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Textile industry struggling hard to survive

16
Dec '08
Clothing and textiles industry, one of the primary pillars of Macau economy, is presently passing through severe pressure. Experts forecast that this year, turnover of this sector will drop by 20 percent.

The sector that provides livelihood to more than 25,000 people is now struggling to deal with inflation, rising input and labour cost and competition from neighbouring countries.

While most of the mills have shifted their production bases to China, Macau currently is left with mere 400 textiles and clothing factories. Insiders divulge that the sector is reeling under labour shortage and had to import nearly 11,000 workers from China, to meet the demand.

Around 80 percent of made-in-Macau products are exported to US and EU and the rest is sold throughout South East Asia.

Available statistics show that in 2007 total turnover for clothing and textile industry was US $2.4 billion. Out of that the textile sector provided about 66 percent of export earnings, but total exports were only about 13 percent of Macau's total GDP.

Market observers suggest that in order to survive in the clothing industry and remain in competition, production of high quality products is essential.

Fibre2fashion News Desk - India


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