There is something to cheer for Bangladesh’s garment export industry!
Six major buyers/brands have assured to support the country’s RMG manufacturers in these tough times of COVID-19. And who are these 6!
H&M, Inditex, M&S, PVH, Target and KIABI have assured the RMG manufacturers that they will not cancel already placed orders.
‘Few brands namely Inditex, M&S, KIABI, PVH and Target have come forward and informed us of their decision to take the ready goods along with the goods in production,’ told Dr. Rubana Huq, President, Bangladesh Garment Manufacturers and Exporters Association (BGMEA) while speaking to New Age a Dhaka-based leading English daily.
On the other hand, India is not so lucky in this regard as so far only H&M has assured similar support to Indian apparel exporters. Dr. A. Sakthivel, Chairman, Apparel Export Promotion Council (AEPC) told Apparel Resources, “We have received similar confirmation from H&M and we are in touch with other brands also.”
On the condition of anonymity, a senior professional working in India as well as Bangladesh for one of the above-mentioned brands (not from H&M) told Apparel Resources, “So far we do not have any information regarding orders in India.” He added “India has comparatively weak lobby at international level, which needs to be more aggressive.”
It is imperative to note that all the aforementioned 6 brands/companies are also sourcing from India in a big way and cancelled existing orders have created panic among Indian apparel exporters.
H&M has assured its Bangladeshi vendors that they will receive payment for orders that have already been manufactured. In a statement, it said, “We will stand by our commitments to our apparel manufacturing suppliers by taking delivery of the already produced garments as well as goods in production.”
It is pertinent to mention here that H&M sources around US $ 4 billion of apparels from more than 225 manufacturing facilities of Bangladesh.
Inditex is also not walking away and are taking all that’s being produced and are in the sea. PVH has sent a clear confirmation of taking everything. Target confirmed with full assurance and reiterated that they would work as partners to come out of the crisis and they had no intention of cancelling any order.
As Indian textile minister has been repeatedly requesting buyers to not cancel orders, AEPC is also claiming to approach the buyers for the same,. Will buyers support India as they did Bangladesh? Coming days will be crucial in this regard…