The Middle East's textile, clothing and leather manufacturers are well-equipped to withstand a quota-free trading environment following the end of the Multi-Fibre Agreement, which could wipe out many leading players from the $11.4 billion industry, officials said.
The MFA will end soon and the global textile and garments trade will enter a quota-free era, creating a level playing field for all the producers, in which competitiveness alone is expected to determine a company's success or failure.
A number of countries are lobbying with the European Union and the United States to retain quotas for longer.
Though the Far East, especially China, is expected to gain the most from the quota-free era, many local manufacturers are expected to capitalise on their competitiveness as well as their strong contacts with international buyers.
Meanwhile, Motexha, the largest fashion, textile and leather trade exhibition in the Middle East, which is holding its latest edition at the Dubai World Trade Centre (DWTC) from September 7 to 10, is expected to be dominated by Chinese manufacturers, who are keen to showcase their prowess in the regional market.
More than 500 companies, including 40 from the UAE, are participating in the exhibition to be spread across 10,000 square metres of exhibition space in halls 1, 2 and 3 at the DWTC.
China, a dominant exporter of textiles and apparel, is looking at gaining a larger share of the fashion market by promoting its own fashion brands at the exhibition.
"Despite the possibility of the Far East, especially China, gaining from the post-MFA quota-free trade, contact production will continue and local manufacturers who have strong contacts with the buyers will sustain their share in the international market," said Geoffrey Booy, exhibitions director of IIR Middle East, the organisers of the show.
"Certain countries, including the Philippines, are still lobbying for quotas. I am sure manufacturers in Middle Eastern countries will be able to gain from their competitiveness.
"Fashion is big business in the Middle East. As a show that caters to the buying needs of the $11.4 billion regional textile, garment and leather industry, Motexha is committed to providing exhibitors and trade visitors with the right environment to conduct business.
"With the Middle East experiencing a retail boom in recent years, and more international fashion brands showing interest in entering the lucrative regional market, we believe this is the right time to introduce dedicated buying forums."
According to Dubai Customs, Dubai last year imported textile products (under HS code XI) worth Dh10.45 billion and exported Dh641.49 million , while its re-export was worth Dh4.9 billion.
It imported footwear, headgear, umbrellas and flowers (under HS code XII), worth Dh1.05 billion while export and re-export was Dh4.08 million and Dh484.64 million, respectively.
"Retail space in the Middle East will soar to double its current capacity by 2005," said Ferry Lee, IIR Exhibitions' marketing director, quoting Retail International.
"Franchising accounts for nearly 50 per cent of the Middle East's retail economy with further growth anticipated as Dubai's retail spending is forecast to cross Dh27.89 billion ($7.6 billion) by the end of 2009."
Among the major pavilions at Motexha Autumn are China, India, Thailand, Malaysia and Turkey. The show's four specialist areas - Pure Branded Wear, KidZone, EuroTrendz and Retail Outfitters - are also growing by 33 per cent this year.
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