The Ministry of Commerce issued provisional rules on anexport quota allocation system on June.19, 2005 that de-termines how much individual Chinese textile manufac-turers are allowed to sell to foreign markets.
Domestic textile firms exporting to \"countries or regions thatimpose limitations on Chinese textile exports or to those thathave temporary quantity limitations on Chinese textiles accord-ing to bilateral agreements\"are required to apply toregulators for temporaryexport approval permits be-ginning July 20, a noticeposted on the ministry'sWeb site shows.
The publication of therules follows a Sino-EUagreement signed earlierthis month that limits thegrowth of certain Chineseclothing exports to theEU.
Many Chinese textile firms have enjoyed better businesssince China agreed with the EU to limit exports, domestic me-dia have reported, attributing the rise to the removal ofuncertainty.
\"Over the past month, our orders have recovered quickly\"XinhuaNews Agency quoted Li Lingmin, vice president of the China Na-tional Textiles Import Export Corp., \"Prices are also on the rise.The gloomy days are now gone.\"
China agreed this month to limit annual growth in exportsof various categories of textiles to the EU to between 8% and12.5%.
Xinhua said many firms contacted had reported better salesand access to credit since the deal was concluded.