Fall in sales a boon for local producers

Fall in sales a boon for local producers

Sales of Chinese textiles in Spain have fallen 50% in the past two years, according to Chinese commerce lobby Acce, which added that 30% of Chinese retailers have closed in the recession-hit country.

According to Acce, 3% of 150,000 Chinese people living in Spain work in textiles or apparel retailing, which employs an average of five to six workers per store. Some 50% of the clothing sold comes from China, 20% is made in Spain and 30% from other countries.

The development may be bad news for the Chinese but is a boon for local producers who in years past have complained that discount Chinese manufacturers were affecting their businesses.

In fact, leading Spanish lobbies have in the past few years called for the Government to curb excessive Chinese imports which were undermining the industry’s competitiveness at a time of sluggish consumption.

Spain’s has witnessed scores of small and midsize textile companies going out of business recently amid the country's deep recession.