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Essay on Comparative Labor Advantage In Garment Industry In China
Garment industry is very significant in China. There are about 45,000 garment companies presently. There are more than 7,000 garment companies registered in Shanghai. Garment industry is in addition one of the most elementary industries in China. There are above 1,000 well-known brands nationally and more than 100 brands globally in Chinese garment market. One hundred years later on, China has been converted into the largest producer and exporter of garments in the world. In old days, the textile industry was self-ample and everything was done by hand.
The country just had 20 cotton mills that had a yearly production competence of 500,000 spindles 80 years ago. Throughout the first few years after the founding of the People's Republic of China in 1949, the average annual production capacity was no more than five million spindles. Consequently, the government adopted a ration policy by issuing cloth coupons. Over more than 30 years, the annual output of cotton cloth in the country amplified to 15.35 billion meters by 1982, which was scarcely adequate to meet the needs of the population. Cloth coupons were abolished the following year.
In view of the fact that the country began its open-up policy and reform in the late 1970s, the garment industry has grown at a rate of 15.7 percent yearly. The productivity in the Eighth Five-year Period totaled 30 billion garment items, equaling the total for the previous 40 years. Since 1994, China has remained the largest producer and exporter of garments in the world. The total volume of exports accounts for one-sixth of the world total. In 1999, China turned out 10 billion garment items. The country's output of synthetic fibres totaled 52 billion tons a year, which is the largest in the world. Over the century, China has become home to the world's leading textile industry as the choice of attire....
