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Lowering trade barriers in sectors with relatively high female employment can boost economic growth: Exim Bank study

March 8, 2025
in Economic
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Lowering trade barriers in sectors with relatively high female employment can boost economic growth: Exim Bank study
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A recent study has shed light on an important issue that has been previously overlooked in the world of economics – the impact of tariffs on women-dominated sectors. The study found that these sectors, which employ a high number of women, often face higher tariffs on their inputs. This has significant implications for both the industries and the women who work in them.

The study, conducted by a team of economists, delved into the trade policies of various countries and their effects on different sectors. They found that sectors such as textiles, garments, and agriculture – which have a higher representation of women in their workforce – are subject to higher tariffs on their imports. In contrast, male-dominated sectors, such as heavy industries, face lower tariffs or even enjoy tariff exemptions.

This revelation is concerning, as it not only affects the industries but also has a direct impact on the economic empowerment of women. The higher tariffs on inputs mean that these sectors have to bear additional costs, making it difficult for them to compete in the global market. This, in turn, leads to a decrease in demand for their products, resulting in lower production and job losses.

Moreover, women, who are already underrepresented in the workforce, face even more obstacles in terms of job opportunities and wage gaps due to these higher tariffs. This perpetuates the cycle of gender inequality and hinders the progress towards achieving gender parity in the workforce.

Therefore, there is an urgent need for governments to address this issue and provide tariff relaxation for women-dominated sectors. This will not only benefit the industries but also contribute towards empowering women and promoting gender equality.

One of the reasons for higher tariffs on women-dominated sectors is the misconception that these industries are less important or do not contribute significantly to the economy. However, the study proves otherwise. For instance, the textile industry is one of the largest employers of women globally and contributes significantly to the GDP of many countries. Therefore, it is crucial to recognize the importance of these sectors and provide them with the necessary support.

Furthermore, tariff relaxation in these sectors can lead to increased production, job creation, and improved competitiveness in the global market. This, in turn, will have a positive impact on the economy as a whole. The study also highlighted that countries with lower tariffs on women-dominated sectors have seen a rise in their exports, indicating the potential for growth and development.

In addition to providing tariff relaxation, it is also essential to address the underlying issues that contribute to the gender disparity in the workforce. This includes investing in education and training for women, promoting equal pay and opportunities, and creating a supportive work environment.

Moreover, governments and policymakers need to recognize and address the biases and stereotypes that lead to discriminatory trade policies. This will not only benefit women-dominated sectors but also promote a fair and inclusive trade environment.

In conclusion, the recent study has shed light on an important issue that needs immediate attention – the impact of tariffs on women-dominated sectors. The higher tariffs on inputs not only affect the industries but also have a direct impact on women’s economic empowerment. Therefore, it is crucial for governments to provide tariff relaxation and address the underlying issues that contribute to gender inequality in the workforce. This will not only benefit the industries but also promote a more equitable and prosperous society. It is time for policymakers to take action and pave the way towards a more gender-inclusive trade environment.

Tags: Prime Plus
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