A study on supply chain network of textiles and clothing industry in Sri Lanka

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Date
2013
Authors
Jayawickrama, A.
Journal Title
Journal ISSN
Volume Title
Publisher
University of Peradeniya
Abstract
Like many other emerging economies, Sri Lanka relies more on the performance of its textiles and clothing industry for its export-led growth. Textiles and clothing industry has many stages in its value chain: production of fibers, fabrics, other materials and finished clothing. The distribution of stages of production and marketing activities among countries is important in understanding the industry's value chain. This paper intends to identify the position of Sri Lanka in the value chain of the global textiles and clothing industry. Such information is important in shaping economic policies to improve the competitiveness in global market. We found that Sri Lanka's textiles and clothing industry has important linkages with South Asia, East Asia and ASEAN countries as it outsources a large part of textile materials from these countries. The market for the country's final clothing products is dominated by the US and the EU. Though Sri Lanka's textile material production industry is relatively small at present, the country exports such products to China, India and other South Asian countries, the US, ASEAN and EU countries and to countries where the clothing industry is rapidly expanding. Concentrating more on textile material production is important for Sri Lanka when advancing to the next level of industrialization. This will enable the country to enhance the domestic value addition and labour productivity in the industry.
Description
Keywords
Supply Chain , Trade Directions , Textile Material Production , Clothing Production
Citation
Modern Sri Lanka Studies, 2013, IV(1), P 52-71