New Delhi, Nov 21 (KNN) The Indian textile industry, a critical pillar of the country’s economy driven predominantly by micro, small, and medium enterprises (MSMEs), is grappling with structural challenges that hinder modernisation and growth, according to Crisil Ratings' latest India Progress report. The fragmented nature of the industry limits MSMEs’ ability to diversify into new product categories, impacting competitiveness. Crisil highlights significant constraints, including limited funding, outdated technology, and low innovation, which result in inefficiencies and restricted productivity. Labour issues compound these problems, with poor awareness of rights leading to challenging working conditions. Furthermore, the absence of robust infrastructure—such as efficient transport networks, ecommerce facilities, certification centers, and stable power supply—poses significant hurdles for smaller players. Government initiatives like the PM MITRA Parks scheme aim to address these gaps by providing plug-and-play infrastructure and bridging knowledge deficits to enable MSMEs to compete globally. Despite these challenges, the Indian textile industry is poised for growth. Domestic demand is expected to rise, driven by an expanding middle class, increased discretionary spending, and growing consumer interest in workwear and athleisure. On the global front, the market, valued at USD 165 billion in 2022, is projected to grow to USD 350 billion by 2030. Exports, which reached USD 44 billion in fiscal 2022, are targeted to hit USD 100 billion by 2030, supported by government efforts to improve competitiveness and market penetration. India remains a leading player in cotton production and yarn exports but lags in high-value segments like ready-made garments (RMG), where its global market share is just 3 per cent. Competitors such as Bangladesh and Vietnam, with better trade agreements and cost advantages, have outpaced India in exports. The report emphasises the urgency for India to secure free trade agreements (FTAs) with key markets and pivot toward synthetic fibres, which account for 60 per cent of global textile consumption. Encouragingly, the FTA with Australia has doubled India’s RMG exports to that market. To achieve its ambitious export goals and global competitiveness, India must modernise its textile sector, expand its synthetic fibre footprint, and enhance labour conditions while leveraging government initiatives to boost infrastructure and innovation. These steps are crucial for capitalising on opportunities in the evolving global textile landscape.
Source: KNN
At the World Trade Organisation (WTO), Indonesia and Thailand have questioned India’s quality control orders (QCO) on a range of goods, such as footwear, medical textiles and viscose staple fibre. These concerns were raised during Wednesday’s WTO market access meeting. Canada, Japan, the United Kingdom and the European Union expressed reservations about India’s QCOs last year, labelling them protectionist. Concerns regarding QCOs were also voiced by Indonesia regarding viscose rayon cut staple spun yarn, dyed knitted or crocheted cloth derived from synthetic fibres. India has issued QCOs on a number of products to promote domestic production. India hopes to reduce inferior imports by enforcing quality standards for these commodities. QCOs require that a certain Indian Standard be followed, that a valid licence be obtained from the Bureau of Indian Standards and that the covered products show the standard mark. The quality of Indian products will determine the direction of its trade in the future,
Source: Apparel Resource
Synopsis India's Commerce Minister Piyush Goyal announced the country's cautious approach to economic liberalization, citing the need to protect domestic industries and address concerns related to non-market economies. Goyal emphasized the importance of balancing openness with safeguarding India's interests as an emerging economy. NEW DELHI: Commerce and industry minister Piyush Goyal Thursday said that India will be cautious in its opening up process till the time it is an emerging economy and it has to maintain a balance between protecting the needs of industry and the different levels of economic development of other countries and non-market economies when it comes to investment. At an event organised by the UK-India Business Council, he also said that India is going to bring out a new legal framework to ensure data privacy that would encourage free ow of data among trusted partners. “Till we are yet an emerging economy or a developed economy, I'll certainly need to have a little bit more caution in my opening up process,” Goyal said. The minister said the government has to recognise the different levels of economic development between the UK, US, Europe, Japan, Korea and India, and that it is dealing with non-market economies. “So whatever I do, since we are a MFN (most-favoured nation), and we give national treatment to all investors in the country, I have to make sure that I address any concerns that arise out of non-market economies. So that delicate balance becomes my job,” Goyal said. He also said that India is going to bring out a new legal framework to ensure data privacy that would encourage free ow of data among trusted partners. Goyal said that India and UK can work together to leverage the high level of innovation that Britain’s universities produce. In areas of collaboration for the two sides, he suggested creating platforms for personalized training and virtual reality in AI learning which can become a part of the curriculum in education, collaborate in tele-medicine, develop climate modelling tools, precision farming tools and residue free farming, and partner in organic chemicals, engineering goods and food products.
Source: Economic Times
DPIIT Secretary Amardeep Singh Bhatia on Thursday said the government's focus on FDI liberalisation, smart industrial townships, and sector-specific parks, especially in Tier 2 and 3 cities, is contributing to India's industrialisation. He was speaking at a panel discussion at the 97th AGM and annual convention of FICCI. He also emphasised that the Department for Promotion of Industry and Internal Trade (DPIIT) is creating a conducive ecosystem for industrial development, with support from various ministries. Initiatives like the National Industrial Corridor Program, Production Linked Incentive (PLI) scheme, and the ease of doing business reforms have facilitated industrial growth, Bhatia said. Kamran Rizvi, Secretary in the Ministry of Heavy Industries, who also participated in the discussion, emphasised the rapid pace of change driven by electrification and the need for industries to adapt to this shift. He highlighted how the Ministry of Heavy Industries is playing an active role in India's growth with a focus on cost-effective manufacturing and increased domestic value addition, especially in the electric vehicle sector. Rizvi also said that India's strength lies in its robust industry, positioning the country on a path toward a resilient, sustainable and globally competitive future. Anant Goenka, Vice President of FICCI and Vice Chairman of RPG Group, stressed that private investment is aligning with the domestic demand and, he remains optimistic about its growth prospects. He also highlighted the transformative potential of sector-specific industrial parks, drawing lessons from SEZs in India and other countries, to enhance manufacturing competitiveness. Industry body FICCI also organised a panel discussion with top leaders in the industry during the session 'Women-led Growth'. The session emphasised the critical role of women in driving India's economic and social transformation.
Source: Business Standard
Building on its case to transform India’s state-owned ports into self-reliant commercial entities, the Ministry of Ports, Shipping and Waterways is considering expanding the autonomy of major ports in making decisions regarding capital expenditure (capex), according to officials familiar with the developments. “There is a proposal under consideration that would allow all 12 major ports to undertake capex at their discretion, but only using their internal resources. This would increase the level of corporatisation of these ports and reduce dependence on bureaucracy,” said a senior government official.
Source: Business Standard
Vijayawada: Handlooms and textiles minister S. Savitha announced establishment of textile parks at Emmiganur, Rayadurgam, Mylavaram and Pamidi, along with a handloom park in Chirala. Replying to a question from Telugu Desam MLA B. Jananageswara Reddy in State Legislative Assembly, she revealed that the state government will formulate a new textile policy soon for development of the weavers’ community. The minister recalled that the TD-led government had in 2015 allocated 90 acres in Emmiganur, so that a textile park could be established to support handloom weavers. However, the subsequent Jagan Mohan Reddy government significantly undermined the handloom sector. She pointed out that under the pretext of providing housing for the poor, the YSRC government took away 14 acres of the Emmiganur textile park area. Savitha said to protect the textile park land, they successfully obtained a stay from the court. She reiterated that the TD-led government will establish the textile park in Emmiganur, which will create 5,000 jobs. The minister underlined that the new textile policy will expand textile industry across the state and help artisans in a major way. She praised fellow minister Nara Lokesh for establishing weaving societies in Mangalagiri, reflecting a commitment to the handloom industry. She mentioned that their government is considering setting up weaving societies across the state. Some members of parliament have already come forward to support the initiative using their MPLAD funds. Savitha highlighted that with assistance from organisations such as the Aditya Birla Group and funds extended by the central government, weaving societies and clusters will soon be established in various parts of Andhra Pradesh. Additionally, 90 per cent subsidy will be provided to handloom workers to purchase tools.
Source: Deccan
Union Textile Minister Giriraj Singh on Wednesday night said the textile sector turning into another key source of income for the people after agriculture. Speaking at a road show in the run up to the Bharat Tex 2025, the Global Textile Expo in New Delhi in February, Singh said 4.6 crore people are employed in the textile sector in the country at present, which is substantially higher from the figure before 2014. "Going by the roadmap by 2030 the number of people sustaining from the sector will reach the six crore mark in 2030," he said. Underscoring that the Narendra Modi government has made innovation as the bottom-line for the goal of 'Atma Nirbhar Bharat', he said "Before 2014 there was no start up whereas now 1.5 lakh people are associated with start-up ventures." Singh said a new concept of technical textile has added a new dimension and it has greatly benefited the medical sector churning out products like sanitary napkins and masks. Singh said by 2030, 13 million tonnes of fibre will be used but there will not be any scarcity as both natural and man made fibres will be in abundance due to the policy of the Modi government. "India has so much diversity in textile jute, natural fibre, mulberry, tussar .... whatever silk is available in the global market that is produced in India," Singh said, pointing out the government is committed to work to strengthen this diversity. He said in coming days the government will revive the jute sector, for which Rs 12,000 crore has been earmarked. Describing Kolkata as the 'mother of textiles', Singh said post-Independence Kolkata and Mumbai had been textile leaders but the city lost its pre-eminence over the decades. Singh said India's textile industry has moved past China and is moving ahead. People would say our garments faced competition from Bangladesh and Vietnam. China was above us in cotton but not anymore. Through innovation and start-ups we are racing ahead. While every other country's economy suffered a setback after Covid, our economy continued to grow at 7-8% rate." Union MoS textile Pabitra Margherita said the upcoming Bharat Tex 2025 will be building bridges of of culture with the world. Marghetia said Kolkata's contribution in this remains immense ''as Bengal is the cradle of heritage handlooms from famed baluchari sarees to jamdan." Stating India is moving towards a 5 million trillion worth textile market, he said there is a need to form a textile value chain.
Source: NDTV Profit
In a strategic roadshow preceding the upcoming Bharat Tex 2025 Global Textile Expo, Union Minister Giriraj Singh highlighted the transformative potential of India's textiles sector, projecting substantial employment and economic expansion in the coming years. Currently employing 46 million people, the textile industry is expected to generate jobs for 60 million individuals by 2030, representing a significant increase from pre-2014 levels. The minister emphasised the sector's growing importance as an alternative income source to agriculture, underscoring the industry's evolving landscape. Highlighting the government's innovation-driven approach, Singh noted the remarkable growth of start-up ventures, which have expanded from negligible presence before 2014 to now engaging 150,000 professionals. The introduction of technical textiles has particularly revolutionised sectors like medical manufacturing, enabling production of critical items such as sanitary napkins and masks. The minister projected that by 2030, India will utilise 13 million tonnes of fibre, with both natural and man-made fibres expected to be abundantly available. He celebrated India's textile diversity, referencing various indigenous fibres including jute, mulberry, and multiple silk varieties, positioning the country as a comprehensive global textile producer. Acknowledging historical textile centres, Singh described Kolkata as the ‘mother of textiles’ while noting the city's diminished prominence over decades. However, he confidently declared that India's textile industry has surpassed China's, citing innovation and strategic start-ups as key drivers of this advancement. The government has committed substantial resources to revitalise the sector, allocating 120 billion rupees specifically for jute sector revival. Union Minister of State for Textiles Pabitra Margherita further emphasised the sector's cultural significance, highlighting Bengal's rich heritage of handloom traditions like baluchari sarees and jamdani textiles. Looking ahead to the Bharat Tex 2025 expo, officials view the event as an opportunity to showcase India's textile capabilities and establish international cultural connections.
The minister stressed the importance of developing a comprehensive textile value chain to sustain and accelerate the sector's growth trajectory.
Source: KNN India
This new handbook was compiled by Global Standard, the organisation responsible for overseeing GOTS, in collaboration with the Hague-based UpRights Foundation. The GOTS Due Diligence Handbook for Auditors serves as a detailed guide for certification bodies and their auditors in evaluating adherence to the GOTS 7.0 criteria, which was launched in March 2023. It is designed to facilitate consistent verification of due diligence, human rights, and social standards through practical methodologies. The guide provides structured procedures for auditors to perform comprehensive audits effectively, aligning with global regulatory developments. This resource does not replace existing audit protocols used by certification bodies; rather, it offers supplementary insights and tools. Additionally, this new Handbook works in conjunction with the GOTS Due Diligence Handbook for Certified Entities, released in September 2023, which provides guidance on incorporating responsible practices throughout business operations and supply chains. Together, these resources form integral components of the Global Standard Due Diligence Framework, enabling GOTS Certified Entities and Certification Bodies to uphold high standards regarding human rights and environmental responsibilities.
Source: Just Styles
Synopsis Harsha Vardhan Agarwal, Vice Chairman & Managing Director of Emami Limited, assumed the role of president at FICCI for 2024-25, succeeding Anish Shah. Anant Goenka stepped up as Senior Vice President, while Vijay Sankar joined the leadership as Vice President. Harsha Vardhan Agarwal, Vice Chairman & Managing Director, Emami Limited, on Thursday, took over as president of Federation of Indian Chambers of Commerce & Industry's (FICCI) for 2024-25. Agarwal succeeds Anish Shah, Group CEO of the Mahindra Group and the Managing Director of Mahindra & Mahindra Ltd. Anant Goenka, Vice Chairman, RPG Group has been elevated as Senior Vice President from Vice President. Vijay Sankar, Chairman, the Sanmar Group has joined the FICCI leadership as Vice President. Agarwal, a second-generation leader of the $3.1 billion Emami Group, was picked as one of India's Hottest Young Business Leaders by The Economic Times & Spencer Stuart in 2016 under the 'FORTY UNDER 40' list. Anant Goenka, Vice chairman, RPG group, was the Managing Director & CEO of CEAT, an Indian multinational tyre manufacturing company, between 2012 and 2023. Sankar who has joined FICCI as Vice President heads the Sanmar Group, headquartered in Chennai and has manufacturing facilities in Mexico, Egypt and South India.
Source: Economic Times
European Union has officially adopted a regulation banning products made with forced labour from being placed on, made available in, or exported from its market. This landmark decision has been approved by the EU Council. The regulation establishes a robust framework to identify and target products linked to forced labour, both within and outside the EU. A key feature will be a database of high-risk areas and products, maintained by the European Commission, to assist national authorities in assessing compliance, the Council said in a press statement. Investigations can be initiated based on risk assessments. Member state authorities will handle cases involving forced labour within their territories, while the Commission will oversee cases related to third countries. National authorities are required to share relevant information across borders, ensuring seamless collaboration across the Union. Decisions to ban, withdraw, or dispose of non-compliant products will have EU-wide applicability under the principle of mutual recognition. The regulation will take effect the day after its publication in the Official Journal of the European Union. However, it will only be enforced three years after its entry into force, giving businesses time to adapt to the new rules. This regulation comes in response to alarming statistics revealing that approximately 27.6 million people are subjected to forced labour worldwide, spanning multiple industries and continents. Most of these abuses occur in the private sector, although some are government-imposed.
Originally proposed by the Commission in September 2022, the regulation marks a significant step towards combating forced labour and ensuring ethical standards in global trade. With this legislation, the EU underscores its commitment to human rights and fair labour practices in its economic dealings.
Source: Council of EU
China yesterday kept its one-year loan prime rate (LPR), a market-based benchmark lending rate, unchanged from the previous month at 3.1 per cent.
The over-five-year LPR, on which many lenders base their mortgage rates, also remained unchanged from 3.6 per cent earlier, according to the National Interbank Funding Centre. Since late September, China has been announcing a series of stimulus steps to pull the economy out of a deflationary slump and back towards the government's growth target. These include monetary easing, fiscal measures and property market support. It is believed by some quarters that China may unveil further policy intentions once Donald Trump takes office in January. During Trump's first term as president, the yuan weakened by about 5 per cent against the US dollar in the initial round of US tariffs on Chinese goods in 2018 and fell by another 1.5 per cent a year later when trade tensions escalated.
Source: Reuters
ISTANBUL, Nov 21 (Reuters) - Turkey's central bank held its policy rate steady at 50% on Thursday, as expected, and said it remained attentive to inflation risks, while analysts said its comments opened the way for a possible rate cut next month.
"The level of the policy rate will be determined in a way to ensure the tightness required by the projected disinflation path, taking into account both realised and expected inflation," the bank said after its monetary policy committee meeting. Governor Fatih Karahan said this month that monetary policy would remain tight even when a rate-cutting cycle started, and that keeping the current interest rate amid improving inflation expectations would amount to a tightening. The central bank has kept rates steady since March, when it raised its policy rate (TRINT=ECI), opens new tab by 500 basis points to round off an aggressive tightening cycle that started in June last year to rein in soaring inflation. In a change of messaging in September, it began setting the stage for a rate cut by dropping a reference to potential further tightening, but it has continued to voice caution on inflation. In October, inflation was higher than expected, dipping only to 48.6% annually, underscoring the continuing battle against soaring prices. A Reuters poll showed the bank was expected to hold rates steady in November, with a rate cut seen in December or January. Earlier this month, the central bank raised its year-end inflation forecasts for this year and next to 44% and 21% respectively, vowing to keep policy tight to ensure disinflation continues. The central bank hiked rates by 4,150 basis points between June last year and March as part of an abrupt shift to orthodox policy after years of low rates that triggered a series of currency crashes and sent inflation soaring. A test of the government's commitment to taming inflation will come at the end of the year, when it is set to hike the minimum wage.
Source: Reuters
