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Support For The Backbone Of Russian Textile And Footwear Industry

2016/6/1 22:22:00 39

RussiaTextile And Footwear IndustryMarket Quotation

In March of this year, Ortega, the owner of the world's second richest and Inditex costume Empire, received an unexpected invitation. The Russian government hoped that he would move the factory to Russia. Because of the weakness of the rouble, the production cost there was lower than that of China in March.

UPI reported that the Russian Ministry of industry and trade announced that they were communicating with Inditex.

Other manufacturers such as H&M, IKEA and Decathlon will follow this trend.

Now, there are some successful examples of the integration of international brands with Russian factories.

IKEA, a Swedish company, has been invited by the Russian government and has been working with Russian manufacturers for a long time.

IKEA's stock in Russia began in 1991, when Russia did not have IKEA stores.

At present, Inditex's clothing factories are mainly distributed in Vietnam, Indonesia, China, Turkey and Eastern Europe.

In terms of retail stores, this is the third largest market after Spain and China.

In November 2015, Russian military aircraft was shot down by Turkey near the Syria border, and foreign players' interest in Russian textile industry increased further after tensions between the two countries.

Since then, Russia has substantially reduced imports of Turkey. Although the textiles are not yet covered by the ban, the business people reported in December last year that the Russian government may also include Turkey clothing in the list of prohibited entries.

In addition, at the end of last year, Turkey T24 television also reported that brands such as Zara, Mango and H&M asked Turkey manufacturers to remove "Turkey made" labels in order to avoid them.

clothing

Boycotted by Russian consumers.

However, to fundamentally solve the problem, of course, the relocation of factories to Russia can be once and for all.

At present,

Russia

The local garment factories mainly face their retailers and consumers, so they are more competitive than those from China and Vietnam.

Now, those big international brands use the global outsourcing system, such as signing a contract with a garment factory in a country, and selling the finished products to the whole world.

This system requires the most stringent standardized production procedures, and the factory must also invest a lot of money, which is a challenge that Russian manufacturers have never met.

Ivanova, head of the Fashion Industry Council of the Russian Textile Association (LyudmilaIvanova), firmly believes that Zara or H&M will be selected for production in Russia, and the quality of products will not be reduced.

"We have learned to produce high quality garments.

many

Russia

Brand is very popular among our consumers.

Some things, if not told that you are made in Russia, you still think it is made in Europe.

Russia's major clothing brands, the current production plants are mainly in Asian countries.

"At present, our orders are mainly made by factories in China and Bangladesh, but we are very interested in Russian manufacturers."

Oosterloo Broad, vice president of Sela, a Russian clothing chain, said that they were considering moving the production back to the Russian mainland. (EduardOstrobrod)

"We met some interesting Russian manufacturers in the textile industry forum of the Ministry of industry and trade not long ago, and we really want to cooperate with them."

Since the beginning of the economic crisis, many Russian clothing brands have moved production from Asia to invest in factories.

At the same time, foreign clothing brands are beginning to enter more and more.

In February 2015, the Russian Business Daily reported that Decathlon, the French sportswear brand, had signed a memorandum with Novosibirsk S-Tep to produce sports shoes.

In the short term, these products will only supply Russian stores in Decathlon, but in the future, they will also enter the global sales network.

Russian textile industry appeals to the government to give greater support to ensure that they can integrate better with brands and consumers.

They also hope that the government will improve the investment environment and make foreign brands more comfortable to enter.

They stressed that the depreciation of rouble could not continue forever, and Russia must take other competitive advantages.


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