Suit maker Bagir to invests $2.5 million in capacity expansion
23 Mar '06
1 min read
Bagir Ltd launched the Dalian Bagir factory two years ago in cooperation with Chinese textile company, Dayang Group.
It is going ahead with expansion of its existing capacity by investing NIS 2.5 million in its factory in Chinato hike its manufacturing capacity to 1,800 suits a day, up from 1,400, currently.
Bagir CEO Ofer Gilboa said that the factory was opened two years ago in a joint venture with Dayang Group for an investment of NIS 23 million.
This JV was influenced by the fact that China had become global hub of textile manufacturing due to its low manufacturing costs, said Gilboa.
He added that Bagir's presence in China will help maintain its competitive edge in the market.
Chinese factory's major output is to be exported to Europe, especially to UK fashion chain, Marks & Spencer.
This would also help fuel its growth plan for the next three years.
Bagir's production strategy will center around three manufacturing networks located in the Middle East (Jordan and Egypt), Eastern and Central Europe (Romania, Ukraine and Italy) and the Far East (China and Vietnam).
marketing@alchempro.com
