“We will try to manufacture in Romania, as well, this year,” says Philippe Besadoux, the executive who has been running the local business of the group since 2009.
Most of the production is currently done in the Far East and Bangladesh. Romania has very good factories, which only work for top brands, not for mass-market ones, he added. The brands in the group Besadoux runs are mass-market brands for average income customers.
Romania has been and continues to be one of the most important actors in the world’s textile manufacturing business, because of its cheap labor (average wage is EUR250, 30% below the national average), its geographic location and its highly skilled workforce. Textile, clothing and footwear are among Romania’s main exports, after cars and car parts, contributing more than EUR5 billion to the country’s overall exports of EUR54 billion. Clothes labeled Dolce&Gabbana, Burberry, Zara and H&M and the Ara and Rieker shoes account for about 10% of Romania’s exports.
The operator of the group of three brands – KVL by Kenvelo, Lee Cooper and Timeout, Montecristo Retail Ro ended last year with EUR39 million sales, up 23% on 2014, and 93 stores. It set out to open ten stores and boost sales by 10% to 15% this year.
(English version by Loredana Fratila-Cristescu)