The German company, Amoena, reported that it will close its operations in the country, arguing that its main textile suppliers moved their operations to Asia and need to get closer to that market.
The company is a producer of bras, bathing suits and other products for women who have suffered from breast cancer and underwent mastectomies.
Because of the drop in production and sales, in April the Monthly Manufacturing Activity Index in the Dominican Republic dropped 10% with respect to the same month in 2018.
The Monthly Manufacturing Activity Index (IMAM) of the Association of Industries of the Dominican Republic (AIRD) fell from 60.7 in March to 56.0 in April, according to the sector guild.
In the first nine months of the year, imports of yarns and textile inputs in Central America totaled $349 million, registering a 14% drop over the same period in 2017.
Figures from the Trade Intelligence Unit at CentralAmericaData: [GRAFICA caption="Click to interact with graphics]
Because there is still no regulation for part-time employment in Guatemala, textile businessmen estimate that the country loses between 40 and 70 thousand jobs.
For representatives of the Costume and Textile Commission (Vestex), the high operating and labor costs in Guatemala cause businessmen to send cut pieces to Honduras, El Salvador and Nicaragua to be assembled.
Explained by an increase in production and sales, in March the Monthly Manufacturing Activity Index in the Dominican Republic increased 9% with respect to the same month in 2018.
Data from the Association of Industries of the Dominican Republic (AIRD) indicate that the Monthly Manufacturing Activity Index (IMAM) increased from 55 in February to 60.7 in March, the highest performance during the third month since 2016.
From May 14 to 16 in Guatemala, textile exporters from the region will meet with international buyers at Apparel Sourcing Show, to explore business opportunities.
The objective of the event is to allow all members of the Central American industry value chain to expose their capabilities to buyers and promote the integration of the supply chain.
The growth in demand for sportswear, which has been a trend in several international markets, is forcing companies in El Salvador to modify their production processes.
Local manufacturers have identified that pants, leggings, biker shorts and other sportswear have become an urban fashion in different countries, which has led them to adapt their production processes to meet the growing demand.
The Chamber of Foreign Trade of Costa Rica is recruiting businessmen who wish to attend a business roundtable, to be held from May 13 to 17 in the city of Brusque, Santa Catalina in southern Brazil.
Depending on the profile of each company, there is the option of covering tickets and lodging for one attendee per company at the event, informed authorities of the Costa Rican Chamber of Foreign Trade (Crecex).
During the first two months of the year, exports of the Guatemalan textile sector registered a 4% year-on-year increase, which is explained by demand from U.S. companies.
According to the most recent figures from the Bank of Guatemala, between the first two months of 2018 and the same period in 2019, overall exports fell from $1.808 million to $1.751 million.
Exports from the Costa Rican textile sector increased from $126 million in 2017 to $136 million last year, a behavior explained by sales of yarns and vinyl.
According to data from the Foreign Trade Promoter (Procomer) of textile and apparel exports, the year-on-year increase of 8% recorded in 2018 represents a slight recovery, since between 2014 and 2017 a downward trend was reported.
Because of the reduction in production and sales, in February the Monthly Manufacturing Activity Index in the Dominican Republic fell 6% with respect to the same month in 2018.
The Monthly Manufacturing Activity Index (IMAM) decreased from 63.2 in January to 55.2 in February, being this behavior lower than the one exhibited during February last year when it stood at 58.9, reported the Dominican Republic Industries Association (AIRD).
Because of the increase in production and sales, in January the Monthly Manufacturing Activity Index in the Dominican Republic grew 8% with respect to the same month in 2018.
The Monthly Manufacturing Activity Index (IMAM) showed its highest historical performance in the first month of the year, rising from 57.3 in December 2018 to 65.2 in January 2019, reported the Association of Industries of the Dominican Republic (AIRD).
The Korean company Sae-A Trading Co. Ltd., would build in Guatemala a high-tech industrial complex of chemical fiber, weaving and dyeing for the production of polyester yarns.
The Guatemalan Ministry of Economy (Mineco) reported that the project will be fully operational in three years and would be the only national supplier to sew, weave and dye within a single operation.
In the Dominican Republic, the Monthly Manufacturing Activity Index maintained an upward trend throughout 2018, contrasting with the behavior shown in 2017 and 2018.
The Association of Industries of the Dominican Republic (AIRD) reported that manufacturing activity closed the year on the rise, reporting in December 2018 an increase of 4% compared to the same month in 2017.