WRITTEN QUESTION E-3449/98

by Amedeo Amadeo (NI) to the Commission

(24 November 1998)

Subject: European textile industry

With reference to the Commission Communication to the Council, the European Parliament, the Economic and Social Committee and the Committee of the Regions relating to a plan of action to increase the competitiveness of the European textile and clothing industry (COM(97) 454 final), will the Commission ensure that the action plan is given sufficient substance (in the form of pilot schemes, comparative analyses, etc.) in order to encourage cooperation between companies? This could include joint promotion activities vis-à-vis third countries, the creation, through the exchange of electronic data, of systems which ensure rapid response and involve SMEs, craft industries, secondary suppliers and specialised distribution, a strengthening of the JEV instrument for businesses and the networking of specialised training institutes in association with economic operators.

Joint answer

to Written Questions E-3421/98, E-3447/98, E-3448/98 and E-3449/98 given by Mr Bangemann on behalf of the Commission

(13 January 1999)

The strategy set out in the Commission's communication on the action plan concerning the competitiveness of the textile and clothing industry forms part of the supportivel aspect of industrial policy. Against this backdrop the Commission is currently putting the final touches to a management chart whose main purpose will be to identify specific activities which can support any action by economic operators in the textile and clothing industry that is able to prompt better utilisation of the opportunities offered by the Structural Funds, the research and development (R& D) programmes and the programmes intended for small and medium-sized businesses (SMBs).

In view of the research being carried out, more particularly on new working methods, electronic commerce and the use of multimedia tools (34 % of the funds available) a substantial part of the future framework R& D programme put forward by the Commission is devoted to support for innovation. The part concerning the key "Innovative industrial products, processes and organisations" project will absorb roughly 4 % of the budget for the framework programme. In addition the Commission has stated that 10 % of the budget for the framework programme would be allocated to SMBs. In cooperation with the major economic operators the Commission has identified a number of projects, under the action plan, which may be funded via the future framework programme.

The Commission is closely monitoring developments in the economic situation in the South-East Asian countries. The industry concerned had considered that area to be a promising market for textile and clothing products. This is illustrated by its growing prominence in the sales abroad of European textile and clothing products. According to the analyses conducted by the Commission the Asian crisis will have an impact on the foreign trade in those products, above all in up-and mid-market products. Since the funds available are limlited the Commission does not intend to carry out a study in this area, but it is keeping a close eye on the developments taking place.

The action plan put forward by the Commission has enabled it to identify a certain number of areas to be given preference. These should inspire action by those involved in this industry, namely companies, trade associations and the trade unions, and also the national public authorities and those of the Community. The dialogue begun with both sides of this industry has enabled the Commission to conclude that the intended action is likely to receive financial support under existing financial programmes and instruments, including the action launched at the Luxembourg European Council in November 1997.