23rd September 2021, Mumbai:

The Gujarat Dyestuffs Manufacturers Association has awarded Huntsman Textile Effects with the ‘Top Exporter of the Year' title. Huntsman Textile Effects is a major global producer of high-quality dyes, chemicals, and digital inks for textile-related sectors (GDMA).

Huntsman Corporation, a publicly listed global maker and marketer of differentiated and specialty chemicals expect to generate roughly $6 billion in sales in 2020. Ranjeeth Kumar, Commissioner, Ministry of Small and Medium Enterprises, Government of Gujarat, gave the award, which recognizes excellence indirect exports of dyes and dye intermediates from 2018 to 2019, at an event in Ahmedabad recently. The prize was given to Kavishwar Kalambe, Huntsman Textile Effects' Site Director-Baroda.

“We are ecstatic to receive this honor and recognition from the GDMA's highest organization.

It demonstrates Huntsman's contribution to India's and Gujarat's export profits, as well as its dedication to playing a key role in the sector's and region's economic prosperity,” said Kavishwar Kalambe. Huntsman runs a cutting-edge worldwide dyes and chemicals production facility in Padra, Gujarat's designated industrial zone. Over 800 people are employed directly and indirectly at the plant, which spans 62 acres.

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20th September 2021, Mumbai:

To address rising worldwide demand, textile company Welspun intends to invest about Rs 800 crore ($120.25 million) in its home textiles and flooring divisions over the next two years.

Welspun stated in a statement that it aims to invest Rs 656.5 crore in developing its home textiles business in the fiscal years 2022 and 2023, according to the Economic Times.

In response to rising foreign demand, the company, which is India's largest home textiles maker, plans to boost its towel production capacity by 20% to 1.02 lakh metric tonnes per year.

According to the Press Trust of India, “keeping in mind the recent trend of customers focusing on tracking the entire value chain, 'Farm to Shelf,' the board has approved an investment in 40 looms for towel fabric at Anjar, which represents 7% of installed capacity,”

Welspun said in a regulatory filing. Beginning in the first quarter of the 2023 fiscal year, the company expects to realize financial growth as a result of these developments. “From the second year of operation, this expansion has a revenue potential of Rs 1,207 crore,” Welspun added.

Welspun India is a subsidiary of the Welspun Group, which is involved in industries such as textiles, steel, oil & gas, warehousing, infrastructure, and flooring.

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16th September 2021, Mumbai:

Pratibha Syntex (Indore), one of India's most environmentally conscious clothing manufacturers, has announced that it has completed the Supplier to Zero foundational levels, led by the ZDHC (Zero Discharge of Hazardous Chemicals) foundation.

Toxins in the textile and clothing sectors were removed and replaced by the ZDHC Foundation, which was founded by the textile, apparel, and chemical industries. ZDHC began focused not just on customers, but also on employees and the environment in the nations where they are produced. It produced a list named RSL (Restricted Substance List), which was followed by MRSL (Manufacturer Restricted Substance List).

Furthermore, ZDHC promotes effective chemical management by teaching stakeholders about chemical sustainability. “We celebrate enthusiasm, creativity, and science at Pratibha Syntex.

We have a great collection of employees that work tirelessly to fulfill the company's objectives. Having a great team with a strong individual vision to make the world a better place is a blessing.

With such a workforce, Pratibha Syntex is well on its path to being a zero-hazard chemical manufacturer,” stated Mrinal Bose, the company's Sustainability Manager. ZDHC's Roadmap to Zero initiative aims to assist the supply chain in eliminating contaminants. It affects the manufacturer's/input, supplier process, and output in all three aspects.

This program ensures the safety of workers while also reducing environmental impact. Supplier to Zero is a roadmap for supplier/manufacturer leadership in chemical management.

It was extremely satisfying for the firm to carry out sustainable business practices in order to safeguard the health of its workers and the environment, according to the corporation. Pratibha Syntex is a vertically integrated, environmentally conscious knitted textile company.

The firm is devoted to building partnerships across the value chain, bringing together over 35,000 farmers, 10,000 workers, and recognized global fashion brands from over 20 countries, all guided by a strong progressive vision.

It can produce more than 22,000 tonnes of lint, 28,000 tonnes of yarn, 10,000 tonnes of fabric, and over 6 million garment pieces per year. Zero Liquid Discharge, ISO 14001, SA 8000, Fair Trade, WRAP, OCS, GOTS, C2C-Gold Certification, and Global recycled materials are among the certifications held by the export firm.

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22nd September 2021, Mumbai:

Memos reviewed by Reuters show, India's plan to tighten rules on its fast-growing e-commerce market has run into internal government dissent. The Ministry of Finance has described some of these proposals as excessive and economically irrational. This would compel policymakers to rethink the new rules, says Suhaan Mukerji, Managing Partner, PLR Chambers, a law firm specializing in public policy issues.

India in June shocked the e-commerce world with proposals from its consumer affairs ministry that sought to limit 'flash sales', rein in a push to promote private-label brands push and raise scrutiny of relationships between online marketplace operators and their vendors. Though the rules were announced after complaints from brick-and-mortar retailers about alleged unfair practices of foreign companies, they also drew protest from Tata Group, with more than $100 billion in revenue, which is planning an e-commerce expansion.

The Finance Ministry, the Ministry of Corporate Affairs and NITI Aayog have all raised objections in memos reviewed by Reuters, saying the proposals go far beyond their stated aim of protecting consumers and also lack regulatory clarity. The proposed amendments are likely to have significant implications/restrictions on a sunrise sector and 'ease of doing business', said the three-page memo raised on August 31.

Rajiv Kumar, Vice Chairman, NITI Aayog says, the rules could hit small businesses. Moreover, they send the message of unpredictability and inconsistency in the government’s policy-making, he adds.

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18th September 2021, Mumbai:

The GST Council has determined that beginning next year, the inverted duty structure in the clothing industry will be corrected. The decision was made at the Council's 45th meeting, which was headed by Union Finance Minister Nirmala Sitharaman.

The GST rate on inputs into the MMF fabric category (fibre and yarn) is 18% and 12%, respectively, whilst the GST rate on MMF fabric is 5% and the GST rate on finished products clothing is 5% and 12%.

It provides a tax system in which the input rate is greater than the output rate. This raises the effective tax rate on MMF fabrics and clothing and violates the fibre neutrality concept.

The inverted duty structure has been a problem for the clothing sector, and the Council has made suggestions to the government to correct this anomaly, which has resulted in input tax credit buildup, which is preventing firms from accessing critical working capital.

The clothing sector has applauded the move, which would provide a much-needed break by lowering the tax burden on manufactured fiber (MMF) textiles and apparel.

A.Sakthivel, Chairman of the Apparel Export Promotion Council (AEPC), praised the government's decision, saying, "AEPC is grateful to the government for accepting our request and agreeing to fix the inverted tariff structure starting January 1, 2022."

He also applauded the GST Council's decision to prolong the GST exemption on products transported by vessel and air from India to countries outside of India till September 30, 2022. It will assist to mitigate the present high freight expenses to some extent.

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15th September 2021, Mumbai:

Bollywood actress Kalki Koechlin has been roped in as the brand ambassador for multi-brand luxury online platform Tata Cliq for its new campaign and film ‘The Luxe Life’ as part of the business’ ‘digital first’ strategy. Tata Cliq’s new campaign will promote its ‘Slow Commerce’ retail philosophy.

The campaign starring Koechlin will first be launched across Tata’s digital channels before being broadcast offline as part of the business’ focus on online sales and customer acquisition.

The new campaign aims to create a strong link between luxury and slow, considered living. Koechlin takes time to browse Tata Cliq Luxury’s premium clothing and accessories options before making her selection and the idea of craftsmanship as luxury is also highlighted. The film was created in collaboration with creative agency Havas Worldwide India.

Tata Cliq is the flagship digital commerce initiative of the Tata Group. It is a multi-category e-commerce platform, operating across categories such as fashion, footwear and accessories, electronics and luxury.

TOP 5:

• Cotton production in India may drop by 1%, according to Fitch Ratings
• Popees intends to expand its retail presence in India
• FabIndia re-opens its first store In New Delhi
• Nykaa debuts a plus-size range for Twenty Dresses, a private label
• Textiles may provide 7.5 lakh direct job opportunities under the government's PLI plan

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22nd September 2021, Mumbai:

The Income Tax Department conducted a search and seizure operation at a prominent Indian textile company that manufactures textile and filament yarn and has offices in Delhi, Punjab, and Kolkata.

The Group has around Rs. 350 crore in unauthorized cash in its overseas bank accounts, which it has channeled back into its company through shell companies in tax havens. The method discovered was connected to foreign companies under the Group's control investing in Foreign Currency Convertible Bonds issued by its primary business, and then converting them into shares of the company under the guise of defaulting on payments.

It was also discovered that management fees were being paid to overseas corporations and trusts for managing the undeclared cash. Despite the fact that foreign assets owned/managed in the form of businesses and bank accounts must be reported in Schedule FA of income tax returns, the Group has not done so to the Department.

The Department has gathered numerous incriminating documents, loose sheets, diaries, digital evidence, and other items that show the Group's involvement in the routing of unaccounted funds back to its Indian entities, as well as the Group's possession of foreign bank accounts that have not been reported to the Department.

Significant evidence of cash transactions in land purchases, fake costs recorded in books of accounts, unexplained cash spending, and accommodation entries seized from entry operators have been acquired. Details of accounts connected to inexplicable personal financial expenditures were discovered to be scrupulously kept in one of the company's major offices.

There's also evidence that around Rs. 100 crore in cash was produced by debiting fictitious expenses in business accounts and cash transactions in property purchases. The search is still going on, and more investigations are being conducted.

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22nd September 2021, Mumbai:

Over the next two years, India's largest home textile company, Welspun India, would invest about Rs. 800 crore in capacity development for its home textiles and flooring divisions. The company's board of directors authorized plans to increase towel production capacity at its Anjar, Kutch (Gujarat) facility to 1,02,000 metric tonnes per annum (MTPA), up from 85,400 MTPA currently. During FY22-23, the company plans to invest Rs 656.5 crore in expanding its home textiles division. To satisfy the rising demand from international clients, it aims to increase its towel production capacity by 20%.

The firm noted in a regulatory filing that, in light of clients' current focus on tracking the whole value chain, or 'Farm to Shelf,' the board has approved an investment in 40 looms for towel fabric at Anjar, which represents 7% of installed capacity. The board, on the other hand, has approved extra investment in automation for its Vapi, Valsad (Gujarat) facility in order to achieve a faster production turnaround at a cheaper cost. From the second year of operation, the expansion has a revenue potential of Rs. 1,207 crore. The company's net debt position projection for the current financial year, i.e. Rs 2,400 crore as of 31 March 2022, has not changed.

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17th September 2021, Mumbai:

Although the pandemic and Brexit concerns have hampered cross-border shopping in recent years, the channel is rebounding, and luxury is fueling that recovery, according to new research.

Over the last six months, luxury has been the fastest-growing cross-border category, with demand particularly strong in four major regions, three of which are in Asia.

It's also worth noting that up to 43% of cross-border buyers are willing to sacrifice the in-store luxury experience in exchange for online convenience. According to the newest statistics from eShopWorld (ESW), a cross-border e-commerce expert, all of this is true.

Its International Voices: The Pre-Peak Pulse 2021 polled almost 15,000 consumers in the United Kingdom, France, Germany, the United States, Canada, Mexico, South Africa, the United Arab Emirates, India, Russia, China, South Korea, Japan, and Australia.

It also found that demand for luxury products is highest in four important markets: China (39 percent), the United Arab Emirates (33 percent), South Korea (28 percent), and India (28 percent) (21 percent ).

In China and South Korea, more than 70% of Millennials, GenXers, and Baby Boomers shop luxury online, compared to less than 45% in the Americas and most of Europe.

This is especially true for European and American businesses aiming for these growing regions. While 43 percent prefer to shop online, almost half (42 percent) will do so on brand websites outside of their native nation.

According to the survey, more than half of consumers in Mexico (54%), China (61%), Russia (50%), and South Africa (57%) are “comfortable” buying luxury products online due to a lack of availability and variety of such goods locally.

This announcement follows a year in which the luxury market was compelled to reprioritize digital tactics in order to mitigate the pandemic's impact. Because of their new online focus, luxury e-sales is expected to grow to 30% in 2021, up from 22% in 2020, thanks to a surge in Millennial and Gen Z customers. Not that the luxury store's days are gone; 42% of luxury consumers prefer to purchase in-store because they can touch and try on items.

However, consumers still expect a full-fledged luxury experience online, with 77 percent of survey respondents expecting exceptional personalized customer service when purchasing luxury goods through webstores, and 75 percent believing brands and retailers could do more to improve premium levels of customer service.

If the experience "mirrors the level of service obtained in-store," as much as 69 percent are "more inclined to buy luxury products online." That may serve as a wake-up call for high-end companies and merchants that, in terms of shipping, returns, online images, and other customer services, are still struggling to create a premium feel.

“The quality, workmanship, and prestige of luxury items are in rising demand from a growing digitally native middle class, residing outside of traditional luxury markets, who are both brand and status hungry,” said Martim Avillez Oliveira, Chief Commercial Officer, EMEA and APAC at ESW.

To profit, luxury companies must focus on duplicating the high-touch, hyper-personalized experience customers have in-store in the DTC channel, and then deploying those experiences across borders to satisfy demand at its source.

“The luxury brands that continue to adapt and embrace omnichannel strategies that meld the expectations of the modern consumer with the traditional tenets of the luxury experience, from super-premium customer service, including tracked, personalized delivery, free returns, luxury packaging, and premium courier services, to immersive online experiences, will thrive as they bridge the gap between the physical and digital worlds.

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