Hefty image of textile industry

“The textile industry players still admit that they have internal problem that are why banks consider it a high-risk sector”-Sigit Pramono

Gone are the days when textile industry was treated as rag trade. This trade has come a long way since the days when manufacturing used to primarily happen in the consumption centres of US, Europe and Japan. The Newly Industrialized Economies (NIE's) of Asia i. e. Hong Kong, Taiwan and Korea were the first to take advantage of this opportunity. MFA was designed to provide time to the textile and clothing industry in developed countries to adjust to more competition from developing nations. The major development of the ATC was the emergence of China. As a result of low labor cost, government incentives and increasing investment in textile and apparel, share of China in world trade increased from 12% in 1995 to 24% in 2005. Other countries like India, Bangladesh, Sri Lanka, Indonesia and NAFTA countries also emerged as major textile and apparel bases during the ATC regime. The author took an inside voyage of the station called global textile industry. The paper explores historical angle and makes an effort to be acquainted with the two vital panoramas of the textile deal i. e. export and import. Further it notices the drift and analyses the whole packet of global textile trade.