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Published
Dec 11, 2012
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Chinese textile industry eyes Bangladesh

Published
Dec 11, 2012

A delegation of 40 industry leaders from the Chinese textile industry visited Bangladesh in search of suppliers and potential investments in textile production. The delegation was led by Lin Yun Feng, vice-president of the Textile Industry Chamber of Commerce (CCPIT Tex), who spoke with FashionMag.com in February about why China must now look to its neighbours.


Photo : Munir Uz Zaman

For three seasons now, China has become a major outlet for Bangladeshi textile production, according to local Bangladesh newspaper The Financial Express. Faced with rising wages, China is gradually giving up its status of “world's factory,” eventually becoming a giant global consumer through the explosion of its own domestic demand. The change has led China to withdraw from certain types of entry-level production to improve management of its upscale ranges, explained Lin Yun Feng to FashionMag.com.

The head of the Chinese delegation and vice president of the CCPIT is a regular attendee at the Texworld trade fair in Paris, with which the Chinese Chamber collaborated to develop the satellite event, Apparel Sourcing. Already last September, Lin Feng Yun had mentioned Bangladesh as an opportunity for the Chinese textile industry.

“We look very favorably at the arrival of Bangladesh and other countries in the textile industry,” he said. “We have long fought against protectionism. We must lead by example. China must necessarily give up certain market segments, as these countries now have a wage gap with us. This is a situation we have to face and adapt to.”

For Faruque Hassan, President of the BGMEA (Bangladesh Garment Manufacturers and Exporters Association), Chinese investment would be more than welcome. Bangladeshi spinners and weavers would only be able to meet 30-35% of demand for woven goods, while the knitwear sector could meet 90% of orders, according to comments cited by The Financial Express.

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