrap—similar to current take-back programs for electronics operating across the U.K. The company cites the London-based Textile Recycling Association (TRA), which says the textile recycling sector is facing a “perfect storm” of economic crises, global market challenges and a huge influx of fast fashion items that have flooded the market with low-quality, hard-to-recycle clothing.
Graham Matthews, a recycling expert at Business Waste, suggests that retailers taking responsibility for the lifecycle of their products will alleviate pressure on the recycling sector. By accepting returns of unwanted garments, he says retailers can ensure clothing is properly sorted, recycled, recovered or repurposed and avoid the high volumes of textiles ending up in landfills while easing fees levied on collectors.
“There’s lots of financial strain on waste collectors who are currently collecting textiles that they then must pay to dispose of, when the garments have too high of a synthetic blend that they cannot be recycled,” Matthews says. “In that case, they have to pay for incineration and shredding fees. The situation is dire, with textile sorters across the U.K. and Europe reporting full warehouses and halted collections, as they struggle to find suitable end markets for the vast volumes of low-quality materials.”
Alison Carey of textile recycler Chris Carey’s Collections notes the current model of textile recycling is no longer viable, with an increase in volumes of nonerasable material coming at a high cost for collectors and sorters and calls for urgent reform to support the industry.
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Additionally, Business Waste suggests that retailer-led take-back programs might serve as a solution to alleviate the industry crisis and serve as a step toward more sustainable consumer habits. The company adds that such programs could encourage consumers to think more critically about the lifecycle of their clothing and reduce the environmental impact associated with textile scrap.
The take-back programs also can be part of larger corporate social responsibility (CSR) strategies that enhance the company’s impact on local communities, Business Waste says. For example, it says retailers could partner with local charities to donate refurbished clothing, supporting local needs and improving the quality of life for community members.
“Currently, the textile recycling industry is facing a period of unprecedented turmoil, and we wouldn’t demand such support if it wasn’t absolutely needed,” Matthews says. “The retailers are the most responsible party in the fashion waste problem, so why not call for their help? As it stands, current textile recycling practices will not be sustainable long-term.”
Source: Recycling Today
The Indonesian government on Tuesday said that it will issue two protection policies, namely Safeguard Measures Import Duty (BMTP) and Anti-Dumping Import Duty (BMAD), for textiles in a bid to protect the local industry from surging imported textiles. The BMTP is a state levy to prevent the threat of serious losses suffered by the domestic industry as a result of a surge in the number of imported goods that directly compete with the domestic products. Meanwhile, the BMAD will be an additional import duty. Finance Minister Sri Mulyani Indrawati revealed that a protection policy for the textile and textile products industry from the invasion of imported goods will be issued. After a cabinet meeting at the Presidential Palace in Jakarta, the minister said that two new regulations will be issuead in accordance with the Minister of Trade and the Minister of Industry. On the same occasion, Minister of Trade Zulkifli Hasan said that President Joko Widodo had agreed to release the policies to protect local industries. Data from the Indonesia Statistics showed that the import value of clothing and accessories had shown an increasing trend during the first quarter of this year. In January, the import value was recorded at $12.26 million, then it increased to $20.87 million the next month. The value rose again in March to $23.98 million.
Source: The investor.vn
Through a possible Free Trade Agreement (FTA), Bangladesh and China aim to advance their bilateral economic relationship. Experts believe this might be a game-changer for both nations. On 8th-11th July, Bangladeshi Prime Minister Sheikh Hasina is anticipated to travel to China in an important move to strengthen the relationship. Her visit is intended to reduce the nearly US $ 17 billion trade imbalance that favours China and encourage greater Chinese investment in Bangladesh. Experts noted that China and Bangladesh might work to negotiate an FTA as a catalyst for each nation’s economic development, based on the concepts of win-win and mutual benefit. The pact, which aims to increase bilateral commerce and investment as well as the creation of jobs, may come to an end before Bangladesh leaves the group of least developed nations (LDCs) in 2026. The visit of Prime Minister Sheikh Hasina to Beijing, according to Chinese Ambassador to Bangladesh Yao Wen, will be a “game-changer,” according to a recent programme. “In terms of trade, China has maintained its position as Bangladesh’s largest trading partner for 13 consecutive years, with bilateral goods trade reaching US $ 24 billion in 2023. In terms of investment, China’s foreign direct investment (FDI) stock in Bangladesh reached US $ 3.2 billion by 2023, making China the second-largest investing country in Bangladesh,” he stated. The China-Bangladesh FTA covers areas such as trade in goods, trade in services, investment, e-commerce and high-tech industry cooperation, providing a basic framework and solid guarantee for future bilateral economic and trade cooperation. Data from Bangladesh Bank and the Export Promotion Bureau (EPB) show that, in the fiscal year 2022–2023, bilateral commerce between Bangladesh and China totalled US $ 18.5 billion. Bangladesh received US $ 17.83 billion in imports and US $ 677.36 million in exports worth of goods from China. Thus, there was a US $ 17.15 billion trade deficit. Bangladesh’s imports totalled US $ 19.35 billion compared to US $ 683.43 million in exports in FY ’22, US $ 12.93 billion compared to US $ 680.66 million in FY ’21, US $ 11.49 billion compared to US $ 600.11 million in FY ’20, and US $ 13.85 billion compared to US $ 831.20 million in exports in FY ’19. Bangladesh exports primarily single-strand jute and textile bast fibres, T-shirts, pants made of cotton, breeches, jerseys, pullovers and acid oils from refining as well as live eels to China. On the other hand, Bangladesh imports many items, including textiles and textile articles, machinery and mechanical appliances, electrical equipment, parts thereof, and parts and accessories of such articles, medical instruments and apparatus, and products of the chemical or allied industries, from China.
Source: Apparel Resource
From January to May, approximately 3.9 billion tonnes of cargo were transported via waterways across China, marking a 7 per cent year-on-year increase, according to the Ministry of Transport. Container throughput at ports across China surpassed 130 million twenty-foot equivalent units (TEUs) during this period, reflecting an 8.8 per cent rise compared to the previous year, Chinese media reports said quoting vice minister Fu Xuyin.The country's fixed-asset investment in waterway transport touched 78.6 billion yuan (~$11.1 billion) in the first five months of this year, marking a 7.2 per cent year-on-year increase and maintaining a high level of investment. This funding has supported significant infrastructure projects, such as the Pinglu Canal, which aims to enhance connectivity between south China's Guangxi Zhuang Autonomous Region and Southeast Asian countries. Highlighting the importance of technological advancement, Fu noted that developing smart ports is a top priority for China's waterway transport sector. Efforts are being made to expedite the automation of various port facilities, with 21 container ports and 28 dry bulk ports currently operating automatically. In 2023, China’s waterway freight volume achieved a record high of approximately 9.4 billion tonnes.
Source: Fibre2fshion
