EU:
During 2007, EU witnessed a
drop in exports and increase in imports. Developed countries in EU will lose their
share in the international market as they are facing stiff competition with low-cost
producers. Regional partners of the EU will also lose their market shares. Processing
trade with North Africa, and Turkey is losing pace due to the detriment of the
EU textile companies.
Vietnam:
Vietnam's textile industry has
experienced a drastic development during the past decade. Their textiles and garments
have found way into the global market, and keep growing in an increasing pace
year after year. While sharing his views about the textile sector of Vietnam, Mr. Le Quoc An, Chairman, Vietnam National Textile Garment Group (VINATEX) states that "Textile
and garment play a very important role in Vietnam economy. With around 2500
enterprises, the textile and garment industry has made a remarkable development
in the last few years. Since 2000 until now, the industry has reached an annual
growth rate of 20%, generated 2 millions jobs, contributing 17% to the export
turnover of the country, ranking second just after crude oil".
Mr. Le Quoc An further predicts
the prospects for the current year. "Despite of the fact that the year
2008 came with challenges including global financial crisis, fierce competition
with textile and garment powerful countries, domestic high inflation, labor
fluctuation, the first 10 months of the year 2008 witness 7.6 billion USD in
textile and garment export, a growth of over 20% year-on-year. However, due to
decrease of purchasing power caused by downturn in global economy, the
industrys export turnover of 2008 may not reach 9.5 billion USD as planned".
The economic boom during the
past years saw the development of businesses, manufacturers, retailers, and
brands. The current crisis will be an 'acid test' for the textile industries,
where poorly prepared businesses can be knocked over. Over the last 40 years,
textile trade has proved to be the most effective tool to foster the economic
development of a country. It helps to generate employment, enhance foreign
exchange revenues, promote industrialization, and diversification. In order to
stay ahead of the global trend, countries must be aware of the future
directions in the textile industry.
References:
- "International Trade in
Textiles and Clothing and Development Policy Options", Swarnim Wagl,
UNDP Regional Centre, Colombo, January 2005.
- http://www.ifashion.co.za
- http://www.globalization101.org
- http://aepc.fibre2fashion.com
- http://www.cid.harvard.edu
