VN is next sourcing destination, says Barclays Capital

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A survey by Barclays Capital has found that 13% of respondents to the survey said that they were looking to source from Việt Nam, which represented the same proportion that identified China and was the only country to feature significantly.

The survey also found that respondents were concerned about the rising costs in China with more than two-thirds of people identifying this as a concern although many retailers are still reluctant to move buying offices.

Richard Lowe, head of retail and wholesale at Barclays Corporate, told The Times: "A lot of other places were talked about, but Việt Nam had risen above the others, particularly for clothing”.

"There is still an ingrained reliance on China. It's partly about the importance of relationships - you know people and because you know them you think you can negotiate. There are also quite a lot of risks involved. You have to get people out [to new destinations] and do all of the necessary quality assurance."

(Procurementleaders)