A worker wearing a protective face mask works on a loom in a textile factory, amidst the coronavirus disease (Covid-19) outbreak, in Meerut, India.(REUTERS)
A worker wearing a protective face mask works on a loom in a textile factory, amidst the coronavirus disease (Covid-19) outbreak, in Meerut, India.(REUTERS)

Textiles industry to be stable in FY22, expected to touch pre-Covid level: ICRA

The recovery in the domestic textile sector, that picked up pace in Q3 FY2021, is likely to continue in the upcoming quarters, said ICRA.
PTI
PUBLISHED ON JAN 13, 2021 10:53 PM IST

Rating agency ICRA on Wednesday said the textile industry's performance will recover to pre-Covid levels in the next fiscal on account of boost in demands from domestic as well as export markets.

The agency assigned outlook for the sector as "stable" for FY2022.

The recovery in the domestic textile sector, that picked up pace in Q3 FY2021, is likely to continue in the upcoming quarters, said ICRA.

This will be supported by the opening up of economies and markets, improved consumer confidence levels and continued pick up in discretionary spending, it added.

Commenting on it, ICRA Senior VP & Group Head, Corporate Sector Ratings, Jayanta Roy said the textile sector appears to be on a firm footing with the worst of the pandemic impact behind us, and favourable progress on vaccination rollouts.

"As demand continues to normalise in domestic as well as export markets, we expect the textile sector performance to recover to pre-Covid levels in FY2022 at a broader level. Accordingly, ICRA’s textiles sector outlook for FY2022 is Stable," he said.

After witnessing a major setback in Q1 FY2021 following the Covid-19 pandemic and the ensuing lockdowns, the domestic textile sector started reporting a gradual recovery from Q2 FY2021 onwards.

This was supported by opening up of the markets and resumption of activity across the value chain.

"Based on an analysis for samples of large, listed players across segments, ICRA expects cotton spinning and apparel export segments to report relatively lower contraction in FY2021 vis-a-vis other segments (including fabrics and domestic apparels), considering higher dependence of these segments on exports," it said.

Similarly, the recovery is slated to be faster for these segments in FY2022.

"Revenues for the cotton spinning and the apparel export segments in FY2022 are likely to grow by 15-20 per cent, following a contraction in mid-teens, estimated for FY2021," it added.

While operating margins for spinners are likely to revert closer to pre-Covid levels, those for apparel exporters may remain marginally lower than the pre-Covid levels amid a competitive operating environment, wherein buyers could be expected to negotiate for steeper discounts.

"For fabric and domestic apparel categories, the revenue growth in FY2022 is projected at 30-35 per cent and 35-40 per cent, respectively, with these segments estimated to report steeper contraction vis-a-vis other segments in FY2021," it said.

SHARE THIS ARTICLE ON
app
Close
Reserve Bank of India (RBI) governor Shaktikanta Das also said that the current COVID-19 pandemic-related shock will place greater pressure on the balance sheets of banks in terms of non-performing assets, leading to erosion of capital.
Reserve Bank of India (RBI) governor Shaktikanta Das also said that the current COVID-19 pandemic-related shock will place greater pressure on the balance sheets of banks in terms of non-performing assets, leading to erosion of capital.

RBI policies helped ease severity of economic impact of Covid-19: RBI Guv

PTI, New Delhi
PUBLISHED ON JAN 16, 2021 02:50 PM IST
With the principal objective during the pandemic to support economic activity, Das said, "looking back, it is evident that our policies have helped in easing the severity of the economic impact of the pandemic".
Close
Reserve Bank of India (RBI) governor Shaktikanta Das also said that the current COVID-19 pandemic-related shock will place greater pressure on the balance sheets of banks in terms of non-performing assets, leading to erosion of capital.
Reserve Bank of India (RBI) governor Shaktikanta Das also said that the current COVID-19 pandemic-related shock will place greater pressure on the balance sheets of banks in terms of non-performing assets, leading to erosion of capital.

Open to examine proposal on bad banks: RBI governor Shaktikanta Das

ANI, New Delhi
PUBLISHED ON JAN 16, 2021 02:27 PM IST
Talking about the governance reforms Das said integrity and quality of governance are keys to good health and robustness of banks and non-banking financial companies (NBFCs).
Close
RBI Governor Shaktikanta Das addresses media conference, in Mumbai on Friday. (ANI Photo)
RBI Governor Shaktikanta Das addresses media conference, in Mumbai on Friday. (ANI Photo)

Need to support economic revival, financial stability: RBI Governor

PTI, Chennai
PUBLISHED ON JAN 16, 2021 02:23 PM IST
The regulated entities on their part need to strengthen their internal defences to identify emerging risks early and manage them effectively.
Close
RBI Governor Shaktikanta Das addresses media conference, in Mumbai on Friday. (ANI Photo)
RBI Governor Shaktikanta Das addresses media conference, in Mumbai on Friday. (ANI Photo)

Emerging markets need reserves as shock buffers, says RBI governor Das

Bloomberg
PUBLISHED ON JAN 16, 2021 01:03 PM IST
India’s rupee was Asia’s worst performer last year, as the central bank countered relentless foreign investment inflows with dollar purchases.
Close
Nomura said that in sync with the ongoing growth upcycle, the economy will enter a Goldilocks period in the coming months as inflation continues to moderate.(AP)
Nomura said that in sync with the ongoing growth upcycle, the economy will enter a Goldilocks period in the coming months as inflation continues to moderate.(AP)

Virus fears return to haunt markets

By Nasrin Sultana, Mumbai
PUBLISHED ON JAN 16, 2021 08:56 AM IST
The BSE Sensex fell 549.49 points, or 1.11%, to 49,034.67, while the Nifty shed 161.90 points to 14,433.70. Shares in other Asia-Pacific regions were mostly lower. South Korea’s Kospi fell the most at 2.03%, while Japan’s Nikkei shed 0.62% and the Topix index 0.89%.
Close
India’s third-largest software services company by revenue posted a profit of Rs.3,982 crore in the three months ended December 31, a 26.7% increase from the previous quarter,(Pradeep Gaur/Mint File Photo)
India’s third-largest software services company by revenue posted a profit of Rs.3,982 crore in the three months ended December 31, a 26.7% increase from the previous quarter,(Pradeep Gaur/Mint File Photo)

HCL Tech Dec qtr profit jumps 27% to Rs.3,982 crore

By Nandita Mathur, New Delhi
PUBLISHED ON JAN 16, 2021 08:55 AM IST
The strong performance prompted HCL Tech to lift its revenue forecast for the March quarter. It expects revenue during the quarter to grow 2-3% in constant currency terms, up from its previous estimate of 1.5-2.5%.
Close
Imports expanded 7.56% last month, the first time in 10 months, while exports grew 0.14%—leaving a trade deficit of $15.44 billion, according to data released by the commerce ministry on Friday.(Bloomberg)
Imports expanded 7.56% last month, the first time in 10 months, while exports grew 0.14%—leaving a trade deficit of $15.44 billion, according to data released by the commerce ministry on Friday.(Bloomberg)

India’s trade deficit at 25-month high in Dec

By HT Correspondent | Livemint, New Delhi
UPDATED ON JAN 16, 2021 04:33 AM IST
India’s merchandise trade had been weakening even before the pandemic hit the economy and external demand. Since March 2020, both exports and imports started declining in high double digits, even temporarily leading to a trade surplus in June for the first time in 18 years.
Close
Refunds issued are received within 20-45 days from the date of completion of processing of ITR by the Centralized Processing Centre (CPC).(HT FILE PHOTO )
Refunds issued are received within 20-45 days from the date of completion of processing of ITR by the Centralized Processing Centre (CPC).(HT FILE PHOTO )

How to check income tax refund status online. Read here

By hindustantimes.com | Edited by Shankhyaneel Sarkar, Hindustan Times, New Delhi
PUBLISHED ON JAN 15, 2021 11:37 PM IST
  • Income tax refund (ITR) status can be checked on the National Securities Depository Limited (NSDL) website as well as on the income tax department’s e-filing site.
Close
U.S. industry operated at 74.5per cent of capacity in December, still below the pre-pandemic rate of 76.9per cent in February.(Representative image)
U.S. industry operated at 74.5per cent of capacity in December, still below the pre-pandemic rate of 76.9per cent in February.(Representative image)

US industrial production jumps 1.6 per cent in December

AP
UPDATED ON JAN 15, 2021 11:19 PM IST
The December gain in industrial output followed a 0.5per cent increase in November and a 1 per cent increase in October, the Federal Reserve reported Friday.
Close
The Signal messaging app logo is seen on a smartphone.(REUTERS)
The Signal messaging app logo is seen on a smartphone.(REUTERS)

Messaging app Signal experiencing technical difficulties

Reuters
UPDATED ON JAN 15, 2021 10:48 PM IST
Signal has seen a rise in downloads following a controversial change in rival messaging app WhatsApp's privacy terms, which required WhatsApp users to share their data with both Facebook Inc and Instagram
Close
Bengaluru is also ranked sixth for the world’s tech venture capitalist (VC) investments, on a global list topped by Beijing and San Francisco, New York, Shanghai and London making up the top five.(PTI File)
Bengaluru is also ranked sixth for the world’s tech venture capitalist (VC) investments, on a global list topped by Beijing and San Francisco, New York, Shanghai and London making up the top five.(PTI File)

Bengaluru emerges as world’s fastest growing tech hub, London second: Report

PTI, London
PUBLISHED ON JAN 15, 2021 10:37 PM IST
The UK capital of London registered an impressive three times growth between 2016 and 2020, rising from USD 3.5 billion to USD 10.5 billion.
Close
The PIL said the ministries of commerce and finance control and regulate the export policies and decide as to under which Harmonized System (HS) Codes each good will be exported.(MINT ARCHIVE)
The PIL said the ministries of commerce and finance control and regulate the export policies and decide as to under which Harmonized System (HS) Codes each good will be exported.(MINT ARCHIVE)

SC asks Govt's, 61 firms' reply on PIL alleging duty evasion in iron ore exports

PTI, New Delhi
PUBLISHED ON JAN 15, 2021 09:39 PM IST
A bench headed by Chief Justice S A Bobde took note of submissions of lawyer and PIL petitioner ML Sharma that companies be prosecuted for alleged evasion of export duty by declaring wrong tariff code to export iron ore.
Close
PVR said even post reopening, the combination of staggered state wide reopening, capacity restrictions and limited movie releases impacted the admit levels while costs continue to be incurred.( Harsimar Pal Singh/Hindustan Times)
PVR said even post reopening, the combination of staggered state wide reopening, capacity restrictions and limited movie releases impacted the admit levels while costs continue to be incurred.( Harsimar Pal Singh/Hindustan Times)

PVR reports net loss of 49 crore in Q3

PTI, New Delhi
PUBLISHED ON JAN 15, 2021 09:03 PM IST
Revenue from operations during the period under review stood at 45.10 crore, down 95.04 per cent from 915.74 crore in the corresponding quarter a year ago.
Close
The regulator made it clear that carrying passengers as well as cargo in the passenger compartment at the same time is not allowed.(Representative image)
The regulator made it clear that carrying passengers as well as cargo in the passenger compartment at the same time is not allowed.(Representative image)

DGCA issues guidelines on carrying cargo in passenger compartment of aircraft

PTI, New Delhi
UPDATED ON JAN 15, 2021 07:44 PM IST
"Operator intending to carry cargo in passenger compartment shall apply to DGCA at least 10 days prior to the proposed commencement of operations," the regulator said in its guidelines.
Close
With less than five weeks before the UK’s transition period ends, Brexit negotiations are in their final stages.(AP file photo)
With less than five weeks before the UK’s transition period ends, Brexit negotiations are in their final stages.(AP file photo)

Stuck in Kent: How Brexit red tape strangled cross-border trade

Bloomberg
UPDATED ON JAN 15, 2021 07:30 PM IST
Britain’s logistics industry had warned that businesses would need to hire an additional 50,000 workers to process the 200 million extra customs forms that will be required annually after Brexit.
Close
SHARE
Story Saved
OPEN APP