As manufacturing costs continue to rise in China and across Asia, the search is on for alternative apparel sourcing destinations. Many companies are moving elsewhere in the region, but an increasing number want to explore and invest in entirely new countries. And the African continent is being described as "the next frontier."
Marie D’Avignon, manager of government relations for the American Apparel & Footwear Association (AAFA) , believes there are three main reasons why Africa is becoming a great option for sourcing. She was speaking on the AAFA webinar: Exploring Africa Trade .
"The first is access to the African market. Companies are looking to produce in South Africa to access major markets there, for example producing products they can sell into South Africa," she said, speaking during a webinar organised by AAFA on Exploring Africa Trade.
"They don’t necessarily want to take the huge risk of making stuff here in the US, or China and having to move it over there and having extra costs. If they make it nearby, the cost of shipping drastically reduces so they can just test out the waters in those markets."
She also points to companies wanting to "do the right thing" and have Africa sourcing as […]