SA 8000 certified manufacturing of llama fibre fashion knitwear for the high-end market AIAYU ApS is a Danish fashion company that designs and sells llama-fibre knitwear to the high-end market in Europe. The knitwear is produced in Bolivia in cooperation with Altifibers S.A., which is the only company in the world that can process llama fibre thanks to their proprietary de-hairing technology.The partners took their cooperation to a new level by forming the joint venture Altiknits Confecciones S.A. that invested in a modern knitwear manufacturing workshop, equipment for sub-contractors and WRAP certification. The modern workshop allows the joint venture to produce larger series of knitwear at a competitive price in addition to the exclusive hand-knit products and thus reach a larger market. The WRAP certification provides assurance to buyers that manufacturing takes place under high social standards. Workshop staff and hand-knitters were trained in new techniques. The joint venture targets both the European and the North American market. To support its sales, the joint venture also developed its own brand GLAMA. The joint venture recruited and trained 72 staff members and works with 230 hand-knitters.Corporate Social Responsibility (CSR)The joint venture achieved WRAP Certification (Worldwide Responsible Accredited Production). The WRAP Principles are based on generally accepted international workplace standards, local laws and workplace regulations, and include the spirit or language of relevant conventions of the International Labour Organization (ILO). The Principles encompass human resources management, health and safety, environmental practices, and legal compliance including import/export and customs compliance and security standards.The WRAP Certification Programme’s objective is to independently monitor and certify compliance with these standards, to ensure that sewn products are being produced under lawful, humane and ethical conditions. Participating facilities voluntarily commit to ensuring that their manufacturing practices will meet these standards, and furthermore commit to passing along, on their part, the expectation that their contractors and suppliers likewise comply with these standards.From its own social accountability aspirations, Altiknits recognizes a responsibility towards its suppliers. Therefore, it has organized WRAP and SA 8000 practices training for the outsourcing workshops and adds requirements regarding social accountability topics in the sourcing agreements with the workshops. The company will refrain from involvement in corruption of any kind.Impact•	Employment and working conditionsAt the end of the project, 72 full-time employees are working at the company instead of the planned 56 employees. It hired less basic level employees and far more higher level employees (31 instead of 11). It created direct employment for 47 women instead of 39, out of which 11 at management level (instead of 9). In addition, 213 independent hand-knitters instead of 90 hand knitters are working for Altiknits.The wages of the staff are at least 25% above minimum wages of Bolivia, which in 2010 was set at BOB 679.50 (70 euro) per month and is 1,805 BOB (233 euro) in 2016, with steep increases between 20 to 25% a year. Additionally, the employees receive complete social security services, as required by law. These services include health insurance for the employee and its family, a 13th month in December, a 14th month up to March, pension payments, life insurance, compensations for unemployment, 3 months maternity leave and an additional compensation for employees that have children, as well as a minimum 15 days of paid holidays. Lunch is subsidised and all employees receive a transport allowance.With the WRAP certification the joint venture assures good working conditions for its employees, since the standard has defined requirements regarding working hours, health and safety, remuneration and against child labour, discrimination, disciplinary actions and forced labour. The employees have a representative union which defend their interest towards the management of the joint venture.•	Innovation/Transfer of knowledgeNo garment manufacturer in Bolivia was so far certified according to the WRAP standard, so transfer of know-how to this sector was new to Bolivia. An expert from Peru provided training in this regard. Aymara APS also transferred their knowledge concerning the successful development and implementation of CSR strategies.Aymara APS introduced fashionable designs as well as know-how of the European high-end fashion market.Furthermore, Aymara APS' experts provided training regarding fashion product design, product development as well as customer services. With these enhanced knowledge and skills the employees will increased their employability elsewhere as well.Seasoned experts from Peru were engaged to provide technical training to the equipment operators and workshop managers.•	Chain effectsAs a result of the project, 5 instead of the planned 3 outsourcing workshops and 213 instead of 90 hand-knitters have improved their income thanks to the larger sales volumes they will accomplish through the joint venture. And thanks to the training, and linking equipment, received in case of the outsourcing workshops, they are able to work more efficiently and offer products of a higher quality to new clients.The increased demand for llama fiber has also benefitted herders who live in extreme poverty in the highlands of Bolivia. Most of the herders have their llamas for meat production in herds of 300 animals on average and, although llama fiber is only a by-product, the increased demand for llama fiber resulting from the project will provide extra income for those families. Especially, as the herders have been trained to yearly shear the llamas, providing additional yearly income.The company works with 19 subcontractors or supplying companies, each having its impact on employment.•	EnvironmentAt the start of the project, the joint venture implemented an environmental impact assessment as is compulsory by law and which resulted in an “environmental license” issued by the authorities. However, the production of llama fiber knitwear has minimal environmental impact as the company does not produce waste, other than waste water after washing the pieces. This waste water is discharged into the sewage network connected to the municipal water treatment plant. The yarn used is already coloured and is used up completely. Any excess production of knitwear is sold into the local market. Energy and water consumption is low in comparison to most industries.The yarn is supplied by its sister company Altifibers, which uses only biodegradable dyes for colouring. With assistance of the PSI programme, Altifibers has recently improved its existing own water treatment plant, which makes Altifibers the only textile company in Bolivia with such facility.Altiknits introduced biodegradable bags for the packing of its knitwear garments and uses recycled paper for the garments' hang tags and promotion material.•	Position of womenThe company planned to create 56 jobs of which 39 for women. Instead it created 72 jobs and 47 for women. So more women employed than planned for. In terms of management positions Altiknits employed 11 women instead of 9. In addition, the majority if not all of the 213 independent hand-knitters are women. This position enables them to continue working for the company after becoming a mother, deciding themselves how many hours a week and when to accomplish these hand-knitting tasks.Also, three of the five assisted outsourcing workshops are owned by women and the remaining two are owned by husband and wife together. These former employees have been stimulated and assisted to create their own companies and work for Altiknits. To set up a WRAP certified production chain of llama-fibre knitwear fashion garments.