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Daffodil International University

Institutional Repository
Textile Engineering Project Report of B.Sc

2014-03-08

Project report on Merchandising


procedure of knit tea shirt and poly shirt

Tusher, Md. Mehedi Hasan

http://hdl.handle.net/20.500.11948/1022
Downloaded from http://dspace.library.daffodilvarsity.edu.bd, Copyright Daffodil International University Library
Faculty of Science and Information Technology

Department of Textile Engineering

PROJECT REPORT

ON

MERCHANDISING PROCEDURE OF KNIT T-SHIRT &


POLO SHIRT

PREPARED BY

MD. MEHEDI HASAN TUSHER ID: 093-23-1633


MD. SHOAB MAHAMUD OVEE ID: 093-23-1749
MD. REAZUR RAHMAN ID: 093-23-1751

SUBMISSION: August, 2013


Faculty of Science and Information Technology

Department of Textile Engineering

PROJECT REPORT

ON

MERCHANDISING PROCEDURE OF KNIT T-SHIRT &


POLO SHIRT

ACADEMIC SUPERVISOR
MOHAMMAD ABDULLAH AL MAMUN
ASSISTANT PROFESSOR
DEPT. OF TEXTILE ENGINEERING
DAFFODIL INTERNATIONAL UNIVERSITY
BOARD OF EXAMINERS

Dr. Md. Mahbubul Haque


Chairman
Professor & Head,
Department of Textile Engineering
Faculty of Science and Information Technology
Daffodil International University

Dr. S M Mahbub-Ul-Haque Majumder


Member
Professor & Dean,
Department of Textile Engineering
Faculty of Science and Information Technology
Daffodil International University

Engr. Mohammad Abdullah Al Mamun


Internal Examiner
Assistant Professor,
Department of Textile Engineering
Faculty of Science and Information Technology
Daffodil International University

Engr. Md Mashiur Rahman Khan


External Examiner
Assistant Professor & Head,
Department of Apparel Manufacturing Engineering,
Bangladesh University of Textiles
DEDICATION

TO OUR BELOVED & RESPECTED PARENTS


DECLARATION

We do hereby declare that, this project has been done by us under the supervision of
Engr. Md. Abdullah Al Mamun, Assistant Professor, Department of Textile
Engineering Daffodil International University. We also declare that neither this
project nor any part of this project has been submitted elsewhere for award of any
degree or diploma.

Md. Mehedi Hasan Tusher


ID: 093-23-1633
meheditusher@gmail.com
Department of Textile Engineering
Daffodil International University

Md. Shoab Mahmud Ovee


ID: 093-23-1749
shoab.ovee@gmail.com
Department of Textile Engineering
Daffodil International University

Md. Reazur Rahman


ID: 093-23-1751
reazurbd@gmail.com
Department of Textile Engineering
Daffodil International University

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ACKNOWLEDGEMENTS

All pleasure goes to the Almighty Allah who has given us the ability and strength to
complete our Industrial Attachment.

Our special thanks to our supervisor Mohammad Abdullah-Al Mamun,


Assistant Professor, Dept. of textile engineering, Daffodil International
University to whom we extremely grateful for his tremendous support and guidance
throughout our industrial Attachment. While working with his we have not only
earned valuable knowledge but was also inspired by his innovativeness which helped
to enrich our experience to a great extent. His ideas and way of working was truly
remarkable. We believe this report could not be finished if he did not help us
continuously.

We would like to thank Professor Dr. Mahabubul Haque, Head, Department


of textile engineering, Daffodil International University, for his proper management
& taking necessary procedure about our industrial attachment.

While preparing the report we have taken help from various references so our
cordial thanks to them. Finally we hope that the report will help in understanding the
“Merchandising procedure of knit t-shirt & polo shirt” in apparel industry in a
clear and concise way.

Our cordial thanks to Fakir Knitwears Ltd, as they helped us in understanding


the practical processes.
Last but not the least, thanks go to all the people who have assisted, helped
and inspired us to complete this task in various stages.

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ABSTRACT

Our project is on “Merchandising procedure of knit t-shirt & polo shirt”.


Merchandising department is the heart among all the working departments in a
Export concern company, because Merchandising is the only department having
maximum control over the departments and total responsibility for Profit and loss of
the company. Mainly we followed close observation method to complete our study.
We have been able to learn a lot about merchandising during this study. Particularly
we tried to gather knowledge on activities and responsibilities of a Merchandiser,
their ordering procedure, different types of L/C, consumption and calculation of
different products, shipping terms, trims & accessories. Finally we tried to have an
overall clear concept of garment trade & importance of a merchandiser on it. During
performing our study we noticed some limitations on their procedure and
recommended respective personnel to have a close view and update.

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BACKGROUND OF THE STUDY

Any academic course of the study has a great value when it has practical application
in the real life. Only a lot of theoretical knowledge will be little important unless it is
applicable in the practical life. So we need proper application of our knowledge to
get some benefit from our theoretical knowledge to make it more fruitful. When we
engage ourselves in such field to make proper use of our knowledge in our practical
life only then we come to know about the benefit of the theoretical knowledge. Such
an application is made possible through internship. My internship was carried on in a
cannon garments limited company.

When theoretical knowledge is obtained from a course study it is only the halfway of
the subject matter and procedure through which acquired knowledge of subject
matter, which can be fruitfully applied in our daily life.

Objective of the Report

The purpose of the Report is to identify the merchandising division’s work of Fakir
Knitwears Ltd We also try to find out the duties and responsibilities of
merchandisers. Another objective of this Report was to find out the opportunities and
threat of this industry. This Report also includes the behaviour, expectation and
feelings of foreign customers. The general objective of this study is to determine the
present activities of buying houses and the significance of their role for smooth,
efficient and effective marketing process of garment products overseas.

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The specific objectives of the study are describing as follows:

 To find out the buying and buyer communication strategy in merchandisers


company.
 To identify the merchandising division’s work.
 To find out the duties and responsibilities of merchandisers.
 To find out the opportunities and threats.
 To find out the existing problems.
 To examine the efficiency and effectiveness of the company.

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TABLE OF CONTENTS

Contents Page No.

Declaration i
Acknowledgements ii
Abstract iii
Background Of The Study iv
Table of Content vi
List of Tables ix
List of Figures x

Chapter 1: Introduction 01
1.1 Overview of Bangladesh Garments Industry 03
1.2 Advantages of Bangladesh Knitwear Sector 07
1.3 Contribution of the Knitwear in Bangladesh 08

Chapter 2: Methodology 09
2.1 Sources of Information 10
2.1.1 Primary Source 10
2.1.2 Secondary Source 10
2.2 Data Collection 10
2.2.1 Observation Technique 10

Chapter 3: Merchandising 11
3.1 Effects of Merchandising 12
3.2 Major Responsibilities of a Merchandiser 13
3.3 Qualities of a Merchandiser 14
3.4 Flow Chart or Sequence of Merchandising 15
3.5 Function of a Merchandiser 15
3.7 Merchandising Management 16
3.8 Objectives of Merchandising 16
3.9 Forecasting 17
3.10 Sourcing of Buyers & Orders 18
3.11 Negotiations to the Buyers 18
3.11.1 Why Does A Merchandiser Negotiate? 19
3.11.2 The Negotiation Process
3.11.3 Merchandisers Must Adequately Know the
Requirements of Both the Parties 19
3.11.4 Merchandisers Must Adequately Prepare For the
Negotiation 19
3.11.5 Discuss the Offer 20
3.11.6 Further Discussion 20
3.11.7 Final or Revised Offer 20
3.12 Making an Agreement 21
3.13 Receiving Orders from Buyer 21

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Chapter 4: Letter Of Credit 22


4.1 Letter Of Credit (L/C) 23
4.2 Types of L/C 24

Chapter 5: Measuring Garments 29


5.1 Tops 30
5.2 Bottoms 32

Chapter 6: Production Procedure 34


6.1 PO Sheet (Purchase Order Sheet) 35
6.2 PS Sheet (Product Specification Sheet) 36
6.3 Time and Action Plan 37
6.4 Raw Materials Booking 38
6.4.1 A Sample of Finish Fabric Booking 39
6.4.2 A Sample of Care and Size Label Booking 40

Chapter 7: Consumption and Costing Calculation 41


7.1 Fabric Consumption Calculation For 1 Dozen Men’s T-Shirt 42
7.1.1 Measurement Chart For Men’s T-Shirt 42
7.1.2 Formula 43
7.1.3 Consumption & Costing Calculation of Accessories
required for 1 Dozen Men’s T-Shirt 44
7.1.4 Costing Calculation For 1 Dozen Men’s T-Shirt 45
7.2.1 Consumption Calculation for 1 Dozen Polo Shirt: 45
7.2.2 Measurement Chart For Men’s Polo Shirt 46
7.2.3 Consumption & Costing Calculation of Accessories
required for 1 Dozen Men’s Polo Shirt 47
7.2.4 Costing Calculation For 1 Dozen Men’s Polo Shirt 48
7.3.1 Approximate Sewing Thread Consumption of Different 49
Items 7.3.2 Machine Wise Sewing Thread Consumption/Inch 49

Chapter 8: Trims & Accessories 50


8.1 Introduction 51
8.2 Trims 51
8.3 Accessories 51
8.4 List of Trims and Accessories 51
8.5 Button 53
8.6.1 Types of Zipper 56
8.6.2 Quality of Zipper 57
8.7.1 Packing Accessories 58
8.7.2 Type of Carton 58
8.7.3 Carton Measurement 59
8.8 Care Instructions 60
8.8.1 Machine Wash Cycle 60
8.8.2 Water Temperature 60
8.8.3 Tumble Dry Cycle 61
8.8.4 Heat Setting 61
8.8.5 Iron - Dry or Steam 62
8.8.6 Dry-Clean - Normal Cycle 62
8.8.7 Special Dry Clean Instructions 63

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8.9.8 Special Instructions 63

Chapter 9: Final Inspection


9.1Final Inspection 64
9.1.1 General Overview of AQL Inspection 65
9.1.2 AQL Table (Inspection Table) 65

Chapter 10: Shipment 67


10.1 Documentation for Shipment 68
10.2 Terms of Trade 68
10.3 Bill Of Lading (BOL) 70
10.3.1 A Bill Of Lading May Include the Following Details 70
10.3.2 Types of B/L 71
10.4 Shipping Terms 71

Conclusions 73
Recommendations 74
References 75

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LIST OF TABLES

1.1 Year wise knitwear export and net retention 10


6.1 Time and Action plan 44
7.1 Measurement Chart for Men’s T-Shirt 48
7.2 Consumption & Costing Calculation of Accessories Required for 50
1 Dozen Men’s T-Shirt
7.4 Consumption & Costing Calculation of Accessories Required for 51
1 Dozen Men’s Polo Shirt
7.5 Costing Calculation for 1 Dozen Men’s Polo Shirt 52
7.6 Approx Sewing Thread Consumption of Different Items 55
7.7 Machine Wise Sewing Thread Consumption/Inch 55
8.1 List of Trims and Accessories 58
9.1 AQL Table (Inspection Table) 71

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LIST OF FIGURES

1.1 Export Trend of Bangladesh RMG Sector 07


1.2 Bangladesh Exports by Major Products in FY 2011-12 08
1.3 Knitwear Export to Major Markets 08
6.1 PO Sheet (Purchase Order Sheet) 41
6.2 PS Sheet (Product Specification Sheet) 42
6.3 A Sample of Care and Size Label Booking 46
8.1 Buttons 61
8.2 Zipper 63
9.1 A Sample of Final Inspection Report 72

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CHAPTER: 1

INTRODUCTION

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Introduction

A garment is an artificial need created by men. With the passage of times


now it has become a basic need of human being. Although man’s first articles of
clothing and furnishing were probably animal skin warps, sometimes stitched
together using bone needles and animal sinews, he soon attempted to manipulate
fibrous materials into textile fabrics, encouraged by experience gained from
interlacing branches, leaves and grasses in the production of primitive shelters.

From early times, Textiles and clothing have been used as essential goods for
human beings. Spinning and weaving were the main activities that drove the
Industrial Revolution in the 18th century. Since then the textile industry has been a
leading industry in the initial phase of industrialization in many countries in different
periods of time in the world. Bangladesh is an important producer & exporter of knit
RMG product. There are about 5700 garments factories running in Bangladesh.
Growth of garments factories started in Bangladesh around 1980. But now nearly
78% of our foreign currency is earned from RMG export. At present Bangladesh is
producing & exporting more than 60 items of garments. Garments are exported to
USA, Canada, Japan, Australia, Middle East and many other countries in the world.
Cheapest labour cost is the biggest advantage for Bangladeshi garments producers &
exporters.

Garments Industry occupies a unique position in the Bangladesh economy. It


is the largest exporting industry in Bangladesh. Merchandising is one of the most
important parts for garments trade. Without merchandising this trade never be fulfil.
Merchandiser deals or handles all the things from buyer to production. He is the
centre for all the tasks. After getting an order, merchandiser calculate all the things,
what he need to complete this order & make a nice plan by which he can do the

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shipment in time with buyer’s requirement. In factory level, merchandiser makes all
the orders for accessories needs for an order like; fabric need, sewing thread, button,
washing if necessary, carton, polybag, shipment arrangement etc. Actually
merchandiser make looks on the whole progress

Practical Knowledge is very much essential for the education of textile


engineering and technology. Practical Knowledge makes us capable and perfect to
apply theoretical knowledge in practical life. .

We acquire knowledge on knit Garments Merchandising, Garments


production, Quality control, Operation, Marker making, Cutting &Finishing sector.
We tried our best to learn more about this Project that will help our future practical
life.

1.1 Overview of Bangladesh Garments Industry

The RMG business in Bangladesh started in the late 70s with merely a casual
& cursory effort. The first consignment of knitwear export was made in 1973 while
the first shipment of woven was made in 1977. In 1981-82 the contribution of woven
garments to total exports was about 1.10% whereas the agro-based the then economy
received much of her foreign earnings from Jute & Jute products famously known as
the Golden Fibre. But with the passage of time from agrarian to manufacturing
transformation Bangladesh developed significantly in areas of poverty alleviation,
employment, women empowerment, industrial growth and economic diversification -
thanks solely to labour intensive RMG sector. Since MFA phase out in 2004 the
growth of Bangladesh knitwear has escalated rapidly as statistically supported export
volume adduces adequate proof to it despite its somewhat cluttered and shoddy start
with absence of rudimentary plans and evolutionary industrial mechanism. In fact,
from fiscal year 2007-08 Bangladesh knitwear continues to capture lion’s share in
national exports (39.06% in FY 2011-12) what was slightly 7.64% in the two
decades back, thereby slanting the economy towards knit garments.

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Figure 1.1: Export Trend of Bangladesh RMG Sector

The central history of this tremendous development could be attributed to


entrepreneurial expertise who aptly applied their gleaned knowledge to adopt
technological modifications in the mechanical and management principles to the
overall factory supervision methods. Supported with strong backward linkage
and Generalized Systems of Preference (GSP) benefit, Bangladesh has showed
remarkable agility over time for a prosperous future eschewing the hiccups in
areas of overall management and infrastructures in this industry. At present, our
apparel sector continues adding fresh ideas and modules like business
intelligence, state-of-the art technology, modern management practices and
production technique. These are indeed the manifestations of our relentless
efforts to the global standards what was once considered unparalleled to emulate
techno-based advance economies.

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Figure 1.2: Bangladesh Exports by Major Products in FY 2011-12

Over the decades the growth of knitwear sector has been incessant rising over
20% at CAGR base and continuously grabbing more portions in the export pie of
Bangladesh. This recent robust growth is partly achieved owing to preferential
support from the European Commission’s GSP & Relaxation of Rules of Origin
(ROO) and the Duty Free Quota Free (DFQF) access granted by Canada, Australia,
Japan and members of European Free Trade Agreement (EFTA). Along this growth
momentum favourable policies from the government of Bangladesh in the form of
export subsidies i.e. cash incentives also contributed greatly for making it the most
attractive sourcing hub.

Figure 1.3: Knitwear Export to Major Markets

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Competitive wage rate together with easily trainable workforce,


entrepreneurial skill, expanding supply side capacity, and government policy support
helped to translate the comparative advantages into competitive advantages.

The core strength of the knitwear sector is its backward linkage. The
entrepreneurs of the sector not only increased their stitching capacity overtime but
also invested in the allied industry to augment the overall capacity of the total sector
with the same pace. Over the period of time knitwear sector gradually became almost
self sufficient in fabric and yarn. This improvement has become possible because of
the integrated growth of spinning factories in line of the growth of country's stitching
capacity and increased need of the yarn and fabric. As the export increased in the
knitwear sector, the capacity of backward linkage also increased accordingly. The
result is local suppliers can provide now 95% of the total fabric requirement of the
sector (source: BTMEA). The growth of spinning mills also stepped with the growth
of knitwear exports. In 2010-11 total number of Yarn Manufacturing Member Mills
was 383, whereas Fabric Manufacturer Member Mills was 743. As of now the total
investment in the backward linkage in knitting, dyeing and spinning industry is more
than US$ 5.03 billion or € 4.00 billion.

Knitwear is the highest contributor in terms of both gross and net export
earnings. In 2010-11, the contribution of knitwear in national export earnings is
41.36%. This has resulted because of the backward linkage industry that has grown
over time which helped the knitwear sector to have the higher value addition and
therefore a much higher net retention rate. In addition to, relaxation of Rules of
Origin (RoO) has accelerated the export growth.

Year 1994 2000 2008 2012


Value Addition 50% 70% 75% 72%
Net Retention 40% 55% 61% 53%

Table 1.1: Year wise knitwear export and net retention

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1.2 Advantages of Bangladesh Knitwear Sector

 Knitwear is a near self-sufficient sector in all respect; currently BKMEA


members are supplying 90% of the knit fabric requirements of the sector.
 Local yarn suppliers provide around 75% of the total requirement of the
sector.
 We have more than 261 composite factories; besides the composite units
many garments have their own dyeing and finishing units. A separate dyeing
and finishing industry also has grown up over the time to support the sector.
 Bangladeshi Knitwear is exported to 93 countries of the world. But the EU
and the USA are the major importer.
 Capacity is increasing at a good rate to cope with the future demand of this
sector.
 Bangladesh provides labour forces unparallel in stitching capability and skill
at our level.

Bangladesh RMG sector mainly comprises of Knit and woven garments


competing vigorously to surpass each other for taking up the leadership yoke within
the economy. It was in FY 2003-04 the knit garments for the first time exceeded
woven wear and became the leader in terms of quantity exports with 91.6 million
dozens as against 90.48 million dozens of woven garments. And from FY 2007-08,
knitwear continues to widen the gap with woven both in terms of value and quantity.
To the end the RMG sector, engine of our economic growth, has largely
compensated with evolutionary mechanism in the overall designing of factory
management - successfully leaving aside all the bottlenecks and making the economy
a resilient one despite of natural disasters, poor infrastructure, weak governance and
political turbulence

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1.3 Contribution of the Knitwear in Bangladesh

Share of Knitwear in RMG Export (FY 2011-12)49.60%

CAGR Growth (FY 2007-08 – FY 2011-12): 14.43%

Share of Knit Garments in GDP (FY 2010-11): 8.57%

Net Retention amount (2011-12)- US$ 5691.83 million

Net retention rate - 60% (Highest)

Value addition - 70% (Highest)

Labour Force Employed

Direct - 3.7 million; about 70% of them are women.

Indirect - 0.50 million

The RMG sector of Bangladesh contributed a lot in terms of employment


generation, involving women in the formal sector, increased substantial export
earnings etc. One significant aspect of the RMG's contribution is in human
development aspect. The sector has been contributing a lot in the following areas:

 Women empowerment.
 Reduce Child Labour.
 Gender equality.
 Improved health & nutrition.
 Reduced child marriage.
 Reduced infant mortality

The sector's unique contribution is in the growth and development of


backward linkage industry of the country. Country's total backward linkage industry
in the RMG sector has flourished based on the knitwear industry. It is providing
crucial impetus to the spinning, fabric, and dyeing industry. A good number of
printing factories are totally dependent on knit sector as well.

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CHAPTER: 2

METHODLOGY

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Methodology

Methodology is defined as a particular procedure or set of procedures, refers


to the rationale and the philosophical assumptions that underlie a particular study.

However, this study is a ‘Non-intervention Study’, a type in which the


researcher just observes and analyses researchable objects or situations but does not
intervene. Thus we have closely observed all departments’ work procedures and tried
to analyze them from our own point of view and from company’s personnel’s point
of view by interviewing them. All necessary and relevant information and data have
been collected thorough following ways:

2.1 Sources of Information

To carry out the proposed study, data have been collected from two sources: Primary
and secondary sources.

2.1.1 Primary Source

Primary sources include interacting with employees and face-to-face interviews with
the personnel through an open-ended questionnaire.

2.1.2 Secondary Source

Secondary sources are company website, brochure, outlets, other research reports,
literatures/magazines and the internet.

2.2 Data Collection

Observation Technique of data collection has been used.

2.2.1 Observation Technique

Participant observation approach has been used where we have been took part in
daily work routine of the organiza

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CHAPTER: 3

MERCHANDISING

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Merchandising

3.1 Effects of Merchandising

Garments Industry occupies a unique position in the Bangladesh economy.


It is the largest exporting industry in Bangladesh. Merchandising is one of the most
important parts for garments trade. Without merchandising this trade never be fulfil.
Merchandiser deals or handles all the things from buyer to production. He is the
centre for all the tasks. After getting an order, merchandiser calculate all the things,
what he need to complete this order & make a nice plan by which he can do the
shipment in time with buyer’s requirement. In factory level, merchandiser makes all
the orders for accessories needs for an order like; fabric need, sewing thread, button,
washing if necessary, carton, polybag, shipment arrangement etc. Actually
merchandiser make looks on the whole progress. Normally, the production people
are always try to do work in delay, thus many trouble can come for the shipment.
But, merchandiser always makes a good follow-up to work in time with right
quantity & right quality. In the other hand, merchandiser deals with the buyer’s about
order approval & comments.

The activities involved in garments merchandising is normally done by a


dynamic & expert person called merchandiser. The function of a Merchandiser is
known Merchandising. The term Merchandising has been derived from the word
Merchandise which means goods that is bought and sold.

At last, we can say that, merchandising is the heart of garments trade.


Without this garments trade is valueless. So this part is more important in our future
life.

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3.2 Major Responsibilities of a Merchandiser

 Order sourcing/supplies.
 Negotiation.
 Production.
 Calculating Yarn/Fabric consumption.
 Calculating costing of the product.
 Monitoring Quality aspect.
 Product development.
 Liaison with Buyers Customers & Factory.
 Factory Scheduling.

3.3 Qualities of a Merchandiser

 Should be a smart person with fluent speaking, reading and writing ability in English
language.
 Good knowledge in Mathematics, Computer literacy and e-mails internet.
 Should a technically sound person having clear conception about fibre, yarn, fabric,
dyeing, printing, finishing, dyes, colour fastness, garments production, etc.
 Clear conception of the usual potential quality problems in the garments
manufacturing.
 Good knowledge of the usual raw materials inspection systems & garments
inspection system
 Knowledge of the quota system used in each of the production countries, duty rates,
custom regulation, shipping and banking documentation etc.
 Right consumption knowledge of various goods
 Costing knowledge of raw materials
 Order getting ability
 Excellent power of motivation to improve public relations.
 Sincere& responsible
 Hard worker

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3.4 Flow Chart or Sequence of Merchandising

Co -operation with Buyer

Order Enquiry

Receiving Order Details


1. Sketch or Picture
2. Specification or Measurement Sheet
3.Materials Details

Consumption

Costing

Order Receiving (P O Sheet Received)

L/C Receiving

Back to Back L/C Opening (For Purchasing Fabric &


Accessories)

Sample Approving

Approval for Bulk Production

Related Work for Production Planning

Start Balk Production

Line Inspection

Production Follow up

Final Inspection by Buyer

Shipment to Buyer

Payment Received

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3.5 Function of a Merchandiser

When an export order is placed to a merchandiser, he has to schedule the


following main function to execute the export order perfectly in time

 Fabric requirement calculations.


 Accessories requirements calculation
 Sources of fabrics
 Possible date of arrival of fabrics And accessories in the garments factory
 Costing
 Garments production planning
 Pre shipment inspection schedule
 Shipment document

All the main functions, mentioned above are important but the procurement of
fabric and

Accessories are most important as because there are many technical parameters
involved,

Especially in this area, in most cases collection of fabric for the garments is a
major problem. To procure a fabric, we should clearly specify the technical
specification of the

Fabric during placing a fabric supply order.

3.7 Merchandising Management

Merchandising management constitutes the most significant part of textile


companies. A company starts their activities by starting the activities of a
merchandiser. When a company receives an email from buyer, then the activities of a
merchandiser start and a merchandiser always look after all activities from
production to shipment.

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 Receive email of the buyer or buying house


 Determine the actual price of the product
 Send sample of the product
 Ensure a good quality of product
 Follow up the production process.
 Monitoring the payment.

3.8 Objectives of Merchandising

Efficient Management of merchandising should ultimately result in the


maximization of sales of products. In order to minimize cost

Stated differently that the objectives of merchandising management consist of


two counter-balancing parts: -

 To maintain merchandising system for efficient and smooth


production and sales operations.
 To maintain a minimum cost to maximize profitability.

These two conflicting objectives of merchandising management can also be


expressed in terms of cost and benefits associated with inventory. So That, the
industry should minimize cost of product for increasing more sales and more profit.

3.9 Forecasting

It is an important term for merchandising. At first a merchandiser has to


decide in what type product he will produce. There are various products in textile
sector. After deciding the product then he will start for order sourcing.

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3.10 Sourcing of Buyers & Orders

One of the prime jobs of merchandisers is sourcing international buyers and


orders from them. Sourcing buyers and orders is not an easy job. It requires skill,
experience, acquaintance & intelligence. There are hundreds and thousands of buyers
sourcing fashion products from throughout the globe. Thus sourcing takes place in
two ways.

 Buyers sourcing fashion products for their clients and markets.


 On the other hand factories endeavour to source right buyers and right
products for their organization.

This match making is not so easy and comfortable matter. A factory has must
adequate working experience, good management system, safety and security system,
workers welfare system and compliance to get orders from foreign buyers. So prior
to providing orders, buyers check the vendor factory whether the concerned factory
is right one to deliver them the goods they require. The general rules that are
followed are as given below:

 Compliance test
 Streamlining all sorts of management systems in the factory.
 Safety & security of the facilities and personnel.
 Working sub-contracts for the buyers.

These checks and test gradually move from company to buyers and
merchandisers of Fakir Knitwears Ltd. Submit catalogues, brochures, samples to the
buyer due to grow the confidence of concerned buyer about quality of the factory.
Once the buyer is satisfied with the different aspects of the factory, it may start
providing orders to the factory.

In order to be successful in sourcing buyers, the following attributes are very


important:

 High quality product.


 Shipment on time.

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 Short lead time.


 Full buyer’s satisfaction.
 Employee empowerment.
 Corporate social responsibility
 All this attributes may lead to sourcing reputed buyers

3.11 Negotiations to the Buyers

One of the most important competencies of a merchandiser is his ability to


successfully negotiate with a buyer or a supplier. With these skills he generally
secures a successful order from a buyer at right price and other terms and
conditions on one hand. On the other hand he is able to place order to a right
supplier at a right cost and delivery schedule. The most important topics of
negotiations are generally fixing the price of the product. But the other issues
include order volume, lead time, delivery and payment terms.

The negotiation, also called bargaining, is a process of communication and


trading of ideas between two parties by which they make a series of demands
and compromises so as to come to a desired point of mutual acceptance so that
both parties benefit from the transaction of business. It is a series of
communication and discussion, which may go very hard but running in a
friendly environment so as to come to a mutually beneficial position. The
function of negotiation is not to push the other party to defeat rather to work out
a win-win solution so that both parties can transect business with profit.

3.11.1 Why Does A Merchandiser Negotiate?

We negotiate with a buyer or supplier for the following reasons

 We want to secure an order from the buyer or place an order to a supplier.


 We need to fix a cost/price of the product for mutual benefit
 We require lowering the cost or increase price of the product.

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 We need to fix production and shipment plan.


 We must determine payment terms and conditions mutually profitable or
acceptable.

3.11.2 The Negotiation Process

Of late, negotiation has become a science business open become successful


or a failure due to the success or failure of the negotiation technique. So a buyer
or merchandiser or supplier must be aware of the steps necessary for a
successful negotiation.

3.11.3 Merchandisers Must Adequately Know the Requirements of


Both the Parties

A merchandiser must well understand the requirements of the buyer, his


organization & supplier. The buyer has intended retail selling price in his mind. So
merchandiser must have sufficient knowledge of garments construction & standard
time of product. He may put forward suggestions so as to bridge up cost price and
buyers target price, lead time, delivery schedules etc. are issues which a
merchandiser can use for fruitful negotiation. The status negotiation often shows
up in facial expressions, body languages and verbal reactions, which a
merchandiser must well observe for successful outcome of discussion.
Merchandisers must listen to and observe the negotiating parties so as to trade
benefits own favour.

3.11.4 Merchandisers Must Adequately Prepare For the


Negotiation

Merchandiser must properly prepare for meeting & trading the negotiation.
There should be an agenda & time frame for the meeting. Merchandiser must be
fully aware of garment item to be negotiated, product price, order quantity, leading

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time, freight, garments construction, fabric consumption, cutting, making, charges


for printing, embroidery, standard time for the garment etc. so that he is fluent
about all aspects of negotiation. Full preparations from the side of the
merchandisers about all aspects help come to a successful outcome very quickly.
Merchandiser as a negotiator must have maximum & minimum position in respect
of the order, its price, delivery schedule, order volume etc.

3.11.5 Discuss the Offer

During discussion merchandiser must identify the position of the buyer in


respect of the offer and if necessary sets his boundary for farther negotiation. It is
very mush expected that different aspects of the offer may change during the
course of the negotiation.

3.11.6 Further Discussion

Merchandiser must carefully observe the tone and wording of the buyer,
his facial expression and body language interest or disinterest and where the final
boundary of the buyer lies.

3.11.7 Final or Revised Offer

This is the final stage of negotiation when details of the offer are worked
out. The details may include construction and specifications of the garment, order,
size, order quantity, leading time, freight, garments construction, fabric
consumption, cutting, making, charges for printing, embroidery, standard time,
payment terms etc. the buyer makes final offer and the merchandiser as a negotiator
must ensure that the offer is profitable for his company.

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3.12 Making an Agreement

Merchandise must make their best efforts so that negotiations culminate into real
agreements financially beneficial to his company. As soon as negotiation succeeds
the buyer communicates details to the manufacturing company represented by the
merchandiser. This detail takes the form of a master L/C, P.O shit or work sheet.

3.13 Receiving Orders from Buyer

Companies normally receive order from buyer through worksheet. A


worksheet is a document where every details of the specific garment product are
included. As soon as the worksheet at hand the manufacturing company may go for
booking order for fabrics, trims, accessories as well as making production and
shipment plants.

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CHAPTER: 4

LETTER OF CREDIT

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4.1 Letter Of Credit (L/C)

Business transactions usually begin with a purchase order placed by a buyer


with a seller. It is very easy to understand, the order, or fax received from the buyer,
is not something very reliable and secure. Although the order should be treated as an
agreement binding both parties, the buyer and the seller, it is not a guarantee or an
instruction for the seller to use to obtain payment for the merchandise shipped. For
this reason, the “L/C” comes into the picture.

Letters of credit (L/C): Letters of credit (L/C) is in general a conditional


document extended by the bank in connection with presentation of export value. L/C
pays a very dominant role in this matter. On receipt of this document from the buyer,
the exporters become sure that they would obtain foreign currency after the peaceful
shipment of the consignment directed by the buyer in the L/C. and for monetary
transactions in this connection the negotiation banks stand as a symbol of surety for
the exporters. Negotiating bank act on behalf of the exporter and is held liable or
responsible for realization of exporter’s money from the L/C opening bank.

A credit may be advised to a beneficiary through another bank (the advising


bank) without engagement on the part of the advising bank, but that bank shall take
reasonable care to check the apparent authenticity of the credit which it advises.

All credit will always clearly indicate whether they are available by sight
payment, by differed payment, by acceptance or bye negotiation. Moreover every
credit must nominate the bank (nominated bank) which is authorized to pay (paying
bank) or to accept drafts (accepting bank) or to negotiate (negotiating bank), unless
the credit allows negotiation by any bank (negotiating bank). The nominated bank
unless is the issuing bank or the confirming bank, its nomination by the issuing bank
does not constitute any undertaking by the nominated bank to pay, accept or
negotiation.

When an L/C issuing bank instructs a bank (advising bank) by any telegrams
mission to advise a credit or a amendment to a credit, and intends the mail

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confirmation to be the operative credit instrument, for the operative amendment, the
tele-transmisson must state “full details to follow” (or words of similar effect) or that
the mail confirmation will be the in that case, operative credit instrument or the
operative amendment. The issuing bank must forward the operative credit instrument
or the operative amendment to such advising bank without delay.

There are some methods of payment of export value. These are as follows:

 through letters of credit


 through advance T.T remittances
 Deferred payment
 C.A.D basis etc.

Of all the methods referred to above, letter of credit method is most popular and it is
in fashion.

4.2 Types of L/C

Letters of credit may be of different kind and nature:

1) Revocable L/C
2) Irrevocable L/C
3) Confirmed letter of credit
4) Confirmed and irrevocable letter of credit
5) Transferable or divisible letter of credit
6) Back to back letter of credit
7) Red clause letter of credit
8) Sight letter of credit
9) Usance letter of credit
10) Revolving letter of credit
11) Stand by letter of credit

All letter of credit therefore, should clearly indicate whether they are revocable or
irrevocable. In the absence of such indication the credit shall be deemed to be
revocable.

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(1) A Revocable L/C:

May be amended or cancelled by the issuing bank any moment and without
prior to the beneficiary.

In case of revocable credit, however, the L/C issuing bank is bound to:

A) Reimburse a branch or bank with which a revocable credit has been made
available for deferred payment, if such branch or bank has, prior to receipt by it for
notice of amendment or cancellation, taken up documents which appear on their face
to be accordance with the terms and conditions of the credit.

B) Reimburse a branch of bank with which a revocable credit has been made
available for sight payment, acceptance or negotiation, for any payment, acceptance
or negotiation, for any payment, acceptance or negotiation

Made but such branch or bank prior to receipt by it for notice of amendment
or cancellation, against documents which appear on their face to be accordance with
the terms and conditions of the credit

(2) An Irrevocable L/C:

Constitutes a definite undertaking of the issuing bank, provided that the


stipulated documents are presented, the term and conditions of the credit are
complied with:

The full name of “L/C” i.e. irrevocable letter of credit which means once it is
issued by the bank for the buyer and accepted by the beneficiary (the seller) , it
cannot be cancelled or withdrawn by the buyer or the opening bank, unless with the
consent of the beneficiary. In short, once the buyer opens the L/C form his bank to
cover the goods he has purchased, he will have to pay for the goods when the seller
ships the goods exactly as per as the terms stipulated in the L/C. Therefore, as far as
the seller is concerned, the sooner he has the L/C on hand, the safer he is.

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(3) Confirmed Letter of Credit:

This is such a credit for which exporter’s bank gives all sorts of surety for the
advance of payment.

(4) Transferable or Divisible L/C:

A Transferable credit is a under which the beneficiary has the right to request
the bank called upon to effect payment or acceptance or any bank entitled to effect
negotiation to make the credit available in whole or in part to one or more other
parties(second beneficiary)

A credit can be transferred only if it is expressed designed as “transferable”


by the issuing bank. Terms such as “divisible”, “fractional” assignable” and
“transmissible” and nothing to the meeting of term” transferable” and shall not be
used, in that case the bank requested to effect the transfer (transferring bank),
whether it has confirmed the credit or not shall be under no obligation to effect such
transfer expect to the extent and in the manner expressly consented to by such bank.
Bank charges in respect of transfers are payable by the first beneficiary unless
otherwise specified.

A transferable L/C can be transferred once only. The credit can be


transferred only one the terms and conditions specified in the original credit, with the
exception of the amount of the credit.

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(5) Back To Back L/C:

This type of L/C is opened against the original master L/C.

(6) Red Clause L/C:

In this credit, the export’s bank is directly to advance his dues even before they
produce all export documents to the bank. And some clause is attached there. The
manufacture must have maintained this clause.

(7) Sight L/C:

It means when the shipper ships the goods covered by the L/C, and presents the
document to the bank for negotiation, the bank (the negotiation bank) will credit the
proceeds to the shippers account immediately after checking and finding the
documents in order. When the documents are sent by the negotiation bank to the L/C
opening bank, the L/C opening bank will effect payment to the negotiation bank
immediately. Such L/C usually says “AT SIGHT” which means “pay when the bank
sees the documents”.

(8) Usance L/C:

It means L/C with time allowed for the opening bank to make payment of a foreign
bill of exchange. Or, put in another way, payment from the L/C opening bank to the
negotiation bank will only be made after a period of time as stipulated in the L/C.
The length can be worked out between the buyer and the supplier, sometimes 60
days, sometimes 90 days or 120 days.

(9) Revolving L/C:

It means that the beneficiary can draw money from such L/C up to the amount
specified by means of documents, and after drawing , the amount drawn will
automatically be replenished and is available for anther drawing another drawing and
so on.

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Various types of L.C. are present in business system. Some recognized processes are:

1) MASTER /MOTHER L.C


2) BACK TO BACK L.C
3) SIGHT L.C

(Note: in Bangladesh sight L. C OR irrevocable L / C is mainly used)

(1) In this trade initially cash money is not used. L. C is the main process
for buying & selling. When a business deal is made for buying & selling
between buyer & merchandiser then the buyer gives permission to his bank to
open an L.C. of approx amount & send it to merchandiser’s bank. Then this
bank informed to merchandiser that an L.C. is accepted. This L .C is called
MASTER L.C.

(2) Then merchandiser takes decision about the manufacturer for


collecting raw materials .when merchandiser choose supplier then he tell the
supplier to send a pro-forma invoice. After getting p .I. merchandiser tell to
his bank to open an L .C send to the supplier’s bank. This L. C is opened
from mother L .C which is given to merchandiser. This L .C is called back to
back or b to b L.C.

(3) When supplier sends the products to merchandiser, then he send a


acceptance copy to his bank & a copy to the supplier. Then the supplier can
able to get cash from his bank. At the same way merchandiser send the
product to the buyer or after shipment he also able to get cash from bank.
Shipment of goods is done by B.L (bill of leading).this system is called
SIGHT L.C.SIGHT L.C. consists of MASTER & B TO B L.C

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CHAPTER: 5

MEASURING GARMENTS

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Measuring Garments

5.1 Tops

Body width

Measure 1” below armhole and straight across from


side to side.

Body length

Measure in a straight line at point where neck trim


meets body to bottom of garment (including any
bottom trim).

Armhole

Measure in a straight line at point where sleeve joins


body at the shoulder to the point where the sleeve
meets the body at the underarm.

Sleeve length

At the top – measure from point where sleeve meets


shoulder seam, straight along fold to bottom of sleeve
(including any sleeve trim).

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Centre back – measure from centre of back where


collar joins garment to where the sleeve and shoulder
joins, then to the end of sleeve cuff or hem.

Shoulder to shoulder – measure across the back of


the garment along the shoulder seams from the outside
edge of one shoulder to the outside of the other.

Colret width – position ruler end to colret seam at


center front and measure across width of colret.

Cuff width – measure from the point where the cuff is


attached to the sleeve to the end of the cuff.

Bottom band width – measure where bottom band is


attached to edge of band.

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Bottom band opening – measure along edge of


bottom band.

Muff pockets

Opening – measure along the pocket opening from


the top of the pocket down to the bottom of the pocket
opening.

Length – measure along side of garment from the


point parallel to the top of the pocket down to the
point where the pocket meets bottom band.

5.2 Bottoms

Waist band :

Relaxed – measure distance across waist at centre of


elastic/band ½” down from top.

Stretched – measure elastic waist extended


horizontally to maximum width without breaking
stitches.

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Merchandising Procedure of Knit T-Shirt & Polo Shirt

Length:

Total length – measure along out seam from top of


elastic to bottom of leg. (A to B)

Inseam – measure from crotch seam down to bottom


of leg. (C to D)

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CHAPTER: 6

PRODUCTION PROCEDURE

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6.1 PO Sheet (Purchase Order Sheet)

Figure 6.1: PO Sheet (Purchase Order Sheet)

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Merchandising Procedure of Knit T-Shirt & Polo Shirt

6.2 PS Sheet (Product Specification Sheet)

Figure 6.2: PS Sheet (Product Specification Sheet)

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Merchandising Procedure of Knit T-Shirt & Polo Shirt

6.3 Time and Action Plan


Time and action plan is the plan, by which anybody can complete his
Assignment/Work in most successful way. It contains the time every task must be
completed to execute an order on time and alerts appropriate people when task
prerequisites are completed or if tasks are at risk of missing deadlines. In Garments
Industry Time and action plan is apply, So that Merchandiser can Hand over his
Product to Buyer in right time. It is important for all merchandiser to follow Time
and action plan.

Lead time is 60days if raw materials are sourced locally and it is 120 days if
raw materials are imported.

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Activities Date Submiss Days left Remark


ion
Order Confirmation 1st June -59
Technical Workbook Received 1st June -59
L/C Received 8th June -52
Starting Grey Fabric Production 1st June -59

Customer PO received 2nd June -58


Accessories Booking 7th June -53
Bulk fabric approval-quality 7th June -53
Bulk fabric test report 9th June -51
Starting Dyeing 5th June -55
Lab dip 8th June -52
Size set approval 12th June -48
Label/packing/artwork approval 15th June -45
Trim Test sent 4th July -26
Bulk trim – in house 8th July -24
9th
PP meeting July -21
Cut date 10th July -20
Sew Date 11th July -19
Garment Test result sent 17th July -13
Booking for PSI 21 st July -9
Completion of production 27th July -4
PSI 28th July -3
Goods ex-factory 1st August 0
Packing list sent
B/L
Negotiation with Bank

Table 6.1: Time And Action plan

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6.4 Raw Materials Booking

6.4.1 A Sample of Finish Fabric Booking

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Merchandising Procedure of Knit T-Shirt & Polo Shirt

6.4.2 A Sample of Care and Size Label Booking

Figure 6.3: A Sample of Care and Size Label Booking

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Merchandising Procedure of Knit T-Shirt & Polo Shirt

CHAPTER: 7

CONSUMPTION AND COSTING CALCULATION

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7.1 Fabric Consumption Calculation For 1 Dozen Men’s T-Shirt:

a) G.S.M (Given by buyer) Body : 145-150


Neck/Rib : 175-180
b) Sewing & seam allowances (Not given by buyer) – 1.50-3cm
c) Wastage % (Not given by buyer) – 7%
d) Measurement chart (given by buyer)

7.1.1 Measurement Chart For Men’s T-Shirt

Parameter Standard Measurement Estimated with Sewing


Allowance

a) Chest 96cm 102cm

b) HPS 65cm 70cm

c) Sleeve length 20cm 25cm

d) Arm hole 46cm 49cm

e) Neck 58cm 61cm

f) Neck width 2+2=4cm 7cm

Table 7.1 Measurement Chart for Men’s T-Shirt

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7.1.2 Formula

Cpd = L x W x 12 x GSM kg
10000000

Where,
Cpd = Consumption per dozen
L = Length
W = Width

A) Cpd (body) = L x W x 12 x GSM kg


10000000
= 70 x 102x 12 x 150 kg
10000000
= 1.28 kg

B) Cpd (Sleeve) = L x W x 12 x 2 x GSM kg


10000000
= 25 x 49 x 12 x 2 x 150 kg
10000000
= 0.44 kg

C) Cpd (Neck) = L x W x 12 x GSM kg


10000000
= 61 x 7 x 12 x 180 kg
10000000
= 0.092 kg

So, total Cpd = (A + B+C)


= (1.28 + 0.44 + 0.09) kg
= 1.81 kg

Actual Cpd = Total Cpd + 7% wastage


= (1.81 + 7%)
= 1.94 kg

So, the fabric consumption for men’s T-shirt is 1.94 kg per dozen.

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7.1.3 Consumption & Costing Calculation of Accessories required


for 1 Dozen Men’s T-Shirt

Consumption Costing per


Accessories Price/unit
per Dozen Dozen

Main Label 12 $0.06 $0.72

Composite Label (Size, Care,


12 0.05 $0.6
Content)

Gum tape 50yds=1roll 0.03 0.60 0.02

Blister poly PP 10 mm 4 $0.03 $0.12

Carton 1 $1.35 $1.35

Hangtag 12 $0.02 $0.25

Sewing thread, 40/2, 4000m=1 cone


0.35 $0.80 $0.28

Total $ 3.33

Table 7.2: Consumption & Costing Calculation of Accessories Required for 1


Dozen Men’s T-Shirt

Actual Trims and Accessories Cost = $3.33+5% (Allowance)

=$3.5/dz

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7.1.4 Costing Calculation For 1 Dozen Men’s T-Shirt

Unit Price Costing

Fabric Consumption 1.94 kg/dz $ 6/kg $11.64/kg

Accessories $3.5/dz $3.5/dz

CM (Cost of Manufacturing) $4/dz $4/dz

Total $19.14/dz

Table 7.2 Costing Calculation for 1 Dozen Men’s T-Shirt

A) Direct Cost ( Raw Materials) = $19.14/dz


B) Indirect Cost (15% of Direct Cost ) =$ 19.14*15%=$2.871
C) Total Cost (Direct Cost + Indirect Cost)= $19.14+$2.871= $22.011
D) Profit (7% of Total Cost)= $22.011*7%= $1.55
E) Price for 1 Dozen Men’s Shirt (Total Cost + Profit ) = $23.55

So, Price of 1 Dozen of Men’s T Shirt is $23.55

7.2.1 Consumption Calculation for 1 Dozen Polo Shirt:

Here,

a) G.S.M. (given by buyer): body 145 – 150


Collar (12pcs) 400
Cuff (12 x 2) 300

b) Sewing & seam allowance 1.50 – 3cm

c) Wastage % 7%

d) Measurement chart (given by buyer)

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7.2.2 Measurement Chart For Men’s Polo Shirt


Parts Name Standard Measurement Estimated with Sewing
Allowance
a) Chest 96 cm 102 cm
b) HPS 65 cm 70 cm
c) Sleeve length 20 cm 25 cm
d) Arm hole 46 cm 49 cm
e) Collar length 46 cm 46 cm
f) Collar width 7 cm 10 cm
g) Cuff length 26 cm 10 cm

h) Cuff width 3 cm 5cm

Table 7.3: Measurement Chart for Men’s Polo Shirt

A) Cpd (body) = L x W x 12 x GSM kg


10000000
= 70 x 102x 12 x 150 kg
10000000
= 1.28 kg

B) Cpd (Sleeve) = L x W x 12 x 2 x GSM kg


10000000

= 25 x 49 x 12 x 2 x 150 kg
107
= 0.44 kg

C) Cpd (Collar) = L x W x 12 x GSM kg


107
= 46 x 10 x 12 x 400 kg
107
= 0.22 kg

D) Cpd (Cuff) = L x W x 12 x 2 x GSM kg


10 7
= 30 x 5 x 12 x 2 x 300 kg
7
10
= 0.108 kg

So, total Cpd =A+ B+ C+D


= (1.28 + 0.44 + 0.22 + 0.108) kg
= 2.05kg

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Actual Cpd = 2.05 kg + 7%


= 2.19 kg

So, fabric consumption for 1 dozen polo shirt is 2.19 kg.

7.2.3 Consumption & Costing Calculation of Accessories required


for 1 Dozen Men’s Polo Shirt
Accessories Consumption per Price/unit Costing Per
Dozen Dozen
Main Label 12 $0.06 $0.72
Composite Label (Size, Care, 12 0.05 $0.6
Content)

Gum tape 50yds=1roll 0.03 0.60 0.02

Blister poly PP 10 mm 4 $0.03 $0.12

Carton 1 $1.35 $1.35


Hangtag 12 $0.02 $0.25
Sewing thread, 40/2, 0.35 $0.80 $0.28
4000m=1 cone
Button, Twill Tape, Fusing $.09
Paper
Total $3.42

Table 7.4: Consumption & Costing Calculation of Accessories Required for 1 Dozen
Men’s Polo Shirt

Actual Trims and Accessories Cost = $3.42+5% (Allowance)

=$3.6/dz

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Merchandising Procedure of Knit T-Shirt & Polo Shirt

7.2.4 Costing Calculation For 1 Dozen Men’s Polo Shirt

Unit Price Costing

Fabric Consumption 2.19 kg/dz $ 6.5/kg $14.24/kg

Accessories $3.6/dz $3.6/dz

CM (Cost of Manufacturing) $4/dz $4/dz

Total $21.84/dz

Table 7.5: Costing Calculation for 1 Dozen Men’s Polo Shirt

A) Direct Cost ( Raw Materials) = $21.84/dz


B) Indirect Cost (15% of Direct Cost ) =$ 21.84*15%=$3.276
C) Total Cost (Direct Cost + Indirect Cost)= $21.84+$3.276= $25.116
D) Profit (10% of Total Cost)= $25.116*10%= $2.511
E) Price for 1 Dozen Men’s Polo Shirt (Total Cost + Profit ) = $26.87

So, Price of 1 Dozen of Men’s Polo Shirt is $27.6

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7.3.1 Approximate Sewing Thread Consumption of Different Items

No. Product name Consumption


01 Basic t- shirt 125meter
02 Basic polo shirt 175
03 Tank top 50meter
04 Fleece/Sherpa jacket 250meter
05 Kids/girls dresses 300-450meter
06 basic long sleeve woven shirt 150meter
07 Basic short sleeve woven shirt 125 meter
08 basic long trouser/pant 350meter

Table 7.6: Approx Sewing Thread Consumption of Different Items

7.3.2 Machine Wise Sewing Thread Consumption/Inch

1.plain m/c 1 needle 2.5 inch


2.plain m/c 2 needle 5 inch
3.over lock 3 thread 13.25 inch
4. over lock 4thread 16.75inch
5.over lock 5 thread 18.75inch
6.flat lock 3 thread 16.75inch
7.flat lock 5thread 22.25inch
8.bar tack stitching Per operation Generally 7 inch

Table 7.7: Machine Wise Sewing Thread Consumption/Inch

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CHAPTER: 8

TRIMS & ACCESSORIES

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8.1 Introduction

To full fill the design objectives we need different kind of materials. Fabrics are the
main material, which used for garment manufacturing. We need other materials also,
which make the garments aesthetic, functional and commercially required. Usually
other than fabrics these materials used for making garments are called trims and
accessories’.

8.2 Trims

The raw materials used in sewing room other than fabric are called Trims.

On the other hand we can say that which materials are directly attached with the
fabric to make a garment are called trims. Like: Threads, buttons, lining, Interlining,
zippers, labels, care labels, etc. (Interlining is used as shape forming / preserving
materials.).

8.3 Accessories

The materials, which are used to make a garment attractive for sale and packing,
other than fabrics and trims, are called Accessories.

8.4 List of Trims and Accessories

SL Trims SL Accessories
1 Label (S) 1 Poly bag
2 Button 2 Elastic bag
3 Zipper 3 Mini Poly bag
4 Padding 4 Master Carton
5 Interlining 5 Inner carton
6 Down 6 Size clip
7 Elastic 7 P. P. band
8 Thread 8 Tag pin
9 Twill Tape 9 Brass pin

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10 Stopper 10 Collar stand


11 String/ Draw Cord 11 Safety pin
12 Piping Cord 12 Gum tape
13 Emblem 13 Arrow sticker
14 Logo print 14 Scotch tape
15 D- Ring 15 Barcode Sticker
16 Swivel Hook 16 Defect indicator
17 Eyelet/ Grommet 17 Tissue paper
18 Collar Stay 18 Back board
19 Cord Bell 19 Neck board
20 Buckle 20 Butterfly
21 Rivet 21 Numbering stickers
22 Weaving belt 22 Hanger
23 Hook & Eye 23 Size sticker
24 Velcro tape 24 Carton pad
25 Seam sealing tape 25 Both side tape
26 Shoulder pad 26 Plastic staple
27 Cable (Steel ware) 27 Iron seal
28 Adjuster 28 Clip
29 Rocco 29 Ball Chain
30 Elastic Threads 30 Size Tag
31 Shoulder Tape 31 Carton Sticker
32 Safety Sticker
33 Plastic clip

Table 8.1: List of Trims and Accessories

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8.5 Button

40 Ligne =1 inch =2.54 cm=25.4 mm

1 ligne =0.635 mm

 Pearl button
 Horn button: It is also polyester button
 Chalk "
 Logo "
 Polyester "
 Imitation leather
 Polyester imitation button
 Nylon button
 Jeans button
 Snap button: 2 ports & 4 ports
 Press button
 Polymath button: It is made of polyester & metal.
 Cord button : It is made of cord.
 Coconut button
 Wooden button
 Real Shell button
 Rhine stone button: It is made of metal & stone

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Figure 8.1: Buttons

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8.6.1 Types of Zipper

1. Depends on end 1. Open end Zipped:

 Right insertion of sleeve & left puller (Men’s)


 Left insertion of sleeve & Right puller (Women’s)

2. Depends on teeth size:

 3 sizes
 4 sizes
 5 sizes

It depend on teeth length it 3 mm then size 3.

3. Depend on tape:

 Polyester
 Cotton

4. Depend on puller:

 Double puller
 Single

5. Depend on slider lock:

 Auto lock
 Semi locks
 Non lock

6. Depend on teeth material:

 Nylon: shiny rainbow, shiny gold, shiny silver, antic brass.


 Metal: brass, antic brass, nickels brass, aluminium, pewter.
 plastic on darling: ivory, translucent, shiny gold, silver rainbow
 Plastic on darling: ivory, translucent, shiny gold, silver rainbow.

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8.6.2 Quality of Zipper

 AZO Free
 NICKEL Free
 Non magnetic.
 Non toxic
 A zipper tooth is not shrinking so zipper tape S/B shrink free.
 FBRIC S/B max 3% Shrinkage otherwise garment.
 Like wavy & difficult for the zipper Slider.
 To go up and down.

Figure 8.2: Zipper

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8.7.1 Packing Accessories

The Accessories which are used for garment packing during garment shipment to
buyer are called packing accessories. Packing accessories are depended on garment
packing and folding etc which is instructed by buyer. Poly bag, packing board,
tissue paper, hanger, scotch tape, gum tape, carton etc are part of packing
accessories.

Packing should be varying (as per buyer garment packing instruction) in


different orders as per instruction of buyer garments packing. , The number of one
carton garments it is weight on depend carton quality. Understand quality of carton
follow 3 ply, 5 ply, and 7ply. The number of carton is high ply number it is very
much it is hard and strong. The sea frights depend on dimension of the export carton
and the air frights depend on dimension of the export carton or gross weight of the
carton.

8.7.2 Type of Carton

1. Depend on paper:

 Khaki carton or brown carton


 Duplex carton
 Box carton

2. Depend on stitching :

 Stitching carton
 Now stitching /gum pasting carton or metal free carton

3. Depend on ply:

 3 ply carton
 5 ply carton
 7 ply carton

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4. Depend on liner:

 Both side liner cartons


 Outside liner carton

5. Depend on size:

 Master carton
 Inner carton

8.7.3 Carton Measurement

Formula (1) = (l+w) (w+h) x2 in cm (without wastage)

100x100

Formula (2) = (l+w+6) x (w+h+4) x 2/10000 (include wastage)

Price = (l+w) (w+h) x 2 x rate per square meter

100x100

= rate/pc

Example, here, l=54cm, w=33cm, h=18cm,

From (2) = (54+33+6) X (33+18+2) X2/10000

= 0.99 Square Meter.

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8.8 Care Instructions

8.8.1 Machine Wash Cycle


Icons What it means
Regular/Normal Cycle with regular agitation and spin speed may
be used.
Use Permanent Press/Wrinkle Resistant washer setting (which
has a cool down or cold spray before the reduced spin).
Use Gentle/Delicate washer setting (slow agitation and/or
reduced wash time).
Hand wash only

Do not Wash

Do not wring by hand or use rollers on wringer washer. Hang


dry, drip dry or dry flat.

8.8.2 Water Temperature


Icon What it means
Maximum water temperature 200°F/95°C.

Maximum water temperature 160°F/70°C.

Maximum water temperature 140°F/60°C.

Maximum water temperature 120°F/50°C.

Maximum water temperature 105°F/40°C.

Maximum water temperature 85°F/30°C.

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8.8.3 Tumble Dry Cycle

Icons What it means

Machine dry

Use Normal Cycle setting

Use Permanent Press/Wrinkle Resistant Cycle setting

Use Gentle/Delicate Cycle setting

Do not tumble dry

8.8.4 Heat Setting

Icons What it means

Set dryer at any heat.

Set dryer at High heat.

Set dryer at Medium heat.

Set dryer at Low heat.

No heat/air.

Do not dry (used with do not wash).

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8.8.5 Iron - Dry or Steam

Icons What it means


Iron - Ironing is needed.

Iron using High temperature setting.

Iron using Medium temperature setting.

Iron using Low temperature setting.

Do not iron or press with heat.

No steam - iron without using steam.

8.8.6 Dry-Clean - Normal Cycle


Icons What it means
Dry clean.

Dry clean using any solvent.

Dry clean using any solvent except trichloroethylene.

Dry clean using Petroleum solvent only.

Do not dry clean.

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8.8.7 Special Dry Clean Instructions

Icons What it means


Low heat.

Short cycle.

Reduce moisture.

No steam finishing.

8.9.8 Special Instructions


Icons What it means

Line dry/hang to dry - hang damp from line or bar and allow drying.

Drip dry - hang wet on plastic hanger and allow drying with hand
shaping only.
Dry flat - lay garment on flat surface.

Dry in the shade.

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CHAPTER: 9

FINAL INSPECTION

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It Will Conduct Final Inspection per AQL 2.5 Major & AQL 4
Minor.

9.1.1 General Overview of AQL Inspection

AQL, the abbreviation of the acceptable quality level, is a parameter rather than an
inspection standard. The Inspection of goods shall be in accordance with the bulk
range, the inspection level, and the AQL to determine the number of samplings and
the ratio of qualified and inferior goods. The quality inspection adopts a one-time
sampling program, and,
The AQL is 2.5,
The Level of Inspection: Normal

9.1.2 AQL Table (Inspection Table)

SL Lot/ AQL Max no AQL Max no AQL Max no


No Quantity(GMTS 1.5 defective 2.5 defective 4.0 defective
size in units) allowed allowed allowed
1 51-90 8 0 20 1 13 1
2 91-150 32 1 20 1 20 1
3 151-280 32 1 32 2 32 3
4 281-500 50 2 50 3 50 5
5 501-1200 80 3 80 5 80 7
6 1201-3200 125 5 125 7 125 10
7 3201-10000 200 7 200 14 200 14
8 10001-35000 315 10 315 14 315 21
9 35001-150000 500 14 500 21 315 21
10 150001-190000 800 21 500 21 35 21

Table 9.1 AQL Table (Inspection Table)

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Figure 9.1: A Sample of Final Inspection Report

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CHAPTER: 10

SHIPMENT

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10.1 Documentation for Shipment

 Packing list
 Commercial invoice
 ERC(export registration certificate)
 Bank account.
 Bill of Lading.

10.2 Terms of Trade:

C&F (Cost and Freight)

 The seller/supplier agrees to contract the freight and pay "cost and
freight" for loading the goods, cleared for export, on board a vessel
and the charges to ship the goods to destination. The buyer bears
the risk of the goods from the time they pass the ship's rail at the
port of shipment and pay for the insurance coverage, and for the
unloading costs at the port of destination.

CIF (Cost, Insurance, Freight)

 The seller's price includes all charges, freight and insurance up to


the point where the ship carrying the goods arrives at the port of
destination; the goods must be cleared for export by the seller.
From that point the buyer has to bear all charges and risks,
including unloading costs.

CM (Cut and Make)


 This refers to the manufacturing cost and this term means "cut and
make". The buyer supplies all the materials to the manufacturer.

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CMQ (Cut, Make and Quota)

 This term means "cut, make and quota" and is similar to 'CM'
except that the manufacturer has to supply the quota as well.

FOB (Free On Board)

 This term means "Free On Board". The supplier is responsible for


all charges (including export licenses, export taxes, etc.) and risks
until the goods have passed over the ship's rail at the port of
shipment; the merchandise must be cleared for export. The buyer
contracts and pays for the freight and bears all risks for loss or
damage to the goods as soon as the merchandise passes the ship's
rail. The buyer also pays for all import duties and clears the goods
through customs at the point of destination.

FOB AIRPORT (FOA)

 This is similar to the term FOB except that the mode of


transportation is an air carrier. The supplier fulfils his obligations
after he has delivered the goods to the air carrier. The goods must
be cleared for export by the supplier.

Export Licence

 In Hong Kong, export licenses are needed for all garments and
textile products. The licenses are issued by the Trade Department.

Packing List

 This is a document that indicates the contents of each individual


carton/ package in the container. The packing list includes the
cubic measurement of the cartons/package, the weight, the number
of cartons/packages, the breakdown of the goods by
size/colour/quantity. This document is prepared by the seller or the

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ship owner, and the buyer can specify which information should be
included.

10.3 Bill Of Lading (BOL)

It is a major document if the goods are dispatched by sea.

The document represents:

 A formal receipt for the goods


 The evidence of the contract of carriage of the goods between the
shipper of the goods and the shipping company
 The document of title to the goods

A description of the goods in general terms not inconsistent with that in the letter of
credit

10.3.1 A Bill Of Lading May Include the Following Details

 Identifying marks and numbers, if any.


 The name of the carrying vessel.
 Evidence that the goods have been loaded on board.
 The ports of shipment and discharge.
 The names of shipper, consignee (if not made out "to order"), and name and
address of the "notifies" party if any.
 Whether freight has been paid in advance or is payable at destination.
 The number of original bills of lading issued.
 The date of issue.
 The departure date of carrying vessel or aircraft.

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10.3.2 Types of B/L

Non negotiable bill of lading. Consigned


Straight bill o lading directly to importer. Consigned directly
to third party.

Needed for documents and. Revenue


Memo bill of lading
purpose. Short shipment and advance.

Non negotiable of lading. Consigned


Express bill of lading directly to third party. Hard copy is not
required by shipper.

10.4 Shipping Terms

Consignee

The person whose name appears on the bill of lading or airway bill as the
party to whom the goods are to be delivered by the carrier

FCL (Full Container Load)

A fully loaded container which may be in weight or cubic measurement


terms, contracted by one shipper, and conveyed to one consignee and to one
destination

LCL (Less Container Load)

A consignment of cargo which does not fill a full container, grouped with
other consignments for the same destination.

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Shipper

This is the person whose name appears on the bill of lading or airway bill as
the party who has contracted the carrier to dispatch the goods.

Shipping Marks

These are marks essential to identifying cargo and linking that cargo with
specific documents. Because these marks are important as identifiers, the
marks and numbers should be as simple as possible. Shipping marks include
the abbreviated name of buyer, reference number, destination, package
number, and container number (if applicable).

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Conclusions

Now-a-days it is impossible to think about a successful garment business


without having merchandising department.Today’s garments fully depend on
merchandising. A good merchandiser can develop the quality of product and increase
the sales of the product. Merchandising is a big job and is a complex one. It is so
much important in our textile industry.

Now a days the exporting Garments Industries are facing a lot of challenges because
of changing demand of world. Besides this many competitors around the world are
also a main factor that making this industry challenging. So Fakir Knitwears Ltd
should take proper step to survive properly in this sector by rectifying its weakness.
Its should decentralized its function for accelerating its action in right time. They
should justify competitive key factors in the management practices like cost, product
quality, image & reputation, distribution & control of resources, capabilities etc.

From the learning point of view we can say that we really enjoyed our internship at
Fakir Knitwears Ltd from the very first day. We are confident that these two months
internship program at this Garments factory will definitely help us to realize and set
our carrier in professional life.

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Recommendation

It was a great pleasure for me to work in merchandising sector of Fakir Knitwears


Ltd which provided me a wide range of scope to observe different function of
merchandising department in industry through the cordial assistance of the
employees and seniors. All the employees of Fakir Knitwears Ltd tried to give
optimum service. During our internship we observe the organization closely and tried
to find out some field where it can improve.

 Fakir Knitwears Ltd should take their necessary decisions promptly.


 It should appoint efficient designer to innovate new ideas of fashion design
for sample section.
 It should introduce new marketing department for establish the marketing
plan.
 It should introduce modern technological facilities for every department.
 It should provide transport facilities and entertainment allowances.
 It would have to introduce expert research and development unit to maintain
operational control.
 It should look forward to taking more certification and get involved with
more social activities

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References

Engr. Md. Faruk Hosen, Basic Knowledge of Apparel Manufacturing &


Merchandising. (1 st ed.). Dhaka: Books Fair Publiscations.

M.A Kashem, Garments Merchandising. (1st ed.). Dhaka: Lucky One Press.

Conway Liu, How to be a smarter Garments Merchandiser. Hong King: V.M.C.


Fashions Ltd

M.A Razzak, Garments & Textile technology. Dhaka.

D J Spencer, Knitting Technology. A comprehensive handbook and practical


guide.(3 rd ed.) Cambridge:Woodhead Publishing.

Md. Shafiqul Islam Hitler, Bangladesh Garments and Textile Directory. Dhaka

Websites:

http://www.bgmea.com.bd/

http://www.bkmea.com/

http://www.epb.gov.bd/

http://www.fakirnit.com

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