Yes, I have insights as I know people in the clothing industry. Factory owners don't want to invest because the system is so unstable. You can't plan anything. One year you have an expensive peso; the next a cheap peso. One government is relatively friendly to the industry; the next is hostile. Laws change at the drop of a hat with no consultation, in a completely autocratic way. Who can afford to make a major investment in the infrastructure when you don't know what will be around the corner to possibly ruin you? Add to that a poor attitude when it comes to quality control and a make a quick buck mentality. Argentines are not good at details so products made here are usually slipshod. Custom tailors will brag that they have English wool; they may recommend good quality Brazilian wool but they will never brag about the fine Argentine wool. The answer to your question applies to just about everything; Argentina has vast resources but the people through their government can't get it together to properly exploit those resources. The country is a huge failure. If it were resource-poor one could understand but, as you have pointed out, this is not the case.