Introduction
According to Hashim (2023), the apparel and textile industry is the backbone of the Sri Lankan economy, generating over 50% of the country's overall exports. Sri Lanka's apparel and textile industry is known for constantly driving innovation and fostering sustainability (Hashim, 2023). Well-known American companies such as Nike, Amazon, Calvin Klien, and Ralph Lauren manufacture in Sri Lanka. Extensive research has been done to consider where to source apparel and textiles, as the United States imports 90 % of its products.
The purpose of this report is to justify why Toad & Co should source from Sri Lanka in the scope of product development. The research was conducted on machinery/technology, availability of raw materials, techniques/products traditional to Sri Lanka, and potential local factories to justify the decision.
Toad & Co Background
Toad & Co. is a retailer based in California in the United States. It was established in the late 1990s. It is essential to consider the values of these retailers when analyzing the apparel and textile industry in Sri Lanka. Toad & Co has committed to fostering sustainable development. As stated in 2023, "Today, 100% of our clothing is made with a minimum of 80% sustainable fibers and fabrics that have met Earth-friendly bluesign or STANDARD 100 by OEKO-TEX certifications."
Machinery/technology available in Sri Lanka for textile/apparel production
The apparel and textile industry in Sri Lanka witnessed significant technological advancements, including adopting Computer-Aided Design (CAD) systems. This technology is widely used throughout the industry. CAD systems help designers visualize garments, sketch ideas, and make patterns (Baukh, 2022).
Computer-aided design was implemented in apparel and textile manufacturing to reduce errors and increase efficiency and accuracy in the production process. Popular garment manufacturers in Sri Lanka, including Hidiriami Group, have adopted software such as Tukatech, a CAD apparel grading system. This ensures efficient pattern-making in factories. Hidriami group states (2016), “Tukatech has given us more efficiency in our pattern rooms with fewer errors than our previous system.”
Hidiriami Group is a Sri Lankan factory that has the potential to produce products for Toad & O using modern techniques in apparel and textile production, including computer-aided design. Hidiriami Group has laid a road map to create sustainable choices, guided by UN Sustainable Development Goals (SDGs) that commit to reducing climate change by 2025 (Hidirimi Group, 2023). This is all done while creating cost-effective products and being the largest textile and apparel supplier in Sri Lanka.
Availability of raw materials
The textile and apparel industry in Sri Lanka relies on imports from nearby countries such as India and China for raw materials and findings . Although this is not domestic, it is nearby and easily accessible. According to Smith (2020), India is a significant source of raw materials, including cotton, yarn, and fabrics, meeting many of Sri Lanka's manufacturing needs. Sri Lanka EDP (2019) states that China plays a crucial part as a supplier of textiles and findings. Unique techniques/products are traditional to Sri Lanka.
Sri Lanka is known for traditional techniques , including handloom weaving, a hand-produced textile encompassing unique patterns and textiles (Sri et al., 2020). This method is still used; however, it was more prevalent in the apparel and textile industry before international industrialization. Traditionally, hand looms have been used in Sri Lanka and are made of cotton or silk. According to Sri Lanka EDP (2020), they were traded with China and India for as many as 1000 years. Sri Lankan handlooms produce various products, such as sarees, shawls, sarongs, household linen, upholstery, tapestry, and curtain fabrics. These traditional handloom items are exported globally and available under international brands.
Although using a hand loom for apparel and textile production is considered time-consuming and less effective than industrialized techniques, it is still considered an essential part of the industry's history, having paved the way for woven products.
Available equipment and the level of technology integration
Textile testing systems are essential to ensure proper quality control in the apparel and textile industry. Sri Lanka has integrated these policies and is known for its ability to prove them.
Sri Lanka uses textile testing technologies in organizations to enforce proper quality control in its apparel and textile industry. Intertek is an example of a company that performs these processes using current technology. In a sustainability scope, Intertek conducts eco testing to “Minimize hazards to humans and the environment with Textile Environmental Hazards Testing” following proper compliance standards (Intertek, 2024).
Figure 1 Intertek GB 18401-2010 Compliance Test
They use essential modernized technology that tests compliance with GB 18401-2010, tests all goods produced for export from China, and controls hazardous substances. This is important because most raw materials for apparel and textile production in Sri Lanka are imported from China and then exported, as shown in Figure 1 above.
The client Toad & Co utilizes sustainable practices and certifications, such as OEKO-TEX Standard 100®, which implements toxic and hazardous substances testing and certification (Donnugan, 2022) for various products that align with the GB 18401-2010 compliance test. Ensuring proper policies are embedded in all layers of the supply chain throughout the entire production process is important. This proves that Sri Lanka is following proper measures to ensure proper trade in this industry.
Conclusion
In conclusion, sourcing from Sri Lanka offers Toad & Co. a unique opportunity to align with a country that shares its values of innovation, sustainability, and quality products. The research on Sri Lanka’s apparel and textile industry provides strong evidence that it is a suitable sourcing destination for Toad & Co. With over 50% of exports from this industry, Sri Lanka fosters a robust environment for Toad & Co’s sourcing needs. Moreover, advanced technology, quality control measures, deeply rooted heritage, and reputable manufacturers resonate with Toad & Co’s emphasis on authenticity and craftsmanship. Therefore, in the scope of product development, it is recommended that apparel and textiles be sourced in Sri Lanka.
Executive Summary
This report examines the viability of sourcing from Sri Lanka for Toad & Co., an American retailer. This includes research conducted to make the educated decision to recommend Sri Lanka for sourcing apparel and textiles. The report begins with an overview of Toad & Co and their sustainable certifications and values. Next, it highlights Sri Lanka's technological landscape and the widespread adoption of Computer-Aided Design (CAD) systems, which help designers visualize garments, sketch ideas, and make patterns. Hidiriami Group, a major apparel manufacturer and possible partner for Toad & Co, adopted Tukatech, a CAD software that enhances pattern-making efficiency and accuracy.
Raw materials for apparel and textile manufacturing in Sri Lanka are imported from India and China. Despite Sri Lanka’s dependency on imports, the proximity makes it accessible. Toad & Co. fosters the values of authenticity and craftsmanship. That said, the handloom paved the way for woven products and is native to Sri Lanka. Although modernized manufacturing has been adopted, this is an essential piece of history within the industry. Sri Lanka embraces quality control measures by utilizing state-of-the-art testing technology companies. Intertek, for example, tests compliance with hazardous materials and chemicals in Sri Lanka, which fosters Toad & Co’s certification of STANDARD 100 by OEKO-TEX.
In conclusion, Sri Lanka's industry strengths in innovation and ethical practice make it a favorable sourcing destination for Toad & Co. Therefore, it is recommended that apparel and textiles be sourced in Sri Lanka.
References
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