Search

 

Cablegate: Brunei Textile Bust May Be Leveling Off

VZCZCXRO7546
RR RUEHCHI RUEHDT RUEHHM RUEHNH
DE RUEHBD #0304 2850133
ZNR UUUUU ZZH
R 120133Z OCT 07
FM AMEMBASSY BANDAR SERI BEGAWAN
TO RUEHC/SECSTATE WASHDC 3983
INFO RUCPDOC/USDOC WASHDC
RUCNASE/ASEAN MEMBER COLLECTIVE

UNCLAS BANDAR SERI BEGAWAN 000304

SIPDIS

SENSTIVE
SIPDIS

STATE FOR EEB/TPP/ABT (GACLEMENTS)
STATE PASS USTR FOR CAROYL MILLER, BARBARA WEISEL
USDOC FOR COMMERCE/ITA/OTEXA/MARIA D'ANDREA

E.O. 12958: N/A
TAGS: ECON ETRD KTEX BX
SUBJECT: BRUNEI TEXTILE BUST MAY BE LEVELING OFF

REF: A) STATE 114799 B) 06 BANDAR SERI BEGAWAN 501

1. (U) Continuing the trend reported in ref B, Brunei's
textile/apparel industry has declined significantly since the
expiration of global quotas in January 2005. The number of
textile/apparel manufacturing companies has been reduced to just a
handful. Total textile exports in 2006 were just over USD 80
million, less than half of the 2005 total.

2. (SBU) Government industrial promotion agency sources believe that
the textile industry may have bottomed out in early 2007 and could
stabilize at current production levels. They cite the difficulties
of doing business in countries like Burma, and the political
stability of Brunei as driving a limited return of some sewing
operations to Brunei.

3. (SBU) Oil and natural gas production is and will remain Brunei's
main industry and primary source of export revenue. Although the
GoB is attempting economic diversification initiatives in areas such
as halal food production, aquaculture and light industry, there have
been few success stories outside of the short-lived textile boom.
These successes will be few and far between as long as the GoB
decision-making process to allow and/or support new industrial
projects remains slow and top-down driven.

4. (U) In response to ref A, post provides Government of Brunei's
statistics for 2006, and first quarter 2007 where available. All
statistics are converted at an average exchange rate of US$1 =
B$1.54.


Total industrial production
---------------------------
2006 - USD8.7 billion
Jan-Mar 2007 - USD 1.68 billion

Total textiles and apparel production
-------------------------------------
2006 - USD80.52 million

Textile/apparel share of host country imports and exports (2006)
--------------------------------------------- ----
Textile/apparel share of imports 5.37%
Textile/apparel share of exports 1.73%

Exports in textiles and apparel to the U.S. (2006)
--------------------------------------------- -----
USD98.11 million

Total manufacturing employment
------------------------------
28, 392 (2005 Labor statistics)

Total textiles and total apparel employment
-------------------------------------------
18,508 (2005 Labor statistics - Manufacturing, mining & quarrying
category)


FRIEDMAN

© Scoop Media

 
 
 
World Headlines

 

New IPCC Report: ‘Unprecedented Changes’ Needed To Limit Global Warming

Limiting global warming to 1.5°C will require “far-reaching and unprecedented changes,” such as ditching coal for electricity to slash carbon emissions, says a special report that finds some of the actions needed are already under way, but the world must move faster… More>>

ALSO:

Jamal Khashoggi: UK, France, Germany Join Calls For Credible Investigation

Germany, the United Kingdom and France share the grave concern expressed by others including HRVP Mogherini and UNSG Guterres, and are treating this incident with the utmost seriousness. More>>

ALSO:

MSF Not Wanted: Nauru Government Shows Continued Callousness

The Nauruan Government’s decision to ask Doctors Without Borders to immediately leave shows continued callousness towards asylum seekers desperately seeking a safe place to call home, Green MP Golriz Ghahraman said today. More>>

ALSO:

Sulawesi Quake, Tsunami: Aid Response Begins

Oxfam and its local partners are standing by to deploy emergency staff and resources to the Indonesian island of Sulawesi, as an estimated 1.5 million people are thought to be affected by the massive earthquake and tsunami that hit on Friday. More>>

ALSO:

Decriminalising Same-Sex Relationships: UN Rights Chief Applauds Indian Decision

“This is a great day for India and for all those who believe in the universality of human rights," Bachelet said. "With this landmark decision, the Indian Supreme Court has taken a big step forward for freedom and equality...” More>>

ALSO:

 
 
 
 
 
 
  • Pacific.Scoop
  • Cafe Pacific
  • PMC