Assessing Competitiveness In Moldova's Economy - Economic Growth

Development Alternatives, Inc. Moldova Competitiveness Assessment: The Textiles & Apparel Cluster
the EU countries which are engaging firms in Eastern Europe and the CIS in tolling
operations, especially as the EU expansion is pushing the reach of these operations eastward.
Importantly, though, Moldova’s apparel producers have been gaining market shares in
recently (2001-2003) growing EU markets, as illustrated in Table 2. These product categories
account for US$73.2 million of apparel and textiles exports, or just about US$50 million
without the bed linen (HS 6302) produced in Transnistria. For another US$32 million,
Moldova’s apparel producers have been losing market in growing EU markets.
Rising stars
Table 2: Moldova apparel and textiles exports to the EU
Growth
rate of
imports
Growth rate
of Moldova
market share
2003 exports in
USD million
6204 Womens’ or girls’ suits, ensembles, etc., not knit or crocheted 1.5% 28.4% 27.8
6302 Bed linen, table linen, toilet linen & kitchen linen 0.1% 66.5% 23.0
6109 T-shirts, singlets, tank tops, etc., knit or crocheted 5.2% 1.6% 6.9
6110 Sweaters, pullovers, vests, etc., knit or crocheted 0.3% 8.8% 6.4
6111 Babies’ garments & accessories, knit or crocheted 0.7% 99.4% 1.9
6209 Babies’ garments & accessories, not knit or crocheted 0.7% 10.2% 1.7
6108 Women’s or girls’ slips, pajamas, etc. knit or crocheted 0.1% 30.1% 1.1
6107 Men’s or boys’ underpants, pajamas, etc., knit or crocheted 8.6% 170.7% 0.3
Total 69.8
Declining stars
6203 Men’s or boys’ suits, ensembles, etc., not knit or crocheted -2.2% 43.0% 13.1
6206 Women’s or girls’ blouses & shirts, not knit or crocheted -4.9% 26.8% 5.7
6202 Women’s or girls’ overcoats, etc., not knit or crocheted -0.3% 0.2% 4.6
6211 Track suits, ski suits and swimwear -1.6% 31.0% 3.8
6105 Men’s or boys’ shirts, knit or crocheted -11.7% 22.4% 3.2
6104 Women’s or girls’ suits, ensembles, etc., knit or crocheted -4.6% 22.3% 1.7
6103 Men’s or boys’ suits, ensembles, etc., knit or crocheted -0.5% 39.1% 1.0
Total 33.2
Dark stars
6201 Men’s or boys’ overcoats, raincoats -6.4% -1.1% 5.1
5208 Woven cotton fabrics, nu 85% cotton, wt. Nov 200g/m2 -7.7% -32.4% 1.6
6205 Men’s or boys’ shirts, not knit or crocheted -5.5% -1.2% 1.1
Total 7.8
Figure 17 offers a visual summary of Table 2, again at the 4-digit HS level. It shows clearly
that Moldova is strongly positioned in growing submarkets. Where it is losing market share
is in the categories that account for a smaller portion of total apparel exports; one of these
categories, track suits and other sports apparel, has actually been growing, but at a slower
rate than the respective market expansion.
July 2004 • DRAFT Page 8