Good days are returning to the garments

Good days are returning to the garments. This is a good news again in the country’s ready made garments sector. About 80 per cent of export orders canceled and suspended in March-April have returned. Foreign buyers are ordering exports. At the same time, he is coming forward to pay the arrears. Concerned parties believe that as a result of the coronavirus epidemic, the country’s ready-made garment sector has started to turn around again.
In this context, the former president of BGMEA Anwar ul Alam Chowdhury Parvez said, it is definitely a relief news for us. As a result, he hoped that the country’s overall export sector would turn around again. Bangladesh Chamber of Industries-BCI President Anwar-ul-Alam Chowdhury Parvez told that in the context of the epidemic coronavirus, the country’s main export sector, the ready-made garment industry, will see incredible growth in the future. With Christmas looming, international buyers are raising hopes.
If the fear is removed, the sale of garments will increase. International buyers are renewing canceled and suspended orders. Buyers are also taking interest in selling products ahead of Christmas. It is certainly positive for us. It is known that after four months, the global coronavirus infection has decreased and the panic in the public mind has also decreased. The industry has started to open in compliance with the hygiene rules. The world is trying to mobilize trade and commerce. Closed airspace has begun to reopen. 

Bangladesh’s export market is gradually becoming normal in European and American countries. They have started accepting most of the orders that were initially suspended and canceled due to the effect of Corona. Not only that, they are also coming forward to pay the arrears to the buyers. Although in this case they are giving some conditions. However, those concerned are continuing discussions with them.

Sources said that 80 per cent of the export orders canceled or suspended during March-April have already been returned. BGMEA is also negotiating or mediating with the buyers. However, even if the purchase order is returned, the buyers are fulfilling the conditions for payment. In many cases they take as long as six months or a year. Again some are forcing to give discounts. BGMEA says we are also in talks with them. Since the time is quite challenging.

So we also want buyers to survive. Sellers or producers are also fighting to keep the business afloat. Buyers want to export in the long run. They will not take any product even if ordered this year. Will take the product next year. This is also seen as positive for the export sector in the current situation.

Safiul Islam Mohiuddin, former president of FBCCI, told that he sees huge potential in the garment industry, the main export sector of Bangladesh, as soon as the world turns around to overcome the epidemic coronavirus crisis. Panic has hurt us more than corona. We will be able to make up for this loss. Corona’s panic is not over yet. However, international buyers of Bangladeshi garments have started opening their shops. Buyers like Walmart are opening up. But clothing retailers like H&M and Jesse Penny did not open.
Sources said that the coronavirus spreads throughout Europe and America throughout March and April. Every day there is an increase in the number of deaths with the infection. The situation is particularly critical in Germany, Italy, Spain, Brazil and the United States. Although Italy, Spain and Germany have recovered somewhat, the situation in the United States is still dire. At that time, more than 300 European-American buyers suspended export orders worth  3.15 billion.

Bangladesh also opposes the cancellation or suspension of export orders. At that time letters were given to 41 brand companies. Apart from this, debates are held in various ways. As a result, the garment industry, the heart of the export sector in Bangladesh, fell into a severe crisis. The factory owners are also in crisis in paying the salaries and allowances of the workers. To control the situation, the government gave an incentive of Tk 5,000 crore to the factory owners only for the salaries and allowances of the workers.
Apart from this, the government also announced several incentive packages worth at least Rs 96,000 crore to protect the overall economy; Which is being implemented by the commercial banks of the country. In the meantime, the economic activities of the country have also started to move slowly. Sources said DBL Group is one of the largest exporters in the country. The company exports to several brands including H&M, Walmart, G-Star, Zara, Puma. When the coronavirus infection started, all but two brands canceled their purchases.
Now they are slowly coming back. The lion’s share has already returned. However, there are very few new orders. H&M, a Swedish based buyer, buys the most garments from Bangladesh as a single brand. It is learned that the company has not canceled any order and has not delayed the payment of any seller’s dues. Of the more than 5,000 H&M retail stores worldwide, 90 percent are currently open.

About 250 Bangladeshi exporters export about 3 billion a year to the brand. Now the buyers are taking orders from these countries next summer. Due to the corona, Bangladesh’s exports in the just-ended 2019-20 fiscal year decreased by 80 million or about Tk. 56,000 crore. Bangladesh has never had such a large export since independence. Meanwhile, the export target for next year has been set at 48 billion US dollars. The demand for Bangladesh’s export products is expected to increase further in the post-Corona period when new activities are started all over the world. As a result, it is possible to achieve this goal.

AKM Selim Osman, president of BKMEA, another garment industry owners’ organization, told that ready-made garment factories are slowly recovering from the ongoing corona crisis. Buyers are responding again. We are also reassured. The government of Prime Minister Sheikh Hasina is providing adequate assistance in overcoming the epidemic of corona virus. Although the Corona problem is not unique to Bangladesh; It is a global problem.