When the health crisis began, the number of Internet searches associated with women's clothing dropped considerably in all Central American markets, but in recent months’ interest has rebounded.
Through a system that monitors in real time changes in consumer interests and preferences in Central American countries, developed by CentralAmericaData, it is possible to project short and long term demand trends for different products, sectors and markets operating in the region.
During the last few months in Central American countries the volume of searches and conversations on the Internet related to uniforms began to decrease, and by early November the trend was still downward.
Through a system that monitors in real time the changes in the interests and preferences of consumers in Central American countries, developed by CentralAmericaData, it is possible to project short and long term demand trends for the different products, sectors and markets that operate in the region.
In the context of the crisis in all markets of the region, the interest in formal garments collapsed, but in recent months the amount of digital consumer interactions associated with this type of clothing has begun to rebound.
Through a system that monitors in real time changes in consumer interests and preferences in Central American countries, developed by CentralAmericaData, it is possible to project short and long term demandtrends for the different products, sectors and markets operating in the region.
In the first quarter of the year, consumers were no longer interested in this type of clothing, but since April, in the digital environment, interactions associated with children's clothing have been on the rise in all markets in the region.
Through a system that monitors in real time the changes in the interests and preferences of consumers in Central American countries, developed by CentralAmericaData, it is possible to project short and long term demand trends for the different products, sectors and markets that operate in the region.
Under the brand of Tiendas Rechido, Corporación Megapaca opened its first store selling second-hand clothing in the city of Morelia, Michoacan.
The new store operating in the Mexican market will make available to the public 50 thousand garments and the business strategy of the business group is to enter the Mexican market as an environmentally sustainable fashion option.
Against the backdrop of an imbalance in trade and restrictions decreed in several markets around the world, Central American companies in the garment business are operating and generating export earnings at levels that merely allow them to subsist.
Data from the Office of Textiles and Apparel, of the U.S.
For the next few months, it is estimated that in the Guatemalan market, sales of men's pants will decrease by about 5% from the levels reported prior to the change in the business scenario.
The impact that the crisis will have on companies related to the textile, leather and clothing sector in Central America is estimated to be explained, to a greater extent, by the expected drop in sales of carpets and curtains.
Following the spread of the virus globally and the suspension of some production in China, several garment companies in the region have reported increases in their orders.
The spread of the epidemic has stopped much of the economic activity of the Asian giant, which is the largest exporter of textiles in the world.
From January to September last year, foreign purchases of clothing and accessories made by companies in Central America totaled $981 million, and 46% was imported from China and the United States.
Figures from the Trade Intelligence Unit at CentralAmericaData: [GRAFICA caption="Click to interact with graphics"]
Between 2010 and 2019 exports of textile companies in Guatemala reported an average annual growth of 2%, a rise that is attributed to demand from companies in the United States.
According to figures from the Bank of Guatemala (Banguat), the manufacture of clothing items was the sector that generated more foreign exchange during the past year, as revenues amounted to $ 1,397 million.
Because of the crisis that has been generated in several Asian countries by the presence of the coronavirus, the organizers of ExpoTrend Summer 2020 reported that the international event is suspended.
The event was to take place from February 10-12 at the Atlapa Convention Center in the Panamanian capital, however, due to the coronavirus outbreak, which has spread to several Asian cities, it was decided to cancel it.
If the international prices of bananas, coffee, sugar and palm oil do not improve, and if combined with a global economic recession, Guatemala, Honduras and El Salvador could stop exporting as much as $2.268 million altogether in 2021.
According to the report "Proceso de integración Centroamericana del Triángulo Norte: Escenarios de riesgo en la matriz de exportación" (Central American Integration Process of the Northern Triangle: Risk Scenarios in the Export Matrix), prepared by the Asociación de Investigación de Estudios Sociales (Asíes), garment making is another activity that could be affected in the coming years.
Last year, imports of garments and clothing accessories made by companies in Central America totaled $1.505 million, 3% more than what was purchased in 2017.
Figures from the Trade Intelligence Unit of CentralAmericaData: [GRAFICA caption="Click to interact with graphic"]
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.
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