Perspectives of the trade in textiles after the end of the quota system of the WTO Agreement on Textiles and Clothing on 1 January 2005

With the end of the Agreement on Textiles and Clothing and the removal of all textiles and clothing quotas on 1 January 2005, the characteristics of global textile production patterns and trade flows will be substantially redesigned. This paper aims at evaluating the qualitative and quantitative impact of the removal of quotas by assessing the prospects for textile- and clothing-producing countries, as well as producers and consumers in the EU. The paper also takes account of linkages with other factors and it covers the impacts on employment and development. Several policy recommendations follow based on this analysis.