Interviews
Agtek says re-outsourcing orders not profitable
28 Dec '05
1 min read
Do not take re-outsourcing orders from other partners, advises Agtek (Association of Textiles, Garments, Embroidery and Knitting) to its members in HCM City.
Though the existing volume of quota is in plenty and many partners are looking for outsourcers in Vietnam, Agtek fears that enterprises will not receive much profit if they take such orders.
After the grant of automatic visas to some export categories by the Ministry of Trade, many partners returned to Vietnamese enterprises, giving rise to outsourcing by 5-10 percent, which is why enterprises should limit needless orders.
The price for re-outsourcing will be 2-3 percent lower than contracts directly signed with foreign partners, says Agtek.
Though the existing volume of quota is in plenty and many partners are looking for outsourcers in Vietnam, Agtek fears that enterprises will not receive much profit if they take such orders.
After the grant of automatic visas to some export categories by the Ministry of Trade, many partners returned to Vietnamese enterprises, giving rise to outsourcing by 5-10 percent, which is why enterprises should limit needless orders.
The price for re-outsourcing will be 2-3 percent lower than contracts directly signed with foreign partners, says Agtek.
Popular News
Leave your Comments
Editor’s Pick
Esteemed Clients
-Ltd..jpg?tr=w-120,h-60,c-at_max,cm-pad_resize,bg-ffffff "Thermore (Far East) Ltd.")
.jpg?tr=w-120,h-60,c-at_max,cm-pad_resize,bg-ffffff "Telangana State Industrial Infrastructure Corporation Limited (TSllC Ltd)")
.jpg?tr=w-120,h-60,c-at_max,cm-pad_resize,bg-ffffff "Taiwan Textile Federation (TTF)")
