Chinese apparel makers eye Bangladesh for obvious benefits

20 Sep '12

4 min read

“Secondly, Chinese exporters currently pay 12.5 percent duty on exports to Europe, while when exporting from Bangladesh, they will get the benefit of exporting apparels duty-free to a number of countries including to those in Europe on the strength of the “Least Developed Country (LDC) status” accorded to Bangladesh”.

“The Chinese producers are open to either sourcing directly from Bangladeshi garment manufacturers or setting up plants in joint-ventures with Bangladeshi entrepreneurs or a few may even relocate their existing plants from China to Bangladesh”, Mr Bose elaborates.

“Current two-way trade between China and Bangladesh is around $7 billion and I expect this to reach $16 billion by 2015. Of the current Bangladeshi exports to China of about $500 million, nearly 70 percent is accounted for by apparel exports”, Mr Bose explains by saying.

He adds, “Out of the $16 billion bilateral trade that we expect between the two countries by 2015, share of Bangladeshi exports to China could touch $6 billion by 2015. Considering the current trends, it can safely be assumed that Bangladesh can expect to export around $4 billion worth of garment to China by 2015”.

Fibre2fashion News Desk - India

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