Commerce, Calif.-based Star Fades International (SFI) is expanding its footprint in the Americas.
The full-package development hub with production partners in the U.S. and Mexico opened a new office in Guatemala to support its growth efforts. SFI aims to expand its reach geographically and widen its product offering beyond denim to ready-to-wear knits and wovens.
Alejandro Arias, SFI’s vice president sourcing, Central America, is leading the operation in Guatemala City. The former Li & Fung and Gap Inc. executive brings over 20 years of supply chain and operations experience in Latin America.
SFI’s nearshoring network offers clients sustainable materials, dyes and inputs, access to a transparent and traceable supply chain and certification by all international third-party monitoring systems. Fabric is sourced in the U.S., Mexico or Central America, which is especially valuable for companies looking to take advantage of the tariff savings under the United States-Mexico-Canada Agreement (USMCA) and the Dominican Republic-Central America FTA (CAFTA-DR) trade agreements.
The global denim industry is exploring opportunities in Latin America. In January, Kingpins Show hosted an event with key denim suppliers in Medellín, Colombia to discuss its role as a networking platform and how the region can help its efforts to foster a more responsible denim industry.
“There is extensive apparel production skill and experience across Central America, not just in denim, but also a wide range of garments,” Arias said. “The proximity to the U.S. and the opportunity to take advantage of existing trade agreements offers both time and cost savings for companies looking to move manufacturing closer to the point of sale. SFI’s nearshoring network allows brands and retailers to make strategic sourcing decisions that maximize flexibility and minimize risk.”
Related Story
SFI opened its doors in California in 2021 offering clients a local solution for turnkey and custom wash and finishing services. The factory and design development hub provides full-service washing, dyeing and finishing, as well as digital product creation, full-package production and design development services.
SFI’s regional network of nearshoring sourcing solutions can shave six to seven weeks off transportation time compared to producing in Asia. Shorter lead times allows brands and manufacturers to react to trends in real time, better schedule in-store deliveries and avoid retail markdowns, the company stated. Additionally, SFI’s digital product creation team and strategic partnerships with 3D design software companies Browzwear and CLO mean clients can develop and adjust samples digitally, accelerating the pattern-making process to move styles into production faster.
Having boots on the ground in Central America gives retailers and brands a flexible supply chain focused on speed, quality, trends and sustainability targets.
“Speed, flexibility and service are increasingly important for our customers,” said Sergio Turbay, SFI executive vice president of global sales and strategy. “They need local expertise in the Western Hemisphere to facilitate sourcing in the region, which is why SFI has been investing in people and resources to build a design development and production network that works seamlessly across the U.S., Mexico and now, Central America.”