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Garment sector may get back its lost grounds

28
Apr '08
Garment and clothing accessories, which form the second largest export category after electronic products, had suffered serious consequences after the removal of the much treasured US export quota.

Tougher conditions in export markets and a failure to invest in new manufacturing technologies have also impacted the industry seriously.

There is an urgent need for the industry to restructure into larger manufacturing units, and to re-equip itself with modern high-tech machinery in order to secure greater economies of scale, higher productivity and an improvement in its competitiveness.

As of now, entrepreneurs in the sector are hopeful that the new blueprint they are drafting will revive the industry and make Philippines the center of Asian garment and fashion industry as well as the single biggest job-generating sector.

According to Confederation of Garment Exporters of the Philippines, prices of local products are presently, 15 percent more than those prevalent in China, its biggest competitor.

However, a recent report shows that a law passed in China is likely to increase the cost of their products by at least 20 percent. This provides the most appropriate opportunity for exporters in Philippines to grab the major share of the global garment and clothing accessory market.


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