Textile industry faces hurdles as rivals automate

The Philippine textile industry will need to surmount several challenges before it can join other more progressive countries in using robotics to shore up production, including sizable investments for high-tech machines, as well as opposition to possible loss of human jobs in the sector.

Robert Young, president of Foreign Buyers Association of the Philippines (Fobap), said on Friday that while he thinks automation is the future for the garment and apparel industry, local firms would still need to hurdle some contentious issues first before it can be widely implemented in the production and manufacturing of wearable goods.

Young, whose trade group members are buyers and exporters of garments and hard goods, said these issues include the high cost of procuring the robots and tools, higher maintenance needs and the need for trained technicians in case of equipment breakdown.

“It’s the dream of every garment firm, but as I said, the cost of these robots and maintenance are too prohibitive for the mid-sized factories. It’s only for the big operations like factories with [more than] 3,000 laborers,” he told the Inquirer, explaining that the most factories in the Philippines employ just 300 to 500 workers.

Young also mentioned that it might be cheaper today to stick with traditional manufacturing instead of using robotics, considering the cheap labor cost and abundance of human workers.

He also mentioned that this kind of automation might be met with resistance in countries like the Philippines, with the firms shifting to this production method getting confronted by protests from labor unions and other similar groups.

“It should be the prerogative of the mill owners, I know that Dole (Department of Labor and Employment) or any other government agency have no rules against modernization. However, the massive displacement of the laborers can or may be an issue,” Young said.

The Fobap official cited that many production processes can be done through robotics, including sewing, knitting, cutting, among other tasks that usually require human hands.

Young made these statements in response to questions about the growing use of robotics in garment manufacturing in some European countries.

Meanwhile, the FOBAP official said that two Asian investors from among several firms which are keen on putting up new textile factories in the Philippines have begun ocular visits on prospective areas that may be suitable for business.

He said that he has accompanied these investors to visit the Freeport Area of Bataan, adding that they will visit other areas as well to look at some more prospects.

“They motioned that they will definitely be applying an automation system, perhaps partially in the beginning, as we need to do a great deal of orientation and familiarization,” Young said when sought for comment if these investors plan to automate some production processes.

He also said that these investors plan to bring in some specialized personnel from overseas to train workers that will be hired here in the Philippines.

“The robotic automation requires highly skilled professional trainers and the majority will be foreigners. Sadly, we did not hear of local tech availability,” he said.

In a previous interview, the FOBAP official said that the planned investments from around nine firms planning to set up textile factories in the Philippines are expected to generate about 9,000 jobs initially, as well as increase garments and textile exports by $500 million per year.

The Philippine’s yearly garments and textile exports is currently valued at around $1.5 billion, growing at a rate of 10 percent annually, according to Young.

The key export markets for these goods include the United States and the European Union, as well as a number of countries in Asia.