Going global helps retain business – Apparel expert
By Rajiesh Seetharam
Large Apparel companies going global by opening manufacturing plants outside Sri Lanka has helped the companies retain the buyers, and also keep part of the operations in Sri Lanka stated Brandix Group Finance Director Hasita Premaratne.
Speaking at a virtual conference on the topic ‘Economic transformation in COVID era’, he said “When you’re in a global business like Apparels, stake holders should have the opportunity to source raw materials globally, if not international buyers would move to other countries, while Sri Lankan manufacturers may lose market share.
International buyers look at cost advantage, free trade agreements to reduce duties and also like to spread geographical areas to source apparels to minimise their risks.
Victoria Secret (VS) wanted to increase the volume of sourcing out of Sri Lanka, to minimise procurement risks. In 2010, Brandix started an apparel city in India, known as the ‘Brandix India Apparel City’ on a 1000 acre site. With the start of manufacturing operations in India, Brandix was able to retain the business from VS, if not they would have found another supplier from India. While manufacturing operations were shifted to India and Bangladesh, however the front end activities like product development, designing, sourcing, and planning are based in Sri Lanka.