Knit export again gains momentum

FE Team | Published: November 12, 2007 00:00:00 | Updated: February 01, 2018 00:00:00

FE Report
Leaders of the Bangladesh Knitwear Manufacturers and Exporters Association (BKMEA) said Sunday the country's knit export is gaining momentum again, after overcoming difficult times.
BKMEA president Fazlul Haque at a press conference said if the current export performance continues in the coming months the target of achieving 35 per cent growth in knit export is possible.
The press conference was held at the BKMEA office where its leaders presented current picture of the country's knit sub-sector before the newsmen.
He said the prolonged labour and political unrest hampered the export of knitwear last year. "But we have started to regain the markets due to restoration of peace," he said.
Fazlul Haque termed the knitwear export target in 2007-08 fiscal at US$5.465 billion as highly ambitious, but it could be achieved with aggressive marketing drive.
In the first two months (July-August) the country exported knit items worth $791.79 million against its target of $995.72 million, showing a fall of 20 per cent.
The export during the two months is, however, 13.65 per cent less compared with that of the corresponding period of 2006-07 fiscal, he said.
BKMEA leaders urged the government to improve the performance of Bangladeshi missions in foreign countries to help raise export of knit items.
Fazlul Haque said the BKMEA has taken some measures, including participation in international trade fairs, to improve the export performance.
He said it needs 35 per cent growth in knitwear export if the country wants to reach the target in the rest 10 months of the fiscal.
The total market of knitwear in Canada is worth $3.0 billion, where the Bangladeshi market share is only 7.0 per cent amounting to $230 million against China's 52 per cent.
"But we have huge opportunity in Canada, as it is a duty-free market for Bangladesh," he said adding that similarly, Germany is a huge potential market for local knit exporters.
Currently, Bangladesh exports knit items worth $1.2 billion to Germany, but it could be raised to $2.0 billion easily if the government improves the performance of the mission, he said.
He urged the government to appoint a trade specialist in Washington immediately to help Bangladeshi knit exporters expand their business in the US market.
"We think depreciation of dollar against the local currency will hamper the local export businesses," he said.