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Showing posts with label USA textile industry. Show all posts
Showing posts with label USA textile industry. Show all posts

Organic textile needs GOTS certificate in USA

Written By Views maker on June 08, 2011 | 6/08/2011

The Organic Trade Association (OTA) applauds the U.S. Department of Agriculture National Organic Program (USDA’s NOP) for its May 20 Policy Memorandum addressing the labeling of textile products containing organic ingredients (such as organic cotton, organic wool, and organic linen). The new policy supersedes the July 2008 NOP fact sheet entitled “Labeling of Textiles under National Organic Program (NOP) Regulations.”

This latest memo, “Labeling of Textiles that Contain Organic Ingredients,” confirms that processed textile products such as apparel, mattresses, or socks labeled as “organic” must be third-party certified, and all fibers identified as “organic” contained in the textile product must be certified organic to the NOP regulations.

The NOP Policy Memo also clarifies that while the NOP regulations do not include specific processing or manufacturing standards for textile products, a product can be labeled as “organic” and make reference to NOP certification if it is produced in full compliance with both the NOP production standards (crops and livestock for raw materials) and the NOP handling standards (processing for the finished product). This includes all processing methods allowed under 7 CFR 205.270 and all ingredients and inputs allowed under 205.605 and 205.606 of the National List. However, as most of these methods and ingredients are not applicable to textile processing, NOP labeling is likely unachievable for most garments and textile products that use a variety of dyestuffs and auxiliary agents.

As a practical alternative, the policy memo explicitly confirms that textile products that are produced in accordance with the the Global Organic Textile Standard (GOTS) may be sold as “organic” in the U.S. though they may not refer to NOP certification or carry the USDA organic seal. GOTS is the stringent voluntary global standard for the entire post-harvest processing (including spinning, knitting, weaving, dyeing and manufacturing) of apparel and home textiles that are made with organic fiber.

Additional correspondence with the NOP clarified that “made with organic (specified ingredient)” is a codified labeling category under the NOP as well as a labeling category under GOTS. Accordingly, textile manufactures choosing to make a fiber content claim in accordance with the Federal Trade Commission (FTC) labeling requirements should use terminology such as “contains 80% organic cotton.” The NOP labeling requirements are in addition to those required by the FTC.

“We are excited USDA is recognizing the rapidly growing organic fiber sector in general and GOTS in particular, thus enabling organic textile manufacturers to make production and processing claims just as manufacturers of organic food and beverages can,” said Christine Bushway, OTA’s Executive Director.

GOTS Coordinator Herbert Ladwig agreed. “We welcome and support USDA’s new policy which officially and explicitly confirms that the use of the GOTS label ‘organic’ for textiles is accepted. Experts from around the world have worked for years to make GOTS a stringent and comprehensive organic textile standard. Government recognition underlines its increasing leading role worldwide.”

The policy memo was added to the online NOP Handbook that provides guidance and instructions to assist those who own, manage, or certify organic operations in complying with the NOP regulations.

GOTS includes both environmental and social provisions for post-farm to retail shelf management. Key provisions include prohibition on use of genetically modified organisms (GMOs), highly hazardous chemicals such as azo dyes and formaldehyde, and child labor, while requiring living wages and strict waste water treatment practices. Because all fiber certified to GOTS must already be certified organic, GOTS certification means consumers are purchasing items certified organic from field to finished product.

According to the GOTS International Working Group (GOTS IWG) public database of facilities certified to GOTS, approximately 1,500 companies with a total of 2,754 facilities in 54 countries around the world were certified to the organic apparel and textile standard by the end of 2010. The top twenty countries based on the number of GOTS-certified facilities are (in order of ranking): India, Turkey, China, Pakistan, South Korea, Japan, Germany, Italy, United Kingdom, Bangladesh, France, Hong Kong, Mauritius, Peru, USA, Netherlands, Sri Lanka, Portugal, Greece, and Belgium. Countries in which facilities were certified to GOTS for the first time in 2010 included Finland, the Lao People's Democratic Republic, Latvia, Macedonia, Sweden, and Uganda.

The database includes almost 400 dyeing facilities, more than 200 spinning, knitting, and weaving units, and approximately 140 printing and manufacturing facilities. While more than 700 companies are listed with an export business, currently about 50 import operations hold GOTS certificates as well. Fourteen independent certification organizations around the world are qualified to certify operations to the standard.

The GOTS IWG is made up of the Organic Trade Association (U.S.), the Japan Organic Cotton Association, International Association Natural Textile Industry (Germany), and the Soil Association (UK).

For more information, please see http://www.ams.usda.gov/AMSv1.0/getfile?dDocName=STELPRDC5090967.

6/08/2011 | 0 comments

Is US Textile industry worried about TPP..

Written By Views maker on June 02, 2011 | 6/02/2011

The sector opposed Vietnam's inclusion even before discussions began back in March 2010, and now the negotiations are heading into their sixth round later this month, a concerted campaign is underway to negotiate strong textile and apparel rules into the pact.

Textiles is a sensitive industry for the US, and at the heart of concerns are fears that the free trade agreement will not only flood American markets with Vietnamese clothing, but also provide limited opportunities for US yarn and fabric makers.

Specifically, a group of 52 US lawmakers linked to the textile industry this week sent a letter to US Trade Representative (USTR) Ron Kirk calling for tougher rules on Vietnam until it adopts free market principles.

If mismanaged, the agreement could "dramatically shift global trading patterns, displace critical US textile, and apparel jobs and undermine important trade relationships in the western hemisphere that support nearly 2m jobs," they warn.

Nine Pacific Rim nations are formally involved in the multi-lateral trade group, which in addition to the US and Vietnam also includes Brunei, Chile, New Zealand, Singapore, Australia, Malaysia and Peru. There are also plans for ambitious expansion beyond the current participants.

Significantly, not only is the TPP the first regional agreement in which the US is participating in Asia, but its completion will also create one of the world's most important trading blocs.

"Unique challenges"
That said, the US textile industry believes the inclusion of Vietnam presents "unique challenges."

After China, the country is the second largest supplier of textile and apparel to the US, with annual shipments of US$6.3bn. But it has also been expanding its reach into industrial fabrics and other higher-end textiles in recent years.

Like its near-neighbour China, "Vietnam has a large state-owned and subsidised textile sector, an undervalued currency, weak environmental rules and lax intellectual property enforcement," the lawmakers claim.

The country also depends on China for most of its yarns and fabrics, importing $2.2bn of textile components from China in 2009 - which gives rise to fears it offers only limited export opportunities for US yarn and fabric producers.

The US textile industry is campaigning to get the parameters right from the outset, particularly on rules of origin.

"A loophole-free rule of origin that encompasses fibre, yarn, fabric, dyeing and finishing, thread, pocketing and assembly is needed to make sure that any potential agreement is favourable," says Smyth McKissick, CEO of Alice Manufacturing and co-chair of the American Manufacturing Trade Action Coalition (AMTAC).

Until now, the textile and apparel sector has always been treated as an independent chapter under US free trade agreements, and up to this point USTR has given every indication that it will continue this precedent.

"Textiles and apparel account for over one-third of two-way trade between the United States and Vietnam and represent a complex area of US trade policy with unique sensitivities compared to virtually all other industrial sectors," the letter says. "As a result, these products are not suitable for treatment under a generic formula for all manufacturing products."

Suggestions include excluding certain tariff lines altogether, negotiating tariff reductions versus phase-outs, and extended duty phase-down/phase-out periods.

Rule of origin
There are also calls to adopt the basic yarn-forward rule of origin for textiles and apparel under the TPP with no loopholes, also following a precedent set in most recent US trade deals. This requires the yarn and fabrics for qualifying apparel to come from the exporting country or the United States, and that the cutting, knitting to shape and assembly must take place in that region too.

Textile groups want the yarn-forward rule to apply to all textile components in garments, including linings, narrow elastic fabrics, sewing thread and pocketing.

The letter sent to Ambassador Kirk also recommends that customs enforcement rules be strengthened well beyond past agreements, including effective tracking of yarn and fabric inputs.

It concludes: "While the TPP countries, particularly Vietnam, have substantial capability to produce finished textile and apparel goods for export, they have limited ability to consume finished textile products manufactured in the United States.

"A weak textile text could lead to an increase in the US trade deficit and cause the loss of significant textile and apparel jobs in the United States.

Congressman Mike Michaud, chairman of the House Trade Working Group, adds: "These trade negotiations give us an opportunity to address the mistakes of the past and expand economic opportunities for our workers and businesses."

As always there seems to be a conflict between the demands of the US textile industry and US retailers and apparel importers. The latter want a more liberal rule of origin, as well as a "cumulation" rule that would enable exporters in the TPP region to use inputs from any member country and still qualify for tariff benefits.

The next round of TPP negotiations is scheduled to take place in Vietnam from 20-24 June where new US proposals for textile and apparel rules are expected to be tabled.

6/02/2011 | 0 comments

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