Groyyo’s Post

#Vietnam’s garment industry has emerged as a global powerhouse, with ambitious targets set for the future. According to Prime Minister @Pham Minh Chinh, #Vietnam aims to achieve $100 billion in textile exports by 2030, showcasing the sector’s significant growth and potential. This growth trajectory is supported by various factors, including a skilled workforce, competitive production costs, favorable trade agreements, and a strategic geographical location that facilitates efficient supply chains and access to key markets. Capacity building initiatives are instrumental in unlocking the full potential of Vietnam’s #garment manufacturing sector. From increased productivity and technological adaptation to environmental #sustainability, market access, and resilience, the benefits of capacity building extend across various aspects of the industry, contributing to its growth, competitiveness, and positive impact on the economy. Groyyo Consulting Vietnam Textile & Apparel Association (VITAS) Abhishek Yugal Divya Mohan Utkarsh Mishra Jigyasa Sachdeva Imtiaz Mullick Nitesh Kumar sahoo Jubaidur Rahaman Sumit Mahato #apparel #apparelmanufacturing #capacitybuilding #managementconsulting #consulting #smartfactory #skills #connectedmanufacturing #thoughtleadership

European Apparel Brands Shifting to Pakistan for Manufacturing (2024-2025) 🌍👗 The global apparel industry is witnessing a shift, with many European brands eyeing Pakistan as a prime manufacturing destination for 2024-2025. This change is driven by several factors, including cost advantages, quality production, and a strong textile infrastructure. 1. Competitive Manufacturing Costs 💰 Pakistan's manufacturing costs, particularly in the textile sector, are significantly lower than in Europe and other Asian countries. Lower labor wages and affordable raw materials make it a cost-efficient option for brands aiming to maintain quality while controlling expenses. 2. Well-Established Textile Industry 🧶 Pakistan has a rich history in textile production, especially in knits and woven fabrics. The country is one of the largest producers of cotton, and its textile mills are equipped with modern machinery and skilled labor. This enables the production of high-quality apparel that meets international standards. 3. Government Support & Incentives 🏛️ The Pakistani government has been proactive in supporting the textile and apparel sector through policies like: Tax exemptions for exports Subsidized energy rates for the industry Simplified export procedures, reducing bureaucratic hurdles for international brands These measures are encouraging more European retailers to set up production in the country. 4. Focus on Sustainability ♻️ Sustainability is becoming increasingly important in the fashion industry, and Pakistan’s textile manufacturers are catching up. Several factories have adopted eco-friendly practices, including water conservation, renewable energy, and organic cotton production, aligning with the values of European brands that prioritize sustainability. 5. Skilled Workforce 👷♂️👗 Pakistan has a large and skilled workforce in the textile industry. Many workers are trained in modern production techniques, pattern-making, stitching, and finishing, ensuring that international quality standards are met. Brands that require high-end garments find this workforce particularly valuable. 6. Shorter Lead Times for European Markets 🚢 Geographically, Pakistan is strategically located, offering relatively short shipping times to European markets compared to competitors like China or Southeast Asia. With the increasing importance of fast fashion and quicker turnaround times, this proximity is a significant advantage for European brands. 7. Cultural and Business Ties with Europe 🤝 Pakistan has long-standing trade relations with European countries. Several trade agreements and partnerships, like the GSP+ status (Generalized Scheme of Preferences), grant Pakistani exports favorable access to European markets, further incentivizing brands to invest in manufacturing operations there. #ApparelKnits #Knitwear #KnittedFashion #KnitApparel #SustainableKnits #KnitwearManufacturing #KnitGarments #KnitwearIndustry #FashionKnits #EcoFriendlyKnits

Sourcing From China-The Upgrade And To Be Sustainable #Apparel #garment #supplychain China is the world’s largest garment exporter, accounting for 31.8% of global apparel exports in 2022. Its dominant position is supported by a vast manufacturing base, advanced production capabilities, and a comprehensive supply chain that enables fast and cost-effective garment production. Despite rising labor costs and increased competition from countries like Bangladesh and Vietnam, China remains a key player in the global fashion industry, especially due to its innovation in sustainable and eco-friendly practice. Sustainable fashion is increasingly critical as consumers and brands become more conscious of environmental and ethical considerations. China’s textile manufacturers are investing in sustainability through the adoption of eco-friendly materials, cleaner production processes, and a focus on recycling, and these innovations has been going on “quietly” for a while without a lot of western media coverage. There are a few factories based in Ningbo and surrounding area are leading the way by integrating sustainable practices, such as using organic fibres, reducing water usage, and minimising chemical waste.  While China continues to lead as the largest garment exporter, the shift towards sustainable fashion offers a new dimension to UK businesses looking to import responsibly, as we have been asked in terms of how best to take advantage of this positive development. So you ask, where to start? If you are already sourcing from China, now is the opportunity to “upgrade” your supply chain by conduct an refreshed due diligent research, with the simplified steps here: - Redefine your sourcing needs - Background research and shortlist potential suppliers in China - Double check their credentials, ie, ISO 14001. OEKO-TEX or Organic textile standard  - Ensure their QC and compliance up to your requirements - Communicate clearly and I must stress this is the absolute key in a stress-reducing crucial step (read it as in capital writing!) - Create the framework for supply chain transparency There is of course so much more in details regarding sourcing from China and we are well placed to enabling you to reduce risk and cut cost. As a business based in Cirencester, the heart of the Cotswolds, for almost two decades with plenty real life experience to share, you are very welcome to give us a call or send a message as we are passionate about international trade and always happy to chat. 

𝐂𝐚𝐦𝐛𝐨𝐝𝐢𝐚'𝐬 𝐄𝐦𝐞𝐫𝐠𝐢𝐧𝐠 𝐌𝐚𝐧𝐮𝐟𝐚𝐜𝐭𝐮𝐫𝐢𝐧𝐠 𝐒𝐜𝐞𝐧𝐞: 𝐀𝐧 𝐔𝐧𝐭𝐚𝐩𝐩𝐞𝐝 𝐎𝐩𝐩𝐨𝐫𝐭𝐮𝐧𝐢𝐭𝐲 𝐟𝐨𝐫 𝐆𝐥𝐨𝐛𝐚𝐥 𝐁𝐮𝐲𝐞𝐫𝐬 Cambodia, with its burgeoning manufacturing sector, presents unique opportunities for international buyers and investors. Known for its competitive labor costs and favorable business environment, Cambodia is steadily becoming a noteworthy player in the global manufacturing landscape. 𝐆𝐚𝐫𝐦𝐞𝐧𝐭 𝐚𝐧𝐝 𝐓𝐞𝐱𝐭𝐢𝐥𝐞 𝐈𝐧𝐝𝐮𝐬𝐭𝐫𝐲: 𝐓𝐡𝐞 𝐁𝐚𝐜𝐤𝐛𝐨𝐧𝐞 𝐨𝐟 𝐄𝐱𝐩𝐨𝐫𝐭𝐬 Cambodia’s garment and textile industry, a key export sector, offers a wide range of apparel manufacturing services. Known for its flexibility and responsiveness to market trends, the sector caters to major global brands. It presents a compelling option for buyers looking for cost-effective solutions in apparel manufacturing. 𝐅𝐨𝐨𝐭𝐰𝐞𝐚𝐫 𝐏𝐫𝐨𝐝𝐮𝐜𝐭𝐢𝐨𝐧: 𝐒𝐭𝐞𝐩𝐩𝐢𝐧𝐠 𝐔𝐩 𝐢𝐧 𝐭𝐡𝐞 𝐆𝐥𝐨𝐛𝐚𝐥 𝐌𝐚𝐫𝐤𝐞𝐭 The footwear industry in Cambodia has seen significant growth, with the country emerging as a notable producer of quality footwear. This industry's expansion is fueled by increasing investment and the availability of skilled labor, making it an attractive sourcing destination for international footwear brands. 𝐋𝐢𝐠𝐡𝐭 𝐌𝐚𝐧𝐮𝐟𝐚𝐜𝐭𝐮𝐫𝐢𝐧𝐠: 𝐃𝐢𝐯𝐞𝐫𝐬𝐢𝐟𝐲𝐢𝐧𝐠 𝐢𝐧𝐭𝐨 𝐍𝐞𝐰 𝐇𝐨𝐫𝐢𝐳𝐨𝐧𝐬 Cambodia is diversifying into light manufacturing, including electronics assembly, automotive components, and consumer goods. These emerging sectors, supported by government incentives, offer potential for buyers seeking new sourcing markets. 𝐀𝐠𝐫𝐢𝐜𝐮𝐥𝐭𝐮𝐫𝐞 𝐚𝐧𝐝 𝐀𝐠𝐫𝐨-𝐏𝐫𝐨𝐜𝐞𝐬𝐬𝐢𝐧𝐠: 𝐀 𝐒𝐞𝐜𝐭𝐨𝐫 𝐨𝐧 𝐭𝐡𝐞 𝐑𝐢𝐬𝐞 Leveraging its rich agricultural heritage, Cambodia is expanding into agro-processing, offering products like processed foods, rubber, and rice. This sector provides an opportunity for buyers interested in sustainable and quality agricultural products. 𝐂𝐡𝐚𝐥𝐥𝐞𝐧𝐠𝐞𝐬 𝐚𝐧𝐝 𝐎𝐩𝐩𝐨𝐫𝐭𝐮𝐧𝐢𝐭𝐢𝐞𝐬 While Cambodia’s manufacturing sector is growing, challenges like infrastructure development and skill enhancement persist. However, the government's focus on economic development and trade agreements, such as the Everything But Arms (EBA) initiative, presents promising prospects for global buyers. #globalsourcing #footwearindustry #InternationalTrade #SupplyChainManagement #ProcurementStrategies #TextileIndustry #LightManufacturing #globalsourcing #buyers #purchasemanager #purchaser

How can we overcome the current challenges in the apparel industry in Bangladesh? To overcome the current challenges in Bangladesh's apparel industry, several strategic measures can be implemented: 1. Wage & Labor Reforms : Addressing worker demands through fair wages and improved working conditions can help reduce unrest and create a more stable workforce. Engaging in constructive dialogue with labor unions is crucial. 2. Innovation & Technology : Investing in automation and technology to improve efficiency and reduce production costs will help remain competitive against countries with lower labor costs. 3. Product Diversification : Moving beyond low-cost, basic garments to more value-added products like high-tech apparel, sportswear, and eco-friendly clothing will open new markets and raise profit margins. 4. Sustainability Initiatives : Strengthening commitments to environmental and social sustainability through green factories and ethical production will attract international buyers who prioritize sustainability. 5. Infrastructure & Logistics : Investing in infrastructure, including transport, energy, and ports, will streamline supply chains and reduce lead times, making the industry more competitive globally. 6. Training & Skill Development : Upskilling workers and management to adapt to new technologies and market demands will ensure the industry's long-term viability. By focusing on these areas, Bangladesh’s apparel industry can overcome current challenges and secure a more sustainable and prosperous future.

BANGLADESH MULLS VIRTUAL MARKET TO ALLOW GARMENT MAKERS TO SELL DIRECTLY TO WESTERN CONSUMERS: A major feasibility study looked at options for developing a digital platform to support Bangladesh ready-made garment (RMG) makers. Such a platform would, in theory, enable Bangladesh-based garment manufacturers to sell domestically branded clothing directly to Western consumers. The study – which ought to put #fashion brands on alert – was funded by IFC -International Finance Corporation's Partnership for Cleaner Textile (PaCT II) programme and supported by the government of Denmark via the Danish International Development Agency (DANIDA). There has long-since been talk in Bangladesh about how the country’s garment industry could improve its marketing and branding. To this end, Brand BGMEA recently launched the findings of a feasibility study which it described as a “precursor to developing a virtual marketplace tailored for Bangladesh’s Textile and Apparel Sector.” It identifies the market potential and sector readiness to digitise the apparel sector of Bangladesh. The objective of such a virtual marketplace would be to integrate the domestic textile industry into global value chains and capitalise on the shift toward online purchasing. The report looks at two strategic options for digitisation. The first is using online channels to expand current Business-to-Business (B2B) activities into emerging markets such as Asia and the Middle East. The second – and this is where things get interesting – is by establishing direct connections between Bangladeshi manufacturers and end customers (B2C), as a means of achieving superior profit margins and increased volumes of business. https://lnkd.in/eN-UQu9R

🌍 Industry Highlight - From Thread to Fabric: The Evolution of Vietnam's Textile and Garment Industry Vietnam's textile and garment industry has transformed into a global powerhouse, weaving together rich cultural heritage, industrial innovation, and economic resilience. From traditional weaving to cutting-edge production techniques, this sector now stands as the third-largest clothing manufacturer in the world. 🇻🇳 🚀 Key Highlights: - Vietnam is a top exporter, generating approximately $40 billion in export revenue in 2023. - The industry employs 2.7 million workers, predominantly women, contributing to the country's socioeconomic development. - Vietnam is embracing sustainability, though challenges remain for smaller manufacturers. As Vietnam continues to make its mark globally, its textile and garment industry serves as a testament to the nation's strength and adaptability. Whether it's the iconic Áo Dài or modern fashion, Vietnamese textiles are a bridge between tradition and the future. 🔗 Read the full article to learn more about how Vietnam's textile journey is shaping global trends and impacting local communities. #TextileIndustry #Vietnam #Sustainability #GlobalTrade #Innovation

Which are the top 3 sourcing destinations for apparel in 2024? In 2024, we see a continued focus on diversification and strategic partnerships. The reason is very simple, diversifying your sourcing strategy is key to mitigating risk and ensuring a smooth supply chain. So, to operate a business successfully in this challenging environment, it requires a keen understanding of the top destinations and their unique advantages and considerations. 1. China 🇨🇳 Pros: ✔️Unmatched Production Capacity: China remains the world's leader in apparel manufacturing, offering a vast network of suppliers and unparalleled production capabilities. ✔️Extensive Skillset and Technology: China boasts a deep pool of experienced manufacturers with access to advanced technology, ideal for complex or large-scale orders. ✔️Competitive Pricing: Established infrastructure allows China to offer competitive pricing on a wide range of products. Cons: ❌Rising Costs: Labor and material costs in China are steadily increasing, impacting overall affordability. ❌Geopolitical Uncertainty: Trade tensions and potential disruptions can create challenges in the supply chain. ❌Intellectual Property Concerns: Counterfeiting can be a concern, requiring strong IP protection measures. 2. Bangladesh 🇧🇩 Pros: ✔️Cost-Effectiveness: Bangladesh offers a significant cost advantage compared to China, making it ideal for budget-conscious buyers. ✔️Government Support: The Bangladeshi government actively promotes the apparel industry, offering incentives and fostering a business-friendly environment. ✔️Strong Workforce: Bangladesh has a large and skilled workforce adept at producing high-volume orders efficiently. Cons: ❌Infrastructure Limitations: Logistics and infrastructure can be less developed compared to China, potentially impacting lead times. ❌Labor Issues: Labor rights concerns persist, requiring buyers to prioritize ethical sourcing practices. ❌Product Complexity: While Bangladesh excels in basic and mid-tier garments, complex designs might be challenging. 3. Vietnam 🇻🇳 Pros: ✔️Diversification and Agility: Vietnam positions itself as a strong alternative, attracting brands seeking diversification. They offer a growing range of capabilities beyond basic production. ✔️Favorable Trade Agreements: Vietnam benefits from free trade agreements with major economies, reducing import duties. ✔️Focus on Sustainability: Many Vietnamese manufacturers prioritize sustainable practices, appealing to eco-conscious brands. Cons: ❌Lower Production Capacity: Vietnam's production capacity is still developing compared to China, limiting its suitability for very large orders. ❌Skillset Development: While skilled labor is available, Vietnam is still investing in expanding its workforce's expertise. ❌Competition and Pricing: As Vietnam's popularity rises, competition is increasing, potentially impacting pricing. Collected #apparelindustry #apparelsourcing #globalsourcing #supplychain #textiles #BD #sourcing

Vietnam's garment manufacturing sector is aiming for a $100 billion export target by 2030. The plan includes significant investments in modernizing infrastructure, enhancing workforce skills, and adopting sustainable practices. The government and industry stakeholders are collaborating to create a favorable business environment that attracts foreign investment and nurtures domestic enterprises. The Vietnam Textile & Apparel Association (VITAS) website states that the Vietnam textile and apparel industry aims to be a sustainable and innovative industry by 2030, with a turnover of USD 100 billion, a 10% global market share, a 40% GDP contribution, 4 million jobs, and improved worker welfare. Groyyo Consulting can play a pivotal role in assisting Vietnam’s garment manufacturing sector achieve its Vision 2030 goals. With expertise in supply chain optimization, technology integration, and strategic planning, Groyyo Consulting can provide tailored solutions to address the industry’s unique challenges. By partnering with Groyyo Consulting, Vietnamese garment manufacturers can enhance their operational efficiency, improve sustainability, and strengthen their position in the global market. Abhishek Yugal SUSHEEL YADUVANSHI Divya Mohan Jigyasa Sachdeva Imtiaz Mullick Utkarsh Mishra #apparel #garment #vietnam #apparelmanufacturing #managementconsulting #consulting #consultant #industry4point0 #industrialengineering #smartmanufacturing #smartfactory #skill

BANGLADESH MULLS VIRTUAL MARKET TO ALLOW GARMENT MAKERS TO SELL DIRECTLY TO WESTERN CONSUMERS: A major feasibility study looked at options for developing a digital platform to support Bangladesh ready-made garment (RMG) makers. Such a platform would, in theory, enable Bangladesh-based garment manufacturers to sell domestically branded clothing directly to Western consumers. The study – which ought to put #fashion brands on alert – was funded by IFC - International Finance Corporation's Partnership for Cleaner Textile (PaCT II) programme and supported by the government of Denmark via the Danish International Development Agency (DANIDA). There has long-since been talk in Bangladesh about how the country’s garment industry could improve its marketing and branding. To this end, Brand BGME recently launched the findings of a feasibility study which it described as a “precursor to developing a virtual marketplace tailored for Bangladesh’s Textile and Apparel Sector.” It identifies the market potential and sector readiness to digitise the apparel sector of Bangladesh. The objective of such a virtual marketplace would be to integrate the domestic textile industry into global value chains and capitalise on the shift toward online purchasing. The report looks at two strategic options for digitisation. The first is using online channels to expand current Business-to-Business (B2B) activities into emerging markets such as Asia and the Middle East. The second – and this is where things get interesting – is by establishing direct connections between Bangladeshi manufacturers and end customers (B2C), as a means of achieving superior profit margins and increased volumes of business. https://lnkd.in/erdTvCNA