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nterestingly, this time round when we started to
investigate how the big manufacturers were coping
with China’s reported lack of manufacturing
effi ciencies, many did not want to get into a
discussion despite saying - just a handful of seasons
ago - that they were looking at the possibility of
moving their production into other
countries, which were keen to expand
their international business. We’re not
sure of the reason why a curtain has
been drawn over the topic – it could be,
simply, that nothing has changed and
old allegiances have remained in place,
or that replacement options have not
come to fruition. Suppliers recognise
that quality production and adherence
to delivery dates are crucial ingredients
in a successful relationship with
retailers, so maybe they are keeping
any problems to themselves and fi re-
fi ghting where necessary to ensure that
noone is let down. A good reason, without question, for
them to expect loyalty from their stockists.
Steve Lang, chief executive of Mon Cheri, however, has
long been open in his views and keen to exchange ideas
and opinion within the industry. Believing fi rmly that
collective thinking and shared objectives lend power to
any debate, Steve spearheaded the US initiative to bring
down websites selling copy dresses via the internet. His
views on China today offer an insight into the industry’s
immediate future.
“Historically, the majority of factories in China,
particularly those specialising in clothing, have been
situated on the coast, and pulled in their workforce not
only from the local areas, but from the farms inside of
China,” he explained. “The biggest problem right now, and
one that was brewing for years, is scarcity of labour.

THE LABOUR SHORTAGE
“Although a quarter of the world’s population lives in
China, the country is getting richer and people who once
were reliant on factory work are no longer interested
because, for the fi rst time, they have other options. With
a growth rate of eight percent a year, the country
is developing rapidly and the government is
investing the torrent of cash coming into its
coffers in tremendous infrastructure projects
and in high-tech industries. This is creating

China

UPDATE


demand in other areas for labourers and also offering the
workforce a new opportunity to better themselves.
“Frankly, the young people don’t want to work in
factories. And the government does not want the country
to be regarded as a source of labour – they do not see that
as the foundation for success long-term. It understands
that an educated population looks to
higher-paid jobs and a stronger economy.
In years gone by, cheap labour was the
hallmark of success for China but that is
not in the equation now when growth and
recognition as a quality producer and an
innovator is a priority.
“As China becomes increasingly wealthy
it will face the same diffi culties that the
western world has incurred as it has moved

“...quality

production and

adherence to

delivery dates

are crucial...”

Steve Lang

OPINION PIECE


034-036.BB.163.Sourcing China.indd 34 11/06/2014 12:01

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