Textiles and clothing in Asian graduating LDCs

Challenges and options

image of Textiles and clothing in Asian graduating LDCs

The textiles and clothing sector has been a key driver of export growth in least-developed countries (LDCs) that are on the path of graduation, especially from Asia. Graduation from LDC status would imply loss of LDC trade preferences. This report, a product of inter-agency collaboration, examines impacts of graduation for Asian graduating LDCs; it looks at market access scenario after graduation, the nature of their participation in global value chains and business insights, including at the firm level. The report also offers a forward-looking perspective to ensure a smooth transition from LDC status. It sheds light on possible strategies to maintain market access after graduation and to support industrial upgrade and economic diversification. In addition, the report points to other factors affecting export potential of textiles and clothing, including increased attention to environmental and social standards. LDC-focused development assistance could play an important role in supporting these countries with bolstering the overall competitiveness of their textiles and clothing sector.


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