Effects of the end of the Multifibre Agreement on production and employment in the textiles and clothing sectors in Brazil / Efeitos do fim do Acordo Multifibras sobre a produção e o emprego dos setores têxtil e de vestuário no Brasil

AUTOR(ES)
DATA DE PUBLICAÇÃO

2008

RESUMO

The importance of the textile and clothing industry is based on its high capacities to generate employment and income, provided its basic characteristic of reduced ability to automate the production processes. Besides that, these sectors are responsible for an important share of the low qualified jobs in the developed countries. Therefore, the industries achieved a different treatment, compared to the other manufactured goods, in the liberalization rules defined in the General Agreement on Tariffs and Trade - GATT. The Agreement on Textiles and Clothing - ATC of the World Trade Organization, in vigor since 1995, started a process of gradual elimination of the bilateral export quotas existent from the mentioned data during a period of ten years. After January 1st, 2005, therefore, the agreement completed its objectives, with the international trade of textiles and clothing under the same rules for manufactures of the GATT 1994. With the elimination of the quantitative barriers, the exportation costs and, consequently, the exports prices, got a reduction. However, the end of the ATC marked a beginning of new protectionist measures by the industries, which faced the direct competition whit countries whose export prices are quite smaller, such as China. In this context, this work analyzed the effects of the end of the ATC on production, employment and trade performance of the textiles and clothing sectors in Brazil, with the objective of measuring the necessity of these industries to receive new forms protectionism. To assess these impacts, a global General Equilibrium Model was utilized adopting medium term hypothesis about the economy´s behavior, where the quantitative restrictions were transformed in ad valorem tariff equivalent of the export prices. The results of the model indicate an increase in the production and employment of the primary factors in the two mentioned industries and on the directly related activities in Brazil, such as the natural fibers and services. It was also verified a reallocation of the imported input suppliers and destinations of the exports of goods in Brazil, with a positive performance of the net trade, what reflected in a real valorization of exchange rate and a relative increase of the domestic prices over the imported. The conclusions are that the complete elimination of the quantitative barriers must have different effects in diverse segments of the industries, for instance the natural and synthetic fibers, with a positive aggregated impact to the analyzed sectors and to the Brazilian economy.

ASSUNTO(S)

textiles and clothing vestuário. gtap. international trade relações econômicas internacionais emprego indústria têxtil multifibre agreement comércio internacional

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