Adjusting To Free Trade Egypt's Textile And Ready Made Garment Industry

Abstract

This paper investigated the sources of competitive pressure facing the Textile and ready made garment producers in the course of trade liberalization within the framework of the free trade agreement concluded between Egypt and the European agreement. The main sources of competitive pressure and the main impediments to efficient adjustment to free trade were found to be institutional in nature namely the custom law. Competitive pressure further arises due to the recession and due to the scarcity of some inputs like skilled labor and capital.