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Macpac Shifting Production To Asia

Top-end Kiwi brand Macpac has taken a commercial decisions to shift production to factories in the Far East, but there will be benefits for customers they say


Posted: 6 August 2003
by Jon

Yet more from Friedrichshafen where we spent an interesting hour chatting to the guys from Macpac and taking a look a their new 2004 kit. More of that in a separate report.

Production Moving...

'Everything people expect from Macpac
continues' - Aidan Craig

Arguably the biggest news for the company though is that after 30 years of manufacturing in New Zealand, the Kiwi company has taken the difficult decision to move most of its production abroad.

Macpac's Aidan Craig says that the company had hit a ceiling and that shifting production to three specialist factories in the far east will not only make pricing more competitive - you can expect to see Macpac prices falling next year - but the move has enabled the brand to embrace new technologies and develop whole new ranges and designs using the specialist knowledge of asian manufacturers. More of those in a separate report.

He also stressed that it's a priority for the company that 'everything people expect from Macpac continues' and that the factories they use will be carefully chosen and inspected and that the company will continue to take an ethical stance with regard to manufacturing.

Job Losses

Sadly the flip side is that there are going to be 150 job losses from Macpac's current New Zealand workforce of 250 odd people, with only the specialist expedition XPD items still being made in New Zealand.

Macpac's move is reminiscent of British companies like Karrimor and Berghaus who, after a long history of manufacturing in the UK, eventually bowed to commercial reality and shifted production abroad after concluding it was the only way to keep prices competitive.


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Discuss this story

Great...more sweatshop production - I already feel incredibly guilty and pretty shite about owning a couple of outdoor garments produced in sweatshops.

I guess I won't be buying a Minaret after all.

Personally, I prefer to pay more if it means people are getting a fair wage for producing stuff.

Posted: 06/08/2003 at 11:12

I wonder how much benefit the consumer will get from this move - I'd question how far Berghaus, for example, have passed on savings to customers when they're happy to charge £25 for a T-Shirt.

Posted: 06/08/2003 at 20:20

Why should you assume that products made in Asia are made in sweatshop factories. Have you any idea how demeaning that is?
The economies in these countries are developing and the wage costs are much lower, but that doesn't mean that all workers in all factories in Asia are being exploited.
Japan? Hong Kong? Taiwan? the 'Asian Tiger?

In a hypothetical situation put the boot on the other foot and start paying UK prices for goods and services when you're off being a 'world traveller' in your gap year.

Posted: 06/08/2003 at 22:33

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