Robert M Young, President, Foreign Buyers Association of the Philippines (FOBAP) said that the apparel industry may lose 30 percent to 40 percent of USD 1.5 billion—which is the lower end of 2021 target industry revenues—if more shipment delays persist.

This translates to potential losses of USD 450 million to USD 600 million, or roughly P22 billion to P29 billion, this year.

 

This year, Fobap was targeting its yearend shipments to reach USD 1.5 billion to USD 2 billion, but the consequences arising from the lockdown protocols may block the industry’s goal.

 

Young explained that the apparel manufacturers are experiencing delays of one month, even up to 45 days in some instances, in their shipments.

 

Adding fuel to the fire, he said, are the lack of factory workers and logistics amid the lockdown protocols.

 

Meanwhile, securing export permits and other necessary documentation is also a challenge given that the government agencies are operating with a skeletal workforce, he said, adding their systems are down in some events— all of which bring further delays to the process.

 

Source: fashionatingworld.com