The WRAP Weekly Newsletter May 15, 2012 |
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The WRAP Weekly Newsletter The WRAP Up
Australia Australia and India signed a Memorandum of Understanding (MoU) on the production and trade of wool and woolen products between the two countries. The process for approval of the draft is currently in the final stages. The two countries seek to set up a world class testing laboratory in Mumbai in order to explore possibilities for capacity building, research and training, and integrated wool processing. (Fibre2Fashion) Bangladesh A second round of violence broke out Sunday, May 13, between readymade garment workers and police in the Ashulia neighborhood of Dhaka, Bangladesh’s capital. Violence the previous day resulted in 100 people injured and the death of one female worker, who was run over by a bus as apparel workers were chased by police. (bdnews24.com) Bangladesh is looking for alternative markets to boost exports of its carpet-backing cloth. Government officials visited Australia and New Zealand in order to explore the possibility of increasing exports of carpet-backing cloth to these countries. Increased exports to New Zealand and Australia would greatly benefit the Bangladeshi industry. (Fibre2Fashion) Canada Rogers Communications, Inc. paired with Exmovere Holdings, Inc. to introduce a new line of apparel technology that improves the lives of infants and parents alike. Biosensors embedded in infants’ clothing will allow parents to monitor a child’s movements and temperature from an array of wireless devices. The new pajamas will be sold in Canadian retail locations later this year. (Canada.com) China China will issue one million tons of extra cotton import quotas—bringing total import quotas issued this year to 2.4 million tons. The extra cotton import quota will help textile mills cut costs by purchasing cheaper overseas cotton. Current demand from textiles mills is slow, but experts predict that new sales from Brazil will pick up. (Business Recorder) Colombia The U.S.-Colombia free trade agreement takes effect today, May 15, 2012. At midnight, a plane full of flowers left Bogota as the first shipment under the agreement. (BBC) England A fire sparked at a plastics factory near Chipping Norton on the evening of Friday, May 11. The fire is believed to have been caused by a welding incident. No fatalities were reported, but one worker was rescued from the burning building and rushed to the hospital for treatment of smoke inhalation and burns. Management at the Oxfordshire plastics factory expects to be back to full production Monday, May 14, 2012. (Oxford Mail) India India’s garment export sector is expected to grow 20 percent to US$13.5 billion by the end of the fiscal year, despite facing poor market conditions in the European Union (EU) and United States. Faced with a decline in demand from EU and U.S. markets, India turned to alternative destinations to export apparel to offset the slowdown. These new regions—which include West Africa, Australia, Israel, Latin America, Japan, Russia and Australia—brought in 10 percent of business for the industry. (The Economic Times) Indonesia Indonesia’s garment and textile industry is experiencing rapid growth and making the country an active textile and apparel sourcing destination for global firms. SGS, the Societe Generale De Surveillance, is working with BOKEN, Japan’s leading textile and testing inspection organization, to create a one-stop service solution for apparel testing— including physical and colorfastness testing, functional quality testing, fiber analysis, restricted substances testing, inspections and audits. The full-service testing center will help companies determine if products meet national and international standards. (Fibre2Fashion) Pakistan Pakistan currently faces opposition from Spain, Portugal and Germany in its attempt to come to an agreement on a trade concessions package with the European Union (EU). The prevailing package has been severely politicized during the most recent EU Parliament meeting. The redrafted compromise package increased the items under quota from 20 to 26, with a quota ceiling of 120 percent of past trade from 2007 to 2009. If the trade concessions are not implemented, it will negatively impact Pakistan’s bid for generalized system of preference. (Daily Times) Taiwan Taiwanese exports dropped 4.7 percent year over year, but rose to US$96.37 billion between January and April of 2012. Exports of several products declined when compared to last year, with communications products falling by 16 percent, chemicals by 11.4 percent, optical goods by 9.4 percent, textiles by 6.4 percent, and electronic products by 5.9 percent. These reductions and the overall drop in exports reveals a pessimistic outlook on the possibility of significant growth over the first half of this year. (China Chemical Fibers & Textiles Consultancy) Thailand Several international brands including Levi’s Vintage, Ralph Lauren, H&M, and Miu Miu, will open stores in Thailand this year. While this foray into the Thai market will be a first for many brands such as Ralph Lauren and H&M, it will be a re-entry for others like Miu Miu. As a result of the increase in global brands, Siam Paragon Mall will be renovated. (Fibre2Fashion) United Kingdom As costs of production rise and the labor pool shrinks in China, many companies in the United Kingdom are considering bringing manufacturing back to Britain. There are currently 2.65 million unemployed people in the United Kingdom. (Telegraph) United States The United States launched an initiative titled Operation In Our Sites, which aims to target commercial intellectual property crime online. In the latest effort under the initiative, U.S. authorities seized $1.5 million worth of proceeds from counterfeit goods made in China and sold online. Three domain names that were responsible for selling counterfeit goods were also taken down. (Outcome Magazine) Following a push by the U.S. government to increase domestic manufacturing, American companies are struggling to find employees skilled in assembly production. In March, the number of vacant factory jobs rose to 326,000, according to the U.S. Labor Department. (Bloomberg) Vietnam The Vietnamese garment and textile sector reached $3.7 billion in exports in the first four months of 2012, revealing a year-on-year increase of 14.4 percent. Exports increased globally, with exports to Korea growing 50 percent, to the U.S. 15 percent, to the European Union by 3 percent, and to Japan by more than 30 percent. Direct investment from foreign companies comprised a majority of the growth in the garment and textile sector. (Yarns and Fibers) |