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Though the attire trade has been by means of the wringer during the last couple of years, the outlook for 2024 and past is optimistic, in response to the Group Chief Working Officer of MAS Holdings Shakthi Ranatunga.

With operations stabilising, import restrictions being lifted and seamless entry to vitality, the trade outlook is seemingly optimistic.

This optimism is shared by regional gamers reminiscent of Bangladesh, which is capitalising on beneficial traits arising out of market dynamics within the US and UK. Observing that “Bangladesh is a really formidable pressure within the trade,” Ranatunga identified that Sri Lanka mustn’t attempt to compete with the large US$ 40 billion trade participant.

He defined: “I’m undecided that’s the route Sri Lanka ought to take or has taken as a result of we don’t have that degree of scale. And we proceed to be very efficient in the best way we’ve arrange; subsequently, we have to be certain that we get essentially the most of what we have now as a nation.”

Ranatunga outlined how Sri Lanka ought to differentiate itself: “We’ve the potential since as a vogue attire manufacturing vacation spot, Sri Lanka has all the highest manufacturers in its portfolio. It has invested in course of excellence and expertise. The trade as an entire has invested closely when it comes to bringing newness and innovation; that’s the differentiation that Sri Lanka as a competitor ought to concentrate on.”

“We’ve at all times differentiated ourselves when it comes to our moral practices,” he opined, including that with sustainability being a key differentiating criterion in the present day, Sri Lanka has a robust platform to compete on.

But, the journey in the direction of sustaining the nation’s aggressive edge isn’t a mattress of roses, primarily as a result of “nature of how issues have transpired within the final 5 to 10 years,” he cautioned – together with modifications in buyer demand.

He famous that clients are mitigating the danger of “placing all their eggs in a single basket” on the subject of sourcing areas: “They are going to minimise or mitigate that danger by seeking to different international locations and areas that can provide them a aggressive benefit.”

The Group Chief Working Officer of MAS Holdings believes that to distinguish itself, Sri Lanka “should play to its strengths and in addition attempt to do issues that others can not do.”

“We’re nonetheless in a superb place however we have now to work more durable in the present day [because] others have caught up,” he added. Collaboration is vital to gaining a aggressive edge – particularly on the subject of market entry.

Ranatunga elaborated: “Up to now, Sri Lanka benefitted from sure commerce agreements, which helped us propel this trade. Traditionally, the US and UK – and nonetheless in the present day, Europe and the US – stay our greatest markets however we don’t have the very best good thing about being in these markets proper now.”

He confused the necessity to search market entry in Asia, which is poised to be the subsequent progress area: “We should be aggressive when it comes to constructing relationships and having access to these markets for us to profit from Asia’s progress.”

Including to this, he emphasised that India needs to be Sri Lanka’s prime vacation spot for sturdy collaborations and relationships, given its accelerated progress, market measurement and proximity.

As for collaboration, the vertical integration of provide chains is changing into extraordinarily essential. Ranatunga famous: “There’s extra of a drive [towards] regionalising the entire worth chain from the material maker all the best way to the completed items. Right now, we see quite a lot of cloth producers crossing the road into attire manufacturing.”

“That doesn’t imply it’s essential have [the value chain] as a one owned entity,” he confused, noting that “it’s about constructing the required infrastructure in your area or locality to have the ability to service clients.”

And Ranatunga defined that “there’s a requirement for higher collaboration between manufacturing, completed items and the availability chain,” including that it’s an essential angle for Sri Lanka to enhance.