Country's footwear industry posted enviable export growth in the first two months of the current financial year as global buyers began to set their sights on Bangladeshi leather goods.
Attractive designs, competitive prices and longevity of the footwear here drew the westerners away from other sources in Asia, industry-insiders said.
They said production cost of footwear increased significantly in China, India and Vietnam and this was the main reason the global buyers shifted their orders to Bangladesh.
The sector players said the significant growth of the Bangladeshi footwear was encouraging the local entrepreneurs to expand their existing production capacity.
Japan and Germany are the traditional markets for Bangladeshi footwear, but, in recent times, the US buyers are turning to products here for sourcing.
To cater the growing demand on the global market, the local top footwear manufacturers like Apex-Adelchi Footwear Ltd, Jennys, Landmark, Leatherex, Bay Footwear and Picard Bangladesh are increasing their production capacity by introducing sophisticated machinery and state-of-the-art technology.
Export Promotion Bureau (EPB) data showed footwear sector's earning at around $ 95.52 million with 33 percent increase in the first two months of the financial year 2014-15.
The sector earned around $379 million in the financial year 2013-14.
According to EPB data Bangladesh mainly exports men's footwear, lady's sandals and sports shoes to Italy, Belgium, France, New Zealand, the USA, Canada, Spain, Poland, the UK, Germany, Japan, Korea and UAE.
"This is absolutely right-the actual potential of the country's footwear sector is very high," Deputy General Manager (DGM) of Dhaka Hide and Skin Ltd Mohammad Rezaul Karim told the FE.
He said due to better quality the local footwear-export earnings continued to witness higher growth. As a result, the leading manufacturers have been turning to high-value products.
He said China, India and Vietnam are main competitors to Bangladesh. For running with them now the sector needs to improve its infrastructure and capabilities.
Tipu Sultan, General Secretary of Bangladesh Hide and Skin Merchants Association (BHSMA), said the local high-value footwear has been increasingly fascinating the global fashion- lovers thanks to the innovative designs.
He said the high-end-product addition has been helping the local footwear sector to enter a new era.
He said many buyers from traditional and nontraditional markets are diverting orders from China, India and other countries where the production cost has increased significantly.
Mohammad Shahin, president of Bangladesh Tannery Association (BTA), said Bangladesh has a good source of raw materials as the local rawhide thickness is better than those in other countries. And it is aiding development of the sector.
If the government ensures continued proper support to the entrepreneurs, he hopes, the export earnings from the footwear sector would rise to 10 billion US dollars in the next couple of years.
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