Diversification into Man-Made Fiber Apparel Exports: A Strategic Option for Madagascar to Maximize Post-2004 Preferential Tariff Margins

摘要

For more than 30 years, exports of textiles and apparel between developed and developing countries have been tightly regulated by quotas. Shielded from competition by quotas, many countries like Madagascar have built substantial export sectors for these products. In less than one year, apparel exporters in Madagascar will likely encounter a dramatically different competitive environment for their apparel products. To be successful, suppliers must adapt rapidly to the new trade environment. This report recommends that garment producers in Madagascar consider diversifying into exports of apparel made primarily from man-made fiber in order to maximize post-2004 tariff preferences. Currently, the overwhelming majority of Madagascars apparel exports are cotton, but Madagascar does export some manmade fiber apparel products.