According to the Garments and Textile Export Board (GTEB), earnings from garments declined by 14.85 percent to $1.071 billion from January to May this year compared to last year’s $1.258 billion.
Shipments to quota countries tumbled by 17.02 percent to only $926.209 million as demand from the country’s biggest buyers–the US and Canada – fell substantially during the five-month period.
Import quotas by the US ensure that smaller countries such as the Philippines have access to the lucrative American market with bigger players not allowed to sell as much as they would like to.
Demand from the US declined by 18.85 percent to $778.974 million in the first five months of the year compared with $959.866 million a year ago.
Likewise, shipments to Canada fell by 17.22 percent to $22.630 million from $27.339 million last year.
However, the Philippines had better luck with its exports to the European Community which posted a moderate drop of 3.41 percent to $124.604 million during the five-month period from $129.008 million last year.
Also mitigating the noticeable drop in the quota markets, was the 2.19 percent growth in garment exports to non-quota countries.
From exports amounting to only $142.182 million last year, shipments to non-quota countries went up slightly to $145.302 million this year.
Among the EEC markets which posted a growth in demand were France, Greece, Spain and Sweden.
Shipments to Greece posted the highest growth of 133.21 percent to $171.755 million.