According to a new report released by market research company Research and Markets entitled ‘Profile of the Textile and Clothing Industry in Syria’, Syria’s economy is expected to grow by only 1.5% during 2006-07. The government has targeted the textile and apparel industry, which accounts for 30% of Syria's industrial employment, as a vehicle for growth and enterprise.

It has invested heavily in new production facilities in recent years, while maintaining a protectionist approach to imported goods. There is an almost total ban on imports of raw cotton, cotton yarns and fabrics made mostly or wholly from cotton.

The report reveals that between 1990 and 2004 cotton yarn output rose from 39,000 tons to 107,610 tons. Ready-made garment production increased from 35.1 million pieces in 2000 to 54.7 million pieces in 2003.

However, government intervention has dissuaded overseas investors from entering the marketplace, and, by placing heavy taxes on Syria's vast private textile sector, the state has slowed technological development. It is estimated that 4,000 of Syria's 15,000 looms are still powered by shuttles.