China has become a side-lined country for the world, as the country is absolutely responsible and held accountable for the coronavirus pandemic. Due to this reason, many firms trading internationally and having their production sites destined at China have decided to shift their base. After China, India is emerging as one of the preferred destinations for International garment companies to shift their base.
Large orders are being placed to the Indian vendors by the International garment firms for the products. Until last year, all these orders were placed to China vendors for producing and executing the entire order. As reported by Economic Times, a huge order is made to the Indian vendor- Warsaw International for jerseys which are mainly worn by Germans who prefer wearing the brand Marc O’ Polo.
Warsaw International’s Raja Shanmugam quoted by saying, “We have a huge order. It’s a litmus test for us and the country. If we crack it, then gates open for more global brands to increase their India sourcing.”
The head of Tripura Exports Association, Shanmugam said that many more companies might source their sites to India, this sourcing mostly begins of September 1st. There is potential that many brands might end up sourcing their franchises to India as many brands are also looking for alternatives.
P Nataraj, managing director of KPR mills- leading garment exporter said that, “Our buyers have told us that this year sourcing from India will be much higher than last. We will know about the actual size of increased orders in a couple of weeks,”
The largest baby brand in the world, United States based company- Carter has also decided that they want to shift a significant portion of its business from China to India. The company has asked Tamil Nadu based SP Apparel to develop a new fabric using man-made fibres.
P Sunder Rajan, managing director of SP Apparels said that, “Beating China is tough as they have the scale, but looks like a beginning has been made this time.” He also added that the textile and apparel sector will need labor to support, financial and infrastructure help from the government.
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