In past few years, French underwear's consumption has reached EUR2.6 billion. However, only five percent of underwears are manufactured in France because of increase in Chinese competition.
Most of the enterprises have relocated their production bases to Maghreb region or Asia because labour cost in these regions are three to five times less compared to France.
Recently, French underwear brand Aubade and Dim has planned to relocate its production base due to fear of losing market to domestic enterprises.
Apart from problem of labour cost, independent retail shops of French enterprises were forced to shutdown as sales of these shops accounted for merely 13.3 percent in 2005 compared to 45 percent in 20 years ago.
Due to this reason, companies were forced to develop their own franchise shops even after decline in production.
Fibre2fashion.com News Desk-China