The multi-fiber agreement expired last year, and it was as if we, Africans, didnt see it coming -- we were too comfy exporting duty-free to the EU and the US within our quotas, so comfy that we didnt even manage to take advantage of them and we sometimes were unable to fill those quotas. Ha.
On the other hand, some other main textile producers, India and China primarily, have been waiting for the agreement to expire, and were quietly building up their production capacities to be operative at full strength on January First at 00:00:01'. The result of this: India and China swept away the european and american markets, and crowded out the Africans who were still on their way to deliver their meagre production and were startled by the quantities and prices of their competitors.
So we went home, didn't worry to much because after all, we have other things to worry about. And it's too hot there anyway to worry about stuff. We kinda declared the game over and submitted our defeat without anyone asking, and we marvelled at the production capacity of the chinese.
Pfff.
So, were you irritated by the previous little story? Yes? Then you haven't seen anything yet. Because in the previous, everyone played by the rules.

However, the lastest complaint from African textile producers, who had decided to satisfy themselves with their local market, is not one against the rules of international trade - it's against messing up the rules. BBC ran a story about it.
China has been actively copying designs of traditional african motifs, mass producing them, and smuggling them into the countries. Imagine that.
Ghana's textile producers, who design and copyright their designs, are on the verge of nervous breakdown.
THREE QUARTERS of the traditional cloth sold in Ghana is smuggled. It is one third cheaper than the local production (which would raise a few eyebrows, i think...). Ghanians who were hoping that their designs and their quality would allow them to stand the competition of cheaper costs are finding their advantage eroded, as they are being ruthlessly stolen by chinese firms.
To end, the testimony of a Ghanean producer:
"It is not easy at all," he says. "You get to a market and the design you have made has been copied, you feel like crying"
The looming question for me now is: can Ghana take China to the WTO dispute settlement court (mechanism, to be politically correct)?
And, since Ghana doesn't have the cash for it - can another country do it?
Is there a lawyer out there willing to take the case for the Ghanean textile producers?



1 comment:
Hey there,
You know it's really quite expected. I was in China not too long ago and am amazed at their ability to plan. Their long term vision is out of this world. Entire cities operate like assembly lines where the output of one factory becomes the input of the next and storage costs are non-existent. I pray for a day we are anywhere near that efficient.
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