More than 3,200 jobs have been lost in Northern Ireland's textiles and clothing sectors over the past 15 months, according to statistics published this week. Research carried out by business consultants points to another 13,500 jobs being under threat over the next five years.

Several weeks ago a number of the North's more promising textile companies took part in a British government-sponsored visit to South Africa to examine the potential of outsourcing some of the garments they currently produce in Northern Ireland.

The fact-finding visit was backed by Trade and Development Minister Sir Reg Empey and was arranged by the Northern Ireland Textile Association, the organisation established to promote the industry locally and internationally. Northern Ireland's traditional textile sector is in crisis, jobs are being lost on an almost weekly basis, companies are closing down entire operations and in some cases, such as Bairds, planning to leave the North for good.

Why then, some trade unions are currently asking, are some of the sector's best hopes being encouraged to consider establishing new operations outside Northern Ireland by the people largely responsible for promoting the industry?

The answer is simple: economics, according to Ms Linda McHugh, director of the Northern Ireland Textile Association. "Trading conditions are very, very tough. The competitive pressures in the marketplace and the strength of the pound means that some companies have been suffering for a long time.

"The truth is, it is cheaper to manufacture offshore, but outsourcing is not the answer to everyone's problems. Some companies are too small to consider outsourcing, others operate in the `high added value' niche market where outsourcing would not be an advantage.

"However, outsourcing is one option that many companies at least need to consider in the current climate," Ms McHugh added.

She believes companies that operate highly mechanised factories and which are challenged by labour costs are the most likely to look at offshore outsourcing.

The textile sector in Northern Ireland is repositioning itself for the future and it has to look at a range of different options. There has been a severe price deflation in clothing on the high street which, combined with rising operating costs, has led to firms outsourcing offshore, she explained.

"Offshore sourcing is not about making a quick buck, a balanced offshore policy is an opportunity for companies to grow their business and secure jobs in Northern Ireland," Ms McHugh said.

The best example of outsourcing in the North is Desmonds, a family-owned business that employs more than 2,250 people in Northern Ireland and about 1,750 people overseas.

Desmonds is currently operating three joint ventures in Sri Lanka and Bangladesh and has also established alliances with a family-owned company in Turkey. It has a total of eight factories spread throughout Northern Ireland.

The company, which is one of Marks & Spencer's key suppliers, began sourcing offshore production almost 15 years ago.

Group chairman Denis Desmond said: "We recognised at that time that there were certain products that could not be manufactured cost effectively in Northern Ireland.

"The products we were sourcing overseas were not replacing products that were manufactured in Northern Ireland, because we simply could not have maintained production there due to the costs."

Mr Desmond says its strategy is simple. "We want to be able to provide a product at a price the customer is willing to pay and our policy is to have the manufacturing resources and the skills to make a product in any one of our locations."

"My belief is that we need offshore manufacturing to give us the edge and to remain competitive on a cost basis," Mr Desmond said.

The company's sole customer is Marks & Spencer and although the retailer's fortunes have slumped in recent years, Desmonds continues to supply it with a range of clothing from pyjamas through to jeans and leisure-wear.

"We have concentrated on becoming an even better supplier to Marks and Spencer and although they may have reduced the number of suppliers they have, our slice of the cake has got bigger," he said.

But its strategy of mixing overseas with local production facilities has not protected it completely from the fluctuations in shopping patterns which have hit the UK high street. Last year it closed two factories, with the loss of 215 jobs.

Trade union leaders recommend Desmonds as a good employer and praise its efforts to protect manufacturing in the North but as Mr Alan Elliott, regional organiser for the GMB points out, the company is not immune to further downturns.

Mr Elliott has spent the week negotiating redundancy packages for textile workers at two factories that have announced job cuts.

Magee Clothing in Ballymena plans to axe 113 jobs, while Penn Nyla, a former Courtaulds Jersey plant in Craigavon is expected to lay off 139 workers.

He believes further redundancies are likely in the North. "The textile industry is slowly bleeding to death in Northern Ireland and there is no political will to stem it. "Companies are upping stakes and moving abroad and there is nothing to stop them. In fact, as is the case in Northern Ireland, some are being encouraged to look at offshore production which we cannot compete against on production costs," Mr Elliott said.

He said the trade unions are unhappy that the Government is promoting offshore production as an option to firms in the North.

According to a report produced by Kurt Salmon Associates, the Northern Ireland Textile sector is expected to lose a further 13,500 jobs over the next five years.

"Protective measures should be put in place to protect this industry, there should be support for the companies involved. I think our ministers in Northern Ireland are living in a fantasy world where they want us all to sit behind computers - the fact is we need a manufacturing base and they should be doing something to ensure that we have one in the future," he added.