Seeking to unlock growth opportunities in the fast-evolving sportswear and athleisure domains, Brandix, one of Sri Lanka’s leading exporters, has signed a joint venture agreement with global synthetic materials manufacturer Best Pacific of Hong Kong to produce synthetic fabric and webbing in Sri Lanka with specific focus on warp knit synthetic fabric.
An agreement signed by the two companies in the country’s capital, Colombo, this week envisages the construction of a manufacturing facility in Pannala for the manufacture of synthetic fabric and webbing. The joint venture will be managed by Best Pacific, a large solutions provider in the synthetic space.
“This joint venture will propel Brandix’s drive toward delivering the most innovative and inspiring products to the consumer,” Ashroff Omar, chief executive officer of Brandix, said.
The Best Pacific Group has established long-term and close collaboration with customers of leading brands like Marks & Spencer, Spanx, Triumph, Victoria’s Secret, Wacoal, Aimer, Chantelle, Embry Form and Maniform. With its strong innovation and product development capabilities, the group not only manufactures synthetic materials for these brands, but also jointly develops new materials and products in order to start new market trends for their products.
Sri Lanka’s “Exporter of the Year,” Brandix has been ranked the country’s most valuable export brand in Brand Finance’s ranking of Sri Lanka’s leading brands in 2015, 2016 and 2017.
[Read more about Sri Lankan exports: Sri Lanka Granted GSP Plus Status by European Commission]
For the year ended Sept. 30, U.S. apparel imports from Sri Lanka fell 4.43% to 458.82 square meter equivalents.
In May, the European Commission, the legislative body of the European Union, granted GSP Plus status to Sri Lanka, giving the country preferential trade status wiht the EU market. The GSP Plus program offers enhanced preferences meaning full removal of tariffs on essentially the same product categories as those covered by the basic General System of Preferences arrangement. These are granted to countries which ratify and implement core international conventions relating to human and labor rights, environment and good governance.