Home / Knowledge / News / Textiles / EU must take actions to secure access to raw materials, EURATEX
EU must take actions to secure access to raw materials, EURATEX
29
Mar '11
The European textile and apparel industry is deeply concerned with the current situation in the Raw Materials markets. When presenting the recent Position Paper on Raw Materials, Mr. Alberto Paccanelli, President of Euratex - European Apparel and Textile Confederation, recalled: “The steep growth of emerging economies like China, India or Brazil is creating increasing pressure in the markets leading to a lack of availability and price increases for the major textile raw materials.

“This problem is aggravated by the unilateral and restrictive measures taken by certain countries, like India, to limit exports of critical Raw Materials or Semi-Finished Products- this is the case of Cotton Fibre and Cotton Yarns. As a consequence the Price of Cotton which was 84,15 cent $ per pound in July 2010 reached 243,65 cents $ in March 2011”.

The problem is not limited to Cotton and affects other Textile Raw Materials, being natural or Man made. Overall Price increases range from 35% to more than 100% between December 2009 and December 2010 and the situation has deteriorated further in 2011. Mr. Paccanelli mentioned other elements which are also playing a key role in the market disturbances “The financial capabilities of countries like China promote extensive buy and stock pilling strategies to support local industries and the increasing speculation and intervention of the financial operators in the commodities market”

In this difficult environment T&C companies are facing huge cost increases that need to be passed on to their customers, being private or public, but in parallel Euratex demands for concrete actions to be taken at EU and International level.

Among these actions Mr. Paccanelli highlighted that in the short term the EU should“(a) Address urgently the restrictive measures taken by Third Countries to prevent/limit our access to raw materials both at bilateral and multilateral levels; (b) Implement strict market surveillance measures with the aim of limiting the intervention of speculators by improving information exchange and transparency regarding production, consumption and stocks and approaching the physical and derivative markets”.

Considering the complexity of this problem Euratex believes it should be dealt with in an integrated and coordinated way involving the EU Commission, Member States, the Industry and other relevant stakeholders. Euratex President made a clear statement in this respect by saying that “In the short to medium term we should be able to develop a comprehensive policy approach covering trade, development, skills, research, innovation and internal market measures”.

Trade has a central role in the actions proposed by Euratex as our companies need to have a consistent and secured access to Raw Materials. To achieve this critical objective we need to prevent all measures taken by Third Countries to limit or restrain Raw Materials exports being those in the form of Export Duties or Export Quotas.

Must ReadView All

Textiles minister Smriti Irani at a press conference with minister of state for textiles, Ajay Tamta, the principal director general (M&C), PIB, AP Frank Noronha and other dignitaries. Courtesy: PIB

Apparel/Garments | On 23rd May 2017

Special package for knitwear coming soon: Irani

Union textiles minister Smriti Irani said that the government of...

Apparel/Garments | On 23rd May 2017

Apparel, footwear use may rise by 63% in 2030: Report

The apparel and footwear consumption is projected to rise by 63 per...

Apparel/Garments | On 23rd May 2017

Gap Inc earns $3.4 bn in net sales in Q1 FY17

Gap Inc's net sales for the first quarter of fiscal year 2017 were...

Interviews View All

Sanjay Yagnik
Maa Tex Speciality

‘We suggest reducing dosage of sizing chemicals to reduce sludge...

Sonia Agarwal
Whitenife

‘The terms eco-friendly and organic are common but everyone perceives them ...

Neel Sawhney
One Friday

‘The share of kidswear segment in the online sector is still small in...

Larry L Kinn
Suominen Corporation

Larry L Kinn, Senior Vice President - Operations Americas of Suominen...

Giorgio Mantovani
Corman S.p.A

Giorgio Mantovani, MD of Corman, with a presence in both Milano and New...

Eric Scholler
Groz-Beckert

The Indian market has huge potential in technical textiles, and by far,...

Silvia Venturini Fendi
Fendi s.r.l

"Yes, my confidence and positive attitude are my strengths and should be...

Tony Ward
Tony Ward

"You have to truly understand what your client wants, know her needs, what ...

Sanjukta Dutta
Sanjukta's Studio

<b>Sanjukta Dutta</b> creates unique garments by clubbing prints of...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


editorial@fibre2fashion.com

Letter To Editor






(Max. 8000 char.)

Search Companies





SEARCH

news category


Related Categories:
May 2017

May 2017

Subscribe today and get the latest update on Textiles, Fashion, Apparel and so on.

SUBSCRIBE


Browse Our Archives

GO


E-News Insight
Subscribe Today and Get the
Latest News Update in Your Mail Box.
Advanced Search