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Clothing sales slump prompts call for market reforms

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China's garment industry last year suffered its worst sales slump in nearly a decade, officials say.

The Ministry of Internal Trade yesterday said that garment sales on the mainland dropped 17 per cent last year, although state factories increased output.

Authorities called it the worst sales performance 'since sustained expansion began in 1990'.

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In a statement, the ministry said China's troubled textile sector was in need of 'long-term revival' based on further market reforms.

'This year will be the beginning of . . . slow and steady development of the domestic market,' the ministry said.

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State planners forecast sales in the mainland's garment market would rise an average 2 per cent this year 'based on expectation', but refused to give details of sales figures.

Last year's dismal domestic sales coincided with a sharp decline in total exports of textiles and garments.

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