Cut cost of doing business to compete in post-LDC era
Says CPD at a dialogue Star Business Report Star Business Report
Bangladesh needs to reduce the cost of doing business locally to be more competitive globally in the post-LDC era as the country will face duties on exports because of the erosion of trade privileges, said a noted economist yesterday.
Mustafizur Rahman, a distinguished fellow of the Centre for Policy Dialogue (CPD), speaks at a dialogue on “Moving out from the LDC group: Strategies for graduation with momentum”, organised by the CPD yesterday. Photo: Collected Local businessmen will have to be facilitated by offsetting costs in the domestic markets so that they can remain competitive in the international markets even after graduation from the LDC, said Mustafizur Rahman, a distinguished fellow of the Centre for Policy Dialogue (CPD).
Most listed apparel makers log profit despite sluggish sales
Spinning companies were in a better position in the July-December period. Star/file
Two-thirds listed apparel companies either made a higher profit or managed to stay in the black in July to December despite sluggish sales, reflecting the recovery for the most export-earning sector in Bangladesh.
Of the 44 garment companies listed with the Dhaka Stock Exchange, 14 firms took home more profit in the first half of the fiscal year compared to a year ago.
They include Alhaj Textile, Anlima Yarn, Apex Spinning, Far East Knitting, HR Textile, Maksons Spinning, Malek Spinning, Matin Spinning, Metro Spinning, New Line Clothing, and Queen South Textile.
Garment makers turning to artificial fibres
Exporters aim to grab a bigger share of high-end apparel business as demand rises worldwide
Import of man-made fibre (MMF) as well as investment in its business is increasing in Bangladesh because of higher demand for polyester and viscose-made garment items worldwide.
Local spinners imported 99,345 tonnes of polyester staple fibre (PSF) in 2020, up 3.4 per cent from 96,077 tonnes a year ago even during the coronavirus pandemic, according to data from the Bangladesh Textile Mills Association (BTMA).
Currently, 40 spinning mills import PSF fibre to make yarns to produce high-end garments, such as sportswear.
The import of viscose staple fibre (VSF) rose last year as well as spinners brought in 72,504 tonnes of VSF, an increase of 36 per cent year-on-year.
Cotton import grows despite pandemic
Bangladesh s cotton imports grew by about 9 per cent to 75 lakh bales in the 2019-20 marketing year (MY) despite the ongoing coronavirus pandemic, according to data from the United States Department of Agriculture (USDA).
The cotton marketing year begins in August and ends in July and one bale equals to 480 pounds.
The high demand for cotton during the first half of the year combined with the country s success in combating Covid-19 has allowed the garment sector to maintain operations despite a few short-term disruptions.
US cotton exports to Bangladesh in MY2019-20 reached 1.06 lakh bales, up 28.9 per cent from MY2018-19. The US cotton market share was approximately 14 per cent in MY2019-20, which is second to India s 23 per cent market share.
A visionary who blazed trails for many
MA Hashem
MA Hashem, a business tycoon, started as a humble tobacco trader in the early 1960s before becoming one of the leading entrepreneurs and industrialists in Bangladesh.
After Bangladesh s independence in 1971, Hashem realised that the war-torn nation was struggling to supply its people with essential commodities at affordable prices.
He started importing steel, cement, sugar, rice, spices, wheat, salt, milk and numerous other essential commodities after establishing MS Hashem Corporation in Chattogram.
But in order to make the country self-reliant, Hashem decided that these imports would have to be substituted with locally manufactured products. And so, he continued to expand his efforts, and this led to the birth of Partex Group.