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WHAT KIND OF MARKET ACCESS PATTERN SHOULD WE PROMOTE FOR TEXTILES AND CLOTHING WITHIN THE DDA ?

WHAT KIND OF MARKET ACCESS PATTERN SHOULD WE PROMOTE FOR TEXTILES AND CLOTHING WITHIN THE DDA ?. WHERE ARE THE MARKET ACCESS NEGOTIATIONS UP TO ?. A compromise in Cancùn (DERBEZ text) No progress in the NAMA text of July 2004 Months of work in the Working Group in Geneva since 2002

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WHAT KIND OF MARKET ACCESS PATTERN SHOULD WE PROMOTE FOR TEXTILES AND CLOTHING WITHIN THE DDA ?

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  1. WHAT KIND OF MARKET ACCESS PATTERN SHOULD WE PROMOTE FOR TEXTILES AND CLOTHING WITHIN THE DDA ?

  2. WHERE ARE THE MARKET ACCESS NEGOTIATIONS UP TO ? • A compromise in Cancùn (DERBEZ text) • No progress in the NAMA text of July 2004 • Months of work in the Working Group in Geneva since 2002 • A stock-taking opportunity at the WTO Ministerial Conference (December 2005)

  3. THE POSITION OF THE EUROPEAN TEXTILE AND CLOTHING INDUSTRIES - A sectoral tariff negotiation - An objective of 15 % tariff worldwide for textiles and clothing - An ambitious commitment in the field of non tariff barriers

  4. WHY A SECTORAL NEGOTIATION FOR TEXTILES AND CLOTHING ? - High level of tariffs compared to other industrial goods (chemicals for example) • Significant disparity between bound tariffs • - Significant diversity of non tariff barriers

  5. STATE OF PLAY OF T-C TARIFFS Source : Euratex

  6. EXAMPLES OF NON TARIFF BARRIERS • Disproportionate technical regulations or standards, or conformity assessment or certification rules, • Formal or informal minimum import price requirements, • Rules, procedures or practices for pre-shipment inspection that are discriminatory, non-transparent, excessively lengthy, • Excessively burdensome, costly or arbitrary rules, procedures or practices concerning the certification of the origin of products, Source : Euratex

  7. EXAMPLES OF NON TARIFF BARRIERS • Non-automatic or discretionary licensing requirements, • Requirements or practices concerning marking, labelling, the description or composition of the product which are discriminatory as compared with domestic products, • Unduly long customs clearance delays or excessively burdensome, excessive or costly customs procedures, • Subsidies damaging to the domestic textile and clothing industries. Source : Euratex

  8. THE FUTURE OF TEXTILES AND CLOTHING AFTER 2005 Brussels – May 5th & 6th 2003 OPEN AND CLOSED MARKETS

  9. WHAT KIND OF TRANSATLANTIC PARTNERSHIP CAN WE BUILD IN ORDER TO OBTAIN RESULTS IN HONG-KONG ?

  10. FIRST CONCRETE PROPOSAL : COMMON KEY MARKETS • Whe should aim to : • reach an agreement on the key countries for our exports and investments, - exchange information on the barriers limiting our exports and investments on those markets

  11. 17 KEY MARKETS FOR EURATEX • ASIA : China, Japan, India, South Korea, Taiwan, Indonesia, Pakistan, Thailand, Malaysia • NORTH AMERICA : United-States, Canada • CENTRAL AMERICA : Mexico • SOUTH AMERICA : Brazil, Argentina, Chile • OCEANIA : Australia • AFRICA : South Africa Source : Euratex

  12. SECOND CONCRETE PROPOSAL : COMMON TARIFF REDUCTION FORMULA We should aim to : - realise simulations on various formulas tabled in Geneva - convince our respective governments to promote the most suitable formula for our industry

  13. EXAMPLES OF TARIFF REDUCTION FORMULAS UNDER DISCUSSION IN THE NAMA WORKING GROUP (GENEVA)

  14. IMPACT OF FORMULAS ON THE TARIFFS OF SOME KEY COUNTRIES

  15. BILATERAL AGREEMENTS COULD PROVIDE INTERESTING « EARLY HARVESTS » • EU/ USA relations in textile-clothing : room for improvement • EU/ China relations : intellectual property, industrial policy (new safety Code for textile and clothing) • USA/ China relations : intellectual property, currency issue etc

  16. THE US MARKET FOR EU TEXTILE AND CLOTHING INDUSTRIES • An strategic market for our industries : fibres, fashion, technical textiles etc  in 2002 : roughly 5 billion $ exports (Paneuromed) despite • tariff peaks : combed wool fabrics (25 %), carded wool fabrics (25 %)… • and few non tariff barriers : customs clearance delays (3 weeks), certification of the origin of products (depending on the fibres composition)…

  17. THANK YOU FOR YOUR ATTENTION

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