peru textiles alberto hart peruvian embassy london, 2 december 2008

PERU TEXTILES

Alberto HartPeruvian Embassy

London, 2 December 2008

Where is Peru?

•World cultural heritage•Natural beauty and diversity•A leading emerging market?•Modern textile industry??

Why Peru? Why now?

Dynamic, fast-growing and resilient economy, even in spite of credit crunch 9.2% growth in 2008, 7% in 2009* Booming exports, diversified markets Strong private and public investment, bustling domestic demand

Least exposed Latin American economy to the financial crisis** Disciplined monetary and fiscal policy Ample international reserves

Centre stage in 2008 to two major world summits APEC, LAC-EU)*IMF projections

**UBS bank research

Why Peru? Why now?

8 years of sustained economic growth Attractive investment destination

Investment grade (Standard and Poor’s, Fitch’s)

‘Rising star’ of emerging markets manufacturing

Relative low inflation Strong currency

Extensive free trade network

Peru is an export oriented economy committed to free trade and greater market access as a means of development

It has a network of free trade, preferences, and other arrangements with the world’s main trading blocs

PERU – UK BUSINESS TIES

•UK is the second biggest investor in Peru•US$3.4 billion invested so far•US$6 billion expected investment

•Bilateral Trade: US$ 378 million in 2007•First Latin American company to enter the main market at the London Stock Exchange was Peruvian•There is a British Peruvian Chamber of Commerce in Lima: www.bpcc.org.pe

The UK is much closer to Peru than you might think

Did you know?

•All of these British businesses are active in Peru

Peruvian Textile and Apparel Sector

Textiles is a strategic sector for Peru

US$ 1.7 billion in exports

Main driving force of manufactured exports Highest added value

Leading source of employment

Innovative and competitive industry

Main destinations of textile exports 2007United States: 48%

US$ 835 Millons

Colombia: 3%

US$ 52 Millions

Chile: 3%

US$ 51 Millions

Venezuela: 23%

US$ 403 Millions

Spain: 1.5%

US$ 24 Millions

France: 2%

US$ 27 Millions

México: 1%

US$ 19 Millions

United Kingdom: 1.5%

US$ 24 Millions

Others 98: 12%

US$ 210 Millions

Italy: 3%

US$ 50 Millions

Ecuador: 2%

US$ 35 Millions

16.6% Avg annual growth

Apparel exports to the EU and UK

13.5% Avg annual growth

France22%

Spain17%

Italy17%

United Kingdom

17%

Germany16%

Otros11%

France Spain Italy United Kingdom Germany Otros

Main Peruvian Garment Exports

Cotton T-ShirtsCotton ShirtsCotton BlousesCotton SweatersCotton Tank topBaby GarmentsWoven pants for womenWoven cotton shirtsKnitted pants for womenSynthetic T-Shirts

DEVANLAY TOPY TOPFRAMOR TEXTIMAX TRADING FASHION LINESUDAMERICANA DE FIBRAS NETTALCOCOTTON KNIT.MICHELL TEXTIL SAN CRISTOBALTEXTILES CAMONES TEXTIL DEL VALLE AURA TEXTILESHIALPESASOUTHERN TEXTILE NETWORK CREDITEXINDUSTRIA TEXTIL DEL PACIFICO

Top SuppliersTop Suppliers Top ProductsTop Products

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Clients:

•Polo Ralph Lauren, Jonathan Adler, (US)

•Christian Dior (France)

•Bay crews (Japan)

•Belpostel (Russia)

•Zambaiti Copertificio (Italy)

Alpha Shirt / Anne Fontaine / Antigua / Armani Exchange / Armani Jeans / Arturo Calle / Ashworth / Bloomcraft / Burberry

/ Calvin Klein / Christian Dior / Charles Tyrwhitt / Cutter & Buck / Divots / Donna Karan / El Corte Inglés / Fruit of The

Loom / Gap / Giorgio Armani / Gear for Sports / Geoffrey Beene / Greg Izod / Norman / Guess / Hickey Freeman / Ike Behar / J.C. Penney / Lacoste / Land´s End / Liz Claiborne /

L.L. Bean / Nautica / Oxford Shirtings / Perry Ellis / Philips Van Heusen / Ping / Polo Ralph Lauren / Sara Lee / Swiss Army /

Tehama / Tommy Bahama / Tommy Hilfiger / Vantage / Woolrich / Zara

From PERU to the World

Infrastructure & Production

Production supply chain

CCOTTONOTTON

AALPACALPACA

VVICUÑAICUÑA

PERUVIAN FIBRES

1. Better resistance to weather changes.2. Hand picked to get only best fibers.3. Soft and shiny. 4. Yarn is very bright, Tanguis has a high

degree of dye absorption.5. Peruvian Pima is spun from title Ne

50/1 up to Ne160/1 or 2.

Peruvian Cotton Characteristics….

* Thermal: 5 times warmer than sheep’s wool.* Resistance: 3 to 4 times more resistant than wool. *High resistance to flammability.* Fibre:17 different natural colors, little wrinkle, high brightness.* Touch: smooth, comfortable

Alpaca properties…

Millenary tradition

OPERATION CAPABILITYOPERATION CAPABILITY

TIMELY DELIVERYTIMELY DELIVERY

SOCIAL SOCIAL RESPONSIBILITYRESPONSIBILITY

LUXURYLUXURY FIBERSFIBERS

INTEGRATED INDUSTRYINTEGRATED INDUSTRY

FULL FULL PACKAGEPACKAGE

RESEARCH & RESEARCH & DEVELOPMENTDEVELOPMENT

PERUVIAN INDUSTRY PERUVIAN INDUSTRY COMPETITIVITYCOMPETITIVITY

Peruvian Competitive IndustryPeruvian Competitive Industry

INTERNATIONAL STANDARDS: CERTIFICATIONSINTERNATIONAL STANDARDS: CERTIFICATIONS

CERTIFYING ORGANIZATION CONTACT TELEPHONE EMAIL

Ebert Gala Yepez (511) 5171937 ebert.gala@sgs.com

Carla Varea Perez del Solar (511) 4229000 Anexo 2604

carla.varea@pr.bureauveritas.com

Ericka Cavero (511) 4229040 servicios@cotecna.com.pe

Fanny Arteaga (511) 2218124 gl-lima@gl-group.com

Diana Vargas (511) 440-1169 icontec@amauta.rcp.net.pe

Iván Tenorio (511) 319900 rramirez@cerper.com

Rocio Vidal (0511) 4711111 rocio.vidal@lr.org

Who certifies?Who certifies?

FASHIONFASHION

DESIGNDESIGN

INSPIRATIONINSPIRATION

Showcasing to the World

www.perumoda.com

Activities

Inaugural Gala Night Business Presentations International Seminars Contest “Young Fashion Creators” Runway “Press Tour” for invited international journalists Tendencies 2008 exhibition

Prêt a PorterPrêt a Porter – Jan, Paris France – Jan, Paris France Play TimePlay Time – Jan, Paris France – Jan, Paris France Moda Manhattan Moda Manhattan - Jan, New York USA- Jan, New York USA IntermodaIntermoda – Jan, Guadalajara Mexico – Jan, Guadalajara Mexico Magic Magic – Feb, Las Vegas USA– Feb, Las Vegas USA Material World Material World – April and Sept, Miami & – April and Sept, Miami &

Los Angeles USALos Angeles USA PERU MODA PERU MODA - April, Lima Perú- April, Lima Perú Colombiamoda Colombiamoda -July, Medellin Colombia-July, Medellin Colombia MagicMagic- Aug, Las Vegas USA- Aug, Las Vegas USA Globaltex Globaltex – Sept, Los Angeles USA – Sept, Los Angeles USA Prêt a Porter Prêt a Porter – Sept, Paris – France Berlin– Sept, Paris – France Berlin SapicaSapica– Sept, Guadalajara Mexico– Sept, Guadalajara Mexico

PERU MODA International Calendar…PERU MODA International Calendar…

How do I source from Peru?

•The Peruvian Embassy can put you in direct contact with a specific enterprises that may interest you (contact details in information pack)

•Promperú can arrange a visit to Peru, meetings with the exporters and factory tours

•Based on your requirements we can match your needs to the most suitable suppliers

•Peru Moda provides an ideal opportunity to grasp the variety on offer of the Peruvian textile industry, we’ll invite you!*

•If you prefer to use an agent there are Peru based agencies (recommended contact details in information pack)

•Incatextiles is a London based agency that has been in close contact with the industry

Many thanks…!Many thanks…!

www.promperu.gob.pe