On Tuesday, January 12, 2021, representatives of the Sustainable Textile Industry Network in Asia (STAR Network, hereinafter "STAR Network") met and launched a new initiative calling for better international sourcing practices in the textile and apparel industry . STAR Network is the first dialogue and cooperation network across Asia composed of textile and apparel industry producers' associations.
"We want to reach a common position on payment and delivery terms on behalf of all Asian (textile and apparel industry) producer associations and manufacturers, in order to enhance our voice and reach procurement practices in individual and collective bargaining with brands and buyers improvement.” Mr. Miran Ali, Director of Bangladesh Garment Manufacturers and Exporters Association (BGMEA), made a statement on behalf of the STAR Network. What is unique about this initiative is that it asks questions around purchasing habits (such as payment and delivery terms) from the perspective of the manufacturer and the associations that represent the manufacturer, making it a truly bottom-up initiative. The initiative is supported by all 9 member organisations of the STAR network, including Garment Manufacturers Association of Cambodia (GMAC), Bangladesh Garment Manufacturers and Exporters Association (BGMEA), Bangladesh Knitted Garment Manufacturers and Exporters Association (BKMEA), China National Textile and Apparel Association Association (CNTAC), Pakistan Textile Exporters Association (PTEA), Pakistan Hosiery Manufacturers and Exporters Association (PHMA), Pakistan Towel Manufacturers Association (TMA), Myanmar Garment Manufacturers Association (MGMA), Vietnam Textile and Apparel Association ( VITAS). "This common position will be powerful," Miran Ali said. He estimates that manufacturers covered by the STAR network account for more than 60 percent of the world's total textile and apparel exports.
An important feature of trade in the global textile and apparel industry is the power imbalance between brands and buyers and textile and apparel manufacturers. During the COVID-19 pandemic, this imbalance has been exacerbated and even more apparent. Under such circumstances, brand companies and buyers, especially those from Europe and the United States, canceled orders, leaving many Asian manufacturers with no way out. Miran Ali explained: "(Producers in the textile and clothing industry) have been in a difficult situation before. The epidemic has changed everything, but the Asian textile and clothing industry cannot be saved because of the epidemic!"
It is expected that by March 2021, each association will form five working groups to work together to clarify various "red lines", requirements and recommendations on topics such as payment and delivery methods, procurement planning and communication, and third-party bargaining. According to the opinions of the working groups, the second phase of the initiative will start a comprehensive implementation for the whole industry. Several international industry organisations and networks, including the International Textile Manufacturers Federation (ITMF) and the International Apparel Federation (IAF), have already expressed their support for the initiative. Their representatives will support the working group as members of expert or industry advisory boards. Manufacturers and their associations will use the "safe space" of their new initiative to develop joint requirements and recommendations before brands, buyers and other stakeholders join the discussion, and then communicate from a unified standpoint.
The STAR Network is committed to dialogue and trust building to exchange best practices and promote sustainable development in the textile and apparel industry. The STAR Network was established during the "China Textile and Apparel Industry Social Responsibility Annual Conference" held in Shanghai in 2016 to promote the sustainable development of the Asian textile and apparel industry. In the early stages of the Covid-19 crisis, the STAR Network has issued a joint statement calling on international brands and buyers to implement responsible sourcing practices during the Covid-19 crisis. Published on the STAR Network joint website in April 2020, the statement has given a strong international boost to discussions on implementing responsible sourcing practices during the pandemic.