The garment manufacturing sector in Bangladesh has a new slogan: “$50 billion by 2021.” It’s an ambitious vision to reach $50bn in exports by 2021, the 50th anniversary of the Republic of Bangladesh. In December, the Bangladesh Garment Manufacturers and Exporters Association (BGMEA) and Brand Forum Bangladesh held a summit to develop a “collaborative and coordinated approach” to achieving this goal. Bangladeshi government and industry leaders are determined, and international partners, including the US government, have pledged to support their ambition. Today the Bangladeshi garment industry is worth $25bn. The NYU Stern Center for Business and Human Rights looked at recent export data and industry trends to assess whether the industry could double in the next six years. To make the $50bn target, Bangladesh will have to grow exports by 10.9% annually (assuming they can reach their projections this year). Over the past six years the garment industry has grown by an average of 13.9% annually – which makes $50bn by 2021 seem within reach. But there are a few caveats to consider Rethinking the growth rate: The average growth rate of 13.9% over the last six years is skewed by a 43% jump in garment exports between 2010 and 2011 – a jump we’re unlikely to see again. Excluding that year, export growth averaged just 8.8% during the other five years. Looking forward, a more accurate annual estimate might be somewhat lower than 13.9%.
#Counting on global demand: To meet their projections, Bangladesh will have to outperform the global apparel industry. The Asia-Pacific apparel export market is expected to grow by 9% annually through 2017, while the global apparel industry is expected to grow by just 5.1% through 2018. To achieve 10.9% growth, Bangladesh will have to gain market share from competitors like China and India all while they seek to grow their own garment exports.
#This year’s setback: Over the last three months, the World Bank estimated political unrest cost Bangladesh’s economy $2.2bn. Partially as a result, fiscal year 2014-15 began on a low note, with garment exports achieving an annualized growth rate of just 3.2%. The more Bangladesh struggles to meet near-term growth projections because of instability, the less confidence we can have that the garment sector will meet its long term targets consistently. Addressing weak infrastructure: In 2014, the World Economic Forum rated Bangladesh’s infrastructure 127th out of 144 countries evaluated. In order to accommodate an additional $25bn in RMG exports, the Bangladeshi government will need to make considerable infrastructure investments in the coming years. Our assessment is that a valuation of $50bn by 2021 is achievable, but far from guaranteed. To stay on track toward this goal, Bangladesh can’t afford the unsustainability that political unrest, poor working conditions and inadequate infrastructure bring to the garment sector. To make the “$50 billion by 2021” slogan a reality, the garment industry in Bangladesh will have to adopt another refrain since Rana Plaza: “Business as usual is not an option.”

Source: https://www.dhakatribune.com/business/2015/may/04/bangladeshs-50bn-rmg-export-target-2021#sthash.IKJQ5C75.dpuf

Japanese and Chinese authorities will finalise setting up several economic zones in four months as part of a bid to bolster foreign direct investment in Bangladesh. Besides, India authorities are now conducting surveys to build a number of dedicated economic zones of their own in Bangladesh. Paban Chowdhury, executive chairman of Bangladesh Economic Zones Authority (BEZA), told the Dhaka Tribune yesterday: “If there was no unrest here over the last four months, the Indian authorities would have already finished the studies to choose investment zones in Bangladesh.” The Japanese are expected to finalise their decision by June 30 on chosing two locations for building their own economic zones in Bangladesh. Similar decisions are expected from the Chinese by the end of August, Paban said. “But the investment decisions from these two Asian countries will depend on political stability here,” he added. BEZA has already acquired 206 and 279 hectares of land in Gazipur and Narsingdhi respectively for the Japanese; and 341 and 3,122 hectares in Anwara and Mirsarai in Chittagong respectively for the Chinese investors. The proposed name for the Chinese investors is “Chinese Economic and Industrial Zones.” This came up in a recently meeting of the BEZA with PM Sheikh Hasina in the chair. The Chinese authorities will bring gas from Myanmar for powering up the industries set up in economic zones in Chittagong. Paban Chowdhury said: “We will develop infrastructure outside the economic zones. But the investors from the relevant countries will have to carry out the developments needed on the inside.” The Indian authorities have shown intersts about setting up industrial zones in Jamalpur, Panchagarh and Sirajganj. In 2010, the government decided to offer 22 economic zones to both local and foreign investors. BEZA is now highlighting 17 of these locations saying they are more or less ready to take in investments. BEZA has so far issued operational licenses to local private investors AK Khan Group and Abdul Monem Ltd. Meghna Group, a local conglomerate, is trying to acquire license for two zones. Bangladesh Garments Manufacturers and Exporters Association (BGMEA) will develop yet another private special economic zone in Munshiganj. The interested local and foreign developers will sign 50-year contracts for getting hold of each of these economic zones. According to a draft policy, a license will cost a local investor Tk5,000 crore and a non-refundable $20,000 dollars. The Prime Minister’s Office has prepared a draft incorporating 20 types of incentives relating mostly to customs, VAT and income tax. Foreign investors will be able to repatriate 100% of their profits which existing rules do not allow. Economist AB Miza Azizul Islam told the Dhaka Tribune that Bangladesh needs $35bn investment every year to attain a 8% year-on-year economic growth and graduate to a middle-income country by 2021. “That is why the government has taken the initiative to build the economic zones to attract more foreign investment. But without political stability in the country, none of these will work. “We cannot but wonder why the Koreans, the first foreign investors to set up their export processing zone in Bangladesh, have been treated so shoddily. “One part of the more than 1,000 hectares of land allotted to the KEPZ will be reacquired by the government for what appears to be violations by Korean firms. This hardly garners confidence among prospective foreign investors,” said Mirza Azizul Islam, who was a finance adviser to a former caretaker government.

Source: https://www.dhakatribune.com/bangladesh/2015/may/04/chinese-japanese-economic-zones-soon-be-reality

Export earnings from the country’s garment sector are likely to fall short of the target by at least $1 billion in the current fiscal due to the political turmoil that rocked the country for over three months, exporters said. According to information, country’s garment sector—knitwear and woven—was set to bring $19549 million during the July-March period of the current fiscal year while it fetched $18626.28 million experiencing 9 percent shortfall of the target. Woven garment was set to bring $9605.11 million while it fetched $9068.88 million, which is 5.58 percent shortfall of the target. Knitwear sub sector was set to bring $ 9943.91 million during the July-March period while it fetched $9557.40 million, around 3.83 percent shortfall of the target. According to sources, garment sector is set to bring $27 billion out of the country’s overall export target of $33.2 billion in this fiscal year. “Garment export will likely to experience $1 billion shortfall of the target at the end of this fiscal year,” said Atiqul Islam, president of Bangladesh Garment Manufacturers and Exporters Association, blaming aftermaths of Rana Plaza collapse and political violence for it. He, however, blamed devaluation of dollar and euro currencies for such bad state of garment export. EPB data said export earning of readymade garment sector in the last fiscal year was $24491.81 million against the set target of $24147 million. In the fiscal year 2012-2013, the sector had earned $21515 million while it was set to bring $21538 million. It needs around 10 percent growth in bagging revenue for the sector during the remaining months to make up the shortages, said Shahidullah Azim, vice-president of BGMEA, adding that it would be tough to achieve. Garment makers, however, blamed the political violence that took place during January-March period this year. They said the political turmoil had hampered smooth operation and discouraged the retailers from giving work orders here. Talking to this correspondent, an administrative officer of a local office of the Netherlands based buying house said work orders have dropped by 20 to 30 percent during the January-March period of the current fiscal year.

Source: https://www.daily-sun.com/print/back-page/2015/05/04/501278#sthash.r92eL9au.dpuf

Industries Minister Amir Hossain Amu has said the expansion of technical and vocational education and training for the youth has consolidated the position of Bangladeshis in the Middle East, Malaysia and European labour markets, reports UNB. The minister said this while speaking at the closing ceremony of the three-day international conference on ‘Technical and Vocational Education and Training (TVET) for Sustainable Development’ at Radisson Blu Water Garden Hotel on Saturday night. Amu said the government is considering the country’s huge manpower a strong element of the national economy as it ‘creates industries, entrepreneurs, workers and domestic market’. That is why, he added, the government has continued its efforts to create skilled and efficient manpower capable of surviving the competition in the international labour market. The industries minister said the government is considering enhancement of skills a key weapon of poverty alleviation and socio-economic development and for which it has constituted the National Skill Council (NSC). He said initiatives have been taken to implement three projects on technical and vocational education and training in cooperation with the European Commission, Asian Development Bank and World Bank. Amu said the government has already established many technical schools and colleges at Upazila level and strengthened the activities of the existing training centres as technical education played a key role in poverty alleviation. He said the government would consider every recommendation coming out from the international conference with high importance. State Minister for Foreign Affairs M Shahriar Alam spoke at the programme as a special guest. He said around 400,000 diploma engineers have been created in the country in the last 44 years. He said several ministers, including Prime Minister Sheikh Hasina, joined different sessions of the conference as it has given technical and vocation education the utmost priority. Giving diploma engineers a high complement, he said: “Eighty-five per cent of the development works are done by you guys.” CPSC Faculty Consultant G Kulanthaivel and IDEB President AKMA Hamid and General Secretary Md Shamsur Rahman also spoke on the occasion. The Institution of Diploma Engineers, Bangladesh (IDEB) and Colombo Plan Staff College (CPSC), Manila organised the conference in cooperation with the education ministry, Canada and the World Bank.

Source: https://www.theindependentbd.com/index.php?option=com_content&view=article&id=256873:bangladeshs-position-getting-better-in-intl-labour-market&catid=110:business-others&Itemid=156

The second anniversary of the Rana Plaza disaster on April 24 evoked, once again, grief from those who suffered from the tragedy. This also occasioned re-evaluation by safety experts and analysts as to whether those involved with the RMG (ready-made garment) sector in Bangladesh have been able to move forward in ensuring better security for the workforce in the thousands of factories in this sector – both woven and knitwear. We were reminded, most unfortunately, of the greed, corruption, abuse of socio-metric connections, deliberate flouting of regulatory requirement, improper planning and poor structural engineering. The media and seminars deplored the culture of denial and lack of accountability among RMG factory owners. There were references to the criminal failure of governance. There was disappointment that many guilty of manslaughter and murder did not received exemplary punishment. Three sectors of Bangladesh economy have prospered over the years. These are readymade garments, manpower export, and pisciculture and shrimp farming. The success in these sectors has come from the drive and enterprise of private sector entrepreneurs. They have kept the country afloat and have also been the force behind the creation of employment opportunities for millions of people in diverse sectors of the economy.

RMG SECTOR: The RMG sector in particular, has been the source of employment for nearly three million women. That, in turn, has indirectly helped in gender empowerment, female literacy, better nutrition and family planning. This has happened despite challenges that exist within the Bangladeshi RMG paradigm. In this context, one can note the following: the industry’s rickety infrastructure, lack of accountable supervision pertaining to security of workers and growing shortage of skilled manpower in mid-management. There is also the problem of inadequate gas and power supply, higher freight charges in the local and international markets, yarn price hike, higher transport costs and increase in prices of requisite capital machinery. In addition, there are continuing problems due to the current trend of economic downturn in the USA and Europe. This has assumed greater seriousness given the fact that the price index for exportable local apparel items appear to have declined over the last fiscal year.

Another area that continues to affect profitability in the RMG sector is the exploitation by international buyers of the relative inexperience of our manufacturers in the area of international marketing. Despite evolving success, our RMG business, even today, is mostly done through middlemen. Our marketing network still leaves a lot to be desired.

The absence of ‘living wages’ in the RMG sector is creating frustration, unhappiness and making the workers susceptible to external provocation. One wonders why the owners in the RMG sector cannot pay the equivalent (in Taka) of at least US$ 4.0 per day to their workers. How can they expect workers to perform without this minimum salary — given the steep rise in the prices of basic necessities, not to speak of milk, fish or other sources of protein? It is important that employers in the garments industry understand that workers are expected to work efficiently, but they also have human rights and a right to personal security.

COMMITMENT REITERATED: As anticipated, the European Union (EU), the United States (US) and the International Labour Organisation (ILO) have taken the opportunity of the second anniversary of the Rana Plaza tragedy to express their continued support to help Bangladesh in its efforts to protect the rights and upgrade safety of the workers in the garment sector. This commitment was reiterated in keeping with the promises made earlier by the Sustainability Compact for Bangladesh and its pledge to bring about a lasting transformation in this sector. They also noted some of the important steps undertaken by the Bangladesh government in this regard: amendment of the Labour Law, strengthening certain aspects of freedom of association, collective bargaining and occupational health and safety, recruitment and training of new factory inspectors, structural safety assessments and posting online factory safety information. The establishment of a hotline to report labour concerns and setting up 300 new trade unions in the RMG sector were also noted.

The Japanese government has indicated that they are willing to take initiatives to make vulnerable buildings of garment factories safe for the workers through retrofitting, a technology that makes vulnerable buildings more jolt-resistant.

The statement of these international partners reflected their anxiety with regard to speedier implementation of some of the objectives that would advance health, safety and labour rights even further. In this context, the EU Trade Commissioner Cecilia Malmstrom has cautioned Bangladesh that failure on the part of the Bangladesh government, the related agencies and the owners of the garment factories to move forward at a quicker pace might affect the continued availability of highly preferential market access for our garment products in Europe. That is a dire prospect indeed.

The government could possibly be slightly more pro-active in its engagement. That would meet the expectations of the EU. It might like to adopt a more hands-on approach with the leadership of the RMG sector in one particular area — dispute resolution. With the agreement of all parties, they could initiate the formation of an arbitration facility through which disputes could be settled without workers resorting to violence. This facility could be a modified version of a workers’ association in each factory. The workers need also understand that they have to behave more responsibly and stop unnecessary vandalism based on rumours and external instigation.

The media highlighted past week the allegation that the government and other relevant authorities have failed to live up to their promises regarding providing financial support and necessary long-term healthcare to facilitate the rehabilitation of workers who were seriously injured in the Rana Plaza tragedy. That has been very correctly disputed by both the Prime Minister’s Office (PMO) and other relevant agencies. The Bangladesh Garment Manufacturers and Exporters Association (BGMEA) and the Bangladesh Knitwear Manufacturers and Exporters Association (BKMEA) have also claimed that suitable steps have been taken by them in this regard.

Nevertheless, it’s time the Human Rights Watch, the TIB and others involved with humanitarian work asked whether promises of support from the buyers have been kept consistent with the principles of corporate social responsibility (CSR). It appears that this has not happened.

Dalia Hashad, campaign director of the advocacy group Avaaz.org., in a comment on the occasion of the second anniversary of the Rana Plaza tragedy has brought up some significant points. She has drawn attention of the readers of her blog to the fact that Benetton’s CEO Marco Airoldi has finally announced his company will contribute $1.1m to the Rana Plaza victims in Bangladesh. It may be recalled here that for two years Benetton had persistently refused to pay any compensation at all. After two months of pressure by more than one million Avaaz.org members, the company was finally persuaded to step forward. It has been noted that this course of action is expected by customers that companies take responsibility for all of the workers who touch their products, from those in the front offices and retails stores to the people on the factory floor. Dalia has also mentioned that the fund for the victims is still $6m short of fulfilling the needs of those deeply impacted by this disaster. It has also been highlighted that large companies are still refusing to pay their fair share. This list is supposed to include US’s JCPenney, France’s Carrefour, Germany’s NKD and Adler Modemarkte, and the UK’s Lee Cooper.

DIFFICULT TIMES AHEAD: We have difficult times ahead of us pertaining to the RMG sector. We will need greater perspective planning and coordination. The government will have to help the entrepreneurs as well as the workers so that they can survive and prosper in the emerging competitive environment. Constituting an effective high-powered cabinet committee to coordinate, guide and supervise the resolution of several existing challenges and issues in this sector might possibly create stability and compliance, particularly with regard to security for the workers.

It also needs to be noted that while the Human Rights Watch and the Human Rights Council have been urging the Bangladesh government to ensure a stronger system of workplace inspections and the right of workers to form trade unions, they have carefully refrained from urging the buying houses in Europe and North America to pay a fairer price for the products that they are sourcing from Bangladesh. The middle-men and buyers, involved in this matrix, also need to revise their profit margin downwards and create a special fund that can be used for ensuring better wages and facilities for the garment workers. This fund could then be administered jointly by the representatives from the manufacturers and the garment workers. Such an arrangement would facilitate transparency and subsequent accountability.

In conclusion, the land site of the infamous Rana property be levelled and requisitioned by the government so that a memorial can be built on the site in memory of the more than one thousand garment workers who have been sacrificed on the altar of greed and corruption. A hospital should also be built on the site to provide free medicare for garment workers who might need such assistance after their retirement. The writer, a former Ambassador, is an analyst specialised in foreign affairs, right to information and good governance.

Source: https://www.thefinancialexpress-bd.com/2015/05/04/91232

The National Board of Revenue (NBR) recently allowed a private company Ispahani Summit Alliance Terminals Ltd (ISATL) to set up a quality control centre in a bid to ensure export of quality apparel products. The customs wing of the NBR last month allowed the company to set up a special bonded warehouse and permitted it to establish a quality control centre for examining exportable apparel products. The company will offer ‘pick and pack’ service and work as an agent of foreign buyers. Officials said foreign buyers will pay the charges and fees against the services provided by the quality control company. They said the customs wing has been awarding licences to the private quality control centres since 1998. Apart from the ISATL, there are some 20 such companies in the country. “The NBR approved the first quality control company Koheni Negali in 1998. The board has followed similar rules, under the Customs Act, on appointment of other companies including ISATL,” said a senior customs official. He said the companies applied to the NBR for licences with the recommendations of top three or four foreign buyers to examine quality of export products before shipment. Local exporters are required to go through the private quality control centre if foreign buyers want, he added. Meanwhile, the country’s apparel exporters have raised objection to the establishment of the ISATL claiming that the permission was granted to the company without discussions with the apex exporters’ associations. The NBR has always discussed with the relevant trade bodies prior to such appointment, they claimed. In a recent letter, the Bangladesh Garment Manufacturers and Exporters Association (BGMEA) and the Bangladesh Knitwear Manufacturers and Exporters Association (BKMEA) demanded of the NBR to withdraw permission to ISATL for the ‘sake of export trade.’ Asked on the allegation, the customs official said there is no binding in the customs law on discussing with the exporters before awarding licences to the private quality organisations. The Customs wing has appointed the company ISATL in accordance with the same rules that have been in vogue since 1998. Officials said they could not guess that there would be such opposition on the issue. On quality control issue, the government cannot discourage foreign buyers if they want to appoint their representatives to examine and certify the quality of export products, the official said. They said buyers sometimes remain shaky to send foreign quality control experts due to political turmoil considering security reason. Apparel exporters, however, fear there would be hidden costs that buyers would pass on to the exporters. They also claimed that the lead time of export will be reduced and cost of export products would go up following the latest decision. Currently, quality control representatives of foreign buyers check quality of products inside factories and hand those over for shipments after packing. In the letter to the NBR, the apparel exporters said disputes may arise with the foreign buyers over the issue of private quality control centre and affect the export trade. Talking to the FE, BGMEA president Md Atiqul Islam said the NBR didn’t discuss the issue prior to appointment of the company. “We are not clear what would be the mode of operation and activity of the company. Currently, third party inspection is being conducted by the buyers,” he said. A senior customs official said the entire issue of private quality control mechanism for export of apparels may be reviewed soon to make it more exporter-friendly. He said the issue would be placed to the government high-ups for further discussion.

Source: https://www.thefinancialexpress-bd.com/2015/05/04/91292

The government’s revenue earnings from patents, designs and trademarks remained almost static in the last calendar year despite marked expansion in socio-economic areas. Insiders, however, have attributed it to apathy of the business community and inventors over intellectual property rights (IPR) issue saying that this tendency might lead foreign entities to grab patent rights of the products the country owns. Revenue income from trademarks, patents and designs stood at Tk109.9 million in 2014 which was almost the same at Tk109.88 million in 2013, according to the data of the Department of Patents, Designs and Trademarks (DPDT). The DPDT’s income from trademarks was nearly Tk95 million while earnings from patents and designs stood at only Tk15 million in the last calendar year. Registrar of the department Md Sanowar Hossain told the FE that business people were interested mostly in trademarks. He said revenue earnings from issuance of trademarks stood at Tk69 million in 2010, which is now more than Tk95 million. But earnings from patent and design registration increased by only Tk2.0 million in last five years. Businesses and scientists are not much interested in patenting their products, he said. He said IPR is still not recognised among majority of businessmen. He said foreign entities are more interested in patenting than that of the locals. “In 2014, we received 249 applications from foreigners for patent registration against only 44 from local ones,” he said. “But in the case of trademarks, Bangladeshis are ahead– DPDT received 7,930 applications from the locals while the number was 3,611 from foreign trade bodies and individuals,” he said.   Mr Hossain also pointed out that as a least developed country (LDCs), Bangladesh has a waiver over IPR on certain products or things which are also responsible for poor growth in revenue from patents. Director General of Intellectual Property Association of Bangladesh (IPAB) Md Azizur Rahman told the FE that creation, protection and management of intellectual property (IP) is now an instrument for national development in the context of globalisation of trade and commerce and knowledge world. “We have no specific research as to how much IP contributes to our economy,” he said. He said the country has been witnessing a sizeable economic expansion for a decade. But revenue income from trademarks, designs and patents is not satisfactory compared to that of the growing size of the economy.    He said as a LDC country, our industries are not bound by IPR on specific products for a certain period, but we have to think about it when waiver over IPR goes. Our businesses, scientists, inventors, musicians will have to be cautious over patents from now as foreign entities might claim ownership of our products if the latter patent those earlier, he said. He also said there must be effective coordination between DPDT and National Board of Revenue (NBR) so that information relating to registration could be obtained easily. There must also be effective co-ordination among ministries of commerce, industries, home affairs, law and law-enforcement agencies over IPR issue.

Bangladesh is still the first choice for apparel sourcing after China, but other countries are fast catching up, McKinsey & Company, a global management consulting firm, said in its latest report. The report styled ‘Sourcing in a volatile world — the East Africa opportunity’ singled out Ethiopia, billing it as the one to watch out for — for the first time. The positive outlook on Sub-Saharan Africa is being spurred by anticipated long-term growth in the region’s employable population, which will reach levels similar to those of China by 2035.“It is true that African countries are coming up in the global apparel trade, but it will take at least ten years for them to become our competitors as they are still in the very initial stages,” said Atiqul Islam, president of Bangladesh Garment Manufacturers and Exporters Association. At the moment, Sub-Saharan Africa has only a 0.56 percent share, or $2.6 billion, of the entire global volume of clothing exports. Bangladesh is still the first choice for apparel sourcing after China, according to a report of McKinsey & Company, a global management consulting firm. Photo: Star/fil“We have an added advantage now as the Accord and Alliance [the two foreign building inspection agencies] have certified more than 98 percent of our factories to be safe after the inspection,” he added.Released last week, the report interviewed the chief purchasing officers (CPOs) of retailers from Europe and the US, whose combined sourcing stands at $70 billion. Asked to rank their most important future sourcing destinations, the respondents identified Bangladesh, Vietnam, Myanmar, and Ethiopia. Around 74 percent of the CPOs said they are planning to decrease their sourcing value share from China, where the costs of production have spiralled in recent years for shortage of workers. They are looking at East African nations of Ethiopia and Kenya as possible alternatives.Some 40 percent of the buyers indicated that sub-Saharan Africa will become more important to the apparel industry in the next five years, in contrast to 24 percent in the last edition of the survey, which came out in 2013. Citing Africa as the new Asia for the apparel industry, the survey report said the CPOs on average plan to increase their currently very low levels of sourcing from Sub-Saharan Africa nearly tenfold by 2020 — from 0.3 percent to 2.8 percent. “There is extensive potential in Sub-Saharan Africa and it remains untapped. Nevertheless, it is essential to analyse the countries in this region at a granular level,” the report said.Scenarios show that even with exponential growth these countries will remain a small part of the global sourcing map in the next five years, but with investments from all the stakeholders involved, the future potential can be realised, the survey also said.Of those surveyed, 28 percent expect to start sourcing in Ethiopia by 2020, while 8 percent are planning to increase their sourcing share in the African nation. For Kenya, the figures are 13 percent and 5 percent respectively. Approximately one-quarter of the companies surveyed said they have sourced from Sub-Saharan Africa in the past 12 months. “These two countries now have opportunities to boost their share of the global sourcing market,” said Achim Berg, a partner of McKinsey & Company, in the report.While Ethiopia has benefits on the cost side, such as labour and energy costs, Kenya offers higher levels of productivity. But there are still some hurdles that both countries need to overcome: they must work to ensure social standards and legal security as well as fight corruption, according to Berg.Currently, Bangladesh is the second largest apparel exporter after China. It has a 5 percent share in the more than $450 billion global apparel market.In fiscal 2013-14, the country raked in $24.50 billion from garment exports, according to Export Promotion Bureau.“China continues to dominate the sourcing market. Bangladesh, Vietnam, and Myanmar generate less than one-third of China’s export value,” Berg said. At present, China accounts for 39 percent, or $177 billion, of the global clothing exports a year.“And yet, the trend of seeking out new sourcing destinations continues.” Three-quarters of the CPOs surveyed expressed a desire to shift at least a portion of their production from China to other countriesIn 2011 and 2013, McKinsey carried out similar surveys, where leading CPOs tipped Bangladesh to export $42 billion worth of garment products by the end of 2020.But in December last year, the garment manufacturers set out a target to hit $50 billion in exports by 2021.

Source: https://www.thedailystar.net/business/bangladesh-still-the-first-choice-apparel-sourcing-after-china-80350

A fire that ravaged a bicycle factory of Meghna Group in Gazipur has been put out after a frantic effort for two hours. What sparked the fire and the extent of damage could not be known immediately. Gazipur Fire Service’s Inspector Shaheen Alam said the ‘Transworld Bicycle Limited’ factory caught fire on Saturday afternoon.The factory’s Assistant General Manger Md Solaiman sai the fire originated from the assembly room and spiraled out of control in minutes.

Source: https://www.observerbd.com/2015/05/03/86755.php

Bangladesh Garment Manufacturers and Exporters Association (BGMEA) has extended its gracious cooperation to Nepal earthquake survivors, besides expressing profound sympathy for the victims. BGMEA President Atiqul Islam and Vice-President Shahidullah Azim yesterday handed over 200 cartoons with over 10,000 clothing products including shirts, pants, sweater, T-shirt, ladies pants and children dresses to the Nepal authority, a statement said yesterday. The relief materials went to Nepal in a flight of Bangladesh Airforce on Friday. “We have urged our members and other organisations to provide support as per their capacity to help earthquake survivors in Nepal,” said Azim. “We will continue our efforts to help the survivors and the first phase consignment has been placed to the authority.” Azim also said at present, the survivors need warm clothes, blanket, tents, plastic mats, drinking water, dry foods and medicine. The death toll of the earthquake that struck Nepal on Saturday has crossed 6,000 while a great many are still unaccounted for as the rescue team is yet to reach the hilly areas.

Source: https://www.dhakatribune.com/business/2015/may/03/bgmea-sends-aid-nepal-earthquake-survivors#sthash.W0VICbGp.dpuf