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IBTEX No. 097 of 2013 JUNE 12, 2013

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NEWS CLIPPINGS INTERNATIONAL NEWS

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1 Frankfurt: Techtextil & Texprocess trade-fair duo opens with 1,648 exhibitors

2 UK: New clothing offers help for dementia sufferers

3 Pakistan: Exports reached to $ 818 million in ten months

4 Textile workers reach agreement in Jordan

5 Spanish textile production surges 17.6% in April’13

6 China may announce new cotton buying policy next season

7 Turkmenistan to add 3 new textile mills

8 Cotton Fiber & Yarn Price Comparison: China vs. India and Pakistan

9 Cotton Yarn Prices in Bangladesh

10 Germany: Clariant to display innovative products at Techtextil

NATIONAL NEWS

1 Good demand for cotton seed augurs well for good acreage: CAI

2 Not unduly worried; Rupee to stabilise in 4 days: FinMin

3 Garment exporters fear inflation, pricing pressure from global buyers

4 AP to challenge court order on cottonseed royalty fee

5 New study reviews 15 years of Bt crops, finds reasons for pest resistance

6 Global brands expanding sourcing; companies may bag $3bn more orders

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www.texprocil.org.in

INTERNATIONAL NEWS Frankfurt: Techtextil & Texprocess trade-fair duo opens with 1,648 exhibitors

Techtextil: record number of exhibitors and increased level of internationality underscore growth in the market for technical textiles

Texprocess: established position as the leading international trade fair for cutting-edge technologies in the field of textile processing

The two international venues for the textile sector – Techtextil (11 to 13 June 2013) and Texprocess (10 to 13 June 2013) – are set to open their doors with an outstanding number of exhibitors. Altogether, 1,648 exhibitors have signed up,

an increase of 123 over the previous events (2011: 1,525). “Techtextil has set new records in terms of exhibitor numbers and exhibition space while Texprocess is characterised by greater internationality and a stable number of exhibitor registrations. All in all, our trade-fair duo at Frankfurt Fair and Exhibition Centre offers the world’s biggest range of technical textiles, nonwovens and textile-processing technologies”, says Detlef Braun, Member of the Executive Board of Messe Frankfurt GmbH. Influenced by the innovativeness of the two sectors, Techtextil and Texprocess are also being held against a background of positive economic expectations. “The markets for technical textiles and textile processing are still oriented towards growth. Today, technical textiles account for 27 percent of worldwide textile production with an output of 22 million tonnes”, says Detlef Braun. “This development also benefits the sewing and apparel market – a market of direct relevance to Texprocess, which generated global exports worth a total of € 4.5 billion in 2012.”

Techtextil, the international leading trade fair for technical textiles and nonwovens is held for the 15th time and in the process of setting more new records. Three exhibition halls are fully booked up – an unprecedented success for the fair. From 11 to 13 June 2013, 1,322 exhibitors from 48 countries, an increase of ten percent, will be making presentations at Frankfurt Fair and Exhibition Centre (2011: 1,199 exhibitors from 50 countries*). “The international technical-textiles industry relies on Techtextil because no other fair worldwide offers such a big range of products and services for this market, which is distinguished by worldwide growth rates of as much as five percent a year”, says Detlef Braun. “There has been an increase in all countries and regions, chief

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among them Denmark, Germany, India, Italy, Japan, Poland, the Czech Republic, Turkey and the USA”. At the same time, the proportion of international exhibitors rose to 67 percent (2011: 65 percent). The number of national pavilions has also risen, to 13 from 11 in 2011.

The positive echo from Techtextil indicates that technical textiles, nonwovens and the related textile technology are being used in more and more industrial applications. Techtextil illustrates the variety of applications and products to be seen by arranging them in twelve areas of application and eleven product groups. They include building, architecture and furnishings and fittings (Buildtech, Hometech), sports and protective clothing (Sporttech, Protech), industrial textiles (Indutech), medical technology (Medtech) and automobiles and aviation (Mobiltech). The five biggest areas of application according to the exhibitors correspond with the fastest growing technical-textile markets today. “We see a particularly large demand for technical textiles worldwide in the Indutech, Mobiltech, Buildtech, Hometech and Protech areas of application”, says Detlef Braun. Texprocess confirms its position as the leading international trade fair for cutting-edge textile-processing technologies

At Texprocess, 326 companies from 37 countries (2011: 326

exhibitors from 40 countries) will present their high-tech solutions in four halls of Frankfurt Fair and Exhibition Centre from 10 to 13 June. New exhibitors from all parts of the textile-processing sector have signed up for the fair. Additionally, the level of exhibitor internationality has risen in comparison with 2011 and has now climbed to 65 percent (2011: 63 percent). After Germany, the most important exhibitor nations are Italy, China, the USA, Taiwan, Poland, Turkey, Great Britain, South Korea, Switzerland and Japan. “The response to Texprocess from the market is once again very good. Thus, our concept of holding a fair characterised by innovativeness, a high degree of internationality and a unique spectrum of products concurrently with Techtextil has been extremely successful,” says Braun.

Texprocess presents machines and processes, as well as IT and logistics solutions, for the textile and apparel industries. The fair covers all stages of the textile processing chain – from design and cutting, via sewing, embroidery and knitting, to textile dressing, finishing and printing. The range of products and services at Texprocess is rounded off by the ‘Source it’ procurement platform where the fashion industry can find out about production countries and manufacturing companies. A focal point of this year’s ‘Source it’ is East Europe and North Africa. “This takes

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account of the fact that many companies are bringing their textile processing and apparel manufacturing work closer to the consumer markets”, explains Detlef Braun. Comprehensive programme of events at Techtextil and Texprocess

A comprehensive complementary programme offers interesting insights into the latest developments and trends from the research sector and industry. The 66 lectures of the Techtextil and Avantex Symposiums cover a variety of topical research trends, e.g., smart textiles and electronic systems, sustainable textiles, functional garment textiles, technology, composites and textile-reinforced concrete. Quality in the field apparel logistics, procurement and outsourcing trends, REACH and its significance for the fashion industry are just some of the subjects of this year’s Texprocess Forum in Hall 4.0. Other highlights include the Techtextil and Avantex Innovation Prizes, which are presented every two years for fascinating achievements in the fields of research, material and product development and new technologies. The 12th ‘Textile Structures for New Building’ Student Competition’ singles out ten outstanding projects for tomorrow’s architecture. The 2nd Texprocess Innovation Award honours exceptional new developments by Texprocess exhibitors. The awards ceremony will be held in the Congress Centre Messe Frankfurt on 10 June 2013. Additionally, all visitors and exhibitors will be able to see all the award-winning projects in special exhibitions.

You will find further information, images and video clips in the ‘For Journalists’ sector of the event websites at www.techtextil.com and www.texprocess.com Background information on Messe Frankfurt

Messe Frankfurt is Germany’s leading trade fair organiser, with 538* million euros in sales and 1,891* active employees worldwide. The Messe Frankfurt Group has a global network of 28 subsidiaries and approx. 50 international Sales Partners, giving it a presence for its customers in more than 150 countries. Events “made by Messe Frankfurt” take place at more than 30 locations around the globe. In 2012, Messe Frankfurt organised 109* trade fairs, of which more than half took place outside Germany.

Messe Frankfurt’s exhibition grounds, featuring 578,000 square metres, are currently home to ten exhibition halls and an adjacent Congress Center. The

http://www.messefrankfurt.com/frankfurt/en/media/textiletechnologies/techtextil.html

http://www.messefrankfurt.com/frankfurt/en/media/technologyproduction/texprocess.html

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company is publicly owned, with the City of Frankfurt holding 60 percent and the State of Hesse 40 percent.

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Published in messefrankfurt.com– June 2013

***************** UK: New clothing offers help for dementia sufferers

A new clothing concept could change how people affected by dementia interact with and wear their garments, helping to reduce agitation and maintain their independence for longer, according to the Nottingham Trent University.

Britta Schulte, a Fashion Knitwear Design and Knitted Textiles student at the University’s School of Art & Design, carried out a research into dementia and how specially designed clothing could make a difference to an individual’s daily routine and general wellbeing.

New concept

Britta has developed a new clothing collection which she believes could tackle some of the challenges encountered when living with dementia making it easier for the wearer to orientate

The garments provide information to the wearer so they can understand how to put on the clothing, including highlighted and magnetic fastenings. Sensory aspects are also incorporated to help with recollection.

Visual and tactile

Britta, 32, said: “Dementia reduces the ability to recall memories. It might therefore decrease the ability to recognise objects for what they are and to understand their purpose, even though the object might be familiar. However, people affected by dementia do not lose the ability to perceive their surroundings and are able to become aware of things through their senses.

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This collection tries to achieve two things, firstly creating appealing garments for people with dementia that include audible and olfactory clues. Secondly, making the garments easily perceivable by including visual and tactile signs of how the garment should be worn.”

Discouraged by dressing

Britta, whose grandmother had a form of dementia, added: “The next challenges I want to address are creating clothing that will help the person decide when to get dressed and how to choose clothing that will be adequate.”

“Even though we do it every day and we might not be aware of it, dressing is a complex task that requires a lot of decisions to be made throughout. People with dementia might struggle with the decision making and therefore might be discouraged by dressing. To create a system that could reduce this challenge would help the person retain their independence for longer.”

Tessa Gutteridge, director of Young Dementia UK, commented: “Clothing that can be both attractive and easy for a person with dementia to manage independently would be extremely advantageous. It would be a real gain for the person who, after all, experiences so many losses in their life, and encouraging and helpful for the family too.”

www.ntu.ac.uk

Author: Billy Hunter

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Published in knittingindustry.com– 12 June 2013

***************** Pakistan: Exports reached to $ 818 million in ten months

ISLAMABAD, Jun 11 (APP): In absolute term the overall exports posted anincrease of $ 818 million in the first ten months of the current fiscal yer over the same period last year.The Economic Survey of Pakistan 2012-13 released here Tueaday said that of this increase, 76 percent or US$ 621.8 million was contributed by textile manufactures while all other items increased by 24 percent or $196.2 million.This increase of $ 818 million was slashed due to a decline in exports of rice ($ 128.6 million).The monthly exports for the period July-April, 2012-13 remained mostly above the corresponding months of last year, averaging $ 2019 million per month as against an average of $ 1933 million last

http://www.ntu.ac.uk/

https://plus.google.com/104952314649921244222/

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year.Pakistan’s exports are highly concentrated in few items namely, cotton & cotton manufactures, leather, rice and few others. Jewllery has recently become another mentionable item of our exports.

The first three categories including cotton & cotton manufactures, leather, rice exports account for 63.7 percent of total exports during the first nine months of 2012-13 with cotton manufacturers alone contributing 51.4.The surge in imports during last couple of years was mainly driven through the rising commodity and oil prices. After growing at an average rate of 14 percent per annum during last two years.

It is in this perspective that imports were targeted to increase by 6.8 percent ($42.9 billion) during 2012-13. However, ten months import data suggests that imports decelerated by 1.02 percent against the same period last year. Lower import prices along with declining quantum in some of the categories of imports were the main reasons for slight fall in import bill.

Group-wise data on imports show that the food, transport, textile and agriculture imports recorded decline during Jul-April, FY13, which partially has been offset by the rise in machinery, oil and metal imports during first ten months of FY13. Food group was mainly responsible in reducing the country’s import bill due to the decline in milk products, spices, palm oil, pulses and sugar imports. The decline in palm oil imports is attributed to both lower quantum and price. The lower import quantum may also be linked to the increased use of soybean oil after record production of soybean in Indonesia.

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Published in associated press of pakistan– 12 June 2013

***************** Textile workers reach agreement in Jordan

After a year of struggle IndustriALL's Jordanian affiliate, the General Trade Union of Workers in Textile, Garment & Clothing Industries, reached a sectoral agreement with the two employers’ associations: Jordan Garments, Accessories & Textiles Exporters’ Association and the Association of owners of Factories, workshops and Garments.

The agreement stresses the right to organize and non-discrimination of trade unionists at the workplace. It supports the creation of a positive environment for social dialogue.

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The agreement also insists on the strengthening of health and safety at the workplace with union participation. The rights of contract workers and migrants who compose the majority of the garment workforce in Jordan are specified in the contract.

Fathallah Omrani, President of the General Trade Union of Workers in Textile, Garment & Clothing Industries said, “this is a historical achievement and will help secure the continuity of textile and garment industry in Jordan while providing better working conditions.”

He also said that workers in other sectors should aim at getting similar agreements.

In light of the recent tragedies in garment factories in Bangladesh where the lack of freedom of association and the rights to collective bargaining prevented the unions from denying entrance of workers in unsafe building, this is a timely development.

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Published in Fibre2fashion– 12 June 2013

***************** Spanish textile production surges 17.6% in April’13

The production in Spanish textile and apparel sector increased at an annual rate of 17.6 percent in April 2013, on the Industrial Production Index (IPI) released by the National Statistics Institute (INE).

The sharp increase in the textile and garment production during the month is the highest since March 2010, and has come after two consecutive monthly declines.

The 17.6 percent rise in textile and garment production far outpaced the overall IPI growth of 7.3 percent registered during the month, modaes.es reported.

To an extent the huge rise in textile and apparel production can be attributed to the least number of public holidays in April this year. If the calendar effects are corrected, the increase in textile and clothing sector production would stand at 8.9 percent, still greater than the overall IPI growth, INE data showed.

Among the textile and garment products, the largest annual rise in April was witnessed in the manufacturing of articles made from fur, which grew by 40.7

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percent; followed by other textile products, 21.6 percent; yarn manufacturing, 19.8 percent; textile processing, 16.6 percent; and knitwear, 2.1 percent.

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***************** China may announce new cotton buying policy next season

A new regulatory policy for purchasing and storage of cotton in the domestic cotton market of China was discussed at the recently held 2013 China International Cotton Conference at Qingdao city of Shangdong province of China.

Speaking at the conference, the deputy director of Chinese National Development and Reform Committee, Liu Xiaonan, said that to eliminate the current problems of the domestic cotton market of China, a national storage and purchasing policy will be formulated for the new cotton season beginning September 1, 2013.

Mr. Xiaonan pointed out that the current cotton-control policies focus on maintaining stability and continuity of the Chinese cotton market, and meet the needs of the domestic cotton textile enterprises. The current policy includes delivery and import policies for the national cotton reserve, which would last till the end of July, according to business.sohu.com.

For the coming cotton season, new standards for purchasing and storage of cotton, along with valuation methods, will be implemented, which will be announced soon, Mr. Xiaonan said.

He added that the proposed cotton purchasing and storage policy is an attempt to improvise on the previous ones, and the regulatory body is open to suggestions.

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Turkmenistan to add 3 new textile mills

The Turkmenistan’s Ministry of Textile Industry has announced the establishment of three new textile mills in the country that are expected to be operational from February 2014.

The mills will be set up in Kunyaurgench district of the Dashoguz region, and Turkemanabat and Seydi cities of Lebap region of Turkmenistan.

According to the Ministry report, the project is being executed by Turkish Norsel International Insaat Dis Ticaret Sanayi Limited, and construction has already begun.

Individually, the textile mills in Kunyaurgench and Seydi will have a production capacity of 6000 tons of cotton yarn per annum, while the one in Turkmenabat will produce 4000 tons of cotton yarn in a year, according to en.trendz.az report.

The cotton grown in Turkmenistan is majorly utilised by the 36 operational textile mills in the country, and is also exported in its raw form to Ukraine, Russia, South Korea, China, Turkey, Britain, Indonesia, Iran, Singapore and the Baltic countries.

Last year, Turkmenistan harvested around 1.235 million tons of cotton, up 12.6 percent year-on-year.

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***************** Cotton Fiber & Yarn Price Comparison: China vs. India and Pakistan

Cotton fiber and yarn prices remained relatively unchanged in May, in China, India, and Pakistan. Markets could be much more volatile in second part of the year, nevertheless. Our monthly report compares cotton fiber and cotton yarn prices in China, India and Pakistan, with latest margin trends at domestic yarn plants. Historical data back to 2007 are available for download.

Cotton fiber and yarn prices were last month relatively unchanged in the three largest textile countries in Asia.

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Fiber and yarn prices remained again stuck at very high levels in China, while showing signs of weakness in India and Pakistan.

Cotton rally in India

In the last weeks, however, cotton fiber prices clearly rebounded in India, over tight supply and strong demand from foreign buyers.

The fall in the rupee is maintaining Indian cotton prices at the same level in US$ terms.

China could sell its stocks, at last

In China, there were official statements about a possible end of cotton policy, meaning that price support could be replaced by direct subsidies for farmers.

Chinese textile and apparel industries are hit by excessively high cotton prices, being supported by state buying policy.

This could easily end if Beijing would decide to more massively sell its huge stocks to domestic spinners.

Until this new policy is implemented, cotton fiber and yarn prices will remain at currently high levels.

Pakistan now waiting for harvest

In Pakistan, the cotton price indicator is stuck at current level of 6,400 rupees, as the market is now awaiting the new crop due in July.

Demand for yarns remains relatively weak everywhere, as stocks are being kept at low levels.

Waiting for lower prices is fueling textile depression and a continuous lack of demand.

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Published in Emerging Textiles– 11 June 2013

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Cotton Yarn Prices in Bangladesh

Yarn prices are now decreasing in Bangladesh, in line with slowing down demand and lower raw material costs, our correspondent reports. Our monthly report includes a series of yarn prices for different counts in Bangladesh with historical data available from August 2012.

- From our Bangladesh Correspondent, Syful Islam

Yarn prices in Bangladesh are falling in June for the second consecutive month as demand slowed down from buyers.

The decline of cotton yarn prices is also due to a drop in cotton fiber prices on the international market, by contrast with a previous rally over the first quarter of the year.

Bangladesh is the second largest importer of cotton fibers after China, with 3.7 million of 170-kilo local bales imported per year.

Falling orders

In June, cotton prices came down to 98/99 cents per Lb from 104 cents in April and 102 cents in March.

Yarn producers explain that new orders are falling to seasonal low in May-June-July.

Buyers are then putting pressure on prices through long negotiations, before placing orders.

Two tragedies in a few months

Spinners also point out to the two deadly tragedies having taken place in six months and jolted the country’s apparel industry, the ultimate consumer of yarns and fabrics.

They allege that many buyers have already announced they will no more source apparel from Bangladesh and even some have also canceled orders after the deadliest Rana Plaza garment building collapse tragedy in April which claimed 1,127 lives and seriously injured many.

This followed the fire at plant of Tazreen Fashions in November last year, where 112 apparel workers were burnt alive.

Damaged image

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These accidents dramatically deteriorated the image of Bangladesh’s textile and clothing industries, causing massive outcry at home and abroad.

Domestic apparel manufacturers are apprehending a significant fall of orders in coming months, which will ultimately hurt backward linkage industries, like spinning and textile sub-sectors.

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***************** Germany: Clariant to display innovative products at Techtextil

Clariant, a world leader in specialty chemicals, meets the performance priorities of technical textiles with advanced solutions, so as to ensure such textiles are always fully fit for function.

At Techtextil 2013, Clariant will present “effects that perform and chemistry that cares” in three key focus areas – Repellence & Release; Flame Retardancy; and Stability & Resistance.

Repellency and Release

In response to increasing concerns about the use of certain chemicals in the production of textiles, Clariant is developing new solutions which are allowing textile producers to adopt more sustainable operations and processes.

Next generation C6-based fluorochemicals: Nuva N

Nuva N C6-based products, first introduced in 2006, support the gradual switch away from traditional long-chain fluorotelomer products which, as an unintended manufacturing by-product, may contain PFOA (perfluorooctanoic acid) at trace levels.

Designed to achieve state-of-the-art stain management properties, Nuva N is extremely easy to handle in processing, imparting long-lasting soil repellency and release effects, while being non-sensitive in respect of its compatibility to other finishing chemicals.

Along with improved sewability and no impact on the breathability of the fabric, the agent has a positive effect on the abrasion resistance and tear strength demanded of many materials in the technical textiles field.

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Clariant is continuing to expand the Nuva range as well as increasing production capacity. Nuva 1811, Nuva N2114 and Nuva N2155 all meet the bluesign1 criteria.

New fluorine-free water repellency solution: Arkophob FFR

Meanwhile, entirely fluorine-free chemistry and long-lasting water repellency – two benefits that have been previously unattainable in a single solution – come together in Arkophob FFR.

This technology is an efficient alternative to conventional fluorocarbon-based repellency products, and its carefully-selected active ingredients and their special formulation allow a durable and even film formation on the surface of the fabric.

Arkophob FFR has been extensively tested by Clariant experts in respect of its water repellency, in addition to its wash permanency and the softness or ‘hand’ of the resulting fabrics. In spray tests on 100% cotton twill fabric, for example, it clearly outperforms other fluorine-free products in terms of water repellence, and its performance is very close to C6 fluorochemicals. It meets the bluesign criteria and, when correctly used, also meets the OekoTex standard.

Flame Retardancy

Firefighters, the military, and others working in extreme environments and weather, require performance that protects – not just against the elements, but against hazards including fire.

Furthermore, requirements in areas such as home textile and construction are getting more stringent and require high attention during product development. Those sectors therefore welcome the reassurance provided by technologies such as Clariant’s high performance Pekoflam flame retardants.

Until quite recently, the common chemistries for fire-proofing man-made fabrics were based on organic halogens. Significantly, the development of Pekoflam began back in 1997 when the debate about the potentially harmful effects of halogen-based chemistry to both human health and the environment was only just beginning.

This gave Clariant a clear advance with its halogen-free Pekoflam range, which is primarily based on phosphorous chemistry as a backbone. In the development of synergistic additives to achieve broad application properties comparable to existing halogen-based products, chemical know-how proved as important as the deeper understanding of flame retardant physics and related thermodynamics.

The now-established Pekoflam range is consequently ideally suited to helping customers to face today’s ecological challenges and fulfill ever stricter safety regulations – whatever the application.

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New innovations for ever more sustainable fire retardant solutions

Pekoflam STC and Pekoflam HFC are new coating additives displaying high efficiency and an improved ecological profile when compared to nitrogen and/or phosphorous based commodity chemicals.

Stability and Resistance

Clariant’s polymer dispersions are highly valued by technical textile finishers, whether in coating, spraying, foaming, lamination or impregnation. The tailor-made solutions for customer-specific requirements allow range from soft to hard, from elastic to rigid, from hydrophilic to hydrophobic and from impermeable to breathable.

Crosslinking is used to reinforce the dimensional web created by the polymer, under specific conditions of temperature and acidic catalysis, to provide a range of benefits. In its constant efforts to reduce formaldehyde, Clariant has especially focused on developing self-crosslinking products. Not only do they offer low formaldehyde solutions per se, but they also do not need to be used with melamine resins – which can be a source of free formaldehyde.

From ultra-low formaldehyde to formaldehyde-free solutions

The company’s Appretan E range of ultra-low formaldehyde polymer dispersions has been formulated to provide flexibility, strength, stability and resistance in textile and nonwoven applications.

In addition to a general improvement in properties, the key performance attributes of this self-crosslinking dispersion are its high resistance to water, solvents, alcohol, and elevated temperature.

For the production of textiles that are required to comply with very strict eco-toxicological regulations, Clariant has also developed Appretan NF formaldehyde-free dispersions.

Supplier of Choice

Clariant proves to be the system supplier of choice for textile mills and nonwoven manufacturers in the area of technical textiles as a result of its broad portfolio of innovative materials and finishes, and its ability to deliver tailor-made solutions for specific sectors.

Clariant’s solution-oriented approach to business is also illustrated by its capacity to team up with the best possible partners, such as its own Masterbatches business unit, or SANITIZED AG – who will both have experts present at the booth.

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Clariant’s masterbatch specialists will share their expertise about adding color and functionality to carpets, clothing, automotive interiors, nonwovens and artificial turf. Additive masterbatches, in particular, can be used to add durability, UV stability or flame retardancy, whilst always keeping in sight safety and environmental compliance requirements.

“Clariant’s commitment to establishing long-lasting customer relationships, backed by extensive customer service and support, ensures we deliver products that not only advance the performance of technical textiles with measurable benefits, but also assist producers in adopting more sustainable operations and processes,” says Jochen Schmidt, Head of Technical Service EMEA, Textile Chemicals Business Unit, Clariant. “These are key elements for our customers’ success in today’s challenging business environment

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NATIONAL NEWS

Good demand for cotton seed augurs well for good acreage: CAI

Looking at the reported demand for cotton seed, it is very likely that cotton is going to see once again a good acreage level in the ensuing season, stated Mr. Dhiren N. Sheth, President, Cotton Association of India (CAI), here.

Meanwhile, CAI’s May estimates (as on 31st May 2013) of the cotton crop for the season 2012-13 has placed the cotton crop for the season 2012-13 at 352 lakh bales.

The projected Balance Sheet drawn by the CAI for the year 2012-13 estimated the total cotton supply at 425.21 lakh bales while the domestic consumption is estimated at 278 lakh bales, thus leaving an available surplus of 147.21 lakh bales.

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The arrivals as on 31st May 2013 are placed at 339.75 lakh bales, informed Mr. Sheth.

COTTON ASSOCIATION OF INDIA INDIAN COTTON BALANCE SHEET FOR

THE SEASON 2011-12 and 2012-13 Estimated as on 06th June 2013

(in lakh bales of 170 kg.)

Details 2012-13 2011-12

Supply Opening Stock 53.21 53.27 Crop 352.00 373.25 Imports 20.00 9.00 Total Supply 425.21 435.52 Demand Mill Consumption 240.00 217.68 Consumption by SSI Units 22.00 21.63 Non- Mill Consumption 16.00 16.00 Exports - 127.00 Total Demand 278.00 382.31

Available Surplus 142.21 -

*Closing Stock 53.21

COTTON ASSOCIATION OF INDIA

INDIAN COTTON CROP ESTIMATE FOR THE SEASON

2011-12 and 2012-13- Estimated as on 31st May 2013

(in lakh bales of 170 kg.)

State Crop Arrivals

As on

31 May 2013

for 2012-13

2012-13 2011-12

Punjab 15.50 18.00 15.25 Haryana 23.50 27.50 22.25 Upper Rajasthan 7.50 10.00 7.50 Lower Rajasthan 8.00 7.75 8.00 Total North Zone 54.50 63.25 53.00 Gujarat 85.00 114.00 82.25 Maharashtra 71.50 72.00 70.50 Madhya Pradesh 18.00 18.00 17.50 Total Central Zone 174.50 204.00 170.25 Andhra Pradesh 74.00 58.00 70.00

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Karnataka 13.00 13.00 12.25 Tamil Nadu 5.00 5.00 3.25 Total South Zone 92.00 76.00 85.50 Orissa 3.00 2.00 3.00 Others 2.00 2.00 2.00 Total 326.00 347.25 313.75 Loose Cotton 26.00 26.00 26.00 Grand Total 352.00 373.25 339.75

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Published in Tecoya Trend – 12 June 2013

***************** Not unduly worried; Rupee to stabilise in 4 days: FinMin

NEW DELHI, JUNE 11—

Amid the rupee touching a record low of 58.96 to a dollar, the Finance Ministry on Tuesday said it is “not unduly disturbed” by the fall, and the domestic currency will stabilise in the next 3-4 days with large foreign fund flows.

“This is a temporary phase. This is simply a correction. Our indication is some of the FIIs are now poised to bring in large funds. In next 3-4 days, we will see a mid-course correction,” Department of Economic Affairs Secretary Arvind Mayaram told reporters here.

He said in the coming days the foreign institutional investors (FIIs) would put in funds into the debt segment which would help the rupee inch up from the current levels. “Certainly we are not happy about it, but we are certainly not unduly worried about it. There will be a course correction.... Rupee is going to stabilise and we are going to see a positive movement,” Mayaram said. The rupee has lost over 2.5 per cent in the two trading days of this week and nearly 10 per cent in the past six weeks on concerns of scaling down of stimulus packages by the US.

It today hit a new all-time low of 58.96 intra-day, slumping below the life-time low of 58.16 touched on Monday. Mayaram said emerging economies around the world are facing currency depreciation with South African currency depreciating by 11 per cent. He said the rupee would recover as the country’s economic fundamentals are strong and government is taking steps to increase fund flows.

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Published in Tecoya Trend – 12 June 2013

***************** Garment exporters fear inflation, pricing pressure from global buyers

The rupee’s free fall may cheer garment and textile exporters temporarily but they are not getting carried away, as inflation and pricing pressure from global buyers threaten to cut the party short.

Exporters are concerned about the “dramatic” fall in the Indian currency. Says Charath Narsimhan, Managing Director of the Chennai-based Celebrity Fashions, “The volatile rupee could go back as quickly as it fell. The impact can be truly felt only if the momentum sustains.”

According to A. Sakthivel, Chairman, Apparel Export Promotion Council, and owner of Tirupur-based Poppys group, the rupee has fallen “so much, so rapidly” that exporters are scared buyers will start negotiating price reductions.

Exporters have to resist these moves, advises D. K. Nair, Secretary, Confederation of Indian Textile Industry. “When wage and power costs went up, nobody compensated us,” argues Nair.

There is the fear of inflation raising its ugly head again. “While the rupee fall works for me, inflation will surely catch up,” says Vijay Mahtaney, Managing Director, Ambattur Clothing. For export firms, such as Poppys and Celebrity, which have hedged part of their orders, the rupee slide may not benefit completely. But any gain is welcome now, says Sakthivel.

Economic slump

The depreciation comes at a time when the garment industry has been hit hard by the global economic slump. With the US economy improving and demand in Europe too picking up, export orders have started to look up. The current “disenchantment” in the Bangladesh exporting community, with the recent fire incidents and labour unrest, has also aided Indian exporters with orders gradually moving to competing countries, including India.

According to Thyagu Valliappa of Bangalore-based Sona Valliappa Textiles, Indian suppliers have re-instilled confidence in American and European buyers. “Especially after what happened in Bangladesh, global buyers prefer to work with India.”

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The prospects for the industry are clearly good, says Nair, who expects garment and textile exports to grow to $40 billion this year. Last year’s exports are estimated to touch $30-32 billion, down from $34 billion in 2011-12.

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Published in Business Line – 12 June 2013

***************** AP to challenge court order on cottonseed royalty fee

The Andhra Pradesh Government will challenge the High Court’s order, permitting seed companies to increase the trait value component by Rs 60-100 in the overall cottonseed price.

The Government is planning to move the High Court bench to appeal against the order that did not agree with the State’s decision to pare the trait value to Rs 50, while fixing the seed price. This is Rs 100 lower than what the firms pay to Mahyco-Monsanto to acquire the biotechnology to pep up their cottonseed hybrids with the strength to ward off bollworms.

While giving the interim order on Friday, the court, however, had asked the Seedsmen Association and a few other cottonseed firms to deposit the additional amount thus charged in an escrow account. It had asked them to open the account after consulting the State Government within a week.

Acting on the court order, the seed industry wrote a letter to the Government to discuss the issue of escrow account. “We have received a reply from them saying that they are going to challenge the interim order,” an industry representative told Business Line. A top executive of the Agriculture Ministry confirmed the move.

Impact

The industry is not so hopeful about a hike in the seed price. Though it initially hoped to get a benefit of Rs 100, the State’s move had dampened their spirits.

“All the packets are out in the market to catch the season. If they go to the court again, it will take some more time to resolve the issue and the season might be over,” he said.

Almost 99 per cent of the cottonseed sown in the country is Bollgard-II, which is being sold at Rs 930 in the State. While the demand for the present season is

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pegged at four crore packets (of 450 gm each) in the country, the Andhra Pradesh Government pegged the demand for the season at 1.31 crore packets.

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Published in Business Line – 12 June 2013

***************** New study reviews 15 years of Bt crops, finds reasons for pest resistance

NEW DELHI: In a major scientific evaluation of genetically modified corn and cotton farming since 1996, scientists have found that five of 13 major pest species have developed resistance to these crops that carry the insecticidal Bt proteins, reducing their efficacy. In India, the pink bollworm had developed resistance to Bt cotton, although the same pest did not develop resistance in the US. In 2005, only one pest was reported to have developed resistance.

The study, carried out by Bruce Tabashnik and Yves Carriere of the University of Arizona, US, and Thierry Brevault from the Center for Agricultural Research for Development, or CIRAD, in France, analyzed data from 77 studies of 13 pest species in eight countries on five continents. Their findings are published in the journal Nature Biotechnology on Monday.

Bt crops are made by genetic manipulation, inserting certain genes of the bacterium Bacillus thuringiensis into cells of corn and cotton. The cells start producing proteins that kill pests when they attack the plants. However, many scientists and farmers have been worried about the development of resistance in pests. "When Bt crops were first introduced, the main question was how quickly would pests adapt and evolve resistance," said Tabashnik who led the study, according to a statement by the University of Arizona. "And no one really knew; we were just guessing."

"Now, with 1 billion acres of these crops planted over the past 16 years, and with the data accumulated over that period, we have a better scientific understanding

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of how fast the insects evolve resistance and why," he added. The area under Bt crops is a cumulative total of planting since 1996. In 2011, 66 million hectares were planted with Bt crops, half of which was in the US. Other countries with Bt crops include India, Australia, etc.

The study says that in the worst cases, resistance evolved in two to three years, but in the best cases, effectiveness of Bt crops has been sustained more than 15 years. What factors determine whether resistance will develop or not, and how fast? The study, for the first time, attempts to provide answers to these crucial questions by invoking genetic and evolutionary theory.

"The factors we found to favor sustained efficacy of Bt crops are in line with what we would expect based on evolutionary theory," said Carriere, the university statement said.

The study found that conditions are most favorable if resistance genes are initially rare in pest populations, two genes from each parent are needed (this is called a recessive gene) and abundant refuges - standard, non-Bt plants that pests can eat without eating Bt toxins - are present.

"Computer models showed that refuges should be especially good for delaying resistance when inheritance of resistance in the pest is recessive," explained Carriere. Planting refuges near Bt crops reduces the chances that two resistant insects will mate with each other, making it more likely they will breed with a susceptible mate, yielding offspring that are killed by the Bt crop. The value of refuges has been controversial, and in recent years, the EPA has relaxed its requirements for planting refuges in the US.

"Perhaps the most compelling evidence that refuges work comes from the pink bollworm, which evolved resistance rapidly to Bt cotton in India, but not in the US," Tabashnik said in the UA statement. "Same pest, same crop, same Bt protein, but very different outcomes."

The reason for this was that in the US, scientists, academia, industry and the US agriculture department worked with farmers to implement an effective refuge strategy. In India, while the refuge requirement was similar, collaborative infrastructure was deficient and this led to low compliance. So, resistance developed.

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The study suggests that two factors need to be checked out at the start: whether resistance enes are recessive and whether resistance is rare. If this is the case then even a small refuge area can "delay resistance substantially". On the other hand, if either of these two criteria is not met then chances of resistance developing are high.

Although the new report is the most comprehensive evaluation of pest resistance to Bt crops so far, Tabashnik emphasized that it represents only the beginning of using systematic data analyses to enhance understanding and management of resistance.

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Published in cottonyarnmarket – 12 June 2013

***************** Global brands expanding sourcing; companies may bag $3bn more orders

COIMBATORE: Textile sector is expected to bag additional orders worth around Rs 17,500 crore as global brands have expanded their sourcing of merchandise from the country, Apparel Export Promotion Council said today.

Factory-compliant manufacturing in the country has surged with unprecedented export orders in the current season, Council's Chairman A Shaktivel said.

In the current volatility in international buying, many brands have preferred expanding their sourcing of the merchandise from the country and the flow of expansion of orders was expected to fetch additional USD 3 billion business, he said. India has been chosen as the best place due to the persistent improvement in factory capacity building through ambitious programme AEPC Common Code of Conduct, DISHA, (Driving Industry Towards Sustainable Human Capital Advancement) an initiative of union textile ministry, he said.

These had immensely benefited through DISHA intervention in the area of environmental protection, health and safety, workers' wages, responsibilities, recruitment, written policy and identifying and managing legal records and

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registers. Over 200 garments manufacturing units have already gone through vigorous capacity building in the area of 11 management principle under DISHA like hours of work, wages and benefits.

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Published in cotytonyarnmarket – 12 June 2013

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