The Bangladesh Garment Manufacturers and Exporters Association (BGMEA) president Faruque Hassan says Bangladesh is a greenfield for investment in the apparel sector. He was presenting the keynote at “Readymade Garments and Textiles, Weaving the Way” on the 2nd day of the International Investment Summit 2021, Bangladesh on Monday.
During his keynote speech, Hassan reported that there are currently 3,500 active clothing factories, $20 million in investment, and 4 million workers, with exports to 167 countries. The apparel industry accounts for 83 percent of Bangladesh’s export earnings, contributing 11 percent to the GDP, he said. In addition, he stated that there are 150 LEED-certified garment factories in Bangladesh, and 40 of the world’s top 100 garment factories are from Bangladesh.
The LEED certification process is in the process of being completed by 500 more factories. A commitment to the Green Button was made by BGMEA, which is considered a symbol of excellence in sustainability by the German government.” As part of its outstanding role in promoting green factories, BGMEA also won a leadership award from the USGBC for 2021. The exports of five core items account for 75% of exports. Most of these items contain cotton. Most of our exports are priced at between $15/kg and $20/kg,” he stated.
The Bangladeshi delegation also spoke about design development, innovation, and end-to-end digital manufacturing. Consequently, textiles and high-value-added products are ripe for investment in the country.
Through the P4G-funded Circular Fashion Partnership initiative, the goal is to achieve a long-term, scalable transition to a circular fashion system that can produce new, low carbon footprint, responsibly made products. Moreover, he added, the Global Fashion Agenda (GFA), the BGMEA, and Reverse Resources (RR) have partnered, consisting of 19 brands, 17 recyclers, and 85 manufacturers.
According to Muhammad Hatem, vice president of the Bangladesh Knitwear Manufacturers and Exporters Association (BKMEA), skilled garment workers are in short supply in Bangladesh. “We need to introduce RMG related courses in coordination with the BGMEA and BKMEA in all technical training centers and vocational training centers across the country,” he said. Entrepreneurs with advanced technology must also enter the backward linkage industry, he added. In the meantime, Anwarul Alam Parvez, the president of the Bangladesh Chamber of Industries (BCI) and former president of the BGMEA, said Bangladesh is an attractive investment location due to its ability to meet about 60% of global demand with basic products.
The speaker also said Bangladesh will be able to achieve the Sustainable Development Goals by 2030, 30 million new jobs will be created, and 70% of the country will be in the workforce. “Bangladesh emits only 0.24% of carbon each year, making it one of the least polluting countries in the world,” he said. He also said that the entrepreneurs are very committed, and there are many world-class ETPs in the country. Therefore, Bangladesh is a haven for investments, which is why global investors should invest there.
Swapna Bhowmick, the country manager of Marks and Spencer Bangladesh, emphasized the commitment of the entrepreneurs in the country. The city has a few particularly attractive areas. Investment in the country is growing as well,” she said. Moreover, she stated that the people of the country are a fantastic and resilient workforce. This will make investing here very profitable.
In the RMG sector, Bangladesh is the most attractive country to invest in, according to Muhammad Ali Khokon, president of the Bangladesh Textile Mills Association (BTMA). The knitwear sector has been set up with 4th generation machines that support 95% of fabrics. Compared to the woven sector, we lag. The country imports at least 65% of its fabrics. Now, however, we have begun installing equipment for manmade fibers.
BGMEA president and Dhaka North City mayor Atiqul Islam recently said that we don’t have electricity now compared to ten years ago, and we have more electrical power than we need. We are working hard to overcome the challenges at the port. To attract investors, we are developing our port infrastructure,” he added.
Exporting to more than 150 countries and contributing 16% to the GDP, Bangladesh’s apparel industry is the world’s third-largest. The apparel industry in Bangladesh is known for its world-class safety standards, which resulted in Bangladesh ranking 2nd in ethical manufacturing. In the past eight years, RMG exports have tripled, growing at a rate of 9.8% annually. In December 2020, exports worth $27.4 billion accounted for 6.30% of global sales of $435 billion.
Image Courtesy:
- https://www.forbes.com/sites/rebeccasuhrawardi/2020/03/30/collapse-of-bangladeshs-garment-industry-leaves-its-workers-more-vulnerable-than-ever-during–coro
- https://www.lightcastlebd.com/insights/2020/05/covid-19-and-the-uncertain-future-of-the-garment-workers-of-bangladesh
- https://3dinsider.optitex.com/mass-produced-garments-dont-fit-no-waste-economy/
Written by: Rafiad Ruhi
