Polyester
Prices could fall on Oil and PX plunge
Oil and paraxylene prices sharply decreased yesterday, leaving
room for a new decline in polyester prices in the near term.
PTA could fall as low as US$810 while MEG would more resist.
Polyester prices remained mostly unchanged in the past week,
however, reflecting a slight rebound in intermediate prices.
TOP
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New
York Cotton Prices heavily falling
US cotton futures yesterday plummeted with an expected correction
pushing down December below 50 cents. There was no reason
for a rebound in New York's prices, as we yesterday explained
in our weekly report. Domestic prices also declined in Pakistan
while Indian prices remained unchanged. Prices fell today
in China, but less significantly than previously observed.
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Wool
prices surging 4.7% in Australia
Wool prices again surged in Australia this week. Strong
demand from Europe and a lack of supply are behind the current
rally that was not weakened by a new rise in the Australian
dollar. Prices jumped 4.7% in US$ terms. TOP
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Korea
buys more Denim from Turkey and Japan
Korea's imports of denim fabrics from Turkey and Japan are
rising this year, although total denim shipments from foreign
countries are again falling. Imports from China are down,
reflecting a shift to the higher end of denim apparel market.
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EU
Imports of M/B Denim Trousers in First Half 2006
EU's imports of men's and boys' cotton denim trousers slightly
declined over the first half after last year surging. By
re-imposing quotas on shipments from China, Brussels not
only curbed imports but also triggered a general rise in
prices. Bangladesh is taking advantage of the new situation
with Turkey and Tunisia fighting on the higher end of the
market. TOP
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Yarn
Prices on the International Market
Cotton yarn prices are now declining on the international
yarn market, after cotton prices clearly decreased in the
past weeks. By contrast, viscose prices are no more moving
with several qualities even higher by the end of October.
Demand from Turkey and Brazil (open end viscose yarns) is
recovering, pushing up prices to higher levels. TOP
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Vietnam
threatened by US Embargoes
Last-minute embargoes are threatening US apparel imports
from Vietnam before quotas are eliminated by the end of
the year. Although Vietnam's accession to the WTO will be
officially approved by early November with US limits being
removed in the future, this could be too late to avoid a
series of embargoes in November and December. TOP
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EU
removes anti-dumping duties on PSF from India, Indonesia,
Thailand and Saudi Arabia
The European Union just removed anti-dumping duties on Polyester
Staple Fibers from India, Indonesia, Thailand and Australia.
This should result in higher sales on the European market,
helping to absorb excess capacities in Asia. EU still maintains
anti-dumping duties on PSF from China, Korea, Belarus and
Saudi Arabia. TOP
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Latest
Regulations regarding Textile Trade
- US Committee for the Implementation of Textile Agreements
(CITA): 2007 Quotas on China's Textile and Apparel Exports
- Hong Kong Department of Trade: China addressing certain
issues related to electronic allocation of textile quotas.
- Vietnam's Ministry of trade: Exchange of quotas between
categories. Allocation of remaining quotas in categories
347/348 and 334/335
- European Union: Removing anti-dumping duties on Polyester
Staple Fibers from Australia, India, Indonesia and Thailand.
- Office of the USTR: WTO Dispute Settlement Proceeding
Regarding United States Subsidies to Upland Cotton.
- US ITA: Anti-dumping duties on Taiwanese PSF.
- China Ministry of Commerce: 2007 Textile Quota Allocation.
- Hong Kong Department of Trade: China's anti-dumping duties
on Spandex from Japan, Singapore, South Korea, Taiwan and
USA.
- European Union: Definitive anti-dumping duties on certain
footwear from China and Vietnam.
- Office of the USTR: ATPDEA annual reviews.
- US CITA: Adjustment of Import Limits (Vietnam).
- US ITA: Anti-dumping duties on Korean PSF.
- Hong Kong Department of Trade: China's Wool Quotas. EU's
anti-dumping duties on footwear. TOP |
Viscose
Prices could decline in China
Viscose prices remained at a high level in the past week
in China but are now threatened by the recent fall in cotton
and polyester prices. Fiber substitution and lower spun
yarn prices could force fiber producers to reduce their
offers in the coming weeks. In the longer term, demand for
viscose is steadily rising in China, in line with expanding
consumer market for viscose textiles and clothing. TOP
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Nylon
prices began declining in China
Nylon prices could rapidly decrease in the coming period
in Asia. FDY prices are already sliding in China while POY
and DTY are more resisting. Feedstock prices stayed unmoved
over the last four weeks but could finally fall, in line
with lower oil and benzene prices. New investments were
announced for producing nylon 6.6 polymers in China, as
a clear sign that polyamide 6.6 market will expand. TOP
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China
will stay MEG-dependent
Oil prices yesterday surged 3.5%, the highest increase in
a single day since last July. Paraxylene also jumped in
Asia as a clear sign that polyester will not decline in
the near term. Volatility in prices will continue in the
coming years, as China will stay heavily dependent on foreign
MEG suppliers. TOP
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Taiwan
sells more Denim to low-cost Asia
Reflecting a shift to Asia in global denim apparel production,
Taiwan exports of denim fabrics are significantly declining
on the US and Central American markets while surging in
low-cost Asian countries. Jordan became the first customer
of Taiwanese denim makers in 2006, thanks to relaxed rules
offered by the United States to Jordanian QIZs (Qualified
Industrial Zones). TOP |
PTA
and MEG steadily rising in Asia
Polyester prices are currently supported by a steady rise
in raw material costs. Quotations of staple fibers are raised
in China but spinners are confronted with a fall in yarn
prices. The level in polyester prices may mostly depend
on future trend in paraxylene. TOP
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Downward
tendency still dominating the polyester market
Polyester prices are further falling in Asia. They could
continue declining in the coming days after paraxylene sharply
decreased yesterday. Polyester raw material prices continued
sliding while oil prices bottomed out from their new lows.
TOP
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Spandex
prices on the decline in China
Spandex prices are now declining in China, after surging
in the summer. Prices are not yet back to their former levels
before they suddenly rose. A continued increase in prices
of raw material PTMEG and anti-dumping duties on foreign
spandex could help supporting prices in the near term, however.
TOP
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Yarn
Prices on the International Market
The international yarn market is no more dominated by sellers.
As prices of cotton and polyester fibers are on the decline,
international buyers are increasingly resisting any new
rise in yarn prices. Polyester may began replacing cotton
in blends, while Indonesian viscose yarns are depressing
demand for Indian yarns. TOP
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Indonesia's
textile devastated by illegal imports from China
Indonesia's textile and apparel producers are confronted
with a surge in illegal imports from China. Corruption is
the main reason behind the rising share in foreign products
on Indonesia's domestic market. And there is no improvement
in sight, at least in the near term, our envoy to Jakarta
reports in the second of two special reports about Indonesia.
TOP
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Indonesia
anxiously facing the end of China quotas
With strong clothing exports this year, Indonesia is taking
a clear advantage of China safeguards on US and EU markets.
The country also benefits from its polyester and viscose
industries but urgently needs modernizing its textile facilities
before quotas on Chinese products are removed, our special
envoy to Jakarta reports (first of two reports). TOP
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US
Exports of Cotton Denim Fabrics in January-July 2006
US exports of denim fabrics are falling for the second consecutive
year. On the longer term, exports are clearly resisting,
thanks to relocation of US jean sourcing to Mexico and Central
America. Direct investment in low-cost countries in the
region could now limit exports from the United States while
preserving relations with customers at the same time. TOP
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Oil
Prices down 4 per cent in a single day
Oil prices Tuesday lost nearly 4 per cent in a single day,
now back to their level by mid-February. There are good
reasons for such a fall, although consumption is also expected
rising at the same time. Oil prices could rapidly rebound,
as a result, stopping any further decline in polyester prices.
TOP
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India
Cotton and Cotton Yarn Prices
Cotton Yarn Prices were slightly higher in September in
India, as indicated by our series of comprehensive data.
Cotton prices continued declining in the past weeks, however,
and this should finally affect the level in yarn prices.
With the textile industry shifting to higher-quality products,
Indian authorities try developing production of ELS cotton
in the country while also improving productivity in Maharashatra,
our India Correspondent reports. TOP
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The
US could slap anti-dumping duties on Vietnamese Apparel
The US administration will slap retroactive anti-dumping
duties on US imports from Vietnam if necessary, the US top
trade negotiator last week announced. As a result, two US
senators accepted clearing the way for adoption of PNTR
bill, a step in Vietnam's accession to the WTO. After Vietnam,
China could also be subject to similar anti-dumping duties,
the US textile industry said. TOP
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India
Polyester Prices down until November
Polyester prices are now falling in India, in line with
the international market and lower seasonal demand. Prices
of polyester staple fibers more resisted in September, however.
Demand will not rebound before November with prices possibly
picking up in December, our India Correspondent reports.
TOP
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Polyester
dramatically fell ahead of Chinese holidays
Polyester prices continued heavily declining at the end
of last week, ahead of Chinese holidays. Prices are not
yet back to their former levels, before they surged this
summer. New decreases may therefore be expected in the post-holiday
period, given the continuous fall in feedstock prices. TOP
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PTA
began falling in Asia
Oil prices reached their lowest level in eight months. With
paraxylene sharply down these days, PTA began today sliding
and polyester prices are again decreasing. There is room
for new declines in the near term, as result. TOP
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India's
Denim recovery threatened by new capacities
The denim market continues recovering in India. With 2-week
holidays looming, however, activity will not further improve
before the end of the year. More capacities will be added
in 2007 in addition, which could threaten the denim recovery.
TOP
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Dominican
Republic could rapidly join CAFTA
The United States is ready implementing the duty-free agreement
with the Dominican Republic. Washington accepted lowering
its MFN tariff on certain apparel that do not comply with
CAFTA rules of origin, including denim trousers, in exchange
for a restricted use of pocket fabrics. Implementation could
be effective in the coming weeks, if the Dominican Congress
approves a series of laws required by the United States.
A general proclamation on new CAFTA rules of origin could
then be made. TOP
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Export
of textile products declines by 10 per cent
The export of textile products declined during the first
quarter (July-September) of the current fiscal year by 10.29
per cent to $2.449 billion against $2.73 billion over the
same period last year; Official figures released here on
October 30 showed. Export of almost all textile products
except cotton yarn and cotton carded recorded a negative
growth despite the massive subsidy and support package,
which the government had announced for propping up the export.
Further decline during the second quarter (October-November)
was projected by analysts because of the government’s
ill-conceived policy. TOP
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Time
running out for textile exporters
Time is apparently running out for Pakistan’s textile
exporters, who after having failed to achieve a proportionate
export target of $3.83 billion in the first quarter of this
fiscal year, are finding it extremely difficult to earn
$4 billion plus in the next quarter- Oct-Dec 2006. TOP
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Rabi
target for cotton output set
Pakistan government has fixed 13.8 million bales (mb) cotton
targets for the current Rabi season; federal agriculture
minister, Sikandar Hayat Bosan, said while briefing newsmen
on the FCA's meeting held here on. TOP
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Cotton
yarn export sustains growth
Cotton yarn export continues to show sustained growth; however,
most of the value-added textile goods have been registering
decline in exports during last several months. TOP
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Textile
sector’s profitability falls due to rising interest
rate
The profitability of the textile sector fell sharply due
to the rising interest rate. It has started hitting the
industrial sector. TOP
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A
mixed trend of Cotton prices at domestic cotton market remains
There remained a mixed trend of Cotton prices at domestic
cotton market during the week; market sources said. TOP
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Import
of a million bales of cotton in 2006-07 likely
Local textile industry may import of more than a million
bales of cotton in the production season 2006-07; said Syed
Masood Alam Rizvi, Federal Textile Secretary here on October
09. TOP
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Swiss
consultancy firm to study on cost of doing business in textile
products
The government of Pakistan has hired the services of a Swiss
consultancy firm Gherzi International Consultants to do
comparative benchmark study on the cost of doing business
in 20 textile products including cotton yarn, fabrics etc.
TOP
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Textiles
export declines by 7 per cent
The export of textile products declined by 7.10 per cent
to US$1.625 billion during the first two months (July-Aug)
of the fiscal year 2006-07 as against $1.749 billion during
the same months last year. TOP
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Import
of cotton from India through Wagah border possible: Cheema
Import of cotton from India through Wagah border was possible;
Pakistan Textile Minister Mushtaq Ahmed Cheema has said.
TOP
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Govt
imposes cotton standardization fee
The Federal government on October 2 notified cotton standardization
fee at Rs 5 per cotton bale that would be levied at the
ginning stage. TOP
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Cotton
Yarn Prices in Pakistan
Cotton Yarn prices were slightly up in the past days in
Pakistan with stronger demand ahead of Eid holidays. Buyers
are however waiting for lower prices before placing large
orders as cotton prices are expected further decreasing,
our Pakistan Correspondent reports. TOP |
