Vitality in
haute couture
The apparel and textile industry of Guatemala is an attractive and vibrant sector that in addition
to being labor-intensive, generates significant impact in the community where it settles.
T
he fact that it counts with an integrated
cluster, in other words, that in it they have
all the supplies necessary to make a garment
in the country, means ease of access and versatility
to invest in different sectors of the industry. It also
signifies opportunities for growth and expansion
for any business from the sector.
Sector profile
The apparel and textile industry has transformed
into becoming dynamic, flexible and competitive.
It is the now the main product
for Guatemala’s exports.
In 2016, the sector exported
around US$1.526 billion. This
industry represents 8.9% of
the GDP in the country, if we
consider their production and
the business generated by the
rest of the cluster.
This industry, unlike others in the Central
American region, has the ability to place high
added value to their garments, since they have the
ability to manufacture high complexity products,
like winter coats and evening gowns.
On average, the added value of the garments made
in Guatemala is up to 44%. In Central America,
Guatemala has one of the highest minimum wages,
which has led the industry to concentrate on
garments with high added value and more finishes.
The proximity and relationship with the United States has
allowed the garment industry to be more attractive and
competitive for placing orders.
What makes the country attractive
Advantages
Guatemala has an integrated supply chain, since
buyers in the country can find everything from
threads and textiles through manufacturing,
finishes, packaging and shipment and experienced
designers that can adapt and work the garments
according to the clients needs.
The Guatemalan textile industry is highly flexible,
which means that they can receive different
types and order sizes. This quality is increasingly
important, especially if we consider global trends
like Fast Fashion.
The Fast Fashion trend has revolutionized the industry,
moving inventories quickly, so the garments must be
manufactured in small amounts, quickly and at a low
cost so the stores can manage high turnaround rates.
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GUATEMALABEYONDEXPECTATIONS .com
http://vestex.com.gt/
Guatemala proposes interesting opportunities that
make placing orders more attractive. The United
States has become a strategic partner in Central
America, for their experience and proximity, as
well as the conditions and the free trade agreement
signed with the northern country (DR-CAFTA).
In addition, the decision of the United States to
withdraw and review their trade agreements with
competitors, improves the opportunities for this
region, and compete in conditions of equality.
The catalogue and on-line sales go to the largest
chains, which require very short supply cycles. Our
country provides tools that offer legal certainty
for the sector, allowing it to retain its current
businesses and jobs, while opening the opportunity
for sustainable growth in the near future.