levi's re-enters the organic jeans market

07/12/2006 11:36:00 PM (1)
Levi's recently announced they we launching jeans manufactured with organic cotton in the Fall of 2006. This isn't so much a launch, but more of a re-launch, Levi's was one of the first jeans brands to bring organic cotton to the market, but withdrew because of lack of interest and demand.

Now, the global scene looks a little different with the Loomstate, Edun, Howies and Kuyichi all in the market, companies who have built their businesses around organic product.

Kuyichi is an interesting company, one that has built its business around social responsibility and ethics. The company is based in Holland and has been in operation for 5 years. They source their organic cotton from Peru. Interestingly, the company was established by Solidaridad, a Dutch church-based development organisation focusing on Latin America, but 33% of the company is owned by the socially responsible bank, Tridos.

Solidaridad intends to sell its shares back to the farmers who produce the cotton. Currently, these farmers recieve a price 35% above the world average for their cotton.

Levi's clearly believe that they can use the foundation the niche organic players have built, as springboard to reach a broader audience.
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Organic Levi's
With all the noise about organic stuff, I think lack of interest and demand won't be much of a problem for Levi's now.
Posted by Stephen Kent on 07/13/2006 05:39 AM
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