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Gujarat has shown how the dreaded insect pest can be controlled through coordinated efforts of all stakeholders in the cotton value chain.
2017 witnessed pink bollworm (PBW) attacks on cotton, especially in Maharashtra and also in Telangana, Andhra Pradesh and Karnataka. The infestation of this insect pest — whose larvae bore into cotton bolls through the lint fibre to feed on the seeds — happened during October, just when the crop was maturing and almost ready for its first-flush pickings, and further aggravated by unseasonal rains at that point.
The unfortunate part about this time’s PBW outbreak in Maharashtra was that farmers there had planted a record 42 lakh-plus hectares under cotton, encouraged by the previous year’s remunerative realisations. There have been many misleading reports since then, linking the infestation to Bt cotton technology. This article seeks to highlight the real reasons behind the PBW menace and possible solutions to address the same.
A major cause of bollworm attacks is the absence of crop rotation. Continuous planting of cotton year after year encourages breeding of the pest. The situation has been made worse this year, with around 15 per cent cotton area in Maharashtra sown under herbicide-tolerant hybrids not approved for commercial cultivation. Even with regard to approved F1 hybrids not containing the herbicide-tolerance gene, there are many cases of fly-by-night operators simply multiplying their F-2 seeds and selling these as Bt.
Complicating all this has been the large number of hybrids – over a thousand – of different durations with varying flowering and fruiting periods, ensuring continuous food availability to pests. Particularly dangerous is the practice of extending the cotton plant’s life cycle beyond January-February, to allow more flushes, by giving protective irrigation. The pest cycle does not get broken as a result. Also, since the Bt toxin levels are diluted beyond 120 days, the long-duration crop is more likely to succumb to pest multiplication.
One way to reduce pest susceptibility is to plant non-Bt cotton as “refugia” in the vicinity of the main Bt crop. But farmers, especially with small holdings, don’t want to lose land in growing non-Bt plants that can act as hosts for the bollworm insects. It is important to note here that PBW exclusively feed on cotton, unlike other bollworm insect species that also attack other crops such as pigeon-pea, sorghum and sunflower. Without cultivating non-Bt cotton as refugia, PBW is bound to develop resistance to Bt toxins over time, as has happened in Maharashtra. Incidentally, Gujarat, too, reported significant incidence of the pest in 2015 and 2016. But thanks to concerted efforts at crop management by farmers, government agencies and seed companies, the state has registered no major outbreak during this season.
It should be possible for stakeholders across the cotton value chain in Maharashtra also to undertake a similar coordinated campaign, involving continuous field monitoring as well as pre-cultivation and post-harvest stage measures. Cotton is sown in June-July after the onset of the monsoon. There is need to ensure that the previous crop is not just terminated by end-January or mid-February, but also its stalks be utilised for pellet making, fuel briquettes and other purposes. Given this year’s severe PBW outbreak, all fields must be given two deep ploughings in the coming summer, so as to destroy all crop residues and obtain the advantages of natural soil solarisation. This should be supplemented by installation of light/pheromone traps near cotton godowns, ginneries and market yards to attract post-season moths.
Further, it is necessary to discourage farmers from sowing any pre-monsoon crop, while allowing only recommended hybrids/varieties from companies with established R&D facilities — which can vouch for the trait purity of the Bt cotton being supplied — to be grown. Also, these should ideally be of 140-160 days duration and resistant to sucking pests. Planting of non-Bt cotton as refugia can be enforced by supplying these seeds not separately, but in the same bags that contain Bt seeds. The refugia-in-bags concept has already been tested for efficacy and must be permitted in the ensuing kharif season.
Field monitoring should involve installation of pheromone traps. The application of insecticides and Trichogramma or Bracon biocontrol agents could be initiated once the economic threshold level (ETL) of around 24 moths per trap is observed. For the first 80 days of the crop, no synthetic pyrethroid should be sprayed. Insecticides such as quinalphos or thiodicarb may be used in the early crop growth stages at the rate of 20ml and 20g per 10 litre of water, respectively. If the ETL is crossed during October-November, then chlorpyrifos (20 per cent emulsifiable concentrate) can be sprayed at 25ml or thiodicarb (74 per cent wettable powder) at 20g per 10 litre of water. No growth-promoting chemicals or even urea should be applied during the crop’s grand growth phase to prevent greenness and succulence of foliage that attracts the pest. Only when the crop has grown beyond 120 days towards November-December and pest incidence has crossed ETL should pyrethroids — fenvalerate (20 per cent EC) or cypermethrin (10 per cent EC) at 10ml per 10 litres of water — be used.
The development of resistance breakdown of Bt cotton to PBW is, no doubt, cause for concern. But it only underscores the importance of a long-term policy framework that supports research and allows new farm technologies into the market. Bt technology significantly transformed the fortunes of the cotton value chain. The experience of the last 15 years (2002-17) is testimony to its adoption even by small and marginal farmers. At its peak, Bt cotton was planted on 117 lakh hectares or a whopping 92 per cent of the country’s total area under the crop.
Any technology, though, gets obsolete with time and requiring replacement, including with upgraded versions. The second generation BG-II Bt cotton was introduced in India in 2006, four years after commercialisation of the original Bollgard technology. Isn’t it strange that the last 15 years has seen just one technology with an upgraded version being commercialised in the agri-biotech field? Bt cotton, moreover, targeted specific pests – namely, insects of the heliothis species. Just as pesticide sprays against cockroaches cannot really be effective on bugs or flies, the same applies to Bt technology vis-à-vis PBW or sucking insects.
While there’s no alternative to continuous focus on research and long-term policies supportive of new technologies with science-based evaluation (as opposed to ideology), the threat posed by PBW can be tackled in the short term through sustained campaign focusing on breaking the life cycle of the pest. The various measures suggested above should enable managing the pest problem, at least in the coming season or two.
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Eyes 60% growth in retailing business from the city next fiscal
The Future Group has been exploring opportunities to invest on a facility for readymade garments in Telangana.
“We are looking at how can we get into garmenting facilities here in Telangana,” Future Group CEO Biyani said.
The Group, whose core activity is retail, is in talks with the State government. It is, however, early to discuss the investment and other details of the project, sources in the company added. Mr. Biyani was interacting with the presspersons at the launch of Golden Harvest Sona Masoori rice by Group’s FMCG firm Future Consumer Ltd.
On the occasion, a television commercial for the new product made by actor Rana Daggubati was unveiled. The FMCG firm already has a host of other products under the Rs. 1,200-crore Golden Harvest brand, a list that comprises staples, spices, and dry fruits.
The Sona Masoori rice, its new addition, is available in six variants and expected to generate Rs. 250 crore revenue in the next fiscal. While the rice would be marketed under the Golden Harvest in south India, the company intends to take the same under Shubhra brand to the rest of the country, especially the parts where Basmati rice is preferred.
To queries on the Group revenues, he said it would be around Rs. 30,000 crore this fiscal and expected to grow to Rs. 40,000 crore the next financial year. By 2021, the Group is eying revenues of Rs. 1 lakh crore.
Hyderabad, he said, was expected to remain a major market for Future Group, already contributing to Rs. 2,500-crore revenues. It is expected to increase to Rs. 4,000 crore in 2018-19. On his experience as an ad maker, Mr. Daggubati said, “The TVC will always be special because it brought me back into telling short form content… any story on food and family is always fun to tell.”
The Goods & Services Tax (GST), the biggest tax reform independent India has seen, was unrolled with an aim to be the game-changer for the economy. But the promise of bringing the entire country under one tax regime in a single swoop has been quite a task. No wonder, the economy has had a few hiccups this fiscal year, which will be reflected in this year’s budget. So, let’s see how GST can have an impact on the last budget before the country gears up for national elections next year:
Revenue
The GST collections are yet to meet the expectations set by the government. In fact, the collections are declining. Although, the first few months of GST collections were sprightly, the numbers have been in a freefall since November. The January collection is also expected to be muted, but analysts reckon that it will stabilise over the medium-term.
So, if you look at it from Budget 2018’s point of view, the government revenues will surely be dented to a certain extent. This means the last full budget before national elections may not be as people-friendly as most people expect it to be. The government will have little legroom to divert money in that case.
Fiscal deficit
Low GST collections will have an impact on the country’s fiscal deficit too. The government, for long, has wanted to achieve its fiscal deficit target of 3.2%, but a loss in revenues may hobble all efforts. Such a scenario can result in spending cuts too. That’s because the government may try to rein in its spending in order to meet their fiscal deficit target.
Cess
State governments abolished many taxes post the implementation of the GST. Therefore, the central government compensates all state governments for the revenue loss. Therefore, the GST collections do matter a lot. This is why the government could hike the cess on certain items or impose a new cess in the budget to meet its revenue shortfall.
To sum up
This year’s budget may show GST in poor light, but most analysts reckon that the problems will be overcome over the medium-term. However, this year’s budget may be a party pooper for people who are expecting the moon.
Tamil Nadu Government’s chain of outlets to sell handloom products, LoomWorld, has tied up with Amazon India to sell its handloom products.
An official of LoomWorld told The Hindu that it was already selling products worth Rs. 25 lakh a year. “LoomWorld started direct online sales in January 2016. The response was tepid in the initial months but picked up last year. On an average, our direct online sales a month is for about Rs. 2 lakh,” the official said. The outlets are present in Coimbatore, Chennai, Madurai, Erode, Kancheepuram, etc.
On Amazon, LoomWorld will initially sell cotton saris in the domestic market. As demand picks up it will offer silk saris and furnishings too. Amazon has similar tie-ups with some of the other State handloom agencies too.
At the launch, O.S. Manian, Minister for Handlooms and Textiles, Tamil Nadu, said the State has some of the finest hand woven products which have always found resonance with shoppers across the country, a press release from Amazon said. This launch will have a positive impact on the lives of the weavers and artisans from Tamil Nadu by providing them easy access to new markets. It will enable local weavers associated with LoomWorld to showcase their craftsmanship across the country, the official added.
The FDI inflow from the island nation was at USD 84.74 million in the fiscal 2006-07, the report titled ‘India Japan Roadmap Towards Realising Vision 2025’ said.
The FDI inflow from the island nation was at USD 84.74 million in the fiscal 2006-07, the report titled ‘India Japan Roadmap Towards Realising Vision 2025’ said.
Japanese investments into India have risen manifold in the last ten years to reach USD 4,709 million in FY2017, says a Ficci report.
The FDI inflow from the island nation was at USD 84.74 million in the fiscal 2006-07, the report titled ‘India Japan Roadmap Towards Realising Vision 2025’ said.
The report was released here today in the presence of Japanese ambassador to India Kenji Hiramatsu, India-Japan Business Cooperation Committee (IJBCC) Chairman Onkar S Kanwar, Ficci Secretary General Sanjaya Baru and other delegates from both the sides.
Hiramatsu said the growth potential lies with the sectors like textile, infrastructure and medical in India.
“There are about 1,309 Japanese companies in India and number is growing steadily. It will grow in the years to come,” the ambassador told PTI on the sidelines of the event.
He further said that he would like to congratulate the Indian government for “reforming the Indian economy (with legislation) like GST but we need to have more improvement of infrastructure”.
However, situations are improving and more and more companies are interested in doing business in this country because of the improvements and there is a lot more to come in the future, he added.
Talking about the Japanese investment in the future, Kanwar said the amount is expected to double by the year 2025.
The engineering exporters from the northern region hope that the Union Budget will entail decisive fiscal steps to boost the exports that have been hit after the demonetisation and GST.
The engineering exports from the region are dominated by the SMEs. Across the country, 40% of engineering exports come from the MSME sector. The engineering industry comprises hand tools, agriculture equipment, auto parts, casting and forgings, cycle parts and textile equipment etc. The total turnover of engineering exports from the region is around Rs 25,000-Rs 30,000 crore. The industry, which is already grappling with high steel prices, has the following demands:
Faster GST refund
“The exporters need special attention, especially after the implementation of GST. A significant portion of the exporters’ working capital is waiting for refund from the Centre. This is one of the factors which are affecting the competitive edge of exports. So, the government should evolve a mechanism so that the exporters’ refunds can be expedited,” said SC Ralhan, a hand tool exporter from Ludhiana.
Freight subsidy
The exporters have to spend a significant amount on transportation of goods — first to import the raw material and then to export the finished goods. Being a land-locked state, they have to bear huge transportation charges which are being absorbed in the export pricing, leading to losing out business as compared to their competitors. “The Centre should consider providing transport/freight subsidy and enable the exporters from the hinterland to compete with their counterparts in the coastal states and other countries,” said Ashwani Kohli, senior vice-president, Punjab Chamber of Small Exporters.
Curb rising steel prices
Upkar Singh Ahuja, president, Chamber of Industrial and Commercial Undertaking, said the daily increase in the prices of steel is hitting the MSME units manufacturing auto parts, bicycles and its parts, sewing machines, electrical machinery, textile machinery, fasteners, hand tools and other products. Industries are cutting down their production due to uncertainty in steel prices. He said the steel prices have seen an increase of 35% during the past one year.
The chamber is planning to take a delegation to meet Union Finance Minister, Steel Minister and Secretary, Steels, for intervention into the matter. The industry demands that since the export of prime steel doesn’t add additional value, it should be discouraged and banned. The chamber apprehends that this will keep the prices in control.
Impetus to marketing
According to the Federation of Indian Exporters, the government should give impetus to marketing through tax deductions. Many countries have become extremely aggressive to push their exports. “Unfortunately, we have very meagre allocation for Market Access Initiative (MAI) Scheme which supports export marketing,” said a senior official in the FIEO. The FIEO has proposed the creation of an Export Development Fund to the tune of at least 0.5% of total exports to support export marketing. Alternatively, the government may provide 100% tax deduction on the expenditure incurred by the exporters for overseas marketing. Such a move will help showcasing the Indian products overseas.
Ahead of the NIFT’s international conference, seasoned fashion commentator Narendra Kumar talks about how fashion is becoming our cultural ambassador on the global stage
Even as we see a sustained shift in focus of fashion designers towards a more responsible attitude towards the fashion environment in the country, a lot needs to be done to stitch concepts like sustainability and value of indigenous crafts in the mindset of emerging designers. Keeping this in mind, National Institute of Fashion Technology is holding a three-day international conference in New Delhi on ‘Rediscovering Culture: Transforming Fashion’ where seasoned designer and fashion commentator Narendra Kumar will share his vision on how technology is playing a vital role in identifying craftspersons from across the country. An alumnus of NIFT, Kumar, who is the creative director of Amazon India, says, “This is a first big step in identifying a way to address the changing climate of fashion by creating an inclusive and self sustainable environment.”
Excerpts:
On rediscovering culture through fashion
Every state of fashion goes through a cycle. In late 1990s, the government run textile emporiums were there but the onslaught of brands took away that novelty. Everybody wanted a global feel as they felt wearing international clothes would make them global citizens. But things are changing slowly as India is becoming a larger, stable economy. There is a growing sense of confidence within the country about Indianness, which marries the contemporary global aspirations and what India means. It is not about rediscovering; it is a journey which every culture goes through.
On the idea of sustainability in fashion
It has lot of implications. The good thing is that there are a number of local textiles which are suddenly getting lot of visibility. It is also creating sustainability for Indian crafts and Indian craftspersons; there is a large sector in India that does this. Even international brands Zara are also looking at creating sustainable stuff. If you see trends in fashion over the past few years, lot of younger Indian designers are emerging and they are working with indigenous textiles and are showcasing their work abroad. And they are being recognised for that. All this is significant as designers are reorienting themselves and not looking at everything being driven by Western brands.
On the impact of Make in India campaign
Make in India has played a big role in giving us bigger visibility. It has created consciousness about our textiles. There is also a sociological dimension. We are now proud of our heritage. It is part of our evolution that we are confident about carrying our roots to the global stage. Earlier, it was carried through the medium of dance. Today our heritage is being conveyed through fashion. Fashion is a big conveyor of sensibilities across the globe.
On the conference’s focus on craftspersons
We are creating so much due to a multitude of crafts available across the country. They suit our body types. A special online store on handicrafts has been created which will work with designers to create new age products. So it is not just talk; you can actually see it happen.
Technology will help take innovations to remote regions. Our skilled artisans are not technologically savvy so we need interventions. Technology will enable them to take their crafts to new markets. NIFT students are working with those working in handicrafts.
On the role of NIFT
It has evolved in many ways and has contributed to the industry. Every brand has NIFT students working at different levels. At one point, the government was thinking of shutting it down as it had become elitist but today it has become a place which contributes to such a large extent towards the Indian economy. Like the craze for the IITs, IIMs in 1990s, today NIFT is the go to place because lifestyle sector has become much more important than it was 20 years ago.
However, it needs to create more entrepreneurs. This is a challenge for the future. It needs to make necessary changes in its curriculum. Where it stands out is that it is not running for profit but providing a platform for students to excel but I think they need deeper integration.
New dimension
Harmeet Bajaj, former professor and founder of fashion communication course at NIFT, who was in conversation with NIFT faculty, at a curtain raiser to NIFT’s upcoming International Conference, says the mega event will be one of its kind. would be one of its kind.
On the relevance of upcoming international conference, Harmeet says: “With the change in government policies over time, today we have access to all leading fashion brands in the world. Everything is available almost at our doorstep. A lot of brands are manufactured in India, exported, branded and brought back for consumption here.” Bajaj says for years we have been a manufacturing nation. “But now with trained designers we are in the process of creating brands. It is essential we go back to our culture and establish an identity which is unique. The process has started with designers like Manish Arora, Sabyasachi Mukherjee and Rahul Mishra. Their creations compete in the international market but have an Indian accent, reflective of our culture.”
On the metamorphosis of NIFT and fresh challenges it faces, she says: “Fashion industry has grown exponentially over the last 30 years. This has necessitated training of people for the diverse job requirements in the industry. Today NIFT is the leader in offering courses that cater to the fast changing industry. Design across various genres, merchandising, marketing, communication and technology are blended to create the wholesome professional for the industry. The challenge lies in catering to some of the centres where availability of good faculty is difficult.”
On fashion students being encouraged to make use of traditional embroideries and craft techniques, Harmeet says it needs to be done as an essential prerequisite. “Embroideries and craft techniques is our history, our culture that defined luxury. almost 5000 years ago. Even today it inspires leading designers all over the world. It should be an integral part of any design course. Its application should be not only at couture level but also at the fast fashion level. That’s what international brands come to us for.”
On the yardstick of selecting an institute which provides a platform for budding designers to get a foothold in fashion, she says: “We need to look at the following alumni and their profile in the industry, infrastructure- physical and faculty, industry relations and opportunities for experiential learning for students and collaborations.”
On the monopoly of designers in India over every fashion week, Harmeet says: “Yes presently the councils and associations managing fashion weeks are biased towards the senior designers. There is limited opportunity for young designers. However organisations like Woolmark are offering international platforms. Design competitions could offer opportunities to the younger designers.”
India has the potential to become a one-stop sourcing destination for brands and retailers from Asean, said textile minister Smriti Irani at an event on Tuesday. Opportunities exist for textile manufacturers from the 10-nation bloc to invest in India and cater to the domestic market as well as exports, the minister added.
Irani, who was addressing a seminar on ‘India-Asean weaving textile relations’, said India has strengths in production and exports of almost all kinds of textiles and apparel including all handloom and handicraft products that demonstrate the unique skills of the country’s weavers and artisans.
“In the year 2016, India exported textiles and apparel worth $1,203 million to Asean and imported textiles and apparel worth $546 million from Asean,” Irani said, adding that this was just a testimonial to the way forward. “With ability to produce a diverse range of products, India has the potential to become the one-stop sourcing destination for brands and retailers of Asean nations,” the minister said.
“I am hopeful that this is just one of the many areas where we can participate and leverage our strengths,” Irani observed. Earlier during his address, textiles secretary Anant Kumar Singh said India was strong and competitive across the entire value chain starting from raw materials to finished products. He added, “Though India has the unique advantage of having the presence of the entire textile value chain, its most exported items to Asean consisting of cotton fibre, cotton yarn and fabrics have not grown to the desired extent. This makes it evident that we have not been able to explore and leverage the strengths of our textiles industry to the fullest.”
The textile and apparel sector of India is at an inflection point where the businesses are expecting good revenues in the coming months, says a recent survey. There is an overall positive sentiment as the economy has started to recover from twin shocks of demonetisation and goods and services tax (GST). The industry is optimistic about the future.
The economy and industry are getting accustomed to recent policy changes, says Business Confidence Index by Wazir Advisors authored by Varun Vaid and Manjulika Poddar. The index is an indicator of what businesses think is going to happen in the near future. The first of its kind biannual survey was carried out on 108 respondents in December 2017.
“More than half the respondents say that the industry’s current performance has been worse compared to the last six months. However, almost two-third of the respondents feel that conditions will be better in next six. The industry is expecting increased demand in the backdrop of an easing liquidity crunch,” the survey stated.
In general, there is a wait-and-watch sentiment in the industry. Though businesses are expecting good revenues in the coming months given the positive present and expected status of the order books, there is hesitation among businesses when it comes to investment, according to the survey.
Roughly 67 per cent of the respondents view increasing wages as the major constraint to business growth. This is followed by policy issues as 60 per cent view it as a major constraint. Polled equally, competition from cheap imports, low demand, rupee appreciation and rising raw material costs are cited by 47 per cent of the respondents as a key constraint. Unavailability of skilled labour is cited as a major challenge by 40 per cent of the respondents.
“However, both the central and state governments are working towards providing fiscal and non-fiscal incentives to boost growth in the industry. Many state governments are coming up with policies that not only provide direct fiscal benefits to businesses but also indirect support through infrastructure development and availability of plug-and-play systems among others. Even the central government is taking measures to boost investment and tradesuch as revision of GST rates on manmade fibres, rebate of state levies, duty drawback and merchandise exports from India scheme,” the survey pointed out.
Exporters have asked the government to expedite major infrastructure projects like Sagarmala, Bharatmala and the eastern and western dedicated rail-freight corridors to help improve India’s logistics facilities.
Citing inefficient freight movement, time taken for movement of trucks and road transportation being the preferred mode of transportation as the root causes of high logistics costs in India, they said high indirect costs of trade caused by undependable transportation and delays contribute to 38-47% of total transportation and logistics costs. India’s logistics and transportation costs are pegged at 14.4% of the GDP as against 8% of GDP in China. For exporters, unreliable lead times do not necessarily increase inventory for themselves, according to Federation of Indian Export Organisations (FIEO) and Confederation of Indian Industry (CII).
“But it does increase inventory for their customers or distributors abroad, making them less attractive as a sourcing partner and also their product less competitive,” the two industry bodies said in a study on export logistics in India. India’s cost to export stood at a $1,332 per container compared with $572 in Indonesia or $525 in Malaysia, as per the study. The commerce department had commissioned the study in April last year to study the status of logistics in India, the constraints it faces and the strategy to address these. The results of the study have come at a time when the newly-set up logistics division in the commerce department has kicked off an ambitious national logistics plan to allow seamless movement of inputs and finished goods across the country.
The study, which focuses on four sectors—auto, textiles, pharma and machinery—said complex customs regulations and non-uniformity in toll charges as regulatory bottlenecks. Due to the high importance of textiles in India’s exports and the foreign markets it services, the industry wants establishment of multi-modal infrastructure near textile manufacturing hubs. “Changing fuel price, correlated with freight charges, adds to the volatility in costs for textile industry, which is already subject to wide fluctuations in raw material and labour costs,” the study noted.
