India, the world's third-largest cotton producer, is likely to benefit when the United States and Europe end the 30-year old quota regime next year under which 47 developing nations are guaranteed a share in their apparel market.
But some 30 million workers in dozens of developing countries from Dominican Republic to Bangladesh would see their jobs evaporate as China, which is poised to dominate the world apparel market, takes advantage of low wages of its workers, Business Week magazine said in a report.
Besides China, India and Pakistan also likely to benefit because they grow plenty of cotton and make high quality synthetic fibers, it said.
India is the world's third-largest cotton producer behind China and the US and its exporters have established close ties with major US retailers, the magazine said.
Welspun India Ltd, the world's fifth largest towel maker, is doubling capacity at its plant outside Mumbai where a "stream of US buyers are placing orders in anticipation of quota phase out on towels," Business Week said.
"We see ourselves as one of the dominant players," Welspun's managing director Rajesh R Mandawewala said.
However, the heat will be felt by the US textile industry when the quota regime is lifted, as it is likely to lose thousands of jobs when cheap Chinese apparel arrives in the market.
