But with challenges come opportunities for localization, Bekke said. To take advantage, the fashion system has to reinvent itself, changing its focus on price to a focus on quality, more value, service and sustainability, he added. The ability to provide better speed to market and mass customization will also open doors to a local-for-local model, he said.
Posted November 23, 2016
By Devin Steele (DSteele@eTextileCommunications.com)
SAN ANTONIO, Texas – Han Bekke, president of the International Apparel Federation (IAF) and chairman of Modint (the Dutch Fashion & Textiles Association), covered the topic, “Localization and Globalization” during SPESA’s Executive Conference here this month.
Bekke, elected president of IAF in Mumbai in October, first provided an overview of the IAF. The organization was founded in 1972 as a non-political platform for the world apparel industry, he said. Its aim remains to promote the common business interest and encourage best practice and support for apparel manufacturers worldwide, he added.
IAF’s activities focus on corporate social responsibility; information sharing on markets and sourcing developments; standardization; and education. It has members in 60 countries representing 200,000 companies and 20 million employees, he said.
Bekke covered a number of recent trends in world apparel trade before exploring the reshoring model. He concluded that it is highly unlikely that localization will dominate the fashion industry because there remains too much pressure for cheaper prices.
There is still a dominance of big players who have made globalization more accessible via better IT systems and processes in their supply chain, he added. Nevertheless, local manufacturing can make sense in some instances, but challenges remain, he said.
Among those roadblocks, he mentioned, are geopolitical tensions, polarization, populism and fear for protectionism; safety and security; the continued global financial crisis; and the strong growth of world population. He added that climate change is expected to lead to huge ecological and social crises after 2020.
New technologies such as digitalization, robotics/automation and 3D printing, he continued, will influence our way of doing business.
Executive Conference
IAF President: Challenges, opportunities for localization
