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Textiles and
Garments
The Palestinian garments and textiles sector employs an estimated 65,000 workers
in the West Bank and Gaza and contributes approximately 15 percent of
Palestinian manufacturing output. Most manufactures employ fewer than 20 workers
but a few companies have more than 100. Palestinian producers sell approximately
70 percent of their production locally (accounting for a 20% local market share)
with an additional 20 percent being sold to Israel (and through Israel agents to
overseas markets). A small amount is exported directly to overseas buyers. Total
investment in the sector is estimated at $46 million, much of which is in the
form of the latest equipment used by mostly family owned enterprises.
It is clear from these figures that the garment and textile sector makes an
extremely important contribution to the Palestinian economy. It is an industry
in the midst of redefining itself, however, as international competitive
pressures make it more difficult for Palestinian products to compete on
international markets when marketed through existing channels, primarily Israeli
agents.
The Palestinian industry is determined to increase its operating efficiency and
reorganize itself in ways that will make its products more marketable
internationally. These efforts include the combining of three industry
associations into one umbrella organization, intensive and extensive training
programs aimed at improving operating efficiency, strengthening costing and
pricing capabilities, organizing joint production of large orders, learning more
about international markets and practices, sourcing products jointly in volume
to obtain better prices, etc.
Palestinian producers are currently manufacturing a wide range of products
including underwear, children's wear, knitwear, tailored shirts and trousers and
others. The quality is high as is attested to by the presence of some of the
world's best known brand names on products currently exported under license to
Israeli agents.
PALESTINE TEXTILE AND GARMENTS UNION:
Three established industry associations are currently in the process of uniting
to combine their efforts and represent all aspects of the industry in the West
Bank and Gaza. The combined memberships of the three associations total
approximately 720 different companies, all with at least 10 sewing machines.
This represents approximately 90% of eligible registered companies.
Main Union objectives:
- Representation of the industry to public
sector authorities and others with regard to
government policies and regulatory requirements
affecting the industry;
- Promoting the development of the sector by
enhancing production capabilities and
introducing product standards;
- Assisting members to obtain the technical
assistance and training they require upgrading
their production capability;
- Assist members to increase their direct export
sales by facilitating joint production,
exploring new market opportunities, and
representing Palestinian products in
international markets;
- Promoting the sale of Palestinian products in
the local market.
Exports:
It is difficult to assess the export capacity of the sector since most companies
in the textiles and the garment sector are subcontractors to Israeli companies
who export the Palestinian product under Israeli tags. However, a number of
companies have succeeded in exporting directly to the US, Europe and Arab
Countries. Products exported to Europe are mainly denims, circular units and
children's wear. T-shirts, cotton shirts, men's wear and ladies wear are also
exported to a number of countries in Europe, the US and Arab Countries such as
Jordan, Kuwait and Egypt.
Union of Garments and Textile
Industries
P.O.Box 235 Biet Shour/
P.OBOX 1129 Bethlahem
Phone 2767278 Fax: 2750470
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