The Trend Of Textile Industry In The Global Arena
Textile consumption and production has widely become a global affair. The production of apparels has shifted to developing countries situated mostly in Asia. There has been an explosion of growth in the exports for the ASEAN region. For many countries, textile takes up a huge chunk of the percentage of annual exports.
In developing countries, apparels are manufactured at a significantly lower cost than in developed countries. For this reason, developed countries in the West are seeking out alternative methods to increase productivity and open new market segments for the textile industry.
In the world of textile trade, there are trade agreements that are put into place by different nations. There are policies that promote liberality of textile trading and provide equal access to market for both developed and underdeveloped nations. These policies include the African Growth and Opportunities Act, Trade Promotion Act and the Andean Trade Preference Act. With these established agreements, the economy of the participating countries will greatly benefit. However, the policies are limited by the political agenda of developed countries.
The development of the textile industry in the world market
For a nation to achieve economic growth and development across industries, policy makers need to stabilize and grow the domestic industry first. Recently, the World Trade Organization along with other institutions underscored the importance of allowing highly developed nations to take part in the textile world market. With the powerhouse nations in the industry, it is expected that global growth and development will be in full grasp.
The textile production industry is basically a labor intensive industry. Emerging economies of developing countries have a great number of unskilled laborers which make these countries the viable spot to place a manufacturing site. A lot of countries have welcomed the idea that the boom of domestic textile industry is seen as an initial step on the ladder towards ultimate industrialization.
Growth in developing countries
The textile industry has become an undoubtedly global affair with production shifted to countries that have cost advantage in producing these products. According to studies, it is apparent that developing countries’ share in the global market for textiles has increased tremendously from 15 percent to 50 percent. This report shows that there is a great potential for the developing countries to boost their economy by improving vastly their textile production methods.
