Hong
Kong's clothing re-exports decrease in April
Hong Kong clothing re-exports in April decreased 10 per
cent in comparison to the same month last year, although
this was a small increase compared with the previous month.
There were large falls to the leading two markets, United
States and the UK although economists still believe that
growth overall remains strong. TOP
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Winners
and Losers in Post-Quota World
A few Asian suppliers were able resisting surging
competition from China in 2005, while smaller nations lost
ground, a report by the United Nations Development Programme
(UNDP) just confirmed. Countries that do not produce enough
yarns and fabrics need further liberalizing their imports,
however, or experience innovative solutions such as central
bonded warehouses. TOP |
Africa
losing share of the US apparel import market
First quarter apparel imports from Sub-Saharan
Africa to the United States has fallen over 20 per cent
in volume. Much of the loss came in larger categories where
China is now restricted by quotas despite AGOA-member countries
being granted preferential treatment on the US market. Washington
says it will now act to give AGOA an improved chance of
success. TOP
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UK's
Clothing Imports in First Quarter 2006
The UK last year imported over 15 billion euros
worth of woven and knitted clothing and that figure could
get higher this year after shipments increased in the first
quarter of 2006. China remains leading supplier while Bangladesh's
low prices attracted UK buyers. India was strong in value
while Spain has replaced Portugal as top supplier of knitted
clothing. TOP |
EU-China
Quota Fill Rates
European quotas will not be filled up before the
end of the year, latest data is indicating. Quota fill rates
continued very slowly rising in the past four weeks. In
China, the administration tries improving the use of quotas.
The volume of licensed quantities slightly improved. TOP
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Polyester
prices are now rising in China
Polyester prices were generally higher today in
China, reflecting a rise in raw material costs that could
be finally accepted by the market. Feedstock prices are
expected further increasing in June, after paraxylene and
ethylene jumped in May. TOP |
Germany's
sourcing of Denim Jeans in first quarter 2006
The German market for men's jeans continued to
grow in the first quarter while that of women's jeans decreased.
Imports were clearly dominated by countries outside the
European Union with Bangladesh topping the list of producers
thanks to a restricted China and the competitiveness of
its prices. Turkey again struggles but it was largest supplier
in terms of value while Italy was the leading internal supplier.
TOP
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Cotton
prices show increase potential
New York futures last week remained in a low trend,
fluctuating either side of the 50 cents per pound mark.
Prices however showed potential to rise after scoring two
notable increases to finish the week on a higher note. Physical
prices ended slightly higher with the A Index up 0.30 cents
per pound. Prices in Pakistan declined while there were
falls for several varieties on India's domestic market.
TOP
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Latest
Regulations regarding Textile Trade
-
US Customs and Border Protection: Details of China Stage
5 opening for quotas that were filled in 2005.
-
US
Committee for the Implementation of Textile Agreements
(CITA): Addition in unrestricted quantities to CAFTA.
-
Hong Kong Trade and Industry Department: Results of
cross-region transfer of provisional quantitative textile
exports.
-
WTO: US Communication regarding NAMA negotiations: Labeling
Requirements for Textiles (Doha Round).
-
Hong
Kong Trade and Industry Department: Utilization rates
of quantitative limits of textile exports and comments
regarding the upgrading of the textile industry.
-
European Union: Council Regulation amending anti-dumping
duties on imports of cotton-type bed linen originating
in Pakistan.
-
US Customs: ATPDEA details of short supply and guidelines
on sampling textiles in US ports.
-
US CITA: Denial of a Commercial Availability Request
under the AGOA.
-
Hong Kong Trade and Industry Department: Changes in
the Catalogues of Textile Products in Mainland China.
-
Chinese Ministry of Commerce: Distribution plans for
EU/US quotas.
-
US Committee for the Implementation of Textile Agreements
(CITA): Adjusting Vietnam's quota limits.
-
US Customs and Border Protection: Stage 4 China opening
results for quotas filled in 2005. Plus details of Chad's
AGOA eligibility and CAFTA quota programming.
-
OTEXA: Dates of re-opening for Chinese quotas filled
in 2005.
-
Hong Kong Trade and Industry Department: Supplementary
Notice Concerning the Results of Applications for Cross-Region
Transfer of Provisional Quantitative Limits of Textile
Exports in April 2006. TOP
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US
imports from Vietnam slowing down in a few categories
US imports from Vietnam are slowing down in a series of
sensitive categories, partly due to seasonal trends. US
limits are still expected being exhausted for several categories
of products by October and November. This could happen before
Vietnam's accession to the WTO and the consecutive elimination
of US quotas. TOP
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Bangladesh
clothing exports hit by violent protests
Bangladesh's clothing exports have been disrupted this week
by a wave of violent protests that have caused concern among
large clients in the US and the EU. The demonstrations have
left dozens of factories ransacked and burnt and the government
has promised tighter security to provide better protection
for the factories situated in specially designated export
zones. TOP |
EU
Market for Denim Jeans in First Quarter 2006
EU market for denim jeans is clearly down this year, although
Germany increased its imports. Prices for jeans entering
into the European Union have also increased in the first
quarter of 2006 after having decreased last year following
the end of world quotas. As reflected by our historical
data, long term demand from women is on an upward trend,
progressively catching up with the men's market over a 10-year
period. TOP
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US
Sourcing of T-shirts in Jan-March 2006
Central America is clearly losing ground on US T-Shirt import
market. Although still having very large market shares,
Honduras and El Salvador were threatened by surging competition
from India and Pakistan in the first quarter. US quotas
on China's T-shirts did not fully protected Central American
suppliers that were in addition affected by low implementation
of the free trade deal with the United States. TOP |
Hong
Kong's Cotton T-Shirt Re-Exports fall sharply in first quarter
Hong Kong's cotton T-Shirt Re-exports fell sharply in the
first quarter of 2006 with significant decreases to the
US and UK markets. Japan remains largest market although
it also imported less volume in the three months to March.
Meanwhile, unit values increase with big rises for buyers
in the UK and Singapore. TOP
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Wool
prices declining in US$ and Euro terms
Wool prices were down this week in US$ and euro terms, mainly
due to a new decline in the Australian dollar. Demand remains
relatively strong although China is not fully participating
in market's activities. Prices rose in Nanjing and in New
Zealand this week. TOP
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Turkey's
textile and clothing output gets stronger
Turkey's clothing exports again fell in April after staging
a modest recovery in the previous month. However, there
was better news from latest production figures which show
that clothing output was at its highest for 14 months. Producers
are also investing more in Egypt to profit from US duty-free
access while a weaker Lira could help exports. TOP
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EU
sourcing of Women's Denim Jeans in 2005 and January 2006
Bangladesh jumped back to become leading supplier of women's
Jeans to the EU in the first month of 2006. It was one of
several exporters including a surging Indonesia, that have
profited from a reduction in imports from China. Turkey
resists pressure by concentrating on value rather than volume
while Belgium, Italy and Germany were leading European distributors.
TOP
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Thailand's
apparel export growth worries the US
Thailand's exports of apparel and textiles have performed
well in the first quarter of 2006 with increases to the
key US and EU markets. But such growth could be hit by political
instability that has put on hold free trade talks with the
US. Washington is also sending a team of specialists to
investigate suspected re-exports of Chinese goods. TOP
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The
clock is ticking for Vietnam
The growth rate of US quotas used in some categories of
apparel and textile imported from Vietnam have again remained
at high levels over the past week. This now brings to a
total eleven categories predicted for early exhaustion at
the current fill rates. The last weekend's deal between
Hanoi and Washington has announced quotas are to be scrapped.
But when? TOP |
US
Apparel Imports in March-April 2006
US Apparel imports from China again declined in March although
the decrease is not as great as the 25 per cent fall seen
in February. China is still leading US supplier thanks to
rises in categories outside of quotas. Shipments from countries
in South East Asia were higher than one year ago while Central
American suppliers again struggled. TOP
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Spandex
prices slightly up in China
Prices of spandex are slightly rising in China, offering
more opportunities for domestic producers to raise operating
rates. While imports are falling, exports are surging, with
a new consolidation in sight for competitors in Korea, Taiwan
and Japan. Prices of raw materials are further decreasing,
also helping China's producers to return to profits this
year. TOP |
Jordan
rocked by abuse claims
Politicians in the US have urged the government to investigate
claims made by a US-based human rights organization that
systematic abuse of workers exists in Jordan. The two countries
have a free trade agreement which insists that labor rights
in Jordan are enforced subject to possible sanctions should
it fail to do so. TOP
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Egypt
confident on continuing QIZ success
Egypt has announced a bold plan to increase the value of
its textile exports as more companies become eligible for
duty free access to the United States. Special Qualified
Industrial Zones providing companies with preferential treatment
have helped the volume of shipments to the US increase in
the first two months of 2006. TOP |
Polyester
filament prices expected rising in China
Polyester filament prices could sharply rise in the coming
days in China, after processors returned from 1-week long
May Day holidays. The low level in stocks and larger textile
production could explain the expected increase in prices.
In India at the same time, Reliance Industries could be
interested in purchasing Pakistan PTA. TOP
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Hong
Kong's clothing re-exports improve in March
Hong Kong clothing re-exports in March rebounded following
poor figures for February but, compared to the same month
one year earlier, the growth was much lower. The monthly
improvement has been attributed to active trade with China's
mainland and also increased shipments to Japan. TOP |
MEG
prices down in Asia and Europe, up in the US
Polyester prices could remain unchanged in the coming period,
as MEG prices are falling in Europe and in Asia. Crude futures
are stabilized slightly above US$70 and could further decline
if US stocks are today reported higher. TOP
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Textiles
to achieve exports worth $10 billion by June
Pakistani textiles are poised to achieve exports worth $10
billion by June this year, mainly due to increase in exports
of value-added textiles. A meeting presided over by Prime
Minister Shaukat Aziz here on May 31 was informed. TOP |
EU
confirms dumping duty reduction on Pakistani bed linen
The European Union Friday officially announced its decision
to lower the amount of anti-dumping duty paid by Pakistani
bed linen manufacturers from 13.1 to an average 5.8 per
cent. TOP
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Value
addition, cost cutting key to raise textiles’ export
The Pakistani textile industry has to concentrate on value
addition and cost cutting to become more competitive and
to gain more share in the international market; analysts
of the sector say. TOP |
High
credit cost hampers investment in textile sector
The textile industry is facing a crisis of investment. The
high cost of bank credit rate is fastly compelling the textile
industry to put-on-hold plans to make further investment
in import of machinery for capacity expansion. A study conducted
by Pakistan Chamber of Commerce released on May 9 reveals.
TOP
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Low
investment in textile sector owing to high credit cost
Investment in textile machinery reduced by 6.4 percent during
May when compared with the corresponding period of last
year. This fall in fresh investment reaches to the vicinity
of 11-12 percent if inflation is also factored in. Ahmed
Kuli Khattak, central chairman of the All Pakistan Textile
Mills Association (APTMA) said. TOP |
Musharraf
assures to assist textile sector
The focus on value addition in the textiles and facilities
to the vital sector of the economy in tapping its full potential
and maximizing exports to world markets has been urged by
the president General Pervez Musharraf here on May 17. TOP
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Export
of textile products increases
The export of readymade garments increased by 30.97 per
cent while the export of total textile products rose by
19.21 per cent during the first nine months of the current
fiscal year over the same period of last year. Official
figures available here on April 29 indicates. TOP |
Textile
board urges Govt to continue 6 pct R&D Fund facility
The government has been suggested to continue with the six
percent Research & Development (R&D) Fund and also
extend it to all countries, sources from the committee said
here on May 19. TOP
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Textile
machinery import falls due to high mark-up rate
The import of textile machinery has fallen by 6.4 percent
in the first half of 2005-06 compared with the corresponding
period of last year as a result of high mark-up rate in
the country. TOP |
Huge
textile machinery orders booked at IGATEX
The fifth largest exhibition of Textile Machinery &
Accessories in South Asia concluded on April 29 after marking
its success and gaining immense response from the textile
industry players. TOP |
Opportunities
for Turkish businessmen for joint ventures in Pakistan
Vast opportunities exist for Turkish businessmen to have
joint ventures with their Pakistani counterparts in the
field of value added textiles and agro based industry to
boost exports; President Istanbul Chamber of Commerce Murat
Yalcintas told journalists here on May 17.
It is right time to do so keeping in view the fast Liberalization
and deregulation of Pakistan economy; he said. He said that
Turkey enjoyed vast experience and expertise in textiles
and it can add value to Pakistani textile products and boost
exports.
Turkish companies produced international designs in textile
and under joint ventures they can utilize Pakistani labor
and cotton to create competitive and quality products to
compete in the international market. He said that they want
to help Pakistan in improving processing, packaging, canning
and distribution of its agricultural products. This will
enhance bilateral investment and boost Pakistani exports;
he observed.
Yalcintas noted that absence of a viable land route between
the two countries was hindering the growth of bilateral
trade. Another area, which was hindering the two-way trade,
is the delay in the finalization of Preferential Goods Agreement
(PGA) between Turkey and Pakistan and both the sides must
do something in this regard. He pointed out that his chamber
had sent the list of agreed items to Pakistan and was waiting
for a reply.
He said that Istanbul Chamber is the 3rd largest chamber
in the world and it contributes 46 per cent of Turkish revenue,
while its members produce 23 per cent of the GNP. Pakistan
is a very important country for us and we want to promote
economic relations, particularly trade. He noted that Turkey
was a good market for Pakistani exporters as its per capita
has increased from $3,000 to $ 5,000 this year and the economy
is booming at a rate of 7.5 per cent, the second highest
growth after China. TOP |
Govt
proposes ‘Cotton Vision 2015’ to achieve target
The government, to boost its cotton production and to level
the estimation of 20.70 million bales by 2015, has decided
to launch a plan, official sources said here on May 19.
Sources further clarified that with a modest increase of
25,000 acres annually in potential cotton growing areas
of Balochistan and NWFP coupled with an average of 5 percent
growth in per hectare yield, the projected production can
be achieved.
The hectare yield will improve to 1,060 kgs from the provisionally
estimated yield of 686 kgs for the current season as the
area under the cultivation would be increased to 3.32 million
hectares. The proposed plan titled ‘Cotton Vision
2015’ has been initiated after taking into account
the future prospects for a sustained growth in cotton sector
and the possible improvement in the quality of raw cotton.
Official sources further said that the plan has been designed
to achieve higher production of clean cotton to obtain advantages
of assured supply of cleaner, uniform cotton to the domestic
textile industry.
However textile commissioner has estimated consumption of
raw cotton at around 12.5 million bales in 2004-05 against
textile industry’s consumption of 15 million bales.
The last decade, cotton consumption in the country registered
a growth rate of about 4 percent annually. TOP |
Scheme
to encourage cotton growers to be introduced
The government wants to introduce a scheme to encourage
growers in the country by paying a premium of Rs 50 per
maund on the supply of clean cotton to the textile industry;
Secretary Textile Syed Masood Alam Rizvi said here May 12.
Talking to the members of All Pakistan Textile Mills Association
(APTMA) he said the federal government would contribute
Rs 25 as it share of 50 percent while the provincial government
will have to share 30 percent and rest 20 percent will be
borne by APTMA. He said that the purpose of his visit to
APTMA office was to finalize the details of clean cotton
campaign for the next cotton season.
Initially 100,000 bales of clean cotton will be produced
in 10 selected areas, eight in Punjab and two in Sindh and
20 ginning mills will gin these bales. He said the government
could have paid the entire amount to the growers but it
was the desire of Prime Minister Shaukat Aziz to involve
APTMA in the scheme to share the premium. He said his ministry
has been asked to revise clean cotton programme in consultation
with provincial governments and APTMA and submit a summary
in this regard to the Prime Minister. TOP |
Uzbekistan
offers incentives to textile millers
Uzbekistan offers incentives to Pakistan's textile millers.
They would get heavy subsidies such as low electricity rates
and ample raw cotton from the Uzbekistan to set up their
units which would help them to increase their exports; sources
said on May 11.
A top official of the Uzbek textile ministry recently met
with some of the textile tycoons and leading exporters of
Pakistan and handed over the draft of terms and conditions.
The official from the Textile Ministry of Uzbekistan recently
approached some of the textile tycoons and tried to convince
them for shifting their units from Pakistan to Uzbekistan.
The Uzbek government is agreed to provide every facility
to the potential and prospective investors and the offers
have compelled some of the leading exporters of textile
and its allied products to think seriously over the proposal
and terms and conditions. Some 10 to 15 already closed textile
mills would be given to the interested investors in the
first phase. Each textile unit consists of 150,000 sq. feet
and would be offered to the interested buyers at the cost
of $0.5 million to $1 million, depending on the proximity
of the area.
The Uzbek official had also said during the meeting that
electricity cost would be charged only two cents (Rs 1.20
per unit) that is Rs 5-6 per unit in Pakistan, while clean
and contamination. TOP |
