Lao silk traders lose out to imitation products from China
Lao silk traders lose out to imitation products from China
Sales of silk skirts and other textiles made in Laos have fallen in the first three months of this year due to a flood of similarly designed skirts from China that are much cheaper than those made in Laos.
“Vendors of silk skirts and textiles produced in Laos said sales were down 40 percent, a sharp increase on last year's drop of 25 percent over the same period,” an official of the Lao Handicraft Association said on Tuesday.
Sales of Lao-made silk products began to decline in 2013 when the domestic economy slowed. “With lower purchasing power, Lao women started to think twice about paying high prices for their traditional silk skirts,” the association official said.
The owner of Lao Silk, Ms Mork, said traders and vendors had discussed the matter with the association that represented them and had been trying for a year or two to resolve the problem but had failed to do so.
The skirts that are made in China are widely on sale in Laos and are much cheaper than Lao silk skirts and textiles which are made by hand using intricate weaving methods.
A Chinese-made skirt costs about 50,000 kip, which is an attractive price for women earning an average income. But this price greatly undercuts the cost of a hand-woven silk skirt, and has seen Lao silk textile traders as well as weavers lose business.
Some traders are even giving up the business as their sales have continued to decline.
Ms Mork hopes the authorities concerned will ban the import of imitation Lao-style skirts. Although they are cheap, the skirts are of low quality and made of synthetic material.
Just as weaving was enjoying a resurgence in some provinces, weavers and traders are being hard hit by Chinese competition. The imported skirts also reflect poorly on Laos if tourists purchase them as souvenirs.
Traders say the association that represents them should identify ways to help silk textile traders to access overseas markets. They say the association should not limit its contacts to wholesalers and traders who are already well known in the industry and send only them to attend fairs in other countries.
Overseas contacts would give silk traders another avenue for the sale of their products and enable them to survive the onslaught of cheap Chinese goods at home.
However, some traders are quietly optimistic that sales may pick up this year if the economy improves and are also hoping that increasing Asean integration will provide more sales opportunities.
