Home / Knowledge / News / Apparel/Garments / 'US duty-free status offsets high energy rates in Jordan'
'US duty-free status offsets high energy rates in Jordan'
15
Oct '14
Mr. Sanal Kumar
Mr. Sanal Kumar
“The increased price we pay for energy can be very well offset by the duty free status the country enjoys, thereby the factories in Jordan can get better price from its customers to offset the increased cost we pay for energy,” said an Indian origin entrepreneur of a Jordan based apparel factory.

Sanal Kumar – CMD of Classic Fashion in an exclusive chat with fibre2fashion discussed the investor-friendly attitude of the Jordanian government and also refuted allegations of Classic Fashions being in the news on non-compliance issues.

Classic Fashion has grown from a mere $2 million turnover in the year 2003 to $250 million in this year, and majority of these sales came from its old trusted customers like Wal-mart, HanesBrands and Jones Apparel Group.

Sharing his views on energy shortages, which are some of the major disadvantages of the textile industry of Jordan, he added, “Though there are power crises and energy shortages, but the country supplies enough and uninterrupted energy at a price.”

On Jordan being an attractive destination, he said, “In an FOB of a garment, 70% goes for fabric and accessories and the balance 30% is its making cost and profit. Since the US import duty on synthetic garments ranges between 30-33%, it gives a definite price advantage for products of Jordan origin.”

“Moreover, Jordan is a zero red tape and almost corruption free country. Further, it helps investors bring expert machine operators from all over the world, which helps us export best quality products to USA. Moreover, Jordan is free of strikes, stoppage of work, etc., which helps to meet delivery deadlines,” he informed.

On allegations of noncompliance issues and worker right abuses at Classic Fashion, he explained, Classic Fashion was always a well complied factory and it is in the Golden List published by the Ministry of Labor, since inception of the Golden List in 2006.

“The company enjoyed its customers confidence at all times and none of its customers ever dropped Classic Fashion from their supply chain. Rather, we have grown from a mere $2 million turnover in the year 2003 to a $250 million company in this year.

“Further we have succeeded in adding prestigious brands like Under Armour and NIKE this year. None of these brands would have ever come or stayed with us, if we were non-complaint. We are the single largest garment exporter of Jordan, exporting 18% of country's garments export by value.”

Click here to read the whole interview.

Fibre2fashion News Desk - India

Must ReadView All

Textiles | On 19th Jan 2017

Pakistan imposes duty on Indian fine cotton yarn

A provisional countervailing duty ranging from Rs 26.89 to Rs 55.8 a...

Textiles | On 19th Jan 2017

Union Budget: Textile sector expects excise duty revisions

Excise duty on man-made fibres should be reduced to bring it on par...

Union textiles minister Smriti Irani at the inauguration of IIGF in New Delhi with textiles secretary Rashmi Verma and other dignitaries. Courtesy: PIB

Apparel/Garments | On 19th Jan 2017

Ministry to reimburse apparel exporters for state levies

The textile ministry has received a sum of Rs 500 crore from the...

Interviews View All

Amardeep Singh
Orient Craft

'In export markets, the trend in terms of embroidery, is towards matte...

Karan Suratwala
Key Textile Accessories Private Limited

Chinese imports are destroying the supply chain

Yash Agarwal
Hitansh Online

Every market region has its own culture and trends

Kevin Nelson
TissueGen

Kevin Nelson, Chief Scientific Officer, TissueGen discusses the growing...

Lynda Kelly
Suominen Corporation

Suominen Corporation is a manufacturer of nonwovens as roll goods for...

Steve Cole
Xerium Technologies

Steve Cole of Xerium Technologies discusses the industry. Xerium is the...

Wendell Rodricks
Wendell Rodricks

"We should not compare India and the West. There are things we do that...

Mike Hoffman
Gildan Activewear SRL

Gildan Activewear, a manufacturer and marketer of branded clothing and...

Tony Ward
Tony Ward

"You have to truly understand what your client wants, know her needs, what ...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


editorial@fibre2fashion.com

Letter To Editor






(Max. 8000 char.)

Search Companies





SEARCH
January 2017

January 2017

Subscribe today and get the latest update on Textiles, Fashion, Apparel and so on.

SUBSCRIBE


Browse Our Archives

GO


eNEWS
Insights
Subscribe today and get the latest News update in your mail box.
Advanced Search