Skip Channel4 main Navigation
Explore Channel4
Food
Homes
Film
4Car
News
See All
After the Tsunami header
Cheap labour

The raw materials for many goods consumed in richer countries are produced and collected in poorer countries. They are imported to richer countries to be processed and sold. Producers get a small fraction of the final price. Countries affected by the tsunami provide important raw materials such as Thai iron and steel, Sri Lankan tea and rubber, and Indonesian wood.

Using local sub-contractors, companies such as Nike, Adidas, Levi Strauss and Gap produce footwear and clothing very cheaply in South Korea, China, Indonesia and Sri Lanka

Certain goods, though, are increasingly processed by Western transnational companies in low wage, poorly unionised, economies. Using local sub-contractors, companies such as Nike, Adidas, Levi Strauss and Gap produce footwear and clothing very cheaply in South Korea, China, Indonesia and Sri Lanka. The goods are then sold for much greater amounts in the high street stores of richer countries.

Should people go on holiday to the countries affected by the tsunami?
Yes - it would help regenerate their economies
No - it would be too distressing
Undecided
Find out how you can make a donation
The story of this devastating eruption
The science behind the destructive force
Is the government making the right choices in how it spends our money around the world?

Channel 4 © 2009. Channel 4 is not responsible for the content of external websites.