Home / Knowledge / News / Apparel/Garments / Cheap Chinese imports force local garment cos to shut down
Cheap Chinese imports force local garment cos to shut down
18
Aug '08
Everest Fashions Ltd, a Palmerston North based clothing manufacturer which once prided itself for surviving all the changes in the apparel industry, has now decided to pull down shutters. Employees of the company have been informed that the company would close on August 22, rendering 28 people jobless.

Owner of the company reasoned out saying that it was becoming increasingly difficult to compete with cheap imports from China. Besides, increase in holiday leave and minimum pay under the labor-led Government had mounted labor costs affecting both small and large scale clothing enterprises in uncountable ways.

Moreover it has also been informed by the National Distribution Workers union that LWR-owned Beardsley Pearce in Levin would also be closing soon, bringing the total job loss in clothing manufacturing in central North Island to 40.

As a matter of fact, these closures came following those of Godfrey Hirst owned Feltex plants in Foxton and Feilding which saw nearly 160 workers lose their jobs.

Additionally, Godfrey Hirst's Dannevirke mill had also recently laid off 12 workers while Rembrandt Suits in Naenae has laid off around 200 of its staff.

Garment producing companies realized that despite employing highly skilled workers, wages paid were much less than what they deserved. But even then, the gap in labor costs when compared to China was way too much which made Chinese garments more attractive and price-competitive than locally produced clothing.

Most of the apparel producers agreed to have faced a common problem and opined that slowing of economy had not done so much damage as compared to that done by cheap imports from China. If the situation is not brought under control, garment industry of the country is likely to collapse under the pressure emerging from competing countries.


Must ReadView All

Courtesy: American & Efird

Textiles | On 20th May 2018

A&E introduces Repel

American & Efird (A&E), a global leader in industrial sewing thread...

Archroma working with House of Denim Foundation

Textiles | On 20th May 2018

Archroma working with House of Denim Foundation

Archroma, a leader in colour and specialty chemicals, has joined...

Courtesy: Amazon

Textiles | On 20th May 2018

Amazon opening first fulfillment centre in Tucson

Amazon.com is opening its first fulfillment centre in Tucson, which...

Interviews View All

Binoy Ravjani
Hero's Fashion

‘One of the recent trends in hand block printing is the indigo process,...

Riddhika Shah
SS Homme

'Worsted wool is the ideal fabric for menswear'

Asim Dalal
Indo Count Retail Ventures

Today, there is no other emerging market as India, "we make in India and...

Anupam Arya

<div>Jaipur-based Fabriclore Retailing Pvt. Ltd. is attempting to revive...

C Dhandayuthapani

MAG Solvics Private Limited was established in 1991 to design and develop...

Mala Alwani

<div>Delhi-based fast fashion womenswear brand, Besiva, aims to bridge the ...

Mohammad Hassan
Biax Fiberfilm

About one in every 20 patients picks up an infection while hospitalised....

Kerem Durdag
Biovation II LLC

Kerem Durdag, CEO, Biovation II LLC, provides an insight into future...

Larry L Kinn
Suominen Corporation

Larry L Kinn, Senior Vice President - Operations Americas of Suominen...

Aditi Somani
Aditi Somani

Aditi Somani specialises in luxury fusion wear with international cuts and ...

Pranav Mishra
Huemn

Designers Pranav Mishra and Shyma Shetty’s Huemn is known for its...

Adriano Goldschmied
AG Jeans

The hype around 'designer jeans' was created by him. And the new wave of...

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

Leave your Comments


May 2018

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

news category


Related Categories:

Advanced Search