Surprisingly around 20 companies into the business of denim today started their productions between 2004 and 2006. “The country is now in a position to handle the complete chain from manufacturing fabric to finishes, washes and garment manufacturing, making us a lucrative base for US and EU,” says Abu Jafar Nizami, Managing Director, Royal Denim Ltd. Starting its journey as an apparel manufacturer in early 90’s, Royal Denim entered the fabric sector in 2004, as a vertical setup with denim fabric as its core strength, thereafter not many companies have ventured into denim production.
Among the first generation of Bangladeshi entrepreneurs stepping into denim textiles, Royal Denim is manufacturing around 2,00,000 pieces per month in their seven line unit. Looking for a positive year ahead, Jafar shared “last year was not very good for the entire industry, but conditions have improved, so we are looking to double our capacities in 2013.”
As per Jafar, the factories in Bangladesh still need to work on productivity improvement through better management. “It will take some time to match up to the experience of regions like India and Pakistan, who have been a part of this industry for a very long time now,” he admits.
Producing around 1 million metres per annum, of which captive consumption is around 40% of total output, Jafar prefers selling fabric in the open market. “Given an option, I would always prefer being known as a textile company and I can deliver any requirement and capacity they demand,” says Jafar. Working with a fully automated plant for the same, Royal Denim caters to denim requirements from basic to customized demands as per the buyer’s specifications.
With a total turnover of about US $ 35 million, Royal Denim has two garment manufacturing units and a textile mill and is aspiring for Green certificates. “It’s very important for the organization to develop an exclusive market niche, and that is what these certifications will help us achieve,” reasons Jafar. The company is pursuing M&S for this objective.
“The dream for my company is to have my own brand, which I would promote both at home and abroad. But for now, I consider myself successful as I’m doing something for my country, society and for myself as well,” concludes Jafar.
