More apparel orders flow in from China

• Lanka starts apparel marketing support
• “Let’s move for $ 5 billion target” – Bathiudeen
• “Urgent needing skilled workers” – apparel sector

As Sri Lanka begins to receive increasing apparel orders from China, the country is gearing up for a new marketing initiative while grappling with the issue of technicians’ shortfall.

“We are now seeing an apparel export decline due to challenging global markets but have not lost on our apparel revenue target of $ 5 billion by 2015. As a start, we are planning to expand marketing support to the SME apparel sector. We are also studying several measures on the human resource issue in the apparel sector,” said Rishad Bathiudeen, Minister of Industry and Commerce on 27 March in Colombo.

Bathiudeen was addressing Sri Lanka’s small and medium apparel sector exporters from the Sri Lanka Chamber of Garment Exporters (SLCGE) at the EDB premises. A vital component of Sri Lanka’s apparel supply chain, the Sri Lanka Chamber of Garment Exporters (SLCGE) represents a major segment of SME apparel exports from Sri Lanka.

The meeting was attended by representatives from both the BoI and non-BoI SME apparel firms, companies such as Selta Ltd., Nordtex Pvt. Ltd., the Sri Lanka buying office of Marks & Spencer, Jumeira Lanka, OGR, Ravana Holdings, Deemass Clothing and Mari de Classique Attire Ltd., and officials from the Apparel Sourcing Association (SLASA).

“We need to expand our marketing efforts to build our brand globally. We have been receiving more and more orders from China but sometimes we are unable to fulfil them due to the lack of manpower,” said Thushara Wickremanayake, Country Manager, Marks & Spencer, which sources approximately apparel worth 300 million pounds from Sri Lanka annually. “Currently, we are experiencing a shortfall of 25,000 skilled workers and there is a very urgent need for technicians which has to be addressed. Due to the shortage of multi-skilled workers, some machines are beginning to idle,” she said, and added: “If these issues are addressed, we can easily gain the much needed forex that we are looking for.”

“We shall help build your capacity,” assured Bathiudeen to the exporters present. “We are in full agreement with the fact that the SME apparel sector has done a yeoman service to Sri Lanka’s apparel sector and the exports economy.”

He added: “As a start, we are planning to expand marketing support to the SME apparel sector – the details of which we are working out. We are also studying several measures to be implemented due to the human resource issue in apparels. We are also planning to bring out an exclusive discount card to apparel sector workers to be used with many top merchants with the support of JAAF which is an initiative of Basil Rajapaksa, the Minister of Economic Development. This is not only an economic incentive but also an image building effort.”

In 2012, Sri Lanka’s apparel exports recorded $ 2.83 billion in earnings, of which $1.53 billion was from the US and $ 1.86 billion was from the EU despite the challenging situation in these key markets. The world’s third largest retail giant Tesco directly purchases from Sri Lanka which amounts to $ 100 million annually.