Ecuador’s textile industry will be in the red today

According to news from Ecuador’s “Today” on June 5, the Ecuador Textile Association stated that Ecuador’s domestic textile industry will be in the red this year. Last year, the output of Ecuador’s textile industry increased by 9.9% year-on-year, with an output value of US$600 million. The three important reasons for the decline in sales in the first five months of this year are: first, the reduction in government procurement, which accounted for 10% of total sales in the first quarter of this year from 25% before; second, the impact of low-priced imported clothing; Third, Ecuador’s customs announced that packages worth less than US$400 or weighing less than 4 kilograms are not required to pay customs duties. Therefore, Ecuador’s residents are more likely to use “overseas shopping” to purchase clothing. Regarding losses, Javier Díaz, president of the association, expressed optimism about future industry growth. “Loss is conducive to optimizing the industrial structure and creating more competitive enterprises.” Currently, there are more than 500 registered textile companies in Ecuador. .