Cotton prices would no more decline in the coming weeks
US Home Textile Imports in January 2005 : China vs. India and Pakistan
Bangladesh vs. China on US apparel market
India could be excluded from EU's GSP treatment
US Apparel Imports in January : China vs Hong Kong, India, Pakistan and Vietnam
EU textile industry officially requesting quotas on China's apparel
US trade priorities will modify textile rules
EU could impose duties up to 80% on China's polyester fiber
Latest Regulations regarding Textile Trade
India scraps duty-free yarn import facility
Govt plans to reduce sales tax on cotton exports to zero
Cotton Yarn Prices are rising in India
Shortage of Caustic Soda, Soda Ash hits towel-processing industry
EU and US will be long in re-imposing quotas on China's apparel
Cotton production may fall next year
Textile Asia 2005 attracts buyers from 35 states
Carpet exports may touch $235 million mark
3.5 per cent duty reduction on export of textile and clothing to EU
Textile millers install employ latest technology
Govt targets 12m bales for 2005-06
Get Email CD that can Increase your sell before quota removal, it has more than 2 Million Importers & Buyers Email Addresses and contact Nos. What are you waiting for Call NOW 0333-2226897
Cotton prices would no more decline in the coming weeks
Cotton prices would not fall below their current levels in the coming weeks, mainly due to the strength in demand this season and an expected fall in production in 2005-2006. After prices rose about 15% in the past three months on the international market, domestic cotton prices are also being raised in Pakistan and India.
US Home Textile Imports in January 2005 : China vs. India and Pakistan
US imports of home textiles from China were far from booming in the first month without quotas. Pakistan was a clear loser on the US market for made-ups in January while India maintained its market shares. Shipments from Thailand surged in specific categories.
Bangladesh vs. China on US apparel market
Bangladeshi exports of woven apparel dramatically declined in January, the first month of the quota-free era. Exports of knitted apparel are apparently more resisting China's threat. The current liberalization in clothing trade will probably force Bangladeshi exporters to increasingly specialize in a few products such as cotton underwear, as indicated by our comparison of US apparel imports from Bangladesh and from China in January.
India could be excluded from EU's GSP treatment
EU's decision over the new GSP scheme was Wednesday delayed after Italy and Portugal proposed to exclude India from GSP benefits in addition to China, as a result of the current surge in EU textile and apparel imports. EU ministers did not either agree over the list of countries which will benefit from additional "GSP-Plus" treatment, resulting in duty-free access to EU's market for a wide range of products. Implementation of EU's new GSP could be delayed after April 1st.
US Apparel Imports in January : China vs Hong Kong, India, Pakistan and Vietnam
China's apparel prices dramatically fell in January after US quotas were removed, as indicated by latest US official data. China's exports are now cheaper than shipments from India and Pakistan in most sensitive categories. Vietnam could finally become the most threatening competitor to China after its apparel will also enjoy a quota-free access to the US market, as shown by our category-based comparison of US apparel import prices in January.
EU textile industry officially requesting quotas on China's apparel
10 March 2005 - EU's textile industry association Euratex officially requested EU's Commission to re-impose quotas on a wide range of textile and apparel imports from China. The surge in shipments last week unveiled by Chinese official data is behind EU industry's move. Since EU data do not yet indicate such a boom in imports from China, EU's Commission will probably be long in reacting.
US trade priorities will modify textile rules
Far from being completed, global liberalization of textile trade will continue in the coming years. US top trade administration Tuesday released an exhaustive report about on-going negotiations showing that textile and apparel trade will be subject to new radical changes in addition to just completed quotas' phasing-out.
EU could impose duties up to 80% on China's polyester fiber
The European Union could impose additional anti-dumping duties up to 80% on imports of polyester staple fibers from China, EU's Commission just proposed following a 1-Year investigation. Duties of 21% on PSF imports from Saudi Arabia were also suggested. Taiwanese fibers would no more be punished while duties on Korean PSF could be lowered.
About Editor
Free Newsletters


Click to join Newsltter

or
mail: textilenews@hotmail.com

Latest Regulations regarding Textile Trade
W.T.O. : Definitive ruling on US cotton subsidies.
- US CITA: Duty-free imports from Mauritius.
- US Customs : Results of March reopening of 2004 quotas, results of February China safeguard reopening, Mauritius AGOA benefits, etc.
- US International Trade Administration: Anti-dumping duties on shop towels from Pakistan and Bangladesh.
- EU Commission proposal: Anti-dumping duties on PSF from China, Saudi Arabia, Korea and Taiwan.
- Hong Kong's Trade and Industry Department: Automatic export licenses for textile products.
Govt plans to reduce sales tax on cotton exports to zero
The Pakistan government plans to reduce the rate of sales tax to zero on the full chain of 70 per cent exports of cotton and its products. The government is also considering allowing a handsome relief to textile manufacturers-cum- exporters from the payment of sales tax on exports in the next budget to make them competitive in the international market. This was disclosed by Central Board of Revenue Chairman Mohammad Abdullah Yusuf in a meeting with the members of Site Association of Industry here on March 7. A large scale change in the sales tax system is being made to accelerate trade and industrial activities.
He said that rates of income tax were being gradually reduced for the corporate sector, and by the year 2007, the rates for all commercial organizations, including banks, will come to 35pc. However, the Securities and Exchange Commission of Pakistan has set up a task force to review the rates of income tax keeping in view the changing conditions of business. Decision will be taken on receipt of recommendations from the task force.
India scraps duty-free yarn import facility
The ban is said to have been imposed due to the increasing competitiveness of Pakistan's efficient yarn manufacturing sector...
Cotton Yarn Prices are rising in India
Cotton yarn prices have firmed up by 18-33 cents per kg over the last three weeks in India. While the increase has been substantial in fine count yarns, coarse count yarns have also been affected.
Shortage of Caustic Soda, Soda Ash hits towel-processing industry
The towel processing industry which is mostly based at Karachi is in danger of closing down within a short time due to acute shortage of Caustic Soda and Soda Ash which are basic inputs for dyeing and processing..
EU and US will be long in re-imposing quotas on China's apparel
EU and US will not immediately re-impose quotas on apparel imports from China, although shipments are spectacularly surging. EU's Trade Commissioner Tuesday made it clear that Europe will wait longer before taking any safeguard measure while the US administration is still barred from any action by a legal procedure.
Cotton production may fall next year
The government estimates that cotton output will remain slightly over 12 million bales the next fiscal year compared to this year’s bumper crop of around 15 million bales, a senior government official told reporters. “Over 12 million bales are expected in the next fiscal year,” he said referring to a working paper prepared for the meeting of the Federal Committee on Agriculture (FCA), to be held later this month. The official said that prevalence of highly favorable weather in 2004-05 might not continue during 2005-06.
The official figure for this year’s production is 14.6 million bales, but estimates of the All Pakistan Textile Mills Association (APTMA) and the Pakistan Cotton Ginners Association (PCGA) suggest that the actual crop size is a record 15 million bales, which has brightened the prospects of achieving over five percent growth in agriculture against a budgetary target of 4.2 percent. The target outputs of cotton are the initial calculations of the Ministry of Food, Agriculture and Livestock (MinFal). They could be revised after inputs of other stakeholders such as the Indus River System Authority (IRSA), the Commerce Ministry, the Trading Corporation of Pakistan (TCP) and the Pakistan Central Cotton Committee (PCCC).
The ministers and secretaries of food and agriculture of the four provinces and Azad Jammu and Kashmir (AJK) will also attend the meeting, the official said.
Textile Asia 2005 attracts buyers from 35 states
The three-day Textile Asia 2005 exhibition ended with a lot of business and enthusiasm on part of both buyers and sellers. The Exhibition was held from March 19 to 21, organized by the Federal Ministry of Investment and Privatization and ministry of textile industry in collaboration with e-Commerce Gateway. The sellers of high-tech machines from Japan, Germany, Spain, England, China and other countries said they were hopeful to make good agreements with Pakistani textile industry. Some 35 countries participated in the exhibition and hundreds of thousands visited the exhibition. Buyers from across Pakistan were found asking about the working of latest technology and prices. Knitting, embroidery, looms and other machines attracted the visitors. A machine, circular knitting machine from Taiwan was of special attraction for the buyers. The representative of the company said that during the three days they have sold some 50 machines, which cost US$29700 per machine.
Al Murtaza Machinery Co had the biggest pavilion and said some 80,000 people visited the pavilion. Director of the company was hopeful that a number of agreements were in process and would be materialized in few weeks.
Carpet exports may touch $235 million mark
Pakistan's carpet exports are likely to touch the mark of $ 235 million during the year 2004-05 against last fiscal year's $ 222 million. According to carpet industry sources, exports are picking up mainly due to improved image of Pakistan. "Several positive factors have combined to brighten the export outlook. The improving image of Pakistan has created new confidence among investors and our business partners abroad," carpet industry expert, Naeem Tahir Sheikh said. Another important factor is the increasing production of tribal/classical design carpets, which are a hot favorite in the international market. After the departure of Afghan weavers these carpets are now being made by traditional weavers in the Punjab, especially in Gujranwala, Sheikhupura, Faisalabad, Kasur, Jhang and Sialkot Districts.
3.5 per cent duty reduction on export of textile and clothing to EU
Pakistan will get duty reduction of around 3.5 per cent in export of all products except for textile and clothing to European Union (EU) member countries under the new normal generalized system of preferences (GSP) scheme. The new EU GSP scheme is likely to be effective from April 1, 2005 instead of July to give maximum help to Tsunami hit countries particularly Sri Lanka. Tasneem Noorani, Secretary Commerce said that under the normal GSP scheme Pakistani exportable products would enjoy duty preferences of around 3.5 per cent on almost all products to the EU markets. However, for the clothing sector, the duty reduction would be in the range of 2.5 per cent under normal GSP scheme and for yarn and fabrics, the duty reduction in import duty would be in the range of 1.2 to 1.4 per cent. Pakistan, however, would not get any preferences in duty on export of all varieties of rice, agricultural products, Molasses and ethanol alcohol because all these products were placed in the sensitive list of the GSP scheme.
Answering a question, the secretary said that Pakistan had done an extensive lobbying for getting access to the GSP plus scheme-zero rate of duty - but it was not materialized. He, however, said that government was considering various proposals for increasing Pakistan's textile and clothing exports to EU following the failure to get an access to the GSP plus scheme. Mr Noorani said that Pakistan linked the GSP plus scheme with countering the extremism and terrorism so that to generate maximum economic activities in the country which would ultimately result in reduction of these menaces. On the other hand, the EU councils of ministers are scheduled to meet on March 24 to consider Indian case to qualify for getting preferences on its textile and clothing.
In the draft released by the EC in October last, the graduation limit for textile and clothing for the new GSP scheme was fixed at around 10 per cent. While the Indian share of textile and clothing in the GSP scheme was around 11 per cent that means that India could not get preferences in duty on textile and clothing under the new normal GSP.

Textile millers install employ latest technology
Nakshbandi Industries was the first publicly-owned company in the country to specialize in the manufacturing of terry towels, bathrobes, sheets, pillow and duvet covers and apparel fabrics. Amongst the environmentally friendly measures undertaken by Nakshbandi is the purchase of all its dyestuffs and chemicals from ISO certified European and US manufacturers, and the construction of a water recycling plant on the premises to process all the water contaminated by the manufacturing process. Nakshbandi Industries in 1988 installing a Pad-thermo sol, followed by another unit in 2001. The company installed its first Monforts stenter in 1997, and a second in 2001. A Sanforiser has also been installed. "We use Monforts technology because the company is the leader in dyeing and drying," says Mr Teli. As a high-volume producer, Nakshbandi's output is formidable. The company processes 50,000 meters of fabric a day, which adds up to 1.5 million meters a month.
Production of towels alone runs to 20 tones per day with plans to double this next year. The company specializes in pure white institutional towels, under the brand name Seagull, while solid colors, geometrics and floral are produced to specification. "With checks at every stage of production and post-production to measure the quality status of the product, we are able to assure our clients of a consistent, high grade product of terry towel," says Mr Teli. Nakshbandi, which employs 1,800 people, has a turnover of $ 25 million per year. It is a supplier to many of the leading brand-name stores, including Wal-Mart, Macy's, Carrefour, IKEA, Gap, and J C Penney.
Karachi-based conglomerate Gani & Tayub also known as the G&T Group, one of Pakistan's most diversified textiles and garments producers, has installed a Montex 5000 stenter at its subsidiary Mustaqim Dyeing & Printing Industries, which manufactures and exports knitted and woven fabrics, bed linen, home textiles and ready-made garments. Amongst the technologies used by Mustaqim are three rotary printing machines able to handle 12, 15 and 21 colors. The company has its own in-house design department equipped with a CAD and CAD system, and its own laboratory. Mr Bilwani says that Mustaqim now has an annual turnover of $ 20 million, and employs approximately 750 people. More than 75% of the company's production is exported, 60 % of this destined for the European Union. Mustaqim purchased a Montex 5000 through the local representative Al Ameen, in order, says Mr Bilwani, to help keep the company in a highly competitive situation. "It has always been our policy to invest in the technology that we feel is right for our production quality and our projected volume of output," he says. "Since the machine was installed, we have been able to add both extra capacity and flexibility. Competition in our export markets is intense, and we need to be able to move quickly to fulfill our orders, while at the same time maintaining the highest quality standards."

The universal and modular Monforts stenter principle offers an individual adaptation to all the demanded finishing effects - and at the same time versatile applications for the range. For woven fabrics, with the Qualitex PLC system, the TwinAir and maintenance-free chain technology, Monforts stenter technology is fully geared to meeting fast-changing demands. This is of particular importance to Mustaqim, which in addition to supplying its distributors and wholesalers overseas is also a supplier to branded stores, including IKEA, Wal-Mart, Kmart, and Target USA.

Govt targets 12m bales for 2005-06
The federal government has set 12 million cotton bales target for 2005-06 season and it would import half million tones of urea to meet the shortfall during Kharif season. At a press briefing on 29th March after the meeting of Federal Committee on Agriculture (FCA), Sikandar Hayat Bosan, federal minister for food, agriculture and livestock said that water situation had improved due to widespread rains. “IRSA (Indus River System Authority) has reported water availability at three MAF (million acre feet) as carry-forward as on March 31, 2005,” he said. He said that during Kharif 2004-05 water availability in canal system was 59 MAF, while this year the canal water availability would be 73 MAF, which was an impressive increase of 24 percent.
The 82nd meeting of FCA was held to discuss the progress of Rabi crops 2004-05 and set targets for Kharif season of 2005-06. The meeting was attended by food and agriculture ministers of all the four provinces, IRSA officials and other officials of federal and provincial departments. The meeting also examined the inputs situation for the Kharif season. The minister said the FCA meeting also reviewed performance of agri sector during Rabi season, which mostly remained higher than set targets. “According to the information made available by the provincial food and agriculture departments, we expect that wheat production will surpass this year target of 20.2 million tones,” he said. “Despite recent rains and destruction of standing crop in different areas of the country, the production will, hopefully, be at 21.2 million, which will be a record after 1999-2000 record production of 21.1 million tones and four percent higher than last year production.” The minister said that rice production was estimated to stand five million tones by the end of current season, which indicated four percent rise over the last year production of the commodity. He said the sugarcane production was estimated to stand at 45.3 million tones against the year’s achievement of 53.8 million tones showing decrease of 15.8 percent. However, the minister accused the sugar millers for decline in the sugarcane production apart from creeping water shortage this year. But, Mr Bosan said that there was enough stock of sugar in the country as Trading Corporation held 375,000 tones of the commodity which negated any need to import sugar. He said that with different protocols to be signed with China, Pakistan was expected to get large market for Irri variety of rice.

Copyright © 2003- 2006, Textile News & Updates Newsletter. All rights reserved.
You may pass this message along to friends and colleagues on the condition that you do not change it in any way.