How to Find The Right Custom Clothing Manufacturer For Fashion Startups

How to Find The Right Custom Clothing Manufacturer For Fashion Startups

As per a study conducted by Statistic Brain, around 47% of fashion start-up brands fail within the first four years. Why? Starting a fashion brand is one thing; making it a success is another. Budget, idea execution, and especially the tough market are some of the reasons why most startups struggle to stretch their operations and keep serving their customers.

In all scenarios, finding the right custom clothing manufacturer is also an issue that bottlenecks the success and growth of many. The reality is that this one factor is a key that can turn your ideas into reality, which could be tempting for your audiences. Therefore, settle with the best custom clothing manufacturer to set your brand up for success.

In this guide, we will walk you through the process of finding and evaluating the ideal clothing manufacturer.

Key Takeaways

  • A custom clothing manufacturer is very important for startups dealing in fashion and clothing, as they turn your unique ideas into reality.
  • A custom clothing manufacturer offers various specialized services to cater to your unique needs.
  • Always choose the manufacturer whose services align with your needs.
  • Explore networking, forums, online searches (with caution), and trade shows to find the best clothing manufacturers for your startup.
  • Always partner with a manufacturer who is startup-friendly.

Who Are Custom Clothing Manufacturers?

Custom clothing manufacturers are companies that create customized clothes as per what is preferred by customers. They design, produce, and deliver clothes, and their specializations can range from sportswear to general clothing.

Also, as a startup looking for custom clothing manufacturers, there are both business-focused and consumer-focused manufacturers that you should be well aware of to make a wiser choice.

Also Read: Challenges In Apparel & Fashion Industry Supply Chain

Find The Perfect Fit For “YOUR” Business

Simply following the “let’s go with the best ” rule won’t be a good approach to settling with a manufacturer you would like to partner with for your business needs.

Remember, what’s good for them doesn’t necessarily mean it’s good for you too. Your clothing business can have unique needs and targets; therefore, you will have to be picky and considerate while narrowing down your choices.

Your Checklist For The Ideal Custom Clothing Manufacturer

Go through the checklist below to find the ideal custom clothing manufacture:

Specialization Assurance: Make sure that the manufacturer you wish to partner with specializes in the products you intend to create. That way, you get superior craftsmanship, which further leads to keeping your customers happy.

Communication Consistency: Always confirm from the potential partner that you’ll have a consistent communication process with a dedicated team member throughout the production process to ensure clear and effective communication. It reduces the chances of misunderstandings and errors.

Transparent Outsourcing: If the manufacturer you choose to work with involves outsourcing, make sure they are transparent and upfront about it. You need to know about the external partners working on your products to make sure the quality doesn’t get hampered.

Start-Up Collaboration: Partner with a clothing manufacturer who has worked with start-ups and small brands who are up for taking risk on a startup. This indicates their willingness to invest in your growth and potentially become a long-term partner.

Location Consideration: When you are on the hunt to find the ideal custom clothing manufacturer for your business, the location also matters. If you want to work with a local supplier, the choices are vast. And, if international shipping works for you, there’s a wide array of qualified manufacturers to explore.

Price Consideration: This one definitely goes without saying. Is a low price your priority? Are you willing to pay more for the best quality? For everything, the pricing factor holds so much importance.

Where to Find Clothing Manufacturers for Startups

Here are the four best ways to find clothing manufacturers for startups:

Networking & Connection

There’s nothing better than two people in the same niche sharing valuable connections that lead to sharing resources freely. When you share your insights and needs with the other party, they might have better suggestions for a reliable clothing manufacturer. Foster a supportive community, and you get the unexpected.

Forums

There are so many online forums and platforms that connect you with like-minded individuals where people share their information, stories, and experiences. You can also find information and recommendations for your business like custom clothing manufacturers.

Search Online (Google Preferably)

You can search for a vast pool of custom clothing manufacturers online through Google. But remember, let the online source just be the initial point of contact, and you must be careful not to make the deals online. The information provided could be unreliable, and you must have a personal follow-up and evaluation for a better understanding.

Trade Shows

For startups in search of good Custom clothing manufacturers, trade shows are an option. Trade shows provide a dedicated environment for interaction with industry experts, industry insights, and other information that you might need.

Also Read: Women’s Apparel Industry Trends: Useful Insights for 2023

Avoid Extremes In Partnering With a Clothing Manufacturer

Find the mid way while you choose a clothing manufacturer for your business, especially if you are a startup.

Big Manufacturer? No

If you are just beginning, your chase to work with the major players in the industry is not right, even with no investment crunch. These big factories prefer to work with and prioritize major clients. As a startup, you may be pushed to the bottom. Also, for a small business with a small team, working with a major player can be tough for you as well.

Small Manufacturer? No

There are so many manufacturers who mainly work with startups but have high costs and less expertise. They might lack the resources and expertise to provide you with the solutions your business needs.

The Zoglix Advantage

At Zoglix, we have clothing manufacturers dealing in a wide range of clothes, from basic t-shirts to denim, kids wear, women’s Apparel, and high-fashion clothes. We understand the importance of unique styling and, therefore, cater to businesses with custom needs. All the manufacturers here are skilled and have the required expertise to meet your custom clothing needs in the most efficient way.

How to Choose The Right Backpack Wholesaler For Your Business

How to Choose The Right Backpack Wholesaler For Your Business

The backpack market was worth around $14.6 billion in 2021. It’s expected to increase from $15.9 billion in 2022 to about $31.4 billion by 2030. This growth is at a rate of about 8.96% per year from 2023 to 2030.

Clearly, it’s a competitive and viable industry to get into. For success, retailers and businesses know that finding the right wholesale supplier can make or break their venture. Therefore, choosing the right backpack wholesaler is essential, as it can influence the quality, diversity, and cost-effectiveness of the products offered.

Here, in this article, discover how to choose the right backpack wholesaler.

Key Takeaways

  • Before you start finding the right backpack wholesaler for your business, it’s very important to evaluate your own needs to narrow down the best options.
  • The backpack quality that the provider offers is of paramount importance to winning over customers.
  • To cater to a wider audience, stock up on backpack varieties with different designs, sizes, colors, and functionalities.
  • Choose a wholesaler that offers flexible Minimum Order Quantities (MOQs) that match your business needs.

Choosing a Backpack Supplier: Key Points To Consider

When choosing a backpack supplier, there are some key points you need to consider to make an informed decision and provide your consumers with high-quality and amazing options.

Access Your Needs

Before you start your search of finding the right backpack manufacturer, it’s very crucial that you are sorted with what you want as a business. What types of backpacks do you need, quality, quantity, colors, and everything. It will help you narrow down your list.

Quality Check

When looking for options for a reliable backpack wholesaler, your number one consideration should be the quality they provide. Settle with suppliers that deal in high-quality, well-made, and long-lasting backpacks that will help you build a long-lasting relationship with your customers.


Variety & Styles

To attract a broader customer base, variety is the key. Stock up with varieties so you can cater to customers with different tastes and needs. Choose a variety of designs, sizes, colors, and functionalities.

Flexible Minimum Order Quantity

Backpack wholesalers you look forward to partnering with should have a flexible MOQ. Why? The MOQ needs to match your requirements. This way, you can manage inventory successfully. There won’t be a risk of insufficient stock for the supply.

Customized Backpacks

It’s very important that you check whether the wholesaler provides customization options or not. Creating your own unique brand identity with custom logos and printing can eventually give you an edge over your counterparts. This personal touch in your branding creates a lasting customer experience.

Reputation & Credibility

Here comes the last, yet the most important one. Before you make a decision, check the wholesaler’s reputation and credibility. Prepare a list of some of the wholesalers with a good market reputation and positive feedback from customers. Go through the reviews and testimonials to seal the best deal on backpacks for your business.

Also Read: How Sourcing From India Can Benefit Foreign Businesses

The Backpack Wholesaler Evaluation Guide

When purchasing backpacks in bulk, your process of evaluating the wholesaler should be foolproof. From quality, price, and customer service to everything else, assess your potential partner by following the guidelines below:

Analyze Samples

Request samples so you can physically check the quality of the products and see if they align with the standards you are looking for in backpacks. This quality check is essential to getting good products and serving your customers with the best.

Evaluate Pricing and Terms

Always make sure that you are evaluating the pricing and terms of different potential companies to lock in the best deal in the market. Check for the prices, bulk order discounts, terms of payment, return policy, shipping policies, etc. Make sure that everything aligns with your budget.

After Sale Services

Be well aware of the after-sale responsiveness of the company so they can better guide you in case of any unfortunate conditions or dealings. It’s a very important aspect to evaluate for seamless business dealings between two parties.

Evaluate Shipping and Delivery Charges

For customer satisfaction and meeting their demands on time, it’s very important to have smooth shipping and quick delivery times to ensure faster order processing and smooth business operations.

Long-Term Partnership Potential

When you select a wholesaler, always consider what the possibilities of long-term partnerships are. Why? Because a long-term relationship could eventually mean some better deals, good terms, discounts, and so on.

Buy Backpack in Bulk From The Right Wholesalers From Zoglix

Zoglix is your reliable partner with top-rated backpack manufacturers listed from India to stock up on quality products. We connect you with some of the most known and reputed manufacturers and suppliers who offer a plethora of backpacks to meet your demands.

Here, the sourcing process is absolutely seamless, with other advantages to help you source the best from the best. By partnering with us, you can get your hands on a wide range of backpack styles, including school backpacks, hiking backpacks, laptop backpacks, travel backpacks, and more.

Also Read: Exploring the Cost Benefits of Sourcing from India

Final Words

In the current backpack market that’s booming, find the right backpack wholesaler to lead your way towards success. Start with evaluating your own needs, quality check, MOQ flexibility, price, shipping charges, and other factors. For quality and variety, partner with Zoglix, connecting you with top-rated backpack manufacturers for a seamless sourcing experience.

Until Kingdom Comes: The Story of Friends shoring

Until Kingdom Comes: The Story of Friends shoring

In the grand theater of business and globalization, where trends take the stage and redefine entire industries, there’s a new kid on the block: “friendshoring.” Think of it as the trendsetter of collaborative alliances, where the United States and India have decided to throw a joint party that’s shaking up the conventional norms of outsourcing. It’s like a power-packed duo that’s breaking barriers and leaving a mark that’s anything but ordinary. Apple’s strategic move to shift a chunk of its manufacturing from China to India has begun to unravel some exciting outcomes. Just last year, the production of iPhones in India skyrocketed threefold, making it a real game-changer. This shift isn’t just an upgrade; it’s a makeover of India’s reputation as a global manufacturing hub. The icing on the cake? A high-profile rendezvous between Apple’s CEO, Tim Cook, and India’s Prime Minister Narendra Modi, painting a picture of even deeper synergies on the horizon.

As of now, a mere 5% of Apple’s product manufacturing resides outside China’s borders. However, a glimpse into the crystal ball, courtesy of JP Morgan’s recent analysis, hints at a potential increase to a whopping 25% by 2025, as boldly stated by Reuters. With the ties between these two global giants tightening, the stage is set for an encore of innovation, economic growth, and tech wizardry.

Now, let’s take a plunge into the intriguing realm of friendshoring. Imagine it as a grand diplomatic dance-off, where countries are waltzing with the winds of shared values and ambitions. Picture this: the US, decked out in its policy finest, is on a mission to woo the components and raw materials from nations that share a mutual nod. Janet Yellen, US Treasury Secretary, plays the tune of diversity, saying inn context that why bet it all on one horse? Let’s diversify our suppliers’ stable! It’s like business diplomacy with a dash of global charm.

Speaking of charm, enter the dynamic duo of the United States and India. India, with its talent-rich workforce, shines as a tech superstar. Its IT realm, brimming with software wizards, data maestros, and engineering virtuosos, has won hearts globally. And let’s not forget the ‘Make in India’ initiative, a cornerstone in India’s quest to become a global manufacturing and innovation hub.

In the other corner, we have the United States, decked out in its economic glory. Armed with resources, a robust financial market, and a knack for nurturing innovative giants, the US is like a business buffet, offering a little bit of everything. This synergy isn’t just a partnership; it’s the symphony of skills and the dance of dollars that’s reshaping the international business narrative.

But the story doesn’t end there. The International Telecommunication Union (ITU) makes a dazzling entrance, unveiling an innovation center in India. It’s like the opening act of a grand spectacle, with a 6G test bed adding a dash of tech magic. Prime Minister Modi, with trust and scale in his arsenal, raises the curtain on a manufacturing haven. As major telecom equipment players hitch their wagons to the friendshoring train, it’s clear that India is taking center stage in global decisions.

And in the world of manufacturing, India is making some noise. With a playbook that includes Production Linked Incentives (PLIs), India’s making a statement. It’s like a proactive dance-off against challenges, with PLIs as the dance partner that keeps the rhythm alive. Add to that the states’ individual incentives, and you’ve got a symphony of strategies that’s crafting a melody of industrial growth and regional harmony.

The grand finale? The United States is orchestrating a dazzling display through the Partnership for Global Infrastructure and Investment (PGII). With a focus on digital technologies, PGII is like the orchestra conductor of inclusive and resilient growth. From agri-tech marvels to tailored digital payment systems, the spotlight is on transforming industries and rewriting the rules of the game.

As the world embraces friendshoring, we’re not just witnessing collaboration; we’re watching a fusion of ambitions, a blend of cultures, and a concoction of dreams. It’s a story where borders blur, and innovation shines through. It’s not just about reshaping industries; it’s about building bridges, embracing change, and having a hearty laugh while we’re at it.

Guide To Procurement & Sourcing From India: Best Practices

Guide To Procurement & Sourcing From India: Best Practices

Efficient procurement and sourcing are crucial for a business’s development as they are directly linked to its profit and net income. With so many procurement and sourcing companies operating in India with the motive of ensuring that an organization’s internal requirements are delivered on time, they also aim to provide high-quality products to their clients. 

One such reliable procurement and sourcing company in India that has made its mark for its commitment to timely delivery and ensuring high-quality products is Zoglix.

Now let’s understand the right sourcing and procurement practices that will help you climb the ladder of success.

Why Is Sourcing From India Beneficial For Foreign Investors?


The main reasons why sourcing from India is beneficial for foreign investors is: 

  • Low labor costs are the main reason why foreign investors are interested in sourcing from India. It provides a higher ROI, which is favorable for manufacturing companies in the foreign market. 
  • The Government of India has implemented many business-friendly policies, which benefits foreign sectors engaged in business within the country. The introduction of Goods and Services Tax (GST) has been instrumental in enabling efficient tax payment and seamless product movement across the nation.
  • Also, India’s growth in the IT sector from the past few years has been tremendous. Making the best use of the latest technologies, sourcing from India is now an easier and profitable task like never before. 

Best Practices of Procurement & Sourcing From India


To make sure that your entire sourcing and procurement journey from India takes a smooth path, it’s very crucial that you follow best practices as mentioned below. By following these best practices, you can optimize your procurement and sourcing operations from India, maximize value for your business, and build strong, lasting partnerships with reliable suppliers.

1. Do A Proper Market Research

Proper market research involves understanding the suppliers, the competition, the supplier’s capabilities, their reputation, and the products’ needs in the market you are willing to deal in. It all helps you make a wiser choice. 

2. Have The Requirements Clear

Clearly defining procurement requirements is important. Specify product details, quantity, quality standards, delivery timelines, and pricing expectations to find suitable suppliers efficiently.

3. Verify Supplier Credentials

You must always verify the potential supplier’s credentials and legitimacy. Therefore, check their credentials like certifications, license, and also reviews to see if they are reliable. 

4. Quality Assurance is Very Important

Ask for quality assurance processes and certifications from suppliers. Regularly inspect product quality during production and before shipment to ensure consistency.

5. Fair Negotiations

Always negotiate for fair prices in a transparent way. Not only cost but also other factors like quality of the product, lead times, and after-sales service.

6. Build Strong Relationships For Long-Run Benefits

Always build strong relationships with your partner. Communicate regularly with them and have a mutual understanding. This can all lead to better collaboration with the suppliers.

7. Be Mindful of Cultural Differences

When you deal with Indian suppliers, you must be more mindful of the cultural differences that exist. Understand their way of dealing and practice for the right balance in the business agreement.

8. Consider Compliance and Ethical Standards

Ensure supplier compliance with laws, regulations, and ethical sourcing standards for environmental and labor practices. This safeguards your company’s reputation.

9. Keep an Eye on the Market Trend

Keep monitoring the market trends like currency fluctuations, and geopolitical events. As these trends may hamper your sourcing and procurement from India negatively. 

10. Use Technology for Transparency

Leverage procurement technology to enhance transparency and efficiency in the sourcing process. E-procurement platforms and supply chain management tools can streamline operations and provide valuable insights.

Procurement & Sourcing From India: Your Right Partner


An established and trusted procurement and sourcing company like Zoglix follows certain practices that streamline your entire procurement process in India. 

  • The company, with the help of advanced tools, manages resources better and minimizes the chances of faults during the process. All the time-consuming activities like maintaining records, data entry, etc. are done with the help of software that speeds the process and ensures a smooth working flow.
  • The company prepares and follows a strict timeline for the process to take place, which further ensures streamlined communication and a delivery time that is favorable for both parties. 
  • The company prioritizes transparent procurement processes granting suppliers access to necessary documents, facilitating seamless work completion, and resulting in faster processing and cost reduction.
  • As we know how important cost cutting and a streamlined spending process are for businesses now, data-driven insights just make it easy for everyone, from optimizing inventory to delivering data. Companies like Zoglix in India follow best practices to make sure everything runs smoothly on our end and to provide procurement services that are also seamless. 
  • To reduce the risks of delays in the procurement process, 40% of companies adopt a multi-sourcing strategy and focus on building strong supplier relationships. By avoiding dependence on a single supplier, they ensure greater resilience and flexibility in their supply chain operations. At Zoglix, you can connect with endless suppliers to provide goods and services as per your needs and preferences. 

To Conclude

In conclusion, sourcing from India offers benefits like low labor costs and supportive government policies. Follow best practices like research thoroughly, define clear requirements, verify suppliers, ensure quality, negotiate fairly, build strong relationships, respect cultural differences, adhere to compliance standards, monitor market trends, and use technology for transparency. Partnering with companies like Zoglix can streamline the process further. Embrace these practices for successful and efficient procurement from India.

How Sourcing From India Can Benefit Foreign Businesses

How Sourcing From India Can Benefit Foreign Businesses

In the latest landscape of the global economy, Businesses are on the constant lookout for multiple ways to optimize their supply chain and minimize costs. So, when sourcing comes into play, India sourcing is a preferred choice for many on the hunt for competitive advantages. 

Here, we will get into some of the major reasons why sourcing from India can be very beneficial for your businesses operating overseas. Keep reading to unveil something you can get advantage from! 

What Are The Advantages of Sourcing From India For Foreign Countries?


Sourcing from India offers a plethora of benefits for foreign countries. Here are the major ones that can help you boost your business in any part of the world:  

1. India’s Tech Savvy Youth

India can boast of its youth having remarkable technical expertise that can benefit foreign trade to a greater extent. The readily available skilled workforce provides a great opportunity for flexibility and cost efficiency. This benefit means harnessing India’s manufacturing and production expertise to its best in a wide range of products.  

2. Government Policies Driving Growth and Innovation

The Indian Government is very active and thoughtful about the expansion of manufacturing businesses in India. That’s why the “Make in India” campaign fosters innovation and investment to establish cutting-edge infrastructure. It encourages local manufacturing.

Other than this, many other policies like “Ease of Doing Business,” “Industrial Corridor Development Program,” and “National Logistics Policy” have also been seen lately with the mission to make India a prominent global manufacturing hub. This all leads to foreign businesses getting the best advantages possible. 

3. Strategic Location

Located right at the head of the Indian Ocean, the Indian subcontinent enjoys a very strategic location at the crossroads of trans-Indian Ocean routes. It makes an important link with East Asian and Western nations. This strategic geographical location allows foreign businesses to engage in product sourcing from India and effortlessly ship their goods to destinations worldwide. But to streamline this process, these businesses need to collaborate with reliable vendor development services providers. 

Among these, Zoglix stands as a leading player in facilitating seamless product sourcing and supply chain solutions. With a proven track of reliability and efficiency, Zoglix is always ready to empower businesses in navigating the complexities of international trade and maximizing their global reach.

4. India’s Abundance of Natural Resources

It’s a known fact that India is rich in natural resources. Therefore, raw materials like metals, wood, silk, etc. are easily available and at a lower cost. It eventually results in lower costs, allowing you to offer competitive rates to your customers. 

5. Low Labor Cost

When compared with other developed countries, India’s labor costs are extremely low thanks to its growing population. It’s a huge plus for suppliers, as they manufacture goods at a much lower cost. Therefore, foreign businesses can sell at lower prices, which is the backbone of attracting customers. 

6. Trade Agreements With Multiple Nations

India has Free Trade Agreements (FTAs) with more than 13 nations in order to facilitate easy cross-border import and export by reducing or eliminating government tariffs, prohibitions, subsidies, and quotas. The list of countries and regions enjoying trade agreements with India includes:

  • India-Sri Lanka Free Trade Agreement
  • Agreement on the South Asian Free Trade Area (SAFTA)
  • India-Nepal Treaty of Trade
  • India-Bhutan Agreement on Trade, Commerce, and Transit
  • India-South Korea Comprehensive Economic Partnership Agreement (CEPA)
  • India-Japan CEPA
  • India-Malaysia CECA
  • India-Mauritius Comprehensive Economic Cooperation and Partnership Agreement (CECPA)

Other than FTAs, India has also entered into 6 limited coverage Preferential Trade Agreements (PTAs) with various regions:

  • Asia Pacific Trade Agreement (APTA)
  • Global System of Trade Preferences (GSTP)
  • SAARC Preferential Trading Agreement (SAPTA)
  • India-MERCOSUR PTA
  • India-Chile PTA

These agreements strengthen India’s trade relations with other countries. 

Key Considerations for Businesses Sourcing from India


Here are some important things that foreign businesses must keep in mind while sourcing from India:

1. Look For Both Online and Offline Sources

It’s vital that one explores both online and offline sources to close the best deal in the Indian market, from finding the right manufacturers to the right products. It will assist you in dealing with your customers in the proper manner by making available what they actually require. On top of that, it’s the ideal way to find a range of products to expand and add to your current product line. 

2. Check For The Supplier’s Limit

Understanding the supplier’s limit is one of the most important factors to consider when planning to source from India. Why? If your business deals with seasonal products, your product needs will be huge at some point in the year, which one supplier may not be able to fulfill. In that case, you must collaborate with the right supplier to bridge the supply gap. 

3. Ask For The Drop Shipping Service

Drop shipping is a service provided by manufacturers where they directly deliver the goods to the final customers, eliminating the hassle of the company dealing with all the handling and shipping. It’s the best way to make more profits.  

4. Keep Your Backup Plan Ready

Many might take it lightly, but unfavorable situations are always uninvited. There could be incidents where the supplier fails to fulfill your orders due to factors like labor strikes, accidents, financial constraints, and other unforeseen circumstances. In such cases, you should be ready with plan B so your operations don’t get hampered.

To Conclude


Sourcing from India offers numerous benefits for foreign businesses like a skilled workforce, supportive government policies, strategic location, abundant resources, and favorable trade agreements. However, businesses should be mindful of key considerations to make sure of a successful sourcing experience from a favorable country like India. By leveraging India’s strengths and planning for risks, businesses can optimize their supply chains and flourish in the global market.

Breaking Bad – Are we looking at OPEC style battery mineral cartelisation

Breaking Bad – Are we looking at OPEC style battery mineral cartelisation

Back in September 1960, a pivotal moment in the history of oil production unfolded as five oil-producing nations united in Baghdad to establish The Organization of the Petroleum Exporting Countries (OPEC). Their primary motivation stemmed from frustration with the overpowering influence of seven major oil companies on their countries’ oil supplies, leading to a strong push for asserting national sovereignty over natural resources. Nevertheless, the effectiveness of this cartel has faced criticism, with political scientist Jeff Colgan contending that since the 1980s, OPEC has largely fallen short of achieving its intended objectives. Despite its early aspirations, OPEC’s journey has been marked by challenges and complexities that continue to shape the dynamics of global oil markets. Cut to 2022, in the pursuit of a sustainable and greener future, the world is witnessing a transformative shift towards renewable energy sources. As electric vehicles (EVs) gain traction, the demand for battery minerals is set to soar. A crucial component in this paradigm shift, the global EV market is projected to surge at an impressive CAGR of 22% from 2021 to 2025. Among the key battery minerals, lithium stands at the forefront, with its demand anticipated to skyrocket a staggering 42 times by 2040, compared to the levels seen in 2020. However, as the race for battery minerals intensifies, concerns regarding cartelisation in the industry loom large, shaping a landscape where strategic partnerships and responsible sourcing are more critical than ever before.

Emergence of Cartels

The surge in demand for battery minerals has not gone unnoticed by countries rich in these valuable resources. Recognizing the growth opportunities in the battery markets, some nations, such as Argentina, Bolivia, and Chile, which collectively account for 58% of the world’s identified lithium, are engaged in discussions with other producers, envisioning the formation of a global lithium cartel. Similarly, Indonesia, responsible for 38% of global nickel production, is actively developing a proposal to present a cartel initiative to major nickel and cobalt producers. The driving force behind these efforts is the shared objective of gaining greater control over the prices of battery raw materials and the overall supply chain. As the possibility of a cartel takes shape, its potential implications on the global battery industry and the pursuit of sustainable energy solutions come into focus, stirring discussions on the future of battery markets and international collaborations.

Managing the Game

The potential formation of battery material cartels carries far-reaching implications, deeply impacting various aspects of the production and supply dynamics. If materialized, these cartels are expected to wield influence over production rates, pricing structures, purchase negotiations, and supply consistency. Collaborating within the cartel framework would enable producers to adopt superior international production practices, bolstering their productive capabilities. Moreover, through shared technology and knowledge, member companies could enhance supply rates and drive down production costs. However, this concentration of power within the battery mineral producing and processing countries may come at a cost, as it could diminish the negotiation power of buyers, leading to reduced competition and price-fixing agreements that may restrict new entrants in the market. Additionally, cartelisation introduces heightened risks linked to external factors, such as geopolitical relations of trading countries, potentially impacting trade and the overall EV supply chain. Striking a delicate balance between the advantages and challenges posed by these potential cartels will be pivotal in shaping the future of the battery material industry and its contribution to sustainable energy endeavors.

Can it be a reality?

However appealing the idea of an OPEC-like cartel for the energy transition metals may seem, translating it into reality presents numerous challenges. Unlike OPEC’s oil resources, the mining operations responsible for major nickel production, such as those in Indonesia, are predominantly controlled by various private companies or Chinese entities. Furthermore, China’s remarkable standing as the world’s leading EV producer and its control over 58% of global lithium processing capacity, despite having a mere 6% of global identified lithium resources, hold significant implications in the potential formation of a cartel. In this context, any such coalition would inevitably rely on China as a primary customer, endowing the nation with a crucial role in shaping the dynamics and outcomes of such an agreement. These intricate factors underscore the delicate interplay of power and cooperation among nations as they navigate the complex domain of energy transition metals. Moreover, the key players in the nickel market encompass a diverse group of countries with distinct political and market conditions, making it unlikely for them to find common ground and shared interests in forming a cartel. Indonesia stands out as a significant producer of nickel, but the list of nickel-producing countries also includes Russia, Canada, Australia, and the United States, albeit with varying resource capacities and outputs. Thus, the complexities of the global nickel industry and its divergent players make the establishment of a unified cartel a daunting task, raising questions about its feasibility and the practicality of replicating an OPEC-like model in this domain.

Way forward

Category managers in the battery industry play a critical role in mitigating risks and ensuring a resilient supply chain. By being aware of L2 and L3 suppliers and identifying potential risks, they can make informed decisions to safeguard the procurement process. Strategic partnerships with well-suited battery manufacturers can offer significant advantages, while large organizations can strategically plan and negotiate bulk purchases to optimize their supply chain efficiency. Smaller companies, on the other hand, can explore the option of group buying with other buyers to enhance their collective purchasing power. Moreover, diversifying the supplier base emerges as a key strategy for reducing dependency on any single supplier, enhancing flexibility, and fortifying against disruptions. As the battery industry continues to evolve, proactive procurement practices and strategic partnerships will be paramount in shaping a sustainable and resilient future for the electric mobility revolution. By embracing these approaches, businesses can confidently navigate the complex landscape and ensure the uninterrupted flow of battery materials, ultimately propelling the industry toward a greener and more electrifying tomorrow.

9 Creative Home Decor Ideas to Transform Your Living Space

9 Creative Home Decor Ideas to Transform Your Living Space

Transforming your home into a stylish and inviting space doesn’t have to be a daunting task. Your home is your space, which should be a reflection of the people living in it. As simple as that! 

It’s your intimate area to relax, unwind, and make endless memories with your loved ones. It’s an emotional connection that reflects your mood each and every day. So why not make it a space that reflects who you actually are and something that makes you happy? 

If you’re considering making changes in your home that also change its vibe and appeal, let’s dive in.

9 Fresh Home Decor Ideas

Are you looking for fresh, modern, sleek, stylish, classic, contemporary, and home decor ideas that add your character and taste to your space? Well, these 9 creative ideas below will help you revamp your living space with a touch of charm. From stylish cushion covers to eye-catching wall decor, there’s something for every taste here. Be creative with what you choose to add to your house, and the rest is Fabulous! 

1. Elevate Your Style with Stylish Cushion Covers

Cushion covers are always an effective and safe way to change the tone, look, and vibe of your living space. Cushion covers in bold patterns and vibrant colors add a robust and unmatched personality. It brings so much vibrancy and liveliness to the area. 

From bohemian, patterned, embroidered aesthetic, and traditional to the endless options available to you at Zoglix, choose what fits your taste and home decor vision. 

If you want to mix vibes, boldness, and calmness, mix and match your ideas for the most amazing outcome. From warm to cool to peaceful to colorful, revamp your space with cushion covers. The best part? You can change the feel and vibe anytime you feel like it. So easy, what say? 

2. Set the Mood with Creative Candle Holders

For the perfect feel of a cozy haven, nothing can beat the aesthetics that candle holders provide. A classic mix of traditional and modern, candle holders’ vibe in any space is unmatched. Available in multiple shapes and sizes, you can easily incorporate them into your existing home decor without making much change. 

Whether you opt for elegant glass holders or rustic wooden ones, the flickering candlelight will create a warm and inviting atmosphere. Place them on the coffee table, dining table, or them as a showpiece, shelves, and the options are endless. The best part? Candle holders add a subtle touch of romance to any area. Remember to follow safety precautions and never leave candles unattended.

3. Embrace Greenery with Indoor Plants and Stylish Pots

There’s nothing like greenery in your house. Absolutely nothing? The freshness, the vibe, the feeling, the calmness! Introduce plants to your house and level up its aesthetic appeal, along with improved air quality. Choose low-maintenance plants such as succulents or snake plants if you’re new to plant care. If you’re a pro, keep your list ready because Zoglix has some amazing plants and pots you won’t be able to resist buying. 

From multi-planters to single planters, these stylish pots complement your interior design theme. Hanging plants from the ceiling or placing them on shelves will add a unique touch to your space while bringing the outdoors inside.

4. Create a Welcoming Atmosphere with Cozy Rugs

Rugs are a versatile home decor item that can instantly transform the look and feel of a room. From polypropylene mat, plush shaggy rugs to intricately patterned kilims, there is a rug to suit every style and preference. Not only do rugs add warmth and comfort to your space, but they also serve as a visual anchor, defining different areas within a room. Place a rug under your coffee table or dining table to create a cozy and inviting atmosphere.

5. Display Beauty with Elegant Vases

Vases are a classic mix of functionality and aesthetics, which makes them a top choice for many home decorators. They act as beautifully elegant decorative elements that can change any corner of your home. Choose vases in various shapes, sizes, and materials from Zoglix to suit your decor style. 

Opt for minimalist glass vases like metal leaf or fan shapes for a sleek and contemporary look, or go for intricately designed ceramic vases for a touch of traditional elegance. Display them on your console table, mantelpiece, or as a centerpiece on your dining table to instantly elevate the visual appeal of your space.

6. Transform Your Walls with Eye-Catching Wall Decor

Wall decor is a foolproof way to make a statement and add personality to your house. Explore various options such as floral antique wall art, birthday banners, paintings, prints, mirrors, and tapestries to find the perfect pieces that resonate with your style. You can even create different wall spaces with all the creative wall decor you love. Wall decor lets you express your unique style and also makes your space visually more attractive. 

Also, wall decors with some quotes or messages keep the good vibes pouring in. So be as creative and mindful with your ideas, and you will not be disappointed. 

7. Infuse Quirky Charm with Decorative Plaques & Signs

Decorative plaques and signs add a whimsical touch to your home decor. Your freedom to choose them in a wide range of styles and themes allows you to be playful, humorous, and inspirational with your space. Hang them in your entryway, kitchen, or living room to greet guests with a warm and welcoming vibe. From humorous quotes to motivational sayings, plaques and signs are an excellent way to infuse personality into your home.

8. Your Photo Wall

After everything, is your house lacking your personal space? A space which is really close to your heart? Skip the traditional picture frames and opt for a string light photo wall. It’s a unique and creative way to display your favorite photos while adding a cozy ambiance to your space. Hang your prints with string lights for a personalized and dreamy bedroom decor.

9. Add Depth with Decorative Mirrors

Decorative mirrors are a great addition to any home decor theme. Why? They are a mix of practical and aesthetic. Mirrors reflect light, and it makes a space appear brighter and more spacious. They also act as eye-catching decorative pieces that add a touch of elegance and glamor to your interiors.

Choose mirrors with unique frames, intricate designs, or interesting shapes to make a statement on your walls. Plan and place them in your entryway, hallway, or living room to create the illusion of depth and enhance the overall visual appeal of your home.

To Conclude

Transforming your living space into a stylish and inviting space is all about infusing it with your unique personality and taste. With these 8 creative home decor ideas, you can revamp your space and create a home that truly reflects who you are. From stylish cushion covers to eye-catching wall decor, each idea brings its own charm and character to your living space. 

Don’t be afraid to mix and match different elements to create a look that is uniquely yours. With a touch of creativity and a dash of imagination, you can transform your house into a home that brings you joy and happiness every day. So go ahead, let your creativity soar with Zoglix, and make your living space fabulous!

Women’s Apparel Industry Trends: Useful Insights for 2023

Women’s Apparel Industry Trends: Useful Insights for 2023

Clothes in the current landscape, especially after the COVID-19 Pandemc, are influenced by new concepts, ideas, technologies, trends, and the evolution is crazy. 

The evolution of women’s apparel trends is faster and unprecedented like none before. As we step into 2023, the trend game is going all the way back and forth. From runway showcases to consumer preferences, this year promises exciting changes and innovations. The fashion landscape is witnessing a change that’s inviting a mix of feedback and adaptation. 

Now comes the digital influence! The experiments happenings are a mix of crazy and WoW. People are experimenting with bold colors, oversized florals, and intricate lace detailing to create standout pieces. Moreover, there’s a comeback of classic elements winning hearts and minds.

Keeping everything in mind, this blog is an attempt to unfold fashion insights in 2023 for our ladies to ace their style with confidence.  

Women’s Pop Fashion Clothing Trends in 2023

Women’s apparel fashion trends in 2023 are all about showcasing individuality and embracing style in the most unconventional way. Below are the trends making it to the top in 2023. 

Tassel Details

Tassel fashion has successfully extended its lifecycle and entered 2023 with a great deal of acceptance. Best for party wear and virtual showcases, a tasseled fringed makeover is winning hearts at the moment. The trend is best paired with coats, and the detailing looks amazing with a classy outlook for the right hint of drama and liveliness. 

Lace & Laser Cutting

Lace detailing is now-a-days a fashion trend women find hard to resist. It’s a must-have wardrobe essential that can glam up the entire look without working hard on accessories and other pairing. This 2023 spring trend showcases artisan craftsmanship, blending lush lace with intricate laser cutting.

Ruffles

Ruffles are attracting all the limelight on the catwalk lately, in 2023. With nearly endless ways to style ruffles that depict your personality, ruffles are bringing back the old Bollywood glam from morning to the evening in an all-new avatar. From statement evening wear to delicate chiffon ruffles, this trend offers an opportunity to elevate style and feel fabulous on any occasion.

Florals  

Florals are back and bigger than ever in 2023 fashion trends. Large-scale bloom prints in bright hues are something to bet on that it would work. They offer timeless femininity in the dressing trend depicting a lively charm that’s unmatched.

Leather Looks

2022 saw a great acceptance of leather in the women’s fashion world, and with 2023 arriving, ladies were killing it with how they were experimenting with leathers from top to the bottom. Leather coats and jackets made an unexpected appearance on the spring/summer runways. Versatile and timeless, leather pieces are essential investments for a minimalist capsule wardrobe.

Statement Prints

It’s hard to recall any trend or any year where statement prints were not in. In the year 2023, the rise of bold prints will make it into everybody’s wardrobe. From thick, thin, louder, to ever bizarre, women are acing it with their all-print looks.

Find the latest trends at Zoglix. Zoglix offers a wide range of stylish women’s apparel, catering to diverse tastes and preferences. From trendy dresses and chic tops to comfortable activewear and classic outerwear, Zoglix has something for every occasion and style.

Women’s Pop Fashion Color Trends in 2023

All the popular color choices below for women’s clothing in 2023 are especially charming and attractive in spring and summer. From full of life and energy bright colors to lighter and more basic options, the color palette in women’s clothing holds so much relevance and mindfulness like never before. 

Feel Fab With Super Bright Colors

Recently, on the fashion runways and retail stores, bright colors are playing it powerfully. Variations like Phalaenopsis and Lantern Begonia inject a joyful and powerful statement into the entire dressing that’s hard to resist. These super bright colors are showing no sign of fading away from the fashion industry anytime soon.

Feel Minimal Yet Extra With Digital Lavender

Digital lavender is a very popular color choice in 2023 and also the color of the year. The color has made a mark beyond the young market and is now embraced by a wider group of people, even reaching the luxury market. The minimalist design style showcases its modern charm in high-end items like tailored suits, satin dresses, tops, and sweaters. 

Feel Bold With Colorful Green

For the classy, bold, and mind-boosting styles, switch to colorful green making trends among the fashionistas and also common people. A marketable color in 2023, Apple Mint, a soft and refreshing shade, dominates in youthful must-haves, activewear, and swimwear collections. 

Feel Fashionably Energized With Charm Red

Charm red is a vibrant and energetic color that inspires emotions and meets consumers’ desire for lively tones. It has become a key color in digital products and experiences, creating fresh yet familiar hues. Consumers embrace head-to-toe eye-catching looks, from special occasion dresses to tailored suits and casual wear in 50 shades of red.

Feel Classy With Neon Color

The emerging virtual trends in the year 2023 are more inclined towards the saturation appeal of neon colors. More popular among the younger generation and fashion conscious consumers, neon shades like green, yellow, orange, and blue are used in head-to-toe outfits. 

Women Clothing & Sustainability

Survey data reveals that 86% of respondents acknowledge the increasing sustainability of local women’s apparel. Brands are recognizing the need to adopt a holistic approach, integrating sustainability in the trends. 

“Women buying clothes for every occasion,” is the phrase long long. With the introduction of sustainability, it’s now a top priority of women out there (still needs to adapt more though). 

The Right Balance of Mix & Match

The rising trend of mix-and-matching multiple styles gives a new face to fashion aesthetics. Mixing and matching has now become a powerful way to create uniquely fresh looks by combining and colliding a lot of elements and feelings together. 

The COVID-19 pandemic has accelerated the popularity of sportswear, casual wear, and leisure styles even in the workplace, presenting brands with new opportunities. Embracing this versatile approach allows individuals to express their personal style while adapting to changing fashion preferences and lifestyle demands.

To Conclude

The women’s apparel industry is undergoing a dynamic evolution in 2023. From vibrant colors and bold prints to classic elements and fusion mix-and-match, this year’s fashion landscape offers exciting opportunities for individuality and style expression. Highlight the latest trends in your style, invest in good pieces, and stay fashionably conscious with Zoglix’s wide range of stylish women’s apparel. 
With sustainability also becoming a priority for both consumers and brands, the fashion landscape is also changing for the better!

What is eCommerce Fulfillment & Its Scope in 2023?

What is eCommerce Fulfillment & Its Scope in 2023?

Did you know that around 38% of online shoppers cancel their order if their order takes a week or longer to arrive? 

Did you know that online shoppers track their tracking page an average of 3.5 times per order? 

What do you make of these statistics? 

These statistics reveal that making your customers happy without timely and properly delivering their orders is the only way to success for your online business. The final package that your customers get is the initial impression of your brand, which is paramount to your success. Better the delivery, better the sales, and better the marketing. Therefore, eCommerce fulfillment is a major element of the entire process. 

Your eCommerce fulfillment services decide whether your customers will return and repeat or it was their last time shopping with you. To ensure the return, a streamlined and optimized fulfillment chain can “deliver” and “sell.” Now the main question is what Is eCommerce fulfillment & how does it work? Let’s delve deep into it. 

What is eCommerce Fulfillment

In the simplest words, e-commerce fulfillment means the process of completing online orders. If your customer places an order online from your online retail store, you must deliver the order within a limited timeframe. It comprises activities like inventory management, order processing, picking and packing, shipping, and return management. 

For the success of any online retail business, e-commerce fulfillment services play a crucial role. A professionally planned fulfillment strategy saves time, resources, and money and streamlines your online market by widening your market reach. A great eCommerce system is very important to make your business robust and build amazing customer loyalty. 

Ecommerce Fulfillment Process

The entire fulfillment process is very important for the success of any e-commerce operation because it covers every stage of a product’s journey. The process is as follows:

1. Receiving

The first process in e-commerce fulfillment is receiving. It means accepting and storing the inventory that comes to the fulfillment center. It starts with delivering the pallets that have your product to your fulfillment warehouse. These pallets are stocked and stored to complete the orders. 

2. Inventory Management

Another very critical step in the fulfillment process is inventory management. It means keeping a systematic record of all the products you have so you can stock and restock and never run out of products to successfully complete the order. This step enables seamless planning so you can meet your client’s demand and supply. 

3. Order Fulfillment

Once an order is received, the next step in the fulfillment process involves picking the items, transporting them to the packaging center, conducting a damage inspection, and moving the packed items to the shipping station. This process requires critical attention and steps like providing packing slip instructions and determining the dimensional weight (DIM weight) to speed up the order transportation and reduce the shipment costs. 

4. Shipping

Once the entire processing is done, the next step is handling the order with a third-party carrier for the final delivery to the customer. The shipping company decides how to send the package based on its actual weight or size, whichever is larger, and any other instructions provided by the shipping station.

5. Returns

Since online buyers expect convenient exchange and returns, the final leg of order fulfillment incorporates customer service and support for handling complaints, returns, and product exchanges. 

Types Of eCommerce Fulfillment Services

To begin with, there’s no single eCommerce fulfillment model to carry out the services. Depending on the order numbers, inventory levels, and other requirements, there are several models that this service has. Based on so many parameters, you come down to one method that best suits your business needs. Definitely, each one has its advantages and disadvantages, but customization as per your needs can bring the cons down. 

1. Self Fulfillment

The first type of eCommerce fulfillment model is self-fulfillment. As the name suggests, this type of fulfillment model has all the operations—storage, inventory, order management, packaging, shipping, and returns—managed by a single entity. What does this mean? 

This means that you have a storage center all to yourself where you carry out and manage processing activities alone. Though this model is perfect for small businesses, it’s not recommended or sustainable. With a growth mindset, when your orders increase, you will need more space and resources to carry out the services. If you are unable to do that, you might face difficult days, late deliveries, and even wrong orders. 

2. 3PL Fulfillment

Third-party logistics (3PL) fulfillment is the model where you outsource your fulfillment operations to a third party, along with your warehouse, inventory management system, shipping, and return management shipping access. Once you collaborate with a 3PL fulfillment provider, that company takes over your process. 3PL companies collaborate with multiple merchants and provide a training resource that supports all operational tasks and fulfillment centers, enabling quicker order processing. 

Based on the type of business you have, you can partner for your eCommerce store. Every third-party logistics will have some unique solutions to offer bespoked to your needs like B2B processing, B2C order processing, temperature-controlled storage, etc. 

3PL fulfillment is a sustainable option as it allows you to fulfill more orders and scale your business. The advantage lies in its flexibility, requiring no upfront investment for expansion. You get trained people to handle all operations, enabling faster order processing.

3. Dropshipping

Dropshipping is one model where your wholesaler or manufacturer directly ships the product to your customer. This means that the seller doesn’t have physical products in stock. When a customer buys something from the seller’s website, the order is either sent to the supplier by the seller manually or automatically. The supplier then takes care of processing and delivering the order to the customer.

This process is apt for businesses who have just started and looking for storage and processing ways. For the long run, this model cannot be fruitful as it won’t allow you to control inventory. If you want to grow your business in the long run, it can be difficult because you may need to partner with several drop shippers and work with many of them to ensure everything runs smoothly.

4. Hybrid Fulfillment Model

A combination of all of the above stated models is known as Hybrid Fulfillment model. As an example, a business can handle specific orders internally, such as custom products or items requiring assembly, while also leveraging dropshipping services for non-custom items. Some businesses choose dropshipping for items they don’t sell often or don’t want to keep in their own inventory, like expensive or large products. This is helpful for companies that need more flexibility or are growing rapidly.

Benefits of eCommerce Fulfillment Services

Among the endless benefits of eCommerce services, we are mentioning some of the major ones that make a greater impact. 

Fast Deliver: eCommerce fulfillment services from the 3rd party ensures faster turnaround times to meet customer satisfaction criteria and quick delivery expectations. 

Lower Overhead Costs: Collaborating with a 3PL fulfillment provider means reduced cost in terms of in-house operating activities. It ultimately saves time and money.  

Reduced Shipping Costs: Outsourcing fulfillment allows online merchants to benefit from better shipping rates negotiated by the fulfillment partner, resulting in cost savings compared to individual shipping arrangements.

Revenue Boost and Growth: Good eCommerce fulfillment boosts sales, which ultimately results in a boosted revenue leading to expansion and growth. 

The Future of eCommerce Fulfillment

The future of eCommerce fulfillment in 2023 and beyond holds immense possibilities in terms of technology and advancement. Have a look at some of the trends that might mold and shape eCommerce fulfillment entirely in the coming years. 

Drone and Autonomous Vehicle Delivery

As the tech-part is becoming more advanced for a lot of businesses, eCommerce fulfillment is no exception. Drones and autonomous vehicles for last-mile delivery will grow. Such delivery methods can totally revolutionize eCommerce fulfillment by enabling faster deliveries. However, regulatory challenges and technical hurdles can be a problem. 

Robotics and Automation

The adoption of robotics and automation in eCommerce fulfillment in 2023 and beyond will be a key trend. Robotic systems will automate tasks such as picking, sorting, and packing that’s repetitive. It will increase operational efficiency and will reduce errors. Robots can work alongside human workers

Data-Driven Decision-Making

Data-driven eCommerce fulfillment will flare up in the near future. Data availability and analytics advancements will enable smart decision-making, leading to more upgraded and optimized inventory management, an accurately anticipated demand pattern, and resource allocation in the right way. Real-time data analysis can also identify issues in the fulfillment process, which will allow seamless problem-solving and great scope for improvement.

Augmented Reality & Virtual Reality

AR and VR have great potential to enhance the online shopping experience like never before. In terms of eCommerce fulfillment, these technologies can be useful to improve order picking and packing processes, reducing errors and increasing efficiency.

Blockchain for Supply Chain Transparency

Blockchain technology has the potential to revolutionize supply chain management by providing transparency and security. In eCommerce fulfillment, blockchain can be used to create an immutable record of each transaction, ensuring the authenticity and traceability of products. This technology can enhance trust between buyers and sellers, mitigate counterfeiting issues, and improve overall supply chain efficiency.

Integration of Voice Assistants

Voice assistants like Alexa and Google Assistant are becoming popular. In eCommerce fulfillment realm, this technology in warehouses will allow workers to receive picking instructions and interact with inventory systems using voice commands. This hands-free approach can boost productivity.

Micro-Fulfillment Centers

We all know the growing demand for fast delivery. Keeping the same in mind, These compact warehouses can store and process inventory close to customers, enabling same-day or even on-demand delivery. Micro-fulfillment centers can help businesses reduce transportation costs, improve order fulfillment speed, and enhance the overall customer experience.

To Conclude

In conclusion, eCommerce fulfillment is a crucial aspect of running a successful online business. It includes the entire process of completing online orders, from inventory management to order processing, picking and packing, shipping, and handling returns. Timely and proper delivery of orders is essential for customer satisfaction and business growth. Different fulfillment models, such as self-fulfillment, 3PL fulfillment, dropshipping, and hybrid models, offer varying advantages and suitability based on business needs. 
The future of eCommerce fulfillment holds exciting prospects, including advancements in drone and autonomous vehicle delivery, robotics and automation, data-driven decision-making, augmented reality, blockchain integration, voice assistants, and micro-fulfillment centers. Understanding what eCommerce fulfillment is and how it works is paramount for businesses to optimize their operations and provide exceptional customer experiences.

The Impact of Protectionism on International Trade and Global Supply Chains

The Impact of Protectionism on International Trade and Global Supply Chains

In recent years, the rise in protectionism has become a growing concern as more countries adopt strategies to prioritize their domestic needs by limiting exports. This shift in trade policies has significant implications for international trade and global supply chains. The outbreak of the Russia-Ukraine conflict prompted firms worldwide to reconsider their supply chains, and governments took measures to secure essential resources. However, the temporary nature of protectionism measures and their increasing adoption without a defined end point can disrupt trade flows and isolate major suppliers from global supply chains.

Protectionism and Global Food Poverty

Protectionist policies have had a profound impact on the world’s food supply chains, potentially exacerbating global poverty. Following the Russia-Ukraine conflict, 24 countries implemented export bans on essential food items, including wheat, sugar, and oils. These policies affected over 17% of globally traded calories. For instance, Indonesia, the world’s largest palm oil producer, temporarily banned all exports of palm oil to mitigate domestic prices, raising concerns about supply shocks. Malaysia’s ban on chicken exports similarly disrupted Singapore, which heavily relies on imports for its poultry needs.

The adverse effects of protectionism on the world’s poorest countries are particularly pronounced. These nations depend heavily on imports for food security and are more vulnerable to the targeted products. The United Nations has warned that up to 345 million people face acute food insecurity due to the impact of the Russia-Ukraine war on food supply chains. This crisis surpasses the disruptions witnessed during the early stages of the COVID-19 pandemic or the 2008 financial crash, indicating the severity of the situation.

Protectionism and Geopolitical Relationships

Protectionism extends beyond food supply chains and has contributed to the redefinition of global procurement and geopolitical relationships. Initially, protectionist policies were most prominent in specific supply chains, including the food industry, medicines & vaccines where they risked exacerbating global poverty. In 2022, the government of the USA introduced the Inflation Reduction Act, which aims to curb inflation through two main strategies: reducing the deficit and boosting domestic manufacturing, particularly in the clean energy sector. Additionally, the act provides tax incentives for purchasing electric cars that are manufactured in North America and meet specific criteria, such as having a certain percentage of components sourced from the US or its allies. However, this has posed challenges for upstream suppliers and prompted global electric vehicle manufacturers to establish production facilities in the US in order to preserve their market presence. Consequently, countries like Germany, Japan, and Korea from Europe and Asia have raised concerns about the potential for a trade war arising from these policies. Very similar to this is the European Union’s International Procurement Instrument (IPI) which aims to act as a deterrent to protectionism. However, some critics argue that the IPI, which limits non-EU companies’ access to the bloc’s public procurement market, merely perpetuates protectionism under a different guise. In Asia, Indonesia had unveiled its intention to halt exports from December 2022 and December 2023. This move is part of the government’s strategy to prioritize the development of the downstream sector and concentrate on exporting semi-finished or finished products with higher value. By taking these steps, Indonesia aims to boost investments in industries that add more value to its resources and enhance its export capabilities in sectors that offer greater economic benefits. This shift in focus signals the country’s desire to move up the value chain and increase its competitiveness in global markets

The COVID-19 pandemic also witnessed countries resorting to short-term protectionism to secure medical and vaccine supplies. The United States, for example, invoked wartime powers using the Defense Production Act (DPA) to prioritize domestic access to medical supplies for vaccine production.

Although not an official embargo on exports, this approach raised concerns about other countries’ access to essential supplies.

The rise of protectionism reflects broader trends that emerged after the 2008 financial crash and gained momentum during Donald Trump’s presidency with his “America first” agenda. The pandemic further exposed the fragility of global supply chains, amplifying the need for strategic considerations in procurement decisions. This insular approach to global trade, supply chains, and procurement policies directly threatens future geopolitical equilibrium and democracy, challenging the long-held belief that economic ties foster peace. However, it has the potential to encourage innovation in capital-intensive industries where private investment heavily relies on supportive public policies to thrive.

Priorities and Deglobalization

Protectionism has prompted a reconfiguration of familiar supply chain structures, resulting in fewer connections within the global network. While some may label this shift as deglobalization, it is important to recognize that world trade is entering a new phase of trading and supply relationships, rather than simply undoing existing partnerships. Research by the Conference Board indicates that four out of five CEOs anticipate an acceleration in the division of the world into competing economic blocs over the next five years.

This scenario could lead to greater friendshoring, where entities form trade relationships with politically aligned countries, as well as nearshoring and localization efforts to avoid concentration of supply in politically unstable regions. However, an increasingly deglobalized world may have negative implications for procurement and costs. A less-integrated global economy reduces resilience to shocks in individual countries and may contribute to stronger inflationary pressures in the medium to long term.

Road Ahead The rise of protectionism poses significant challenges to international trade and global supply chains. As governments prioritize their domestic needs, it becomes crucial for category managers to proactively address these challenges. By identifying alternative suppliers and conducting early risk assessments, they can mitigate the potential negative impacts of protectionist measures. Staying vigilant and informed about protectionism policies implemented by sourcing countries is essential for reshaping category strategies. Moreover, ensuring business continuity requires considering supplier base diversification and regularly assessing supply chain risks.

In this changing landscape, embracing technologies like blockchain can contribute to building transparency in the supply chain, enabling better identification and management of potential risks. By taking these proactive measures, category managers play a vital role in navigating the uncertainties associated with protectionism and maintaining resilient supply chains.

While the world experiences a shift towards a less globalized economy, it is important to recognize the nuanced nature of these changes. The impact of protectionism extends beyond supply chains, affecting geopolitical relationships and redefining procurement practices. Striking a balance between domestic self-sufficiency and the benefits of international trade is crucial. Procurement professionals are at the forefront of this task, adapting to evolving trade relationships and ensuring the resilience of supply chains in this era of change.