Global clothing brands and retailers are increasingly adopting near-shoring strategies, leading to a surge in demand for inspections and audits in countries like Turkey, while activities in Bangladesh have seen a decline.

A recent report by QIMA, a quality-control company, highlights a significant rise in inspections and audits by European buyers in Turkey over the past two years.

Titled “Q3 2024 Barometer: Halfway into 2024, Global Sourcing is on a See-Saw,” the report attributes this trend to the need for shorter lead times, reduced geopolitical risks, and enhanced supply chain resilience.

The 2024 QIMA sourcing survey reveals that a quarter of EU-based businesses now rank Turkey among their top three sourcing partners.

Inspection and audit demand in Turkey jumped by 27 per cent year-on-year in the first half of 2024, compared to a 15 per cent increase in 2023.

Conversely, Bangladesh has faced a decline in growth rates for inspections and audits.

The QIMA report shows a drop to 14 per cent growth in 2024 from 17 per cent in the previous year.

Vietnam experienced a decline from 27 per cent to 21 per cent, while India’s growth remained static at 29 per cent.

Despite these shifts, China’s manufacturing sector continued to dominate global supply chains, with an 81 per cent growth in inspections and audits.

Mohammad Hatem, Executive President of the Bangladesh Knitwear Manufacturers and Exporters Association, noted a recent rise in export orders from European buyers to Turkey, driven by shorter lead times.

He said that many EU buyers prefer Turkey over Bangladesh to avoid risks associated with the Red Sea.

Hatem attributed the decline in Bangladeshi export orders to long lead times, the Red Sea crisis, and low prices offered by buyers.

He also cited challenges such as the gas crisis, lack of cooperation from banks, and harassment by customs officials as factors extending lead times.

The QIMA report further indicated that inspections and audits ordered by German businesses increased by over 27 per cent year-on-year in Q2 of 2024.

The UK also showed a strong demand for China sourcing, with a 32 per cent year-on-year growth in inspections and audits.

Meanwhile, US-based buyers have taken a more cautious approach towards China sourcing amid efforts to “de-risk” supply chains in favor of “friend-shoring.” Demand for inspections and audits in China from American brands and retailers rose by over 13 per cent year-on-year in Q2 of 2024, spanning various consumer goods categories, including apparel, toys, homewares, and electronics.