Home / Knowledge / News / Apparel/Garments / Europe's relaxed RoO pushes Laos' garment exports
Europe's relaxed RoO pushes Laos' garment exports
31
Aug '11
Drawing benefits from Europe easing the restrictions on imports, garment exports from Laos have grown to US$ 100 million during the initial six months of the current year, registering a year-on-year rise of 29 percent.

This rise in exports is mainly attributable to hike in exports to Europe, pursuant to the European Union's decision permitting the least-developed countries (LDCs) like Laos to use imported raw materials for goods meant for export to the European market.

The European Commission came up with its new set of relaxed Rules of Origin (RoO) for LDCs on November 18, 2010. Under the rules, it permitted the LDCs to export even those goods to the EU at preferential tariff rates that were not produced from domestic raw materials. The new RoO became effective from January 1 this year.

While the garment exports from Laos has earned a competitive edge in Europe following the relaxed RoO, the country's garment industry still greatly relies on textiles imported from nearby Thailand.

During the January-June period of the current year, Laos mainly exported garments to the US, Japan and Europe with US accounting for around 17 percent of the total exports, Japan accounting for 3.3 percent and Europe accounting for the rest.

Swiftly rising orders from European importers has put the Laos garment industry, which is facing severe labour scarcity, in a predicament.

After the Thai Government's recent assurance of raising the minimum wage to 300 baht which is equivalent to US$ 10 per day, several Lao workers look for employment there as the proposed wage is much higher than 500,000 kip or US$ 62.50 that Lao garment units offer per month.

Garment exports brought in US$ 182 million to Laos during last year, 14 percent higher than revenues generated in 2009.

Fibre2fashion News Desk - India


Must ReadView All

Textiles | On 23rd Jun 2017

Textile ministry organises training workshop on GST

The ministry of textiles had organised training workshop on GST which ...

Apparel/Garments | On 23rd Jun 2017

Uware Brands into licensing agreement with Polaroid

Uware Brands has entered into a licensing agreement with Polaroid for ...

Textiles | On 23rd Jun 2017

Ralph Lauren ex-president Tiger of Sweden's new CEO

Hans-Christian Meyer, former president of Ralph Lauren Corporation,...

Interviews View All

Mohammad Mamun Ar Rashid
UL VS Bangladesh Ltd

Productivity, creativity and innovation play a vital role in the growth of ...

Asim Dalal
Indo Count Retail Ventures

Today, there is no other emerging market as India, "we make in India and...

Akash Khetan
Narayan Tex Fab

I find it hard to find professionals in Surat

Kerem Durdag
Biovation II LLC

Kerem Durdag, CEO, Biovation II LLC, provides an insight into future...

Kai Poehler
Voith Paper GmbH & Co. KG

The glass mat industry is growing by five to eight per cent annually. Kai...

Ashok Desai
Bombay Textile Research Association

Bombay Textile Research Association (BTRA) is a leading name in textile...

Igor Chapurin
Chapurin

"Now we can see the Russian trend in international fashion. And Russian...

Sanjukta Dutta
Sanjukta's Studio

<b>Sanjukta Dutta</b> creates unique garments by clubbing prints of...

Ritu Kumar
Label Ritu Kumar

‘Classics will return’ "There are a lot of people wearing western clothes ...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


editorial@fibre2fashion.com

Letter To Editor






(Max. 8000 char.)

Search Companies





SEARCH

news category


Related Categories:
June 2017

June 2017

Subscribe today and get the latest update on Textiles, Fashion, Apparel and so on.

SUBSCRIBE


Browse Our Archives

GO


E-News Insight
Subscribe Today and Get the
Latest News Update in Your Mail Box.
Advanced Search