Imports to the U.S. From Central America on the Rise
Central American apparel factories were on the rebound, with the region reporting an overall 12 percent increase in exports of apparel and textiles in 2010 to the United States.
About 95 percent of all apparel made in Central America ends up in the United States, but when U.S. consumers cut back on spending in 2009, Central American clothing factories took a big hit.
Apparel exports were up a hefty 15 percent in Honduras, the eighth-largest supplier of apparel to the U.S. market, in the 12 months ending Nov. 30, 2010. The total was $2.36 billion.
Honduras has been home to big-name T-shirt makers such as Gildan Activewear and is the biggest cotton-sock supplier to the U.S. market. The country was embroiled in a political crisis in 2009 when then-President Manuel Zelaya was ousted and sought refuge in Costa Rica. He later returned to seek exile in the Brazilian embassy. A new president, Porfirio Lobo, was elected in late 2009. Zelaya is now living in the Dominican Republic.
In Nicaragua, which is a relative newcomer to the apparel industry, exports to the United States climbed 12.3 percent to $1 billion. According to Dean Garcia, executive director of the trade group Anitec, Nicaragua was able to regain its foothold in the market by offering new products. Garcia said the industry expects to see employment grow from 72,000 workers to 75,000 workers this year.
El Salvador, another major apparel hub, saw its apparel and textile exports jump nearly 25 percent last year to $1.65 billion.
Guatemala is also seeing a resurgence in an apparel industry dominated primarily by T-shirt factories that supply retailers such as Wal-Mart, Target and Kohl’s. Apparel exports were up 5.65 percent for the 12 months ending Nov. 30, 2010, to $1.13 billion. Guatemala is home to one of the largest blue-jeans factories in Central America—Denimatrix.—Deborah Belgum
