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Home»Articles»Productivity of Indian Textile Industry in the Post Multi Fibre Agreement (MFA) Regime

JournalCover

Asian Review of Social Sciences (ARSS)

Editor Dr. Lakshmi Narayanan
Print ISSN : 2249 – 6319
Frequency : Quarterly

Productivity of Indian Textile Industry in the Post Multi Fibre Agreement (MFA) Regime

Author : Greeshma Manoj and S. Muraleedharan
Volume 8 No.1 January-March 2019 pp 123-131

Abstract

The system of bilateral quotas which had governed the international trade in textiles and clothing under the Multi Fibre Agreement came to an end and has been replaced by the Agreement on Textiles and Clothing (ATC) from January 1, 2005. The ATC provided for a progressive elimination of quota in four stages during the transitional period which ended on 2005. This study is an attempt to understand the impact of trade liberalization on the productivity of Indian textile industry. Estimation of labour productivity shows an improvement in the labour productivity during the post MFA period. Analysis of capital productivity reveals that average capital productivity was higher during the pre MFA period compared to post MFA period. Capital intensity estimate reveals that there has been an increase in the capital intensity for all product groups in the post MFA period compared to pre MFA.

Keywords

Textiles, MFA, Partial Productivity, Capital and Labor, JEL Code: D 24, F 14 & L 67

Full Text:

References

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The system of bilateral quotas which had governed the international trade in textiles and clothing under the Multi Fibre Agreement came to an end and has been replaced by the Agreement on Textiles and Clothing (ATC) from January 1, 2005. The ATC provided for a progressive elimination of quota in four stages during the transitional period which ended on 2005. This study is an attempt to understand the impact of trade liberalization on the productivity of Indian textile industry. Estimation of labour productivity shows an improvement in the labour productivity during the post MFA period. Analysis of capital productivity reveals that average capital productivity was higher during the pre MFA period compared to post MFA period. Capital intensity estimate reveals that there has been an increase in the capital intensity for all product groups in the post MFA period compared to pre MFA.

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    Editorial Note

    Editorial Dr. Lakshmi Narayanan

    Editor-in-Chief
    Dr. Lakshmi Narayanan
    Department of Social Sciences, College of Arts and Applied Sciences, Dhofar University, Oman
    [email protected]
    Editorial Advisory Board
    Dr. Mashitah Binti Hamidi
    Department of Social Administration and Justice, University of Malaya, Malaysia
    [email protected]
    Dr. Jillian Ooi Lean Sim
    Department of Geography, University of Malaya, Malaysia
    [email protected]
    Dr. Haris Bin Abd Wahab
    Department of Social Administration and Justice, University of Malaya, Malaysia
    [email protected]
    Dr. Mohana Dass Ramasamy
    Department of Indian Studies, University of Malaya, Malaysia
    [email protected]
    Dr. Ma Tin Cho Mar @ Noorjahan Bi Bi
    Department of South East Asian Studies, University of Malaya, Malaysia
    [email protected]
    Dr. Asbah Binti Razali
    Department of Anthropology and Sociology, University of Malaya, Malaysia
    [email protected]
    Dr. Azharudin Bin Mohamed Dali
    Department of History, University of Malaya, Malaysia
    [email protected]
    Dr. Hasmah Binti Zanuddin
    Department of Media Studies, University of Malaya, Malaysia
    [email protected]

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