PSF
Prices Boosted by Cotton Rally
PSF prices clearly rose
in the past four weeks in China, boosted by stronger demand
from fiber processing industry. Yarn makers are turning
to polyester staple fibers after cotton prices sharply increased
in the past two months. The current weakness on PTA's market
should however limit any increase in PSF prices.
TOP |
China's
Denim Fabric Exports in First Half 2007
China's exports of cotton
denim fabrics declined in the first half, as domestic production
is increasingly absorbed by surging denim apparel sales
on internal and international markets. Sales to low-cost
countries are more strongly falling, except to Pakistan.
Prices are rising on a large series of markets, reflecting
higher costs and improved quality. TOP |
India
Denim Fabric Exports surged in 2006
India's
denim exports surged in the past year, according to latest
statistical data and could be up 40% in the 2006-07 fiscal
year, in US$ terms. Sales to neighboring Bangladesh were
sharply down, while exports to major denim processing markets
surged, such as Turkey, Egypt or Cambodia. Imports from
China are falling, in addition, with Turkish denim gaining
ground, our India Correspondent reports. TOP |
Quota
removal will hurt Asian countries outside China
Elimination of
US quotas on apparel imports from China may have a very
negative impact on shipments from other Asian countries.
Suppliers like Bangladesh, Cambodia and Indonesia are heavily
dependent on protection offered by US restrictions, a "mini-study"
by EmergingTextiles.com found. A series of statistical tables
show how these countries may feel a fall in orders, effective
from next year.
TOP |
Cotton
Prices stabilizing amid low physical demand
Cotton prices began
last week stabilizing on international markets, clearly
supported by speculation. Physical demand remains widely
depressed, however, in line with a low level in cotton textile
production in China and elsewhere. The textile market is
not easily accepting the recent surge in cotton prices.
Boosted by good weather conditions in major producing countries,
new crops could be larger than initially expected.
TOP |
China's
Cotton T-Shirt Exports in First Half 2007
China's exports
of cotton T-shirts continued rising in the first half this
year mainly due to a surge in sales to the US and EU markets.
The new increase may also be explained by higher unit prices
on so-called quota markets. Shipments to Japan and Hong
Kong continue accounting for a large share of T-shirt exports
before sales to Europe are next year boosted by the removal
of quotas, effective from 1 January 2008. TOP |
Sharp
rebound in oil prices should not affect polyester
Crude oil prices are sharply
rebounding to higher levels after US inventories fell in
the past week. Prices should however remain stable in the
polyester chain, mainly due to a lack of demand for Paraxylene
which is depressing PX spot prices. Polyester filament prices
are slightly rising in China, while PSF gained 1 US cent
over the last seven days in northeast Asia.
TOP |
India
Exports of Man-Made Fibers and Textiles in 2006-07
India's exports of man-made
fiber textiles further increased in the past fiscal year
(April 06-March 07), although the growth was limited by
rising costs. Yarn and fiber exports were much stronger
than fabric and made-up shipments. Exports are expected
falling this fiscal year, due to a drop in the US dollar
against the rupee, although sales to Turkey and Brazil are
rocketing.
TOP |
Latest
Regulations regarding Textile Trade
• US CITA: Amendment to Nicaragua's
TPL under CAFTA-DR. AGOA Determination.
• US ITA: Imports of Certain Cotton Shirting Fabric:
Implementation of Tariff Rate Quota.
• CAFTA Commercial Availability: Raschel Knit Open
Work Crepe.
• US Customs: 2007 ATPDEA Extension. New Short Supply
Designation for CAFTA-DR.
• US ITC: Sub-Saharan Africa: Factors Affecting Trade
Patterns. Second of Three
• Investigations on U.S. Trade with China.
• China's Ministry of Commerce: Second Agreement Bidding
of Textiles Exported to EU and the US in 2007.
• European Union: Anti-Dumping Duties on Bed Linen
from Pakistan.
• US Trade Representative: United States Requests
WTO Panel in Challenge to China's Prohibited Subsidies.
• US CITA: Amendment of Limit under ATPDEA.
• US ITA: CAFTA Commercial Availability Request: Certain
Woven Fabric.
• US Customs: Articles Assembled Abroad With Textile
Components Cut to Shape in the U.S.
• US ITC: Certain Textile Articles: Probable Effect
of Modification of NAFTA Rules of Origin
• China's Ministry of Commerce: Adjusting Export Rebate
Rate of Some Commodities.
• Supplement Amount and Preliminary Acceptance Result
of the Second Negotiated Bidding of Textiles Exported to
EU and the USA of 2007.
• India's Ministry of Textiles: Extension of operation
of residuary provisions.
• US Customs: African Growth and Opportunity Act (AGOA):
Entry Processing Update for
• Certain Textile and Apparel Products Retroactive
refund of duties.
|
Polyester
Intermediate Prices on the Asian Market
Polyester feedstock
prices remained mostly unchanged in the past week in Asia,
although crude oil prices nearly reached a new record level
in New York at US$77.02 per barrel. Paraxylene is being
depressed by lower demand from PTA producers which reduced
their operating rates. Polyester chip prices are however
rising in China.
TOP |
Spandex
Prices further decreasing in China
Spandex prices
further declined in the past two weeks in China, in line
with lower seasonal demand from textile industry. Raw material
costs remain relatively firm and spandex prices may stabilize
in the near term. Expansion plans are being released after
prices and profits rocketed in the first half. Sales of
leading producer Wantai jumped by 42%. TOP |
Spun
Yarn Prices in China
Spun yarn prices were mixed
in the past two weeks in China. Cotton yarn prices further
climbed in line with a strong rise in cotton fiber prices.
Polyester yarn prices remained unmoved while spun viscose
yarn prices further decreased.
TOP
|
Viscose
Prices less strongly falling
Viscose prices further
declined in China for the sixth consecutive week. After
reaching a peak by early June, prices are being depressed
by the low level in seasonal demand. The decrease was less
strong in the past two weeks, however, possibly indicating
stabilization in the near term.
TOP |
Polyester
Fiber and Yarn Prices in Pakistan
Polyester prices
remained unchanged in the past week in Pakistan, although
imports from China are putting some strong pressure on PSF
prices, our local Correspondent reports. We below publish
staple fiber and filament prices on Pakistani domestic market,
but also spun polyester yarn prices and blended yarn prices.
TOP |
US
Home Textile Imports from China, India and Pakistan in First
Half 2007
China continued gaining
shares on the US import market for home textiles in the
first half. Pakistan is losing ground on the bed sheet market
while more resisting with cotton towels, thanks to US quotas
on Chinese shipments. India is facing difficulties with
wool blankets while its wool carpets are not yet weakened
by competition from China.
TOP |
US
Apparel Imports from China, India and Vietnam in First Half
2007
US
apparel imports from China surged in the first half this
year in a large number of categories, according to preliminary
data in volume terms. Where quotas are not imposed, China's
share is often approaching 50%, as reflected by our series
of tables. India is resisting in a few categories but losing
ground with cotton woven shirts, for instance. Imports from
Vietnam are far from surging with no serious threat in sight
for US textile industry as a result. TOP |
Nylon
and Caprolactam Prices in China
Nylon prices are slightly
declining in China, in line with lower demand in this part
of the year. Raw material costs are also weaker as a result,
but a series of maintenance operations may result in higher
caprolactam prices in the near term in Asia. China's production
of nylon chips and filament yarns is also steadily increasing
while Europe's largest textile nylon supplier was placed
in receivership. TOP
|
Bangladesh
Apparel Industry needs shorter lead time, improved infrastructure,
I.M.F. says
Bangladesh has
got good results in the first two years of the post-quota
era but needs improving infrastructure and reducing lead
times, according to a just-released report by the I.M.F.
(International Monetary Fund). Woven apparel industry is
being weakened by rules of origin for duty-free access on
EU's market. Still protected by EU and US quotas on products
from China, Bangladeshi exporters could see lower market
shares in the future, as already experienced on Canada's
market. TOP |
EU
may re-impose textile quotas in 2008
The European Union again
confirmed that quotas over textile imports from China will
be removed by the end of the year, although France requested
a 1-year extension. Brussels may however rapidly re-impose
limits at the start of 2008 if a new surge in Chinese shipments
is reported. The European Union needs China to maintain
its export licensing system in order to get real-time information.
In another development, China again opposed a Turkish proposal
for a WTO's study on post-quota era, fearing it could lead
to new protectionist measures.
TOP |
US
Denim provision may affect African apparel exports
A
small denim provision in the latest version of the AGOA
may have dramatic impact on US denim apparel imports from
Southern Africa. The level in denim production in the region
is being scrutinized by the US International Trade Commission
(USITC) while the strategic goal of vertical integration
is questioned by US brands which apparently prefer selecting
denim fabrics from a larger number of origins. TOP |
Japan
Denim Exports in 1999-2006 and January-May 2007
Japan's
denim exports to China and Vietnam are sharply rebounding
this year, reflecting much stronger production of denim
apparel in both countries. This is also a sign that US and
EU retailers are increasingly requiring higher-quality fabrics
for denim apparel made in low-cost countries in Asia. Japan's
sales to other destinations retreated by contrast, especially
to Italy. TOP |
Punjab
government to promote exports of textile sector
The
Punjab government has approved the PC-I of a Combined Effluent
Treatment Plant (CETP) at the Faisalabad value addition
city and is waiting for the release of funds from the Planning
and Development (P&D) department. TOP |
Need
to improve cotton crop yield
Pakistan
is one of the leading cotton producers in the world. But
in case of yield per acre the country ranks 13th in the
world. The country has to export around 1.5 to 2.00 million
bales per year to meet the domestic demand. TOP |
Cotton
prices remain on higher side
Karachi Cotton Association spot rates were unchanged at
Rs 2900 per maund as prices of fine lint remained on higher
side today. A total of 5,000 bales were traded. TOP
|
Spinners
feeling neglected
The All Pakistan Textile Association (APTA) chairman Adil
Mahmood has said that the textile ministry has put all its
focus on the processing industry. TOP
|
Textile
companies should operate at optimum levels
A report submitted by a Swiss company to the Ministry of
Textile Industry says the Pakistani textile companies do
not operate at optimum levels. This makes them unattractive
to the international buyers, the report says. TOP
|
New
trade policy unrealistic
The business leaders of Sialkot have criticized the new
trade policy 2007-08 declared by the government. The policy
has not offered incentives for development of trade and
industry and for boosting exports, they said. TOP
|
Cotton
prices remain firm
The Karachi Cotton Association’s spot prices for cotton
stayed firm at Rs 2,900 per maund. Around 4,500 bales changed
hands during the trading session. There was high demand
for quality. TOP
|
Exhibition
to increase trade volume with China
A one-day mini-exhibition on ‘Made-in Pakistan’
was held at Islamabad, organized by the Ministry of Commerce
and the Trade Development Authority exclusively for the
visiting Chinese trade mission. TOP
|
Cotton
prices remain stable
Trading witnessed higher demand for fine line at the Karachi
cotton market today. The Karachi Cotton Association’s
(KCA) spot rates remained stable at Rs 2,875 per maund and
around 4,000 bales changed hands during the trading session.
TOP
|
Textile
policy to be finalized soon
Federal Minister for Textile Industry, Mushtaq Ali Cheema
while talking to reporters at a seminar on ‘Improving
Competitiveness of Textile Industry’ at PIM said that
“National textile policy is being finalized to help
the development of all segments of the textile sector value
chain”. TOP
|
Bangladesh
to explore export opportunities
A 17 member women entrepreneurs delegation is visiting Pakistan
under the leadership of Sabrina Islam to explore export
opportunities and establishing trade relations with Pakistani
women entrepreneurs. TOP
|
Develop
better cotton varieties
Prime Minister Shaukat Aziz while talking to a delegation
of Karachi Cotton Association said that textile exports
constitute 63% of the country’s exports. The sector
should focus on the optimal utilization of its strength.
TOP |
Government
to upgrade textile sector
Jahangir Khan Tareen, Minister for Industries, Production
and Special Initiatives (MOIP&SI) today said that the
government is taking all the necessary steps to make the
textile sector more competitive and efficient. TOP
|
Exports
of upholstery fabrics on the decline
The bed sheet and upholstery manufacturers are finding it
difficult to meet the demands made by international competition
as they think the exports will continue to decline. TOP |
