Selected articles on industrial development in emerging economies

India: Textile exporters facing tougher competition in US market

Indian textile exporters are facing stiffer competition in the US market from countries like China, Indonesia, Vietnam and Bangladesh, findings of a new report by the Federation of Indian Chambers of Commerce and Industry (FICCI) indicate. 'In addition to China, countries like Indonesia, Vietnam and Bangladesh have managed to perform better, despite recession, than India in US market in 2009,' the study says.

SME TIMES

Vietnam: Foreign investors ignore textiles

There has been no foreign investor interest in textiles materials so far this year, according to the Viet Nam Textile and Apparel Association (Vitas). However, more than 20 foreign companies have invested in clothing. Most of the money has come from South Korea, Hong Kong, mainland China and Taiwan.

Viet Nam News

Pakistani textile exports foray in to new markets

Exporters of textiles have witnessed a significant rise in existing markets and were, at the same time, able to widen their customer base in Singapore, Turkey and Portugal. According to a textile industry analyst, widening of the customer base is an indication of an optimistic future, as it depicts less dependency on the existing markets, a trait more acceptable when seen further down the value chain.

Fibre2fashion.com

Vietnam: Garment sector strives to use domestic raw materials

Domestic textile companies only have the capacity to supply 30 - 50 per cent of the country's demand for shirts, jeans and other basic textile products. However, efforts are made to produce more material domestically.

Viet Nam News

India: Future is bright for tech textiles, nonwovens

The future is bright for India’s nonwovens and technical textiles sector on rising middle income population who will fuel the domestic consumption of products such as hygiene and feminine care. This will be one of the drivers for growth for the nonwovens and technical textiles (NWTT) industry in India.

CommodityOnline

China boosts value-added textile output

China’s global share of value-added manufacturing — in both textiles and apparel — has soared in the last decade at the expense of manufacturers based in both rich and emerging economies.

Just-style.com

Vietnam: Good news for textile and garment sector

With the global economy recovering from recession, there has been a surge in the number of orders received by Vietnamese textile and garment businesses, most of which last until the end of the first quarter, even the second quarter.

VOV News

India: Textile sector seeks special package to battle rising cost

The lower rungs of the textile industry — spinning and garment — are facing an unprecedented crisis owing to high input and labour costs. The knitwear units blame the spinning mills for pushing up yarn prices. They also suspect the operation of a cartel. Higher exports of yarn, according to them, should be another reason for the price rise.

The Financial Express

China: Review and prospect of the textile industry, 2009 - 2010

Although in 2010 the textile industry continues to face a series of uncertain factors, and export growth is difficult to recover in a short time, the domestic market will to play a significant role in the industry, structure adjustment and industrial upgrading will be carried out further in the nation. In the condition of the gradually stable international market environment, a rebound can be seen in Chinese textile industry.

Alibaba.com

Indonesia textile exports expected to grow 12 per cent

Indonesia expects its textile exports to rise by 12 percent to approx USD 10.5 this year after dropping by eight percent last year. The rise in exports this year is due to improving economic conditions in key export markets, mainly the US, Japan and European countries. Also, there are several free trade agreements that would benefit Indonesia such as that with Japan and Australia.

ANTARA News

Turkish textiles should grow with fashion designs

Turkey’s textile industry needs a new strategy in order to compete globally, according to the chairman of the Istanbul Chamber of Commerce. 'It is time for Turkey to be a trendsetter and not a follower.'

Hürriyet Daily News

India: Little to cheer for textile makers

The 2010 budget has been a bit of a disappointment for textile industry which did not gain much except for a grant to a textile cluster in Tamil Nadu while other demands remained untouched.

REUTERS INDIA

China: Textile exports expected to see single-digit growth this year

China's textile and garment export industry will see growth in both revenue and profits this year, but the gains likely will not surpass 10 percent, according to an analyst with Shanghai-based Sinolink Securities.

Alibaba.com

India: Negative to stable outlook for textile sector

There are clear signs pointing towards a recovery in India's textile industry in 2010, following the dismal operating environment that the sector grappled with for two consecutive years.

IndiaInfoline

South Africa: Textile companies continuing to fail

Factory closures and retrenchments continue in South Africa's textile sector, but consumer demand remains solid and the rate of collapses seems to be slowing.

BusinessDay

Vietnam: No worries about rising cost of labor

Textile and garment expert says higher labor prices are a phenomenon limited to urban areas of Vietnam.

Thanhnien News

India: Delhi warns of vulnerable textile exports

India's textile industry needs to diversify beyond its traditional markets of the US and Europe to remain competitive in the wake of the global economic downturn, according to Dayanidhi Maran, the minister of textiles. Today, the industry is highly vulnerable to its overdependence on western markets and has not sufficiently embraced new technology to maintain a competitive edge against rivals such as China, Korea and Indonesia. It relies heavily on state support, is 'monolithic' and in need of an overhaul of its 'entire production system'.

FT.com

Indonesia's textile industry ripped by global crisis and China free-trade deal

The nation’s textile industry has been dealt a double blow by the global economic slowdown and the imminent Asean free-trade agreement with China, with more than half of the manufacturers here turning into mere trading houses and 155 producers going out of business in 2009. With production more costly due to high electricity prices, and the expected arrival of a flood of cheap Chinese goods, many textile producers believe selling imported garments is now more profitable then producing domestically.

Jakarta Globe

While the global slowdown may still be far from over, the Indian textile industry is expected to have tie-ups with foreign companies in the next four to five months. The foreign investment through the direct route is likely in apparel sourcing, fabric manufacturing and textile machinery manufacturing.

SifyBusiness

Taiwanese fabric makers come wooing India

Taiwanese manufacturers have come to woo the Indian textile industry with special items like yoga fabrics, don’t-need-to-wash denim and functional fabrics in tow. They are exploring the possibilities of selling their high-end fabrics in India and also looking for joint venture opportunities to set up manufacturing facilities here.

The Economic Times

China’s nonwovens and technical textile industry bounces back

Industry adjustments, government action and product innovation kept China’s textile industry solvent in the first half of 2009, in spite of a decline in exports due to the global economic crisis. While the outlook for China’s textile industry is not a cause for wholesale optimism, China Nonwovens & Industrial Textiles Association (CNITA) has identified a few types of textile enterprises that have fared well, providing a measure of hope during an uncertain economy.

Specialty Fabrics Review

India's low-cost advantage to stitch a cotton success story

For the Indian textiles industry, a global competitive edge is emerging in its cotton fields, that is, in India's 35% cost-advantage against the main rival, China, in the production of cotton yarn. The natural fibre, which was fast losing out to man-made fibre in the early 80s to 2000 period, is now capturing its lost sheen in the textile industry.

The Economic Times

South Korea: More textile units keen to invest in Burma

Burma, where labour is cheap, will be one option for further investments in the textile industry after it has shifted its interest from China to Southeast Asian countries, according to The Korea Federation of Textile Industries (KOFOTI).

Mizzima News

Indian companies see new economy edge in technical textiles

Indian textile companies are expanding their manufacturing facilities to industrial fabrics to tap new customers in the construction, automobiles and healthcare sectors, who are currently importing these products.

REUTERS INDIA

India: Textile exporters in a rush for expansion

Large textile firms are gearing up to increase production after almost a year-long lull, on the back of a revival in international orders, but the pressure on pricing continues.

livemint.com

Korea's textile and clothing industry sees China as a major trading partner

Even though, China is the largest exporter to Korea's market with a trade balance in favor of China for 2,734 USD mn in 2008, the historical record shows that China has always been a major importer for Korea's products. From 2004 on, China became Korea's largest export market.

Alibaba.com

Pakistani textile companies relocating to Bangladesh

Several Pakistani textile houses are relocating their businesses to Bangladesh due to continuous hardship at home. Around four major Pakistani textile giants are currently in Bangladesh to shift their business so that they could furbish their exports orders in time, according to one textile exporter of Pakistan.

The News

Is Indian textile sector loosing its global competitiveness?

The dismantling of the quotas came as a great boon to Indian textile industry and in the year the quotas were removed, exports grew by 29 percent. The years that followed 2005 onwards, the growth started tapering off. It was just 7 percent CAGR between 2005 and 2008 and in 2008–09; exports have registered a 10 percent negative growth, more so due to the economic downturn.

Fibre2fashion.com

Tunisia: 'Think textiles, think Tunisia'

Thanks to its assets in terms of quality, competitive costs, flexibility, just-in-time delivery and respect for social and environmental standards and norms, the Tunisian textile and clothing sector offers all-encompassing solutions and a new dynamic for win-win cooperation with partner countries, according to CEPEX, the Tunisian Export Promotion Centre. During the first three months of 2009, Tunisia’s textile sector posted a 274% growth in foreign direct investments (FDI).

Global Arab Network

India: Gujarat rising as hub for yarn processing and weaving

With the demand-supply gap for yarn still in the range of 10-15 per cent, textile units in Surat have begun making most of the opportunity ahead. Out of over 30 textile parks that are being set up in Gujarat, some of them coming up in Surat have decided to focus on yarn processing and weaving.

Business Standard

South Africa: Ministry develops textiles competitiveness programme

The Department of Trade and Industry (the dti) has been working intensively with all stakeholders over the last 18 months to give effect to the Customised Sector Programme (CSP). This consists of: a capital upgrading programme via the Enterprise Investment Programme, and a cluster level competitiveness improvement programme to be provided on a cost-sharing basis.

Fibre2fashion.com

Philippines: Reviving the cotton industry

The Philippine cotton industry must be revived. And this will consequently lead to the rejuvenation of the textile manufacturing industry.

mb.com.ph

India: Enable textile sector to have healthy competition

The Government policies 2008-09 on cotton have not benefited either the cotton growers or the textile industry. The policies have benefited only the cotton traders and cotton exporter and also indirectly our competing countries in the textile trade.

Fibre2fashion.com

India: The weak financial health of textile sector remains a big enigma

As the Indian economy begins to come out of the slowdown in growth, and the major industrial sectors show signs of revival, one sector that has remained bed-ridden for years now is the Indian textile and clothing sector. The continued weak financial health of this sector remains one of the big enigmas of the post-liberalisation India.

Business Standard

Indonesia: Textile exporters take advantage of shift away from China

Indonesian textile exporters are benefiting from rising production costs and structural changes in China as buyers seek cheaper goods. According to the Indonesian Textile Association, exports for 2009 are expected to rise by USD 600 million, or 6 percent, to well over USD 11 billion.

The Jakarta Globe

Pakistan: Textile industry lags behind in investment

With decline in investment in balancing and modernisation of textile mills, the local industry has been put at a disadvantage compared to other countries of the region including Bangladesh which are updating their equipment to improve efficiency.

The News

India: Mission mode must for textile exports

India has a lot to gain by upping the competitive leverages in a vital sector like textiles. Apart from contributing around 4% of the GDP and employing nearly 35 million, its natural comparative advantages make it an ideal candidate for significant export orientation.

The Economic Times

Pakistan: 'Give us a level playing field'

The textile and garment industry in Pakistan has been going through, what can be called a trial by fire: electricity and gas shortages, labour problems, and the economic crisis leading to a slowdown in domestic and export sales. But, the industry has managed to emerge from the depths and delivered excellent results, and in turn exceptional profits in the first half of the current fiscal year (2008-09).

Fibre2fashion.com

India’s cotton shipments to rebound as 'worst over'

Cotton sales from India, the world’s second-biggest grower and exporter, may rebound starting June as demand for textiles revives and a weak currency makes shipments attractive, a leading buyer of the fiber said. According to the buyer, 'The worst is over for the textiles sector. Private textile mills are buying as demand for cotton yarn and garments seem to be picking up in India and globally'.

Bloomberg.com

Pakistan bending over backwards to save textile sector

The present government in Pakistan seems concerned with the developments in its main export generator, textiles and garments. In the last few weeks a slew of sops have been announced along with holding seminars across various cities of Pakistan, with the final one scheduled at the President’s residence.

Fibre2fashion.com

India: Analysts place big bets on 'Technical Textiles' market

With a shrinking buying power of consumers, the technical textile industry is fortunate to have an edge over other sectors as it includes the manufacture of indispensible items used in our day-to-day life. This provides an opportunity for the textile industry to diversify, even in the current economic scenario.

Fibre2fashion.com

India: Rs 2,000 crore textile scheme dues pending

The textile industry, which has been facing cash crunch because of a sharp dip in export orders, is to receive dues worth Rs 2,000 crore from the government under an interest subsidy scheme that encourages upgrade of technology.

Business Standard

India: Technical textiles cluster development is the way for growth

The number-one priority for the Indian textile sector is diversification. What should be in the minds of textile industrialists, policy planners and entrepreneurs who are looking for growth? The answer is to look into technical textile products and the markets for technical textiles.

Fibre2fashion.com

China: Textile companies weave Nile dreams

Chinese companies are attracted to Egypt due to lower costs and easier access to other markets.

CHINAdaily

Bangladesh: Cheap labour helps

An army of cheap labour has made Bangladesh a hotspot for growth as the rest of Asia struggles through the global financial crisis and observers say the country must now exploit its advantages. With China finding it increasingly difficult to mass-produce low-cost items at discount rates, buyers have turned their attention to Bangladesh where textiles and footwear can be made cheaply. The country is fast replacing China as the desired low-cost manufacturing hub in Asia for items such as textiles and footwear, according to Asian Tiger Capital, an investment bank.

The Straits Times

China: No surge expected in textile exports

China's textile export would not show a sharp increase after the termination of license management system on textiles exported to the US and Europe, according to to China's Ministry of Commerce. Meanwhile, the textile industry is under dual pressure from weakening demand at home and abroad. The growth rate of China's overall textile exports in 2009 is expected to continue to slow as the economy is affected by rising labor costs, the appreciation of the renminbi and reduced demand in major export markets.

People's Daily Online

Pakistan: Textile sector losing sheen in international market

The textile sector that accounts for around 46 percent of entire manufacturing sector, generating 60 percent of total foreign exchange for the country is currently facing critical challenges. Fluctuating cotton prices in the international market, and rising interest rates have crippled the exports of this industry. Further energy crisis has added to the woes of the manufacturers.

Fibre2fashion.com

Malaysia's textile sector is not a 'sunset industry'

Contrary to the widespread perception in Malaysia's business circles, the country's textile sector, which is a shadow of its past glory because of rising costs and in competitiveness, is not a 'sunset industry'. Indeed, the textile industry should be promoted and encouraged to flourish, experts say.

BERNAMA.com

Vietnam: Nam Dinh shifts garments and textiles industry to rural areas

For years, Nam Dinh has been famous for being a big garments and textile industrial centre. Recently, the industry has been shifted quickly to rural areas in the localities, creating jobs and increasing incomes for local farmers.

NhanDan Online

Pakistan: Textile demand shrinking in western markets

Exports of textile products from Pakistan are witnessing constant decline in the face of shrinking demand in the Western markets, especially in the second half of 2008. Due to financial meltdown accompanied by economic downturn in the export markets, the export of textile products is being hurt, depicting a bleak performance of textile exports in the wake of shrinking demand, especially in Western economies.

Pakistan Observer