Report on HEPC Participation in Hong Kong International Home Textiles & Furnishings Fair 2013 Organised by Hong Kong Trade Development Council

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Report on HEPC Participation in Hong Kong International Home Textiles & Furnishings Fair 2013 Organised by Hong Kong Trade Development Council At Hong Kong Convention and Exhibition Centre Held during 20 th to 23 rd April 2013 The Handloom Export Promotion Council Ministry of Textiles, Government of India, No.29A, Rajasekaran Street, Mylapore, Chennai 600004. India Tel: +91 44 28476124/25/27, Fax: +91 44 28476126 E-mail: hepc@hepcindia.com Website: www.hepcindia.com

Fair at a Glance Name of the Fair : Hong Kong International Home Textiles & Furnishings Fair 2013 Organiser Venue : Hong Kong Trade Development Council Duration : 20 th to 23 rd April 2013 No of HEPC participants : 39 Highlights of Fair reported by Fair Authorities: : Hong Kong Convention and Exhibition Centre, Hong Kong Total No. of Exhibitors : 221 (Hong Kong: 22, Other Countries : 199) Gross Exhibition Space No. of Indian Exhibitors : 102 : 5,305 Sqm Total No. of Buyers : 17266 (From Hong Kong: 7800 and From Other Countries: 9466) Visitors from Participants Feedback : 115 Countries Products Displayed : Rugs, Bathmats, Cushion cove, Placemat, Ties, Towel, Bags, quilts, Floor coverings, Mits, Pot holder, gloves, Home furnishing fabrics, Puffs, Throws, Bathmats, Rugs, Bed cover, blankets, Bathrobs, Utility and outdoor textiles, X-mas décor, Runner, Scarves, Stoles, Muffler, bread basket, oven mitts, Bath rugs, Silk home furnishings. Products of interests shown : Table linen, Kitchen linen, Cushion cover, Throws, Carpets, by Buyers Floor Coverings, Bath Linen, Bags, Puffs, stoles, scarves No. of Visitors : 644 Visitors from : France, Italy, Taiwan, Japan, China, Russia, Indonesia, Philippines, Bulgaria, Australia, New Zealand, Korea, South America, Bosnia, Austria, Poland, Europe, North Africa, USA, Egypt, Canada, Turkey, Taipei, Latin America, South Africa, Hong Kong, Lithuania, Israel, South Asia Spot Orders : Rs 3,88,90,500 Enquiries Generated : Rs 16,99,64,905

Preface: Hong Kong International Home Textiles & Furnishings fair organized by Hong Kong Trade Development Council is an ideal showcase for Home Textiles and is a spin-off event of the famous Hong Kong Houseware fair, the biggest event of its kind in Asia. HEPC is participating in the fair from the year 2005. Handloom Export Promotion Council has participated for the 9 th year in the Hong Kong International Home Textiles & Furnishings fair held at Hong Kong from 20 th to 23 rd April 2013. HKTDC has recognized HEPC as one of their Supporting Organisation of the fair and given publicity in their website and fair brochures. HEPC participated with 39 member exporters by taking space of 450 Sq. Metres space and HEPC had put up central pavilion stall in the fair. The fair was organized with financial assistance under Market Access Initiative Scheme (MAI) of Ministry of Commerce & Industry, New Delhi, offering maximum discount in participation fee for our member exporters. Hong Kong and Economic Policy: Hong Kong is one of the two Special Administrative Regions of the People's Republic of China, the other being Macau. Following British rule from 1842 to 1997, China assumed sovereignty under the one country, two system s principle. It is situated on China's south coast and, enclosed by the Pearl River Delta and South China Sea, it is known for its expansive skyline and deep natural harbour. With a land mass of 1,104 km 2 and a population of 7.173 million people, Hong Kong is one of the most densely populated areas in the world. Hong Kong's population is 95 percent ethnic Chinese and 5 percent from other groups. As one of the world's leading international financial centres, Hong Kong s service-oriented economy is characterized by low taxation, near-free port trade and well-established international financial market. Hong Kong has remained as the world's freest economy. The economy, governed under positive non-interventionism, is highly dependent on international trade and finance and in 2009 the real economic growth fell by 2.8% as a result of the global financial turmoil. Despite the downturn, Hong Kong s economic strengths, including a sound banking system, virtually no public debt, a strong legal system, ample foreign exchange reserves, rigorous anti-corruption measures and close ties with the mainland China, enable it to quickly respond to changing circumstances. In terms of international comparison, with the most

efficient and corruption-free application procedure, lowest income tax and lowest corporate tax as well as abundant and sustainable government finance that the government of Hong Kong consistently upheld the policy of encouraging (and supporting) activities of private businesses and this is having a sound impact on the overall economic performance by removing unnecessary barriers for the private enterprises in the Special Administrative Region. Hong Kong export during the year 2012 is 3434 bn HKD registering 2.9% year on year growth and imports stood at 3912 bn HK$ registering yoy growth of 3.9%. Re exports constitutes 3,375,516 HKD registering 3.2 % growth yoy basis. Hong Kong GDP for the year 2012 is 2040 bn HK$ and real GDP Growth on year on year is +1.4%. Hong Kong unemployment rate is 3.3% during the year 2012. India s Export of overall handloom products to Hong Kong for the year 2011-12 was Rs 3.77 Crores and there was a decline in export by 81.29% over the period 2010-11 even though there was significant increase in export of Floor coverings. However Exports during the period April 2012 to Feb 2013 is Rs 3.72 Crores registering a growth of 4.13% over the same period during 2011-12. Comparative analysis of India s export of handloom products to Hong Kong for the years 2009-10, 2010-11 and 2011-12 Products April 2009- March 2010 April 2010- March 2011 April 2011- March 2012 % of increase / decrease over 2010 % of increase / decrease over 2011 Fabrics 42,20,188 14,52,97,,342 2,36,00,739 3342.91-83.76 Madeups 90,09,537 5,64,16,604 1,10,21,884 526.19-80.46 Floor coverings - 2,75,256 31,73,476-1052.92 Clothing Accessories - 64,264 - -100.00 Grand Total 1,32,29,725 20,20,53,466 3,77,96,099 1427.27-81.29

Comparative analysis of India s export of handloom products to Hong Kong during the period April 2011-February 2012 vis-à-vis April 2012-February 2013 Products April 2011-February 2012 April 2012-February 2013 % of increase / decrease over 2012 Fabrics 2,33,82,544 76,82,309-67.15 Madeups 92,19,758 2,62,72,389 184.96 Floor coverings 31,53,453 32,79,264 3.99 Clothing Accessories - - - Grand Total 3,57,55,755 3,72,33,962 4.13 Hong Kong International Home Textiles & Furnishings Fair 2013 in detail: 28 th Edition of Hong Kong Houseware Fair and 4 th Edition of Hong Kong International Home Textiles and Furnishing Fair 2013 is a specialist trade platform giving exhibitors and buyers of home textiles immediate access to markets in Asia and beyond, and it will offer a wide range of high quality products such as bathroom textile, bedroom textile, kitchen textile, carpet & floor covering. The fourth Home Textiles and Furnishings Fair had 221 exhibitors from five countries and regions, including three group pavilions: the Chinese mainland (Zhejiang), India s Handloom Export Promotion Council and India s Export Promotion Council for Handicrafts. The fair s new Fine Handmade Carpets zone featured exquisitely crafted carpets from India and Iran, while the returning Hall of Glamour put a spotlight on high-quality offerings from top Indian and Hong Kong designers. Green products are a strong trend in the market, especially in Europe where demand for sustainable products continues to grow. Bedding series of licensed popular brands, Printed cushions, Magnetic tieback for curtains, Reversible Cool Gel-Memory Foam Pillow, 100% nature pure linen bedding set, table linens and kitchen linens, microfiber towel specially designed for travels and sports are some of the interesting new products exhibited at the fair. The fair recognizes consumer concern for textiles that are ecologically acceptable and manufactured according to stringent codes of conduct via the Green Product Display, which displayed furnishings and home textiles produced in a sustainable matter and which use recycled or reusable materials. Totally 221 Exhibitors from

Hong Kong, Chinese Mainland, India, Iran, Taiwan displayed their home textile products in the Hall 3F-G. From India there are 102 exhibitors participated the event. Major Exhibit categories are Baby & Bedroom Textiles Bathroom & Kitchen Textiles Carpet & Floor Coverings Fine Handmade Carpets Upholstery & Furnishing Products Window Fashion & Accessories The following 39 member exporters participated in this fair by displaying their product ranges S.No Member Exporter S.No Member Exporter 1 ABBS International Inc. Panipat 21 Nandini Fabrics, Karur 2 Amit Enterprises, New Delhi 22 Nirmal International, Panipat 3 Axis Hometex, Panipat 23 Parameshwari Exports Pvt. Ltd. Karur 4 C.B.TEX, Karur 24 R.K.Exports (Karur) Pvt. Ltd. Karur 5 Dakshin Home Fashions, Karur 25 Ramesh Impex Pvt. Ltd., Ghaziabad 6 Design collection, Panipat 26 Ranga Fab, Karur 7 Dream Collections, Panipat 27 Rawsitasa Exports, New Delhi 8 Ess Ess Exports, Panipat 28 Regal Carpets Pvt. Ltd., Panipat 9 Fabrication, Varanasi 29 Rightsource, Amritsar 10 Four Seasons International, Karur 30 Rishi International, Mumbai 11 Ganga Textiles, Panipat 31 Shiv Export, New Delhi 12 Herritage Clothing Inc, Karur 32 Shree International, Noida 13 Heritage Export Co., Panipat 33 Shyam Overseas, Panipat 14 Idyllic Creations Pvt., Ltd., New Delhi 34 Sree Angalamman Exports, Karur 15 Indian Arts & Crafts Syndicate, Noida 35 Sunshine International, Panipat 16 KHDC, Bangalore 36 Trend Setters International, New Delhi 17 Kwalitee Fabs, Karur 37 Trident Home Furnishings Pvt. Ltd., Chennai 18 Man Made, Jaipur 38 United overseas, Panipat 19 Mangalick Sales P. Ltd, Agra 39 Venkateswara Exports, Karur 20 MG Exports, Karur

All exhibitor stalls are QR coded (Quick Response Code) by HKTDC. The buyers can easily get quick access about the details of the exhibitors by scanning the QR code displayed in each stall using their smart phones. As a preparatory process, Council obtained Home Textiles buyers list from Consulate General of India, Hong Kong and mailed to all the participating members to send personnel invitation to them to visit the member stalls. Further presentation about Visual Merchandising & Display design and Tips for Participating in trade shows prepared by NIFT were sent to all participating members. HEPC has taken raw space of 450 Sq. Meter from the organisers and constructed the Indian Handwovens Pavilion to showcase the various products of handwovens crafted by Indian weavers. HEPC s Indian Handwoven Pavilon was inaugurated by Ms. Zohra Chatterji, IAS, Secretary, Ministry of Textiles, Govt. of India and Shri Balvinder Kumar, IAS, Development Commissioner (Handlooms) in the presence of Mr. Sandip Kumar Kujur, Consul, Consulate General of India, Hong Kong and Executive Director Dr (Mrs). Beela Rajesh, IAS. They visited our member stalls and interacted with the exporters. Products showcase: The product display showcased by our member exporters reflected various design concepts. The members showcased the entire range of home textiles of exotic styles and craftsmanship. Carpets and Floor coverings from Panipat, Made up articles of Table linen, Bed linen, Kitchen linen from Karur, Stoles, Bath linen, Window fashion and accessories, attracted the buyers. Members Exporters got enquiries for products Viz. Table linen, Kitchen linen, Cushion cover, Throws, Carpets, Floor Coverings, Bath Linen, Bags, Puffs, stoles, scarves. The home textile products manufactured out of natural fibres such as cotton, bamboo, jute has been displayed in the stalls.

Participants Feedback: In 2012: The members have reported Rs 14.33 Crores worth of enquiries and Rs 2.89 Crores worth of spot orders at the fair. In 2013: 644 visitors visited the HEPC member stalls and generated Rs 16,99,64,905 worth of business enquiries and booked Rs 3,88,90,500 worth of spot orders at this fair. HEPC member participants stall are visited by the buyers from France, Italy, Taiwan, Japan, China, Russia, Indonesia, Philippines, Bulgaria, Australia, New Zealand, Korea, South America, Bosnia, Austria, Poland, Europe, North Africa, USA, Egypt, Canada, Turkey, Taipei, Latin America, South Africa, Hong Kong, Lithuania, Israel. The overall turnout of the buyers is rated as Average and Quality of buyers is rated as Good by the participants. Most of the participants expressed that the fair provided an opportunity to enter into new market. Participants expressed that the stalls of Karur and Panipat not to be allocated continuously in a row of stall. Instead they may be located alternatively in a row. This feedback has been implemented in the stall allocation for Paris, Newyork and Japan Fairs which are scheduled in the month of July 2013 and will be followed in future fairs. Council s officials had a meeting with Fair Authorities and discussed various issues pertaining to stand location, stand construction and other promotional activities. Fair authorities agreed to HEPC s request of increasing the aisle space from 2.0 metres to 2.5 metres, allocating prominent location for HEPC and providing power socket for each stall from the next edition. Council was represented by Dr (Mrs) Beela Rajesh, IAS, Executive Director, Shri. K.Veluchamy, Business Promotion Officer and Shri.Johnson Samuel, Assistant. Mobilized 20 foreign buyers for participation at India International Handwoven Fair 2014 to be held at Chennai from 12 th to 14 th March 2014. The Next edition (29 th ) of the Houseware Fair and the 5 th edition of the Home Textile Fair will be held during 20-23 April 2014. *****

Fair Photographs Inauguration of HEPC Indian Handwoven Pavilion by Ms. Zohra Chatterji, IAS, Secretary, Ministry of Textiles, and Shri Balvinder Kumar, IAS, Development Commissioner (Handlooms) Visit of Secretary, Ministry of Textiles and Development Commissioner (Handlooms) to one of our member stall Meeting with HKTDC Senior Exhibition Manager Mr Johnson Ng by Executive Director Dr(Mrs) Beela Rajesh, IAS Meeting with Executive Director by Ms Hema Saxsena, General Manager of M/s. Comnet Exhibitions at HEPC Stall Member Stalls

Fair Photographs Member Stalls Buyer Registration for IIHF 2014