Page 21 - September-October-2020

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Boost in exports rises for

Pakistan during pandemic

For Pakistan, outbound shipments are growing at a Bangladesh for at least two months beginning late
faster pace than Bangladesh and India as textiles, March, Pakistan was already making face masks
which account for half of the total export, led the and personal protective gear for export. The South
recovery, data show. Islamabad is seeing total Asian nation also gained some orders from compa-
shipments grow 7%. nies looking to diversify their supply chains amid the
trade war between the U.S. and China, the world’s
Pakistan’s Prime Minister Imran Khan’s administra- top textile exporter, despite factories there reopening
tion is the first in the region to ease pandemic as early as April.
restrictions, allowing export units to reopen in April, a
month after locking them down to stem the spread Executives from Nishat Mills and Interloop Ltd., one
of Covid-19. That’s helped draw companies from of the world’s largest manufacturers of socks that
Guess? Inc., Hugo Boss AG, Target Corp. and counts Nike Inc. and Adidas AG among its clients, AD
Hanesbrands Inc. to the South Asian nation, accord- said they have seen some orders diverted to them
ing to people familiar with the matter, who requested from China. Meanwhile, Gadoon Textile Mills Ltd.
anonymity since details about buyers is private. has received orders redirected from Bangladesh,
the world’s second-largest apparel exporter, and
Even as lockdown curbs disrupted trade in India and India, the third-largest textile exporter.

Bangladesh garment workers

pray for orders as pandemic

shreds exports

Bangladesh garment factory owners on an average garment industry, with some 4,000 factories
laid off 20% of their workers in the wake of the first employing 4 million workers.
wave of the coronavirus pandemic. Bangladesh is
the world's second-largest apparel producer after Readymade garments are a mainstay of the
China, but its industry leaders say international economy, contributing almost 16% of country's GDP,
retailers are either refraining from placing orders, according to the central bank. Experts fear the South
delaying buying decisions or demanding steep Asian country might itself face another surge in
price cuts. infections during the winter, having so far confirmed
390,206 cases, including 5,681 deaths.
In the financial year that ended in June, Bangladesh's
garment exports totaled $27.94 billion (21.6 billion About a third of the one million workers who were
pounds), down 18% from the previous year. Nearly either furloughed or laid off have been rehired since
half of factories producing knitwear products like July, according to union leaders. But many workers
t-shirts and sweaters are finding it difficult to remain are struggling without overtime pay, which often
open. Low wages have helped Bangladesh build its accounts for 20% of their monthly income.

September/October 2020