Bangladeshi denim products are at the top in the global markets by competing its competitors in the European markets as well as in the US market. Until today BD is number one in EU and third-largest in US. In 2018 denim product exports worth $1.65 billion up by 11.46% from $1.47 billion in 2017. If we talk about the nearest competitor Turkey is downward slopping with negative growth from $1.26 billion (2017) to $1.16 billion (2018). In the US market, BD also in upward with a 14.68% market share and competing with China and Mexico. There was over 11% growth on US market in 2018.
Although China and Mexico have seen slight upward growth in denim. Vietnam who is our nearest competitor is seen 43% growth in 2017, Cambodia has also seen approx. over 20% rise in export. Continuous investment in the latest technologies and branding can further accelerate growth in this industry. Also need to focus more on speed and flexibilities to achieve both trade and new OTB lines.
Challenges:
- Continuing true sustainability, traceability will be the key challenges across all products.
- Adding value with the performance along with all range of product is a big fact.
- Making in quicker changing in product with the addition of value would be difficult as now people are keener to buy which have a story and value addition.
How BD can grab Market share:
- More focus on innovation means the true innovation from fiber to technology.
- Making everything close to the needlepoint from fiber production to chemicals and machinery.
- Investing in people for training and research
- Branding of the country in terms of traceability, sustainability, and human rights.
- Looking into the fashion-oriented product with the basic, uplifting product in terms of value and innovation
- Shortening the lead time in the supply chain.
Abdullah Al Mamun
Business Unit Manager, Marks & Spencer
