Thailand's apparel companies should focus on overseas markets, mainly Indonesia, to sustain their business, in view of increasing competition in the domestic market, a report by Kasikorn Research has suggested.
According to the study, Indonesian economy opens up a good export market for the garment units in Thailand since the country's economy has grown favorably, increasing the household incomes and purchasing power for apparels, during the past few years.
In fact, there has been a steady growth in Thai apparel exports to Indonesia during the past 4-5 years, the report states.
The value of foreign direct investment (FDI) in Indonesia's textile and apparel sector has been continuously increasing and with the integration of ASEAN Economic Community (AEC), the country will draw more FDI, the research stated.
Similarity in fashion tastes and strong demand for apparels is the main reason for Thai garment units having good scope in Indonesia.
Kasikorn Research Centre conducts research on the contemporary developments in the global economy, business, money and banking.
Source:
http://www.fibre2fashion.com/news/apparel-news/newsdetails.aspx?news_id=118134
