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Monday, 22 March 2021 12:18

Suppliers engage in illegal sale to rid of unsold stock

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To rid themselves of the excess stock created by cancelled orders over the past 12 months, suppliers are selling branded clothes illegally across Asian markets. As per Asian Insider, these merchants usually pay in cash and take the delivery directly from the factories.

An investigation in a secondary market reveals, buyers buy the stocks from manufacturers and sell it to countries where there are likely to be no patent problems or they can change the label to a desired one to sell it to any country. They are doing it basically to get cash in hand to keep the factory running for the present. However, their trade is deemed illegal as the merchandises were meant for export and thus executed under Tax free bonded facility.