Zara going to Production Deal With Russian Factory…

Spanish clothing brand Zara has reportedly agreed on a deal to produce hats and scarves in a Russian textile factory after a year of negotiations.

A currency devaluation and sharp economic downturn in 2014 led fashion chains OVS, River Island and Esprit to leave Russia, while Zara rolled back expansion plans. Last year, Russia’s consumer watchdog forced Zara to stop the sale of “dangerously unbreathable” shirts over violations of local safety requirements.

Clothing giant Inditex, the parent company of Zara, signed a deal with Morozovskiye Traditsii, a Russian clothes factory based in Tver, 175 kilometers north of Moscow, anonymous sources told the RBC business portal Tuesday.

LEAVE A REPLY

Please enter your comment!
Please enter your name here