There is an interesting expression – cut your coat according to your cloth!
There are various interpretations, the most common of which is ‘make the most of the resources you have available to you’. Interestingly this does not apply to the textile and apparel industry – there are unlimited options for a variety of fabrics – as well as partners to cut them for you.
The textile industry has always been a highly diversified one, with truly global supply chain implications. Silks and exotic fabrics sourced from India, China and other exotic locales were used to fashion the apparel of queens and kings centuries ago. And to a lesser extent those of the courtiers that set the trends for lesser mortals to emulate with lesser finery.
Today the global supply chain includes a variety of activities taking place across an extended network of small and large operations. Apart from the logistics challenges this presents, there is additional complexity when crossing international waters – or other geographic borders. Duties, tariffs, preferential trade agreements – these are just a few of the items that need to be managed to bring the fashion of the day to the virtual storefronts – or the brick and mortar facilities where they change hands at ‘everyday low prices’.
Problems we have solved in collaboration with client team members include:
Feasibility assessment for Leather garment production in Brazil
Production of high fashion items in China resulted in low cost of production that was off-set by high logistics, customs duties and tarriffs. The team evaluated sources for design and tailoring of high end leather jackets. This resulted in identification of lower source of high quality and high fashion items that could be sourced in Brazil for the local market. In addition there were incentives in free trade zones that could be leveraged for export to other markets in Latin America, USA and Europe.