The export company Grupo Denim announced the opening of its new manufacturing facility located in Managua, Nicaragua. The facility, which measures 13,500m2, required an investment of approximately US$21 million and is currently generating nearly 900 direct jobs.
Senior officials from the Government of Nicaragua and the Government of Mexico, as well as top company executives and representatives of the private sector, were present during the event and also toured the company’s new facilities.
Grupo Denim offers laundry and finishing services, ironing and clothes packaging, with a specialized area for wet and dry processes and another for finishing. The company currently has a production capacity of 400,000 units per week.
Salomón Juan Marcos Villareal, President of Grupo Denim, said the company selected Nicaragua due to the “favorable investment conditions, such as the benefits granted by the free zone regime, the excellent labor force, the Government’s support through its various institutions and organisms, such as PRONicaragua and the National Free Zones Commission, and finally because of the contract with our current client Vanity Fair (VF).” Marcos Villareal also said the company’s future plans include doubling the amount of direct jobs and establishing a sewing plant.
“Grupo Denim’s investment represents a major step forward in strengthening the value chain of Nicaragua’s textile industry. The establishment of a subsidiary like Grupo Denim in the country will enable us to manufacture more complex and added-value products. One of Nicaragua’s main advantages is its proximity to key markets such as the U.S., allowing companies to react quickly to fashion trends”, commented General Álvaro Baltodano, Presidential Delegate for Investments of Nicaragua.
Grupo Denim was founded in 1990 in Mexico and has become a major manufacturer and exporter of finished products to the U.S. Its volume of garments per month is 1.6 million and employs more than 7,000 workers at its 7 facilities in the U.S., Mexico and recently, Nicaragua. Their customers include famous brands such as Wrangler, Lee, Eddie Bauer, DKNY and Tommy Hilfiger.
