Textile

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Textile 25-01-2022

Replacing ATUF, the new plan can have cost of Rs. 16,600 crore

Vardhman Textiles Q3 FY22 results reported

24 January 2022, Mumbai:

Ludhiana-based Vardhman Textiles on Saturday reported a consolidated profit-after-tax of Rs 431.51 for the third quarter ended December 2021. The group had reported a profit after tax of Rs 174.85 crore in the year-round period.

Its total income for the quarter under review rose to Rs 2,666.8 crore as against Rs 1,806.85 crore in the corresponding period of the previous year (October-December 2020), a regulatory filing showed.

Vardhman Group - Rooted in values, creating world-class textiles - The Textile Magazine

However, its total expenses also shot up to Rs 2,097.62 crore in the same quarter, up from Rs 1,588.22 crore in the year-ago period, the BSE filing showed.

CREDITS: retail economictimes moneycontrol.com

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Textile 24-01-2022

Cotton import duties may soon be abolished

23 January 2022, Mumbai:

The textile and clothing industries, which are grappling with the increasing price of cotton and cotton yarn, may soon find some relief. Apparel Resources learned from industry insiders that the cotton import charge might be eliminated in the coming days.

Cotton is subject to an import tariff of 11%. "We have received favorable indications in this respect from the Ministry of Textiles (MoT), and we are hoping that an announcement will be made shortly," said a senior official of a cotton industry group.

Import Duty - Overview, Calculation, and Economics

He went on to say that Indian cotton farmers are getting a decent price for their crop, so removing the tariff shouldn't be a huge deal. In the 2021-22 budget, the government introduced a fee of 5% basic customs duty, 5% Agricultural Infrastructure Development cess, and 10% social welfare cess on both, totaling 11% on cotton imports.

Various stakeholders in the garment business are constantly voicing this problem, and strikes have occurred in Tirupur as well. On the same subject, the industry is on hunger strike even today. The Ministry of Transportation has already had many talks with various trade associations and has even issued a warning to stakeholders about the impending rises.

The Tamil Nadu Chief Minister has also advocated the removal of the cotton tariff and has written to the Ministry of Textiles thrice about the problem. Cotton imports would undoubtedly grow if the government abolishes the tariff, but this will be contingent on the price of imported cotton, as high cotton prices are a global phenomena.

If the levy is lifted, industry analysts estimate that India would be able to import roughly 20-25 lakh bales of cotton. According to Statista, India imported raw cotton and cotton wastes worth around Rs. 28 billion in fiscal year 2021, a considerable decrease from FY2020, when the same was worth Rs. 93 billion.

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Textile 22-01-2022

Cotton import duties may soon be abolished

Powerloom Development and Export Promotion Council (PDEXCIL): Seek export incentives

19 January 2022, Mumbai:

With yarn prices continuously staying firm as a rough estimate by almost 70%, coupled with consistently rising cotton prices and high global export demand tailwind, also the semblance is local manufacturers of textiles and apparel (T&A) are losing their competitiveness fast to our competitor nations like Bangladesh and China, etc.

Export Incentives in India: Everything You Need To Know
In order to ensuring that the domestic fabric and apparel manufacturers stay competitive and afloat, members of the Powerloom Development and Export Promotion Council (PDEXCIL) have urged seeking special export incentives for fabric and apparel makers back home at this juncture.

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Textile 19-01-2022

Powerloom Development and Export Promotion Council (PDEXCIL): Seek export incentives

Telangana has urged the Union Government to help the state's textile industry

24 January 2022, Mumbai:

Telangana Industries Minister KT Rama Rao has requested the Union Government's help for a number of projects the state is pursuing in the handloom and textiles sectors.

He requested Union Finance Minister Nirmala Sitharaman and Union Textile Minister Piyush Goyal to release federal money for critical projects like as the Kakatiya Giant Textile Park (KMTP) in Warangal and the mega powerloom cluster in Sircilla in a letter to both.

KT Rama Rao also requested the establishment of an Indian Institute of Handloom Technology (IIHT) in the state, and suggested the handloom park in Pochampally as a location for it.

Assam Textiles,Assam Handloom and Textile Industries,Textiles of Assam,Textile Industry of Assam,Assam Handloom - Fibre2Fashion

In Hyderabad, he also proposed the establishment of a National Textile Research Institute and a Handloom Export Promotion Council. KTR has requested funding of roughly Rs. 898 crore to begin infrastructure development at KMTP.

KMTP is built on the 'fiber to fashion' idea and spans 1,200 acres. Similarly, he recommended the Center to provide a financing of Rs. 49.84 crore for the mega powerloom cluster at Sircilla, out of a total estimated investment of Rs. 993.65 crore, to fill in the gaps and implement other components.

Allowing upgradation of powerlooms under the IN-SITU scheme, sanction of 15 block level handloom clusters (BLCs) under the national handloom development programme (NHDP), and relaxation of bank financing requirements for large textile projects under the amended technology upgradation fund (ATUF) from the existing 50% of the project cost to 5% to help companies finance their projects according to their size.....all of these things have been requested by Telangana.

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Textile 24-01-2022

Telangana has urged the Union Government to help the state's textile industry

Andhra Pradesh, Textile Minister: launches Apco catalogue

22 January 2022, Mumbai:

Stating that Apco management's decision to enter into the wholesale market is a big leap to make its mark on the national and international footprint, industries, handlooms and textiles minister Mekapati Gautam Reddy observed that it would help weavers grab a big market share across the country.

He said Apco's innovative marketing strategies will make it the destination for handlooms. He said the Apco management has done a commendable job by launching a special operation to capture wholesale business at the national level.

Mekapati Gautham Reddy on Wednesday unveiled the catalogue of Apco clothing range at his camp office in Vijayawada. He said Apis entering the wholesale market for the first time.

TOI (The news article has not been edited by DFU Publications)

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Textile 21-01-2022

Andhra Pradesh, Textile Minister: launches Apco catalogue

PM Mega Integrated Textile Region and Apparel (PM MITRA) parks scheme: The government releases operational guidelines

19 January 2022, Mumbai:

The government has released operational guidelines for PM Mega Integrated Textile Region and Apparel (PM MITRA) parks scheme as per which the state government will transfer land to the Special Purpose Vehicle- a legal entity with 51% equity shareholding of the state and 49% of the centre.

PM MITRA Parks

As per the guidelines released by the textiles ministry, the sites for the parks will be selected basis five metrics- connectivity to site, existing ecosystem for textiles, availability of utilities services at site, state industrial /textile policy, and environmental and social impact.

The nearest highway from site, distance from air cargo, airport/railhead, distance from sea port/inland waterway/dedicated freight corridor and distance from multi modal logistic park /will have a weightage of 25%.

Similarly, the existing ecosystem for textiles like distance from the existing textile cluster, availability of raw materials and skilled manpower suitable for the textiles industry, availability of skill development institutes/research associations/institutes will also have a 25% weightage.
ET (The news article has not been edited by DFU Publications staff)

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Textile 19-01-2022

PM Mega Integrated Textile Region and Apparel (PM MITRA) parks scheme: The government releases operational guidelines

Textile Machinery Manufacturing encouragement scheme in the making

24 January 2022, Mumbai:

Work Starts on 16.6kcr Scheme to Encourage Textile Manufacturing.

5 key benefits of computer-integrated manufacturing

Run up to Union Budget 2022

The government has BUDGET begun work on a new scheme with an outlay of about 16,600 crores for the next five years for textile machinery manufacturing. support to technology up-gradation in existing clusters and MSMEs, and support for new integrated manufacturing facilities.
Credits: ET dt 24-01-2022

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Textile 24-01-2022

Textile Machinery Manufacturing encouragement scheme in the making

Rising prices in South India compel spinners to opt for cotton from high plains of Texas

20 January 2022, Mumbai:

High cotton prices are creating ripple effects across the Indian economy and employment with spinners from South India opting for cotton from the high plains of Texas.

The spinning industry in India is largely concentrated in the Coimbatore, Erode, and Thirppur regions of Tamil Nadu.

Separate Country For SOUTH INDIA - Home | Facebook

Textile mills are also situated in the cotton-growing areas of Virudhunagar districts. Indian spinners are looking for alternatives to Indian cotton owing to its high prices and lack of consistent quality. Spinning associations have also been demanding a 10 percent waiver on cotton import duty to boost imports.

Velmurugan Shanmugam, General Manager of Jayalakshmi Textiles says, his company has booked 300 tons of High Plains cotton which is expected to arrive in Tuticorin port in 3-4 months.

He hopes, by that time, the government will make a favorable decision on the import duty on cotton.

The company has been using small quantities of Giza cotton for high-quality yarns of 100-120s. Indian cotton mills are also focusing on the quality and consistency of the available cotton besides encouraging farmers to achieve high-quality standards.

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Textile 20-01-2022

Rising prices in South India compel spinners to opt for cotton from high plains of Texas

The home furnishing business in Panipat is suffering massive losses

18 January 2022, Mumbai:

Panipat, Haryana's 'Textile City' and India's top home furnishing centre, is having trouble fulfilling export contracts due to two-month-old Commission of Air Quality Management (CAQM) regulations.

In only one week, the sector has suffered a loss of Rs.100 crore. The factories are only open five days a week, as per the guidelines. The CAQM issued directives shutting down companies for two days a week and prohibiting the use of diesel generators in the National Capital Region (NCR). In October of last year, it also required businesses to work for eight hours a day.

First Battle Of Panipat eBook : Ahlawat, Amit: Amazon.in: Books

According to Lalit Goyal, President of the Panipat Exporters' Association, with fewer days of operation, export orders that are currently in production are unable to be finished and shipped on time. Because the air quality index (AQI) in Panipat is much improved, companies should be permitted to operate 24 hours a day, seven days a week.

It's worth noting that Panipat's textile sector has an annual export turnover of Rs. 15,000 crore and a local market turnover of over Rs. 35,000 crore.

Because shipments are projected to be delayed, foreign buyers have begun threatening to cancel orders, resulting in significant financial losses and a loss of goodwill in the worldwide market.

Narayanan, Member Secretary, Haryana State Pollution Control Board (HSPCB), responded by saying that the industry's submission had been forwarded to the Chairman, CAQM, along with their own suggestions. The CAQM will make the final decision on the subject.

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Cotton import duties should be abolished in the Union Budget, according to the textile industry

23 January 2022, Mumbai:

Businesses in the textile industry are seeking and expecting the federal government to eliminate the present 10% import charge on cotton in the next Union Budget for 2023 to assist strengthen the industry.

Cotton yarn imports should be tax-free, according to textile giants, which are pressing for the 10 percent import charge implemented last year to be repealed.

Many textiles-related firms are struggling financially as yarn costs have grown rapidly over the last year. On February 1, the Union Budget will be released, outlining the government's budgetary objectives for each industry.

"The government imposed a 10% customs levy on [the] import of cotton fiber last year, exacerbating the problem," Raymond's lifestyle segment CEO S L Pokharna told ET Retail.

Union Budget 2022 to be presented by Nirmala Sitharaman on February 1 | Economy News | Zee News

"This responsibility should be revoked in order to facilitate a supply." The sector is eager for the government to find measures to lower local cotton prices, which are at considerable highs due to foreign market sentiment. According to Dollar Industries' managing director Vinod Kumar Gupta, removing the import tariff will lower import prices, which would then lower local pricing.

As part of its 'Make in India' effort to encourage domestic manufacturing, the Union Government chose textiles as one of the main industries to focus on. Textile companies are expecting that the government would take this into account in the future budget.

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Textile 22-01-2022

Cotton import duties should be abolished in the Union Budget, according to the textile industry

Confederation of Indian Industry (CII): Indian textile exports can hit $65 billion

19 January 2022, Mumbai:

Indian textile exports can hit $65 billion if industry majors take the right steps and there is proper execution of government schemes, a joint report by global consulting firm Kearney and The Confederation of Indian Industry (CII) said.

Exports declined by 3 percent during 2015–2019 and by 18.7 percent in 2020, the report observed and went on to add that during the same period, other low-cost countries such as Bangladesh and Vietnam have gained a share.

THE INDIAN TEXTILE ENGINEERING INDUSTRY - TEXTILE VALUE CHAIN

“We believe with the right actions from the industry majors and robust execution of government schemes, India can hit $65 billion in exports (implying 9-10% CAGR) by 2026.

This, coupled with growth in domestic consumption, could propel domestic production to reach $160 billion. Given the labour-intensive nature of this industry, this growth could add 7.5 million direct jobs in textile manufacturing” Siddharth Jain, Partner, Kearney said in a statement.
ET (The news article has not been edited by DFU Publications staff)

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Textile 19-01-2022

SVP Global Ventures Limited has changed its name to SVP Global Textiles Limited

18 January 2022, Mumbai:

SVP Global Ventures Ltd., a renowned compact cotton yarn producer situated in Mumbai, has changed its name to SVP Global Textiles Ltd. Because the firm primarily manufactures cotton yarn, it was thought necessary to include textile in the name.

SVP Group, founded in 1898 by Shri Vallabh Pittie, manufactures polyester, polyester & cotton mix, and 100% cotton yarn at three state-of-the-art manufacturing facilities in Jhalawar (Rajasthan), Ramnad (Coimbatore), and Sohar (Rajasthan) (Oman).

SVP Global Venture Pvt. Ltd. announces its NSE listing – ThePrint

The firm has a 125-year history in the textile industry with a goal of being the world's leading fully integrated textile company, producing yarn, fabric, and clothing.

"The change of name will provide the firm with a distinct identity of a top textile producer as we are also entering into the whole value chain of textiles," said Chirag Pittie, the company's director. He also predicted that the company's recent development in Oman and entry into technical textiles would result in a 25 to 30% boost in sales. In H2FY22, the Oman Plant is projected to reach full capacity.

In H2FY22, the Oman Plant is projected to reach full capacity. The move into technical textiles is planned to complement the Group's main business, and the factory is expected to open in 12 to 15 months.

The business is also spending roughly Rs. 100 crore in Jhalawar, Rajasthan, to build a 4,375 MT per annum green-field plant for technical textiles, as well as protective uniforms and functional clothing. "Company has generated consistent sales growth Y-o-Y and Q-o-Q with a strong PAT margin of over 10%," stated Major General OP Gulia (Retd.) of the Group.

EBITDA margin has consistently risen, from 6.1 percent in FY2017 to 23 percent in Q2FY22. The Group is now prepared to enter the whole textile value chain. The company's order book presently stands at Rs. 5,000 crore, which is enough to cover income for the next 2-3 years."

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