Blog: A rock and a hard place
Leonie Barrie | 12 June 2009
US apparel retailers and importers must feel they are caught between a rock and a hard place with a bill now heading to the Senate that plans to set up reconstruction opportunity zones (ROZs) on the Pakistan-Afghanistan border.
The idea is that certain apparel and textile items made in these zones would be imported into the US duty-free, but there are so many hurdles to overcome that four trade groups fear the measure is little more than a "hollow gesture."
Some industry veterans feel the bill lays out so many obstacles to doing business that it’s hard to see any benefits from it at all.
On the one hand the legislation doesn’t yet include items like cotton trousers and shorts and cotton knit tops – which are already among Pakistan's main exports and which the US wants to buy.
On the other, a pay-for provision in the bill will increase the cost of doing business in other areas of Pakistan by charging processing fees on imported products that have not been made in the duty free zones.
There are also concerns its more stringent labour provisions – particularly those calling for repeat inspections – may prove unworkable.
But there’s also one other fundamental problem that seems to have been overlooked.
The zones are planned in one of the most inaccessible and inhospitable areas on earth, and the idea that not only will factories actually get built here, but that US apparel importers and buyers will be willing to put their lives on the line to carry out factory inspections, is perhaps pushing the realms of reality.
Fresh from their disappointment at seeing the Trans-Pacific Partnership (TPP) free trade deal abandoned last month with an executive order by President Donald Trump, the US apparel and footwear sector...
With the ultimate aim of ensuring all the cotton in its products is sourced sustainably, value clothing retailer Primark is adamant that having a business model focused on offering the lowest prices o...
Last week we marked the inauguration of Donald Trump as the 45th president of the United States by taking a closer look at what's at stake for the textile and apparel trade – especially his promises t...
Continuing our look at what lies ahead for the apparel industry and its supply chain in 2017, the panel of industry experts consulted by just-style last week tackled likely shifts in the sourcing land...
- China leads US apparel sources with falling prices
- Hard hit Turkish industry is not knocked out
- Vietnam grows share of US apparel imports in 2016
- "Power of the many" drives change at Otto Group
- US apparel sector braces for potential cost hikes
- US Q4 in brief – Foot Locker, Nordstrom, Carter's
- Bangladesh crackdown has cost garment sector $100m
- Adidas and Burberry recognised for sustainability
- Inditex and H&M boycott Dhaka Apparel Summit
- Macy's will "do the right thing", says Lundgren
- When Things Go Wrong - A Practical Guide to Managing Common Problems in Apparel Sourcing
- Outdoor performance apparel 2016: A broader perspective
- Technical textile markets: product developments and innovations, December 2016
- Southeast Asia strategic sourcing review – a focus on Cambodia, Vietnam and Myanmar
- Global market review of lingerie – forecasts to 2022