经济学论文代写 Apparel Industry Of Sri Lanka Garments Without Guilt
3.7 Lead Time
Lead time is identified as one of the major factors looked upon by the western demanders in obtaining apparel products, in order for them to respond to fashion trends and compete effectively.
The lead time in today’s context have been set to the level of 2 weeks from 8 – 12 weeks in the past. The country is to possess advanced technologies of production, skilled and highly trained labour, minimum time taken in obtaining raw material & deliver of finished goods etc. in order to cope up with the current trends. This has been considered as a major challenge faced by the apparel industry of Sri Lanka at present.
3.8 Quality of Products
In the early context, product quality was identified to be one of the major aspects considered by importers of apparel products and this aspect was listed above the cost and the lead time.
But in the latter stages the perspective has changed to the cost of the finished product than the other aspects. Hence, Sri Lanka once again is faced with a challenge in providing the products at a lower cost, though the quality of products is relatively higher compared to competitors.
3.9 Investment in Technology
Technology used in production is considered to be a highly important factor as it determines the quality of the output, time consumed for production which ultimately decides the lead time.
Investments are to be made in order to upgrade the technology in use. This will enable the country to be in par with the global trends and the other competitors. Usage of obsolete technology will indeed act as a barrier in the apparel industry. Sri Lanka is currently challenged by the above situation as many factories other than few large players, do not possess advance technology in manufacturing and designing.
4.0 Domestic and International Policies
The apparel industry of Sri Lanka is governed by many local and international laws and regulations and also is identified to be one of the dynamic industries, which many local and international trade practices are in place.
4.1 Joint Apparel Association Form (JAAF)
This official representative body of the Sri Lankan garment industry is identified as one of the main governing bodies at present.
JAAF, provides the certification ‘Garments without Guilt’, for factories which are adhering to the local and international labour standard requirements. This particular certification has enabled the entities operating in the industry to obtain a higher level of competitive advantage, in comparison to the other competitors both locally and internationally.
The export apparel industry is also governed by the practices and terms of the World Trade Organization.
4.2 Generalized System of Preferences Plus (GSP Plus) Scheme
Though not existent since February 2010 caused due to allegation on human rights violations, the Generalized System of Preferences Plus (GSP Plus) acted as one of the schemes that enabled the Sri Lankan apparel industry to obtain a greater advantage in exporting its products. The status was offered to countries that have ratified 27 international conventions on environmental standards, labour rights and human rights.
A duty charge of 9.6% was eliminated in exporting products to the European Union countries. This acted as a greater advantage as the overall cost of the export to these countries was lower and hence the products were ultimately offered at lower cost.
With the withdrawal of the scheme since year 2010, the apparel industry is now facing a higher level of challenges as the cost of exporting products to the EU countries have been identified to be costly with the 9.6% duty payment. Small and medium scale players are facing a very challenging situation as the demand for their products have declined with the increase in the cost.
Many small and medium scale players are now eliminated from the industry which now has a very adverse affect on the society by the creation of unemployment. As a result many women are now forced to work in unsafe Middle East employment which has also created and adverse affect on the society as a whole.
4.3 Other Competitors
In taking the current situation into consideration, the apparel industry of Sri Lanka is identified to be at a great disadvantage. Many of the developed countries are now moving away from Sri Lanka to other destinations, such as Vietnam, China, Indonesia, Bangladesh, which are offering products at lower cost.
Further, the Central and Eastern European, countries such as Czech Republic, Hungary, and Bulgaria have become important suppliers to the European market.
The lost demand for textile and garment export, will ultimately lead to the reduction in the export volumes, and the small and medium scale factories to shut down their operation, creating unemployment which will impose adverse effects on the society. As a result the balance of payment and the country’s economy as a whole will be adversely affected.