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A Global Perspective of Liberalizing World Textile and Apparel Trade

Author

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  • Xinshen Diao
  • Agapi Somwaru

Abstract

International trade in textile and apparel has been governed by quantitative restrictions under the Multi-Fiber Arrangement (MFA) and earlier agreements for more than 30 years. One of the major accomplishments of the Uruguay Round was the Agreement on Textiles and Clothing (ATC), which provides for the dismantling of these restrictions. Under the Uruguay Round ATC, the MFA restrictions are to be phased out over a 10-year period and are scheduled to end by the year 2005. This study combines a data description of the trends in world textile and apparel trade flow, an econometric analysis on the linkage between textile trade and growth, and an intertemporal, world CGE model to evaluate the possible impact of liberalizing world textile and apparel trade. As textile and apparel industry is an important source of the growth, our study focuses on the effect on the developing countries.

Suggested Citation

  • Xinshen Diao & Agapi Somwaru, 2002. "A Global Perspective of Liberalizing World Textile and Apparel Trade," Nordic Journal of Political Economy, Nordic Journal of Political Economy, vol. 28, pages 127-145.
    • Handle: RePEc:noj:journl:v:28:y:2002:p:127-145
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    Cited by:

    1. McCorriston, Steve & MacLaren, Donald, 2005. "Market Access and the Reform of State Trading Enterprises," Conference papers 331330, Purdue University, Center for Global Trade Analysis, Global Trade Analysis Project.
    2. Bernard, Alain & Vielle, Marc & Viguier, Laurent, 2004. "Modeling the European Directive Establishing a Scheme for Greenhouse Gas Allowance Trading and Assessing the Market Power of Firms," Conference papers 331190, Purdue University, Center for Global Trade Analysis, Global Trade Analysis Project.

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