'Development of SMEs need more favorable policies' - Expert

18 Mar '09

2 min read

The spokesperson of the China Textile Industry Association and Director of Textile Economic Research Center, Mr Sun Huaibin recently said, “International situation in 2009 will be even more severe than 2008. Financial crisis is still not over and its impact is expanding, therefore textile industry will face even greater pressure”.

He added by saying, “Players who have sizeable markets shares in the domestic markets have been shielded from the external impact since the local economy has not been so affected and it will continue to be more relaxed in 2009, then it was in 2008 and the local markets still hold hope of an increase in momentum”.

He continued, “SMEs are mainstay of the textile industry with the proportion of small and medium-sized enterprises in the industry as high as 99.4 percent and development of these SME enterprises needs more favorable policies, since they are the most affected in a hostile environment like the one prevailing now”.

He observed by saying, “The plight faced by the textile industry in 2008 was mainly due to weakness in international market and now the enterprises are concentrating on domestic markets to offset the loss in overseas markets, since the introduction a few favourable policies by the Chinese government”.

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