Foreign garments buyers of famous brands are shifting purchases from troubled Myanmar which could lead to $500 million worth of exports from the Philippines.
The transferred orders can bring total exports of garments and hard goods facilitated by the Foreign Buyers Association of the Philippines (FOBAP) to about $1.7 billion to $2 billion this year.
FOBAP estimates 10,000 to 20,000 additional jobs in factories in Metro Manila and Cebu will be generated with the new orders.
The Philippine Exporters Confederation Inc. (Philexport) in a newsletter quoted FOBAP president Robert Young as saying the group has been securing relocated garment and apparel production export orders and inquiries on a fresh buying import program in the past week from buyers like Zeeman Europe, Walmart, TJ MAx USA, and Hudsons Canada, among others.
“Rough estimates totalling to $200 million to date have been booked and FOBAP projects double in quantity in the coming three to four months,” Young told Philexport.
Young said orders received by FOBAP mostly comprise simpler and basic babies’ playwear, men’s athletic and sporting outfit, ladies’ dresses, and intimate apparel.
“(Orders) will be on the floor…in about two weeks’ time (orders will be) on production because we have to wait for their fabric,” he said.
Young urged government to give a special lane for fabric imports to facilitate the shipments.
Young also underscored the importance of providing loans with moderate interest to the factories that want to open up.
He said government should support export activities, such as easing of quarantines while still following the required health protocol amid the pandemic.