ZURICH, Switzerland — December 2012 — The International Textile Manufacturers Federation (ITMF) has
released the 2012 edition of its biennial International Production Cost Comparison – the only
consolidated source for benchmarking the yarn and fabric production costs prevailing in 9 of the
world’s most important textile manufacturing countries: Brazil, China, Egypt, India, Indonesia,
Italy, Korea, Turkey and the USA.
The report is designed to highlight the implications of the ever-increasing capital intensity
of the primary textile industry, by tracing the impact of cost factors borne by manufacturers and
presenting them on a standardised basis. This allows the reader to readily compare elements of
total manufacturing costs across representative production facilities.
The presentation of manufacturing and total yarn and fabric costs incorporates a detailed
breakdown into the various cost components per kilogram of yarn and per meter of fabric, showing
their relative importance and influence in the countries under review.
The International Production Cost Comparison incorporates a wide range of cost factors, from
externally-determined factors like raw material and machinery prices through to the local prices of
labour, energy, water, capital, and many other inputs to production.
The textile industry segments analysed are Spinning, Texturing, Weaving and Knitting, and
individual results are supplied for ring-spun, o-e, and textured yarns, and for fabrics woven and
knitted from each of these yarn types.
Manufacturing costs covered in the report are based on parameters specified by the textile
machinery companies Rieter, Oerlikon Barmag, Picanol and Mayer & Cie., and thus the
representative cost structure for each country is derived from both “bottom-up” (investment
analysis) and “top-down” (surveyed) standpoints. While not attempting to exhaustively explain the
final sales price of yarns and fabrics, the International Production Cost Comparison nonetheless
provides a unique basis for considering variations in international costs on a technically robust,
yet accessible, foundation.
The CD-ROM of the 2012 edition of the International Production Cost Comparison (IPCC) can be
purchased from the ITMF (http://www.itmf.org/wb/pages/home/publications.php).
Posted on January 16, 2013