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ISLAMABAD — As the government has failed to resolve the yarn crisis, some 30 per cent work of the textile sector has been affected and majority of the textile units had close down due to the unavailability of the yarn from last few weeks, TheNation has learnt on Friday
According to the sources, unavailability of yarn even at the higher prices is getting serious with the passage of every day and majority of the industries in Faisalabad and Jhang and other countries had left the working. If the current crises remain for next few weeks’ country would not available to fulfill its export targets, the sources added.
It is worth mentioning here that in the ongoing year production of cotton in the international market is not sufficient and countries like China are importing it from Pakistan, which is considered one of the main reason for the yarn shortage in the country.
The sources further said that every year Pakistan exports about 25 per cent of the yarn to the other countries, while this year the export expected to be 30 per cent, which could create problems for the local industries.
Meanwhile, different associations of the textile industry believed that exporting yarn is the reason for the unavailability and they are demanding of the government to impose ban on the export of yarn in order to provide commodity to the local consumers. Small Power Looms Association already threaten to observe countrywide strike in the month of December if government did not impose ban on the export of yarn.
However, the government is totally failed to solve the said crisis as neither the talks, between the Minister of Textile Industry with all stakeholders, proved any good nor the Cabinet Committee on Textile found any solution to the problem. The cabinet committee on textile met under the chair of Federal Minister for Finance Shaukat Tarin few days back but did not announce any strategy regarding availability of yarn in the country.
The sources further said that if the government did not come with some strategy in next few weeks Pakistan would deprive of the textile orders of EU and USA that would further affect the growth of the textile sector.
Similarly, the yarn shortage emerged because of the black-marketing and storage of yarn in order to increase the prices. Domestic cotton prices have already surged by 25 per cent since the start of the current fiscal year. Neither the provincial governments nor the federal government took any action against those responsible for the blackmarketing
Federal Minister for Textile Industry Rana Farooq Saeed Khan said once that action would be taken against the hoarding and black marketing but despite passing of two weeks no step is taken.
Analysts and exporters anticipate further rise in the domestic cotton prices because of active buying by the international buyers who have flocked Pakistan amid a shortfall in world cotton production.
Source: PRGMEA
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Bangladesh Garment Manufacturers and Exporters Association (BGMEA) and labour leaders have jointly formed nine committees to monitor the situation in the apparel sector, specially in Dhaka, ahead of the Eid-ul-Azha festival.
The BGMEA leaders and the labour leaders formed the committees at a meeting held at the BGMEA office in the city Saturday.
BGMEA officials said the committees would act promptly to address any disturbance in the apparel sector in Dhaka.
“The committees will closely monitor the labour situation and find out the ways to solve the crisis,” Abdus Salam Murshedy, BGMEA president, told the FE Sunday.
The BGMEA chief also said he already urged the garment factory owners to pay the wages and bonuses before the Eid-ul-Azha festival.
The meeting was also attended by Bangladesh Textile and Clothing Labour League president ZM Kamrul Islam, Bangladesh Jatiyatabadi Garment Dal president Shahidul Islam and Jatiya Garment Sramik League president Md Selim Reza.
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Macy’s Inc reported a 0.8 per cent dip in its October same-store sales, ahead of the retailer’s outlook and putting it on strong footing to meet or beat its second-half projections. Cincinnati-based Macy’s operates roughly 850 department stores.
Analysts surveyed by Thomson Reuters expected the Cincinnati-based department store chain to report a same-store sales decline of 0.1 per cent. Macy’s total sales slipped by 1.3 per cent to 1.69 billion dollars from 1.71 billion dollars a year ago.
For the fiscal third quarter, its same-store sales declined by 3.6 per cent. That tracks ahead of what Macy’s had projected for the second half of the year, which is a same-store sales decline of five to six per cent. Total sales dropped 3.9 per cent, to almost 5.3 billion dollars from 5.5 billion dollars.
News Source: AEPC India
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On the 3rd Annual Meeting and Summit of Men''s Wear Commission, Jiang Hengjie, Executive Vice President of China National Garment Association said the competition within Chinese menswear industry has been upgrading; China's international competitiveness shifts from labor cost advantage to advantages in product development, product quality, brand creativity and cultural innovation.
During industrial structure adjustment and upgrading, industrial resources start to flow and restructure; industry regional distribution goes through minor adjustments. Rising competition appears in domestic market which becomes the focus of companies.
The mantra for survival of jute industry is product diversification and the Jute Geo Textiles (JGT) provide an opportunity to the Jute Industry to diversify and capture new market, said Thiru. Dayanidhi Maran, Union Minister of Textiles while launching the International Project for the Development and Application of Potentially Important Jute Geotextiles, here today. Ambassador Ali Mchumo, Managing Director of the Common Fund for Commodities, Tmt. Rita Menon, Secretary, Textiles, Thiru. Sutanu Behuria, Chairman, International Jute Study Group (IJSG) and Thiru. Sudripta Roy, Secretary General, International Jute Study Group, and Thiru. Bhupendra Singh, Joint Secretary, Ministry of Textiles were also present.
The Minister said that Jute Geotech is a very cost effective and versatile material for ground modification and stabilization, however, in India the use of these materials remain inadequate and far below the potential despite the country having the second largest road network in the world and indigenous fibre base. It becomes our bounden duty to sensitize the stakeholders about myriad applications of Jute Geotextiles and its business potential, emphasised Thiru. Maran.
Jute Geotextiles (JGI) can have a business potential of Rs. 1,260 crore in the 21,000 kilometre National highway being upgraded by the Government, said Thiru. Maran. The Bharat Nirman, a time bound action plan for development of rural infrastructure, envisages laying of 24,000 kilometres of roads to provide connectivity to rural areas and Jute Geotextiles in this Programme can generate a market potential of Rs. 868 crore, said Thiru. Maran. The Government will spent US $ 78.5 billion for development of road infrastructure during the Eleventh Five Year Plan Period and the Jute Textiles Industry shall shape up to exploit the potential, said the Minister.
The Minister said that there is an immediate need for standardization, if the Jute Geotextiles have to meet acceptability both in national and international markets. The Minister said that the five years US$ 3.96 million dollar project has also a social angle. The increased off take of jute will help in poverty alleviation in jute-growing areas and in improving the living conditions of farmers and workers. I compliment the Common Fund for Commodities (CFC) and the International Jute Study Group (IJSG) for their initiative, said the Minister.
The Minister hoped that the Jute Manufactures Development Council (JMDC) as the Project Execution Authority (PEA) will be able to fulfil its commitments with the support and co-operation of the partners of the project and lead jute sector to a better position in the interests of the farmers, the workers, the industries and all the stakeholders in the sub-continent.
News From: Ministry of Textiles
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Chairman All Pakistan Bed Sheet and Upholstery Manufacturers Association (APBUMA), Khawaja Muhammad Anees, has urged government to impose a ban on export of cotton and thread in order to ensure the maximum export of value added products and to earn reserves for the country.
Khawaja Anees said that increasing ratio of cotton export from the country has become a sign of threat for the local textile and spinning sector. Decline in cotton production target and the increase of thread export from the country has become the cause for the non-availability of crude material for local textile and power looms sector. Textile export has fallen due to export of cotton and thread. It is difficult to meet the export orders in future, he added.
He said that government had fixed the export targets in the trade and textile policy, however, due to low production during the current season. The price of cotton in the local market is increasing because of rising exports. He urged government to put ban on the export of thread and cotton so that the export orders of bed sheet, upholstery and other items could be delivered on time.
It is worth mentioning here that spinning mills have stopped the sale of thread in the local market, which is badly affecting the garments, power looms, hosiery and textile sector. The export of thread has increased after the dollar gains value. Exporters are minting record profit with the export of thread. However local industries are severely affecting with this trend.
News Source: PRGMEA
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Moves to streamline its inventories and switch towards higher-margin retail sales have helped lift T-shirt and casual clothing firm American Apparel Inc to an 82.6 per cent hike in third quarter profit.
The Los Angeles based firm, which makes and retails branded fashion basics, said its net income rose to 4.2 million dollars or 0.05 dollars per share, up from 2.3 million dollars a year ago.
Last year's figures were depressed by stock compensation payments, the company said.
"While we are pleased that we were able to deliver a profit in the third quarter in spite of the difficult environment, I believe the successes we had in terms of streamlining our inventories and significantly reducing our indebtedness will prove particularly valuable as we move forward," said chairman and CEO Dov Charney.
"While it is still very early, we are encouraged by some indications pointing to the beginning of momentum in our sales. "We believe that for the long term, our business remains on track as we continue to expand our brand's presence both in the US and internationally."
Looking ahead, American Apparel still expects its full-year sales to be in the range of 540 million dollars to 555 million dollars with a loss of one million dollars to a profit of four million dollars in the period.
News Source: AEPC India
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German fashion firm Hugo Boss posted a 24.8 per cent drop in third quarter net income amid a continuing slowdown in demand for luxury goods. The company said it doesn't expect to see profitable growth until next year.
For the three months to September 30, profit fell to 51.5 million euros from 68.5 million euros in the same period last year. Quarterly sales dropped to 450.4 million euros from 533 million euros, a fall of 15.5 per cent.
However, the company said it has "held its ground well" so far this year, with overall sales down 9 per cent to 1.24 billion euros from 1.36 billion euros last time.
Cost cuts and reorganisation -- including reducing the complexity of its collections to save production and logistics costs, and better materials management -- have also helped keep operating profit margin flat with last year's level of 18 per cent. The group added that its own retail operations made a positive contribution to nine-month sales whereas wholesale revenues fell.
Regionally, the biggest slowdown was in Europe where sales fell by 13 per cent to 852 million euros in the first nine months of the year. In the Americas, sales rose 2 per cent to 233 million euros with declines in North America offset by a 32 per cent jump in Central and South America.
Asia Pacific revenues were flat with last year at 122 million euros although revenues at Hugo Boss' own retail operations in China more than tripled.
Looking ahead the company said: "Due to the extremely weak overall global economic situation, Hugo Boss expects a declining sales development on the level of the first three quarters for the remaining fiscal 2009." The management also sees adjusted operating margin for the year at last-year's level, and expects a first positive upswing in 2010.
News Source: AEPC India
Unrestricted export of cotton and cotton yarn has been creating serious problems for the apparel sector, whose exports are falling because of this issue.
The constant export of cotton and cotton yarn has pushed up their prices to new heights, ultimately increasing the cost of production of apparel sector, according to representatives of apparel sector.
Jawed Bilwani, Chairman, Pakistan Apparel Forum; Rana Muhammad Mushtaq khan, Central Chairman, Pakistan Hosiery Manufacturers Association (PHMA) and others said that unrestricted export of cotton yarn would have a serious effect on the exports of the value added apparels making it difficult to achieve our ambitious export target. The irony is that the cotton yarn is being exported to our competing countries, which is tantamount to arming them for competing in the finished product market. Value added apparel sector is converting raw cotton of 67 cent a pound into value added finished goods worth $5 to $6 a piece, earning valuable foreign exchange for the country.
Exports of raw cotton and semi-finished textiles have increased considerably in recent times, which is indeed alarming: Raw cotton exports were up 40 percent in FY08, 25 percent in FY09 and overall 20 percent from 2006 to 2009.
The month of May 09 alone registered an increase of 31 percent over the previous month, while June 09 registered increase of 117 percent over May. In the case of cotton yarn, exports increased by 4 percent in May 09, and by 14 percent in June 09. On the other hand, at the closing of financial year 2008-09, an unacceptable drop in exports was registered in major value added sectors, i.e., Knitwear -8 percent, Bedwear -10 percent, and Readymade Garments -4 percent, while exports of cotton increased by 25 percent while that of Yarn increased by 15 percent.
On the other hand, prices of different qualities combed and carded cotton yarn increased 24 percent to 33 percent in the last three months.
With the above rise in price of cotton yarn the cost of production of garments goes up by 10 percent. One can imagine the effect of this increase of 10 percent in these most crucial times with stiff competition form neighbouring and other competing countries, when the margin of profit of value added exporter of garment here is a mere 5 percent to 6 percent. “How can the exporter survive and exist under such circumstances,” they questioned.
India as well as China, main competitors of Pakistan, also export cotton and cotton yarn but they give regard to the requirement of the value added textile exporters and export only after determining the size of the crop and the exportable surplus, ensuring that the requirements of their value added textile exporters are properly met.
They said that our value added apparel sector is reeling under immense pressure of high costs of doing business, rising utility rates and several other problems. Further, this unrestricted export of major raw material, cotton and cotton yarn, has led to spiraling prices and is crucifying our exports of value added apparel which will lead to further closures of large number of export oriented units.
The EU and US—major importers of local textiles—are still trying to grapple with the deep-rooted economic problems. The IMF has predicted that GDP growth in the EU and US would remain flat in the current year.
Domestically, the power crisis, gas load shedding, high financing cost, other infrastructure problems and above all the deteriorated security situation caused a big dent in textile exports.
News Source: Daily Times
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Garment exports to new markets will account for roughly 5 percent of the industry’s total export turnover this year, according to the Vietnam Textile and Apparel Association (Vitas).
Vitas said that domestic apparel producers had recently won a number of export contracts in new markets such as Turkey and Egypt.
The Middle East had also become a major market for Vietnamese cotton clothing, while Russia had imported a high volume of children’s clothes – chiefly jeans and jackets, it had.
Vitas said it hoped sales to new export markets would partly offset a drop in orders from major markets such as the US and EU.
Due to the global economic slowdown, the country’s apparel export turnover to its traditional importers has shrunk markedly, forcing the industry to revise down its export target from US$10.5 billion to US$9.2 billion this year.
Vitas chairman Le Quoc An said the sector had earned US$5 billion from exports in the first seven months of this year.
With the monthly average export turnover expected to be about US$800 million from now to the end of this year, the industry’s total annual export revenue was likely to be US$9.2 billion, An said.
In order to meet its export targets, the sector must conduct more trade-promotion campaigns to find new markets, in South Africa, Africa and the Middle East, An said.
He added that Vitas would also look to promote Vietnamese garments in Asia.
Source: VOV News
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Rock Fashion Week and the Gen Art Fresh Faces in Fashion show are moving from Paramount Studios to the Petersen Automotive Museum.
This will be the Los Angeles debut of the two-day event, which is produced by New York–based Rock Media, one of the new players on the Los Angeles Fashion Week calendar.
“We had to make a decision about our venue and have made a decision to move from the Paramount to the Petersen Museum,” said Nicole Purcell, president and partner of Rock Media. “We have been in the middle of an exciting time for our company, as we recently merged with Gen Art. And our focus has been strategizing and preparing for all the programs we are creating. The Petersen makes sense as [Gen Art] has produced a number of shows there.”
Gen Art will host its show on Oct. 28, and lingerie label Biatta is also scheduled to host a runway show at Rock Fashion Week. A planned Halloween party on Oct. 31 has been canceled. Alicia Lawhon was originally slated to show her Reclaimed in L.A. collection at Gen Art, but the designer had to drop out of the show for personal reasons, according to Rock Media. Italian-born and Los Angeles–based designer Valerj Pobega will show in Lawhon’s place. Other designer collections on the lineup at Gen Art include Leyendecker, Rory Beca, Seneca Rising and MG Black and accessories labels CC Skye, The Generic Man, Ludevine and Stampd L.A.
Rock Media hosts similar Rock Fashion Week events in New York and Miami, as well as its three-day Haven fashion event, which bowed last February in the Hollywood Hills neighborhood of Los Angeles. (Haven featured a runway show that included Russell Simmons Argyleculture, Born Uniqorn and Yansi Fugel.)
“We have a formula that we augment to whatever city we’re in—we try to figure out what’s the flavor of each city,” said Rock Media Principal Scott Rosenblum earlier this year when he and Purcell were in town to put together a local team for the event.
“We are so excited to debut our Rock Fashion Week L.A.,” Purcell said. “It has been an ambition of ours to tap into this incredible fashion community, as we hope to be instrumental in supporting veteran Los Angeles talent, seek out emerging designers and be able to provide the international fashion community a chance to show with us.”
Rock Fashion Week will come at the end of nearly a month of fashion events in Los Angeles, including Downtown L.A. Fashion Week at the Geffen Contemporary at MOCA, Fashion on Broadway at the Los Angeles Theater in downtown Los Angeles, L.A. Fashion Weekend at Sunset Gower Studios in Hollywood and BOXeight in downtown Los Angeles, as well as many independent shows and parties.
News Source: Apparelnews.net
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Pakistan has received positive response from the US on proposed changes in the Reconstruction of Opportunity Zones (ROZs) legislation, which envisages inclusion of garment industry and provision of setting up of ROZs in Balochistan. It was revealed to the Economic Co-ordination Committee (ECC) of the Cabinet in its meeting held on September 15 that Pakistan had proposed changes in ROZs legislation and received positive responsive from the US.
During the ECC meeting, an organisation at Federal level was proposed to be established to steer the programme of ROZs smoothly toward its completion. Institutional and infrastructure requirements were listed and it was stipulated that work on at least one ROZ in every province/area would start by March 2010.
During the presentation on Reconstruction Opportunity Zones (ROZs), the ECC was informed that a joint study group had been established in the US to discuss and finalise details for setting up ROZs.
Sources said that the ECC was informed that institutional arrangements were being made for implementing the ROZs scheme in Pakistan. According to the sources, the government plans to establish four regional ROZs in Fata, Azad Jammu and Kashmir (AJK), NWFP and Balochistan.
The ROZs initiative would provide duty-free export of a number of products, including textile and garments from designated areas of Pakistan to the US. It would provide Pakistan with an opportunity to enhance its exports to the US and stimulate economic growth in the under-developed areas of NWFP, Balochistan, AJK and the Fata.
The sources in Planning Commission said that the a Programme Management Unit (PMU) would be set up with an initial investment of Rs 80.605 million for a two-year period to develop a conceptual and institutional framework and steer the ROZs authority process forward.
In Pakistan, the ROZs will be established in NWFP, Fata, earthquake affected areas of Azad Jammu and Kashmir and parts of Balochistan for goods, including textile and garments, produced in the Zones, which would qualify for duty-free import to the US.
According to the sources, the PMU would be responsible for organising and managing consultation with the stakeholders, ie the Fata, NWFP, AJK and Balochistan; developing incentive package for investors as well as a system or enforcement procedure to guard unlawful trans-shipment of articles from the ROZs. The PMU would be a co-ordinating body with donor agencies in identifying projects for the ROZs, said the sources. The Planning Commission in its technical appraisal has held that the proposed PMU will outsource various short-term studies.
News Source: PRGMEA
Advanstar Communications and Fairchild Fashion Group are teaming up to launch a new global footwear trade show.
FN Platform, a partnership between Magic International and Footwear News, will debut Feb. 16-18 and run concurrently with Magic’s other trade show events in Las Vegas.
“Magic has [already] become an enormous [destination] for footwear,” said Chris DeMoulin, president of Magic and EVP of Advanstar Fashion Group. “We saw the opportunity to grow our presence and create a show that will allow both dedicated footwear buyers and ready-to-wear buyers to see all of the brands together.”
“As the leading publication in the industry, FN is delighted to partner with Advanstar on FN Platform,” added Fairchild Fashion Group President and CEO Richard Beckman. “This exciting new show will build upon the publication’s unique and powerful bond with the shoe business.”
Leslie Gallin, a former WSA executive who is now VP of Advanstar’s Fashion Group, will be managing FN Platform with her team at Magic.
“We’re going to create an environment unlike any trade show the industry has ever seen,” said Gallin. “Magic is pulling out all the stops to create that ‘wow factor.’”
The show, which will be housed adjacent to WWD Magic, will be divided into five distinct areas with innovative environments and buyers’ lounges that bring each category to life. The sections include women’s fashion, men’s fashion, athletic/outdoor, comfort and children’s.
Already, a roster of big footwear firms have signed on to participate, including Nine West, Steve Madden, Vince Camuto, Stuart Weitzman, Hugo Boss, DKNY and many others.
Gallin said the timing of the show would allow buyers to launch their product during New York’s FFANY show earlier in the month and continue to roll out their collections a few weeks later at Magic.
“This is a huge opportunity to unite the industry and help get the different shows in sync,” Gallin said.
The move marks an expansion of the relationship between Advanstar and Fairchild Fashion Group. The two companies already work together to operate the WWD Magic show.
“Expanding our successful WWD partnership with Fairchild to create FN Platform is a natural evolution,” DeMoulin said.
News Source: WWD.com
Export of Bangladeshi products to European Union (EU) witnessed an 8.65 per cent growth in the fiscal year 2008-09 ended in June.
Country’s shipment to 26 out of total 27 EU member countries reached US$ 8.2 billion at the end of last fiscal year, which was US$ 7.6 billion in FY 2007-08, data revealed by the Export Promotion Bureau (EPB) showed.
“We expected growth over 10 per cent in export to the EU,” a well-placed EPB officer told the FE adding that it began to slow down by the first quarter-end of last fiscal year (2008-09).
Shrinking purchase order in readymade garments (RMG) export triggered by global financial recession that started burning European markets by September 2008 was the main reason for the slower growth, the EPB officer said.
Export to Europe faced several other challenges during the period, he elaborated adding that “Self imposed ban on frozen food export and falling market of leather and jute items in Europe also worked as major catalyst to this slow down.”
According to EPB sector-wise export performance record, apparel export covers 85 per cent (US$ 7.1 billion) of the country’s total export to EU in fiscal year 2008-09. Frozen food was the second largest exportable items to EU, earned US$ 0.23 billion, covering 2.8 per cent of the country’s total earning, the data revealed.
Germany was the largest importer of Bangladeshi products in EU during last fiscal, followed by the UK. Export earnings from Germany registered an increase of 4.37 per cent at the end of FY 2008-09 comparing to the previous fiscal. Export earnings from the country totalled US$ 2.27 billion in FY 2008-09 against US$ 2.17 billion in FY 2007-08.
Besides that, Bangladesh’s export earnings from UK totalled US$ 1.5 billion in last fiscal against US$ 1.3 billion in FY 2007-08.
With the economic recession slowly easing out and export ban deadline on frozen food likely to over soon, Bangladesh’s export performance to the region likely to witness a healthier picture ahead, experts related to the country’s international trade forecast.
Other than textile and frozen food, Bangladesh exports tea, agri-products, leather and leather goods, raw and processed jute goods and some other exportable items to EU
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The 4th Japan Trade Fair-2009 (JTF-09), organized by the Japan-Bangladesh Chamber of Commerce and Industry (JBCCI), is going to be held in the capital from October 15-17, 2009.
More than 35 companies from various sectors are expected to participate in the biennial fair, Toru Misabayashi, vice president of JBCCI said.
The fair will take place at the Bangabandhu International Conference Centre (BICC) and would remain open for public from 10:00am to 8:00pm, he said.
Addressing a press conference in a city hotel Wednesday, he said, renowned companies including electronics, automobiles, IT equipment, capital machinery, readymade garments, leather products, cargo transportation and logistics providers will exhibit their latest products in more than 100 booths at the fair.
Different Japanese government and semi-government organizations will also take part in the fair, he added.
Chairman of Japan-Bangladesh Joint Committee for Commerce and Economic Cooperation (JBCCEC) Tokyo will lead a six-member high-powered economic delegation from Japan to visit Bangladesh on a three-day tour, T. Uehara from Embassy of Japan said at the press conference.
They will also hold a meeting with the Federation of Bangladesh Chambers of Commerce and Industry (FBCCI) as per schedule, he said.
JBCCI organizes the trade fair in Bangladesh every two years in support of the Embassy of Japan, Japan External Trade Organization (JETRO) and Japanese Commerce and Industry Association in Dhaka. Windmill Advertising Limited will organize the trade fair this year.
News Source: apparel.com.bd
The workers of SIS Garments staged a sit-in-demonstration at Muktangan in the city Wednesday demanding all outstanding arrears and the arrest of their employer.
The leaders of National Garments Workers Federation (NGWF) claimed that SIS Garments authority illegally closed the factory on September 13 without prior notice, said a press release.
They further claimed that the authority did not pay the wages of three months from July to September and overtime dues of five months from May to September.
The authority must pay rightful compensation with all the dues to the workers, the leaders demanded, added the release.
The federation President Amirul Haque Ameen, central leaders Faruq Khan, Arzu Ara and Bangladesh Garments Sramik Oikkyo Parisad leader Alomgir Roni, addressed the workers.
Bangladesh has agreed, in principle, to issue GSP "Form A" to imported fabric from Pakistan from January 1, 2010. This was stated by Federal Advisor on Textile Dr Mirza Ikhtiar Baig in a statement issued here on Tuesday. Dr Baig said that he had taken up the matter with the authorities in Bangladesh at several forums in the context of Sri Lanka, which also allowed a similar facility to Pakistani fabric.
He said that Bangladesh and Sri Lanka are members of SAARC, which allows duty free trade of ggoods among the member states. Dr Baig said that garment manufacturers in Bangladesh would buy Pakistani fabric after this facility, thus providing a boost to Pakistani fabric. He pointed out that Bangladesh Textile Manufacturers and Exporters Association was opposing the import of fabric from Pakistan for the manufacture of garments when European Union had allowed GSP Plus status to Bangladesh.
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Activists in 11 European countries are launching a series of campaigns this week calling for retailers to pay a living wage to all garment workers in their supply chains.
In particular they are pressing retail giants such as Carrefour, Tesco, Aldi and Lidl to take up a ground-breaking new proposal for an Asia Floor Wage (AFW) which would see the equivalent of a 475 dollars a month minimum wage throughout Asia.
"The Asia Floor Wage Alliance is uniting unions and NGOs in Asia around a common wage demand," says Mr Jeroen Merk of the Clean Clothes Campaign International Secretariat. "It's a powerful response to industry practices that have kept wages at a poverty level and play off workers against each other."
The AFW, calculated using the World Bank's purchasing power parity, would allow workers to purchase the same set of goods and services across key garment-producing countries in Asia, the campaigners suggest.
They add that a living wage is regularly denied to workers in the garment industry where workers, mainly women, who produce clothing for international retail chains often live in severe poverty.
The proposals will be formally launched with events in countries across Asia this week including India, Indonesia, China, and Bangladesh.
News Source: AEPC India
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