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Fujian textile & garment exports soar in Q1

Apr '07
According to the latest statistics of Fuzhou customs, textile and garment exports of Fujian Province in the first quarter this year hit US $1.353 billion, up 24.7 percent over the same period last year, indicating a significant increase.

On the other hand, the monitoring initiatives on China's textile re-exports by the EU and the US are expected to be increasingly strict, related enterprises should pay more attention to that.

On September 15 of last year, China cut two percentage points of tax rebate rate on textile exports, from 13 percent to 11 percent. Sources say that this year the state will conduct a new round of adjustment on export tax rebate. Export rebate rate of wearing categories may be cut by two percentage points.

Under the pressure of the export tax rebate policy of last year and the influence of expected adjustments this year, corporations rushed their exports at the beginning of this year, which to led an increase of as high as 1.5 times in February, while March exports fell 25.1 percent.

Fujian textile and garment export markets concentrated in the European Union, Hong Kong and the US in the first quarter.

Exports to the EU 27 countries were $238 million, an increase of 3.4 percent. The overall weak growth of exports to EU was mainly due to the new members of Romania and Bulgaria, whose imports from Fujian were down 81.3 percent and 87.2 percent, while Fujian exports to the original EU 25 member countries maintained rapid growth, export value reaching $228 million, a growth of 32 percent.

Exports to Hong Kong were $164 million, an increase of 23.5 percent and that to the US were $143 million, up 44.8 percent.

Exports to the above three markets together accounted for 40.3 percent of the total textile and garment exports from Fujian in the first quarter of 2007.

Meanwhile, exports to Switzerland, Africa and the UAE also saw rapid growth.

Fibre2fashion, News Desk - China

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