Latest developments
January 2010
Over the course of the last months, the IFC has been able to collaborate with major MFA Forum brands on exploring short-term trade finance packages for suppliers.
To further progress work on longer-term financing schemes, the Chair and the Secretariat met with the IFC in Washington. The discussion centred around the development of a product that would incentivise producers/manufacturers to improve labour compliance and environmental stewardship through preferential credit rates.
The Secretariat is currently conducting research on the technical issues to advance such a scheme and will be working with financial institutions and the working group to progress the work (e.g. means of finance provision, market rates, risk evaluation, standards, etc.).
September 2009
A scoping visit to India was conducted by a delegation (including the MFA Forum Secretariat, Gap Inc. and Social Accountability International) to explore its suitability as a country for engagement for SAFI.
The visit highlighted that India has largely been insulated from the financial crisis. Nevertheless, the economic slowdown has affected the workforce and many confirmed that the one million job losses reported in the apparel industry might be accurate and maybe even conservative. The overall feeling, however, is that it has not created a crisis in the country. India is very aware of the internal and regional shifts taking place in the industry and is watching closely what is taking place in Bangladesh, Cambodia, and Vietnam. There is a general perception that a fundamental shake up is taking place that creates uncertainty about what the industry will look like in the near future.
India, on the whole, is not a good candidate for an immediate response to trade finance or worker retraining (although there is a lot of interest in skills development and diversification). However, India is a suitable country in terms of the third pillar of future scenarios. This is due to their national interest and promotion/support of competitiveness ‘clusters’ and the general tendency to watch not only patterns and shifts nationally but in regional contexts.
India Scoping Visit Report
May 2009
Following a successful planning meeting in April 2009, the MFA Forum invites stakeholders to an event in Washington, DC entitled Responding to the Crisis: The Global Recession and its Impact on Workers in the Garment and Footwear Industry. The meeting will be hosted by the IFC.
Agenda May 21st & 22nd
Framework for Action
Global Trade Trends: Research Briefing Summary
Buyer Interview Paper
April 2009
The MFA Forum is hosting a planning meeting in Washington, DC to discuss an effective approach to the implications of the economic crisis on the apparel industry.
Agenda April 7th & 8th
Shifting Industry in Global Crisis: A Coordinated Response
Responsible Transitions & the Global Crisis - Research Briefing
Framework for Action
Stakeholder Consultations
Stakeholder Survey Initial Findings
Trade Trends Briefing Paper