Improve designs, quality to build up foothold in Japan
Developing suitable designs and improving quality are the two primary requirements the Bangladeshi garment exporters will have to meet to grab more market share of apparel items in Japan, the Japanese clothing merchants were saying at the Bangladeshi garment fair in Tokyo.
Japanese buyers are ready to shift orders to Bangladesh from China, the largest apparel supplier globally, if the two requirements are met, they said while visiting the sixth Knitexpo at Big Sight exhibition venue yesterday.
The buyers now opt for other countries such as Bangladesh, Vietnam and Cambodia as the Japanese government has announced a “China plus one” trade policy in 2008 to reduce over dependence on China.
Also, currently China is an expensive place for garment makers due to a dearth of workers and their higher wages there.
Bangladesh Knitwear Manufacturers and Exporters Association (BKMEA) organised the knit exposition at Japan Fashion Wear and International Fashion Fair in Tokyo.
The buyers are now looking for new sources of garment items as China has become more expensive because of higher cost of production.
The trend of business growth in Bangladesh also indicates a bright future of its garment exports to Japan. Bangladesh exported knitwear products worth $138.48 million during the January-November period last year.
Bangladesh's position in knitwear export to Japan is seventh with a one percent market share, while China is in the first position with an 85.17 percent share.
The market size of garment items in Japan is worth $25 billion of which $12 billion is for knitwear and the rest for woven garments.
“The future of Bangladesh in garment export to Japan is bright as the cost of production in China has gone very high, but the whole thing depends on how the country changes its designs and improves quality,” said Michiyo Suzuki, managing director of Fuji Bangla Tex Japan Ltd, on the sidelines of the exposition.
She said she has gone to Japan to set up a joint-venture factory to produce clothing items at cheaper rate.
“It would be difficult for Bangladesh to grab more market share in Japan if quality is not improved,” said Suzuki, who imports trousers and T-shirts, rugs, jute products and leather bags from Bangladesh to Japan.
“I have plans to set up more factories in Bangladesh,” she said.
Naomitsu Tanaka, president of Japan-based garment company Tricot-Reve, said 95 percent of his requirement is now outsourced from China.
“But, China is becoming expensive,” he said.
He said he has placed a sample order in Bangladesh for producing garment items for women.
“If the shipment qualifies during inspection, I will place more orders,” he said.
He said he imports $50 million worth of cotton items a year mainly for women.
“The Japanese customers are very quality conscious,” said Tanaka who has some retail stores in Japan.
Echoing the views of other Japanese buyers, Kenya Suzuki, general manager of Yagi and Company Ltd, said he has plans to expand operations in Bangladesh as China has become expensive for garment production.
He is currently operating a joint-venture factory in Bangladesh.
Garment exports to Japan have also been increasing due to the changes in the Rules of Origin under the Generalised system of Preferences by the Japanese government since April last year.
Bakhtiar Uddin Ahmed, general manger of Fakir Apparels Ltd, said the response from the Japanese buyers is so far good.
“I have already signed an agreement with a Japanese buyer to supply 2.5 million pieces of T-shirts. I hope the quantity will increase soon,” he said.
Shofiquzzaman Prince, managing director of Sensible Knitwear Ltd, also said the response from the buyers is positive.
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