Jeans Manufacturing in Bangladesh

Recently, JSN visited Bangladesh and made an interview with Mr.Farhadur Rahman Jewel, manager of VI.BE.MAC Bangladesh for reporting on jeans sewing in this country. The contents of this interview are summarized below.

Mr. Jewel has sold Vibemac products in the Bangladeshi market for 8 years in total. Vibemac Bangladesh has a workforce of 6 handsome employees as a total of personnel in Dhaka and Chittagong. They provide technical support for users and carry out daily sales activities. In Bangladesh, Vibemac has 45 user companies where a total of about 3,000 Vibemac machines are working. For example, Pacific Jeans, a main Vibemac user in Chittagong since 2003 installed 14Vibemac machines initially, and owns700 machines at present. Including this company, almost all Vibemac users such as Standard Group, Regency Garments, Ananta Group, Mahmud Jeans, Epic Garments Manufacturing etc. are repeaters. Jeans sewing in Bangladesh has a higher increasing rate of output than knit sewing. This is because orders from Europe and U.S.A. are shifting from the Near and Middle East, where political change has continued, to Bangladesh. Newly emerging premiere level jeans brand makers in Europe, U.S.A. and Japan have also adopted manufacture in Bangladesh. It is expected that the production amount in Bangladesh will double in the future. Presently, Bangladesh has about 4,000 sewing factories, of which 45%are engaged in sewing of woven fabrics and 55% are occupied by knits. Of the woven fabrics (45%), sewing of bottoms amounts to about 20% which includes 10% occupied by jeans. That is, there are about 400 jeans sewing factories. And, one half of these 400jeans factories are targeted by Vibemac as customers. By 2015, Vibemac’s customers are expected to exceed 100companies. Of denim fabric, 20% is produced domestically and 80% is imported, but domestic denim production will increase in the future. To cope with a reduction in factory space and short-age of workers, automatic sewing of jeans will be increasingly demanded.

What was your highlight at the show in Dhaka in this January and how were the show and its result?
The Garmentech 2012 was fantastic. We got new inquiries from a new customer as well as from some our existing customers. Also we have got a few new trouser projects which are still under construction and would be completed by the end of 2012. We are expecting a good amount of deal by the end of this year.

How is the recent situation of the garment production in Bangladesh, especially jeans manufacturing?
Last 2 months it was a little slow, order was less but now from this month, business is again growing. There are huge orders for those reputed factories that are well equipped with automatic sewing technology and own washing plant.

What is your opinion for the garment business in Bangladesh and also your sales of Vibemac machine this year?
According to my study from BGMEA (Bangladesh Garments Manufacturer Exporters Association) report, Bangladesh was the largest exporter of cotton T-shirt and was second for cotton pullover and jeans exports to European countries in 2009. In terms of volume, the country was the second largest exporter of cotton trousers to the US market in 2010. According to EPB (Ex-port promotion Bureau) Bangladesh has fetched US$ 12.59 billion from garments exports in the year 2010 and contributed around 80 percent to national exports. We are expecting to get Euro 3.5 mil-lion worth of VIBEMAC machine business from Bangladesh this year 2012.

What is your position for jeans production market in Banglades hand will you please tell us your latest project and your sales strategy at present and in the future in Bangladesh?
According to BGMEA report, Bangladesh exported 127.14 million dozens of woven garments and 206.20 million dozens of knitwear during2009-10. According to information from EPB (Export Promotion Bureau) data, Bangladesh has exported $ 6.48billion’s worth of Knitwear, $6.01 billion’s worth of woven items. Last year Bangladesh also explored some new export destinations such as Japan, New Zealand, Canada, Australia and some countries of South America and South Africa. If political situation of Bangladesh is stable, RMG exports will double by 2015 and triple in 10 years. According to our study, trousers export is increasing more than knitwear products. We are also expecting to make our sales volume more than Euro 5million by 2015. We have already observed that there is shortage of skilled operators in the market and moreover, there are workers unrest in some locations. In this situation, trousers manufacturers have already realized the benefit of utilizing automatic sewing units in production and they want to utilize our automation technology more and more. To reduce manpower and operation steps in the production line, there is no alternative of automatic units. We are in Bangladesh market since the year2000 and we have already installed more than 3,000 machines in this BD market which are successfully in operation. As all of our existing users are getting benefit after implementing our VIBEMAC technology and getting best level service support from us, uses are repeatedly buying our VIBEMAC units. We hope if we could keep continue our technical service support same as we have been providing we could grab a larger market share day by day.

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