Many companies in the Macedonian apparel industry are looking to move upstream, into full package, private label or own design/brand manufacturing that add more value to customers and capture higher margins.
MCP apparel initiatives help Macedonian companies reposition to penetrate higher value market segments, shifting from reliance on CMT production. Productivity and quality improvements boost business at all levels, but Macedonian manufacturers can make these changes much more profitable if they take steps to offer customers full package (buyer sends a design and the manufacturer does the rest), private label (buyer purchases clothes designed by the manufacturer but uses the buyer’s brand), and own brand.
MCP’s Own Design initiative, coordinated with the Textile Trade Association (TTA), involves a group of manufacturers now developing their own designs to market themselves or sell to private label customers. We supported the development of catalogs for the CPD Fashion apparel show in Dusseldorf, Germany, and identified fashion fabric sources, primarily in Turkey. Other Own Design activities include patternmaking assistance, design advice and financial platform activities to help companies tap working capital to source fabric needed for own design and full package orders.
Replacing CMT with other production models will take several years, so MCP is also helping companies expand existing business. In early 2010, we organized a B2B event for UK buyers seeking CMT, full package and private label customers, with similar events planned for other national markets.
MCP works with the TTA, U.S. Peace Corps and GTZ of Germany on activities that help leading apparel manufacturers expand and diversify their export customer base within Europe. Currently Germany is the primary market for Macedonian produced apparel, but we are also exploring the potential of the UK, Netherlands and Scandinavia.
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