This report, when first published in December 2005, updated information contained in the September/October report, including analyses of several policy questions on the basis of most recent data and information available. The report is based on import data from two major markets, namely the United States and the European Union, for a period of nine months after the phase out of quotas as well as countries trade data, where available. The report was further updated in January 2006 and is organized as follows: chapter two discusses the general trend in Asia’s share of US and EU imports of T7C products,chapter three deals with policy concerns in T&C trade, while chapter four analyses successful case studies in Sri Lanka, Thailand, and Cambodia.