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Research Activities

Research Projects

FY 2011/2012 Research Topic: 4-10
Dynamics of the Garment Industry in Low-income Countries following the MFA Phase-out

Outline

The export-oriented garment industry has developed during the early stage of industrialization in many developing countries; and recently, low-income countries such as Bangladesh have become leading exporters in this area. However, exports from China and India have rapidly grown following trade liberalization through termination of the Multi-fibre Arrangement (MFA), which has seen a subsequent fall in the export price of garments. Given such market changes, this research project investigates the role of the garment industry in terms of economic growth and poverty alleviation in low-income countries. More specifically, we examine how the garment industry and the welfare of its workers have changed after the liberalization, and whether African countries can penetrate the export market through investigation of the seven low-income countries in Asia and Africa, including Bangladesh, Vietnam, Cambodia and Madagascar.
We will approach those research questions through country-specific studies and comparative studies across countries. Country-specific studies will describe feature of industries in seven countries in terms of historical background, policy interventions, and changes after the MFA phase-out. Comparative studies will make a consistent comparison of firm performance and workers’ welfare across countries, utilizing the original firm-level dataset covering five Asian and African countries from 2003 to 2011.

Period

April 2011 - February 2013

Members of the Research Project

[ Organizer ] FUKUNISHI Takahiro
[ Co-researchers ] ASUYAMA Yoko
GOTO Kenta (Associate Professor, Department of Economics, Kansai University)
KUDO Toshihiro
YAMAGATA Tatsufumi

Publications