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Home >> Business
UPDATED: 17:26, October 13, 2005
Chinese textiles no pinch for the world: ILO
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The International Labor Organization (ILO) says many people were worried about that China would seized one third or half of the world's textiles trade after the end of world's textiles export quota earlier this year. However, the situation has not appeared, according to the Global Times on Wednesday quoting foreign sources as saying.

Nowadays, the overall situation of Asian textiles and clothing export countries is better than had been expected. And the anticipated trade and employment disasters have not appeared. There are several factors for the situation. Firstly, textile import countries can make use of some protective measures when China's textiles "cause serious market disorders''. Secondly, the comparative advantage of China's labor-intensive enterprises is weakening. The proportion of employees in textile and clothing industries and their contributions to the gross domestic product have been declining.

The ILO report says, "China is marching towards a high-added value industrial nation. It is not only developing into a manufacturing center, but also becoming an important consumers market. It consumes import products, and in the mean time absorbs many more self-produced products''.

Pakistan, India and China were once regarded as the biggest gainers following the end of MFA (Multi-fiber Agreement) while Bangladesh and Cambodia cited as main potential losers. However, Bangladesh has kept its own advantages in its competition with China. In Bangladesh, textile exports declined in January this year by 52 million US dollars. "But, the country's exports have strongly recovered since February. With the growth of work opportunities, manufacturers in Bangladesh are seeking new strategic partnership, for instance, China''. In the meanwhile, Cambodian situation has made people optimistic.

By People's Daily Online


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