Textile and garment shipping strategies to minimize costs

The garment and textile industry in Indonesia is a key pillar of the nation's economy, contributing approximately 6% to the country’s gross domestic product (GDP)¹. Looking ahead, Indonesia's textile and garment exports are expected to continue growing, driven by the country’s low-cost production. Projections indicate that by 2032, these exports will reach US$18.2 billion, with a compound annual growth rate (CAGR) of approximately 8.6% from 2023 to 2032.²

However, one significant challenge faced by manufacturers in the industry is the shipping of garments in large rolls. Textiles and garments are often packed in large rolls to facilitate easier handling and reduce wrinkling during shipping. As a result, these oversized shipments incur high surcharge costs, making it more expensive to export them to suppliers or customers globally.

To streamline operations and minimize costs, we’ll explore efficient and cost-effective textile and garment export strategies below.

The Indonesian textile and garment industry landscape

The textile and garment industry in Indonesia is a significant driver of the nation's economic growth, employing over 3.7 million people.

As one of the top ten textile producers globally, Indonesia holds a strong position in the international supply chain, with 70% of its textile and clothing production used to meet global market demands. By 2030, the country is expected to rise among the top five global textile manufacturers, further solidifying its role in the industry.³

Given the scale of the industry and its reliance on high volumes of textile and garment exports, manufacturers must seek efficient international shipping solutions. Streamlining shipping from Indonesia is crucial to ensure timely deliveries, reduce costs, and maintain the competitiveness of Indonesia’s textile and garment exports in the global market.

Understanding shipping costs for garment rolls

Shipping costs for bulky items, such as finished garments or fabric rolls, are often higher due to oversized surcharges. These charges apply because large rolls take up valuable space in cargo holds that could be used for other goods.

When shipping fabric rolls, the chargeable weight is often based on volumetric weight rather than actual weight. This is because volumetric weight takes into account the size of the package, not just its physical weight. Since fabric rolls are large but lightweight, their volumetric weight is typically higher than the actual weight, making it the determining factor for shipping costs.

For manufacturers, this can result in unexpected fees that erode profit margins. These additional shipping costs can add up quickly, making it essential for manufacturers to find ways to optimize packaging and reduce the overall size of their shipments to minimize these extra charges.

Strategies for minimizing shipping fees for garment rolls

Below are practical strategies on how to ship fabric or garment rolls to minimize shipping fees and enhance the overall shipping process.

1. Optimizing packaging for garment rolls

To reduce shipping costs for garment rolls, it's important to optimize your packaging methods.

Stack the rolls horizontally in tight rows, starting from the back of the crate or container, and arrange them closely to minimize empty space. Then, secure the rolls with durable straps or braces to prevent shifting during transit.

Consider custom-sized boxes or crates that fit the exact dimensions of the rolls, thereby reducing unused space and minimizing the need for excessive filler materials. This efficient packaging minimizes volumetric weight, ultimately lowering shipping costs.

2. Consolidating shipments for greater efficiency

Combining multiple garment or fabric rolls into a single, larger shipment can significantly reduce shipping costs. By grouping items together, manufacturers can reduce per-unit shipping costs and avoid paying multiple minimum charges or oversized surcharges. This approach maximizes cargo space utilization, reducing overall expenses.

3. Selecting optimal international shipping services

To ensure you make the most cost-effective choice, it's important to understand how carriers calculate shipping costs for bulky fabric rolls on international shipments.

For example, DHL Express Indonesia uses a dim factor of 5,000 in its dimensional weight formula: length x width x height / 5,000. This approach factors in both actual and volumetric weight to determine the shipping cost.

Moreover, various types of international shipping services can impact the overall export cost. For instance, same-day or next-day delivery is ideal for time-sensitive shipments, but these come at a premium cost. If speed is less of a concern, opt for slower, more cost-effective options like standard shipping.

By evaluating both cost and delivery time, you can select the optimal shipping service that best meets your needs.

4. Leveraging technology and expertise for efficient garment shipping

Advanced shipment tracking systems significantly improve visibility in the garment shipping process, enabling manufacturers to monitor shipments in real-time. This visibility enhances planning, enabling the detection of potential delays early and allowing for quick adjustments as needed.

Digital documentation is also essential to avoid errors and ensure smooth operations, as manual paperwork mistakes can lead to costly shipping delays or customs issues.

Partnering with an international shipping service provider specializing in textile and garment exports brings the expertise needed to navigate complex logistics, streamline operations, and reduce risks, ultimately improving the efficiency of global shipments.

How DHL Express Indonesia supports garment exporters

DHL Express Indonesia provides tailored solutions for the garment and textile industry in Indonesia, enabling businesses to overcome challenges associated with bulky shipments, particularly rolls of garments.

Here's how we can assist:

• Expert advice on packaging best practices: DHL Express Indonesia offers free consultations with Certified International Specialists to help optimize your garment export packaging for international shipments.
• DHL calculator for cost estimation: The DHL calculator enables businesses to accurately estimate shipping costs, taking into account both actual and volumetric weight, ensuring cost-effective planning for international shipments.
• Reliable and secure delivery: Our couriers ensure that large items and bulk fabric roll shipments are delivered safely and on time. We also offer real-time tracking systems for full visibility throughout the shipping process.
• Extensive customs knowledge: With expertise in international regulations, our specialist team simplifies customs clearance, reducing delays and avoiding paperwork issues that could impact timely deliveries.

Partner with DHL Express Indonesia for efficient textile and garment shipping

As we’ve discussed above, efficient textile and garment shipping can help Indonesian manufacturers remain competitive and profitable in the global market. By optimizing packaging, consolidating shipments, and utilizing expert shipping services, businesses can minimize costs and improve their operational efficiency.

Open a business account with DHL Express Indonesia today to access reliable, cost-effective international shipping solutions for large fabric rolls and bulk garment shipments.

Get started today and streamline your export operations with us.