Supply Chain in the Fashion Industry Event Nov. 10th

Interested in the behind-the-scenes inner workings of the movement of fashion from factory to sales floor?  Come to this event!

From Runaway to Retailer 

A Panel Discussion on Supply Chain in the Fashion Industry

Panel Members: 

Jacqui Wenzel, President, Kimora Lee Simmons KLS (Luxury fashion brand)

 

David Meir Sasson,  COO, Derek Lam (Women’s designer clothing, handbags and accessories retailer)

 

Corey Weeks, Director Supply Chain, Hudson’s Bay Company (Chain of 90 department stores that operates across Canada

Moderated By Jacqueline Jenkins, Dean of Graduate Studies, LIM College.

Taking place at LIM College in Manhattan together with APICS-NYC, you can get your tickets online here:

https://apicsnyc-li.starchapter.com/meet-reg1.php?mi=f887bdb1faac9efd39000c72023efdfe&id=138

See you there!

Join Me Nov. 12th at 7 PM for "Fall Freight Night!"

Fall Freight Night!

I'm on the Advisory Board for the Urban Assembly's School for Global Commerce. We're hosting our annual fundraiser, Fall Freight Night, on Thursday, November 12th at 7pm. 

Tickets are $40 and that gets you 2 drinks and 1 raffle ticket (although you can always donate more than $40 if you want). It's going to be at Professor Thom's in Manhattan and it's going to be a stellar event. 

Feel free to invite as many people as you want - just make sure they get tickets in advance. https://2015-uasgc-fall-freight-night.eventbrite.com. 

Hope to see you there!

Ever Wonder Just How Much is Being Imported into the U.S. From China?

Now you can see for yourself what those figures look like in relation to textile and apparel imports thanks to the U.S. International Trade Commission’s latest release which compiles such 2014 data in to a single handy document.

The annual report contains a compilation of the statistical reports published every two weeks by the Commission on the volume, value, unit value, and import market share of imports from China that were subject to the provisions of the 2005 U.S.-China Memorandum of Understanding Concerning Trade in Textiles and Apparel (MOU).  This compilation includes official import data from the U.S. Department of Commerce, and shows data at the 3-digit textile/apparel category level and by the Harmonized Tariff Schedule (HTS) 10-digit subheadings in these categories.

Want to read through it for yourself?  The Textile and Apparel Imports from China: Statistical Reports, Annual Compilation 2014 (Inv. No. 332-501, USITC publication 4535, May 2015) is available on the USITC's Internet site at http://www.usitc.gov/publications/332/pub4535.pdf.

Questions/comments?  Post below or email me at clark.deanna@gmail.com

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Wishing You a Wonderful 2015!

Ever Wonder How USPS Handles Exports and Imports?

I had the pleasure of seeing first hand how the US Postal Service (USPS) handles imports and exports by air in to and out of its Kennedy (JFK) airport location in Jamaica, New York during a recent tour I took there.

Regarding imports, USPS receives about 400 air containers per day from all over the world.  It has an International Mail Agreement which standardizes by code mail equivalents worldwide and streamlines the processing of incoming mail.  Mail passes under an infrared scanner that verifies receipt of the packages into the US mail system and reconciles payments at such time.  Of course, there is always mail for which an address cannot be read, a package’s integrity has been compromised, or some other reason necessitating the need for manual processing, so there is a dedicated area for doing this as well.

E-commerce and E-bay sales make up a huge portion of total imports by mail into the U.S. in what are known as “E-packets,” and to my surprise I saw some itty-bitty packages that identified the contents as clothing, a dress specifically, as it needed to be identified for customs purposes.  All I could think was, "this must be a really small dress!"  Or not a dress, obviously...

  In fact, 5 Million “E-packet” packages come from China and South Korea every month. Wow!

US Customs is, of course, present for cargo inspections and not only are agents walking around the floor to check and even open up questionable mail, Customs likewise has its own dedicated and restricted space for conducting larger inspections on flagged shipments.  

Regarding mail destined for foreign locales, i.e., exports, they arrive into the “Business Mail Entry Unit,” where commercial shipments have been delivered by bulk mail providers like “Asendia,” and the mail gets sorted and then assigned to a flight.  Air carriage services include their International Surface Air Lift (ISAL) option, which delivers within 7 to 11 business days, the International Priority Air Lift (IPA) option, which delivers in 4 to 7 business days, or an Express Air option which delivers in 3 to 5 business days and has a “time-definite” delivery to certain countries.  

 It should be noted however, that as not every foreign country has the infrastructure or capabilities to have this capacity, the time definite delivery cannot be offered to all destinations.

 The packages themselves are sorted by destination country and where the volume is very high, such as exports to Canada, a special section designated specifically for that country is demarcated.  With 3 working shifts a day, mail is kept moving 24 hours per day amounting to roughly 3 to 4 trailers of IPA and ISAL mail that gets exported daily.

While packages get placed onto various air carriers, 99% of air exports travel on a FedEX airplane, with whom USPS has service contracts and to which they are FedEx’s largest customer.

For more information on exports or imports with USPS, contact Mr. Kenyatta Adams of the US Postal Service at Kenyatta.A.Adams@usps.gov .

Questions/comments?  Post below or email me at clark.deanna@gmail.com

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On Twitter @fashcompliance

AGOA Eligible Countries Keep Benefiting Despite GSP Lapse

Even during the present lapse in the Generalized System of Preferences (GSP), US Customs clarified for the trade community today that GSP-eligible imports from African countries eligible under the African Growth and Opportunity Act (AGOA) continue to benefit from GSP.

As currently legislated, the AGOA remains in effect through September 30, 2015.

Special program indicators (SPIs) denoted by a letter are shown on the Harmonized Tariff Schedule of the US (HTSUS) to indicate under which special program a product may apply.

The overwhelming majority of AGOA-eligible tariff items in the HTSUS indicate one of three GSP SPIs, namely “A,” “A*” or “A+,” and not the AGOA’s SPI “D.”

US Customs requires that the AGOA claim be made on these GSP-eligible tariff items by prefacing the HTSUS number with the SPI “A.”

To receive AGOA preference for eligible goods on a tariff item with the SPI “A,” “A*” or “A+” in the “Special” column of the HTSUS (and not “D”), importers should transmit the entry summary with the SPI “A” and without duty.

For further clarification please refer to the AGOA regulations, 19 CFR 10.178a, and the GSP regulations, 19 CFR 10.171-178.

Questions about this may be directed to the Trade Agreements Branch at FTA@dhs.gov or to myself by posting below or emailing me at clark.deanna@gmail.com

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Looking Good, Serving a Purpose, and Increasing International Trade?

Today marks the launch of the Winter Collection by Warby Parker, including this “Talbot” frame, which I just love!

Our friends at Warby Parker invited us to share the launch of their Winter Collection and we are happy to do so!  For those of you who didn’t know, they have already distributed over 1 million pairs of glasses to people in need all over the world, which is made possible whenever a pair of glasses is purchased.

Founded with a rebellious spirit and lofty objective, Warby Parker offers designer eyewear at a revolutionary price, while leading the way for socially conscious businesses.

Available today online and in stores, you can pick up your own pair starting at just $95 here, and remember, when you buy a pair, they make eyeglasses accessible to others in need around the world.  Check out their story and their products at www.warbyparker.com!

Questions or comments? Post below or email me at clark.deanna@gmail.com

Keep up with me at www.fashioncompliance.com or:

On Facebook at www.facebook.com/FashionCompliance

On Twitter @fashcompliance

Want to Serve on a New Trade Advisory Committee to Africa?

A call for applications has been made for a team of advisors to facilitate the goals and objectives of the African Growth and Opportunity Act (AGOA) and to maintain ongoing discussions with African trade and agricultural ministries and private sector organizations on issues of mutual concern, including regional and international trade concerns and World Trade Organization issues.

The group is being convened in order to ensure that U.S. trade policy and trade negotiation objectives adequately reflect U.S. commercial and economic interests. To this end, the President is seeking information and advice from representative elements of the private sector and the non-Federal governmental sector with respect to:

(A) Negotiating objectives and bargaining positions before entering into a trade agreement under Title I of the Trade Act of 1974 and section 2103 of the Bipartisan Trade Promotion Authority Act of 2002;

(B) The operation of any trade agreement once entered into, including preparation for dispute settlement panel proceedings to which the United States is a party; and

(C) Other matters arising in connection with the development, implementation, and administration of the trade policy of the United States.

Such committees shall, insofar as is practicable, be representative of all industry, labor, agricultural, service, investment, defense, and other interests, respectively, including small business interests, and shall be organized by the United States Trade Representative and the Secretaries of Commerce, Defense, Labor, Agriculture, the Treasury, or other executive departments, as appropriate.

The members of such committees shall be appointed by the United States Trade Representative in consultation with such Secretaries.

Members serve for a 4 year term without compensation and are responsible for all expenses incurred to attend the meetings.

There is a long list of requirements for being considered an eligible nomination so I recommend you read them here to confirm your ability to be nominated.

Have someone in mind to nominate?  Would you like to nominate yourself?

Submit nominations to Julia Friedman, Attorney-Advisor for the Office of the U.S. Trade Representative's Office of Intergovernmental Affairs and Public Engagement, at iape@ustr.eop.gov. For alternatives to email submission, please contact Julia Friedman at (202) 395-6120.

Have questions or comments? 

Learn more at www.fashioncompliance.com 

Tweet us @fashcompliance on www.twitter.com or

Email us at clark.deanna@gmail.com

EVENT CANCELED - TO BE RESCHEDULED Celebrate NY Fashion Week With This Free Event on Thurs. Sept. 11th 6 PM at 188 Madison Ave. (at 34th St - SIBL Library)

Hope you can come out and join myself and Kenyatta Adams of the USPS 

for a presentation on export success for e-commerce fashion sellers!

No registration is required.  Seating is first come first served.  Doors open at 5:45 pm.  See you there!

Washington DC Gets Ready to Discuss AGOA, Textiles From Africa, and More

On Friday August 1, 2014, the Civil Society of the AGOA Forum will be hosting its own two-day meeting under the theme “AGOA:Re-Authorization beyond 2015.”    Time is running out to register but you still can here.

The purpose of this meeting is to come up with written recommendations for presentation to the Ministerial Session of the African Growth and Opportunity Act (AGOA) during the Africa Summit beginning August 5, 2014.

As described by the AGOA Civil Society Network, the AGOA “is a trade mechanism that was passed by the US Government in 2000 to encourage US-Africa trade.   AGOA currently provides the 40 AGOA-eligible countries with:

-   - Most liberal access to US markets for any country or region without at free trade agreement

-   - Reinforced Africa reform and development efforts, and

-   - Access to US credit and technical expertise.”

Other posts related to AGOA and textiles can be found here.

The Foundation for Democracy in Africa is likewise hosting an event on August 5, 2014 entitled “AGOA CSO Session: 13th US-Africa Trade and Economic Cooperation AGOA Forum.  This event will have a focus on human rights and democratic reform, among other topics.  Tickets are free but registration is required.

Questions or comments? Post below or email me at clark.deanna@gmail.com

Keep up with me at www.fashioncompliance.com or:

On Facebook at www.facebook.com/FashionCompliance

On Twitter @fashcompliance

US Postal Service is Grabbing Market Share Away From Express Couriers

This week I joined the Postal Customer Council for a presentation on the “International Misconceptions of the USPS,” which was presented by my friend, Kenyatta Adams.

While I was aware of changes USPS had been making in terms of increasing international shipments, I was unaware that it has 48% of the U.S. export market and grew 17% between 2011 and 2013.

What’s behind this?  E-Commerce of course, and the increase in wearing apparel sales which typically make for the ideal small and lightweight package.

At the pace the US Postal Service is moving, for small packages going outbound (exports) and inbound (imports) – I’ll explain that in a moment – there will be a lot of “moving and shaking” to keep an eye out for.

Imports have become streamlined thanks to their “Global Direct Entry (GDE) – Inbound” service.  Working with private international logistics providers, they can transport parcels from various foreign countries providing all logistics and brokerage activities.  The package is then handed off to USPS.

The caveat of course, is that shipments involving a certification or other form, such as a Fish and Wildlife declaration form (think, fur products, or a watch with a mother-of-pearl dial) cannot be sent through this type of service, and not all countries are yet a part of this GDE service.  But hey, it’s new and over time, more and more countries will be a part of it.  Currently, there are about 30 participating countries.

The top 3 highlights I learned about are:

1) USPS has International Tracking (yes, they do!), having rolled out “E-DELCON” last year

2) All returns are free for undeliverable packages in international shipping

3) Their service “METROPOST” is a same-day-delivery service in Manhattan and Brooklyn, USPS just has to receive it by 1 pm - this is great news for those of us in NYC!

With their competitive pricing in the 1 ounce to 70 pound packaging niche, not to mention their convenient flat rate envelopes and boxes, which I use, it is definitely not the USPS that it once was.

Questions or comments?

Post below or email me at clark.deanna@gmail.com

Keep up with me at www.fashioncompliance.com or:

On Facebook at www.facebook.com/FashionCompliance

On Twitter @fashcompliance

OWIT-NY Event Tomorrow at 6 PM on E-Commerce in Japan and China

To register and for more details, click here.

Hope to see you there!

Goods of Crimea are of Ukrainian Origin US Customs Reminds Us

The U.S. position on Crimea is clear and this sentiment was echoed throughout the customs community in a country of origin marking message it published on April 23rd that stated that goods originating in Crimea are products of the Ukraine.

This means that for country of origin labeling on any product, including that which is on clothing labels, if it is made in Crimea it is of Ukrainian origin - ONLY.

After reminding us of the law requiring that the English name of the country of origin must be marked, U.S. Customs specifically stated that the:

“Growth, production, or manufacture of a good in Crimea is growth, production, or manufacture of a good in Ukraine.  Goods which are the growth, product, or manufacture of Crimea and other areas of Ukraine should be marked as ‘Product of Ukraine’ or ‘Made in Ukraine’.  If the container of the imported good is marked, it may be marked, ‘Contents made in Ukraine’ or words similar in meaning.”

“So what happens if it’s accidentally marked as “Russia” or some other country?” you may be asking yourself?  Pain (in the wallet).  Or at least, a headache for the importer, as goods not correctly marked will also be subject to additional duties of 10% of the final appraised value unless exported or destroyed under Customs supervision prior to liquidation.

So, referendum of not.  Goods of Crimea are of Ukrainian origin.  Period.

Questions/comments?  Post below or email me at clark.deanna@gmail.com

Keep up with me at www.fashioncompliance.com or:

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Application Deadline Approaching for FIT International Trade & Marketing Program Online Degree Program

Have you been considering a career in international trade?  Interested in taking a class with faculty like myself?  Looking for online convenience in a degree program?  Then look no further!

I'm pleased to announce that applications are still being accepted for the online degree by the International Trade & Marketing Dept. (ITM) at the Fashion Institute of Technology (F.I.T.), to which I am a proud faculty member!

More information on the 2 year program and eligibility requirements can be found here.

For more information on the ITM Dept. itself, please go to this link here.

Hope to see you on campus!

Keep up with me at www.fashioncompliance.com or:

On Facebook at www.facebook.com/FashionCompliance

On Twitter @fashcompliance

The Commission on the Status of Women at the U.N.

This week marks the fifty-eighth (58th) session of the Commission on the Status of Women (CSW) which is taking place at the United Nations Headquarters in New York City from March 10 – 21, 2014.

Obviously in the context of fashion and international trade, the role of women is paramount to the industry and the manufacture of wearing apparel.

I had the privilege of attending together with the Hon. Weatherspoon (next to me in photo) a briefing at the U.S. Mission to the United Nations by U.S. delegates to the CSW conference, which included Ambassadors Cousens, Russel and King (center of photo), and Sharon Kotok.

 "Countries where women can reach their full potential are more stable "

On the U.S. agenda, priorities include the adoption of the agreed conclusions from 2013 without any erosion to them (Draft Version).  Other priorities are in 3 specific areas:

1) Gender Based Violence: Includes intimate partner violence and a “national action plan” for women and security – don’t be fooled by the language however, according to a source of mine, while this is called a “national” plan, it does not actually include any plan for U.S. women. (I would love to be corrected on this if it is, in fact, untrue)

2) Women’s Economic Empowerment: Shifting the focus to women as drivers of economic empowerment and agents of change.  Also, to knock down barriers women face, including

• -         A lack of meaningful decision making at every level
• -         Women’s leadership in government
• -         A lack of access to credit
• -         A lack of access to education
• -         Inheritance laws (I witnessed this bias first hand in my own family)
• -         Marriage laws (Luckily, no pressure there!)

3) Adolescent Girls: This looks directly at child marriage and keeping girls in school, since by staying in they are more likely to have economic empowerment and more likely to support their community (as compared to men – not my words)

For more information about the CSW click here.

Questions/comments?  Post below or email me at clark.deanna@gmail.com

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Does a Country With People Who Have Smaller Hands Have a Competitive Advantage in Apparel Manufacturing?

This was one of many thought provoking questions that came up during my recent discussion with Mr. Theo Samuels-Hunt, a Senior International Trade Specialist at the U.S. Department of Commerce based in Philadelphia.

According to a source of his that did substantive training of the Chinese many decades ago in sewing and textile manufacturing,

“You can train anyone to sew but if you do not have an innate physical ability, e.g., smaller hands to do more delicate work, that work cannot be done.”

And apparently, the Chinese and Italians have smaller hands according to source, which enable them to do more detailed work, as would someone from Ethiopia or Somalia.

Interesting…

Other less anecdotal but equally interesting comments shared revolved around the many benefits for exporters who use his office.

Generally speaking, he works with companies to help them learn how to export and to find foreign buyers in overseas markets.  This typically means working with the overseas commercial officers in U.S. embassies who know the “movers and shakers” in the local foreign market and can therefore identify those companies that could be a “match” for the U.S. supplier looking to sell there.

U.S. manufacturers are eligible for his assistance when they have at least 50% of the value of their content as originating from the United States. 

50% does not mean that 50% of the raw materials of the product must originate from the U.S. but rather, this 50%+ figure takes into account the value of other variables that contribute to a product such as it’s

- Research and design

- Intellectual Property

- Marketing

Theo is in the “Textile, Apparel and Sports” team in his office which means he works particularly close with companies in these areas and in particular, those dealing in industrial textiles, which would include yarns and fabrics for articles like military garments, architectural fabrics such as for shades and blinds, shoe (leather) companies, automotive and space fabric made goods and even a well-known wedding gown manufacturer.

Interested in learning more about how to export?  Theo can be reached at theo.hunte@trade.gov

Questions/comments?  Post below or email me at clark.deanna@gmail.com

Keep up with me at www.fashioncompliance.com or:

On Facebook at www.facebook.com/FashionCompliance

On Twitter @fashcompliance

Careers in International Trade Event March 20th 2:00 - 3:30 PM at SIBL

For anyone interested in the critical intersection between international trade and fashion law, this free event in NYC not to be missed!

Questions/comments?  Post below or email me at Clark.Deanna@gmail.com

Keep up with my at www.fashioncompliance.com

On Twitter @fashcompliance, and on Facebook at www.facebook.com/FashionCompliance

Substance + Style: Reflections on New York Fashion Week and the Impact on International Trade

As I reflect on the close of New York Fashion Week, one word comes to mind in particular: SUBSTANCE.

Not only did LAUNCH NYC have a week of "Made in New York" fashion, but Mercedes-Benz Fashion Week likewise had B Michael America which shared the parallel manufacture-in-America focus as LAUNCH NYC.

LAUNCH NYC further showcased emerging brands focused on Zero Waste, such as that of Tabii Just and Simply Natural Clothing.

With so much textile waste generated in clothing manufacturing, it's refreshing to see the industry, albeit on an uber-small scale, is finally paying attention to something so obvious (yet ignored by) those familiar with apparel manufacturing.

So what does all this mean for international trade?

Will we see a decrease in imports? Doubtful. At least not anytime soon as Americans remain consummately unconscious about their addiction to consumption.


Exports however, of American apparel should steadily increase as the popularity of "Brand America" in foreign markets strengthens and more Made in USA products can be supplied.

What are your thoughts?

Questions/comments?  Post below or email me at Clark.Deanna@gmail.com

Keep up with my at www.fashioncompliance.com, on Twitter @fashcompliance, and on Facebook at www.facebook.com/FashionCompliance

Bringing a Product to Market with Fashion Compliance

Earlier this week I had the privilege of addressing members of the Pan African Women’s Entrepreneurship Program, commonly known as "AWEP," together with fellow OWIT International (Organization of Women in International Trade) members who joined me as panelists.

Evident from the products in the conference hall and the silence that fell across the room as I began my discussion, many in attendance were involved in the African textiles and wearing apparel industry.

My presentation on Fashion Compliance with respect to proper labeling in order to bring products in to the United States (US) lawfully, and hence, bring a product “to market,” therefore turned out to be of particular interest.

"Why does proper labeling matter?" you may be wondering?

It is important for a few critical reasons.

First, without it, the products you plan to sell in the US may never be authorized for entry into the country for consumption since US federal laws regulate the clothing sold here.

Second, if you want the parties that buy from you to consider you a trusted vendor, your products need to be certified for compliance with US law so that your retail customers can buy from you with confidence.

Last but certainly not least, consumers actually need some of the information, such as how to care for the garment, and with the ultimate purchaser as the end user, every producer of a good wants to keep that final user’s best interests in mind.

The presentation also included some points and "quick math" around the AGOA (African Growth and Opportunity) and how it is actually used, as the US Government - which is currently *shut down* - has done little to educate users on how it can be best taken advantage of.

More articles on the AGOA agreement can be found at the links below:

http://internationaltradeforeverydaypeople.blogspot.com/2011/12/african-fashion-industry-and-agoa.html

http://internationaltradeforeverydaypeople.blogspot.com/2012/08/agoa-third-country-fabric-provision.html

http://internationaltradeforeverydaypeople.blogspot.com/2012/09/agoa-renewal-recommendations-sought-by.html

http://internationaltradeforeverydaypeople.blogspot.com/2012/07/africa-sourcing-and-agoa-extension.html

Questions/comments?  Post below or email me at clark.deanna@gmail.com

 

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Promoting Trade and Investment Opportunities in the African Apparel and Textiles Industry

Last month, fashion forward and culturally relevant designs were showcased at the 2013 runway shows of Africa Fashion Week here in New York City. 

Having attended the show, I was dazzled and impressed with the creativity and detail of pieces by designers like Aliakim, Demstiks by Reuben Reul, Moroccan Caftan NY, and Ms. Ray Couture, all of whose designs are shown in the images below.

Cotton was present in many of the pieces shown on the runway, and turning to comments made by Rajeev Arora, Executive Director of the African Cotton and Textile Industries Federation (ACTIF), in the recent article “Changing Perceptions Toward Modern Africa,” published in Cotton Africa and found here, offers some perspective into the current state of the African market.

“Currently, the demand for fabric in the Sub-Sahara African market far exceeds the present production and supply. Considering the economic cost in sending African cotton to Asia for processing into fabric before shipping it back to Africa to be cut and sewn into garments, ACTIF is playing a key role in cutting this cost by ensuring that the fabric is fully produced adequately in Africa.

This calls for urgency in exploring the opportunities for investing in weaving, spinning, dyeing, and finishing in the region.  In line with this achievement, African governments should be taking initiatives in creating investment-friendly regimes as currently being witnessed in the case of Ethiopia. Also there has been a remarkable increase in support by international organizations such as Business Advocacy Fund that approved its support to ACTIF in carrying out AGOA [African Growth and Opportunity Act] outreach programs.

 Other international organizations, such as Innovations for Poverty Action (IPA) are also actively conducting studies on how to improve various industrial sectors including the Textile and Garment sector across Africa. 

Given the current stake, I would like to urge all stakeholders in the cotton value chain as well as supporting partners in Africa to support ACTIF’s initiatives as it represents the interests of the CTA value chain of Africa to the international market, as a viable competitor.”

And indeed, rumor has it that already here in the U.S., behind-the-scenes activities are taking place in an effort to have the AGOA agreement extended well before its 2015 expiration.

Have you heard anything about this as well?

Questions/comments?  Post below or email me at clark.deanna@gmail.com

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