Seriously concerned over Bangladesh’ s sluggish apparel exports to the United States – country-wise the second-biggest export destination – the apparel makers are focusing on ways |
to come out of it. According to Bangladesh’ s apparel manufacturers, there are a number of reasons behind the sluggish exports. However, they are pinpointing one particular factor |
as the major reason – propaganda against the US $ 30 billion industry by labour leaders and some NGOs.
Business insiders say the leading body of apparel makers – Bangladesh Garment Manufacturers and Exporters’ Association( BGMEA) – is taking up measures to engage with the buyers directly and woo them to source from the thirdlargest garment exporter. Apart from arranging more seminars and symposiums, the BGMEA will be undertaking a very significant business tour in the US, accompanying Bangladeshi journalists, to engage with the buyers there. During the visit, BGMEA will be travelling from one state to the other and will try
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to‘ rebuild the tarnished image’ of the country’ s RMG sector. Mohammed Nasir, Vice President( Finance) – BGMEA, while talking to Apparel Online, said it would be a‘ Journalistic Study Tour’ that will be undertaken in June.“ The tour will begin from Washington and continue through some more states. The plans are still being chalked out,” he added. Though Nasir did not elaborate any further, he said it would be an‘ awareness building campaign’ to create a positive image of Bangladesh’ s garments industry and inform the US retailers and brands about the massive changes Bangladesh brought about in its garments sector following major industrial disasters. |
Vietnam is expected to increase its apparel and textile export revenue from Australia in double digits as both the countries are now a part of Comprehensive and Progressive Agreement for Trans- Pacific Partnership( CPTPP) deal. This was announced in a workshop held recently at Hanoi. The workshop was jointly organised by VITAS as well as IEC Group, Australia. Nguyen Phuc Nam, Deputy Director, Department of Asia-Pacific Market, which comes under the Ministry of Industry and Trade of Australia, said that the share of Vietnamese products in the Australian market is too less despite the fact that Australia is market of huge potential for the garment and textile sector of Vietnam. |
VITAS in its statement said that the present surge in the country’ s garment and textile export to Australia is less than 10 %. However, considering that both countries have signed CPTPP, it can reach double digits. Australia will now cut the import duties to 5 % in the first 3 years of CPTPP and subsequently it will be 0 %. Besides, Australia is now focused to outsource garment and textile products in Vietnam as the cost of labour is low here compared to China. Also, the tax rates too are lower in Vietnam. It is worth noting that the garment and textile market share of China in Australia is 60 %. In last 5 years, there has been 3 to 5 % surge in Australia’ s garment and textile import turnover. Last year, Australia imported US $ 9.32 billion of garment and textile products |
globally, whereas Vietnam’ s export to Australia was just US $ 173 million. It is important to note that generally the orders received from |
Australia are small as most of the companies do online business and therefore order is in smaller quantities. |