2021 Price Catalog – Pura Vida Paragliding

Numerous paragliding equipment manufacturers in Southeast Asia have been experiencing serious logistical and production problems in recent months due to COVID-19, hindering their ability to distribute and sell their products. Factories in Vietnam are bearing the brunt of the impact due to the implementation of strict health protocols: factory closures, worker layoffs, and shortages of production materials.

The international supply chain is currently facing an imminent increase in freight costs due to rising fuel prices and a shortage of shipping containers. Manufacturing materials and all imported finished products will inevitably see price increases that will ultimately impact the end consumer.

After four months of a health-related lockdown in Asia, there are practically no units left in factory warehouses. International demand remains, but there is no production. Delivery times are being delayed, no delivery dates are being given, and even the manufacturers themselves are not optimistic that this will change in the short term.

The strong demand for items, the rise of up to 15% in the price of materials used in the manufacture of paragliders, added to the high costs of paying maritime freight and the shortage of containers to move merchandise, are creating a "small perfect storm" in the logistics sector that will impact the increase in prices of all products, which will also affect free flight sports equipment.
The inflationary effects of this crisis are already being felt, directly impacting the logistics chain, the backbone of trade. Logistics is experiencing price increases across the board: fuel, freight, raw materials, maritime transport, and even customs duties.

Due to the pandemic, this impact had already been anticipated by numerous manufacturers in Southeast Asia, particularly for products containing plastic and textiles. This is because global economies have begun demanding oil and plastic resin, and international freight costs have also increased to over 1001 TP3T.

Companies that manufacture paragliders, mostly in Southeast Asia, lack the tools to maneuver against this disruption in the supply chain, so the effects will be reflected in higher prices for the end consumer.

All items whose manufacture requires Dyneema, Kevlar, or plastic are experiencing price increases. These increases can range from 151 to 201 times the cost of goods, depending on the product. And it's not just manufactured goods. The impact of high maritime freight costs affects all types of merchandise. The effect is similar to when the price of gasoline rises, affecting all products and services and measurable in the cost of basic necessities; it's a cross-cutting issue that leaves less profit margin.

All imported products, especially those from China, will be most affected by the price increase, particularly textiles and related accessories. There are already shortages of some items, such as certain colors of ripstop fabric, because major suppliers are running low on stock. Inventory arrives late and at higher prices. Anything imported from Asia is experiencing scarcity and, consequently, price increases.

The exact percentage of price increases has not yet been determined, but the impact is already being felt in some products. A price increase of between 151 and 201 times the original amount will be a reality by the end of 2021. Restructuring production processes, cutting back on product manufacturing, and allocating vacation time to staff are among the alternatives that businesses have pursued to mitigate the impact of material shortages. In the paragliding sector, the need to pass the cost on to the end consumer is evident.