Guatemalan Apparel Increases In Popularity With U.S. Brands

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May 22nd, 2015
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9:00 AM

Guatemalan textile exports are expected to rise 6% to $1.6bn in 2015, on the back of an increase in U.S. demand. Meanwhile, the 24th annual Apparel Trade Show this week confirmed the Central American country as a quality fabric maker and exporter.

Guatemalan textile exports are expected to rise 6% to $1.6bn this year, on the back of an increase in U.S. demand, according to experts at the 24th annual Apparel Trade Show. The growth prediction outstrips last year's 1% expansion, when Guatamelan sales to North America suffered a demand halt, only reaching $1.5bn in 2014. The three-day conference, which started on Monday, attracted 4,000 visitors from 17 countries - all hoping to witness the staple knitwear, cotton and silks manufactured in the Central American nation. During an early morning tradeshow address, Guatemala's Economy Minister, Sergio de la Torre said energy prices had fallen 33% in the last year, making it a cheaper and more attractive nation for manufacturing.On the ground at the show, industry officials, and textile and apparel firms alike were abuzz with anticipation, after reportedly already having a strong sales month. And with 70 large buyers in attendance - compared to 40 last year - even more orders were expected to be made this week."We are seeing a very good trade increase as of April and many brands are starting to look at Guatemala,” Luis Oscar Estrada, general manager of top trade lobby Vestex, told WWD. “We hope to export 36 million more garments.”While the U.S. makes up 95% of Guatemala's export market, Europe is fast becoming a prominent trading partner. However, with the dominance of Vietnamese and Chinese textiles, and the rise of Myanmar as a new manufacturing hub, their is increased pressure on Guatemala to produce more value-added apparel.In order to remain competitive, Guatemala must continue to improve its sportswear, wool suits and denim segments, discussions at the Apparel Trade Show also revealed.Liztex is one of the largest makers of knitwear and special wovens in Guatemala. Located in Amatitlán, the vertically-integrated spins weaves popular terry cloth and jacquard using either air and projectile looms. The firms weft insertion technology allows up to 8 colors to be used in one single fabric - allowing brands to pick and choose niche combinations for garments.It is this kind of manufacturing versatility that has many international firms increasingly interested in Guatemala. That, and the quality finish of their garments, which is on par with local rival Mexico. Both have the advantage of geographic closeness to the U.S. But, it seems Guatemala's specialized needle and cloth is on a winning thread.