International liberalization of trade in textiles and clothing

Liberalization of textiles and clothing was one of the pillars of the Uruguay Round under the WTO aimed at promoting economic growth, development and alleviating poverty. For over 40 years this sector had been separated from the established principles of liberal trade stemming mainly from protectionist sentiments. The new regime established by the Uruguay Round aimed at integrating the sector into GATT on the basis of its strengthened rules and disciplines in furtherance of its general objective to liberalize trade. This change in international trade rules is a phenomenal development that is bound to have an impact on trade in other areas. The paper explores the liberalization process by analyzing current trends in the textiles and clothing liberalization process. It identifies opportunities and also highlights challenges the process presents to participants in the sector. Although no precise picture of the trade following the full integration can be drawn at this stage, there are some indicators of potential winners and losers explaining both the praises and condemnation in the liberalization debate from the various commentators. (Abstract shortened by UMI.)...