If Bangladesh invests $18 billion in the non-cotton fibre industry, then the country can export non-cotton readymade garment (RMG) items worth $42 billion by 2032, according to a study published on Sunday.
It also stated that the country had more potential to use the non-cotton fibre as the demand for non-cotton and man-made fibre (MMF) apparels were on the rise in the global fashion market.
The Bangladesh Garment Manufacturers and Exporters Association (BGMEA) released a study report titled “Beyond Cotton: A Strategic Blueprint for Fibre Diversification in Bangladesh Apparel Industry” in the capital.
The study was conducted by Wazir Advisors, an international consulting firm focused on sectors of textile, apparel, and retail.
According to the study, use of non-cotton fibre in garment production in Bangladesh increased to 29% from 25% over the last three years as the local apparel exporters are diversifying the fibre to man-made fibre from cotton to get better prices and more business.
Over the past five years, there has been a notable surge in global non-cotton fibre production, capturing a 78% share of the total fibre production.
However, in Bangladesh the picture is just the opposite, because the local apparel exporters use 71% cotton fibre for making the garment.
BGMEA President Faruque Hassan said that using MMF, Bangladesh Garment Manufacturers and Exporters Association (BGMEA) wants to take the global market share of locally made apparel to 12% from the existing 7.87%.
“The non-cotton products prices are higher in those products than the cotton made garment items. BGMEA is committed to fostering diversification and supporting exponential growth in the Bangladesh apparel industry.
Given the changing dynamics of the global fashion landscape, there is a notable shift towards fibres other than cotton.
These fibres are not only synthetics (such as polyester & nylon); but also regenerated fibres (such as Viscose rayon), animal fibres (wool & silk) and even other vegetable fibres (such as linen), he added.
“While the demand for cotton products is still large, but from a diversification perspective, non-cotton fibre products offer an important opportunity,” he also said, adding that by aligning with these evolving trends, Bangladesh can not only meet the changing demands of consumers but also position itself as a key player in the contemporary fashion industry.
Due to climate change, changes also happened in fashion as consumers prefer more non cotton garment items to cotton items because of more functionality and sustainability.
So, the import of non-cotton fibre has increased recently, he added, noting that diversification of fibre does not mean that the production base is shifted from the cotton fibre.
“The old concept that Bangladesh mainly produced basic garment items is no longer true as the county now produces high value-added items like the jackets worth more than $100 per piece,” Hassan said.
Regarding the recent fire incidents in Bailey Road, he said that they have created a culture of safety in the garment industry and invested heavily in safety remediation.
“We are ready to share this experience with others like Rajuk and City Corporation if they need,” he added.
Varun Vaid, business director of Wazir Advisors Pvt. Ltd said that addition of non-cotton products in Bangladesh’s export basket can enhance the total addressable market for the country.
“Bangladesh has already proved its mettle in the global apparel trade by emerging as the second largest exporting nation. With development of a complete supply chain of non-cotton products, Bangladesh can aim to maintain its high growth trajectory”, he added.
This study also covers facts and figures about the changing fibre mix in the global context, emerging trends that will impact industry in future, an in-depth analysis of Bangladesh’s current value chain structure based on feedback of buyers, manufacturers & policy makers, comparison of Bangladesh with other leading non-cotton players such as China, India and Taiwan.
