It seems there is finally some good news for the ailing trade and textile industry. The government will be convening a high level meeting with the textile industry and unions, to discuss the problems facing the industry.
Mandisi Mpahlwa, the trade and industry minister, says all industry stakeholders will be given a copy of a draft trade arrangement that government has negotiated with China on clothing and textile imports from that country. The clothing and textile industry has taken a knock after shedding 150 000 formal jobs over the past 10 years.
With cheap imports from China flooding the market and continuing factory closures Cosatu has been calling on government to intervene. During his State of the Nation address, President Thabo Mbeki said an agreement had been reached with China to protect the industry and finally there is a blue print. Trade and industry says the agreement will include reducing Chinese imports and protecting local sectors.
Since 2003, there has been a 480% increase in clothing imports from China. The minister also allayed fears that government is about to finalise a Free Trade Agreement with China. Cosatu has welcomed the move and says will ensure no agreement is reached which will lead to more retrenchments.
Meanwhile, the United Nations Industrial Development Organization (UNIDO) has opened its first SADC office. The UN specialist agency will assist countries in the region with industrial development strategies.
