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textile industry

LATAM

NB CAPITAL Partners is a pioneer in envisioning Paraguay as the next industrial hub for Latin America

 

in 2017 we set up our first nearshoring project. The following year, we invested and actively participated in the management of MC CONFECCIONES PY, now the largest Paraguayan exporter of garments to Brazil

 

since the early 2000s, Paraguay has a set of economic conditions that turn the country into an extremely competitive industrial platform to Brazil, the largest consumer market in LATAM. Much like Mexico is to the USA

 

however, it was only after the pandemic that Brazilian industries and retailers started looking at Paraguay as a nearshoring solution to reduce their dependency on far East Asia. For Brazilian fashion retailers, the problem is even more pressing and the opportunity, one that cannot be missed

 

for the largest Brazilian fashion retailers, Paraguay is the fastest growing category of garments supply, representing a much-needed third option, as opposed to quick-but-expensive Brazil and cheap-but-far East Asia. In Paraguay, fashion retailers can have it both ways: landed costs as competitive as Chinese garments, with lead times on par with Brazilian suppliers

as a next step, a larger portion of the textile production chain must be relocated to achieve the full potential of supplies from Paraguay

 

NB CAPITAL Partners – thanks to its comprehensive vision and 5+ years of field experience – will build a complete ecosystem of textile industries in Paraguay.

 

the development of the Textile Hub Paraguay will be coordinated by NBCAPITAL Partners in cooperation with:

  • the most prominent Brazilian fashion retailers, by guaranteeing constant demand

  • entrepreneurs and investors that will set up factories to quickly build the local integrated supply chain, with the aspiration to fully verticalize the textile industry in Paraguay

  • ecopark eas, a company fully owned by NB Capital, responsible for land and real estate development of a business park dedicated to this ecosystem

  • local government and authorities

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nearshoring

near-shoring

"the practice of transferring a business operation to a nearby country, especially in preference to a more distant one"

in a world where globalization set the industrial trend over the last 40 years, recent events highlighted the urgent need to start a process to evenly redistribute industry and its related services

at NB CAPITAL Partners we were among the first to have this vision, in the LATAM region, as we started our first project of near-shoring back in 2017.

why near-shoring:

boosting economic growth in the region by creating new job opportunities for local communities and increasing consumer demand

considerable reduction of greenhouse gas emissions caused by long-distance transportation of goods reducing the industrial environmental impact

 

drastic reduction in lead times allowing for quicker reaction to market trends and savings in shipping costs

proximity allows for easier communication and understanding of cultural and language differences, allowing faster turnaround times and fewer misunderstandings 

being closer to the supplier means that quality control can be more easily monitored and improved, leading to more consistent and higher-quality products

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