With India and China’s combined retail value of textile and garment consumption expected to touch US$750 billion by 2020 from the current US$300 billion (approximately), Swiss textile expert and Director General of Switzerland-based International Textile Manufacturers Federation (ITMF) Christian P Schindler called on the garment manufacturers in Bangladesh to focus on the growing Asian market.
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Speaking at an event to discuss the global textile and garment industry with Bangladeshi spinners and weavers recently, the ITMF Director General maintained that the Asian garment and textile sector has been growing fast and will continue to do so in the next four years.
“The garment retail markets of Asia, particularly China and India, will increase as well as the western markets,” said Schindler, who went on to underline that at present, about 80 per cent of China’s garment products are produced for its local consumption, while the remaining export-focused 20 per cent of Chinese garment products make up about 40 per cent of global apparel trade, worth nearly US$200 billion, which makes China the leading supplier of garments globally, followed by Bangladesh, which exported garment worth US$26 billion in the last fiscal.
“However, contrary to China, about 80 per cent of Bangladesh’s entire export basket consists of garments, and it relies almost entirely on foreign demand,” the Swiss expert quipped, adding, “China, on the other hand, has 1.35 billion people, for which many Chinese manufacturers do not bother with exports…The Chinese domestic market is very strong, and its exports are also ten times that of Bangladesh at the moment.”
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Schindler also maintained that China and India are stronger, bigger markets, which have a shorter lead time facility and is also safer for Bangladeshi exporters.
“Diversification is important as it is not wise to depend on some specific markets. Diversified markets also reduce risks,” the Swiss expert maintained that while underlining the importance of branding saying that developing its own brands and retail chain are the next few challenges for Bangladesh.
“Branding of the country is very difficult, it is not easy,” Schindler said.
