India launches first domestically built EXIM container
Sun. 5th July 2026 (Source: www.fibre2fashion.com/news)
Insights:
India has unveiled its first domestically manufactured export-import shipping container for AP Moller-Maersk, marking a step towards strengthening local logistics and export supply chains.
Maersk also ordered 1,000 more India-made containers from DCM Shriram Group.
Backed by the Container Manufacturing Promotion Scheme, India aims to expand annual production capacity to 7,50,000 TEUs.
India has unveiled the first export-import (EXIM) shipping container manufactured in the country for AP Moller–Maersk, a development that could broaden local equipment sourcing for export supply chains, including textiles and apparel.
The Minister of Ports, Shipping and Waterways Sarbananda Sonowal unveiled the container at the Maersk-CONCOR Inland Container Depot in Dadri, Uttar Pradesh.
At the event, Maersk placed an order for 1,000 additional India-manufactured shipping containers with DCM Shriram Group. The first container has been produced to internationally accepted quality and safety norms, including ISO specifications and the International Convention for Safe Containers, making it suitable for global deployment, The Ministry of Ports, Shipping and Waterways said in a press release.
The rollout followed Prime Minister Narendra Modi's interaction with Robert Maersk Uggla, chairman of the supervisory board of AP Moller-Maersk, in February 2025, when the company was encouraged to support container manufacturing in India.
The government said the first container was delivered within 16 months of that interaction.
Sonowal said the milestone reflected rising confidence in India's manufacturing capabilities and its maritime infrastructure plans.
The release also cited the Container Manufacturing Promotion Scheme framework announced in the Union Budget 2026, which is aimed at reducing dependence on imported containers and supporting domestic capacity through capital assistance, operational support, research, testing, skilling and capacity building.
Sonowal added that the scheme envisages a tenfold increase in annual manufacturing capacity to 7,50,000 Twenty-foot Equivalent Units (TEUs).
Why countries are increasingly settling trade in local currencies.
Sun. 5th July 2026 (Source: www.fibre2fashion.com/news)
Insights:
A growing number of economies seem to be exploring local-currency trade to lower transaction costs, limit exchange-rate risks, protect foreign-exchange reserves, and boost financial resilience.
Indonesia-China and India-Sri Lanka are expanding such initiatives to strengthen financial resilience, conserve foreign exchange reserves and support more efficient cross-border payments.
For decades, the US dollar has dominated global trade, serving as the preferred currency for settling international transactions. However, a growing number of countries seem to be now trying to reduce their dependence on the greenback by increasingly settling bilateral trade and investment in their own national currencies.
The trend is driven by a combination of economic and strategic considerations, including the desire to lower transaction costs, minimise exchange rate risks, ease pressure on foreign exchange reserves, and build greater resilience against global financial disruptions.
One of the latest examples of this shift comes from Indonesia and China, which are reportedly expanding the use of their Local Currency Transaction (LCT) framework to conduct cross-border trade and investment using the Indonesian rupiah and the Chinese renminbi instead of the US dollar.
According to recent media reports, transactions under the LCT scheme reached nearly $13 billion in the first four months of this year, marking a sharp acceleration from the $18 billion recorded for all of last year.
The Governor of Bank Indonesia has reportedly stated that settling trade and investment transactions in rupiah and renminbi substantially reduces reliance on the US dollar. To further strengthen this arrangement, the Governor reportedly met with his counterpart at the People’s Bank of China to explore expanding the existing Bilateral Currency Swap Agreement (BCSA).
Such agreements allow central banks to exchange their respective currencies up to an agreed limit, ensuring adequate liquidity for trade settlements while reducing dependence on external reserve currencies.
A similar push is also reportedly gathering momentum in South Asia. As per media reports, India has called for greater use of the Indian Rupee and the Sri Lankan Rupee in bilateral trade, arguing that such a transition would benefit both economies.
Addressing a recent roundtable in Colombo titled “Rupee to Rupee: Strengthening the India-Sri Lanka Commercial Corridor,” the Indian High Commissioner reportedly observed that despite their deep commercial ties, the two neighbours continue to conduct most of their trade in US dollars. This, he noted, exposes exporters and importers on both sides to avoidable currency fluctuations, conversion costs, and dependence on a third-country currency that neither nation controls.
The High Commissioner further reportedly argued that greater use of local currencies would help Sri Lanka conserve its precious foreign exchange reserves by reducing the demand for US dollars, allowing scarce hard currency to be prioritised for essential imports and other critical external obligations.
At a time when global markets are increasingly vulnerable to geopolitical tensions, supply chain disruptions, and financial volatility, reducing reliance on a single dominant currency seems to be emerging as a prudent risk management strategy.
India's Tamil Nadu textile sector seeks clean energy policy support
Mon. 6th July 2026 (Source: www.fibre2fashion.com/news)
Insights:
Tamil Nadu's textile industry has urged the state government to support renewable energy adoption through reforms such as annual wind power banking, solar power adjustments, and open-access incentives.
The sector says lower power costs are vital to improving competitiveness, while the government has assured consideration of the proposals.
Indian state Tamil Nadu's textile industry is accelerating its shift towards clean energy as manufacturers seek to reduce power costs and improve supply reliability, while urging the state government to introduce policy measures that support renewable energy adoption.
At an industry meeting convened by the Southern India Mills' Association (SIMA) with Tamil Nadu Industries Minister S Keerthana, textile associations representing the entire value chain outlined a series of demands aimed at lowering electricity costs and strengthening the state's competitiveness under the Tamil Nadu Vision 2035 initiative.
The industry, which accounts for around one-third of India's textile business, said rising power costs have become a major challenge, particularly as Tamil Nadu produces only 3-4 per cent of its cotton requirement and lacks man-made fibre manufacturing capacity. Industry representatives highlighted renewable energy as a key strategy to offset these structural disadvantages.
Among the key demands, the industry sought restoration of annual banking facilities for captive windmills commissioned after 2018, allowing surplus electricity generated during the windy season to be carried forward and utilised during periods of lower generation. It also requested that excess solar power generated during daytime be adjusted against electricity consumed between 10 pm and 6 am, withdrawal of network charges on rooftop solar installations, and exemption of open-access renewable power from cross-subsidy and additional surcharges for ten years on new investments.
Other proposals included freezing demand charges at the current ₹608 per kVA per month for three years, waiving penal interest on pending deemed demand charges, and developing a long-term, cost-effective solution for textile effluent treatment.
The minister assured the industry that its proposals would be taken up with the state Chief Minister C Joseph Vijay and acknowledged the urgency of addressing power-related issues, particularly for the textile processing segment. She also indicated that the government would consider establishing a Policy Advocacy Committee comprising key industry stakeholders to improve ease of doing business and facilitate timely policy intervention.
Bt Cotton Acreage Falls by 15,000 Hectares in Hanumangarh Amid Pink Bollworm Threat
Mon. 6th July 2026, yash chouhan (Source: www.smartinfoindia.com)
Bt cotton sowing in Hanumangarh district has decreased by approximately 15,000 hectares this Kharif season compared to the previous year. According to the Agriculture Department, Bt cotton was sown across 132,582 hectares in the district by June 29, whereas the figure stood at 147,585 hectares during the same period last year.
Farmers have reduced the cotton acreage this time due to the escalating infestation of pink bollworm over the past three years and the losses incurred last year.
Conversely, the area under crops such as moong (green gram), paddy, guar (cluster bean), and other Kharif crops is likely to increase. Sowing for these crops is currently underway, and final figures will be released soon.
Typically, Bt cotton is cultivated on approximately 150,000 hectares in Hanumangarh annually. Despite the reduction in acreage this season, the Agriculture Department is continuously raising awareness among farmers regarding better crop management and protection against the pink bollworm. Through workshops and advisories, the department had advised farmers against early sowing. Farmers were urged to begin sowing in May so that flowering across most fields would occur simultaneously, thereby disrupting the pink bollworm's life cycle by July. However, some farmers proceeded with sowing before May using tubewell irrigation, creating a risk of pest infestation in those fields.
Dr. Sanjeev Bhadu, Assistant Director of Agriculture (Extension), stated that the acreage under Bt cotton is lower this year compared to the previous year, whereas the area under other Kharif crops is likely to increase. He urged farmers to undertake regular monitoring, use pheromone traps, and follow the department's scientific advice to minimize damage caused by the pink bollworm and achieve better yields.
Kharif Sowing Slow in Karnataka as Cotton Acreage Surges Despite Rainfall Deficit
Mon. 6th July 2026, yash chouhan (Source: www.smartinfoindia.com)
Kharif Sowing Sluggish in Karnataka, but Cotton Sowing Picks Up Pace
Kharif season sowing in Karnataka has remained slower than expected this year. According to Agriculture Department data up to July 3, sowing has been completed on 36.5 lakh hectares against a target of 84.1 lakh hectares—approximately 43% of the total target. While this is about 28% lower than the corresponding period last year, it stands at roughly 94% of the five-year average.
The primary reasons for the delay in sowing are the late arrival of the monsoon and below-normal rainfall in several parts of the state. This has most significantly impacted cereal and pulse crops, whereas sowing of cotton and other cash crops has accelerated in irrigated areas.
District-wise data reveals that Chikkaballapur has covered only 9% of its normal sowing area. Sowing also lags significantly in districts like Bengaluru Rural (24%) and Kolar. Conversely, the situation is better in the irrigated regions of North Karnataka. Raichur leads the pack at 157% of its normal area, while Yadgir, Haveri, Dharwad, and Gadag have also recorded sowing levels above normal.
In terms of crop-specific status, cereal sowing has reached only 27% of the target, and pulse sowing stands at 44%. Maize sowing has fared relatively better, reaching 86% of normal levels. Among oilseeds, sunflower sowing is at 130% of the five-year average, whereas groundnut continues to lag behind normal levels.
Commercial crops have shown the best performance; sowing has reached 121% of normal levels, with cotton sowing recorded at 141% of the five-year average. This indicates that amidst rainfall uncertainty, farmers are prioritizing cash crops where irrigation facilities are available. Weather experts believe that if rainfall remains below normal in July as well, pressure on Kharif crops in the state could increase, and there is a risk of drought-like conditions developing in several areas.
Rupee Opens Lower at 95.23 Against Dollar
Mon. 6th July 2026, yash chouhan (Source: www.smartinfoindia.com)
The rupee opened lower at 95.23 per dollar.
On Monday, the Indian rupee opened 2 paise lower at 95.23 against the dollar, whereas it had closed at 95.21 on Friday.
The Sensex was up 232.14 points or 0.30 percent at 77,996.05, and the Nifty was up 65.70 points or 0.27 percent at 24,336.55. About 1486 shares advanced, 1065 shares declined, and 234 shares unchanged.
OPEC+ seven approve August 2026 oil output increase
Mon. 6th July 2026 (Source: www.fibre2fashion.com/news)
Insights:
Seven OPEC+ countries will make a 188,000 barrels-per-day production adjustment in August 2026 after reviewing global market conditions.
The move is framed as support for oil market stability, a market signal for textile firms tracking energy and petrochemical-linked inputs.
Monthly reviews will continue, with the next meeting set for August 2, 2026.
Seven Organization of the Petroleum Exporting Countries (OPEC+) countries have agreed an August 2026 oil production adjustment after a virtual review of global market conditions and outlook, keeping oil market stability in focus for textile, apparel and sourcing businesses that track energy and petrochemical-linked input signals.
The participants are Saudi Arabia, Russia, Iraq, Kuwait, Kazakhstan, Algeria and Oman. The decision follows their earlier additional voluntary adjustments announced in April and November 2023, with the latest measure coming from the April 2023 adjustments, OPEC said in a press release.
These countries decided to implement a production adjustment of 188,000 barrels per day from the additional voluntary adjustments announced in April 2023. The adjustment is planned for August 2026, while the April 2023 voluntary adjustments may be returned in part or in full, gradually, depending on market conditions.
The organisation said the participants reaffirmed a cautious approach and full flexibility to increase, pause or reverse the phase-out of voluntary production adjustments, including reversing previously implemented voluntary adjustments announced in November 2023. It also said the measure would give participating countries an opportunity to accelerate compensation.
The seven countries reiterated commitment to full conformity with the Declaration of Cooperation, with the additional voluntary production adjustments to be monitored by the Joint Ministerial Monitoring Committee (JMMC). They also confirmed an intention to fully compensate for any overproduced volume since January 2024, and will hold monthly meetings, with the next meeting scheduled for August 2, 2026.
China's logistics index climbs to 50.6% in June 2026
Mon. 6th July 2026 (Source: www.fibre2fashion.com/news)
Insights:
China's logistics business activity index rose to 50.6 per cent in June 2026, up 0.3 percentage points from May.
Nine of 12 sub-indices stayed above the boom-and-bust line, while business volume and new orders rose for another month.
Stable consumer logistics and stronger manufacturing demand matter for sourcing, wholesale, retail-chain and supermarket supply planning.
China’s logistics sector remained in expansion in June 2026, with the logistics business activity index rising to 50.6 per cent, up 0.3 percentage points from May, according to data released by the China Federation of Logistics and Purchasing.
Of the 12 sub-indices tracked, nine stayed above the boom-and-bust line, while the business volume index and the new orders index both posted consecutive month-on-month gains, as per the data.
The federation said manufacturing logistics demand in China continued to move steadily upward, with support from sectors including electronic and mechanical equipment, telecommunications equipment, transportation equipment and energy-saving home appliances.
Consumer-related logistics demand was also stable in June, as holiday spending lifted activity across wholesale trade, retail chains and supermarkets.
The latest readings provide sourcing and supply-chain teams with a current signal on China’s logistics conditions, particularly for order planning, wholesale distribution and retail replenishment linked to the country’s manufacturing and consumer-goods channels.
For textile and apparel exporters, importers, manufacturers and retail sourcing teams using China-linked supply chains, the data indicates a firmer operating environment for domestic logistics
Bangladesh Bank keeps export cash incentives unchanged for FY27
Sun. 6th July 2026 (Source: www.fibre2fashion.com/news)
Insights:
Bangladesh Bank recently announced the continuation of the export cash incentive scheme for FY27, July-June), while keeping the sector coverage and incentive rates unchanged from FY26.
The decision is expected to sustain export momentum, support export diversification into non-traditional sectors, and offer stability to exporters at a time of shifting global demand and cost pressures.
Bangladesh Bank recently announced the continuation of the export cash incentive scheme for fiscal 2026-27 (FY27, July-June), while keeping the sector coverage and incentive rates unchanged from the previous fiscal.
The decision is expected to sustain export momentum, support export diversification into non-traditional sectors, and offer stability to exporters at a time of shifting global demand and cost pressures, according to domestic media reports.
A latest circular by the central bank said cash incentives will be available for 43 specified export items, with rates ranging from 0.30 per cent to 10 per cent. The item-wise rates are identical to those of the previous fiscal.
All conditions, eligibility criteria and operational procedures governing the disbursement of incentives will remain unchanged.
Authorised dealers (ADs) have been instructed to scrutinise applications, ensure proper verification and process payments in line with the prevailing guidelines.
By retaining the same rates, Bangladesh Bank aims to sustain export momentum, support diversification into non-traditional sectors, and ensure a predictable policy environment without imposing additional fiscal strain.
