Bangladesh -TEXTILE SECTOR

PRESENTATION ON THE IMPORTANCE OF THE BANGLADESH PRIMARY TEXTILE SECTOR A. Matin Chowdhury Managing Director, Malek Spinning Mills Ltd. Southeast University Seminar Hall, Dhaka 7th September , 2009 To To Fresher’s Reception Program Fresher’s Reception Program School of Science & Engineering School of Science & Engineering Southeast University Southeast University       !     "# $ !  $%&    GROWTH AND CONTRIBUTION OF THE T&C IN BANGLADESH Growth and contribution of the T&C in Bangladesh After liberation of Bangladesh in 1971:  ' (  ) (   % Present Day (2009)  Jute export unfortunatelydiminished to 2.68%    T&C has rescued the country (* ") "Exporting US$ 12.87 billion – 82.68% of national export " "%   Bangladesh Export Position +,,-.+,,/+,,/"+,,0 Sl No. Item July 07 - June 08 % July 08 - June 09 % ,1 2  13$11,/, 1,,, , 1445410 1,,,, ,+ Textile & Clothing 11,170.76 79.16 12,870.17 82.68 ,6 7 +0$3,3,3  +,/3 +$504,+ 1-6+ Sl No. Item July 07 -June 08 July 08 - June 09 Growth % ,1 89 4$46+4+ 5$3+0+5 15+1 ,+ :9 4$15-+/ 4$01/41 1343 ,6 % 64-05 6/0/6 /,, ,3  11+// 16+4- 1-33 Total T & C 11,170.76 12,870.17 ,4 ;< 6350+ 3-163 +560 ,5 ;=; 463,- 34346 13/0 ,- &'' 9 3/63, 31-3+ 1654 ,/  53+/ /343 616+ ,0 ; 3,54 355/ 13/6 1,  6/66 61-, 1-6, *2 Textile & Clothing Contribution I > 10-1 A great achievement for the people, government, Labour and entrepreneurs of Bangladesh. A great achievement for the people, government, Labour and entrepreneurs of Bangladesh.  <   8 &)9;2   Textile & Clothing Contribution II 9  <?5-@6+@  < $ 739 million to $ 7,511 million Textile & Clothing Contribution III 7> &)92 &1003" +,,/ ;2&1, Item Total Export Export using local inputs Export using foreign inputs Value Retention Value Retention Knit Garments 5$3+0 4$-/5 4,339 536 160 Woven Garments 4$010 1$ 4 1,331 3$136 1,036 Home Textile + Towel 4++ 4++ 392 ,, 00 Total 12,87 0 8,083 6,062 4,786 1,196 (all gures in mil US $) Textile & Clothing Contribution IV +,,/",0;2& FE Retention with local fabric 5 times that of Imported Fabric PTS Helped  Increase Exports  Increase Retention  Create Bangladesh as a Major Hub for Textiles and RMG Textile and Clothing Contribution V 2AB  C massive multiplier eect    Must be pursued with a higher % to survive in current global crisis Total Cash Assistance Paid 1991-2008 1991 to 2006 2007 to 2008 D/,+4+) D 64) A SUCCESS STORY [...]...GLOBAL COMPETITIVE RACE & POSSIBILITIES FOR BANGLADESH Global Competitive Race and Possibilities for Bangladesh I Facilities Given * Between 1.10.08 to 31.03.09 – IRS 14,701 crore ($ 3.12 Global Competitive Race and Possibilities for Bangladesh II US Apparel Imports 1990-2008 World SL No Country 01 02 03 04 05 06 07 08 09 10 11 12 US$ in... 1.60% 2.70% 2.00% 33.02 % 7.57% 5.79% 5.52% 5.08% 4.28% 3.59% 2.26% 2.13% 2.09% 2.04% 1.82% Global Competitive Race and Possibilities for Bangladesh III US Apparel Imports Q1 & Q2, 2008 vs 2009 SL No 1 2 3 4 5 6 7 8 9 10 11 Country World China Vietnam Indonesia Bangladesh Mexico India Honduras Cambodia Thailand Salvadr January – June 2008 January – June 2009 % % Chang Share e 32,995.69 28,907.09 -12.39... Overtook Mexico for 4th position in 2009 Possibilities for Bangladesh - II 7 Till now produced basic products – Plans now: - Upgrade 25% product to value added category which will yield additional $ 2.00 billion - Build on existing base by growth of 15% yielding additional $ 2.00 billion - Take on capacities vacated by Mexico, Turkey, Possibilities for Bangladesh - III AREAS FOR GROWTH        All circular... printing, embroidery, embellishment etc CHALLENGES Challenges - I Bangladesh T&C Industry has tremendous prospects Can very easily take Global second position after China A difficult task, but achievable and requires concerted and determined effort from all – Government, Entrepreneurs, workers, financiers, etc National Aim 1 Government of Bangladesh had given initial support to the T&C For the last 8... Million 21,93 34,64 57,23 68,71 73,922 71,568 100.00 100.00 7 9 2 3 59 54 Share Share % % 1990 1995 2000 2005 2007 China 2,739 3,518 4,499 Vietnam 0 17 47 Indonesia 629 1,183 2,055 Mexico 508 2,566 8,413 Bangladesh 429 1,067 2,116 India 557 1,098 1,786 Honduras 113 918 2,323 Thailand 437 1,037 1,820 El Salvador 54 582 1,583 Pakistan 206 550 920 Sri Lanka 425 928 1,472 Guatemala 191 682 1,487 Dominican... 1,947.20 1,741.16 1,612.67 1,593.69 958.744 889.819 614.707 606.596 100.00 3.88 34.49 -0.08 7.74 -3.64 5.86 7.25 5.27 -19.02 5.39 -8.63 4.33 -21.57 3.47 -22.99 3.13 -26.44 2.14 -18.52 2.07 Possibilities for Bangladesh - I 1 Initially focused on stitching only with imported fabric Developed spinning and local fabrics capabilities after mid 90’s 2 Has a large textile base with a double digit growth 3 Big base .    GROWTH AND CONTRIBUTION OF THE T&C IN BANGLADESH Growth and contribution of the T&C in Bangladesh After liberation of Bangladesh in 1971:  ' (  ). PRESENTATION ON THE IMPORTANCE OF THE BANGLADESH PRIMARY TEXTILE SECTOR A. Matin Chowdhury Managing Director, Malek Spinning Mills Ltd. Southeast. the people, government, Labour and entrepreneurs of Bangladesh. A great achievement for the people, government, Labour and entrepreneurs of Bangladesh.  <   8