Trade officials in the Philippines are to ask the US government to extend a special deal that allows it to maximise the use of its garment quota to the lucrative US market.

They want the deadline for its flexible garment quota - which allows garment exporters to move apparel between clothing categories - extended from the end of this year to the end of 2005.

The quota flexibility affects some $230 million worth of garment exports a year and was introduced after US quota rules were changed to the detriment of the Philippine textile industry.

Officials in Manilia say they will argue that the trade compensation package should be extended as the original US quota changes are still in place and will have an adverse impact on the industry if the package is lost.