ENA Sectors 2024-08-06 15:57:31 <p><span style="font-size:14px"><strong>New Delhi, Aug 6 (KNN)</strong> As political unrest in Bangladesh intensifies, the country's crucial textile sector faces potential disruption, prompting international buyers to consider alternative markets, with India emerging as a likely beneficiary.</span></p> <p><span style="font-size:14px">Industry experts project that India could see an additional USD 300-400 million in monthly textile orders if 10-11 per cent of Bangladesh's export business is redirected.</span></p> <p><span style="font-size:14px">K M Subramanian, President, Tiruppur Exporters' Association, anticipates a 10 per cent increase in orders to Tiruppur, a key Indian textile hub, for the current financial year.</span></p> <p><span style="font-size:14px">Bangladesh, which currently exports apparel worth USD 3.5-3.8 billion monthly, holds significant market share in the European Union, United Kingdom, and United States. In contrast, India's monthly textile exports range from USD 1.3-1.5 billion.</span></p> <p><span style="font-size:14px">Prabhu Damodaran, Secretary, Indian Texpreneurs Federation, commented on the situation: If the current disruption persists, it will affect buyer sentiment. Buyers will likely shift some orders to India and other countries initially.</span></p> <p><span style="font-size:14px">He further added, We have the capacity to handle an additional USD 300-400 million in orders immediately. </span></p> <p><span style="font-size:14px">The crisis comes at a critical juncture for Bangladesh, which was projected to surpass USD 50 billion in annual exports by 2024, up from approximately USD 47 billion in 2023.</span></p> <p><span style="font-size:14px">Furthermore, the unrest may prompt Indian-owned manufacturing units in Bangladesh to relocate.</span></p> <p><span style="font-size:14px">Trade policy analyst S Chandrasekaran estimates that around 25 per cent of textile units in Bangladesh are Indian-owned, including companies such as Shahi Exports, House of Pearl Fashions, and Gokaldas Images.</span></p> <p><span style="font-size:14px">Chandrasekaran added, The movement of consignments is stuck, and there is a breakdown in the supply chain for the upcoming Christmas season.</span></p> <p><span style="font-size:14px">He emphasised, India has an advantage here because orders will be diverted. The sudden drop in global volumes may be compensated by a rise in Indian exports. </span></p> <p><span style="font-size:14px">As the situation unfolds, the global textile industry watches closely, with potential shifts in production and trade patterns on the horizon.</span></p> <p><span style="font-size:14px"><em><strong>(KNN Bureau)</strong></em></span></p> 38871 https://knnindia.co.in/news/newsdetails/sectors/international-buyers-may-turn-to-indian-textile-sector-amid-bangladesh-turmoil-experts 2024-08-06 15:57:31 knnindia.co.in