Home / Knowledge / News / Apparel/Garments / Govt blamed for loss of US market share – garment exporters
Govt blamed for loss of US market share – garment exporters
12
Apr '10
With no government backing during the economic meltdown, Bangladesh's exporters, unlike their competitors who cut prices, had to raise prices of their garment exports to the United States, thereby incurring a fall of 4.5 percent last year.

Anwarul Alam Chowdhury, a leading exporter and former President, Bangladesh Garment Manufacturers and Exporters Association (BGMEA) said, “The profitable market that we witnessed in USA is now slowly diminishing, as our garment products were highly priced, despite the economic downturn.”

Anwarul also stated that, their competitors such as, China, India, Vietnam and Cambodia, lowered their prices to continue to sustain in the US market. USA is Bangladesh's biggest buyer for its garment products that summed to $3.3 billion in 2009 alone.

While prices of Bangladesh-made garments soared by 2.32 percent in 2009, that of Cambodia's fell by 6.59 percent, China's was cut by 12.44 percent, India's declined by 4.68 percent and Vietnam's plummeted by 12.42 percent.

“Since their governments supplied them with incentives, our competitors were able to offer lower prices, unlike Bangladesh's government that was unsuccessful in taking the right decisions during the crucial times of economic meltdown”, said Anwarul.

While India brought down their currency by almost 28 percent and cut interest rates, Vietnam and Pakistan too, lessened their currencies by almost 30 percent un 2009. On the other hand, China, the biggest apparel manufacturer in the world, during the economic meltdown, increased the export tax rebates.

According to Anwarul, “The local apparel manufacturers can reduce their overseas sales prices by 3 percent, if the government decides to spend $210 million as a stimulus package.” Garments account for 80 percent of Bangladesh's total yearly exports, while the employment generated in this sector is close to 3 million and are mostly women.

Although, in this fiscal year, July 2009 – June 2010, Bangladesh's overseas sales target is $17.6 billion, 13 percent above last year, during the 2008-09 fiscal year, exports rose by 10.3 percent to $15.56 billion, the lowest growth in six years.

Fibre2Fashion News Desk - India

Must ReadView All

Apparel/Garments | On 18th Jan 2017

Government considering 100% FDI in single brand retail

The Government of India is looking at allowing 100 per cent foreign...

Courtesy: Walmart

Apparel/Garments | On 18th Jan 2017

Walmart to create 34,000 new jobs in the US

The world’s biggest retailer and also the biggest US private sector...

Courtesy: UN Department of Public Information

Textiles | On 18th Jan 2017

World economy expanded by just 2.2% in 2016: UN

The world economy expanded by just 2.2 per cent in 2016, the slowest...

Interviews View All

Sonia Agarwal
Whitenife

‘The terms eco-friendly and organic are common but everyone perceives them ...

Rahuul Jashnani
Jashn

‘Online economy has changed the whole dynamics of buying habits.’

Rashi Menda
Zapyle

Every fifth sale we make on Zapyle is a repeat purchase

Kerem Durdag
Biovation II LLC

Kerem Durdag, CEO, Biovation II LLC, provides an insight into future...

Ashok Desai
Bombay Textile Research Association

Bombay Textile Research Association (BTRA) is a leading name in textile...

Kevin Nelson
TissueGen

Kevin Nelson, Chief Scientific Officer, TissueGen discusses the growing...

Karan Arora
Karan Arora

Bridal couture created with rich Indian heritage, exquisite craftsmanship...

Rupa Sood and Sharan Apparao
Nayaab

Nayaab, an exhibition meant to celebrate Indian weaves, is in its second...

Wendell Rodricks
Wendell Rodricks

"We should not compare India and the West. There are things we do that...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


editorial@fibre2fashion.com

Letter To Editor






(Max. 8000 char.)

Search Companies





SEARCH
January 2017

January 2017

Subscribe today and get the latest update on Textiles, Fashion, Apparel and so on.

SUBSCRIBE


Browse Our Archives

GO


eNEWS
Insights
Subscribe today and get the latest News update in your mail box.
Advanced Search