Global apparel brands are Shifting orders to Bangladesh

A recently published report from the External Economic Branch of Bangladesh Bank highlights the increase in apparel orders from major buyers. US buyers like Walmart, VF (Contour), Gap, JCPenney, Calvin Klein, and Tommy Hilfiger have transferred their orders to Bangladesh from China, Cambodia, Vietnam, and other competitors. 

Furthermore, exporters have also highlighted that the rate of orders being shifted has also increased. According to the manufacturers, the buyers shifted orders from China due to the trade war with the US, from Myanmar due to military rule, and from India and Vietnam due to the production disruptions amid Covid-19.

According to industry insiders, apparel purchase orders have already surpassed the pre-pandemic level — in some cases, they are 5-10% more.

A major contributor to this increase is buyers' trust in Bangladeshi apparel. This trust was achieved through hard work from both Govt. and apparel exporters. Additionally, the government's approach to tackling and managing the pandemic, the overall order management capacity of the apparel manufacturers, the work environment, sincerity, and health protocols increased the confidence of buyers.

To increase export further Bangladesh needs to grab the high-end apparel market. Increasing investment in man-made fibres (MMF) is should increase Bangladesh's global market share of apparel products. Exploring new markets such as Latin America would be another avenue for expansion.