Back to Chain of Value

FREQUENTLY ASKED QUESTIONS

You may have a lot of questions regarding our Chain of Value? Below you can find a selection of answers to your questions.

why did you make this site ?

By studying our chain of value, you will realize that the 21st century supply chain in the textile industry is incredibly complex. Branding something ”made in ...” is just half the story, and the rest is often left untold. We want to tell the full tale.

Our intention with opening up our chain of value is to increase awareness about the whole process behind making garments and the people who make them. We strongly believe in the importance of supply chain transparency, to give you knowledge about how our clothes are made, and a reference to the price you pay.

We hope that you will take the time to explore our chain of value, and that we’re able to make you curious about how everything is connected. 

what does chain of value mean ?

We do not make our clothing by ourselves. Our chain of value is the network of suppliers involved in the manufacture of our clothes. It covers the companies involved in sewing the garments, the mills that weave the fabric, as well as the suppliers of cotton, accessories and labels.

Another common word is supply chain, or chain of supply.

Are all of your suppliers included on the map?

All suppliers in the two final stages of our chain of value, namely sewing factories and fabric mills, are listed on the map. We do not always have complete information about earlier steps, namely suppliers of yarns and raw materials, such as cotton.

It is an incredibly long journey from the cotton field to a finished garment. On the journey the cotton undergoes a series of transformations, and is passed up along the chain of supply until it reaches its end destination.

When we are tracing information about the origin of our products, we are starting from the top and working our way down the chain of value. Therefore the longer down the chain we go, the more difficult it will be to obtain accurate information.

Traditionally there has not been much customer demand for information about the origin of raw materials in textiles. Therefore most companies in the industry has not invested and built the infrastructure necessary to accurately trace and store information about the origin on a product-by-product basis.

We consider this site a first step, and a never ending work-in-progress. We will always strive to provide as accurate and extensive information about the origin of our products as we are able to give you.

The information about cotton seems particularly incomplete. Why is that?

To weave fabrics, the weavers buy cotton yarns. To make cotton yarns, the yarn spinners buy raw cotton.

When we are tracing the origin in our products, we ask the fabric mills where the cotton yarn is from, and where the raw cotton is from. To trace the raw cotton origin, the weavers in turn need to ask the yarn spinners where the raw cotton is from, - on a yarn-by-yarn basis. As each fabric can consist of hundreds of cotton yarns, where the raw cotton may be a blend of cotton from different countries and farms, this is a daunting task if you don’t have a good system to trace and store this information.

As you can imagine, this search for information takes a lot of time, as there are a lot of parties involved. Often the best we can do is to get information about where the yarns are spun, and a general list of countries where the yarn spinners buy cotton. By working close with our suppliers, we hope this is an area we can improve on for the future.

Why do you produce in Portugal?

Embossed in the core philosophy of Livid is that our products should be made under fair, safe and legal conditions. As a microscopic brand in a highly competitive and price-driven business, which is largely unfair towards the people who work in it, this is much easier said than done.

We early on decided to base our production within the EU. As the EU has strict labor and environmental laws at place, this was a strong starting point for our brand, which does not have the resources for a comprehensive compliance-monitoring program. It is also an important point for us to keep production close, allowing us to visit and follow up more easily.

With strong roots in the textile industry, Portugal fell as a natural choice for us, to ensure that the products would also meet our quality standards.

Lastly, but importantly, we are a strong supporter of the principle of Decent Work. As defined by the ILO, Decent Work involves security at the workplace, as well as a fair wage and working conditions. Portugal have a strong set of labor laws, and scores an impressive 47 out of 49 on the Decent Work Checklist created by the Wageindicator Foundation.

Generally a living wage is defined as the wage necessary for a family to survive on, and live decent lives. The wage should cover the costs for basic needs (food, housing, transportation), as well as a margin for other expenses. It is not easy to define what a living wage of a region should be, but what is clear is that the legal minimum wage in many countries obviously fails to meet the criteria.

The Wage indicator Foundation is at the forefront in comparing global minimum wages with living wages. Portugal stands out as one of the few countries, heavily invested in the textile industry, which have a legal minimum wage above the living wage. To us this means a lot, in an industry where most of the production is done in countries where the living wage is significantly higher than the living wage. In the worst cases the living wage can be 7 times higher than the minimum wage, and well below the poverty line.

thank you for questioning

We hope you found the answers to your questions sufficient. If they didn’t get addressed, please don’t hesitate to contact us on help@lividjeans.com.