TEXTILE AND FIBER INDUSTRIES

MEMBERS:

GONZA CHACMANA, MIRACLES

ROSALES ZAPAILLE, ALEX

COCHACHIN ESPINOZA, HECTOR FELIPE

REYES ALVARADO, VICTOR

INCA ROMAN, PAUL FRANCISCO

ESCATE CHUMBES, HENRY JESUS

CASTAÑEDA GRISPO, JESUS

VELARDE SALDAÑA, NESTOR

GUTIERREZ, GINO
 1) WORK REPORT

1st MEETING:

 It took place on Monday, November 18, 2012, in the respective room where the
Geography and Natural Resources class is taught.
 The group was formed and the textile industry was chosen as the topic.
 The election of the distribution of the subtopics that would fall to each member was
carried out.
 The next meeting was agreed on Monday, November 26 of this year.

2nd MEETING:

 Monday, November 26 of the present.

 The advancement of each subtopic by each member of the group was confirmed.
 A maximum date was coordinated for the finished delivery of the work, in order to
begin the preparation of the executive summary (slide presentation).

3rd MEETING:

 December 6, 2012.
 All the work has been compiled, now we will proceed to organize it and prepare the
executive summary for final review.
 The work will be sent no later than tomorrow, December 7, to the course delegate,
so that she can present it to the course professor.

2) PREHISTORY TEXTILE
Textile industry is one of the oldest activities carried out by man, since in the Paleolithic
(20,000 years BC) the presence of bone needles that would be used for sewing skins has
already been recorded. Man was able to manually intertwine fibers, still rigid, to make the
precursors of the first fabrics. Weaving has always been an element of exchange between
communities and a bond of union with divinity, in addition to having a protective and
ornamental purpose.

Although no fabrics of the most remote antiquity have been preserved, we have testimonies
that help us intuit their presence, such as traces on weapons, metal buttons, and decorative
objects. At the end of the Stone Age, man was already able to count on a loom with
accessories that may have been made up of a simple horizontal tree branch to which fibers
would be attached that would constitute the warp, tensioned with stones at the other end; and
the textile technique was probably already known in the seventh millennium, when in the
Neolithic the first sedentary populations began to be established that had plants and animals
at their disposal that provided raw materials. At the Neolithic site of Tell-Halula (Syria),
impressions of fabrics dating to around 7500 BC have been found. and in Kown (Syria)
impressions of fabrics on plaster plasters dated around 5800 BC (1) and between the fourth
and second millennium, an important textile activity would develop in Europe and the
Mediterranean area. The fabrics would be executed without decoration until man felt the
spiritual need to embellish them, although it is unknown by what procedures.

Linen and wool, the oldest fibers used in the Mediterranean Basin, were at first worked in
their natural state, providing fabrics of uneven texture, but when the practice of spinning
spread, more uniform fabrics were obtained. The use of silk is evident in China in the Shang
dynasty between the 17th and 11th centuries BC, although it seems that it was already
known in the Neolithic era, around 3000 BC. Cotton was woven in India around 1750 BC Silk
and cotton were introduced to the Mediterranean Basin through commercial contacts with
their places of origin.

Chinese influence in materials, technique and decoration spread to the West through the “Silk
Road” especially from the Han dynasty (205 BC). – 220 AD), when a great boost was given
to foreign trade and silk fabrics began to be known in the centers of said Route, although it
would be after several centuries when sericulture was introduced in the Mediterranean Basin.

The origin of weaving in Egypt dates back to the Neolithic era. There is evidence of the
cultivation of flax since the fifth millennium BC, and from the first dynastic times the
weavers were very skilled in the execution of fine fabrics that, in addition to being used for
clothing and the decoration of their buildings, were used in practice. of mummification, for
which several meters of linen bandages (bissus) were necessary, carefully folded and
crisscrossed so that they formed an intricate pattern. From the pictorial representations of
the tombs we know that they knew the horizontal loom and the vertical loom, thus in the
mausoleum of Beni Hassan (around the year 3000 BC) a horizontal loom is shown
although with a completely depressed representation and in the tomb of ThotNefer of The
18th dynasty (15th century BC) already represented the vertical loom. It is possible that
this one supplanted the first in the textile activity, but we do not have clear evidence of this.

The almost exclusive use of linen and the difficulty of dyeing this fiber enhanced the taste
for undecorated fabrics until oriental taste penetrated Egypt. Due to the resistance that
linen fibers offer to dyeing, the printing technique was developed in Egypt, decorating
printed fabrics with lotus flowers and birds.

In the Ancient East, a meeting point where fundamental options were determined in the
language of weaving, they achieved great richness and sumptuousness and although
there are few vestiges that prove their splendor, it can be guessed from the figurative arts
where they are displayed in The ornamentation of the costumes is an ostentation typical of
oriental taste and an example of this is the Frieze of the Archers, from the palace of
Artaxerxes in Susa and dated between 405 and 359 BC.

The different empires of the Ancient East showed great skill in weaving wool obtained from
the numerous and cared for flocks, linen, cotton from India and silk from China. They also
incorporated gold threads to further enrich their luxurious fabrics. The decoration was
arranged in horizontal rows, staggered or forming symmetrical compositions, included in a
circle, in which the tree of life marked the axis around which animal motifs such as birds,
fantastic animals, animals devouring each other were faced or attached. yes, horsemen
fighting or hunting... the latter arrangement that was perpetuated in European textile art
until the end of the Middle Ages, although losing its original meaning that revolved around
the Mazdean principle of the fight between good and evil. Among these fabrics, the
Babylonian peristromata achieved great renown, fabrics originating from Babylon with the
most varied figurative decoration, although we do not know if this was woven or
embroidered, which Homer already mentions in the Iliad and they still enjoyed prestige in
the Roman imperial era. because, according to Pliny, Matthew Scipio paid eight hundred
thousand sesterces for one of these cloths and Nero even greater amounts, since in the
Roman market they were valued according to their weight in gold. Of this type are the
fabrics that are represented in the clothing of the characters in the Assyrian reliefs.

The taste for oriental fashion reached Greece, as seen in the representation of the Chiusi
Vase, where Penelope weaves a cloth decorated with winged figures and winged horses, or in
the François Vase. In Greece, spinning was done with spindles, the distaff was used to make
the balls and the most used loom was the vertical weight loom, in which a weight was
suspended from each warp thread to tension it. Of this type is the loom that is represented on
the Chiusi Vase and on the Boeotian vases of the 5th century BC. where Circe is represented
with Ulysses busy with the tasks of spinning and weaving.
The Greeks learned about cotton in the time of Alexander and, as has already been said, they
were the ones who introduced the wool industry to Egypt on a large scale, highlighting among
the scarce remains of Greek fabrics the wool tapestries found in Kerch (Ukraine). , dated to
the 3rd century BC and decorated based on tonal gradations with ducks swimming in a purple
sea, which constitutes from a technical point of view an antecedent of Coptic fabrics.

Rome followed the Greek textile traditions but did not excel in the art of weaving, although
this art was developed in some provinces of the Empire with a textile tradition anchored in
the past Syria and Egypt mainly - which supplied fabrics to the metropolis and the
provinces with a less developed textile industry. In the Republican era, the Romans
adopted Greek-type clothing, but due to its simplicity, the privileged classes soon
abandoned linen and wool garments for silk garments luxuriously decorated with gold
stripes with embroidered applications – aurumphrigium – imported from the East. The
abuse of these garments led to the fact that at the end of the republican era and in the
imperial era, factions had to be published against ostentation in clothing, restricting the use
of silk and limiting and even prohibiting purple clothing, since the Citizens of any order
dressed as luxuriously as their economic possibilities allowed, to the point of not being
able to distinguish the person's social rank from clothing. This custom is also criticized by
writers and intellectuals of the time. Thus, the luxury and splendor of the clothing, even
adorned with gold threads and rhinestones, was such in the period of decline of the
Empire that intellectuals such as Juan Chrysostom, Asterio or Saint Jerome himself
harshly criticized these customs from which Christians were no strangers. But silk fabrics
became so deeply rooted in Rome that when Alaric entered the capital of the Empire, it is
said that he took four thousand tunics of this material as loot.

In Syria, where the textile industry had already stood out in Antiquity and where the one-
piece tunic made of linen, with a taffeta weave, and adorned with stripes of wool, had its
origin, which inspired the Egyptian dress and one of whose examples oldest was found in
Troy dating back to around 2500 BC, the development of textile activity continued at the
beginning of our era in cities such as Antioch, Palmyra and Dura Europos and the
technique and decoration of its fabrics, as well as the typology of its tunics They spread
throughout the Mediterranean basin, decisively influencing the Coptic textile industry.
Syrian fabrics constitute a fundamental reference to assess the affinity of the textile
industry of the different provinces of the Empire from a technical and decorative point of
view, although based on the same budgets in each area it evolved according to its own
traditions.

Upper Archaic:

Sedentary farmers (4,500 BC 1,500 BC)

When groups establish themselves in a certain place, they become sedentary. The
primitive agricultural and livestock villages begin to grow into communities. So they had to
take care of the territory that provided them with sustenance. Thus, driven by economic
necessity, the notion of property was born. The community should be prepared to defend
her now not only from the weather but also from other men who would want to strip her of
her belongings.

Man's work and imagination stimulated cultural evolution. Agriculture developed,

domesticating new species such as cotton (2,500 BC), which was used in the incipient
textile activity, determining the invention of the first manual weaving techniques. The
cotton will be used to make dresses and to make fishing nets. At the end of this period the
loom was invented and with it the textile industry was revolutionized, increasing
productivity.

Archaeological finds from this period Huaca Prieta La Libertad 2,500 BCFirst cotton fabric.

Early Intermediate

Nazca, Mochica, Paracas necropolis, Virú, Recuay, Huarpa, Lima

PARACAS CULTURE

The best ones from pre-Columbian America used wool, cotton, feathers, the dyes were
animal and vegetable, geometric and animal motifs stand out.

MIDDLE HORIZON:

TIAHUANACO

1. Chronology: 200-1000 AD.

2. Geographic Location:

It was located south of Lake Titicaca

Tissue:

Their figures are represented through the distortion of the design or the “Accordion
design.” The original model is “compressed”, so that to appreciate the figure and content,
you have to unwrap the fabric as if it were an accordion. (Hangings).

WARI

Geographic location:

The Wari Society had its geographical core of development in the Huanta area,
department of Ayacucho.

Textile:

They used auquénid wool and sometimes cotton as raw materials. They achieved fine
finishes, highlighting their tapestries, which are considered among the finest in the world
(Accordion Technique) with a marked Tiahuanaquen influence. They achieved a wide
variety in the use of colors, highlighting scarlet-red, turquoise-blue and a whole range of
yellow, orange and ochre, reaching even brown. The motifs used were preferably of a
religious nature, dedicated to the cult of the god of staffs, also called “cross-eyed god”,
which leaves evidence of the religious and iconographic influence of Tiahuanaco on the
wariCHIMU.
Geographic location:

In their origins they occupied the Valleys of Moche, Chicama, Virú and Chao, Department
of La Libertad.

Textile: They knew the pencil, gauze, brocade, feathers

With the Spanish conquest of the Andes and the fall of Tahuantinsuyo, a series of
transformations began that led to the formation of modern Peru.

Starting in the 16th century, Peru began to form part of the world market, exporting the
Inca treasures looted by the conquistadors. Commercial links were also opened with Spain
and Mexico. Exports consisted of products coming from tribute in kind (textiles) and the
import of European items grew.

Finally, it should be added that with the conquest, new plants and animals were introduced
that changed the Andean landscape. Also many elements of Western technology (wheel,
glass, iron, animal-drawn plow and new architectural methods

3) HISTORY IN THE INDUSTRIAL AGE

A)In the world

By the early 18th century certain regions of Europe had accumulated considerable
concentrations of rural industry; This type of process has been called
“protoindustrialization” whose main characteristics are:

* The existence of dispersed workers.

* Urban entrepreneurs who provided them with raw materials and sold their production in
distant markets.

* Workers must buy at least part of their means of subsistence.

* They usually refer to consumer goods, especially textiles.

Around 1770, “revolutions” occurred in all sectors, giving rise to new structures of the
economy. The birth of the expression Industrial Revolution was used to describe the
period of British history that witnessed:

º Application of machinery in textile industries.

º Introduction of the steam engine.

º Triumph of the factory production system.

The 1st industrial revolution is a historical period between the second half of the 18th
century and the beginning of the 19th century, in which Great Britain first, and the rest of
continental Europe later, suffered the greatest set of socio-economic and technological
transformations. and cultural history of humanity, since the Neolithic.

The Textile Industry was the first industry to develop. In fact, the production of fabrics had
been an important economic activity in Great Britain for centuries, both for fabrics made
from wool and cotton. Much of this production was based on the so-called domestic
system. Precisely, industrialization will mean the progressive transition from artisanal
production in the domestic sphere through the use of very simple tools or machines to
production in large factories (factory systems) with dozens of looms powered by hydraulic
energy or by means of steam engines.

Throughout the 18th century the textile industry would experience important technical
innovations. Most of which will be made by artisans without special scientific knowledge.
Continuous and accelerated innovation, compared to artisan techniques and tools that had
remained almost unchanged for centuries. In just fifty years a few inventions will put an
end to century-old tools and make way for mass production.

The 1st invention of the textile industrial revolution was THE FLYING SHUTTLE. It was
invented in 1733 and invented by John Kay. It allowed the weaving capacity of English
artisans to be doubled. Until then, the spinning process was carried out with the spinning
wheel or the spinning wheel. John Kay was the inventor of the flying shuttle.

The answer would be the new spinning machine: SPINNING JENNY, which multiplied the
capacity of the spinners, although they still used the human power of the workers as
energy. It was invented in 1764 by James Hargreaves. It was developed as a machine
with 8 reels at one end turned by a larger wheel than in normal machines.

The leap to an industrial system probably occurred with the invention of a spinning
machine that used water as a driving force: the WATER FRAME. It was invented by
Richard Arkwright in 1768. This invention required the concentration of numerous
machines and workers working full time under the roof of a building located next to a
powerful stream of water

Another important spinning machine was the MULE which was a cross between the jenny
and the waterframe. It produced a finer thread and was capable of more than 300 uses at
a time. It was invented by Samuel Crompton in 1779, Samuel Crompton: inventor of the
MULE-JENNY

The most important step will be taken with the launch of the first mechanical looms
powered by steam engines. Already around 1785 Cartwright had patented a loom powered
by hydraulic power. In the following years they will be able to apply the power of steam to
that loom in an efficient way.

The creation of factories was accompanied by an increase in the use of capital, by

incorporating machines for production, as well as a new division of labor, thereby
increasing production.

This described process translated into the transition from artisanal work or domestic work
to factory work, that is, from manual work to the mechanization of large-scale work (serial
production). This process was accompanied by the change in the raw material that was
initially used, wool, and later the use of cotton, which allowed an acceleration of production
and market supply.

The textile industry and shortly after the mining and metallurgical industry were the ones
that started this industrial revolution, the latter through the development and use of steel,
which allowed the incorporation of innovations in the development of machines. That is to
say, the three concatenated sectors allowed the industrialization process.

This entire industrialization process translated into a new division of labor, the expansion
of capital and mainly the development of commercial capital.

B) In Peru

The textile activity developed in the colonial era began shortly after the conquest of
Tahuantinsuyo; initially with native techniques and technologies and later, with the
introduction of European technologies. This activity was developed especially in the
workshops, which were mass production units of fabrics, where all the production
processes such as spinning, weaving, dyeing and finishing the fabric were carried out.

By the end of the 18th century, great indigenous rebellions occurred, such as that of the
Túpac Amaru and the Angulo brothers. These events led to the destruction and paralysis
of many of the Cusco factories.
Around the year 1780, the decline of the workshops began, causing the disappearance
and subsequent dismantling of these production centers. Throughout this period, one by
one, they will close their doors, due to the increase in smuggling of fabrics of English
origin; the struggles for the emancipation of Peru; and the lack of direction of the workers.

In Peru from the decade of 1842 to 1866, what is known as fallacious prosperity
developed, due to the economic importance of island guano. In 1845, a bill was prepared
to promote modern factories in Lima, prizes for factory pioneers, and tax privileges for
technicians and immigrant workers. All of this with the aim of generating a business
movement, on par with modern US factories. and England, which should be located in the
consumer heart of the coast. Regarding the mountains, transportation costs, distances
between ports and the mountains, and the articulation of urban markets were intimidating
obstacles to the development of the industry in this region.

The move to anti-industrialism was sudden. The State tariff laws in favor of factories were
repealed by the liberals in 1851. All the factories in Lima disappeared in these years.

On October 2, 1868, a bill was presented in the Chamber of Deputies, in which one of its
paragraphs says verbatim:

"Considering: that the cloth weaving factories, established in Quispicanchi and Pallasca,
are the first and the only ones in Peru, and that it is fair not only to favor their conservation
by facilitating the consumption of their productions, but it is also convenient to encourage
and stimulate the industrial spirit of its entrepreneurs.”

4) RECENT EVOLUTION

EVOLUTION OF TEXTILE EXPORTS

In relation to exports, in 2004 a value of US$ 1,096 million was recorded, 33.3% higher
than that recorded in 2003; This is due to the greater dynamism of the clothing subsector
aimed at the North American market . So much so that the yarn sector registered an
increase of 28.7%, textile fibers showed an increase of 23.3%, the weaving sector an
increase of 19.6%, and clothing and clothing an increase of 35.6%. The increase in the
export of value-added clothing instead of textiles shows the greater preference of the
external market towards items with higher added value.

Source: Central Reserve Bank , 2005

The destination of Peruvian textile exports in 2004 was the North American market with a
share of 80%, followed by Venezuela and Chile, with 6 and 3% respectively. Observing in
our country, that the majority of clothing companies specialize in cotton clothing and a
minority in clothing made from fine threads (vicuña and alpaca) and in some specific cases
in clothing made from other fibers; where cotton garments represent 95% of the value of
exported clothing. It was then observed that in 2004, the main garments exported were t-
shirts and shirts and blouses, which together represented close to 75% of the value of
exports.

In the accumulated period 2005, the increase in this sector was 18% and the exported
value was US$ 1,288 million. External sales of this sector were directed to 114 markets ,
nine more than those registered in 2004, the most important being the United States with a
share of 63%, followed by Venezuela (10%), Chile (3%), Spain (2 %) and Ecuador (2%).
Clothing reached sales of US$ 1,061 million in 2005, with a 21% increase. The markets
that demanded these products were: the United States with a demand for 65% of sales
followed by Venezuela with 13% of the total.

CURRENT SITUATION

In recent years, the existence of two sectors that have shown growth in exports has been
noted, such as textile-clothing and agro-industrial. This is because Peruvian businessmen
have been developing these two extraordinarily successful export sectors practically from
nothing. They are exporting products that are differentiated by their quality and are
capable of generating high added value. The growth of exports has been achieved based
on a coherent economic policy , initiated since the government of President Toledo.

The success of the textile and clothing sector, despite the cheaper prices of Chinese
garments, is due to the added value and quality of the products. Well, Peruvian garments
are sold at high prices abroad with great acceptance. So much so that lately, Prompex has
indicated that Peru exports US$1.2 billion in clothing and US$200 million in textiles.
Where, almost all of the clothing production is sold abroad.

Currently, Peru continues to be a recognized country in Latin America for its textile
industry and the quality of its cotton, which we export to different parts of the world in the
form of clothing from recognized brands worldwide, who import the garments for
distribution . Peru's own internal textile trade has grown a lot in the last two decades,
giving rise to the emergence of small industries that generate markets that supply different
sectors of society ; from popular markets to larger markets, such as department stores,
with whom they trade in wholesale sales. Likewise, Peru continues to maintain its
economy around extraction and trade, through exports,

So much so that below we show in numbers this export growth in the textile sector mainly,
between 2006 and so far in 2007.

During the fourth quarter of 2006, the Textile and Apparel Sector presented positive
growth rates (22%), accumulating US$ 422 million in exports. The Apparel category
continues to be the main sub-sector with a positive growth trend, increasing its sales
abroad by 21%. For its part, the Textiles category also showed a positive growth rate
(27%).
Likewise, in terms of subsectors, it is stated that with an export of US$ 350 million,
Clothing remains the main export item of the Textile and Apparel Sector during the period
October - December 2006, continuing with its trend. increasing, this time at a rate of 21%.
The rest of the items also presented positive growth rates during the fourth quarter of the
year. It should be noted that the participation of Clothing in the sector's total exports is
increasing, which is why the generation of jobs in the sector is increasing.

Cotton T-shirts are the main export product of the Textile and Apparel Sector,
accumulating 29% of total sales and also continuing their trend to increase (24%). In
second place we find cotton knit shirts, for men or children , which showed a significant
growth of 21% and which represent 15% of the total exports of the Sector during the
period October - December 2006.

Likewise, at the end of this period of 2006, NAFTA continues to be Peru's main trading
partner for the Textile and Apparel Sector, concentrating 60% of total exports, where the
United States is the main buyer.

The CAN is the second commercial bloc to which our exports are directed (23%), where
Venezuela is the main destination market for our products. It is worth noting the growing
participation of exports directed to this high turnover market for clothing. that despite the
multiple problems it has faced in recent years, it is opening up more to our products.

Regarding exports by company, Topy Top heads the list of the main Peruvian exporting
companies of Textiles and Clothing during the fourth quarter of the year, its sales grew
43% reaching US$ 35 million. In second place is Devanlay Perú SAC., which achieved
foreign sales of US$ 23 million in the analyzed period.

Already in 1997, during the first quarter, the Textile Clothing Sector presented positive
growth rates (8%), accumulating US$ 343 million in exports. The Apparel category
continues to be the main sub-sector with a positive growth trend, increasing its sales
abroad by 5%. For its part, the Textiles category also showed a positive growth rate (21%).

With an export of US$ 268 million, Clothing remains the main export item of the Textile
Clothing Sector during the period January - March 2007, continuing its growing trend, this
time at a rate of 5%. The rest of the items also presented positive growth rates during the
first quarter of the year. It should be noted that the participation of clothing in the sector's
total exports is increasing, which is why the generation of jobs in the sector is increasing.
5) MAIN PRODUCTS

Cotton T-shirts are the main export product of the Textile and Apparel Sector, accumulating
29% of total sales and also continuing their trend to increase (24%). In second place we find
cotton knit shirts, for men or children , which showed a significant growth of 21% and which
represent 15% of the total exports of the Sector during the period October - December
2006.

Likewise, at the end of this period of 2006, NAFTA continues to be Peru's main trading
partner for the Textile and Apparel Sector, concentrating 60% of total exports, where the
United States is the main buyer.

The CAN is the second commercial bloc to which our exports are directed (23%), where
Venezuela is the main destination market for our products. It is worth noting the growing
participation of exports directed to this high turnover market for clothing. that despite the
multiple problems it has faced in recent years, it is opening up more to our products.

Regarding exports by company, Topy Top heads the list of the main Peruvian exporting
companies of Textiles and Clothing during the fourth quarter of the year, its sales grew 43%
reaching US$ 35 million. In second place is Devanlay Perú SAC., which achieved foreign
sales of US$ 23 million in the analyzed period.

Already in 1997, during the first quarter, the Textile Clothing Sector presented positive
growth rates (8%), accumulating US$ 343 million in exports. The Apparel category
continues to be the main sub-sector with a positive growth trend, increasing its sales abroad
by 5%. For its part, the Textiles category also showed a positive growth rate (21%).

With an export of US$ 268 million, Clothing remains the main export item of the Textile
Clothing Sector during the period January - March 2007, continuing its growing trend, this
time at a rate of 5%. The rest of the items also presented positive growth rates during the
first quarter of the year. It should be noted that the participation of clothing in the sector's
total exports is increasing, which is why the generation of jobs in the sector is increasing.

Once again, cotton T-shirts are the main export product of the Textile Clothing Sector,
accumulating 24% of total sales and also continuing their trend to increase (7%). In second
place we find cotton knit shirts for men or children, which showed a significant growth of
19% and which represent 20% of the total exports of the Sector during the period January -
March 2007.

At the end of the first quarter of 2007, Nafta continues to be Peru's main trading partner for
the Textile Clothing Sector, concentrating 58% of total exports, where the United States is
the main buyer. The CAN is the second commercial block to which our exports are directed
(18%), where Venezuela is the main destination market for our products.

During the second quarter of 2007, the Textile Clothing Sector presented positive growth
rates (11%), accumulating US$ 399 million in exports. The Apparel category continues to be
the main sub-sector with a positive growth trend, increasing its sales abroad by 11%. For its
part, the Textiles category also showed a positive growth rate (12%).

With an export of US$ 308 million, Clothing remains the main export item of the Textile
Clothing Sector during the period April - June 2007, continuing its growing trend, this time at
a rate of 11%. It should be noted that the participation of clothing in the sector's total exports
is increasing (77%), which is why the generation of jobs in the sector is increasingly higher.

Once again, cotton T-shirts are the main export product of the Textile Clothing Sector,
accumulating 27% of total sales and also continuing their trend to increase (14%). In
second place we find cotton knit shirts for men or children, which showed a significant
growth of 10% and which represent 16% of the total exports of the Sector during the period
April - June 2007.

At the end of the second quarter of 2007, Nafta continues to be Peru's main trading partner
for the Textile Clothing Sector, concentrating 54% of total exports, where the United States
is the main buyer. The CAN is the second commercial bloc to which our exports are directed
with 24% participation, where Venezuela is the main destination market for our products.

Peruvian exports of textiles and clothing reached US$121.6 million in May of this year, 0.9%
higher than the amount registered in the same month of the previous year. This sector has
accumulated shipments between January and May of this year for US$588.5 million, which
represents a growth of 8% compared to the same period in 2006. In May, the main
destinations of this sector were the United States, which concentrated 47.8% of the value
and Venezuela with a share of 19.6%; Other markets with lower participation were
Colombia , Italy , Chile, France , Ecuador, Bolivia and China .

Among the most notable products in May are polo shirts, with sales of US$ 25 million and
which are mainly directed to the United States and Venezuela; and shirts (US$ 9 million -
United States and France). Blouses (US$ 4.7 million – Venezuela and the United States),
tank tops (US$ 3.9 million – United States and Venezuela) and alpaca hair are also among
the most exported products of the textile-clothing sector. in tops (US$ 3.6 million – China
and Italy).

Meanwhile, during the third quarter of this year, the Textile Clothing Sector presented
positive growth rates (12%), accumulating US$ 381 million in exports. The Apparel category
continues to be the main sub-sector with a positive growth trend, increasing its sales abroad
by 10%. For its part, the Textiles category also showed a positive growth rate (19%).

COTTON: TRADITIONAL EXPORT PRODUCTION

Cotton has traditionally been the most widely used raw material in the textile industry. Peru
produces the following five varieties of cotton: Tangüis, Pima, Supima, Del Cerro and
Aspero, of which the first two together represent 90% of national cotton production. Organic
cotton is also produced in the jungle area. Cotton production is, like most commodities,
influenced by climatological factors, such as the El Niño phenomenon that strongly affected
pima cotton production in the northern part of the country in 1998. The Pima variety is the
one with the highest exports with approximately 75% of the total exported, the Tangüis
variety is exported less due to high internal consumption by the textile industry.

Tangüis Cotton: this cotton has been produced in the department of Ica, south of Lima since
the beginning of the 20th century; its appearance revolutionized the textile industry in Peru.
It is characterized by its long fiber, resistance to diseases and parasites, and good
adaptation to most of the valleys in the central and southern areas of the Coast.
According to the international classification, Tangüis cotton belongs to the group of "Long
Fiber Cottons", along with Lambard cotton from Sudan, Giza 47 and 67 from Egypt and El
Paso and Akala cotton from the United States mainly. According to a report from the Textile
Committee of the National Society of Industries, the fiber obtained from this variety has
defined characteristics that make it unique, especially desirable for mixtures with wool and
other manufactured fibers. It is also used in mixtures with other cottons of lower quality. Due
to the good quality of its fiber, Tangüis is highly appreciated in international markets.

Pima: This variety of cotton, native to the state of Arizona, United States, was introduced
into the country in 1918. Due to the climatic conditions and soils of the Piura Valley, it
adapted perfectly to that northern area of the Peruvian coast. It belongs to the group of
"Extra Long Fiber Cottons", which also includes Menufi and Giza 68 from Egypt, and Sak
from Sudan. It is used to make knitwear, combed poplin, fine scarves and other high-quality
products. Due to the length of its fiber, it is considered among the best in the world. It is
mainly exported to Europe

CONCLUSIONS

If the State applies the appropriate measures, the greater investment would grow the textile
sector and other sectors; and, in this way, it would create a permanent multiplier effect on
macroeconomic variables and on the growth of exports, improving the balance of payments.

The textile and clothing industry is the most important source of jobs in the Peruvian
industrial sector. Approximately 10% of the entire Peruvian population depends on the
textile industry

The textile and clothing activity is supported by multiple public and private institutions that
seek to expand the participation of Peruvian products in different markets around the world,
improve production processes and develop supplier networks for different services .

Companies in the field of textile production have grown exponentially within an informal
market where they have obtained an evolution and development that exceeded all
expectations, becoming a commercial dynamism, which has not been accompanied by a
strategic business development, but On the contrary, these companies are empirically
guided by entrepreneurs who developed their skills on a day-to-day basis, based on
experience and education ; Likewise, given that global markets have different demands and
these are extremely changing, diversity must be achieved and the demands produced by
new and flexible markets must be satisfied.

Exports of textiles and clothing from Peru would be around 1,670 million dollars during
2007, which reflects an increase of 13 percent compared to last year.

Exports of textiles and clothing have doubled in the last five years, going from 664 million
dollars in 2001 to 1,471 million in 2006, thanks to the tariff benefits of the ATPDEA, and it
has become one of the five products of export with annual sales of more than 1,000 million,
along with copper , gold , zinc and fishmeal.

Peru has achieved a good position as a reliable supplier with a well-developed textile
sector, which ranges from the cultivation of cotton of unquestionable quality, and the
breeding and shearing of vicuñas and alpacas, to spinning, weaving, dyeing and finishing.
of fabrics, and the making of garments, allowing us to quickly fulfill complete orders from
leading brands worldwide.
 6) CURRENT PROBLEMS

PROBLEMS OF THE TEXTILE AND FIBER SECTOR IN PERU

Warning. Union of Textile Entrepreneurs of Gamarra assures that the import of Chinese
clothing affects companies in the sector.

The textile industry is experiencing a critical moment, since the entry of Chinese garments
into the country at "dumping" prices has caused the closure of thousands of clothing
companies in the country, due to the lack of price competitiveness. José Luis Muñoz,
director of the National Union of Textile Entrepreneurs of Gamarra (Únete), explained that
these garments enter Peru with approximate costs of US$ 2, but when sold they increase
and can cost up to S/. 80.

Since the importation of these garments began in 2005 to date, their import has
quintupled. He explained that, for example, in the first six months of 2011, nearly 20
thousand tons of garments entered at that very low cost. "What is striking is that twice the
volume in weight arrives in the country, but its monetary value is increasingly lower, and
that is when dumping occurs," he said.

He added that in view of the massive import of garments, they requested safeguards from
the government (at that time Alejandro Toledo), in order to protect their industry. The
request was accepted and safeguards were granted for only 360 days. "In that period,
national textile production grew 200%, but when the request ended, the income from
garments returned with greater force," he said. In that sense, he explained that the
companies that import these garments of Chinese origin are department stores such as
Saga Falabella and Plaza Vea.

The most affected. Only in the emporium of Gamarra (La Victoria), there are 60 thousand
micro and small businesses (mypes) distributed in 120 galleries. Due to the massive
import of Chinese clothing, 12,000 of them have closed their businesses, leaving around
60,000 workers unemployed from 2005 to date, says Muñoz. The textile chain is very
broad, so this complex situation not only affects the workers in this sector and includes
cotton producers, spinners, ink makers, weavers, among others.

For his part, José Luis Espinoza, member of the Únete union, indicated that he places his
trust in the current government to take measures on this matter, since it not only affects
both small and large businessmen, but also the national economy. and directly to
thousands of jobs. He also reiterated that it is impossible to compete with the Asian
country in terms of labor, since compliance with labor rights is required in the country,
while in China they are not established.

On June 23, 2012, the Indecopi Dumping and Subsidies Supervision Commission began
an investigation into dumping of clothing of Chinese origin. José Tirado, Legal Manager of
Indecopi, said that the final result of the report will be ready at the end of 2013, and if signs
of undervaluation are found, corrective measures will be applied.

He added that within a period of six months any person or union can present evidence that
demonstrates this modality. This report is opposed by the Foreign Trade Society
(ComexPerú), which states that the only thing they are going to do is make clothing more
expensive and in the end, the losers will be all the country's consumers.
"Income of undervalued products and fall in cotton production leave the industry on
the verge of collapse."

The National Society of Industries also reported that the Ecuadorian government defined
the schedule for the reduction of all surcharges established for balance of payments
safeguards. The balance of payments safeguard measure will be eliminated during the
course of this year in four stages of relief for the Andean countries. The industrial union
criticized that the northern country has backed down.

The Government will continue supporting the textile industry

The Government will continue to take the necessary measures to support the
competitiveness of Peru's textile industry despite not having approved the application of
safeguards to the import of cotton yarn from India, said the Ministry of Production.

The decision on Indian yarn was not political

The Minister of Production, Mercedes Aráoz, ruled out that political reasons had influenced
the decision of the Multisectoral Commission not to apply safeguards to the import of
cotton yarn from India.

This was in response to the statements of the representative of the Textile Committee of
the National Society of Industries (SNI), Martín Reaño, who stated that there were political
reasons in the decision of the Executive Branch.

PROBLEMS OF THE TEXTILE AND FIBER SECTOR AT A GLOBAL LEVEL

MEXICO CITY — Experts predict that global manufacturing will register a slowdown
during the first months of 2012. The textile-clothing industry established in Mexico does
not seem to be the exception. The sector begins this year with 10% less production, 5%
fewer companies and 5% fewer jobs than it registered in the first months of 2011.

The expiration of the transition measures for clothing from China will be the cloud that will
overshadow the growth prospects of the sector in the local market. Chinese imports of
textiles and clothing are estimated to grow between 30 and 35% during the first quarter
of 2012 compared to 2011. The problem is that both fabrics and clothing that enter the
country from the Asian country do so at a price that does not even cover the cost of the
raw materials .

Denim, for example, enters Mexico with prices between 0.4 and 0.8 dollars per square
meter, an amount that does not even cover the price of cotton fiber, according to data from
the National Chamber of the Textile Industry (Canaintex). On the other hand, bras have
been found that cost 0.01 cents and sports sets at 20 cents. Prices that are not even
enough to buy the label, buttons and elastic of a garment, Cherem commented.

This is how the future of the industry is made

In the last four years, the global manufacturing industry has managed to reverse the
declining trend of previous decades. “The idea that the manufacturing industry has been
left behind and has been succeeded by a service economy (post-industrial) hides the fact
that the interpenetration between the two sectors is increasing, forced by the technological
revolution of information processing. ”says the author, commenting on the study
“Manufacturing thefuture: then next era of global growth and innovation” (McKinsey Global
Institute, November 2012).

The McKinsey Global Institute's calculation is that in the next 15 years, 1.8 billion
consumers will join the global market, which means that consumption in the emerging
world could increase from the current US$12 trillion to US$30 trillion in 2025. Also that
60% of the world's households that achieve incomes of more than US$20,000 annually will
be in emerging countries, especially in Asia and Latin America (China/India/Brazil/Mexico).
That is why it predicts that 70% of global demand for manufactured products will come
from emerging countries in 2020, as a manifestation of a trend that accelerates from then
on.
This turnaround in global demand is guided by the rise of Chinese domestic consumption,
which would go from 48.6% of GDP in 2010 to 66% in 2030. The result would be that the
Chinese GDP, after rising to US$7.5 trillion in 2012, would reach US$21.5 trillion in 2020
(tripling in a decade); and domestic consumption, which represented US$3.5 trillion this
year, would climb to US$13 trillion in 2020.
Global industrial output amounted to US$10.5 trillion in 2010, and the McKinsey Global
Institute divides it into 5 categories: the first is “global innovation for local markets”
(automotive, chemical, machinery and equipment). It is a sector that requires a high level
of innovation and has high transportation costs, so plants must be close to buyers. It is
34% of the total product. The second category is “regional processing,” and includes food,
metalworking, and graphics. It is 28% of the total and its character is completely local.
Then there are the “raw materials and energy intensive industries” (wood, paper, oil), and
they are 22%. The last two are “innovative global technologies” (computers,
microprocessors, medical equipment), 9%; and “work-intensive tradables” (textiles,
clothing, toys), 7%.
The advanced world predominates in high-tech industries (machinery, automotive,
pharmaceuticals, chemicals), and in them it has a surplus of US$726,000 million, while in
labor-intensive tradable goods it experiences a deficit of US$342,000 million. The idea that
the manufacturing industry has been left behind and that it has been succeeded by a
service economy (post-industrial) hides the fact that the interpenetration between the two
sectors is increasingly greater, forced by the technological revolution in food processing.
information (digitization).

The result is that in the North American manufacturing industry 34% of jobs belong to
services, and in the advanced technology sector this percentage rises to 55%. Therefore,
the total number of jobs in American manufacturing amounts to 17 .2 million, but in them
more than 10 million correspond to what was previously called “tertiary sector.”
The main problem facing the advanced manufacturing industry, especially in the United
States, is the growing lack of a workforce with the necessary qualifications to fill the new
jobs created by the technological revolution. This lack constitutes the main brake on the
expansion of the American productive system.
The American Manufacturing Association (NAM) has indicated this year that it has 3
million jobs that it cannot fill due to the lack of sufficient personnel. McKinsey estimates
that this shortage will reach 40 million workers globally in 2020.
The central phenomenon that the world manufacturing industry has presented in the last 4
years is that it has managed to reverse the declining trend of the previous 4 decades,
usually called “deindustrialization”.
Since 2008, manufacturing has grown at a higher rate than the rest of the global economy
(17.7% average annual) and has left behind the structural decline it experienced for 40
years (it was 27% of global GDP in 1970 and fell to 16.2% in 2009).
Advanced industrial countries lead technological innovation because they invest 90% of
spending in research and development (R&D). For this reason, it is the most competitive
sector, responsible for 70% of international trade, and its productivity level is 3 times the
percentage of its participation in the workforce.
A new era of the manufacturing industry has begun in the world, driven by the consumer
boom in China (the new axis of global demand for manufactured products) and the
technological leap of the new industrial revolution.
The outlook is a hyper-connected global manufacturing industry. It is about the complete
digitalization of manufacturing and its conversion into networks of highly specialized niches
on a global scale.
The manufacturing industry is no longer a job creator, but it is essential in terms of
productivity, innovation and international trade.
The formula for manufacturing expansion is the following: manufacturing falls in its share
of the product and employment as the economy develops (it acquires the shape of an
inverted U), but its relevance in innovation and in international trade. It is already
responsible for 73% of all high-tech patents.
For Argentina, the meaning of this study is clear: the manufacturing industry is essential
for its sustained development in the medium and long term.
This means that the reconversion of its current structure is a priority, in a double
movement of business and technological reorganization, and large-scale attraction of
investment from global production chains, made up of transnational companies, whose
role is fundamental for a new export impulse of Argentine industrial activity.

INDITEX ELIMINATES “TOXIC STITCHES” FROM ITS WORLDWIDE PRODUCTION

Inditex, the largest textile group in the world and parent company of Zara, has committed
to Greenpeace to eliminate all emissions of hazardous chemicals throughout its supply
chain and its products by 2020. «It is a commitment of Inditex that gives continuity to
our environmental policy. "We have been working for a long time with the objective of
achieving the 'Zero Discharge' commitment, within our corporate responsibility policy, in
the environmental dimension," the company highlights.
EMPLOYMENT IS STAGINATING IN THE MANUFACTURING SECTOR IN
SEPTEMBER: INEGI

MEXICO DF (apro).- Employment in the manufacturing industry fails to take off: Last
September, this indicator registered an annual growth of 2.2%, reported the National
Institute of Statistics and Geography (Inegi).

In fact, according to the leading indicator prepared by the same institute, employment in
manufacturing is in a recession phase, given the lagging growth in recent months.

In the ninth month of the year, employment in the manufacturing sector increased in the
transportation equipment manufacturing subsectors; tanning and finishing of leather and
skin, and manufacturing of products made of leather, skin and substitute materials; plastic
and rubber industry; basic metal industries; as well as in textile products, except clothing,
mainly.

In contrast, employed personnel decreased in the subsectors dedicated to the

manufacture of petroleum and coal products; clothing; metal products; beverage and
tobacco industry; and in accessories, electrical appliances and electrical energy
generation equipment.

According to Inegi, the real average salaries paid in September of this year decreased
3.9% compared to the same month a year earlier.

This result was due to the fact that salaries paid to workers decreased 4.9%, salaries paid
to employees 2.6% and social benefits 2.1 percent.

In the period between January and September, employment in manufacturing industries

grew 2.2, the lowest level in the last three years, since in 2011, during the same period,
employed personnel grew an average of 3.3%; while in 2010 – the year after the 2009
crisis – it expanded 3.1 percent.

However, manufacturing employment managed to grow in the ninth month of 2012, more
than estimated by analysts, who predicted an increase of 2 percent.

7) GLOBAL PERSPECTIVES OF THE TEXTILE-CLOTHING INDUSTRY

For the purposes of the study, it is relevant to analyze two aspects of the global textile-
clothing industry: geographical changes, that is, migrations in production observed since
its internationalization, and technological changes.

a) Geographic changes

Chart 7 shows the main migrations in the internationalization process of the textile-clothing
industry since the 1950s. As can be seen, the Asian continent has played a central role in
this process. The first migration occurred during the 1950s and early 1960s, when much of
this industry moved from North America and Western Europe to Japan. Subsequently,
during the 1970s and 1980s, Japan was displaced by the three large Asian textile-clothing
producers: the Chinese province of Hong Kong, the Chinese province of Taiwan and the
Republic of Korea. At the beginning of the 1990s, a third migration was observed from the
latter countries to other developing countries (indicated with horizontal lines), located
mainly around the main world markets (United States and Europe), such as the countries
of Eastern Europe, Central America18 and the Caribbean countries. At the same time,
China began to emerge since the 1980s as the most important supplier worldwide and,
together with other Southeast Asian countries (indicated in boxes) and others such as
Turkey, dominate most of the international market (Gereffi, Spener and Bair, 2002).
International trade statistics reflect the changes of the third migration, with strong growth in
China's share of global textile exports. In 1980, China exported 4.6% of textiles worldwide
and by 2005 it already accounted for 19% of these exports. Meanwhile, the Republic of
Korea (one of the beneficiaries of the second migration) only advanced from 4% to 5% in
the same years, and Japan (from the first migration) continued its reduction in exports,
going from 9.3 % to 3.2% in the same period.
This same trend is observed in clothing exports. In 1980, China exported only 4% of world
exports, but by 2004 it already covered 26% of these, that is, it quintupled its world share
in 25 years. On the other hand, the Chinese province of Hong Kong reduced its exports
from 11.5% to 9% in the same period; other countries close to the main import markets,
such as Turkey, increased their exports from 0.3% to 4.3% worldwide in the same years
(WTO, 2007).

The analysis of the largest import market in the world and of greatest importance for the
countries of the subregion, the United States, also allows us to appreciate these global
migrations, as well as the trend towards a new one, which responds, once again, to the
search lower production costs. Table 8 shows in dark color the countries that have
increased their percentage of participation, between 1990 and 2006, in the United States
market in the textile-clothing sector. China, India, Vietnam, Pakistan, Nicaragua and
Jordan stand out, countries that also benefited from the third migration and have the
lowest production costs worldwide. On the contrary, countries that during the third
migration increased their exports, such as Mexico, Canada, Honduras, Guatemala and El
Salvador, begin to present lower percentages of participation in that market.

b) Technological changes

Technological changes in products and processes and their effect on production strategies
are seen in three links of the value chain: sales, manufacturing and the development of
components. The importance of technological advances has increased in recent years in
the sector due to the greater demand for quality, reduced costs and greater flexibility in
subcontracting.
The greatest technological advance has occurred in sales, with the incorporation of the
barcode system and the associated information technology systems in clothing in the
seventies, which spread during the eighties. This technology has allowed sellers to monitor
which products are sold and which are not, in order to immediately change the production
line and reduce possible losses, while increasing profits. New technologies offer greater
flow of information throughout the chain, allowing better inventory management and
greater communication with those in charge of manufacturing. These technologies have
also allowed for greater development of suppliers capable of responding quickly and
efficiently to new market demands (Nordas, 2004). Hand in hand with this innovation, the
development and greater use of information and communications technologies (ICT) has
created a network in which companies can choose their suppliers, make their purchases
and obtain greater bargaining power to save costs. , since there is a wide range of
suppliers at hand. In the same way, by using the Internet, companies have shortened their
costs and delivery times to reach the end customer.
There have been no major changes in the manufacturing or clothing sector. The greatest
technological advance was introduced in 1969 with the incorporation of the automatic
cutting machine.
Apart from this innovation, the changes have been in printing, ironing technologies or
control measures imposed by buyers in packaging and quality. The changes basically
consist of specific hardware and software development that can range from a marking and
scaling program to a plotter . The development and incorporation of this type of technology
must be rapid based on changes in consumer tastes.
Finally, the most capital-intensive link, which is component manufacturing, is highly
automated. These activities are concentrated in developed countries and in some Asian
countries that have developed new technologies for the production of spinning, weaving
and finishing. In this link, the greatest technological advances are observed, in matters of
new types of fabric with specific characteristics and designed for different sectors, whether
sports, military, security, medical or fashion. An example of this is the research that has
been carried out in the European Union for the manufacturing of textile products using the
plasma technique, which allows the surface of the fibers to be treated with great precision.
Table 9 shows a sample of the advances that this industry has made in recent years.
From the combination of advances in technology in the three links of the textile-clothing
chain, the reason for the greater concentration of textiles and clothing in Asian countries
can be inferred, since the development of technology has occurred in the developed
countries and others like China, which allows them to lead the market. On the contrary, the
countries of the subregion have limited themselves to following global trends.

c) Economic Changes

Uncertainty: It seems that there is still great uncertainty in the textile business today. Will
there be new hikes around the world? Will there be another recession? Are we going to
cope with the large variations in raw material prices? Are we going to have enough people
to make our products? Is the European economy falling apart? We must work with detailed
options or with multiple possible scenarios to ensure that we have contingency plans to
cover possible disruptions in our value chain.
In short, I think the most relevant challenges can be summarized in economics and the
supply base. Potential currency weaknesses can also have some impact. The economic
situation in Europe/the United States, on the one hand, as well as emerging countries,
especially China, on the other hand, will have a great influence on consumers' shopping
mood.
And with the potential outlook relatively bleak for China's apparel exports to Europe and
the United States, many domestic producers are shifting toward sourcing the domestic
market in China, which could lead to supply stress or shortages.
There may be opportunities in terms of sourcing from alternative Asian countries instead of
China, but in general the infrastructure in other countries is not as efficient and
sophisticated, so in the short term it is perceived as very difficult. And historically, when
wages in China rose, other countries followed suit with a delay of a few months, trying to
remain relatively competitive with China.
 8) REFERENCES

BIBLIOGRAPHY

 PACIFIC UNIVERSITY. Bulletin on Economy and International Business. Year 01 – Number

02. May June. Lima 2002.

 DEPARTMENT OF AGRICULTURE. Main export products. Information on their website: .

Agrarian Portal. Information on its website: http://www.portalagrario.com.pe .

 PROMPEX. Evolution of Textile Exports. Information Bulletin 2007.

 PROINVERSION Portal. Information on its website: http://ww.proinversion.gob.pe.

 Exportable Offer Catalog 2005-2006. Evolution of the Peruvian Economy and Exports. Lima
Peru

 CENTRAL RESERVE BANK. Annual report. Exports, 2005.

9) GRAPHICS AND TABLES
SECTOR OCTOBER DECEMBER

2005 2006 Var. % Part. %

06 06

TEXTILE 51,449.8 65,425.2 27% 15%

CONFECTIONS 293,981.1 356,729.8 21% 85%

TOTAL 345,430.9 422,155.0 22% 100%

Source: SUNAT
SUB-SECTOR OCTOBER DECEMBER

2005 2006 Var. % Part. %

06 06

Clothing 290,441.4 350,627.5 21% 83%

Yarn 15,982.0 18,306.7 15% 4$

Fabrics 13,206.9 17,895.3 35% 4%

Fibers 12,499.9 19,050.8 52% 5%

Other textiles 9,613.0 10,006.9 4% 2%

Other preparations 3,004.2 4,562.8 52% 1%

Other preparations 535.6 1,539.5 187% 0%

Threads 147.9 165.4 12% 0%

TOTAL 345,430.9 422,155.0 22% 100%

ECONOMIC BLOCK OCTOBER DECEMBER

2005 2006 Var. % Part. %

06 06

NAPHTHA 214,594.5 251,296.9 17% 60%

DOG 69,248.4 95,726.6 38% 23%

European Union 30,600.6 39,212.3 28% 9%

Other Markets 19,491.9 21.197.2 9% 5%

Asia 8,184.0 10,432.9 27% 2%

MERCOSUR 3,311.5 4,289.0 30% 1%

TOTAL 345,430.9 422,155.0 22% 100%

Source: SUNAT

Sector Assessment

Exports of the Textile-Clothing Sector

(FOB in thousands of US$)

SECTOR JANUARY MARCH

2006 2007 Var. % Part. %

07 07

TEXTILES 58,582.0 70,923.2 21% 21%

CONFECTIONS 258,789.1 272,404.9 5% 79%

TOTAL 317,371.1 343,328.1 8% 100%

Source: SUNAT

Evaluation according to Sub Sectors

Exports of the Textile Sector Clothing

(FOB in thousands of US$)

SUB-SECTOR JANUARY MARCH

2006 2007 Var. % 07 Part. %

07

CLOTHING 255,652.8 268,028.4 5% 78%

YARNS 19,170.9 21,901.3 14% 6%

FIBERS 16,333.3 20,930.3 28% 6%

FABRICS 12,882.8 17,158.7 33% 5%

OTHER TEXTILES 10,132.1 10,820.8 7% 3%

OTHER CONFECTIONS 2,597.4 3,230.5 24% 1%

OTHER CONFECTIONS 538.8 1,146.0 113% 0%

THREADS 62.9 112.2 78% 0%

TOTAL 317,371.1 343,328.1 8% 100%

Source: SUNAT

SECTOR JANUARY MARCH

2006 2007 Var. % Part. %

07 07

TEXTILES 77,463.4 86,566.1 12% 22%

CONFECTIONS 282,065.8 312,981.5 11% 78%

TOTAL 359,529.2 359,529.2 11% 100%

Evaluation according to Sub Sectors

Exports of the Textile Sector Clothing

(FOB in thousands of US$)

SUB-SECTOR APRIL JUNE

2006 2007 Var. % 07 Part. %

07

CLOTHING 278,114.1 308,877.9 11% 77%

YARNS 27,095.7 26,669.4 -2% 7%

FIBERS 18,550.3 22,740.2 23% 6%

FABRICS 18,068.2 24,220.4 34% 6%

OTHER TEXTILES 13,655.5 12,731.1 -7% 3%

OTHER 2,985.5 3,176.7 6% 1%

CONFECTIONS

OTHER CONFETIONS 966.1 927.0 -4% 0%

THREADS 93.7 205.0 119% 0%

TOTAL 359,529.2 399,547.7 11% 100%

Source: SUNAT

Main Markets

Exports of the Textile Sector Clothing

(FOB in thousands of US$)

ECONOMIC BLOCK APRIL JUNE

2006 2007 Var. % Part. %

07 07

NAPHTHA 219,847.1 216,406.1 -2% 54%

DOG 65,648.4 96,063.8 46% 24%

EUROPEAN UNION 30,507.0 40,097.1 31% 10%

OTHER MARKETS 21,619.7 21,785.3 1% 5%

ASIA 17,256.3 19,481.8 13% 5%

MERCOSUR 4,650.8 5,713.5 23% 1%

TOTAL 359,529.2 399,547.7 11% 100%

Source: SUNAT