Bangla Industrialists To Set Up Retail Chain In India
President, Federation of Bangladesh Chamber of Commerce and Industry, Matlub Ahmad along with some industrialists of that country met the Prime Minister Narendra Modi during his visit there on June 7 to get the latter’s support for the plan.
Bangladesh, world’s largest garments exporter wanted to enter the Indian market, which was opened up some years back by removing all tariff on Dhaka’s manufacturers. However, exports to India account for just 2 per cent of its worldwide sales. Garment manufacturing cost in Bangladesh are 60 per cent less than in India, according to Delhi- based Confederation of Indian Textile Industry (CII). This could give Bangladesh an advantage in the 50 billion US Dollar Indian ready to wear apparel market. The Indian apparel market accounts for 5 per cent of the global market and is expected to grow to 7 per cent, valued at 124 billion US Dollar, by 2020.
With western buyers increasingly demanding higher labour and safety standards, besides lower prices, Dhaka has long being eying the Indian market.
Bangladesh garments makers, who supply to big brands like Mark & Spencer, Walmart, Tesco, Sears came under western security since 2010 because of the fetal industrial accident, including fire and a factory collapse which left more than a thousand dead.
“We will be a group of Bangladeshi top businessmen who will set up the chain of stores. Our aim is to turn into a billion dollar retail chains within three years,” Ahmad said.