Textile and Manufacturing

Brazil is rising as a leading global technical textile producer (Maida, 2017). This country is also known to be the sixth largest textile producer in the world. However, reports show that textile and clothing production declined in 2016 as did textile and clothing exports (Textiles Intelligence, 2017). This also implies to Columbia. The apparel segment in Brazil was the markets most lucrative in 2016 with total revenues of $24.4bn (Apparel & Non- Apparel Manufacturing in Brazil, 2017). Internet shopping has helped with the expansion of the Brazilian market. Brazil has been particularly successful in establishing a vibrant fashion industry and after domestic success is now expanding into international markets, some of the brands doing this successfully include Havianas and Osklen (Ethical Fashion Forum, 2010). Brazils fashion industry is mainly known abroad for their beachwear items.

Argentina, Peru, and Columbia are representing attractive manufacturing alternatives to rising costs in the Chinese Labor market (Ethical Fashion Forum, 2010). Argentina is the third largest market in Latin America. The textile and apparel sector has shown significant growth since 2002. During 2004, the textile sector grew 75 percent, the highest growth recorded for any industry sector in the Argentine economy that year (Kakati, 2008). The following years have also showed growth in their textile industry as there revealed an increase in purchasing power and numerous tourists buying Argentine textile and apparel products. The clothing industry of Argentina is expected to grow steadily in the coming years in view of the growing demand for high fashion garments and its exports and the dynamic local retail sector consisting of local and foreign players (Kakati, 2008). Argentina’s apparel industry also fragmented and mainly managed by small family units.

By 2025, Latin America will be home to 841,100 US dollar millionaires, having swollen by 42 percent in just a decade, according to figures released by New World Wealth (Young, 2017). The apparel market is showing rapid growth in Latin American countries which means that their will likely be more investment.