Apparel Online Bangladesh Magazine Magazine March 2018 | Page 10

MINDTREE Q-and-A Despite all efforts, Bangladesh has once again been denied GSP facility by the USA. How has this lack of GSP impacted the apparel export business over the last few years? With the present chances of GSP reinstatement anytime soon looking bleak, how can Bangladesh manage to stay competitive in the very important US market? Please share your views… Atiqul Islam, Managing Director, Islam Garments Ltd. Abdur Rahman, Managing Director, Sayma Knitwear Ltd. I think the GSP denial by USA has created an image crisis for Bangladesh in the global market rather than financial loss. The BGMEA and our Government have fulfilled the US’s requirements in terms of safety and labour issues, but unfortunately they are still undone. Once I had some business with the US buyers, but due to few technical issues, I moved into the other markets including the European Union. As far as the trade facility is concerned, the GSP plays a minimal role in apparel exports to the US market. The European Union has been providing us all kinds of support including the GSP facility but the US, which is the ultimate global leader, is not paying any heed to the urge of a poor country like Bangladesh. I hope the US authority realizes our need and takes the matter into consideration soon to reinstate the GSP facilities for Bangladesh. Our Government and the BGMEA tried to fulfil the requirements to achieve the GSP facilities in US market but failed. Personally I think instead of hanging around for GSP in the US market, Bangladeshi apparel exporters should explore new markets. Inamul Haque Khan, Managing Director, Ananta Garments Ltd. We are one of the biggest apparel exporters to the US market, but in true sense, the denial of GSP by the US had no effect on us since the apparel industry itself is not a subject of GSP privileges. I would say it’s more of an image crisis for Bangladesh in the global arena rather than any kind of financial implications. The decision by the US plays a significant role on other export products including the ceramics and leather items but has very little or no impact on apparel exports to the US as such. We have been notified that the apparel exports to the US market has been declining for last couple of years but the reason behind the decline is not GSP, rather some other issue. A good number of non-traditional markets including China, Russia and Hong Kong are coming up. So we should focus on those markets to sustain in the very competitive apparel business. Jamal Uddin, Director, Mirpur Apparels Ltd. The GSP facility denial by USA has had a significant impact on small manufacturers like us as we are forced to stop exports to the US market in its absence. We do have a large set of buyers in the US market and are eagerly waiting for the reinstatement of the GSP facility. As soon as the GSP facility gets reinstated for Bangladesh in the US market, we will start export of some basic items in bulk including T-shirts, polo shirts and denims. I have heard that the Government had tried hard but the Trump administration once again denied us the trade privilege. It’s really a matter of concern for us as we are very much looking forward to the US market. POST YOUR COMMENTS www.apparelresources.com [email protected] NEXT MINDTREE QUESTION The International Labour Organization has once again reportedly asked Bangladesh to ensure robust labour laws so as to meet the ILO convention rules… Since labour-related issues continue to be a major concern area among all the stakeholders, what according to you need/s to be done to address this problem? Please share your views… 10 Apparel Online Bangladesh | MARCH 2018 | www.apparelresources.com