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RMG orders exceeding factory capacity

Staff Correspondent
17 Oct 2021 00:00:00 | Update: 17 Oct 2021 00:21:47
RMG orders exceeding factory capacity

Bangladesh is receiving a larger inflow of readymade garment orders due to the recent surge of Covid-19 cases in Vietnam, and trade conflicts surrounding China.

Most of the RMG factories now have more orders than their capacity, industry leaders said, adding that it is high time for the country to take collaborative steps for securing better prices from the retailers.

Addressing a webinar titled “Textile and Apparel Industry – Pandemic Aftermath” on Saturday, Plummy Fashion’s Managing Director Md Fazlul Hoque said, “The industry is still facing hardships triggered by the pandemic, particularly due to the shutdown after Eid.”

Hoque, who is also a former president of the Bangladesh Knitwear Manufacturers and Exporters Association, added, “We have yet to resolve many pressing issues, especially the price negotiation with buyers and maintaining a price ceiling in accordance with the HS Code.

“We hope to solve these issues soon, because there is no other way for us to break out from the vicious cycle of low prices.”

Bangladesh Textile Mills Association’s (BTMA) Director Abdullah Al Mamun said, “We have to focus on strengthening the backward linkage industry to mitigate problems caused by supply chain disruptions.

“Bangladesh’s textile manufacturing capacity has increased considerably in recent times. But the industry is unable to flourish due to a lack of raw materials. We should also build up our technical textile market, because the export of low-cost RMG products cannot be a sustainable business in the long run.”

At the event, BKMEA’s Second Vice President Fazlee Shamim Ehsan discussed the vaccination process of RMG workers and the stakeholders’ ongoing efforts to formulate a SOP for operating during a pandemic or any other dangerous situations.

He also urged industry owners to focus on developing technology and skills for boosting productivity and capacity utilisation in factories.

Addressing the webinar organised by Textile Focus – a textile industry development firm, Managing Director of Logic Software K Mamoor discussed the scope of improving operational efficiency in garments industries with proper ERP software. 

Logic Software designs customised solutions for different garments industry needs.

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