EU4Business helps clothing producer in the Republic of Moldova increase domestic sales

Moldova
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With funding from the European Union and Sweden, the EBRD helped Vestra to transform their clothing patterns development process and to grow their business, enabling them to create over 200 new patterns, to cut development time and to reduce fabric waste. 

The EBRD helped Vestra to transform their process for developing clothing patterns and to grow their business. Working with a local technology consultant, Vestra introduced an automated pattern design and development software solution, considerably reducing the time needed to develop patterns as well as ensuring an optimal use of fabrics. This project helped the company to become more competitive in the context of the Deep and Comprehensive Free Trade Area with the European Union.

Vestra produces clothing for local and export markets, making over 60,000 units per month. Production for EU markets represents 90% of sales being based on the Lohn outsourcing model, under which the company receives know-how, fabric, accessories and basic patterns to sew garments for world-known brands.

They also sell products on the Moldovan market, which, prior to production processes upgrade, represented 1% of the 10% of local sales.

In order to increase sales of their own products and decrease dependency on orders from foreign brands, Vestra decided to automate the pattern design and development process for the production of local collections.

The Bank helped Vestra find a technology consultant that assisted the company in implementing a software solution that automated the pattern design and development process.

The consultant, Cadrus:

  • Implemented the software solution according to the specific needs of the client;
  • Adjusted the software to accommodate company requirements;
  • Trained the staff to use the new software system.

Since the project’s completion, Vestra’s employees have successfully used the software for pattern design and multiplication, generating over 200 new models, while the pattern development time was reduced from 2 weeks to 1 day per model for each size.

Using the software has enabled the company to diversify its product range. And, thanks to automatic fabric cutting, technology, Vestra reduced production waste.

The share of own production in total sales has increased from 1% at the start of the project to 5% one year after its completion. The company’s designed products are sold in its own store as well as stores in Tiraspol, Ribnita and Dubasari. The company is also planning to initiate export activities for their own collection.

Total project value

€11 072

Client contribution

€5 536