Morocco, Tunisia, Egypt and Jordan after the end of the multi-fiber agreement : impact, challenges and prospects (Anglais)

This report investigates the impact of the Multifibre Arrangement (MFA's) lapse on the Textiles and Clothing (T&C) sectors in four countries of the Middle East and North Africa region: Egypt, Jordan, Morocco, and Tunisia (the MENA-4). The phase-out of...  Voir la suite This report investigates the impact of the Multifibre Arrangement (MFA's) lapse on the Textiles and Clothing (T&C) sectors in four countries of the Middle East and North Africa region: Egypt, Jordan, Morocco, and Tunisia (the MENA-4). The phase-out of the MFA under the Agreement on Textiles and Clothing (ATC) on January 1, 2005, has led to a significant decline in international prices of textile and clothing products, benefiting consumers worldwide. But the lifting of remaining T&C quotas has also created tremendous pressures for retailers, distributors, and producers. Some of the most efficient producers, such as China and India, now free of quantitative limitations, are increasing their shares in major import markets at the expense of other countries. In all four countries, the T&C sectors play a crucial role in trade, foreign exchange earnings, and job creation. These countries are key partners in the Euro-Mediterranean Partnership and, through the Agadir Agreement, in the Greater Arab Free Trade Area group. In both contexts, specific industry and trade policies could maximize the opportunities presented by MFA removal. This report analyses the early effects of MFA removal on the MENA-4 and formulates concrete policy recommendations on how to mitigate its impact. The future of the T&C sector in the four countries has yet to be determined. With the right policies, decision makers can take advantage of the ongoing processes of "creative destruction." Policies should be devised to accentuate investment flow and employment creation, to mitigate the impact of employment losses, and to strengthen the international competitiveness of the sector.  Réduire