Following a meeting of Government and tax officials, trade unions and leading clothing chains, the Government has decided to postpone the implementation of restrictions on the imports of Chinese textile.
Government had decided to restrict 31 types of textile and clothing from September, 28 but after protests by retailers that proposal would create sudden drop in supply fuelling the prices, it has decided to implement it from January, 01, 2007.
The agreement signed between South Africa and Chinese Government was aimed at protecting the local industries from extinction since cheap Chinese goods severely affected the local industry.
The agreement was welcome by trade unions which said that it would protect workers from losing their jobs. On the other hand, retailers feared that the sudden limit would shoot up the prices of clothes like school uniforms by 20-25 percent.
Department of Trade and Industry in a statement said that decision to delay the implementation was taken to give time to everybody concerned to adjust to the scenario and then take advantage of situation.
Get Free Weekly Market Insights Newsletter
Receive daily prices and market insights straight to your inbox. Subscribe to AlchemPro Weekly!
marketing@alchempro.com
