The global brands and retailers are forecasting that Bangladesh would soon become a major player in the global denim market. Bangladesh is now turning into a major source of denim products as international retailers attracted by cheaper prices place higher volumes of denim-based work orders. At present Bangladesh is the third largest denim exporter to the US after Mexico and China with an 11.3 per cent market share, according to the US department of commerce. On the other hand, the global denim market will cross $65 billion in the next four to five years. Denim entrepreneurs of Bangladesh are facing serious problems at the moment but huge opportunities are there for increasing export of denim products. To take advantage of the expanding global market of denim, we need to take some steps. DEVELOPING R&D: In this rapid changing fashion world, denim products undergo diversification very frequently. Continuous research is required for this purpose. The managements of the denim industries very often show interest in research work. Without adequate budget, it is impossible to achieve effective R&D (research and development. INADEQUATE LOCAL YARN SUPPLY: Denim fabric is mainly produced from the open-end (Rotor) yarn. Local rotor yarn manufacturing industries can supply less than 50 per cent of the domestic demand. On the other hand, the slub yarn (Ring or Rotor) used in both warp and weft in fancy denim products and the core spun yarn used as weft in stretch denim fabric are mainly imported from countries like India, Pakistan, China, Taiwan, and Thailand. DEPENDENT ON IMPORTED CHEMICAL: Colourants and auxiliaries required for warp dyeing and garment washing are fully imported from abroad. When other Asian low-cost denim exporting countries like China, India and Pakistan are using their own chemicals which save their product cost. Moreover, insufficient gas, lack of infrastructural capacity and power crisis are common phenomena here. In spite of many limitations, our denim backward linkage is developing day by day. Presently Bangladesh has 25 denim fabric manufacturing plants. Most of them equipped with modern machineries have been set up in two years. More than five new companies are also setting up factories. They are now giving quality production with their maximum capacity. In addition, denim will contribute around $2.0 billion to the country’s garment export target of $50 billion by 2021. There is a huge demand of denim in the domestic market. Bangladesh is a growing market for denim fabrics and global retailers, especially European Union, are sourcing from here. Industries insiders say the local entrepreneurs are interested in denim production due to mainly higher demand and duty-free access opportunities to the European market. More than 60 international brands including G-Star, Jack and Jones, Oliver, River Island, H&M, C&A, PVH and GAP have turned to Bangladesh in the last couple of years for denim product imports. Versatile finishing range has to develop for the value added surface effect. To increase the percentage of contribution in the world denim market share, our manufacturers have to be as responsive and flexible as they can possibly be, by rapid response time with quality product and competitive price. Economists at home and abroad forecast that our next major business opportunity is denim, as orders are shifting from China to Bangladesh because of rising denim costs in China. Skilled workforce at all levels like operation, quality control, management, marketing, etc. related to denim manufacturing process are there in the country. It has reduced the dependence on foreign experts. Most of the recently running denim projects are running by our own experts. This encourages investors to set up new denim plants and expand the existing ones.
