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CROATIAN TEXTILE INDUSTRY UNDERGOES PROCESS OF RESTRUCTURING

ZAGREB, July 28 (Hina) - Croatia's textile and clothing industry is in the process restructuring which is being carried out simultaneously into two directions: through the search for legal owners by the sale of shares on the open market and by voucher privatisation, and through the enhancement of the productivity and cuts in costs according to market-oriented programmes.
ZAGREB, July 28 (Hina) - Croatia's textile and clothing industry is in the process restructuring which is being carried out simultaneously into two directions: through the search for legal owners by the sale of shares on the open market and by voucher privatisation, and through the enhancement of the productivity and cuts in costs according to market-oriented programmes. #L# Representatives of this industrial branch in the Croatian Chamber of Commerce say that in most cases, managing boards of companies find a solution by investing in new technology and modernising the manufacturing processes. As regards the number of workers in the Croatian textile and clothing industry, it has been on the decline for a few years. In 2001, this branch employed 37,600 workers, who accounted for 3.67 percent of a total of the employed work force in Croatia or for 15.42 percent of workers in the manufacturing industry. The number of the workers in the textile and clothing companies fell by 1,600 last year compared to 2000. This branch made up 12.34 percent of the total national export in 2001. The export was primarily registered in the so-called lohn jobs (processing of customer-supplied goods), which usually occupied from 80 to 95 percent of plants' capacities. The this sector's share in the entire income of the manufacturing industry comes to 4.2 percent. According to the Croatian Chamber of Commerce, there are 703 registered textile companies in the country. Of them, 21 firms earn 91 percent of the total income and employ 88.5 percent of the entire labour-force in this industry. Even 316 companies are with five or less workers.

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