Page 61 - May-June-2020
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tures complained about the unbalance in the
                 exports to China as the second phase of the Free
                                                               deal, especially the textile sector which raised
                 Trade Agreement (FTA) between China and
                                                               concerns about the favours it granted the
                 Pakistan will offer the same tariff concessions
                                                               Chinese textile industry. They believed that the
                 enjoyed by the ASEAN countries.
                                                               FTA was damaging the local industry and giving
                                                               undue advantage to the Chinese. The govern-
                 The agreement covers 313 tariff lines of US $8.7
                 billion Pakistan's overall exports and US $64
                                                               ment took note of the demands by the industry
                                                               as they pointed out that during the first phase,
                 billion of China’s global imports. Textile and
                                                               tariffs were imposed on Pakistani textile exports.
                 garments sector is at the forefront of this deal
                 and will help enhance the sector’s exports to
                                                               At the same time, they complained that the
                                                               country’s competitors from the ASEAN had duty
                 China as it offers the same duty free access to
                 ASEAN countries.
                                                               free access to the Chinese market.
                                                               To fix this disparity, the Pakistani government held
                 The agreement is already bearing fruits as the
                 Indian yarn exports dropped more than 38
                                                               several rounds of negotiations with their Chinese
                                                               counterparts and now hope that the second
                 percent for the first six months of the current
                                                               phase of the FTA would overcome the concerns
                 fiscal year. According to reports in the Indian
                                                               of the local manufacturers and increase exports.
                 press, the cotton yarn exports between April and
                 September of this year dropped from US $2.08
                                                               As a counter-measure, the sensitive list had been
                 billion to US $1.27 billion compared to the same
                                                               increased from 10% to 25%, totaling 1760 tariff
                                                               lines and covers 37% of Pakistan's imports from
                 period from last year.
                                                               China. This, the two sides hope, will give protec-
                                                               tion to Pakistani industry from Chinese import,
                 The Indian report cited the FTA’s second as a
                                                               and the textile and garments sector is a major
                 major reason for the decline as it said that the
                 India did not enjoy the same tariff free access to
                                                               beneficiary of this sensitive list. Whereas, the
                 the Chinese market, whereas India had to pay 3.5
                                                               tariffs from the industry had also been lifted to
                                                               increase the export of the sector. The Chinese
                 to 5 percent tariffs.
                                                               side also agreed to immediate market access on
                 The full effects of the second phase of the FTA
                                                               its priority products, tariff reduction and measures
                                                               for protection of the domestic industry on
                 could be gauged after the deal comes into effect
                                                               Pakistan’s request.
                 from December 1, which would boost the exports
                 of Pakistani products to the Chinese market.
                 Earlier in the month, Abdul Razak Dawood,
                                                               The first phase of FTA between China and
                 Adviser to the Prime Minister for Commerce,
                                                               Pakistan was signed on November 24, 2006 and
                                                               became operational in 2007. The negotiations for
                 Textile, Industry & Production and Investment,
                                                               the second phase began in 2011 and after eleven
                 announced that the second phase would come
                                                               rounds, both sides signed the agreement in April
                 into effect from December 1 and it was becoming
                 operational earlier than usual. He said that it
                                                               of 2019 in Beijing.
                 usually took a year to make such agreements
                 operational between countries but because of the
                                                               Now, the second phase is about to take effect
                 special relations enjoyed by both the countries.
                                                               which is already showing some positive signs.
 60 16           The textile sector of Pakistan will get a boost in   During the first phase of the FTA, local manufac-  79
 Econyl yarn by Aquafil, A
 Cotton season 2018/19 featured:
 new capsule collection
 Rollercoaster prices, with decreasing
 launched by Burberry
 production, area and yields           Gap taking initiative for
 A new capsule collection has been launched by   sustainable denim waterless
 After a few years of relative calm, world agricultural
 Burberry crafted with Econyl yarn by Aquafil. The
 capsule includes a reinvention of the luxury brand’s
 markets face policy uncertainty and trade tensions: ICAC  dyeing by 2020
 lightweight classic car coat, which was created using
 Econyl regenerated nylon made from fishing nets,
 fabric scraps and industrial nylon waste.
 Highlights from the latest ‘Review’ regarding the   Weakening economic growth amidst trade issues set
 2018/19 season include: Global area decreased by   the environment for a decrease in consumption with
 Mr Giulio Bonazzi, President and CEO at Aquafil
 1% to 32.6 million hectares (ha) and yield declined   a near 1% loss to 26.2 million tonnes. With
 commented, “We are delighted to collaborate with
 2% to 790 kg/ha; World production slipped 3% to   consumption exceeding production, global ending
 Burberry for this capsule collection. We believe
 25.7 million tonnes; More than half of global stocks   stocks for the season decreased by 2% to 18.3
 innovative fibers like Econyl regenerated nylon are
 (52%) are now being held outside of China.  million tonnes.
 the future and are proud to support brands who
 use our yarns, transforming waste into incredible   Textile and apparel are the largest water consuming
 Global stocks at the start of the 2018/19 season were   As ending stock levels in China lowered, the ratio of   industries. In order to get sustainability and to save
 designs and raising the profile and possibilities of
 1% higher than the previous season at an estimated   stocks held in China and stocks held outside of   water, the renowned global apparel brand “Gap” has
 a more circular fashion system.”
 18.7 million tonnes. At 84 cents per pound, the   China inverted with 52% of global stocks now being   taken the initiative of waterless indigo dyeing of denim
 international reference price of cotton was lower than   held outside of China. Trade in cotton lint increased   similar to their previously implemented water-saving
 Burberry’s heritage is anchored in material innovation
 the previous season’s ending average of 88 cents   by 2% to 9.2 million tonnes with the USA, Brazil, West   technologies like “Washwell”. The innovative process
 and the Econyl yarn collection is one example of the
 per pound.  Africa and Australia leading in global exports.  “Dry indigo” is going to be launched in 2020 by the
 50 disruptions Burberry is making throughout its
 supply chain to create a more sustainable future for   combined efforts of Banana Republic and Spanish
 After a 99.5 cent per pound price at the start of the   New uncertainties have emerged in addition to the   denim mill, Tejidos Royory. Water usage could be
 fashion, according to the brand.
 season, prices fell throughout the year. Global area   usual risks facing agriculture. Following several years   reduced by up to 99%, while also using 89% less
 under cotton decreased by 1% to 32.6 million   of relatively calm market conditions, world   chemicals, reducing energy usage by 65% with no
 hectares. Global yield decreased slightly by 2% to   agricultural markets today face mounting risks,   water wastage at all.
 790 kg/ha but remained above the ten-year average   including policy uncertainty from trade tensions.
 Open, transparent and predictable trade is important
 of 776 kg/ha. As a result, global production   for the cotton market and its role as an important   “By application of this revolutionary, ecofriendly dry
 Due to increased interest of wearable electronics and scope of such
 decreased by 3% to 25.7 million tonnes.  device, researchers have been producing high-performance sensors   dyeing, Gap Inc.’s manufacturing objective is to
 commodity in the global economy.
 KIST manufactured hydrogel   on surfaces of various shapes and types. Recently, high   conserve 10 billion litres of water by the end of 2020”
             said Christophe Roussel. The aesthetic, hand feel,
 performance flexible sensor was developed and proclaimed by
 and nano ink -based flexible   researchers of The Korea Institute of Science and Technology (KIST)   functionality, and washability of such foam dyed denim
             would be comparable to traditional dyed denim along
 APTMA demands textile policy capable of doubling exports  with less space requirement compared with
 team working with Dr Hyunjung Yi.
 sensors for wearable
             conventional dyeing machine.
 The transfer printing technique was used for aqueous solution based
 electronics
 APTMA Chairman Amanullah Machera said that   textile exports in the next five years.  Currently, dry process is exclusive to Tejidos Royo.
 nano-inks to be printed on the porous and hydrophilic hydrogels
 Pakistani exporters are facing stiff competition from   Banana Republic is one of the first brands to try this
 layer that afterwards solidified. The nano-ink passes through porous
 Bangladesh and Vietnam. The chairman was of the   APTMA officials informed that 70 percent of the textile   technology and going to launch its Indigo dyed
 surface leaving only hydrophobic nanomaterial at surface allowing
 view that Pakistan can counter the competition only   industry is in Punjab, where more than 100 mills have   collection for both men and women by spring 2020
 the construction of desired electrode pattern. The electrical
 after exporters get a five year textile policy at hand,   been closed due to poor energy policies of the   with 100% Global recycle Standard (GRS) certified
 properties of such flexible electrodes are extraordinary due to purity
 so they know what will be the tax rates and energy   previous governments.  accessories/trims.
 and uniformity of formed nanonetworks. The hydrophobic nature of
 prices.  the nanomaterial causes low interaction between it and the hydrogel,
 The previous textile policies have not been much of a
 allowing the easy transfer of electrodes onto various topographic   Gap claimed that by 2025, 100% of its used cotton will
 Meanwhile, APTMA Punjab Chairman Adil Bashir has   success story, as the Textile Policy 2014-19 failed to   be procured by sustainable sources, starting from
 surfaces.
 said that the government needs to announce a long   achieve all its targets including doubling value   Better Cotton Initiative (BCI) that is organic, recycled
 term and comprehensive textile policy if it wants to   addition from $1 billion per million cotton bales to $2   American or Australian grown. Gap and Old Navy will
 Transfer printing was restricted to flat surfaces only and creation of
 see a return of capital investment in the country. The   billion per million cotton bales, increasing textile   launch their recycled cotton denim in Holiday 2019,
 such devices onto substrate directly was limitation of transfer printing
 APTMA Punjab Chairman added that if government   exports from $13.1 billion to $26 billion as well as   while Banana Republic will launch in Spring 2020.
 that could be chemically or thermally sensitive. Therefore, KIST team
 accepts this demand, they are capable of doubling   creation of 3 million jobs in five years.
 dealt with these barriers.
 May/June 2020
 October/November 2019                                                                  July/August 2019
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