For over many years, the fabric and garment industry has seen both organized and unorganized modes of functioning. Wherein for the Fabric industry the classification is done as Mill Made(Organised) and Non Mill Made(Unorganised) sector.
The major input for every garment factory is the Fabric they buy, and forms 50-60% of the total cost. Effectively the Quality, Delivery Date and Reliability of the fabric can become the single biggest factor in deciding the fate of the garment factory.
Due to the growth of the Organised Retail Industry, the challenges like Timely deliveries, “First time Right” quality, controlled Quantity variation, and rising Consumer Expectations with negative feedback on the social media due to poor quality of the garment, it is getting important to build up a Reliable and Compliant value chain, which can support the industry. Despite the fact that the distinction between the Mill and Non-Mill category has been there for long, currently due to the rising expectations of the industry, the Fabric supply chain is also being forced to work in an organised manner.
The industry is realising that the sweetness of low pricing offered by the Non Mill category lasts lesser, compared to the long term pain it can cause through cancelled shipments, rejections, productivity loss and turmoil throughout the system.
For a better understanding of this, we have tried to draw a clear comparison of expectations you should have between Mill Made and Non Mill made fabrics in the table below :
|S.No.||Factors||Mill Made Fabrics||Non Mill made Fabrics|
|1||Infrastructure||Generally the mills are Vertically integrated with in-house capabilities of Weaving, Knitting, Dyeing and Processing, Inspections and Testing, etc.||The Non Mill category relies entirely on Job working, and processes are outsourced to various low cost vendors. In many cases they are just traders, having no setup of their own.|
|2||New Developments||Continuous New developments are done to stay at the forefront of fashion, which helps to create differentiation in the garments range.||Fabrics which have become Commodities, are handled by the Non Mills. They do not focus on new fabric development, and lack any differentiation.|
|3||Lead Time guarantee||Committed Lead time. We accept Auto debit after 15 days of delay, Air shipment of fabric if required, as per the policy.||Suitable care is taken on meeting the Delivery dates, but extensions in case of any delays might be required.|
|4||Inspection||100% inspection is done as per American 4 point system, and reports can be provided if required.||Part inspection is done by the factory. Fabric can be replaced if found defective, but no further responsibility.|
|5||Approvals||In case of Nomination orders – all approvals on quality, colour/ lab dips, testing, timeline, taken by the fabric supplier.||Garment factory needs to take all approvals at their end, and fabric supplier is not accountable to the brand.|
|6||Quality Vs. Cost||Mill will not do any cost cutting in Greige, Dyeing and processing, Inspection, etc. to maintain stable product , as their reputation is at stake. High quality standards will be maintained in every order.||It’s a continuous cost cutting model, in which the lowest cost supplier wins. “Best Quality at Lowest Cost” is an oxymoron. Cost cutting at yarn, greige, dyeing and inspection is the rule of the game which impacts the final quality. Quality is adjusted to meet the Target price expectations, compromising quality every time. Commercially acceptable quality should be expected, with possibility of variations. To be controlled by garment factory before cutting.|
|7||Garment Factory Efficiency||Improves the garment factory efficiencies, reduces quality related issues and rejections, better planning and execution of the factory resources, Reduces overall cost of operations.||Approvals and quality checks at every stage required to control quality, Delays in garment production, Inefficiencies and Low productivity in the factory, Increased unplanned costs, etc.|
|8||Customisation||Buyer specific orders are easy to process, to match colour, quantity, lead time, handfeel, finish, etc., requirements.||It is suitable for the stock and sell model, to choose from what is ready. Generally factories do not entertain small quantities, and do not have attention to detail. That’s why it’s called “Run of The Mill“. Colour, quantity, handfeel, time, variations are not taken seriously. This may be suitable for a wholesale unorganised business, but not for the organised trade.|
|9||Import Declaration (for imported fabrics)||Imports are fully declared with respect to Value, HSN, Quantity, etc. and is a compliant and dependable model. You get a proper invoice, for every shipment. Ensures timely delivery.||Imports procedures are manipulated by the trade, and that may cause Delay in customs release, additional import duty in case of which the importer might ask for additional charge/ cancel the order. Value and HSN of fabric might not match as per the order. It is a financial crime by the importer, which might land his buyers also in trouble.|
|10||Responsibility||Responsible, Dedicated and committed supply chain. Suitable for Nomination and Brand business.||Semi organized, trader driven business, who find the lowest cost solutions, not concentrating on the reliability aspects. Suitable for Wholesale trade.|
|11||Expectation||Get what you need, with Peace of Mind||Pray to get what you have ordered, with continuous turmoil.|
So wherein the Mills work as Partners with the garment brands and factories, the Non Mills are still having the limited expectations offered Suppliers.
We at Positex have been striving to get you the best in Fabrics & Fashion, since our inception in 2005, as Pashupati Overseas LLP. Specialising in the field of fabrics for Sportswear, Jackets and Outdoor wear we have a good understanding of your emerging requirements.