NEWS RELEASE
FEBRUARY 3, 1997

ORIA GETS CHINESE RUGS REMOVED
FROM U.S. QUOTA SYSTEM

Under the terms of the new Textile Agreement reached by China and the United States on Sunday February 2, 1997, an exempt certification arrangement has been agreed upon for Chinese Handmade Carpets under which China will issue exempt certificates for qualified rugs in lieu of visas. These rugs will no longer be subject to Group III Quota.

The impact of this agreement is significant in that those firms that import rugs from China can once again begin planning their production schedules without fearing that quota for Group III will be filled before the end of the year. This uncertainty has lead many U.S. Importers to source their product to countries that do not have quota related problems.

In 1994 when China Quota arose as a problem to our industry, The Oriental Rug Importers Association (ORIA) immediately formed a Committee headed by Jon Ansari (Amiran -Zaloom), Paul Vesely (Mer Corp.), and Lucille Laufer (ORIA Executive Director). With the legal guidance of Brenda Jacbos (Powell, Goldstein, Frazer & Murphy), the ORIA committed its resources to resolving the issue of China Quota once and for all.

For three years now the ORIA has been integrally involved in high level negotiations with both U.S. and Chinese Officials trying to reach an exempt arrangement for Chinese Carpets. The ORIA has proven to be the driving force behind this Industries victory in getting rugs taken out of the U.S. Quota System.

For more details please contact ORIA Executive Director Lucille Laufer at (201) 866-5054.