1990199
438
уб
My My
DAILY REVIEW OF BUSINESS TOPICS My AS REPORTED IN THE CHINESE PRESS
Trade Industry & Customs Pepartment
Translated by the Commandment
NOX SHPA
+ IMPACT OF THE EEC/HK TEXTILES AGREEMENT IS NOT SO BAD AS ENVISAGED
Commenting on the new EEC/HK textile agreement, the public opined
the effects on the textile industry of H.K. are not so bad as speculated at first. Only manufacturers which rely heavily on the EEC market will be hit. Factors affecting textile exports do not lie only in quota, but the economy of importing countries and the consuming power of buyers as well. Upturn in the economic developments of West Germany and the U.K. will be the determinant element touching off the upsurge in local textile exports to these places concerned next year, said textile circles. They also stressed that it is time to launch diversification both in products and markets regarding textile trade to compensate for the losses resulted from the quota cutbacks. Ming Pao (8/12) quoted Mr. Philip Lai, a textab member, as saying, "Out of the 114 textile categories covered under the agreement, only 41 items will be subject to specific limits, H.K. can enlarge production on the remaining 73 categories in the next five years."
Hong Kong Economic Journal (8/12)
The reclassification of textile categories to the EEC will lead to
chaos in textile industry. The say that large unemployment and losses in
export trade will result is exaggerated. Mr. Stephen Lau, member of the Textab, is optimistic over the future textile prospects, he aired, "The recent fall
in cotton price has lowered the production costs of cotton spinning industry and stimulated the sales of cotton goods. Besides, pacts guiding textiles. trade with the U.S. and the DEC two main export markets for H.K. are
settled, manufacturers can now on receive orders and make plans with full
confidence and certainty in the next five years. He believed, just like our
experience with the U.S. half a year ago, textile exports to the Community
will be better off later. "One thing for sure, closure of textile mills will
P
not be significant in the next year," he added.
- cont'd