Potential Supply Chains in the Textiles and Clothing Sector in South Asia

An Exploratory Study

image of Potential Supply Chains in the Textiles and Clothing Sector in South Asia
Even though individual nations in South Asia are among the world’s fastest growing economies it is, as a region, the least integrated. This pioneering study from UNCTAD, the Commonwealth Secretariat and the Centre for WTO Studies at the Indian Institute of Foreign Trade examines one of the leading manufacturing sectors in South Asia – textiles and clothing – to assess the prospects for developing production linkages through regional co-operation.

The findings show that there is significant unexploited scope for intra-regional trade which would enhance the competitiveness of the region overall. The insights gleaned from the study will also benefit other sectors and regions of the developing world, where regional integration and South–South co-operation might be important routes to trade-led development.



Methodology for Identifying Potential Supply Chains

The broad trends in trade in the textiles and clothing sector are indicative of the existing demand and supply of inputs used in the sector within the region. The main aim of this study is to identify potential production supply chains that could be formed within the region for improving the cost competitiveness of the region as a whole. Thismay enable the region to increase its share in global T and C exports and benefit each of the countries in the region in terms of enhanced exports, which may generate more output and employment, and enhance overall development that benefits in particular the poor, women and youth.


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