Few in Bangladesh and outside could ever think that the country would be capable of regaining its waning image in such a short time. But it's no fluke that the country has re-entered the apparel sector wearing the look of a top player --- albeit with a product until recently not its specialty. Over the last two years, the country has emerged as the largest supplier of denim products to the US and EU markets. The trendy fabric has been enjoying global popularity among both sexes of young people, including those in Bangladesh, since the 1980s-`90s. Busy as they were producing export-oriented traditional apparels, the garment manufacturers never gave enough thought to the denim items. The sector remained mostly untapped. Against the backdrop of the adversities facing the country's RMG sector, and fall in its production thanks to a host of post-Covid global developments, denim has curved a niche market. The phenomenon is refreshingly positive. Perseverance on the part of the country's innovative manufacturers and exporters could be singled out for the regenerative feat.
As the break-up, quoted by the Dec 14 issue of the FE, shows, export of denim garments to the US market grew by 36.23 per cent to US$ 839.13 million in January-October period in 2022. The figure was $ 615.95 million in the corresponding period in 2021. The figures were supplied by OTEXA (Office of Textiles and Apparel), affiliated with the International Trade Administration, USA. On the other hand, shipments of denim products to the European Union fetched $ 1.0 billion from January to August, marking a 40.20 per cent growth, says a BGMEA account. The denim export bonanza has, apparently, been sparked by a number of favourable conditions. Of them the dominant ones are a surge in global demand amid US-China trade spat, Covid-19 disruptions in China, state-of-the-art technology adopted to produce value-added items etc.
Being the destination of the largest volume of Bangladesh readymade garments, the EU market widens faster than that of the US as has been seen in the data provided on their Jan-Aug performance in 2021 and 2022. That Bangladesh at present tops the short-list of leading denim exporters shows a few other upbeat prospects. According to the ranking, Bangladesh being at the top is followed by the traditionally large denim producers --- Mexico (2nd), Pakistan (3rd), Vietnam (4th) and China (5th). Coming to the export of denim products in January-August 2022, Bangladesh earned US$ 1,000m, Turkey US$ 799.37m and Pakistan US$ 590.45m. It's now plain truth that the export of denim products from Bangladesh to the US has been on the rise over the last couple of years due, mainly, to the 'China-plus one' sourcing strategy being followed by Western buyers. Moreover, geopolitical reasons may have prompted them to diversify their sourcing destinations, as has been viewed by a leading Bangladeshi exporter.
The BGMEA president is happy over the fact that Bangladesh is doing fine in the US market. A significant development cannot be kept aside: factories in China remained closed under the 'Zero Covid' policy. The impressive performances of some other countries cannot also be undermined. In international relations, no power is aligned to others for an indefinite period. In trade relations, too, there are no permanent friends or foes among nations. What counts is the power of survival, and excellence. The denim players should take these observations seriously.