In 2018, Jordan'S Clothing Trade Declined Sharply, But Garment Exports Continued To Grow.

According to the latest media reports, despite the sharp decline in domestic clothing trade in Jordan in 2018, clothing exports continued to grow. 　　

Domestic garment industry declined sharply in 2018

According to a recent study released by the European bank for reconstruction and development (EBRD), Jordan's clothing exports are expected to continue to grow. Meanwhile, Munir Deyeh, President of the Jordanian textile and Garment Enterprises Federation, said that in 2018, Jordan's domestic clothing sales fell sharply, falling by nearly 60%. 　　

The annual growth of garment industry in 2019 is expected to reach 9%.

Jordan's Jordan Enterprise Development Corporation, an unnamed source, said Jordan's clothing export industry is a $1 billion 800 million industry. The source reiterated that it is expected that Jordan clothing exports will grow by at least 8% this year. At present, the United States is Jordan's largest clothing export market. 　　

Jordan Fredon Hartoka, Secretary General of Jordan Investment Committee, told Jordan Times that about $1 billion 200 million worth of merchandise exports to the United States each year, nearly 85% of which are clothing. According to Hartoka, on the other hand, Jordan's exports to the EU are expected to continue to increase according to the simplified rules of origin agreement. Jordan and the European Union signed a simplified rule of origin agreement on 2016, which is valid until 2026. The agreement allows Jordanian manufacturers to export their products to the EU, of which 70% of them are imported materials. 　　

The clothing industry is facing challenges.

Although the garment industry in Jordan is still growing, it will face many challenges: lack of well-trained and qualified local labor force, high borrowing costs, and lack of experience in the leadership of small and medium-sized enterprises. 　　

Khalid Saheb Al Saheb, chief representative of EBRD SME development and financing department, said: "in the current challenges faced by the Jordanian clothing industry, I believe that 75% of the foreign labor force in the garment industry is the most urgent problem to be solved." (Khaled) The bosses of clothing companies seem to think that hiring foreign labor is cheaper, but the fact is that no matter what nationality is, workers must get the minimum wage. 　　

The chairman of the General Trade Union of Workers in textile garment and Clothing Industries, chairman, said that the minimum wage is usually not attractive to Jordanian people, especially young people, and that young people are more willing to find decent jobs. Nowadays, clothing enterprises provide various incentive measures: two meals a day, providing compensation, some enterprises can get bonus every month as long as their employees do not work hard. These bonuses vary from JD15 to JD40, but Jordanian workers are unwilling to work overtime, which is the main reason why the garment companies are inclined to hire foreign employees.