MIGLENA HRISTOVA’S factory near the Danube is among a growing number in southeastern Europe positioning themselves to help top brands adjust to faster fashion cycles.

Bulgaria, Romania and other countries in the Balkan region have established a foothold in the luxury market and fashion houses from Paris and Milan are quietly building a bigger presence as they feed demand for a quicker turnover of styles.

More affordable labels have long produced bags, scarves, clothes and shoes in southeastern Europe, but margins are becoming slimmer as Balkan companies jostle for that business with China, Turkey and, increasingly, Africa.

The luxury sector is expected to grow up to 5 percent this year, outpacing fashion as a whole, encouraging southeastern Europe to focus its efforts on attracting more upmarket clients alongside competitors such as Portugal.

“In the more luxury segment you make fewer pieces but they are more profitable, which is why we are now targeting them,” Hristova said at her factory in Bulgaria’s Rousse, where some 40 workers stitch dresses, women’s tops and trench coats.

She said orders and inquiries from top brands were increasing and she has invested in machines to do the specialized stitches, buttons and ironing they demand alongside hand sewing, which is sometimes done through contractors.

“Convenience and proximity are only two of the precise criteria used by the group to pick its suppliers; the essential requirements are quality, reliability and the respect of company conduct codes,” said Italy’s Armani, which confirmed it had some suppliers in eastern Europe.

While top French and Italian luxury houses have experimented with manufacturing outside their home base for years now, it is often for more basic garments such as branded T-shirts.

But the need for small batches of work, done fast, to exacting standards, is growing.

Gone are the days when everything was geared towards a few pre-seasonal catwalk shows giving them months to roll out their collections. Now they depend on social media influencers whose audience is spoilt for choice and hungry for something new.

“You need different producers, more capacities with shorter lead times,” said Achim Berg, head of global apparel, fashion and luxury practice for management consultants McKinsey.

Almost 80 percent of 200 luxury industry executives it surveyed saw proximity sourcing as a growing trend. It said luxury fashion is expected to grow 4 to 5 percent this year.

“This is benefiting local producers in the southeastern European region,” Berg said. (SD-Agencies)