VITA
Published By VOLUNTEERS IN TECHNICAL ASSISTANCE 1600 Wilson Boulevard, Suite 500, Arlington, Virginia 22209 USA Telephone: (703) 276-1800, Fax: (703) 243-1865 Telex 440192 VITAUI, Cable: VITAINC Internet vita@gmuvax.gmu.edu, Bitnet. vita@gmuvax
Women's Broadcloth Dresses ISBN: 0-86619-288-3 [C]1987, Volunteers in Technical Assistance
INDUSTRY PROFILES
Introduction
This Industry Profile is one of a series briefly describing small or medium-sized industries. The Profiles provide basic information for starting manufacturing plants in developing nations. Specifically, they provide general plant descriptions, financial, and technical factors for their operation, and sources of information and expertise. The series is intended to be useful in determining whether the industries described warrant further inquiry either to rule out or to decide upon investment. The underlying assumption of these Profiles is that the individual making use of them already has some knowledge and experience in industrial development.
Dollar values are listed only for machinery and equipment costs, and are primarily based on equipment in the United States. The price does not include shipping costs or import-export taxes, which must be considered and will vary greatly from country to country. No other investment costs are included (such as land value, building rental, labor, etc.) as those prices also vary. These items are mentioned to provide the investor with a general checklist of considerations for setting up a business.
IMPORTANT
These profiles should not be substituted for feasibility studies. Before an investment is made in a plant, a feasibility study should be conducted. This may require skilled economic and engineering expertise. The following illustrates the range of questions to which answers must be obtained:
* What is the extent of the present demand for the product, and how is it now being satisfied?
* Will the estimated price and quality of the product make it competitive?
* What is the marketing and distribution plan and to whom will the product be sold?
* How will the plant be financed?
* Has a realistic time schedule for construction, equipment, delivery, obtaining materials and supplies, training of personnel, and the start-up time for the plant been developed?
* How are needed materials and supplies to be procured and machinery and equipment to be maintained and repaired?
* Are trained personnel available?
* Do adequate transportation, storage, power, communication, fuel, water, and other facilities exist?
* What management controls for design, production, quality control, and other factors have been included?
* Will the industry complement or interfere with development plans for the area?
* What social, cultural, environmental, and technological considerations must be addressed regarding manufacture and use of this product?
Fully documented information responding to these and many other questions should be determined before proceeding with implementation of an industrial project.
Equipment Suppliers, Engineering Companies
The services of professional engineers are desirable in the design of industrial plants even though the proposed plant may be small. A correct design is one that provides the greatest economy in the investment of funds and establishes the basis of operation that will be most profitable in the beginning and will also be capable of expansion without expensive alteration.
Professional engineers who specialize in industrial design can be found be referring to the published cards in various engineering magazines. They may also be reached through their national organizations.
Manufacturers of industrial equipment employ engineers familiar with the design and installation of their specialized products. These manufacturers are usually willing to give prospective customers the benefit of technical advice by those engineers in determining the suitability of their equipment in any proposed project.
VITA
Volunteers in Technical Assistance (VITA) is a private, non-profit, volunteer organization engaged in international development. Through its varied activities and services, VITA fosters self-sufficiency by promoting increased economic productivity. Supported by a volunteer roster of over 5,000 experts in a wide variety of fields, VITA is able to provide high quality technical information to requesters. This information is increasingly conveyed through low-cost advanced communication technologies, including terrestrial packet radio and low-earth-orbiting satellite. VITA also implements both long- and short-term projects to promote enterprise development and transfer technology.
PRODUCT DESCRIPTION
2. The Product
The manufactured products are women's dresses made from cotton broadcloth.
3. The Facility
This Profile describes a plant operating with one shift and manufacturing 72,000 women's dresses a year (1,440/week, 288/day). It also describes a larger plant running a single shift and producing 104,000 dresses a year.
Other similar products such as women's and girls' blouses, cotton skirts, and school uniforms can also be made at this facility. Therefore it is important to have a designer/pattern-maker readily available to produce properly fitted items as may be requested by the customer.
GENERAL EVALUATION
The amount of capital required is relatively modest. If the domestic market can produce the necessary sales and the plant is efficiently operated and well managed, prospects for this industry should be very good.
1. Outlook
A. Economic
Depends on existing conditions in the country.
B. Technical
Good reconditioned used sewing machines can perform just as well as some of the items listed in Section D.2 (page 4). They can cost half the price of new machines.
2. Manufacturing Equipment Flexibility
The machinery and equipment used to produce dresses are the same as those generally used throughout the clothing manufacturing business. Therefore, it is possible and strongly recommended that other kinds of clothing or other items made from fabric be made at this plant. The plant should not be confined to making a single item.
3. Knowledge Base
A good business plan is necessary. A two-to three-year projection should be prepared and caution taken against overextension.
Management should have:
a) Business experience b) Knowledge of the field c) Sources of capital d) Knowledge of market e) Knowledge of procurement of material equipment f) Ability to find government support
The availability of good graders, cutters, and mechanics is also very important.
4. Quality Control
Quality control is very important, and specifications vary from company to company and garment to garment. For example, an entire order can be rejected for as little an error as the number of stitches per inch or the tension of the thread.
5. Constraints and Limitations
In the developing nations there is usually an ample labor pool easily attracted to this industry. However, there is certain to be a shortage of designers, pattern-makers, and possibly cutters and mechanics.
Other considerations are:
- No special transportation requirements, but good highways would be helpful. --Manager and supervisors should be fully experienced. --Some operators will be operating more than one machine. --After break-in period, production workers should go on piece work rates. --Needs reliable electric power system.
MARKET ASPECTS
1. Users
The users of this product include women and teenage girls.
2. Suppliers
There are in most urban centers sales representatives of equipment manufacturers and jobbers of fabrics. It may be too expensive to go to the United States to look for design, fabrics and machines. Hong Kong and Tokyo are also good sources for these items.
3. Sales Channels and Methods
Sales will be made direct to large stores and to wholesale houses for distribution to small retail outlets. The market needed will depend to a great extent upon the purchasing power of the local population.
One possibility to explore is to contract with U.S. garment manufacturers that would supply a steady source of work for the plant. Large investments in plant and equipment for exports should not be undertaken unless there is a written commitment from a U.S. or other manufacturer or contractor who can guarantee a new outlet for the garments.
4. Geographic Extent of Market
Domestically, these products should be distributed nationally.
5. Competition
Domestic Market - Competition from imported cotton broadcloth dresses should be minimal. But a significant competition could come from other plants producing women's cotton dresses, and from the part of the population engaging in home sewing.
Export Market - The plant size is too small to compete in the export market or to interest U.S. manufacturers unless there are similar plants to pool their resources and obtain contract work.
6. Market Capacity
The market capacity is dependent on local conditions.
PRODUCTION AND PLANT REQUIREMENTS
Requirements Annual Output: dresses: 72,000 104,000
1. Infrastructure, Utilities Small Plant Medium Plant Land 1/4 acre 1/3 acre Building one story 4,000 s.f. 6,000 s.f. Power 50-60 hp 60 hp Fuel
Water
Other
2. Major Equipment & Machinery Small Plant Medium Plant Units Units Tools & Machines cloth spreader (1) (1) cutting table (60'x 6') (1) (1) cutting machines (3) (3) assorted sewing machines (20) (30) safety stitch (2) (4) overlock (1) (2) blindstitch (1) (2) single needle (16) (22) belt turners buttonhole machine (2) (2) buttonsewer machine (2) (2)
Support Equipment & Parts furniture & fixtures model forms hand trucks (1) (1) steam irons chairs & workbenches work tables storage shelves racks spare parts, tools & scissors truck/van (1) (1)
*TOTAL ESTIMATED COST of equipment & machinery only $ 70,0000 $ 82,000 Duty & shipping not included
*Based on $US 1987 prices. The costs provided are estimates and are given only to provide a general idea for machinery costs; they are not intended to be used as absolute prices. Costs still need to be determined on a case by case basis.
*3. Materials & Supplies Small Plant Medium Plant
Raw Materials cotton material 216,000 yards 300,000 yards lining 6,000 yards 8,000 yards hooks & eyes buttons zippers trimmings, elastic, etc. tags and labels 500 gross 700 gross thread (12,000 yd. cones) 1,000 cones 1,500 cones
Supplies lubricants office & factory supplies
Packaging hangers & bags 6,000 dozen 8,500 dozen shipping cartons (6 dresses/carton) 12,000 17,000
4. Labor Small Plant Medium Plant
Skilled designer/pattern-maker 1 1 cutters 1 1 operators 20 30 pressers 3 4 floor help 3 3
Semi-skilled Unskilled 2 2
Indirect manager 1 1 office 1 1 plant manager/chauffeur 1 1
5. Distribution/Supply flow Small Plant Medium Plant
Amount in/out per day 288 dresses 400 dresses
6. Market Requirements Small Plant Medium Plant
population 2-3 million
7. Other Requirements Small Plant Medium Plant
*This includes an approximate amount of materials used over a period of a year. It does not mean that a year's supply must be stored on the premises.
WOMEN'S BROADCLOTH DRESSES Floor plan should have at least 4,000 square feet of room. Flow of work should go as indicated. The layout is flexible to provide an efficient work flow. It should be fairly simple to arrange machines and operations accordingly. <see plant layout and work flow>
REFERENCES
Unless otherwise stated, these addresses are in the United States.
- Technical Manuals & Textbooks
Fashion Institute of Technology 7 Ave. & 27 St. New York, New York 10001 Library and Bookstore with full listing of books on design and pattern-making, and marketing.
- Periodicals
Women's Wear Daily & Daily News Record Fairchild Publications 7 E 12 St., New York, New York 10003
Bobbin Magazine Bobbin International, Inc. P.O. Box 1986 1110 Shop Road Columbia, South Carolina 29202
Apparel World 366 Park Ave., South New York, New York 10016
Apparel Industries Magazine 180 Allen Street Atlanta, Georgia 30328
- Trade Associations
American Apparel Manufacturing Association 2500 Wilson Blvd. Arlington, Virginia 22201 (703) 524-1864
National Knitwear & Sportswear Association 366 Park Ave., South New York, New York 10016
- Equipment Suppliers, Engineering companies
Hudson Sewing Machine Co. 109 Johnston St. Newburgh, New York 12550 (dealer in all types of equipment)
The Singer Company 135 Raritan Center Parkway Edison, New York 08837 (sewing equipment, cutting room equipment)
Kurt Salmon Associates 350 Fifth Avenue New York, New York 10118 (management consultant, consulting services)
- Directories
Buyers Guide: A Sourcing Guide for the Apparel Industry produced by The Associate Member Congress American Apparel Manufacturers Association 2500 Wilson Boulevard Arlington, Virginia 22201
- VITA Resources
VITA has a number of documents on file dealing with the textile and clothing industry. An example:
Selected Information Resources on Textiles. Compiled by J.A. Feulner, National Referral Center, Library of Congress, May, 1980. 17 pp. XII-E-1, P.1, 022470, 12.
- VITA Venture Services
VITA Venture Services, a subsidiary of VITA, provides commercial services for industrial development. This fee-for-service includes technology and financial information, technical assistance, market, and joint ventures. For further information, contact VITA.