textile and clothing exports from south Asia

1. Textile
and
Clothing
Exports
from
SAARC
Countries:
A
Comparison
from
1980
to
2012
Dr.
Muhammad
Mushtaq
Mangat1
South
Asian
Association
for
Regional
Cooperation
(SAARC)
came
into
being
in
1985.
Bangladesh,
Bhutan,
India,
Maldives,
Nepal,
Pakistan
and
Sri
Lanka
are
its
founder
members.
This
report
is
an
effort
to
throw
light
on
the
Textile
and
Clothing
(T&C)
exports
of
SAARC
countries.
This
data
has
been
taken
from
the
website
of
World
Trade
Organization
(WTO)2.
WTO
divides
the
textile
related
exports
into
two
main
categories:
textiles
and
clothing.
All
raw
materials
utilized
to
make
clothing
come
under
the
category
of
textile
(fibers,
yarn,
and
fabrics)
and
all
finished
or
ready-­‐made
products
come
under
the
category
of
clothing
(shirts,
trousers,
and
bed
wear
etc.).
An
early
survey
shows
that
Bhutan,
Nepal
and
Maldives
have
slight
and
insignificant
share
in
the
world
trade
of
T&C
[Textile
&
Clothing].
Since
Bhutan,
Nepal,
and
Maldives
make
negligible
contributions
in
total
T&C
Exports,
our
key
discussion
will
be
about
T
&
C
exports
of
Bangladesh,
India,
Pakistan,
and
Sri
Lanka.
Furthermore,
this
report
does
not
include
good
or
bad
performance
of
these
countries
in
the
trade.
It
merely
gives
a
picture
of
the
performance
in
the
field
of
T&C
clothing
exports
from
1980
to
2012.
The
report
could
have
been
extended
but
due
to
unavailability
of
T&C
exports
data
by
WTO,
we
only
deal
with
the
time
period
from
1980
to
2012.
International
Trade
from
1950-­‐2012
WTO
provides
an
overview
of
the
international
trade
from
1948.
According
to
its
collected
data,
the
total
international
exports
of
all
kinds
of
goods
and
services
were
62
Billion
US$
in
1950.
In
the
year
2012,
this
figure
raised
to
staggering
1
mushtaq.mangat@gmail.com
2http://stat.wto.org/Home/WSDBHome.aspx?Language=
data
retrieved
on
June
14,
2013

2. 18,323
billion
US
$.
Over
a
period
of
62
years,
we
have
observed
an
increase
by
approximately
300
times.
The
Table
01
demonstrates
that
China
and
Japan,
those
were
having
an
insignificant
share
in
the
total
exports
in
1950,
succeeded
in
gaining
a
major
share
in
2012.
In
1950,
China
had
total
exports
of
550
million
US
$
(0.89%
in
total
international
exports)
and
in
2012,
it
received
2,048,814
million
US
$,
which
is
11.18%
of
total
international
exports.
Japan,
in
the
same
year
(1950),
was
exporting
goods
and
services
of
825
million
US
$
(1.33%),
and
in
2012,
it
achieved
the
target
of
798,675
million
US
$,
which
is
4.36%
of
the
total
international
exports.
Korea
started
its
exports
in
1955
with
only
32
million
US
$
(0.02%)
and
succeeded
in
exporting
goods
and
services
of
547,
870
million
US
$
in
2012.
On
the
other
hand,
USA
was
exporting
goods
and
services
of
10,282
million
US
$
in
1950
and
having
a
share
of
16.58%
in
international
trade,
lost
its
top
position
in
2012.
Total
exports
from
the
USA
in
2012
were1,
547,283
million
US
$,
which
was
8.44
%
of
total
international
exports.
Table
1
and
2
also
tell
us
that
the
performance
of
the
UK
is
more
alarming.
UK
was
next
for
highest
exports
in
1950
with
6,325
million
US
$
(10.20%)
but
in
2012,
UK
exported
only
goods
and
services
of
468,370
million
US
$,
which
is
2.56%
share
in
the
international
trade.
Turkey
thrived
well
in
increasing
its
share
by
twice
in
the
last
62
years.
It
had
0.43%
share
in
the
international
trade
in
1950
that
soared
to
0.83%
in
2012.
Among
South
Asian
(SA)
countries,
only
Bangladesh
did
well
by
raising
its
share.
It
started
exporting
of
clothing
in
1980
with
759
million
US
$
with
a
share
of
only
0.04%
in
the
international
trade,
but
in
2012,
it
increased
its
share
to
0.1%,
which
shows
250%
growth
over
the
last
32
years.
According
to
the
Table
1
and
2,
the
share
of
India,
Pakistan,
and
Sri
Lanka
has
weakened
in
the
past
62
years.
In
1950,
share
of
India
was
1.85%
(more
than
China
and
Japan)
in
international
trade,
which
reduced
to
1.6%
with
total
exports
of
293,214
million
US
$
worth.
Pakistan
was
enjoying
a
share
of
0.79%
in
1950
(closer
to
China
and
two
times
more
than
Turkey)
and
in
2012,
that
was
only
0.13.
This
shows
that
more
than
six
time
reduction
took
place
in
2012.
The

3. total
exports
of
Pakistan
in
2012
were
worth
24,596
million
US
$.
Same
is
the
case
with
Sri
Lanka
that
had
0.53%
share
in
1950
but
only
0.05%
share
in
2012.
This
brief
account
display
that
overall
performance
of
South
Asian
(SA)
countries
is
not
substantial.
As
we
have
mentioned
earlier
that
due
to
insignificant
share
of
Bhutan,
Maldives
and
Nepal,
our
emphasis
will
be
on
Bangladesh,
India,
Pakistan
and
Sri
Lanka.
Table 1 Export of all kinds of goods and services of some countries
1950
1960
1970
1980
1990
1995
2000
2005
2012
World
62,000
130,000
317,000
2,034,000
3,449,000
5,164,000
6,456,000
10,503,000
18,323,000
Bangladesh
759
1,671
3,501
6,389
9,297
25,113
China
550
2,571
2,307
18,099
62,091
148,780
249,203
761,953
2,048,814
India
1,145
1,332
2,026
8,586
17,969
30,630
42,379
99,616
293,214
Japan
825
4,055
19,318
130,441
287,581
443,116
479,249
594,941
798,567
Korea,
Republic
of
32
836
17,512
65,016
125,058
172,267
284,419
547,870
Pakistan
489
400
449
2,618
5,615
8,029
9,028
16,051
24,596
Sri
Lanka
328
385
342
1,067
1,912
3,798
5,430
6,347
9,480
Turkey
264
321
588
2,910
12,959
21,637
27,775
73,476
152,537
United
Kingdom
6,325
10,609
19,430
110,134
185,172
237,953
285,425
390,860
468,370
United
States
10,282
20,601
43,241
225,566
393,592
584,743
781,918
901,082
1,547,283
Table 2 Share of different countries in exports of all kinds of goods and services
1950
1960
1970
1980
1990
1995
2000
2005
2012
Bangladesh
0.04
0.05
0.07
0.10
0.09
0.14
China
0.89
1.98
0.73
0.89
1.80
2.88
3.86
7.25
11.18
India
1.85
1.02
0.64
0.42
0.52
0.59
0.66
0.95
1.60
Japan
1.33
3.12
6.09
6.41
8.34
8.58
7.42
5.66
4.36
Korea,
Republic
of
0.02
0.26
0.86
1.89
2.42
2.67
2.71
2.99
Pakistan
0.79
0.31
0.14
0.13
0.16
0.16
0.14
0.15
0.13
Sri
Lanka
0.53
0.30
0.11
0.05
0.06
0.07
0.08
0.06
0.05
Turkey
0.43
0.25
0.19
0.14
0.38
0.42
0.43
0.70
0.83
United
Kingdom
10.20
8.16
6.13
5.41
5.37
4.61
4.42
3.72
2.56
United
States
16.58
15.85
13.64
11.09
11.41
11.32
12.11
8.58
8.44

4.
Figure 1 Share (%) of some selected countries in world exports of all goods and
services in 1950 and 2012
Bangladesh
and
T&C
Exports
Bangladesh
became
an
independent
country
in
1971.
In
1980,
its
clothing
exports
were
only
2
million
US
$
out
of
total
40,590
million
US
$
in
the
global
trade
of
clothing.
We
do
not
see
any
big
change
till
1990
when
clothing
exports
were
643
million
US
$,
which
is
only
0.59
percent,
but
later,
there
is
a
tremendous
growth,
almost
hundred
percent
in
five
years.
In
2012,
Bangladesh
exported
clothing
of
staggering
19,948
million
US
$
worth
and
its
share
reached
4.72%
in
the
clothing
trade,
which
is
four
times
more
than
Pakistan
and
Sri
Lanka,
and
25%
more
than
India.
The
Table
3
and
4
illustrate
growth
between
2005
and
2012.
Such
incredible
achievement
can
be
associated
with
the
end
of
quota
regime
and
duty
free
imports
by
the
EU.
0
5
10
15
20
25
30
%
in
total
exports
Share
of
countries
in
world
export
of
goods
and
services
2012
1950

5. Bangladesh
exported
textile
products
of
414
million
US
$
in
1980
and
the
figures
reached
1,634
million
US
$
in
2012.
In
1980,
Bangladesh
had
0.75%
share
in
international
trade
and
in
2012,
its
share
reduced
to
0.54%.
It
is
important
to
note
that
in
1980,
textile
exports
were
higher
than
clothing
exports.
Bangladesh
successfully
substituted
the
products
with
less
value
addition
possibilities
(textile)
with
products
with
higher
value
addition
possibilities
(clothing).
India
and
T&C
Exports
India
exported
clothing
of
worth
673
million
US
$
in
1980.
It
was
six
times
higher
than
the
total
exports
of
SA
countries.
India
played
a
dominant
role
in
clothing
exports
until
2005.
But
facts
and
figures
of
2012
show
that
India
became
the
second
largest
exporter
while
Bangladesh
became
the
largest.
In
1980,
India
had
1.66%
share
in
international
clothing
exports,
whereas
in
2012,
this
share
was
3.27%,
which
is
almost
double
in
31
years.
This
increase
is
the
lowest
among
SA
countries.
It
shows
that
India
could
not
keep
up
its
pace.
It
may
be
due
to
its
interest
in
high-­‐tech
products.
We
can
judge
this
decrease
from
Table
01
and
02
that
the
share
of
India
in
world
trade
of
all
sorts
of
merchandize
declined
but
this
reduction
is
less
than
other
SA
countries.
Textile
exports
from
India
have
a
positive
trend.
In
1980,
India
exported
textile
of
1,306
million
US
$
and
in
2012
it
reached
15,274
million
US
$,
which
grew
by
twelve
times.
In
1980,
India
had
2.37%
share
in
total
textile
exports
and
in
2012,
this
share
became
5.35%.
These
figures
reveal
that
India
exported
more
textile
products
of
less
value
addition,
potential
as
compared
to
clothing
that
has
high
value
addition
potential.

6. Table 3 Clothing Exports (US $ Million)
1980
1985
1990
1995
2000
2005
2012
World
40,590
45969
108,129
158,353
197,821
278,020
422,686
Bangladesh
2
168
643
1,969
5,067
6,890
19,948
India
673
930
2,530
4,110
5,965
8,739
13,833
Pakistan
103
256
1,014
1,611
2,144
3,604
4,214
Sri
Lanka
109
279
638
1,758
2,812
2,874
4,005
Table 4 Percentages in World Clothing Exports
1980
1985
1990
1995
2000
2005
2012
Bangladesh
0.00
0.37
0.59
1.24
2.56
2.48
4.72
India
1.66
2.02
2.34
2.60
3.02
3.14
3.27
Pakistan
0.25
0.56
0.94
1.02
1.08
1.30
1.00
Sri
Lanka
0.27
0.61
0.59
1.11
1.42
1.03
0.95
Table 5 Textile Exports million US$
1980
1985
1990
1995
2000
2005
2012
World
54,990
54,867
104,354
152,319
154,874
202,552
285,668
Bangladesh
414
367
343
432
393
705
1,634
India
1,306
1,054
2,180
4,358
5,593
8,331
15,274
Pakistan
876
970
2,663
4,256
4,532
7,087
8,705
Sri
Lanka
3
17
25
164
244
136
226
Table 6 Textile Export Percentages in World Trade
1980
1985
1990
1995
2000
2005
2012
Bangladesh
0.75
0.67
0.33
0.28
0.25
0.35
0.57
India
2.37
1.94
2.09
2.86
3.61
4.11
5.35
Pakistan
1.59
1.78
2.55
2.79
2.93
3.50
3.05
Sri
Lanka
0.01
0.03
0.02
0.11
0.16
0.07
0.08

7. Pakistan
and
T&C
Exports
Pakistan
exported
clothing
of
worth
103
million
US
$
in
1980.
It
was
slightly
less
than
Sri
Lanka
but
almost
six
times
less
than
total
exports
of
SA
countries.
It
can
be
supposed
that
this
was
the
starting
point
of
Pakistan.
In
1980,
Pakistan
had
a
share
of
0.25
%
in
total
international
clothing
business
with
exports
of
worth103
million
US
$.
In
the
next
10
years
(1980-­‐1990),
there
was
a
tremendous
growth
in
clothing
export
of
Pakistan.
The
country
had
0.56
percent
share
of
1985
and
it
was
almost
twice
as
compared
to
its
share
in
1990
(0.94%)
with
total
clothing
export
of
1014
million
US
$.
However,
overall
scenario
suggests
that
this
growth
was
less
than
Bangladesh
and
Sri
Lanka
during
the
same
period.
Clothing
exports
in
1990
were
slightly
less
than
Sri
Lanka,
25%
less
than
Bangladesh,
and
almost
250%
less
than
India.
It
means
that
there
was
a
general
growth
in
the
clothing
business
from
SA
countries,
but
growth
rate
of
Pakistan
was
least
among
SA
countries.
Another
point,
which
we
can
note
from
Table
03
and
04,
is
insignificant
growth
of
Pakistan's
clothing
exports
since
1990.
In
1990,
clothing
exports
share
was
1.00
%
and
it
was
1.10%
in
2012
that
is
hardly
10%
growth
over
21
years.
It
was
quite
less
as
compared
to
global
clothing
exports
growth.
Pakistan's
textile
exports
have
a
positive
trend.
In
1980,
Pakistan
exported
textile
worth
of
876
million
US
$,
(1.59%
share)
which
was
slightly
less
than
India
and
double
in
comparison
with
Bangladesh.
In
1990,
Pakistan
exceeded
India
with
exports
of
2,663
million
US
$
while
India
exported
textiles
of
worth
2,180
million
US
$.
This
was
the
time
when
Bangladesh
started
its
clothing
exports.
In
2012,
after
a
struggle
of
32
years
from
1980
to
2012,
Pakistan
exported
textile
goods
of
8,705
million
US
$
with
3.05%
share
in
the
international
textile
business.
The
data
reveal
that
Pakistan
preferred
to
export
textile
products,
which
have
less
value
addition
potential
as
compared
to
clothing.
India
also
has
the
similar
story,
but
the
difference
is
that
India
shifted
her
focus
to
manufacturing
and
exporting
high
tech
products
while
Pakistan
did
not
add
any
high
tech
product
in
her
exports.

8. Sri
Lanka
and
T&C
Exports
Sri
Lanka
had
clothing
exports
of
109
million
US
$
in
1980,
0.27%
share
in
world
exports
of
clothing.
It
was
much
higher
than
Bangladesh
and
slightly
more
than
Pakistan.
Even
in
1985,
clothing
exports
of
Sri
Lanka
were
higher
than
Pakistan
and
Bangladesh
but
in
1990,
it
was
exporting
less
than
both
the
countries.
In
2012,
Sri
Lanka
exported
4,005
million
US
$,
which
was
0.95%
of
total
international
clothing
exports.
It
is
slightly
less
than
Pakistan,
four
times
less
than
Bangladesh,
and
nearly
3
times
less
than
India.
We
witness
more
ups
and
downs
in
Sri
Lanka's
clothing
exports
in
the
last
31
years.
It
may
be
due
to
the
political
instability
of
the
country.
The
data
shows
that
overall
growth
in
clothing
exports
of
Sri
Lanka
is
less
than
Bangladesh
and
India
while
that
is
little
more
than
Pakistan.
Between
the
years
2000-­‐2005,
there
was
no
significant
growth.
However,
we
observe
a
substantial
growth
over
2005.
It
might
be
due
to
lifting
import
quotas
by
importing
countries.
It
is
expected
that
if
this
trend
continues
over
the
next
decade,
Sri
Lanka
will
achieve
a
significant
share
in
clothing
exports.
Textile
exports
from
Sri
Lanka
are
very
low.
It
was
few
million
US
$
in
1980
and
in
2012,
it
had
only
226
million
US
$
exports
of
textile,
which
is
less
than
0.08%
share
in
total
international
textile
exports.
It
can
be
inferred
from
the
data
that
Sri
Lanka
is
not
mainly
relying
on
textile
exports.
Her
focus
is
clothing
exports,
which
is
a
good
indicator
for
the
economy
of
a
developing
country
like
Sri
Lanka.
Summary
In
1950,
USA
and
UK
were
leading
exporters.
After
the
end
of
WWII,
many
wars
struck
countries
and
newly
emerged
countries
started
contributing
in
the
international
trade.
Most
of
them
surpassed
many
developed
countries
and
the
current
statistics
of
international
trade
show
that
there
is
a
shift
in
this
trade
from
developing
countries
to
under-­‐developed
world.
Nevertheless,
developed
countries
are
striving
hard
to
maintain
their
share.

9. The
initial
phase
of
SA
exports
was
similar
to
that
of
China,
Japan,
Korea
and
Turkey.
But
over
a
period
of
62
years,
there
is
a
big
gap
between
the
economic
situation
of
SA
countries
and
China,
Japan,
Korea,
and
Turkey.
The
economic
situation
of
SA
countries
is
not
different
as
compared
to
1950s.
It
shows
that
SA
countries
could
not
keep
pace
with
international
players.
We
have
randomly
chosen
countries
as
examples
to
compare.
The
overall
performance
of
SA
countries
is
much
less
when
we
compare
their
performance
with
developed
countries.
Studies
of
2012
reveal
that
the
share
of
SA
countries
was
less
in
international
trade
as
compared
to
their
share
in
1950.
Among
SA
countries,
Bangladesh
has
the
highest
growth
rate
in
clothing.
Bangladesh
started
its
exports
in
1980s
and
surpassed
all
other
SA
countries
and
finally
established
a
sound
share
in
the
international
trade.
India
and
Pakistan
have
no
significant
growth
in
clothing
exports.
Their
focus
remained
on
textile
exports.
Figure 2Clothing Exports from 1980 to 2011 from SA Countries
0
2000
4000
6000
8000
10000
12000
14000
16000
18000
20000
1980
1985
1990
1995
2000
2005
2012
Exports
US
$
Million
Years
Clothing
Exports
from
SA
Bangladesh
India
Pakistan
Sri
Lanka

10.
Figure 3 Textile Exports from 1980 to 2011 from SA Countries
0
2000
4000
6000
8000
10000
12000
14000
16000
1980
1985
1990
1995
2000
2005
2012
Exports
US
$
Million
Year
Textile
Exports
US
$
Millions
Bangladesh
India
Pakistan
Sri
Lanka