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UAE:Protection required, say garment makers

2004-10-19

Country’s textile and garment manufacturers are about to ask the government to impose a quota system on a broad range of Chinese textile imports that threaten the growth of the local textile and garment industry.

"We are planning to submit a petition to the UAE Federal Chamber of Commerce and Industry, which if accepted by the authorities, could block Chinese textiles from capturing a large share of the UAE''s growing market for products such as bedsheets, shirts, trousers and cotton yarn whose imports into the UAE last year totalled nearly Dh3 billion,” stated a source.

"Chinese dealers are setting their sights on the UAE''s lucrative market which is good for UAE consumers but harmful for the UAE manufacturing sector," said the source.

"We are not looking for a safeguard measure to be imposed, we only look forward to seeing a system created to regulate the importing process," he added.

Meanwhile, Chinese trader T. Lee says, "We have the best quality textiles and garments at affordable prices and we see UAE as a potential market. The Chinese private and public sectors are fully geared up to promote the country''s products in the UAE."

The UAE Federal Chamber of Commerce and Industry source, when contacted by KT, said, " There are some complaints from small garment factory owners that the market is been dampened due to huge dumping of Chinese textiles and garments. We have no official complaint as yet from any textile company. The UAE is a free market for re-exporting, hence it will not be appropriate to decide on quota from any country."

"I guess the petition if submitted will be discussed in terms of dumping charges because there is no clear law that would block Chinese dealers from marketing their products in the UAE. It could be right that the market needs to be regulated and become more balanced than what it is now, but we shall have no hand in the importing and exporting policies which is decided by the Ministry of Economy and Commerce of the two countries," he said.

"The local textile manufacturers'' plea is acceptable in terms of developing local industry, but this will not stand for long as the UAE is on the verge of entering WTO which will compel it to keep its markets open. The UAE has signed a number of trade pacts with China to promote their products in the country. This has given a strong ground to the Chinese to flood the markets in the absence of other manufacturers including Thailand, Indonesia and Malaysia," he said.
 
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