Magazine that helps you do your business right. Issue 04 / 2013
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Bangladesh’s Latest Tragedy: Are Things Really About to Change?
Clothing & Accessories
TG No: 1001182515
Daifuna Underwear Co., Ltd.
Factory Location
Shantou City, Guangdong Province, China
Years of Operation
5+ Years
No. of Employees
301-500
Total Production Floor Area (m )
10,000
Production Capacity per Month
Underwear (pcs) 300,000
2
With OEM Services?
Yes
With ODM Services?
Yes
Major Markets
Russia, France, Germany, United States
Hehong South Road, Heping Chaolian Village, Chaoyang District, Shantou City, Guangdong Province, China mike@daifunalingerie.com +86 18923927888 http://daifuna.com Clothing & Accessories
TG No: 1000932208
Shanghai Dragon Corporation
Factory Location
Shanghai City, China
Years of Operation
5+ Years
No. of Employees
101-300
Total Production Floor Area (m )
7,800
Production Capacity per Month
Shirts (pcs) 130,000
With OEM Services?
Yes
Major Markets
Italy, Japan, Panama, New Zealand, United States
Quality Compliance
ISO9001
Environmental Compliance
ISO14001
2
3/F, Bldg A, No.584 Zhizaoju Road, Shanghai City, China hejiayi@shanghaidragon.com.cn +86-021-3406 1116-3117 www.shanghaidragon.com.cn
Foreword
Business Chain Issue 4 Cover Story 04 Bangladesh’s Latest Tragedy: Are Things Really About to Change?
12 For Those ‘Behind the
Seams’: a Higher Minimum Wage?
18 Good Case: Private matching event helped Indian buyer
20 The Textile and Footwear Industries in Mexico
Dear Industry Professional,
23 Colombia Free Trade
Agreement (FTA) with the USA
Whether you are a Tradegood member or not, we are happy to greet you here. For those who are new to us, Tradegood is the community that brings verified suppliers around the globe to you, eliminating all hassles and uncertainty in the supply chain. Check out our website at www.tradegood. com and learn about how we have been helping different buyers in this vital task. Membership for buyers is free! If you are looking for suppliers in the USA, Tradegood is also the specialist you are looking for. Recently we co-organized a panel discussion on “The Future of US Manufacturing and Opportunities in Los Angeles” with Los Angeles Area Chamber of Commerce, Office of Los Angeles Mayor and American Apparel and Footwear Association (AAFA). Visit http://www.madeinusa. tradegood.com/ for first-hand information on the event! Business Chain Issue 4 Published by Marketing Division of Tradegood in August 2013. All rights reserved. No reproduction of any part of this publication is allowed without prior written authorization from Tradegood. Please send enquiries or comments to marketing@tradegood.com. While every effort has been made to ensure that information is correct at the time of going to print, Tradegood cannot be held responsible for the outcome of any action or decision based on the information contained in this publication. The publisher or authors do not give any warranty for the completeness or accuracy for this publication’s content, explanation or opinion. The information, views, and opinions contained in the publication do not necessarily reflect the views and opinions of Tradegood.
About Tradegood 24 Good News: Happenings in China and Americas
Features 09 Into the eye of the storm
27 Event Calendar
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Business Chain
BC
COVER STORY
Bangladesh’s Latest Tragedy: Are Things Really About to Change? The date April 24, 2013 is not one that will be seared into the minds of the average person, but for the garment industry and the thousands of people affected by the events of that tragic day in Bangladesh, it’s one that will be hard to forget. The Rana Plaza factory-building collapse that claimed at least 1,129 lives and injured more than 2,500 workers will undoubtedly stand out in history as one of those watershed moments, what scientists call a major paradigm shift where old ways of looking at things are no longer valid. The disaster's causes were many, and there is still plenty of blame to go around. But what is most painful is that it was all so avoidable. Yet critics say they have seen it all before and doubt if the industry will really change, even though major retailers responded swiftly with a series of major commitments and foreign governments continue to exert pressure.
A day that will live in infamy The factory building that collapsed April 24 in Savor, an industrial suburb outside Dhaka, Bangladesh’s capital, was the deadliest disaster in the history of the garment industry. The building was constructed with substandard materials in blatant disregard for building codes, according to a high-level Bangladeshi government report issued May 22. The 400-page report on the collapse of the Rana Plaza building found widespread fault for the disaster. It blamed the mayor for granting construction approvals and recommended charges against the building’s owner as well as the owners of the five garment factories housed in the building, which could result in life sentences if they are convicted. The factory owners had urged workers to return to their jobs despite evidence that the building was unsafe. The Rana Plaza building collapse has focused global attention on unsafe conditions in the garment industry in Bangladesh, the world’s second-leading exporter of clothing, trailing only China. According to the Bangladesh Garment Manufacturers and Exporters Association, the country has more than 5,000 garment factories, handling orders for nearly all of the world’s top brands and retailers. Its economy rapidly grew into an export powerhouse largely by delivering lower costs, in part by having the lowest wages in the world for garment workers – US$38 a month. The Bangladesh Department of Commerce and Industry reports that the country ships around $15.6 billion of ready-made garments every year, equivalent to 80% of its total exports. About 60% of Bangladesh’s garment exports go to Europe, 23% to the US, and 5% to Canada. The textile industry accounts for 17% of the country’s gross domestic product and employs roughly 4 million people. With a population of 160 million, 31% lives below the poverty line. The government report said that Rana Plaza was a disaster waiting to happen. The owner had illegally constructed upper floors to house garment factories employing thousands of workers. Large power generators placed on the upper floors, needed because of regular power failures, would shake the poorly constructed building whenever they were switched on.
On April 23, cracks appeared in the building, shaking the structure enough that many workers fled. An engineer who had been called to inspect the structure warned that it was unsafe, but the owner and factory bosses dismissed concerns and ordered workers back into the building the next morning. A generator was switched on, causing the building to buckle and collapse. The government’s report recommended that the owner and factory owners be charged with culpable homicide and for bribing government officials for construction approvals.
Garment industry responds but remains divided Within weeks of the building collapse, several of the world’s largest apparel companies – including the retailing giant H&M and Inditex, owner of the Zara chain –agreed to a farreaching and legally binding plan, called the Bangladesh Fire and Building Safety Agreement. It requires retailers to help finance fire safety and building improvements in the factories they use in Bangladesh. Consumer and labor groups hailed the move by H&M, the largest purchaser of garments from Bangladesh, as an important step toward improving factory safety in that country, saying it would add pressure on other Western retailers and apparel brands to do likewise. C&A of the Netherlands and two British retailers, Primark and Tesco, quickly joined in. The new agreement calls for independent, rigorous factory safety inspections, with public reports and mandatory repairs and renovations underwritten by Western retailers. A legally enforceable contract, it also calls for retailers to stop doing business with any factory that refuses to make necessary safety improvements, and for workers and their unions to have a substantial voice in factory safety. In announcing its move, H&M said that “in order to make an impact and be sustainable,” the agreement “would need a broad coalition of brands.” A company statement said the
agreement committed participants to the goal of a safe and sustainable garment industry in Bangladesh “in which no worker needs to fear fires, building collapses or other accidents that could be prevented with reasonable health and safety measures.” Worker rights groups have praised the accord. Other big names that have since signed on include PVH, Tchibo, Marks & Spenser, El Corte Ingles, jbc, Mango, Carrefour, KiK, Helly Hansen, G-Star, Aldi, New Look, Mothercare, Loblaws, Sainsbury’s, Benetton, N Brown Group, Stockman, WE Europe, Esprit, Rewe, Next, Lidl, Hess Natur, Switcher, Sean John, and Abercrombie & Fitch. But numerous investor, religious, consumer and labor groups are pressing even more companies to sign on. Noticeably absent from the accord are WalMart Stores, the American chain that is the world’s largest retailer, and other big name US firms. Wal-Mart had announced that it would not sign the accord, but instead would make public its safety inspections at all of its suppliers’ authorized factories in Bangladesh. It committed to complete reviews of its 279 supplier plants within six months. The factory names and inspection information would be posted on the company’s website. The company said it would also evaluate factories’ electrical and fire-safety systems, review their compliance with local building standards and permits, and visually inspect buildings for signs of structural distress. Production would cease immediately at factories where urgent safety issues were identified, WalMart said. However, at the end of May, Wal-Mart and other US retailers, likely feeling pressure from consumer and labor groups for not doing enough to ensure factory safety, decided to forge their own industry plan. The new effort is being spearheaded by the Bipartisan Policy Center, a nonprofit group based in Washington DC. According to the Center, leading retailers such as Gap, JC Penny, Sears, Target, Wal-
Ready-made garment
58%
80%
23% 5%
20%
Others
Other Markets
Total Export of Bangladesh (2011-12) Source: Bangladesh Garment Manufacturers and Export Association, 2013
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14%
Mart and others, together with the National Retail Federation and the American Apparel and Footwear Association (AAFA), would work to “develop and implement a new program to improve fire and safety regulations in the garment factories of Bangladesh.” Two well-regarded veteran US politicians, both members of the Bipartisan Policy Center – former Senators George J. Mitchell, a democrat, and Olympia J. Snowe, a republican – are leading the effort. The new group, which was joined by the Retail Industry Leaders Association and the Retail Council of Canada, issued its formal plan in early July, which comes with a $42 million fund to improve safety conditions in Bangladesh’s factories over the next five years. The new US-led plan requires all factories working with the 17 retailers in the pact to be inspected within a year and for the results to be made public. The group says it will implement safety standards by October and refuse to buy from factories they determine to be unsafe. Each retailer’s financial contribution will correspond to the size of its operations in the country, with those with the most production paying $1 million over five years. It also offers funds for displaced workers and low interest loans for quick repairs. An NGO will implement the plan, while a board will release semi-annual progress reports. According to media reports, US retailers opted out of the European-dominated plan out of concern over legal liabilities. Critics, however, say that the American retailers were uncomfortable with the binding obligations and the potential costs of the plan. They also say the US plan will divide the industry.
Losing patience Regardless of whose plan is adopted by which company, pressure has been mounting for major governments to take action. In the US, labor advocates stepped up pressure on the Obama
Clothing & Accessories
administration to convey its disapproval of working conditions in Bangladesh by revoking its special trade status. Bangladesh is one of 125 countries that receive breaks on US tariffs under a WTO program, called the Generalized System of Preferences, intended to promote economic growth around the world, but excludes the garment industry. In December 2012, US officials gave the Bangladeshi government a list of areas Many potential hazards hide inside this beautiful city Dhaka. requiring improvement in order for the country to keep its status, but there was little progress, US officials being deliberated, evidence that outside pressure said. The list called for an end to government may be starting to have an effect. harassment of labor organizers and greater rights for workers. Citing lack of progress in these areas, the US Trade Representative in late June revoked Bangladesh’s GSP privileges.
The perilous game of subcontracting
International organizations have also taken a tougher line on the country’s labor and safety practices. In May, the International Labor Organization and the World Bank refused to let Bangladesh join a textile industry-monitoring program until its labor laws and conditions for unions improve. The country had asked to join the Better Work Program, which involves unannounced, independent inspections of participating textile plants by outside experts, together with technical help from the World Bank for managers and plant owners. But ILO and World Bank officials regard the country’s labor laws as so weak and the conditions for workers and unions so treacherous that they demanded major changes in advance of approving its participation. An overhaul of the country’s labor laws was sent to Bangladesh’s parliament in June where it is now
Set aside for a moment the popular image of a typical garment factory in Bangladesh: grimy, sweaty, unsafe, women and children sitting in dimly lit sweltering rooms sewing shirts and T-shirts for hours on end. Now imagine a factory where workers sit in long, orderly rows, under bright neon lights, with fans blasting away. The children are not on the factory floor but in an in-house day care. The starting wage is $51 a month, and the workers get hour-long lunch breaks and free medicine from a full-time doctor employed by the factory. It meets safety standards and passes inspections. This is not fantasy, but the scene at many typical medium-sized factories in Bangladesh, according to local industry representatives. Ones like this are common, they say, but normally don’t make the headlines.
TG No: 1001557166
Hangzhou In-Choice Import & Export Co., Ltd.
Factory Location
Shantou City, Guangdong Province, China
Years of Operation
5+ Years
No. of Employees
101-300
Major Markets
United Kingdom, Germany, United States, France
Room 1501, Bldg 1, Changdi Huoju Building, No.259 Wensan Road, Hangzhou City, Zhejiang Province, China choice_60@in-choice.com.cn +86-0571-56770301 www.inchoice-fashion.com
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The ones that do, unfortunately, have mushroomed in and around Dhaka where they rent space in facilities where they have no business being: shopping malls or office buildings that aren’t equipped to handle the heavy machinery the trade requires. Until now, the government had mainly turned a blind eye. After all, the factories were boosting employment. Since 2005, almost 2,000 garment workers have been killed in factory fires and structure collapses, according to a CNN report. And all of them have been at small, unregulated factories. These are the factories that don’t deal directly with Western clothiers. Typically, when a company in the US or Europe places an order, it does so with a large or medium-sized factory that most likely lives up to the company’s standards for a decent wage and working conditions. But with business booming and with the need to keep costs down, factories are forced to farm out part of their work, often to smaller, fly-bynight operators. Such passing-of-the-buck is now an industry norm and was no doubt partly responsible for the Rana Plaza tragedy. Many retail brands are even unaware that their work is being subcontracted out to substandard factories. The president of the Exporters Association of Bangladesh recently lamented that, “Bangladesh already has world-class factories. Some buyers just avoid placing orders there to maximize their profits.” The Rana Plaza collapse has served as a deadly reminder to retailers that taking responsibility for managing the entire supply chain is critical, especially oversight over subcontractors. In practice, few subcontractors are audited. Experts suggest that mainstream retailers learn from luxury goods groups how to control their suppliers. In the luxury garments segment, retailers tend to have a tighter grip on the supply
Clothing & Accessories
chain, with more control over subcontractors who get audited regularly.
Can the garment industry’s image be saved? Global clothing brands responded in starkly different ways to the Rana Plaza building collapse. Some quickly acknowledged their links to the tragedy and promised compensation. Others denied they authorized work at factories in the building even when their labels were found in the rubble. The first approach deserves praise for honesty and compassion. The second tries to minimize damage to a brand by maximizing distance from the disaster. Communications professionals say both are typical public relations strategies, but neither may be enough to protect companies from the stain of doing business in Bangladesh. With three deadly disasters in Bangladesh’s $20 billion garment industry in the past eight months, possibly the only way retailers and clothing brands can protect their reputations is to take a total corporate social responsibility approach and visibly and genuinely work to overhaul safety in Bangladesh's garment factories, say industry specialists. Such an approach could have prevented the factory fire that killed 112 workers in November 2012 and a January blaze that killed seven. With the latest disaster, Bangladesh’s worker safety record may have become so notorious that the reputational risks of doing business there may now be too great, even for retailers and brands that didn’t work with factories in the collapsed Rana Plaza building or the Tazreen Fashions factory that burned late last year. It may no longer be enough to say: We were not involved in those particular factories. Companies that are downplaying involvement in Bangladesh's factory safety problems may
be counting on the short memories of Western consumers, who tend to focus on price and may not even check where a piece of clothing has been made. But that may be a risky strategy, as reputation is built over a long period of time and can be ruined in a flash. Even companies that do make efforts to ensure they use only factories with good safety records are now at risk of being lumped in with the problems that are rife in Bangladesh’s garment industry. What’s important, experts say, is that companies not only do something to overhaul the industry, but also be seen to be doing so by the public. Whether the two industry plans in the works will fix the garment industry’s image problem is open to debate, but some retailers are already getting more serious about sanctioning factories and subcontractors that break the rules. In mid-May, Wal-Mart placed Bangladeshi company Simco’s four factories on its banned suppliers list even though the company had never failed a safety audit in 22 years. Wal-Mart said that Simco was banned for unauthorized subcontracting of an order to Tazreen Fashions where 112 workers died in the November fire. Simco said it had subcontracted to Tuba Garments, which was an authorized WalMart supplier at the time, but Tuba then shifted the order from its mother factory to Tazreen. This was done, apparently, without Simco’s knowledge, and drives home again the importance of knowing all the players in the supply chain. Such decisions only highlight the larger dilemma that the industry will have to wrestle with going forward – is it better to sever ties with longtime suppliers that may pose a safety risk, or stay with them and try to lift standards? While cutting costs will always be a driving force in the garment industry, one’s company image and reputation for corporate social responsibility may both require greater focus in the years ahead.
TG No: 1000476120
Rudong Knitit Fashion Accessories Co., Ltd.
Factory Location
Nantong City, Jiangsu Province, China
Years of Operation
2-5 Years
No. of Employees
101-300
Total Production Floor Area (m2)
20,000
Production Capacity per Month
Scarf (pcs) 500,000 Hat (pcs) 350,000 Glove (pcs) 250,000
With OEM Services?
Yes
With ODM Services?
Yes
Major Markets
United States, Germany, Sweden, Canada, United Kingdom
Social Compliance
Sedex
Huanghe Road, Economy Development Area, Rudong, Nantong City, Jiangsu Province, China ricky@shanghai-style.cn +86-0513-8190 8191 +86-13818897572
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Clothing & Accessories
TG No: 1001386341
Guangdong Singwear Garments Co., Ltd.
Factory Location
Shantou City, Guangdong Province, China
Years of Operation
2-5 Years
No. of Employees
301-500
Total Production Floor Area (m )
24,000
Production Capacity per Month
Panty (pcs) 1,500,000 Legging (pcs) 1,500,000
2
With OEM Services?
Yes
With ODM Services?
Yes
Major Markets
Canada, Russia, Germany, United States, Australia
Quality Compliance
ISO9001
Xiangang Industrial District, Simapu Town, Chaonan District, Shantou City, Guangdong Province, China laura@singwear.com +86-0754-82201270 www.singwear.com
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Clothing & Accessories
TG No: 1001154485
Jiaxing Mengdi Import & Export Co., Ltd.
Factory Location
Jiaxing City, Zhejiang Province, China
Years of Operation
5+ Years
No. of Employees
1,001-2,000
Total Production Floor Area (m )
270,000
Production Capacity per Month
Clothing (pcs) 600,000
With OEM Services?
Yes
Major Markets
United States, Australia, Japan, Canada, Italy
2
16, 18, 19/F, Longway Plaza, No.960 Chengnan Road, Jiaxing City, Zhejiang Province, China xch@mengdi.com.cn +86-18967309153 www.mengdi.com.cn
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FEATURES
Into the eye of the storm Economic indicators offer little clue as to when the global downturn will abate, and suppliers must adapt to meet the uncertainty head on.
Manufacturing is a tough industry to be in at the best of times, and this has been compounded by bitter competition from all corners of the globe, sluggish growth, budget constraints, and volatile markets. While certain sectors of the global economy have seen renewed growth, there are persistent doubts over the Eurozone, US recovery and Chinese growth—and that’s just the tip of the economic turbulence. “In the midst of the continuing focus on cost, some might say that suppliers have hunkered down to weather the storm,” says Jeff Dobbs, Global Sector Chair, Diversified Industrials for KPMG, in a 2013 global manufacturing outlook released with the Economist Intelligence Unit. “To the contrary…companies are positioning themselves for a new era of growth driven
by innovation, collaboration across the value chain, and rapidly changing manufacturing and decision support technology,” he added. Perhaps a silver lining is beginning to emerge behind the black clouds. A March 2013 PwC survey of 58 US-based industrial manufacturing executives showed 78% of respondents expected revenue growth and 55% were optimistic over the prospects for the US economy in 2013, which has been accompanied by increases in R&D and new products at respondents’ organizations. Suppliers are certainly looking towards a brighter future, but this optimism is tempered with caution: only 36% of respondents to the PwC survey were hopeful over the global economy’s prospects. “Despite respondent
optimism in their overall economic outlooks, certain political and economic risks are making them more apprehensive when thinking about the outlooks for their own companies,” the report’s authors say.
Is the gloom fading? Current economic indicators suggest an upturn for the global economy: a United Nations Industrial Development Organization (UNIDO) report released in June 2013 said world manufacturing output increased 1.7% in the first quarter of 2013, a rise from 1.3% in the final quarter of 2012. Supporting these figures is the JPMorgan Global Manufacturing PMI index released in June 2013
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indicating that global manufacturing production increased for the seventh consecutive month in May 2013, with output rises for the major nations, including the USA, China, Japan, Germany, the UK, South Korea and Brazil. The report also showed incoming new orders rose for the fifth consecutive month in May 2013, albeit at only a moderate rate of increase compared to April. Commentators such as David Hensley, Director of Global Economics Coordination at JPMorgan, are cautious about reading too much into these numbers. “Although the global manufacturing sector recorded further growth of output in May, the rate of expansion remains sluggish. The good news is that the survey’s leading indicators of new orders and finished goods inventory are moving in a constructive fashion, hinting that output growth might pick up into midyear,” he said in the JPMorgan Global Manufacturing PMI index release. UNIDO economic figures show that Europe remains economically weak, with quarter-toquarter declines in France (-4.2%), Germany (-1.7%), Italy (-4.5%), the Russian Federation (-3.1%) and the UK (-2.1%). The authors of UNIDO’s report suggest that current growth is primarily sustained by the US and China, the world’s leading suppliers. “While the sustained growth of industrialized economies has been jeopardized by stagnation in Europe due to the austerity measures, developing and emerging industrial economies faced decline in external demand due to prolonged recession in industrialized economies,” the report’s authors said. China is often seen as a buffer to global economic doldrums, but economic figures don’t provide a clear picture on its growth trajectory. HSBC China Composite PMI data released in June 2013 (covering both manufacturing and services) showed that while manufacturing and
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services output continued to expand in May, manufacturing output is rising at its slowest pace since October 2012. “A soft patch in manufacturing growth continues to weigh on this industry and adds more downside risks to China’s growth rate in 2Q,” said Hongbin Qu, Chief Economist, China & CoHead of Asian Economic Research HSBC, in the China Composite PMI bulletin. The HSBC economist does see scope for recovery, as “the improving property market and Beijing’s renewed effort on expanding VAT tax reform nationwide could lend some support for the service sector’s future development.” HSBC’s forecasts for Asia, however, appear less rosy. “Asia’s suppliers [have] hit another speed bump. A near-term lift appears unlikely, with new orders slowing and inventories still high,” says Frederic Neumann, Co-Head of Asian Economic Research, HSBC, in a June 2013 HSBC Emerging Markets Index report. The index showed Indian output decreased in May, the first drop since March 2009, while Vietnam saw declines in output, new orders and employment. In Taiwan, output and new orders decreased. However, there were recorded output rises in Indonesia and South Korea. “Another slowdown in the pace of growth of manufacturing output in China may have negatively affected the rhythm of industrial expansion in other Asian countries. This is a reminder of the bigger impact that prolonged weakness of manufacturing in China could have on the emerging-markets space as a whole,” said André Loes HSBC Chief Economist, LATAM, in the HSBC Emerging Markets Index report.
Manufacturing chameleons Companies are adapting to the new environment, according to evidence from 335 global executives in a KPMG and Economist Intelligence Unit report released in 2013. The KPMG report says
Different functions in the supplier world will need to work closer
suppliers are enacting several measures to counter the prevalent global economic instability. This includes viewing channel partners as part of a network to achieve a real-time view of demand, supply, and capacity. Increasingly, relationships with suppliers and partners are critical to responsiveness in the market and optimization in inventory, logistics and operations.
to be the way forward,” she told the authors. A separate KPMG consumer-goods survey entitled ‘Consumer Executive Top of Mind Survey 2013’ asked more than 400 leaders from global consumer companies what issues were “top of mind” in 2013. Fourth on a list of 12 factors after consumer demand, growth, and innovation, comes the supply chain and procurement. “I am not surprised supply chain management is right behind the first three priority issues for executives,” said KPMG UK Partner Andrew Underwood in the report. “To achieve sales, growth and innovation, you have to make sure you can fulfil demand from the supply chain perspective. You have to have the necessary structure in your operating model and a robust supply chain strategy in place.” For forward-looking suppliers, the supply chain has been placed at the centre of strategy, with suppliers seen as a source of creation, not just production and logistics. R&D and innovation is an increasing focus of attention for suppliers, with 42% of the KPMG report respondents expecting their company to invest 4% of their revenue into innovation over the next two years.
Winds of change than ever to adapt to changes in trends.
Companies are also increasing visibility in the supply chain to increase performance, agility and resilience. KPMG survey respondent Carol Burke, managing director of Unipart Manufacturing Group that services the auto, energy, and oil and gas sectors, sees the supply chain as playing a bigger role in helping companies meet their future goals. “Providing a combination of manufacturing, logistics, and consulting is going
Clothing & Accessories
Manufacturing is going through a process of evolution, a transformation that was highlighted by a McKinsey global manufacturing outlook from November 2012. Companies, the report says, “will be challenged to organize and operate in fundamentally different ways to create a new kind of global manufacturing company—an organization that more seamlessly collaborates around the world to design, build, and sell products and services to increasingly diverse customer bases.” The McKinsey outlook cites several factors that suppliers must adapt to in order to survive in the current economic climate:
• Sticking to the ‘business as usual’ approach and copying and pasting of old strategies will not work: a “granular” approach of adapting to details and environments is key. • “Granularity” requires tailoring products and supply-chain strategies to sub-segments, even in national or regional markets. • Major commitments must be balanced with risk and each decision not too costly to reverse, in order to remain agile and flexible in the market. • Companies should strive to create an ecosystem of suppliers, researchers and partners to meet demand for faster product cycles. • This requires utilising local knowledge and specialist expertise, along with data and analytical tools, to exploit long-term trends. Companies can then better manage both attendant risks and near-term uncertainties. • Investing in one’s organization is thus critical, to attract the right talent at all levels, promote emerging leaders, and acquire skilled workers. Suppliers do not have the luxury of waiting out the vicissitudes of this global economic storm. Figures have not pointed unequivocally to recovery, and businesses must act now to move their business forward. Rather than shelter from the storm, suppliers must meet uncertainty head on, and business models have to evolve to adapt to an ever-changing environment. “One thing we know for sure,” says Dobbs in KPMG’s global manufacturing outlook, “the volatility that we have seen in the past five years will continue.” “The strategies, relationships, and tools to compete in this ever-changing environment must become much more sophisticated,” Dobbs adds.
TG No: 1000006325
Ningbo LT·IB Fashion Co., Ltd.
林泰英博控股
Factory Location
Ningbo City, Zhejiang Province, China
Years of Operation
5+ Years
No. of Employees
101-300
Total Production Floor Area (m )
3,000
Production Capacity per Month
Vest (pcs) 35,000 Skirt (pcs) 25,000 Coat (pcs) 18,000
With OEM Services?
Yes
Major Markets
United Arab Emirates, France, Italy, Germany, United States
2
26/F Guohua International Bldg, No. 500 Taikang Mid Road, South CBD, Ningbo City, Zhejiang Province, China. Yvonne@ltibfashion.com +86-0574-8808 5903 www.ltibfashion.com
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BC
FEATURES
For Those ‘Behind the Seams’: a Higher Minimum Wage? Call for a raise With more firms sourcing apparel from garment factories in developing countries, whether to pay garment workers a higher minimum wage has become a hot topic for discussion. When it comes to the world of garments, people often think of a large group of low-end workers diligently working in a third-world factory to produce clothing for garment firms in Europe and the USA. It is true that due to the industry’s labor-intensive nature, many garmentmanufacturing firms use overseas contractors to make garments at lower labor cost. These factories, mostly located in developing countries, are known for maintaining low wage levels.
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Business Chain Issue 4
Today, almost three-quarters of the world’s apparel exports are made in developing countries. China is at present the top exporter in the world of garments, followed by Italy and Bangladesh. According to statistics announced by the Worker Rights Consortium, an independent labor rights monitoring organization, Bangladesh has the lowest wage rate, with the average worker earning the equivalent of 24 US cents an hour, followed by 45 US cents in Cambodia, 52 US cents in Pakistan, 53 US cents in Vietnam and US$1.26 in China.
Historically, a minimum wage was set to ensure that workers received adequate income to cover their basic living needs, while providing income security for them. Now, many developing countries where most garment factories are located have already set an official minimum wage rate for workers; but more people doubt whether the current minimum wage for factory workers can give them an acceptable standard of living. In fact, there has been a lot of discussion over the years about raising the legal minimum wage for these low-wage and low-skilled workers in third-world countries. The wave of strikes called by garment-factory workers across developing countries, and a recent protest in Cambodia over pay at a factory making clothing for Nike, has further raised worldwide concerns over low wages and poor labor conditions in the garment sector.
What’s the impact? With the increasing awareness of labor rights and the importance of corporate social responsibility, firms are expected to implement responsible labor policies, including paying a fair wage to workers. Therefore, more people are calling for an increase in the legal minimum wage, which has in turn generated widespread discussion on its impact on both garment workers and apparel firms.
Decline in employment Despite the vocal calls for protecting the rights of low-paid garment workers, economists often frowned on the minimum wage as it may reduce demand for workers, resulting in a fall in employment. A minimum-wage increase prompts firms to substitute the affected higherwage workers with labor that does not receive the minimum wage increase, or reduce the number of workers employed to lower costs, thus causing fiercer job competition among lowskilled and inexperienced workers with little to zero education. With a higher minimum wage enforced, more expensive labor might create reluctance to hire in the formal economy and push firms, particularly those who hire lowskilled workers, to either increase their capitallabor ratio or shift to the informal sector in which wages are not regulated.
Increase in labor costs Raising the minimum wage will certainly lead to a labor-cost increase. As such, firms may have to offset the increased production cost by restricting benefits to workers or reducing the number of work hours. When it becomes more expensive to pay workers, it is also reasonable to see firms exploring new lower-cost locations and starting to move production to such locations, such as
second-tier cities or remoter areas where firms can take advantage of cheaper migrant workers.
A boost to worker morale Besides the widely discussed potentially negative effects, raising the minimum wage also offers a number of advantages to both firms and garment workers. From an employer’s perspective, maintaining efficiency and productivity helps to avoid higher production costs as a loss of efficiency means a loss of production time. And firms that merely pay workers the minimum wage will more likely face the problem of low morale, reduced productivity and efficiency compared to firms that pay a higher wage. As workers who command a higher wage are usually more responsive to an employer’s work demands, we can see that a pay rise is definitely a good way to improve worker morale, which will directly affect workers’ productivity.
improve their quality of life. In the meantime, when workers have higher incomes, this implies that their purchasing power is enhanced – a boost to consumer spending. When consumer demand grows, business thrives, so there will be more profits for business. In closing, different parties have expressed mixed views on the minimum wage issue. No matter what the effects of a minimum wage hike may be, it brooks no delay for firms that source clothing from garment factories in developing countries to review their pay policies and make sure workers are treated fairly, as the outside world (including customers) is paying ever-increasing attention to labor-rights issues.
Employer branding The increasing concerns over labor rights and work conditions in garment factories are prompting firms to squarely face the minimumwage issue and develop robust labor policies. In fact, fair-pay policies help to enhance the reputation of a company as a fair, ethical and responsible employer. As nowadays greater emphasis is put on corporate social responsibility, paying factory workers a higher minimum wage can also be seen as a means to enhance branding as it greatly bolsters a firm’s image and hence increases customer satisfaction.
Higher purchasing power From a garment worker’s perspective, a minimum wage increase is absolutely good news to them as it means they will have more money in their pockets to support their families and
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Good Case
Addon Retail Pvt Ltd. (Addons) is a jewelry and accessories retailer from India whose major procurement category covers high-end jewelry, hair accessories, shoes, handbags, hats and sunglasses, etc. Currently Addon Retail Pvt Ltd. has 70 stores in India and is expected to grow this to 120 stores next year. Addons previously placed most of its orders in Korea. Although they are very interested in China's rich resource of suppliers, the lack of reliable business channels is a major obstacle confronting the company. When Addons learnt
Private matching event helped Indian buyer what kind of supply-chain platform Tradegood is and the advantages it brings, they jumped at the chance to use Tradegood's resources to find suitable suppliers in China. In line with Addons' business needs, Tradegood held a private matching event for them in January, 2013 in Qingdao. At this event, they were looking for a range of merchandise, including jewelry, hair accessories, shoes, handbags, sunglasses, hats, and watches. In accordance with their requirements, Tradegood staff quickly responded by screening the first batch of suppliers to meet directly with this buyer. Addons then chose several follow-up contacts and two factory visits were arranged with Tradegood support, during which they gained a more in-depth understanding of suppliers' offers and discussed cooperation issues with suppliers who met the requirements. Addons greatly values suppliers' price, style, business expertise and especially working environment and management capabilities. They spoke highly of Tradegood's services and wrote a letter of thanks to express this recognition. They praised Tradegood as a very professional and effective sourcing community. Through this channel, they were able to quickly find
matching suppliers in China, despite so vast a territory, and saved a lot of time and effort. In addition, Tradegood offered very attentive services during the itinerary, making catering and accommodation reservations for the buyers, a fact which made a very good impression on them. After this pleasant initial cooperation with Tradegood, Addons decided to authorize Tradegood to seek appropriate supplier partners for them on a regular basis with a view to long-term cooperation and development. Tradegood will continue to earn the trust of the buyers by helping them to effectively screen qualified suppliers. Tradegood endeavors to make concrete cooperation achievements on behalf of both suppliers and buyers, building a satisfactory supply chain within the global sourcing industry. "Within a short time, Tradegood had organized meetings with all the manufacturers that matched my requirements (for my China trip)â&#x20AC;Ś This is a very new concept in business and everybody has greatly appreciated it." Mr. Pratik Biyani Sourcing Representative Addons
Addon Retail Pvt Ltd. (Addons) Addon Retail Pvt Ltd. is a jewelry & accessories retailer from India whose major procurement category covers high-end jewelry, hair accessories, shoes, handbags, hats, sunglasses and so on. Currently Addons has 70 stores in India and is expected to expand to 120 stores next year.
Clothing & Accessories
TG No: 1000998584
Zhejiang Yude Fashion Co., Ltd.
Factory Location
Haining City, Zhejiang Province, China
Years of Operation
5+ Years
No. of Employees
101-300
Total Production Floor Area (m )
13,876
Production Capacity per Month
Vest (pcs) 100,000 Shirt (pcs) 70,000 Pants (pcs) 70,000
2
With OEM Services?
Yes
Major Markets
Mexico, United Kingdom, France, Spain, United States
Quality Compliance
ISO9001
No.396 Qingzhong Road, Qingyun Town, Haining City, Zhejiang Province, China sl@yu-de.com.cn +86-0573-87791652 www.yu-de.com.cn
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Business Chain Issue 4
"Yes, I have a sourcing request!" Tradegood is here to help! Simply register your sourcing requests at Tradegood website and our specialists will handle the rest for you. It's totally free!
www.tradegood.com buyer@tradegood.com
Business Chain Issue 4
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The Textile and Footwear Industries in Mexico The highly globalized textile, apparel and footwear industries have seen significant shifts in manufacturing and export-import patterns in the last two decades.
the advantage of low labor costs– compete with a more “expensive” European product that is superior in design and quality, represented by Italy, Spain and Portugal, in that order.
The textile industry is vital to the economy of more than one country, both in terms of the number of people it employs and the revenues it generates. In the last half century, the apparel industry – which was concentrated in industrialized nations in the mid-twentieth century – has gradually spread to developing countries. The global “redistribution” of the textile industry began in the late 1960s, with the expansion of new manufacturing centers in Asia. In some cases, particularly in South Asia, imported fabrics were progressively substituted with national ones as a domestic textile industry began to take shape.
Brazil is an interesting, but equally successful case that falls somewhere between the Chinese and Italian models. In the last 25 years, the country has tripled its output and positioned itself among the large global exporters, due largely to its strategy of supplying the USA with ladies’ shoes in the medium-to-low price range. Annual shoe exports are valued at US$1.6 billion, 70% of which –mainly ladies’ shoes– are destined for the USA, where Brazil is the leading supplier of women’s footwear with a 42% market share, followed by China with 38% and Italy with 10%.
Many developing countries applied this strategy and, over the last 20 years, textile production has grown at an average global rate of 1.2%, with variations depending on the level of development of the country in question. In more industrialized economies, for example, growth has averaged 2.7%, compared to 3.6% in Asia. Nonetheless, many developed countries still have viable textile industries that operate mainly at the top end of the market. And thanks to restructuring and modernization measures, several still feature on the list of the world’s top ten textile exporters in terms of the value of their products. Since the majority of producer countries in the developing world are exporters, their share of the global apparel market has almost doubled since 1970 to over 60%, with Asia taking the lead. In Central and Eastern Europe, foreign companies entered into sub-contracting agreements during
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Business Chain Issue 4
the Cold War, attracted by the proximity of the Eastern European market and lower production costs. Over time, some of these countries have come to establish themselves as leading apparel suppliers in the region. The structure and production characteristics of the apparel industry are akin to those of the footwear industry, which has witnessed similar changes in the distribution of manufacturing activities and international trade. On average, in Mexico two pairs of shoes per capita are purchased per year, while global shoe production currently stands at 24 billion pairs a year, 60% of which are exported. China alone produces approximately 9.5 billion pairs a year, 7 billion of which are exported. The most spectacular growth has probably been posted by China and India –which manufactures 700 million pairs of shoes a year– ousting countries like Italy that were once major producers, but whose annual output has now fallen to 400 million pairs. The world’s biggest footwear importer is the USA, which purchases 1.8 billion pairs a year, followed by Japan and Germany. Together, these three countries account for almost half of total net footwear imports. Global trade in non-sporting footwear is valued at approximately US$15 billion a year. Footwear with leather uppers accounts for a massive 85% of this total. On the international market, “cheap”Asian products –spearheaded by China, which has
The Mexican Experience Mexico’s textile industry plays an important role on both the USA and the domestic market, where its contribution to the economy of certain states is not to be underestimated. In the 1990s, the industry benefited from the dismantling of trade barriers, particularly the lifting of duties provided for in the North American Free Trade Agreement (NAFTA). However, since 2000, the industry has faced growing competition from countries like China, a situation that was compounded when the latter joined the World Trade Organization (WTO). On the upside, fiercer competition has forced the sector to take stock and shore up its activities. It is important to remember that, in Mexico, micro and small companies make up approximately 85% of the sector. In terms of value, the scales tip in favor of the manufacture of textile inputs (69.5%), as opposed to textile products (30%).
BC Despite more aggressive international competition, the domestic industry has several strengths it can fall back on, not least existing infrastructure for the manufacture of fibers and textiles and complete packages in the case of certain products; its proximity to the US market and other Latin American suppliers; and existing infrastructure and services in textilemanufacturing regions of the country. There are also opportunities to be had in the area of product design, development and differentiation, the promotion of foreign investment and the introduction of modern technology to yarn and textile production processes. In addition to supplying the domestic market and increasing its share of the international market, the industry needs to implement more efficient manufacturing processes, reduce costs, integrate operations with other companies in the value chain and develop competitive, integrated regional clusters. As regards Mexico’s footwear industry, this is an activity that dates back to Pre-Columbian times. Today, it closely mirrors trends in the textile sector. Once again, micro and small companies account for the bulk of enterprises in operation (roughly 89%) and employ some 600,000 people, either directly or indirectly, in the supply of inputs and product marketing. There are approximately 8,000 footwear manufacturers in Mexico, 3,300 of which are located in the state of Guanajuato, although Guadalajara and the Estado de México/ Mexico City cluster are also major producers.
The footwear industry is of enormous importance to the Mexican economy, accounting for 0.22% of Gross Domestic Product (GDP) in 2008 and 1% of manufacturing GDP. Mexicans buy around 300 million pairs of shoes a year, which translates into about 2.5 pairs per capita. Of the 250 million pairs of shoes the country manufactures, 20 million are exported, while imports stand at 60 million. The main international market for Mexican-made shoes is the USA, followed by Canada and Japan. Some of the advantages the industry has over its international rivals include a well-established supplier chain, a highly-skilled workforce and good communications infrastructure. Also, Mexican-made footwear is affordable and the industry has a long-standing tradition in certain parts of the country like León, Guanajuato. Generally speaking, the challenges facing Mexico’s footwear and textile industries are not that different to those facing their rivals. And while the international economic crisis could eventually affect sales on the domestic and international markets, demand continues to grow on both. Meeting that demand will depend on all the micro and small companies operating in these industries, which, so far, have proven flexible enough to adapt to change. Then there are areas of specialization to be tapped into. For example, the footwear sector could focus on manufacturing boots, which are very popular among international consumers.
FEATURES
Likewise, proximity to the USA opens up endless opportunities for these sectors, not to mention the potential benefits of the numerous free trade agreements Mexico has entered into with countries across three continents. In addition to the backing of well-structured organizations at home, manufacturers also have access to international fairs, where their products enjoy a high degree of prestige. What we are seeing today is a shift towards strategic alliances for the sub-contracting of production processes, which is particularly appealing to investors. Equally important is the fact that government institutions have acknowledged the need to promote these industries, which are capable of taking on international manufacturers in terms of price and quality. In short, if the footwear and textile industries can continue to adapt quickly to the needs of the domestic and international markets, and turn competition from abroad into an opportunity for innovation, the outlook for both will be rosy.
Looking for your potential suppliers in Mexico? Email martha.ludlow@tradegood. com for details now!
ProMéxico is the federal government’s agency in charge of strengthening Mexico’s participation in the international economy. To that end, it supports the export and internationalization activities of companies established in Mexico and coordinates actions to attract foreign investment to national territory. Since its creation, ProMéxico has grown significantly. Currently, it has 37 offices abroad located in 25 leading economies which, in turn, represent over 70% of the global Gross Domestic Product (GDP). Moreover, ProMéxico has 29 offices in 23 states where several services can be provided. ProMéxico has become a strategic partner to promote the country overseas in investment-related areas. Since its creation, the Investment and International Business Promotion Unit in ProMéxico has supported over 5,000 companies and will be increasing this figure even more. Get to know more at http://www.promexico.gob.mx/.
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Colombia Free Trade Agreement (FTA) with the USA:
BC
FEATURES
Greater stability to engage in longterm business expectations Since the free-trade agreement came into effect, Colombia has exported 187 new products and 775 entrepreneurs have been able to trade with the United States for the first time.
When the Andean Trade Promotion and Drug Eradication Act (ATPDEA) renewal was implemented during 2001, the seizing of tariff benefits barely amounted to 14%. Meanwhile, during its first year, the FTA has helped boost Colombian exports to the USA by 58%.
Estadistica, DANE), the Ministry of Trade, Industry and Tourism recorded 187 new products as being exported to the USA and 775 Colombian companies making their first entry into the American market during the same period.
According to a performance survey on the agreement’s first year conducted by Proexport, the association that promotes international tourism, foreign investment and non-traditional exports in Colombia, between May 2012 and February 2013, the treaty has led to greater stability promoting long-term business, particularly with regard to non-mining energy products.
In addition, 44 US cities from 23 different states purchased at least one Colombian product for the first time, including socks in Alameda, cosmetics in Culver City, containers and wrapping material in Beverly Hills, auto parts in Bristol and Columbus, and prefabricated construction materials in Athens.
Based on figures reported by The National Administrative Department of Statistics (Departamento Administrativo Nacional de
Proexport – An Ally to leverage FTAs
The textile and apparel industry was one of the sectors benefiting most. This sector grew by 3.9% during this period, with sales exceeding US$200 million. Leather manufacturing, shapewear, and underwear were among the products that
showed significant growth. Of special note was a 110% increase in swimsuit exports with the Department of Antioquia and Valle del Cauca as the main exporting regions. This trade agreement has greatly assisted Colombia in establishing its position as one of the major suppliers to the USA. During the last 10 years, Colombia climbed 12 positions as a US world supplier by rising from 32th place in 2000 to 20th place in 2012. Suppliers in Colombia look forward to getting connected with US buyers. Contact Martha Ludlow at (52) 55 5998 0900 Ext. 6234 or email martha.ludlow@tradegood. com for details now!
Identifying opportunities is just a single step in the process of seizing them. Learning about markets is one of the main challenges for many entrepreneurs. That’s why Proexport is there as their best possible partner. The agency has available resources and a team of professionals who, besides monitoring trends and business opportunities, organize frequent events to educate participants about the technical requirements from different countries and the key aspects of leveraging FTAs. In 2013, to celebrate the first anniversary of the FTA with the USA, Proexport organized investment, tourism and public procurement conferences, an exploratory mission and a business matchmaking forum in Miami that yielded an expected US$140 million in business opportunities. Learn more at http://www.proexport.com.co/en.
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Happenings in China In the second quarter of 2013, Tradegood pursued its efforts to host diversified events to connect global buyers and suppliers. Three Buyer Summits were held: two in Shenzhen and one in Shanghai, with over 300 guests from buyers and suppliers in total. The most important part of the summit — the business matching session — facilitated dozens of matching opportunities. In this season, a new feature, the Weibo Wall Ballot, was introduced, providing a perfect platform for both buyers and suppliers to exchange ideas and interact. Two seminars entitled “Open the Door to European Trade” were held in Hangzhou and Shenzhou with GermanFashion on April 26 and 28 respectively. With
“Open the Door to European Trade” Seminar in Dongguan – Group of smiley faces
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Business Chain Issue 4
BC
“Open the Door to European Trade” Seminar in Dongguan - Ms. Jaana Jätyri shows samples and introduces the latest trend to suppliers on site
Tradegood Buyer Summit in Shanghai – Professional model at the Photo Studio
Tradegood Buyer Summit in Shanghai – A full house of responsible buyers and trusted suppliers gather in the hall
GOOD NEWS
On behalf of China suppliers, Mr. William Quilindo, Chief Operations Officer of Tradegood (second from left) and Mr. David Ho, Vice President, Northeast Asia, Tradegood (left), receives the ticket to the US hospitality purchasing industry from Mr. Rich Rubsamen, President & CEO of Gazillion! (second from right) and Mr. David Alpert, Founder of Gazillion! (right)
the attendance of Mr. Thomas Rasch, Director General of GermanFashion, Ms. Jaana Jätyri, Founder and CEO of Trendstop.com, Mr. William Quilindo, Chief Operations Officer, Tradegood and Mr. David Ho, Vice President, Northeast Asia, Tradegood joined the event and delivered impressively informative speeches on gaining access to European markets.
model and outlined the benefits Chinese suppliers would gain by working with them. With a tempting amount of US$38 billion in annual hotel purchases, this meeting established a milestone for Chinese suppliers in gaining access to the US hotel supply chain. The workshop was also brought to six other cities over a two-week period.
After reaching an agreement on strategic cooperation with Gazillion!, Tradegood’s first workshop for Gazillion! was held in Shanghai on May 13. At the event Mr. Rich Rubsamen, CEO of Gazillion!, introduced the Gazillion! business
Tradegood is committed to connecting global buyers and suppliers by endeavoring to understand the global supply chain and create values for you. Sign up for our upcoming events at our website www.tradegood.com.
Tradegood Buyer Summit in Shanghai – buyers are satisfied with the product samples presented by our quality suppliers
Tradegood/Gazillion! Workshop in Shenzhen – All attendees pay full attention to the insightful speech by industry experts
Trade Book displays some of the best products you can ever find As our privileged buyer, you can view detailed information on the supplier who manufactures the product you like. Sourcing is made easy with Tradegood.
Visit the Trade Book section at www.tradegood.com now!
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GOOD NEWS
Happenings in Americas The past three months were busy yet rewarding for our American team, with seminars and tradeshows in Latin America and a discussion panel in the USA. From May 20 to 24, Tradegood and Sourcing at Magic made their mark in various countries in Latin America where three seminars were held. During these seminars, buyers and suppliers had the opportunity to meet each other and gain a broader perspective of the supply chain and how to improve their businesses.
Cartagena Fashion 2013 was another highlight in May. Suppliers and buyers enjoyed a fashion walk and gained insights into major fashion markets through a Tradegood executive’s presentation. On June 27, manufacturers, suppliers and government entities gathered together in Los Angeles to discuss the critical issue affecting today’s top denim designers: the increased EU export-tariff hike. The panel of experts, comprised of some of today’s top industry decision-makers, led the discussions for over two hours before an audience of 70.
In addition to the suppliers and manufacturers, key media also joined the discussion. These media influencers included Women’s Wear Daily, California Apparel News, FOX News, and Sourcing Journal Online, as well as fashion bloggers and freelancers. Continued discussions between the audience and expert panel remained strong even after the panel had been brought to a close. There are plans for more forums and panels modeling this LA event due to demand from industry decisionmakers and customers which Tradegood directly impacts.
Cartagena Fashion 2013 – Connecting responsible buyers with trusted suppliers in the fashion world
Tradegood and Sourcing at Magic Seminars – Lively discussion on how to run business better
Clothing & Accessories
TG No: 1000461911
Jurong Xing Li Yuan Clothing Co., Ltd.
Jurong Xing Li Yuan
Factory Location
Jurong City, Jiangsu Province, China
Years of Operation
5+ Years
No. of Employees
1,001-2,000
No. 42 Ersheng Town, Jurong City, Jiangsu Province, China daisy@jr-xly.com +86-0511-8785 2212 www.jr-xly.com
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Business Chain Issue 4
Panel Discussion in LA – perfect time for networking and exchanging ideas
Panel Discussion in LA – Strong discussions between the audience and expert panel
Follow the latest news re “Made in USA” at our newly launched mini-site www. madeinusa.tradegood.com!
Panel Discussion in LA – Mr. Kevin Burke, CEO of American Apparel and Footwear Association, makes a fascinating keynote speech as a moderator of the discussion
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Sep
1 2 3 4 5
27 28 29 30 31
Aug 4-6 Accessorie Circuit
Sep 5-8 Textech International Expo
Oct 1-6 The Decorative Antiques & Textile Fair
Aug 10-12 In Fashion Munich
Sep 6-11 IFA
Oct 15-17 China Toy Expo
Aug 16 Tradegood Buyer Summit
Sep 23-27 Tradegood UK Fashion Tour
Oct 15-17 Taipei IN Style 2013
Aug 18-21 SOURCING at MAGIC
Sep 24 Tradegood Buyer Summit
New York, USA Jacob K. Javits Convention Center
Munich, Germany Munich Praterinsel
Shenzhen, China
Las Vegas, USA Las Vegas Convention Center North Hall
Dhaka, Bangladesh Bangabandhu International Conference Center
Berlin, Germany Berlin Exhibition Ground
London, UK
Shanghai , China
Sep 25-26 The Americas Business Forum
London, UK Battersea Park
Shanghai , China Shanghai New International Expo Centre
Taipei, Taiwan Taipei World Trade Center Nangang Exhibition Hall
Oct 17 Tradegood Buyer Summit Shenzhen, China
Los Angeles, USA UCLA Covel Commons
Tradegood event details at www.tradegood.com
Event Calendar Business Chain Issue 4
27
Need hands in sourcing requests? Tradegood is here to help. Talk to official matchmaker of SOURCING at MAGIC for professional advice and instant connection to 20,000+ verified suppliers. Tradegood Pavilion showcases some of the best fashion suppliers in the market with verified factory profiles.
Date
Aug 18 â&#x20AC;&#x201C; 21, 2013
Venue
Las Vegas Convention Center, North Hall, Las Vegas
Special Announcement: Tradegood Fashion Show
Aug 18
Theme
12:00-12:40pm
Casual Chic
2:15-2:45pm
Body Couture
10:30-11:00am
Dawn Chorus
Aug 19 2:30-3:10pm
Spring / Summer fashion Underwear
Spring / Summer fashion
Classic Wardrobe
Autumn / Winter fashion
3:40-4:00pm
Summer Paradise
11:30-12:00nn
City Vogue
Aug 20 2:00-2:40pm 3:10-3:40pm
Beach Wear
Autumn / Winter fashion
Oriental Bloom
Spring / Summer fashion
Modern Phantom
Autumn / Winter fashion
buyer@tradegood.com
www.tradegood.com TG-BC-V4-0813E
Date Time