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          Pakistan’s textile exports, especially those of value-added products, grew 0.59 per cent to $1.053 billion in October from $1.047bn in the same month of the last year, the Pakistan Bureau of Statistics said on Friday.

 

          Though paltry, the growth was much needed as the sector’s exports had been in decline for the last couple of years due to falling commodity prices on the international market. The rise in proceeds, particularly because of better prices, has also revived hopes that the sector may now regain its share in the global market.

 

          However, Apparel Forum Chairman Jawed Bilwani told Dawn that exports rose despite the fact that there was no support from the government. In fact, the cost of Pakistani products has increased manifold, he lamented.

 

          He also criticised the government for announcing a package for the textile sector “only on paper”, and said the government has created problems for exporters instead of resolving them.

 

          Boosting exports was not on the government’s list of priorities, Mr Bilwani said, adding that its focus was only on building roads and announcing projects like Metrobus in Punjab.

 

          Product-wise details show that exports of readymade garments grew 1.4pc and of knitwear 4.9pc in October on an annual basis. Exports of bedwear went up by 7.7pc and towels 9.7pc.

 

          While carded cotton witnessed a substantial year-on-year growth of 222pc, exports of all other primary commodities — raw cotton, cotton yarn and cotton cloth — declined during the month under review.

 

          One reason behind the rise in exports of value-added textile products is preferential access to the 28-nation European Union under the GSP+ scheme.

 

          In the four months to October, the value of overall textile and clothing products fell 4.4pc to $4.082bn from $4.268bn a year ago.

 

          President of the Federation of Chambers of Commerce and Industry (FPCCI) Rauf Alam appreciated the government for reducing gas prices for the industrial sector by Rs200 per million British thermal units.

 

          In a meeting with Finance Minister Ishaq Dar on Friday, he said the cut would provide relief to the sector which was becoming non-competitive in the international market.

 

           “The relief will go a long way in solving the problems of the industrial sector and will improve its productive capacity.”

 

          According to an official statement issued after the meeting, Mr Dar said the government was committed to address the problems of the industry and was making all efforts possible to make the country’s products competitive in the international market once again.

 

           “Now it is obligation of the businesses to increase exports and earn the much-needed foreign exchange for the country,” he said.

 

Source : http://www.dawn.com

          The ginners showed less interest in fresh deals at the present levels due to hovering fears regarding supply of cotton, dealers said on the cotton market on Friday. The official spot rate was unmoved at Rs 6150, dealers said. In Sindh, seed cotton prices were at Rs 2400-3200, they said. In Punjab, phutti rates were at Rs 3100 and Rs 3450, as per 40 kg, they added.

 

          In the ready session, over 26,000 bales of cotton changed hands between Rs 4400-6400, they said. Commenting on the present trend in the market, dealers said that cotton importers are in dilemma under the circumstances. Cotton analyst, Naseem Usman said that mills and spinners were trying to lay hands over the quality lint but the ginners could not decide about deals. Other experts said that if ban imposed on import of cotton from India, this factor may create cause short supply position.

 

          The following deals reported: 800 bales from Tando Adam at Rs 4400/4600, 200 bales from Punj Moro at Rs 5550, 400 bales from Mirpurkhas at Rs 5600, 1800 bales from Sanghar at Rs 5600/5750, 1200 bales from Shahdadpur at Rs 5675/6050, 1000 bales from Shahpur Chakar at Rs 5700, 1000 bales from Nawabshah at Rs 5850, 2000 bales from Khairpur at Rs 6100/6175, 1000 bales from Rohri at Rs 6200/6250, 600 bales from Salehpat at Rs 6250, 400 bales from Khanpur Mehar at Rs 6400, 600 bales from Ghotki at Rs 6400, 1000 bales from Vehari at Rs 6150/6200, 1600 bales from Kabirwala at Rs 6150/6300, 400 bales from Kheror Pacca at Rs 6200, 300 bales from Shadan Lund at Rs 6300, 1600 bales from Rajanpur at Rs 6300/6350, 600 bales from Maroot at Rs 6340, 400 bales from Liaquatpur at Rs 6350, 800 bales from Sadiqabad at Rs 6350, 600 bales from Yazman Mandi at Rs 6350, 800 bales from Hasilpur at Rs 6350/6400, 1000 bales from Hasilpur at Rs 6350/6400, 5400 bales from Bahawalpur at Rs 6350/6400, 600 bales from Dera Ghazi Khan at Rs 6400 and 400 bales from Chani Goth at Rs 6400, dealers said.

 

Source : http://www.brecorder.com

          The plant quarantine department has stopped issuing permits to its traders for import of commodities from India, though without an official announcement 26 November, 2016

 

The escalating border tensions between India and Pakistan have started hitting other sectors. The plant quarantine department under Islamabad's ministry of agriculture has stopped issuing permits to its traders for import of commodities from India, though without an official announcement.

 

          Kavita Gupta, the governments textiles commissioner, confirmed the development. India exports vegetables, cotton and pulses, among others; it imports fruit, shrimp and onions, to name a few, from Pakistan. However, total agri export to Pakistan is a little less than 0.3 per cent of the overall export. It was $225.8 million for 2015-16, as compared to $303.9 mn for 2014-15. For the April-September period this year, first half of the financial year, it was $86.1 mn.

 

          We are taking up this issue with the appropriate authority in Pakistan and believe the matter would be resolved soon, said Gupta.

 

         
          For a smooth business environment, a conducive political climate is required, which is absent between India and Pakistan at present, said Ajay Sahai, chief executive of the Federation of Indian Export Organisations. He felt the trade halt would hit Pakistan far more than India.

 

          Pakistan imported 2.7 million bales of cotton (a bale is 170 kg), around 40 per cent of India's overall export in 2015-16, due to crop failure there. The textiles ministry had expected them to import around 1.5 mn bales this year.

 

          Pakistan competes with India in textile export to developed countries. In case of cotton import from elsewhere, their transportation cost would go up, which would result ino Pakistan losing competitiveness with India, felt Sahai.

 

Source : www.cottonyarnmarket.net

          The Taiwan Textile Federation (TTF) is bullish on domestic textile sector and is looking to export textiles products worth around $500 million to India in the next five years.

 

          "India is a very dynamic market with lot of potential and scope for Taiwanese companies. Our focus is to tap new business opportunities in India, Bangladesh, and Sri Lanka where there is huge demand for innovative knit and woven textile products (performance & functional) like synthetic, fancy, functional etc as well as garment accessories," Taiwan Textile Federation Overseas Market Development Sean Tsai said.

 

          Tsai said this on the sideline of buyer-seller meet here.

 

          "We aim to export around $500 million worth of functional textiles in the next five years to India. The bilateral trade between India and Taiwan has grown from $1.19 billion in 2001 to $6 billion in 2014," Tsai added.

 

          For over 10 years, the TTF had been organising buyer-seller meet in India and has been quite successful in connecting and supplying our innovative and trendy textiles to the leading fashion garment exporters' as well domestic brands in India, he added.

 

          Organised by the TTF and the Bureau of Foreign Trade and represented by Worldex India Exhibition & Promotion, Taiwan Textile Fair showcased Taiwan's innovative and value-added yarns, fabrics, trimmings and clothing accessories were displayed to apparel exporters, fashion brands and labels, retailers, importers, distributors based in Mumbai.

 

          Taiwanese textile industry is known in the world for its innovative and high-quality products and are sourced by leading global brands for sports and active wear, outdoor wear, functional wear, formal wear, suiting and shirting by leading global brands such as such as DKNY, S. Oliver, C&A, Victoria's Secret, GAP, Nike, Adidas, Calvin Klein, H&M, Marks & Spencer, TESCOUK, Tommy Hilfiger etc.

 

Some of the leading exporters and brands in India that are already sourcing from Taiwan include Shahi Exports, Gokaldas Images, Madura Garments, Wildcraft, Moxi Sports, and Proline India.

 

Source : http:/retail.economictimes.indiatimes.com/

          Mumbai, Nov 24 (PTI) Banks concentrating on a few states has led to rising loan defaults and non-payments in the micro and SME commercial sector, a report by TransUnion Cibil said today.

 

          "Focusing on a few states deprive the lenders of an opportunity to exhibit calibrated loan growth. Currently, some banks tend to have analytical and strategic focus on five or at most ten states and may not be fully sensitive on the industry credit profile divergences," TransUnion Cibil India managing director and chief executive Satish Pillai said in a statement.

 

          He cited the case of Rajasthan, which has the lowest non-performing assets (NPAs) for commercial loans at two per cent, but also the lowest concentration of loans.

 

          According to a report, the NPA rate in micro-enterprises has been range-bound between 6 and 6.5 per cent, but it is the SME segment that is showing a worrying trend in terms of asset quality, as the NPAs have grown to 11 per cent from 8 per cent earlier.

 

          "The credit industry has been focusing on the micro and SME segments to overcome the challenges of commercial loan growth blues. Nevertheless, the NPA rate trends in these two segments will also have to be monitored closely," it said.

 

          Among other sectors it said real estate and construction businesses have observed significant high NPAs of over six per cent, but also witnessed loan growth of 11 and 14 per cent, respectively.

 

          The highest NPAs, of over 15 per cent, are in leather, textile and steel industries, it said.

 

          The state-run banks share in SME loans has gone down with the private sector lenders growing in this segment. PTI AA BEN NP ADI MR RDS

 

Source : http://indiatoday.intoday.in

          Most of the textile and apparel industry does not avail CENVAT, highlights a report released by the Ministry of Textiles adding that the CENVAT route will prepare the textile and apparel industry for GST when it comes into force.

 

          Central Value Added Tax (CENVAT) is a tax levied on the manufacture or production of movable and marketable goods in India.

 

          The Textiles & Apparel Achievement Report released by DIPP on November 24 shows that there has been an upward revision of duty drawback rates wherein All Industry Rates (AIR) of Duty Drawback has been revised for various products from November 23, 2015.

 

          The revised rate encourages the industry to follow the CENVAT route as exporters opting CENVAT facility would get enhanced drawback rate and value, the report mentioned adding that this will prepare the textile and apparel industry for GST when it comes into force.

 

          The report also shows comparison when of Duty Drawback rates when CENVAT is availed by exporters and when it is not.

 

          In case of Cotton Yarn, when the CENVAT was not availed, the duty drawback rates were in the range of 2.8-4.7 in the year 2014 and between 2.5 - 4.5 in 2015. However, when the CENVAT was availed, the duty drawback rate were in the range of 0.9  1.3 in 2014 and between 1.2  1.4 in 2015.

 

          In case of Apparel, when the CENVAT wan not availed the duty drawback rates were in the range of 7.2  10.5 in 2015 while when the CENVAT was availed, the rates were in the range of 2.0  3.5 in 2015.

 

          Similar were the cases with Cotton Fabric, Man-Made Fabric and Home Textiles.

 

          The report also highlights that the textile sector in India accounts for 10% of the countrys manufacturing production, 5% of Indias GDP, and 13% of Indias exports earnings. Textile and apparel sector is the second largest employment provider in the country employing nearly 51million people directly and 68 million people indirectly in 2015-16.

 

          Further, Textiles and Apparel exports are estimated to reach USD 62 billion by 2021 from the USD 38 billion in 2016. Traditionally, Indias key export demand has been driven by Europe and America, but new markets such as Iran, Russia and South America are opening up new possibilities for growth, emphasizes the report.

 

Source : www.cottonyarnmarket.net