Francois, Joseph and Julia Woerz, 2005, “Rags in the High Rent District: Rhetoric and Reality in the Elimination of Textile and Clothing Quotas,” manuscript.
International Monetary Fund, 2005a, “Expiry of Textiles Quotas: the Impact on Asia, Asia-Pacific Regional Outlook,” Special Feature (Washington, D.C.).
International Monetary Fund, 2005b “The Ending of Global Textile Trade Quotas,” World Economic Outlook, Box 1.3 (Washington, D.C.).
Mlachila, Montfort and Yongzheng Yang, 2004, “The End of Textiles Quotas: a Case Study of the Impact on Bangladesh,” IMF Working Paper No. 04/108 (Washington D.C.: International Monetary Fund).
Prepared by Luc Moers (PDR).
US Department of Commerce, Office of Textiles and Apparel; similar data for the EU are not available.
These restrictions required potential investors to make a substantial investment in backwardly linked industries in order to be allowed to make an investment in the RMG sector.
Since 2001, duty-free access to the EU has already been guaranteed through the Everything But Arms agreement, if ROO requirements are met. A relaxation of ROO requirements would provide additional support to the industry.
See World Bank, 2004b; note that this assessment was made before the most recent lowering and streamlining of tariffs, in the context of the budget for the FY05, which brought down the top customs-duty rate to 25 percent, moved to three-tier non-zero tariffs, and significantly scaled down supplementary duties.