Grant to Help NC A&T Study NAFTA and the Textile Industry

September 23, 1997

Greensboro, NC: A USDA grant will help a North Carolina A&T State University School of Agriculture scientist study the impact of the North America Free Trade Agreement on the United States textile and apparel industry, and its implications for rural development.

Dr. William Amponsah, Interim Center Coordinator for NC A&T's International Trade Center of Excellence, was recently notified of funding for his project, "Impacts of NAFTA on the U. S. Textile and Apparel Industries: Implications for Rural Development."

The project will be funded through the National Research Initiative Competitive Grants Program, for two years for $118,000.

According to Amponsah, following NAFTA, it was expected that because of the reduction or elimination of trade barriers for textiles and apparels, U. S. exporters would gain greater market shares in North America. However, rapid gains in Mexico's imports to U. S. and Canadian markets seem to be a portent for simmering disputes about market access problems.

"This study will assess perceptions within U. S. industries about factors determining market access and performance of the listed products in the Mexican and Canadian markets," said Amponsah.

Specific objectives of the project include:

• evaluate what factors are affecting textiles and apparels trade in the U. S., Canada and Mexico.
  
• determine firms' perception of how NAFTA is influencing market access for U. S. textile and apparel exporters.
  
• analyze management attitudes in regard to future prospects and seeking new markets.
  
• derive implications for rural development from the trade performance of U. S. textiles and apparel industries as a result of NAFTA.

"The textile industry is important to the economy of North Carolina, and the results of this study will have direct implications for future strategies and policies in the industry," said Dr. Daniel D. Godfrey, dean of the NC A&T School of Agriculture.

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For more information, please contact Dr. William Amponsah of the NC A&T School of Agriculture, (336) 334-7056.