Home / Knowledge / News / Textiles / Bangladesh hotspot for Pakistani textile sector
Bangladesh hotspot for Pakistani textile sector
30
Apr '12
Could be there one particular reason or multiple reasons for the Pakistani textile sector investing in Bangladesh - a country which has emerged as the second biggest exporter of apparel to the US.

The number-1 reason is the rampant shortage of electricity and industrial gas, due to which units stay shut for long hours each day, unless they have captive generation, which again is expensive.

Secondly, Bangladesh-made clothing has been given duty-free access by 37 countries, which include the member states of the European Union, Australia and Canada.

There is also a distinct possibility that Bangladeshi apparel exports to the US could receive the same treatment from its biggest garment buyer in the near future, as garments cannot avail this facility right now.

However, the current Textile Minister – Mr Makhdoom Shahabuddin has been quoted as saying “Pakistani textile industry has not shifted to Bangladesh because of electricity and gas outages.

“But, because Bangladeshi goods, mainly apparels have been provided duty-free access by a number of developed countries, due to its status as a least developed country (LDC)”.

He went to add, “40 percent of the Pakistani textile industry and over 200,000 powerlooms have shifted to Bangladesh in the last five years, creating unemployment for hundreds of thousands of workers.

To add to the woes of the Pakistani industrial sector, the garment sector too has chosen Cambodia as an alternative destination for relocating their manufacturing units.

This was revealed to fibre2fashion recently by Mr Ijaz Khokhar who is Chief Coordinator of Pakistan Readymade Garments Manufacturers and Exporters Association (PRGMEA), owing to continued electricity and gas supply problems in the country.

Incidentally, the Bangladeshi garment industry has proved to be crucial growth driver for the industrial sector in that country, thriving on the vast amount of cheap and unskilled labour, available.

Bangladesh has also achieved a GDP growth rate of 6.3 percent in 2011, when many countries experienced negative or sub-four percent growth rates, including the US and EU.

That apart, there are similarities in the culture of both countries as well, as both were once part of undivided India prior to 1947.

All these factors have mainly contributed, to Pakistani investments flowing in to Bangladesh.

Fibre2fashion News Desk - India


Must ReadView All

US FTC updates textile rules to drop obsolete requirement

Textiles | On 23rd Jan 2018

US FTC updates textile rules to drop obsolete requirement

The US Federal Trade Commission has eliminated an obsolete provision...

Indian textile industry at inflection point: Report

Textiles | On 23rd Jan 2018

Indian textile industry at inflection point: Report

The textile and apparel sector of India is at an inflection point...

Ghana to set up equipment hub for apparel sector

Apparel/Garments | On 23rd Jan 2018

Ghana to set up equipment hub for apparel sector

As part of efforts to seek ways to improve market access for Ghana’s...

Interviews View All

Headhonchos
Indian fashion industry

Organic the first choice of any environment-conscious person

Anvita Mehra
Confidential Couture

‘It is going to take some time for Indian buyers to get accustomed to...

Krishnanand Tripathi
Textrade International Ltd

We believe in vocational education for entry-level employees, offering...

Urmil Arya

Sushila International, a well established textile organisation established ...

Anupam Arya

<div>Jaipur-based Fabriclore Retailing Pvt. Ltd. is attempting to revive...

Sugandha Bhardwaj

<div>New Delhi-based Brinjal Designs Pvt Ltd manufactures home furnishing...

Johan Berlin
InvestKonsult Sweden AB

Investkonsult Sweden AB has been buying and selling second-hand textile...

Steve Cole
Xerium Technologies

Steve Cole of Xerium Technologies discusses the industry. Xerium is the...

Urs Stalder
Sanitized AG

Urs Stalder, CEO, Sanitized AG, talks about the increasing use of hygiene...

Yash P. Kotak
Bombay Hemp Company

One of the directors of Bombay Hemp Company, Yash P. Kotak, speaks to...

Sanjukta Dutta
Sanjukta's Studio

<b>Sanjukta Dutta</b> creates unique garments by clubbing prints of...

Jay Ramrakhiani
Occasions Elegance Wear

It is believed that by early 19th century, Varanasi weavers had moved away ...

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 2018

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

news category


Related Categories:

Planning to Take the Leap towards
Sustainability?

Do you see sustainability as a route to business growth?

Yes No

Do you think the sustainability space has the needed tools and resources available for a business to lead change?

Yes No

Active Poll

Do you see sustainability as a route to business growth?

Yes
69.1%
No
13.4%
Skip
17.5%

Total Votes: 97

Do you think adopting a sustainable approach will be a profitable move for your business?

Yes No

Active Poll

Do you think the sustainability space has the needed tools and resources available for a business to lead change?

Yes
63.9%
No
28.9%
Skip
7.2%

Total Votes: 97

Do you want the world to know about your sustainability journey and your business’ environmental footprint?

Yes No

Active Poll

Do you think adopting a sustainable approach will be a profitable move for your business?

Yes
87.6%
No
9.3%
Skip
3.1%

Total Votes: 97

Thanks for your valuable feedback. Claim your free latest sustainability e-book.

Active Poll

Do you want the world to know about your sustainability journey and your business’ environmental footprint?

Yes
82.5%
No
8.2%
Skip
9.3%

Total Votes: 97


E-News Insight
Subscribe Today and Get the
Latest News Update in Your Mail Box.
Advanced Search