Multi-Fibre Arrangement

Multi-Fibre Arrangement in Global Commerce Policy

In this regard, multi-fibre arrangement is: MFA, formally Agreement Regarding International Trade in Textiles. This is an agreement between textile- producing and consuming countries concluded in 1973 and renegotiated periodically afterwards to manage trade in textile products. The entries on trade policy are here. It seeks to contain what was considered to be “serious damage” to developed country producers by the increasingly competitive developing country textile industries through the concept of market disruption. The MFA was aimed at defined target countries and thus violated the GATT non- discrimination provisions. The entries on trade policy are here. Apart from raising prices in affected consumer countries, the MFA also had the effect of forcing developing countries into higher-value lines and in this way undermining further the competitiveness of developed countries. The MFA was replaced by the WTO Agreement on Textiles and Clothing under which restrictions are to be phased out over 10 years starting on 1 January 1995. See also Short-Term Arrangement Regarding International Trade in Cotton Textiles and Long-Term Arrangement Regarding International Trade in Cotton Textiles.[1]

Multi-Fibre Arrangementin the wold Encyclopedia

For an introductory overview on international trade policy, see this entry.

Resources

Notes and References

1. Dictionary of Trade Policy, “Multi-Fibre Arrangement” entry (OAS)

See Also