ImagesMagUK_March_2021

www.images-magazine.com MARCH 2021 images 27 MARKET INTELLIGENCE C ongestion at UK ports and a shortage of empty shipping containers in Asia has led to a large increase in shipping costs and delayed shipments over recent months. “We are aware that there are a number of supply chain challenges across all sectors at the moment as the effects of the Covid-19 pandemic continue to be felt around the world. This is impacting both factory capacity in some sourcing markets and, as more widely publicised, freight availability and cost,” says Matthew Easter, co- chair of the Schoolwear Association. Those supplying the schoolwear sector have – like everyone importing garments to the UK – been facing volatile shipping costs since the end of last year, as well as delays due to the ending of the Brexit transition period on 1 January. Joel Chadwick of Chadwick Textiles admits that “issues at the ports and shipping costs in general will force up prices during the course of the year for some, even though most will be reluctant to do so given the difficult 12 months it’s been for all”. However, he believes that if the shipping issues level off by spring then suppliers may be able to absorb the extra costs. The great hope is that the Chinese New Year, which took place in February and is a time when factories in China traditionally shut down for an extended period, will have allowed the global shipping industry to recalibrate. However, Matthew, The state of the schoolwear sector Port congestion, increased shipping costs and shut schools – it’s been a tough 12 months for the schoolwear sector. Images talks to industry insiders about what decorators should expect in 2021 – and finds a great deal of optimism to the availability of stock and at what price should be no issue.” Interestingly, Joel reports the company has seen “unexpected surges in demand” over the past 12 months for certain products; when schools emerged from the first lockdown, for example, many wanted additional PE kit, as well as leggings and trackpants, rather than more formal uniforms. For schoolwear shops wondering what the future holds given the most recent lockdown and the uncertainty over school reopening dates, Matthew Easter is upbeat. The reopening of Scottish schools at the end of February, the hope for a similar pattern for the rest of the UK, and the reduction in coronavirus infection rates has allowed him to “remain very positive that the situation for the schoolwear industry will start to look brighter in the next couple of months and ‘back to school’ will follow as normal. As a result, my advice to schoolwear retailers is that you should plan for this eventuality and make sure your businesses are stocked and prepared for the summer.” Communication, trust and flexibility between schoolwear brands and decorators is key to a smooth back- to-school period in September. As Simon of Gymphlex points out: “There is no doubt that it has been a very difficult time, and still is. Of course, we all hope that life can return to normal as soon as possible, but until that happens, keeping clear lines of communication is crucial.” who is also managing director of schoolwear supplier Trutex, warns that, while he is hopeful the Chinese New Year break will help shipping lines in resolving this issue, “realistically I expect the situation will not look vastly different until at least Q3 this year”. Simon Ward, group sales director at Gymphlex and Grahame Gardner, adds: “As well as the changes brought about by Brexit, another reason for ‘port congestion’ is that the ports and customs are having to operate with social distancing and therefore may be working with reduced staffing levels. That being the case, once the worst of the pandemic is over and life begins to return to normal then, hopefully, we will see improvements.” Lockdown lessons Despite the concerns over costs, delays have been kept to a minimum so far thanks to forward planning by the schoolwear brands. Carrie Hamer, marketing manager at Rowlinson Knitwear, reports: “Since the beginning of the pandemic and knowing that Brexit was on the horizon, we’d anticipated possible delays to the supply of goods and have done all we could to plan ahead for this.” As Joel points out: “The vast majority of schoolwear is produced offshore these days so all suppliers have to plan ahead as a matter of course to ensure continuity and availability of supply, so offering customers a clear short/medium position as