Change in showrooms causes change in prices

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Munima Sultana
Prices of locally available exportable garment products shoot up four to five times due to change in showrooms - from crude form dumping markets to posh shopping malls.
Market observers said 80 per cent garment lots, the shipments of which are either rejected or cancelled, are now bought by various brand companies to sell those in specious shops in eye-catching shopping malls.
On the other hand, they said, the vacuum created by the purchase in the Banga Bazar-like traditional markets is filled up with locally-made garment products.
Salesmen said majority of Banga Bazar-like shops collect these products and give order to tailors who have high tech machines like those of garment industries to stitch the same.
Many rejected garment clothes are also re-made by these semi-skilled tailors.
A salesman at Banga market said many brand companies which have attractive showrooms in big shopping malls give order to the export-oriented garment factories for their preferred items particularly during the off season to meet the high demand in their shops.
He said these companies also use the source of buying houses for extra products to ensure smooth supply in their shops.
An executive who worked with a prominent brand company told the FE that except two or three brands, all popular brands buy different items like T-shirts, shirts, children's wears directly from the buying houses or give order through them.
"Hardly two or three brands like Westecs, Cat's Eye, Artisti etc have their own production units but for limited products," he said preferring not to be named adding that in many cases they also give order to the export-oriented garment factories for products of their own design for the local market.
An owner of a jeans pant shop at Banga Bazar said in his shop, 80 per cent products are now locally made and this is done by tailors with RMG machines which are set up at his small factory or at home.
As materials for these kinds of products are collected from old Dhaka including Islampur market, production costs of those items have also shot up.
"The jeans in my shops are specially ordered for local customers and prices of these items have increased three times," he said.
Meanwhile the market observers said the demand for the rejected or shipment-cancelled RMG products has also increased in some Asian countries which also buy those from the country's buying houses at cheap price.
About 20 per cent of the exportable readymade garments are usually rejected in the country which were once familiar as cheap products and were abundantly available in Banga and Badruddoza markets and New Market. Shipment of any factory is cancelled if it fails to meet export target or deadline.
With the popularity of brand textiles, shopping malls in the city experience increased brand shops. At the country's largest shopping mall, Basundhara City, at least 10 brand shops were opened in the last one year with at least 1,000 square feet floor area. Big brand shops have floor areas of more than 5,000 sqf.