The Second Yarn Expo ¨C China International Trade Fair for Fibres and Yarns was held form 29 March ¨C 31 March, 2005 at National Agricultural Exhibition Centre, Beijing, China

Yarn Expo returns to Beijing National Agricultural Exhibition Centre in March 2005
Abolition of textile quotas and the booming economy predicted to thrust China¡¯s textile industry further

Following its successful launch in March 2004, Yarn Expo will be held again next spring at the National Agricultural Exhibition Centre in Beijing from 29 ¨C 31 March 2005. The debut event was well received by both exhibitors and visitors, including a large contingent of overseas exhibitors keen to test the marketability of their products in China, one of the world¡¯s biggest importers of fibres, yarns and fabrics.

The success of Yarn Expo is largely due to China¡¯s huge appetite for fibres, yarns and fabrics for both export and domestic use. China¡¯s textile sector achieved over USD38 million in gross industrial production in the first three months of this year, up 24 percent from the same quarter in 2003. Exports of garments and apparel rose 24 percent year-on-year for the first quarter to a value over US$12 billion. This number is predicted to rise further with the abolition of textile quotas by the World Trade Organisation in January 2005.

Domestically, the consumption of textiles is booming. With an economy remaining at a very healthy level - international economists expect the second quarter GDP figures to at least match the first quarter's of almost 10 percent growth ¨C the general living standard of the people continued to rise. In 2003 the per-capita disposable income increased, in real terms, of nine percent over the previous year after deduction for inflation. As disposable incomes increase, the Chinese are spending a larger portion of their money on clothing. A total of US$114 was spent between April and July 2004.

With such a massive volume of textile and garment production to satisfy, both for export and domestic markets, the demand for imported textile material surpasses by far the domestic supply. For that reason, Chinese manufacturers are looking for abroad for quality textile products. Synthetic fibre yarns are in the top fifty import commodities to the country, in 2003 China imported 710,000 tons of cotton yarn and almost all luxury yarns and fibres are imported.

Yarn Expo 2005 provides an opportunity for international fibre and yarn manufacturers from around the world to exhibit their latest fibres and yarn collections and to meet Chinese professionals with more than 7,500 trade visitors expected in 2005. The show caters to the entire fibre and yarn industry including yarns for apparel textiles, home textiles, upholstery and interiors textiles. In 2004, the show attracted 128 exhibitors, including overseas companies from Belgium, France, India, Italy, Korea, Pakistan, Singapore, Switzerland, the UK, the USA, and 7,525 trade buyers from 31 countries and regions.

Yarn Expo is scheduled shortly before Intertextile Beijing, the leading international trade fair for apparel fabrics and accessories in China¡¯s north and north-east. Intertextile Beijing will be held at the Beijing Exhibition Centre from 30 March ¨C 1 April 2005. Also, running concurrently are China International Clothing and Accessories Fair (CHIC) and the China Knitting Fair. These four shows held at the same period of time, make it easier for apparel manufacturers and other industry experts from China and overseas to visit all fairs.

Yarn Expo is organised by Messe Frankfurt (HK) Ltd. and the Sub-Council of Textile Industry ¨C CCPIT. The China Cotton Textile Association, China Wool Textile Association, China Chemical Fiber Association, China Bast & Leaf Fibers Textiles Association and the China Textile Information Centre and supported by the Texprocil of India.