6.7.92 OfficialJournaloftheEuropeanCommunities NoC169/25
OpiniononthedraftnoticefromtheCommissiontotheMemberStateslayingdown
guidelinesforoperationalprogrammeswhichMemberStatesareinvitedtoestablishwithin
theframeworkoftheCommunityinitiativeforregionsheavilydependentonthetextilesand
clothingsector(Retex)
(92/C169/09
On28January1992theEconomicandSocialCommitteedecidedtodrawupanown­
initiativeOpinion,underfourthparagraphofArticle20oftheRulesofProcedure,onthe
abovementioned draftnotice.
TheSectionforRegionalDevelopmentandTownandCountryPlanning,whichwasrespon­
sibleforpreparingtheCommittee'sworkonthesubject,adopteditsOpinionon8April
1992.TheRapporteurwasMrSmith.
Atits296thPlenarySession(meetingof29April1992),theEconomicandSocialCommittee
adoptedthefollowingOpinionunanimously .
1.Introduction
1.1.TheCommunity'stextileandclothingindustry
directlyemploysmorethanthreemillionpeopleof
whichasubstantialpercentagearewomen(±70%),
yieldingaproductionofmorethanECU150billion.It
thuscontributessubstantiallytothesocio-economic
balanceoftheCommunityandinsomeregionsprovides
uptomorethan50%ofindustrialjobs.Despitecurrent
restructuring ,thisimportantsectorcontinuestocome
upagainstmajordifficulties .1.4.TheRetexCommunityInitiativeProgramme
proposedbytheCommissionon18December1991:
—isdesignedtospeedupeconomicdiversification ina
numberofregionsheavilydependentonthetextile/
clothingindustry,
—laysdownaseriesofmeasuressupplementing the
CommunitySupportFrameworks (CSF),
—targetsObjective1,2and5bareascoveredbythe
EuropeanRegionalDevelopmentFund,
—hasabudgetof5xECU100million(1993-1997),
—istobeimplementedviaMemberStates. 1.2.Theprobableintegrationofinternationaltrade
intextilesandclothingintotheGeneralAgreement
onTariffsandTrade(GATT),negotiationsonthe
associationofEasternandCentralEuropeancountries
withtheCommunityandcompletionoftheSingle
Marketwillallresultinmoreliberalization oftrade
intextileandclothingproducts.Regionswhichare
economicallyandsociallyheavilydependentonthe
textileandclothingsectorwillthusfacegrowinginter­
nationalcompetitionwhichwillforcefirmsintofurther
adjustments .2.GeneralcommentsontheproposedRetexpro­
gramme
2.1.Theprogramme'sobjectives
2.1.1.Retexisdesignedtospeedupeconomicdiver­
sificationinregionswhichareheavilydependentonthe
textileandclothingsectorandfacilitatethemoderniza­
tionofpotentiallyviablefirmsinallindustrialsectorsin
theseregions.Retexisthereforearegionaldevelopment
actionandnotasectoralprogramme .
2.1.2.TheCommitteeneverthelessstressesthatthis
programmeisonly'one'elementofamoreextensive
wholeandthatfortheretobesignificantimprovement
intextile/clothingregions,MemberStatesandtheCom­
munityhavetoadoptoverall,coherentmeasuresfor
industryandcommerce.TheResolution,adoptedby
theEuropeanParliament,on'therestructuringofthe
textileandclothingindustryintheCommunity',also
calledforaseriesofcoordinatedactionsincluding
Retex(3).1.3.Inlate1991,duringthediscussionsonthetex­
tileschapterofthenegotiatingbrieffortheassociation
agreementswithPoland,Czechoslovakia andHungary,
theCommissionundertooktopropose'structural
measurestomodernizeandincreasethecompetitiveness
oftheindustryinPortugalandintheotherCommunity
regionsaffected'(!).AtitsOctober1991session,the
EuropeanParliamentadoptedaresolution(2)onthe
restructuringofthetextileandclothingindustryinthe
Community ,interalia,callingontheCommission'in
thenearfuturetodrawupaRetexCommunityaction
programmeforthissector'.
HDoc.SEC(91)2542final,ExplanatoryStatementPoints.
(2)OJNoC305,25.11.1991,p.91. (3)OJNoC305,25.11.1991,p.91.

NoC169/26 OfficialJournaloftheEuropeanCommunities 6.7.92
—thatmaximumcooperationwithotherprogrammes
aimedatwomenispromoted.
2.2.5.TheCommitteenotesthatthetextile/clothing
sectorcrisisparticularlyaffectsregionswhereunem­
ploymentisalreadyhigh.Theseareoftenindustrial
regionswithmajorreconversiondifficulties .Bystress­
ingtheneedtoencouragedevelopmentpotentialto
advantage,Retexundoubtedlyisawiseapproach1)to
structuraldevelopmentgearedtothefutureand2)to
creatingnewjobsintheregionsconcerned .However,
thesemeasureswillnotbeenoughtosolvetheregions'
problems.Specialcoordinationshouldbeensured
betweentheRetexprogrammeandsocialback-up
measurestakeninothercontextswhichwouldrequire
anincreasedflexibilityamongtheseothermeasures.
Thiswouldallowbetteraccounttobetakenofa)the
timedifferencebetweentheadjustmentstobemade
bysometextile/clothingfirmsandb)thelongerterm
beneficialeffectsofdiversifyingtheeconomiesinthe
regionsconcerned .
2.3.Eligibleregions
2.3.1.Retexistoapplytozonesheavilydependent
onthetextile/clothingindustryandeligibleforEuro­
peanRegionalDevelopmentFund(ERDF)aidunder
Objectives1,2and5b.Theyare,inprinciple,regions
eligiblein1993;however,criteriacouldbereviewed
beforetheendof1993inthelightofnewlegislation
ontheStructuralFunds.2.1.3.Thereisaneedforaco-ordinated external
tradepolicybasedonvoluntaryactionwhichmust
promotefairtradeandeliminateunfaircompetition
andabuseoftrade(e.g.socialdumping,counterfeit
products,piratedtrademarks,subsidies).Otherwisethe
worthofregionalpolicymeasuresforregionsheavily
dependentontextile/clothingindustrieswillbeunder­
mined.
2.1.4.Finally,theCommitteehopesthat,although
themainobjectiveofRetexisondiversification within
textileandclothingregionsitishopedthateveryeffort
willbemadetoensurethattheproposedmeasuresalso
helpimprovetheperformanceofthetextileandclothing
sectorsthemselves .
2.2.Eligiblemeasures
2.2.1.Themeasuresproposedcoverallindustrial
sectorsandcomplementmeasuresalreadyexisting
undertheCommunitySupportFrameworks .Eligible
measurescanbegroupedinto'soft'measures:
—improvements inknow-how,
—helptosetuplocalbusinessassociations ,
—theformationofteamstoprovideideasandadvice,
—grantsforvocationaltrainingandretraining
schemes,
andfinancialaidmeasures :
—temporarycontributionstowardswagesofengin­
eers,technicalstaffandmanagersrecruitedtohelp
implementmodernization plans,
—rehabilitation ofindustrialwastelandandaidto
reducepollution,
—improvedaccesstoventurecapitalandloans.
2.2.2.TheCommitteeconsidersthatthe'soft'type
ofmeasuresshouldbefavouredoverfinancialaid
notablyforinvestment,evenifinsomecasessome
facilitiesareastraightforward complementtotheother.
2.2.3.TheCommitteealsoendorsesthefactthat
eligiblemeasuresexcludefinancialaidforinfrastruc­
turesandproductionequipmentalreadycoveredby
CSFprogrammes .
2.2.4.TheCommitteehasnotedthehighlevelof
femaleemploymentinthetextile/clothingindustries.It
thereforerequeststhatCommissionandtheMember
Statespayparticularattentionto
—inthecaseofdiversification ,ensuringthatwomen's
accesstoemployment ismaintainedandencour­
aged,and2.3.2.Whileunderstanding thatfundingforthe
RetexprogrammeviatheERDFentailscompliance
withrulesanddirectivesapplyingtotheERDF,the
Committeewoulddrawattentiontothefactthatonly
regionslaggingbehindindevelopment ,decliningindus­
trialregionsandless-favouredruralareas,asdefined
in1988/1989,willbeeligibleforRetexassistancein
1993.Thismeansthatanumberofotherregionswith
ahighconcentration ofjobsinthetextile/clothing
industryandexperiencinghighunemployment orthrea­
tenedbymajorjoblossesinthenearfuturewillnotbe
coveredbytheRetexprogrammein1993.TheCom­
missionshouldgivethismatterfurtherconsideration .
2.3.3.TheCommitteenotesthattheExplanatory
Memorandum ontheRetexprogrammeforeseesthat
in'thenextphaseofStructuralFundoperationsitmay
benecessary,inconjunctionwiththeMemberStates,
toreviewitsapplicationbeforetheendof1993inthe
lightofthenewStructuralFundlegislation'(1).Itinsists
HDoc.SEC(91)2542final,ExplanatoryStatement,point8.

6.7.92 OfficialJournaloftheEuropeanCommunities NoC169/27
thatthisclauseisinsertedintothemainbodyofthe
Notice'stext.IfflexibilityunderCommunityinitiatives
isincreasedtoallowoperationsincertaincurrently
non-eligibleregionsthentheCommitteewouldwant
theCommissiontoprovideadditionalfundinginpro­
portiontoencompassthese.
2.4.TheCommunity'sfinancialcontributiontoRetex
2.4.1.TheCommunitycontributiondeemednecess­
aryuptotheendof1993isECU100million.Inthe
fourotheryears(4xECU100million),Retexistobe
financedfromStructuralFundappropriations stillto
bedeterminedforthepost-1993period.Initially,80%
oftheCommunitycontributionwillbeallocatedto
Objective1regionsand20%toObjectives2and5b
regions.Apportionment amongMemberStateswill
varyaccordingtocurrentemploymentlevelsinregions
andgroupsofregionsmeetingthefollowingcriteria:
—classifiedasObjectives1,2and5bregions,
—withatleast2000jobsinthetextileandclothing
industries,
—wherethetextile/clothingsectoraccountsformore
than10%oftotalindustrialjobs.
2.4.2.TheCommitteereiteratesthatitwillnotbe
possibletosolvetheproblemsfacingtherelevant
regionsatregionallevelalone.Firms,regionsandMem­
berStatesshouldundertaketounderpinregional
restructuringbyintroducingsupplementary measures
onthesectorallevel.
2.4.3.TheCommitteealsonotesthattheCom­
missionNoticegivesnoindicationatallastothe
shareofexpendituretakenonbytheCommunity ;it
neverthelessseemsthatERDFruleswillapply.How­
ever,itdoesasktheCommissiontoclarifythispoint.2.4.4.Stillinthesamevein,theCommitteeemphas­
izesthefactthatCommunityfundingmustbe
additionaltonationalmeasures.Itthereforeinsists
thattheCommunityopposeanyreductioninnational
budgetaryresourcesearmarkedforsocialback-up
measuresinregionsorMemberStatesbenefitingfrom
theRetexprogramme .
2.5.Implementation
2.5.1.MemberStateswishingtobenefitfromRetex
areinvitedtopresentoperationalprogrammeswithin
sixmonthsofthedateofofficialpublicationofthe
notice.TheCommitteeregretsthattheRetexNotice
onlymentionstheroleofMemberStates,withoutrefer­
ringtotheneedtoconsulttheregionsforwhomthe
programmeisultimatelydesigned.
2.5.2.TheCommitteestressestheneedtosecurethe
involvementofallpartiesconcerned (Community ,State
andregionallevelsincludingemployeeandemployer
representatives )notonlyindraftingoperationalpro­
grammesbutalsointheimplementation ,monitoring
andassessmentofaidprogrammesapprovedunder
Retex.Thiswouldhelpstrengthenregionalinitiatives
andguaranteetransparencyasregardstheobjectives
andcontentoftheapplications ,proceedings ,funding
andresultsoftheRetexprogramme .
2.5.3.TheCommitteefeelsthat,inselectingprojects,
fundsshouldnotbemadeavailableforapplicantswho
donotcomplywiththeInternationalLabourOrganis­
ation(ILO)minimumstandards,viewedasbeingof
fundamentalimportanceforworkers.
2.5.4.TheCommitteealsodeemsannualarrange­
mentsforassessingtheresultsofaidprogrammestobe
indispensable .
2.5.5.Finally,theCommitteerecommendsthatthe
proceduresforsubmittingandexaminingthepro­
grammesbesimplifiedsothataccesstoRetexisnot
delayedorhindered.
DoneatBrussels,29April1992.
TheChairman
oftheEconomicandSocialCommittee
MichaelGEUENICH