Keep Us Strong WikiLeaks logo

Currently released so far... 97115 / 251,287

Articles

Browse latest releases

Browse by creation date

Browse by origin

A B C D F G H I J K L M N O P Q R S T U V W Y Z

Browse by tag

A B C D E F G H I J K L M N O P Q R S T U V W X Y Z
ETRD EAGR ETTC EAID ECON EFIN ECIN EINV ELAB EAIR ENRG EPET EWWT ECPS EIND EMIN ELTN EC ETMIN EUC EZ ET ELECTIONS ENVR EU EUN EG EINT ER ECONOMICS ES EMS ENIV EEB EN ECE ECOSOC EK ENVIRONMENT EFIS EI EWT ENGRD ECPSN EXIM EIAD ERIN ECPC EDEV ENGY ECTRD EPA ESTH ECCT EINVECON ENGR ERTD EUR EAP EWWC ELTD EL EXIMOPIC EXTERNAL ETRDEC ESCAP ECO EGAD ELNT ECONOMIC ENV ETRN EIAR EUMEM ENRGPARMOTRASENVKGHGPGOVECONTSPLEAID EREL ECOM ECONETRDEAGRJA ETCC ETRG ECONOMY EMED ETR ENERG EITC EFINOECD EURM EENG ERA EXPORT ENRD ECONEINVETRDEFINELABETRDKTDBPGOVOPIC EGEN EBRD EVIN ETRAD ECOWAS EFTA ECONETRDBESPAR EGOVSY EPIN EID ECONENRG EDRC ESENV ETT EB ENER ELTNSNAR ECHEVARRIA ETRC EPIT EDUC ESA EFI ENRGY ESCI EE EAIDXMXAXBXFFR EETC ECIP EIAID EIVN EBEXP ESTN EING EGOV ETRA EPETEIND ELAN ETRDGK EAIDRW ETRDEINVECINPGOVCS EPEC ENVI ELN EAG EPCS EPRT EPTED ETRB EUM EAIDS EFIC EFINECONEAIDUNGAGM EAIDAR ESF EIDN ELAM EDU EV EAIDAF ECN EDA EXBS EINTECPS ENRGTRGYETRDBEXPBTIOSZ EPREL EAC EINVEFIN ETA EAGER EINDIR ECA ECLAC ELAP EITI EUCOM ECONEFINETRDPGOVEAGRPTERKTFNKCRMEAID EARG ELDIN EINVKSCA ENNP EFINECONCS EFINTS ECCP ETC EAIRASECCASCID EINN ETRP EAIDNI EFQ ECOQKPKO EGPHUM EBUD ECONEINVEFINPGOVIZ ENERGY ELB EINDETRD EMI ECONEFIN EIB EURN ETRDEINVTINTCS EIN EFIM ETIO ELAINE EMN EATO EWTR EIPR EINVETC ETTD ETDR EIQ ECONCS EPPD ENRGIZ EISL ESPINOSA ELEC EAIG ESLCO EUREM ENTG ERD EINVECONSENVCSJA EEPET EUNCH ECINECONCS ETRO ETRDECONWTOCS ECUN EFND EPECO EAIRECONRP ERGR ETRDPGOV ECPN ENRGMO EPWR EET EAIS EAGRE EDUARDO EAGRRP EAIDPHUMPRELUG EICN ECONQH EVN EGHG ELBR EINF EAIDHO EENV ETEX ERNG ED
KMDR KPAO KPKO KJUS KCRM KGHG KFRD KWMN KDEM KTFN KHIV KGIC KIDE KSCA KNNP KHUM KIPR KSUM KISL KIRF KCOR KRCM KPAL KWBG KN KS KOMC KSEP KFLU KPWR KTIA KSEO KMPI KHLS KICC KSTH KMCA KVPR KPRM KE KU KZ KFLO KSAF KTIP KTEX KBCT KOCI KOLY KOR KAWC KACT KUNR KTDB KSTC KLIG KSKN KNN KCFE KCIP KGHA KHDP KPOW KUNC KDRL KV KPREL KCRS KPOL KRVC KRIM KGIT KWIR KT KIRC KOMO KRFD KUWAIT KG KFIN KSCI KTFIN KFTN KGOV KPRV KSAC KGIV KCRIM KPIR KSOC KBIO KW KGLB KMWN KPO KFSC KSEAO KSTCPL KSI KPRP KREC KFPC KUNH KCSA KMRS KNDP KR KICCPUR KPPAO KCSY KTBT KCIS KNEP KFRDCVISCMGTCASCKOCIASECPHUMSMIGEG KNNB KGCC KINR KPOP KMFO KENV KNAR KVIR KDRG KDMR KFCE KNAO KDEN KGCN KICA KIMMITT KMCC KLFU KMSG KSEC KUM KCUL KMNP KSMT KCOM KOMCSG KSPR KPMI KRAD KIND KCRP KAUST KWAWC KTER KCHG KRDP KPAS KITA KTSC KPAOPREL KWGB KIRP KJUST KMIG KLAB KTFR KSEI KSTT KAPO KSTS KLSO KWNN KPOA KHSA KNPP KPAONZ KBTS KWWW KY KJRE KPAOKMDRKE KCRCM KSCS KWMNCI KESO KWUN KPLS KIIP KEDEM KPAOY KRIF KGICKS KREF KTRD KFRDSOCIRO KTAO KJU KWMNPHUMPRELKPAOZW KEN KO KNEI KEMR KKIV KEAI KWAC KRCIM KWCI KFIU KWIC KCORR KOMS KNNO KPAI KBWG KTTB KTBD KTIALG KILS KFEM KTDM KESS KNUC KPA KOMCCO KCEM KRCS KWBGSY KNPPIS KNNPMNUC KWN KERG KLTN KALM KCCP KSUMPHUM KREL KGH KLIP KTLA KAWK KWMM KVRP KVRC KAID KSLG KDEMK KX KIF KNPR KCFC KFTFN KTFM KPDD KCERS KMOC KDEMAF KMEPI KEMS KDRM KEPREL KBTR KEDU KNP KIRL KNNR KMPT KISLPINR KTPN KA KJUSTH KPIN KDEV KTDD KAKA KFRP KWNM KTSD KINL KJUSKUNR KWWMN KECF KWBC KPRO KVBL KOM KFRDKIRFCVISCMGTKOCIASECPHUMSMIGEG KEDM KFLD KLPM KRGY KNNF KICR KIFR KM KWMNCS KAWS KLAP KPAK KDDG KCGC KID KNSD KMPF KPFO KDP KCMR KRMS KNPT KNNNP KTIAPARM KDTB KNUP KPGOV KNAP KNNC KUK KSRE KREISLER KIVP KQ KTIAEUN KPALAOIS KRM KISLAO KWM KFLOA
PHUM PINR PTER PGOV PREL PREF PL PM PHSA PE PARM PINS PK PUNE PO PALESTINIAN PU PBTS PROP PTBS POL POLI PA PGOVZI POLMIL POLITICAL PARTIES POLM PD POLITICS POLICY PAS PMIL PINT PNAT PV PKO PPOL PERSONS PING PBIO PH PETR PARMS PRES PCON PETERS PRELBR PT PLAB PP PAK PDEM PKPA PSOCI PF PLO PTERM PJUS PSOE PELOSI PROPERTY PGOVPREL PARP PRL PNIR PHUMKPAL PG PREZ PGIC PBOV PAO PKK PROV PHSAK PHUMPREL PROTECTION PGOVBL PSI PRELPK PGOVENRG PUM PRELKPKO PATTY PSOC PRIVATIZATION PRELSP PGOVEAIDUKNOSWGMHUCANLLHFRSPITNZ PMIG PREC PAIGH PROG PSHA PARK PETER POG PHUS PPREL PS PTERPREL PRELPGOV POV PKPO PGOVECON POUS PGOVPRELPHUMPREFSMIGELABEAIDKCRMKWMN PWBG PMAR PREM PAR PNR PRELPGOVEAIDECONEINVBEXPSCULOIIPBTIO PARMIR PGOVGM PHUH PARTM PN PRE PTE PY POLUN PPEL PDOV PGOVSOCI PIRF PGOVPM PBST PRELEVU PGOR PBTSRU PRM PRELKPAOIZ PGVO PERL PGOC PAGR PMIN PHUMR PVIP PPD PGV PRAM PINL PKPAL PTERE PGOF PINO PHAS PODC PRHUM PHUMA PREO PPA PEPFAR PGO PRGOV PAC PRESL PORG PKFK PEPR PRELP PREFA PNG PGOVPHUMKPAO PRELECON PINOCHET PFOR PGOVLO PHUMBA PRELC PREK PHUME PHJM POLINT PGOVPZ PGOVKCRM PGOVE PHALANAGE PARTY PECON PEACE PROCESS PLN PRELSW PAHO PEDRO PRELA PASS PPAO PGPV PNUM PCUL PGGV PSA PGOVSMIGKCRMKWMNPHUMCVISKFRDCA PGIV PRFE POGOV PEL PBT PAMQ PINF PSEPC POSTS PHUMPGOV PVOV PHSAPREL PROLIFERATION PENA PRELTBIOBA PIN PRELL PGOVPTER PHAM PHYTRP PTEL PTERPGOV PHARM PROTESTS PRELAF PKBL PRELKPAO PKNP PARMP PHUML PFOV PERM PUOS PRELGOV PHUMPTER PARAGRAPH PERURENA PBTSEWWT PCI PETROL PINSO PINSCE PQL PEREZ PBS

Browse by classification

Community resources

courage is contagious

Viewing cable 07COLOMBO1355, SRI LANKA TEXTILES AND APPAREL SECTOR: UPDATED STATS AND

If you are new to these pages, please read an introduction on the structure of a cable as well as how to discuss them with others. See also the FAQs

Understanding cables
Every cable message consists of three parts:
  • The top box shows each cables unique reference number, when and by whom it originally was sent, and what its initial classification was.
  • The middle box contains the header information that is associated with the cable. It includes information about the receiver(s) as well as a general subject.
  • The bottom box presents the body of the cable. The opening can contain a more specific subject, references to other cables (browse by origin to find them) or additional comment. This is followed by the main contents of the cable: a summary, a collection of specific topics and a comment section.
To understand the justification used for the classification of each cable, please use this WikiSource article as reference.

Discussing cables
If you find meaningful or important information in a cable, please link directly to its unique reference number. Linking to a specific paragraph in the body of a cable is also possible by copying the appropriate link (to be found at theparagraph symbol). Please mark messages for social networking services like Twitter with the hash tags #cablegate and a hash containing the reference ID e.g. #07COLOMBO1355.
Reference ID Created Released Classification Origin
07COLOMBO1355 2007-10-02 10:15 2011-08-25 00:00 UNCLASSIFIED//FOR OFFICIAL USE ONLY Embassy Colombo
VZCZCXRO4139
RR RUEHLMC
DE RUEHLM #1355/01 2751015
ZNR UUUUU ZZH
R 021015Z OCT 07
FM AMEMBASSY COLOMBO
TO RUEHC/SECSTATE WASHDC 6904
INFO RUCPDOC/DEPT OF COMMERCE WASHDC
RUEHNE/AMEMBASSY NEW DELHI 1417
RUEHKA/AMEMBASSY DHAKA 0439
RUEHIL/AMEMBASSY ISLAMABAD 7426
RUEHKT/AMEMBASSY KATHMANDU 5564
RUEHKP/AMCONSUL KARACHI 2245
RUEHCG/AMCONSUL CHENNAI 8020
RUEHGV/USMISSION GENEVA 2348
RUEATRS/DEPT OF TREASURY WASHDC
RUEHLMC/MILLENNIUM CHALLENGE CORPORATION
UNCLAS SECTION 01 OF 03 COLOMBO 001355 
 
SIPDIS 
 
SENSITIVE 
 
SIPDIS 
 
STATE FOR SCA/INS AND EEB/TPP/ABT JOHN FINN AND GARY A CLEMENTS 
 
COMMERCE/ITA/OTEXA FOR MARIA D'ANDREA 
 
STATE PLS PASS TO USTR CAROYL MILLER 
 
MCC FOR S GROFF, D NASSIRY AND E BURKE 
 
E.O. 12958: N/A 
TAGS: ECON ETRD KTEX CE
SUBJECT: SRI LANKA TEXTILES AND APPAREL SECTOR:  UPDATED STATS AND 
PROJECTIONS FOR FUTURE COMPETITIVENESS 
 
REF: SECSTATE 114799 
 
1.  Summary:  While growth in Sri Lanka's textile and apparel export 
market has slowed since expiration of the Multifiber Agreement, the 
sector continues to maintain market share and in some cases grow in 
niche garment industry markets.  Exports to the U.S., Sri Lanka's 
largest market, were flat in 2006, and have decreased slightly in 
the first half of 2007.  Exports to the EU continue to increase as 
Sri Lanka takes greater advantage of duty-free access to EU markets. 
 Industry representatives continue to lobby, both in DC and with 
Post, for continuation of China safeguards past 2008 and/or 
preferential treatment for Sri Lankan apparel via possible 
Congressional legislation.  The industry is working hard to brand 
Sri Lanka as an ethical producer of garments as a way to 
differentiate itself from producers in other countries.  End 
Summary. 
 
--------------------------------- 
Requested Information 
--------------------------------- 
 
2.  The following responses are keyed to questions in reftel para 
five.  See paras three and four for 2006 and 2007 statistical data. 
 
a) Following the end of quotas, local industry chose to focus on 
specific types of garments (in particular lingerie and active wear) 
that still had preferential treatment due to China safeguards. 
Producers in 2007 are receiving more orders than in 2006.  Prices 
generally remain unchanged.  (Note:  The cost of producing garments 
in Sri Lanka - USD 3.73 per piece in 2006 was higher than the world 
average of USD 3.18 piece.  This cost puts Sri Lanka behind China, 
Bangladesh, Vietnam, Indonesia, Cambodia, Pakistan, and the 
Philippines in terms of cost per piece.) 
 
b) Yes, U.S. restrictions on exports of textiles and apparel from 
China have affected export prospects for Sri Lankan manufacturers. 
The U.S. is Sri Lanka's largest export market for textiles; 
approximately 52% of garments produced in Sri Lanka are shipped to 
the U.S.  Sri Lankan producers have chosen to target garment sectors 
where Chinese textiles and apparel are restricted to ensure that the 
industry will continue and thrive.  Textile/garment sector 
representatives state that the withdrawal of safeguards against 
China, without other action to provide a favorable environment for 
Sri Lankan products, will cause a significant downturn for the 
sector. The industry is closely following and lobbying in favor of 
two U.S. Congressional bills that could provide support and 
preferential treatment:  "Tax Relief Assistance for Developing 
Economies Act 2007" and the "Decent Workplace Conditions and Fair 
Competition Act 2007." 
 
c) No, the government has not implemented, nor is it considering 
implementing, import restrictions on textiles and apparel from 
China.  There are currently no specific restrictions on imports from 
China.  All textile fabric imports are free of import duty to 
support the apparel industry, irrespective of the country of origin. 
 For apparel, there is a 15% import duty and an additional 15% tax 
on apparel. 
 
d) No.  In fact, there is a shortage of approximately 20,000 workers 
in the garment sector.  The sector employs approximately 270,000 
workers - predominantly women. 
 
e) Global competition is a problem for Sri Lanka's comparatively 
small garment-production sector.  However, industry has chosen to 
focus on sectors currently protected under China safeguards and to 
brand Sri Lanka as a "Garments Without Guilt" (see para f below) 
production location rather than reduce wages.  Wages have increased 
in many cases as the apparel sector looks to attract and maintain 
labor.  There has been no adverse effect on organizing unions due to 
global competition. 
 
f) Private industry is actively working to increase the textile 
 
COLOMBO 00001355  002 OF 003 
 
 
industry's competitiveness via branding.  The Joint Apparel 
Association Forum (JAAF), comprised of both the major and the 
majority of garment producers, has started an international campaign 
entitled "Garments Without Guilt."  Its goal is to set Sri Lanka 
apart from garment producers in China, Bangladesh, Cambodia, etc. 
The campaign focuses on Sri Lanka's positive labor practices in the 
garment sector - no child labor, no forced labor, free of 
discrimination of any kind, free of sweatshop conditions.  The 
campaign also highlights the textile industry's initiatives on 
women's empowerment and rural poverty alleviation.  JAAF hopes that 
as international consumers become more discerning about purchasing 
garments from reputable suppliers, Sri Lankan products will continue 
to rise in reputation and suppliers will actively seek it out to 
respond to customer demands for apparel produced in non-sweatshop 
conditions. 
 
g) Sri Lanka is a member of several free trade agreements:  The 
South Asia Free Trade Agreement (SAFTA); the Indo-Sri Lanka FTA 
(ISFTA); and the Pakistan-Sri Lanka FTA (PSFTA).  However, there are 
some restrictions on textile imports under the ISFTA.  Specifically, 
Sri Lanka is allowed to export six million pieces of garments 
duty-free, provided they are made with Indian fabric, imported via 
specific Indian ports, and have at least 35% value addition in Sri 
Lanka.  An additional two million garments can be exported at 25% of 
the normal duty rate.  However, due to these restrictions, Sri Lanka 
has not been able to penetrate the Indian apparel market.  Sri Lanka 
and India are preparing to sign an additional Memorandum of 
Understanding to ease restrictions on textile exports to India in 
early October.  This MOU will allow three million of the 
aforementioned six million pieces to enter India at any port and 
without restrictions on the country of origin of the fabric.  While 
not an FTA, the EU's GSP+ program, which allows Sri Lanka to export 
garments to the EU duty-free, has greatly benefited Sri Lanka since 
2005.  Sri Lanka's exports to the EU increased by 17% in 2006 and 
accounted for 40% of garment exports.  Exports to the EU grew about 
27% in the first half of 2007.  Exports to the U.S. declined 
marginally in the first half of 2007. 
 
h) Sri Lanka's apparel manufacturing sector is taking action to try 
to ensure it will be able to survive in both a post-China safeguards 
environment and as global competition for textiles and apparel 
increases.  By working to brand itself as an ethical producer of 
garments, it is hoping to appeal to the educated consumer in 
American and European markets.  Producers are also in the beginning 
phase of targeting eco-friendly businesses and consumers:  the two 
largest garment-producing companies, MAS and Brandix, will open 
eco-friendly plants by year's end.  Such efforts are resonating with 
some American and European companies.  However these efforts, while 
laudable, are not without risk.  There is concern among industry 
representatives that clothing companies, wanting to protect their 
bottom line, will be forced to abandon Sri Lanka's sector in favor 
of cheaper garments from countries such as China and Bangladesh. 
Nevertheless, the sector feels that the risk is worth the possible 
benefits, and is what it must do to survive in the long-term.  Time 
will determine if this strategy is successful.  To date, it is 
resonating with some companies; Victoria's Secret, GAP, The Limited, 
and Abercrombie and Fitch continue to place orders and to highlight 
Sri Lanka favorably in their annual corporate reports. 
 
i)  N/A 
 
--------------- 
3.  Data: 2006 
--------------- 
 
Total industrial production: (Millions of USD)   8,444.5 
Total textile/apparel/leather production (Millions of USD) 3,137.9 
 
Textile/apparel exports: Millions of USD)  3,080.3 
Textile/apparel share of total exports: (Percent) 44.7 
Textile and apparel share of total imports: (Percent) 15.1 
Textile and apparel exports to the US:(a) (Millions of USD) 1,709 
 
COLOMBO 00001355  003 OF 003 
 
 
 
Total manufacturing employment: 1,363,000 
Total textile and apparel employment (b) NA 
 
-------------------------- 
4.  Data: Jan - June 2007 
-------------------------- 
 
Total industrial production: NA 
Total textile/apparel/leather production:  NA 
Textile/apparel exports: (Millions of USD)   1,580.9 
Textile/apparel share of total exports:  44.3 
Textile and apparel share of total imports:  15.4 
Textile and apparel exports to the US:(a) (Millions of USD) 830.1 
Total manufacturing employment: NA 
Total textile and apparel employment:(b) 270,000 
 
(a) Based on USITC data 
(b) Estimate provided by Joint Apparel Associations Forum (JAAF) 
 
 
BLAKE