Apparel Online India Magazine March 1st Issue 2019 | Page 53

INDIA’S PREMIER SOURCING SHOW Faruque Hassan, MD, Giant Group Syed Shafqat Ahmed, MD, Saiham Knit Composite Ltd. the liaison office in Dhaka to their 200 stores in the country. “We don’t have to make any special effort as our buyers directly source the total requirement and ship out to the particular countries; sometimes a product reaches India even before it can reach shelves in Europe,” confirms Omar Chowdhury, MD, Hydroxide Knitwear. Interestingly, Chowdhury also points out that with the buying power of the European countries reducing, garment manufacturing companies are increasingly looking towards the East for their businesses. Many companies are happy to work in a similar way as with this approach, every approval and payment is made from the head offices of the brands. Moreover in this case, even price is also the same, no matter whether they are delivered into Europe or India. “We are working with brands like Bestseller and Jack & Jones in their core markets and their head offices ask us to deliver in India too. In India, we normally supply sweaters and average MOQ is between 2,000 and 3,000 pieces, and sometimes it goes up to maximum 5,000 to 6,000 pieces,” informs Alamgir Kabir, MD, Best Wool Sweaters Limited. He further adds that though India is a big market, it is hard to say anything about the future with regard to exporting to India. On the other hand, many exporters are strongly willing to explore new client base in India but they are concerned about working with wholesalers or importers, who may be good clients but are not well known or don’t have any strong tool to ensure their credibility. “It is an issue, specially looking at some previous experiences in which shipments were not released and it was finally worse than even the stocklot. I don’t see any other challenge,” shares Omar.  Indian wholesalers also agree on this point and accept that this is a genuine worry for the Bangladeshi companies. An Indian importer AKM Sirajul Arifin, KK Enterprise, North 24 Parganas, is of the view, “Yes, it is right that there is no such way to measure credibility of a wholesaler or importer, especially in case of SMEs, but mutual reference, advanced payments and developing trust over the period are the only solutions. And we have developed our business in this way.” He is also in the process to add one more vendor from Bangladesh. He further adds that the cotton-based garments of Bangladesh are of good quality. Earlier, he was importing tees and shirts but now he is focusing on ladies products. The exporters, having similar experience, are now exploring India directly and their priority is working with brands or retailers directly. “As price pressure is already there, why we should pay some percentage to wholesalers or importers? In the West, we also work directly and the same will be followed in India,” comments Ehsanul Habib, MD, Esquire Knit Composite Limited. The company’s marketing team is now exploring India through their direct contacts. Some exporters add that China at the moment is more interesting than India,; it is more organised to work with the Chinese. “No doubt, in long run, China and India will be the core markets for Bangladesh. But still I see that some Bangladeshi exporters are reluctant to explore India. There are two reasons for the same. First is the red tape in India, especially for documentation. Secondly, Indian buyers need to change their attitude. Personally, I don’t have any issue with the Indian companies. There are many Indians in my factory, and I am from Gujarat too. I feel once Bangladesh will have US $ 2 billion apparel exports to India, other exporters will look up to India. Recently, I got an invite from India to explore the Indian market and I asked my team to avail this opportunity but they were not keen just because of the Indian buyers’ attitude,” adds A Razzak Sattar, MD, www.apparelresources.com | MARCH 1-15, 2019 | Apparel Online India 53