Rising Cotton Prices Won’t Make Undies More Expensive After All

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Photo: Courtesy of Hanes.

Previous concerns that the skyrocketing cost of cotton would result in rising retail prices for items like Hanes cotton panties are being quelled by underwear companies, who say they’re planning to keep their prices the same. Hanes, Jockey, and Victoria’s Secret are all trying to find ways to absorb the extra overhead cost of cotton, which rose to $1.02 a pound in October (its highest level since 1870) compared to 59.2 cents a year earlier due to crop shortages in India and Pakistan and a rising demand in China. Rather than charging consumers more, the companies are looking for cheaper places to source cotton, like Vietnam and Bangladesh, where they can pay workers less money to pick it. Explained Victoria’s Secret CEO Sharen Turney, “Victoria’s Secret is an emotional brand, and we do not see our retail prices going up.”

Innerwear Firms Battle Rising Overhead Costs [WWD]

Earlier: Those Hanes Cotton Undies Are About to Get a Lot More Expensive