Bangladesh is a country where its RMG sector drives the economy. It has procured the title of second-largest garment exporter in the world in 2016 and is still holding its reign successfully. The primary raw material for producing garments is its fabric. Woven is one of the popular categories in the country.
One of the many reasons the country has made a mark on the map is for its woven fabric worldwide. There has been an evolution of the distribution of clothes over the years. This article aims to articulate the demand for woven garments in Bangladesh properly. So let us explore the answer to the question, “Why is Bangladeshi Woven Garments So Popular?’
Why is Bangladeshi Woven Garments So Popular?
What is Woven Garments?
Garments, as we know, are made from different kinds of fabrics. Among them, woven garments are the ones which are made from a material of fabric which requires weaving—these two categories of garments popularly in Bangladesh, such as woven and knitted.
When mainly talking about the woven fabric, the threads work up and down on a loom. Whereas knitting works by putting the knitting needles into the knitting fabrics and stitches are made. So to summarize, the fundamental difference between the two materials is the method of making them. In woven fabric, threads go over and under one another.
Products of Woven Garments:
Some of the primary woven products of Bangladesh include shirts, trousers, and jackets, most of which are made from cotton material. It is stated that these three products contribute to more than 40% of the total apparel export of Bangladesh.
Competitors:
The competitors can be identified and categorized in two ways. It is usually calculated by conducting and analyzing the market shares in numerous different countries where Bangladesh exports its garments to. After that, the countries holding more shares or closer to Bangladesh’s in a particular market can be ruled out as competition in that specific market.
Another possible and known method is by measuring the Export Similarity Index (ESI) of the countries competing in a market alongside Bangladesh. This index is a more reliable method because it considers the importance of the export of this sector in the overall export of the country. Therefore it gives a clearer picture.
Top 5 Reasons behind the popularity of woven garments
Business Ease:
It is the ease of business that stimulates the popularity of woven fabrics. It provides greater ease for anyone working in the manufacturing sector, particularly the merchandisers. Some of the most common benefits are the ease of communication, for instance, in terms of any problems. They can communicate through a phone call and solve the issue.
It can save a lot of time for any significant issues regarding fabric quality as well. Usually, for all other matters regarding fabric quality belonging from different origins takes 3-4 weeks to communicate and then come down to a solution. However, in the case of local mills, it is just a matter of one week. The same goes for merchandise problems as well.
Shorter Lead Time:
In recent times, a shorter lead time is the best approach to sourcing. The retailer expects to see the feedback from customers on the product and then, at the last moment, push the order button for the color or price to obtain the product on time. For such scenarios, there is no alternative apart from shorter lead time, and often, buyers are willing to pay that additional amount for that reduced lead time.
Turkey has been a popular hotspot for retailers from the UK and Europe because of their incredible ability to deliver fast fashion within a short time. The majority of fashion retailers nowadays tend to desire and prefer the products to be delivered within 60 days.
In the garments industry in Bangladesh, the demand for local fabric has been substantially high for meeting shorter lead times, which are desired by the retailers. This consequently enables the manufacturers to save about 4-6 weeks in the order cycle.
Lesser complications:
The importation of fabrics involves quite a complicated process that consists of industrial processes. However, it seems much straight forward and easier if it comes from a local source. For any rejection or replacement process, woven fabrics are preferred much more due to its ease with which it can manage to gather replacements or return the rejected ones in a matter of few months.
Low risk:
It is much easier to reduce the risk of the business you are in the same country as your business. In many cases, foreign suppliers make it difficult for risk management of the business. Many foreign fabric suppliers will continue further business in the event of the availability of big claims.
The demand for Woven Fabric:
According to many sources, the demand for woven fabric has amounted to three billion meters following the consumption for export every year. To be able to serve that demand, the local mill can produce approximately 45 million meters of fabric, which only succeeds to meet 14-15% of the demand barely.
Every year, Bangladesh spends around 4 billion USD to allow the import of woven fabric. This shows how the country fails to meet the demand due to its lack of supply, which aggravates the gap in demand and supply.
Investment in woven fabric manufacturing implies the saving of a significant amount of foreign currency, which pushes the economy further to massive development and the possibility of growth. Selecting proper sourcing strategies can further increase the demand for this fabric not only in the country but also globally.
Conclusion:
From the above editorial, we can adequately comprehend the reason behind the popularity of woven garments in Bangladesh. The inclusion of both numbers and information from many reliable sources indicates a positive rise in Bangladesh’s apparel exports. With further implementation of policies and the government’s aid, the sector has demonstrated consistent growth.
It is recommended that the government contributes by ensuring enforcement of stringent laws to improve the living standards of its garments workers. Besides, technological advancement will provide higher skills in production and alleviate problems regarding many issues.
Overall, it can be stated that the woven industry in Bangladesh requires lucrative investments. Be sure to give this article a read to ensure you know why Bangladeshi woven garments are so prevalent!
