Skip to content
Search

Latest Stories

Will political turmoil in Bangladesh shift garment orders to India?

Indian exporters express concern over the impact of Bangladesh’s political instability on cross-border trade.

Will political turmoil in Bangladesh shift garment orders to India?

INDIAN exporters expressed concerns on Tuesday (6) that the ongoing political turmoil in Bangladesh could result in a temporary shift of garment orders to India.

Despite this, they emphasised that India has no intention of taking advantage of the situation in its friendly neighbouring country.


On Monday (5), former Bangladesh prime minister Sheikh Hasina resigned and fled the country amidst widespread public unrest over her government’s controversial quota system, which reserved 30 per cent of jobs for the families of veterans from the 1971 liberation war.

The protests have led to over 400 deaths, raising significant concerns among Indian exporters about the potential impact on cross-border trade.

Mithileshwar Thakur, secretary general of the Apparel Export Promotion Council (AEPC) said that the current situation in Bangladesh is a matter of great concern for all the exporters.

"We wish that the situation stabilises quickly and normal business resumes. We are a friendly neighbour country and completely empathize with the unfortunate incidents of violent protests that are unfolding in Bangladesh," he said.

Thakur added that India has no intention or inclination to exploit this unfortunate situation in its friendly neighbouring country.

"The Indian garment industry is making serious efforts to grow RMG exports on its own, based on its merit. However, it is quite likely that in short-term garment orders may shift to India and the Indian apparel industry may be asked to fill the gap caused by this severe disruption," he said.

Ludhiana-based exporter SC Ralhan said that the political crisis in the neighbouring country will impact timely payments.

He said that normalisation of the situation would help in the smooth movement of goods.

Ralhan said that Indian firms having units in Bangladesh would face the impact.

"There would be stress on timely payments," Ralhan said.

Bangladesh is a key player in garments in the world and it imports cotton from India. It poses "significant concerns" for India's textile and apparel sector, particularly for companies operating factories in the neighbouring country, the Confederation of Indian Textile Industry said.

The domestic textile industry body believes that any supply disruption in Bangladesh will have an immediate impact on the supply chain, potentially affecting production schedules and delivery timelines of Indian firms.

"The situation in Bangladesh is indeed concerning, and we are closely monitoring the developments. Bangladesh's growth in the textile sector has been inspiring and has lent strength to the trade flows in the entire subcontinent.

"While we are concerned about the impact on the supply chain and the potential delays and disruptions it might cause, we are hopeful that the situation will improve soon," Chandrima Chatterjee, Secretary General, Confederation of Indian Textile Industry (CITI) said.

According to CITI, Indian companies with manufacturing operations in the country are likely to face challenges in maintaining their production flow, leading to delays and potential shortages in the market. This disruption could affect the availability of products and might force companies to seek alternative manufacturing solutions to mitigate the impact.

"Amid the uncertainties in Bangladesh, there is already a noticeable shift towards alternative manufacturing hubs such as a strategic move by companies to diversify their production bases and reduce dependency on a single market," CITI stated.

It observed that Indian textile hub Tirupur, known for its robust textile and apparel manufacturing capabilities, may emerge as a key beneficiary of this shift.

Bangladesh Army Chief General Waqar-uz-Zaman on Monday announced that an interim government would be taking over the responsibilities.

"Several major global brands that rely on Bangladesh for their sourcing needs will also be affected by these disruptions. Brands with significant portions of their supply chain rooted in Bangladesh may experience delays and a decrease in the availability of their products. This, in turn, could lead to a ripple effect across the global retail market, affecting inventory levels and sales," CITI said.

"The Indian industry is deeply concerned about the current events and hopes for the swift restoration of normalcy. Stability in Bangladesh is vital for maintaining the smooth operation of cross-border trade and production," CITI said. (PTI)

More For You

Tesco Clubcard Changes: Update Your App Before the Deadline

The digital Clubcard offers convenience and flexibility

Getty

Tesco Clubcard changes: Customers urged to update app before Monday deadline

Tesco has issued an urgent call for action to millions of its Clubcard users, advising them to update their Tesco Shopping & Clubcard app before Monday, 31 March 2025. The supermarket giant is rolling out an important update to improve data protection and online security, and failure to update the app by the deadline will leave customers unable to access their digital Clubcard benefits.

Update to ensure enhanced security

The upcoming changes are being implemented to enhance the security of customer data and improve overall protection. Tesco has highlighted the importance of this upgrade, as it seeks to safeguard customer information and keep their online shopping experiences secure.

Keep ReadingShow less
OpenAI Restricts ChatGPT’s Image Feature After Viral Ghibli Trend

Altman addressed the impact of the popular Ghibli-style image trend on OpenAI’s resources

Getty

OpenAI limits ChatGPT’s image generation feature amid viral Ghibli image trend

OpenAI CEO Sam Altman has announced temporary limitations on the company’s image generation feature in response to overwhelming demand driven by a viral trend. On Thursday, Altman addressed the impact of the popular Ghibli-style image trend on OpenAI’s resources, particularly its reliance on GPUs (graphics processing units). Altman revealed that the surge in demand for ChatGPT’s image generation tool has led to significant strain on the company’s infrastructure, prompting the introduction of temporary speed limits for users.

In a post on X (formerly Twitter), Altman shared the company’s response to the unexpected demand, stating, “It’s super fun seeing people love images in ChatGPT, but our GPUs are melting. We are going to temporarily introduce some rate limits while we work on making it more efficient. Hopefully won’t be long! ChatGPT free tier will get 3 generations per day soon.”

Keep ReadingShow less
UK-business-district-Getty
The Canary Wharf business district including global financial institutions in London. (Photo: Getty Images)

Economic growth in 2024 slightly higher than estimated: ONS

THE UK economy grew slightly more than first estimated in 2024, according to official data released on Friday, providing a small boost for the government after it revised down its growth forecast for 2025.

The Office for National Statistics (ONS) said gross domestic product expanded by 1.1 per cent in 2024, up from an initial estimate of 0.9 per cent.

Keep ReadingShow less
Sri Lanka posts five per cent GDP growth as it ends years of economic decline

Sri Lanka's president Anura Kumara Dissanayake

Sri Lanka posts five per cent GDP growth as it ends years of economic decline

CASH-STRAPPED Sri Lanka’s economy grew by five per cent in 2024, marking the first full year of expansion since its unprecedented meltdown in 2022, official data showed last Tuesday (18).

The last quarter of 2024 saw the economy expand by 5.4 per cent, bringing the full calendar year’s GDP growth to five per cent, compared to a contraction of 2.3 per cent in 2023.

Keep ReadingShow less
Donald Trump

Speaking from the Oval Office, Trump said, 'What we’re going to be doing is a 25 per cent tariff on all cars that are not made in the US.'

Getty Images

Trump imposes 25 per cent tariffs on foreign-built cars

US president Donald Trump has announced a 25 per cent tariff on imported cars and auto parts, escalating trade tensions with key partners.

The new duties take effect on 3 April and apply to foreign-made cars and light trucks, with additional levies on key auto parts set to follow within the month.

Keep ReadingShow less