Turmoil in Bangladesh Provides a Boost for Indian Garment Exports
4 weeks ago
Turmoil in Bangladesh Provides a Boost for Indian Garment Exports
Bangladesh's ongoing political turmoil has inadvertently provided a boost to India's garment exports, even amid broader global challenges such as inflation and supply chain disruptions. In September, exports of ready-made garments from India surged by 17.3% compared to the same month last year, highlighting the country’s advantageous position amid the unrest in Bangladesh.
This increase comes at a time when other major clothing-exporting nations are experiencing downturns. The political instability in Bangladesh has led to the closure of several factories, which poses risks for their exporters in meeting delivery deadlines. According to a report by CareRatings, if these socio-political issues persist for more than one or two quarters, India could gain an estimated $200 to $250 million in monthly export orders in the short term.
The report also noted that Indian exporters might establish a more permanent foothold in the market through backward integration and operational efficiencies. This situation has opened up new opportunities for Indian exporters to expand their global reach. To further promote Indian trade, technology, and customs, the Apparel Export Promotion Council (AEPC) is organizing international roadshows in Spain and New York. Additionally, the growing markets in countries with free trade agreements (FTAs) with India are contributing to this positive economic trajectory.
Source: Maritime Gateway