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According to a recent research conducted by the Economic Relations Department (ERD), the nation's export of non-cotton clothing, including items made of synthetic or man-made fibers, may more than quadruple to $19 billion by 2025 from the current $8.5 billion if the current issues are handled.
The analysis was carried out in association with the private think tank Research and Policy Integration for Development (RAPID) using estimations of the worldwide market share and export potential of 20 different categories of non-cotton clothing products that the nation exports.
Local business owners concurred with the possibilities noted in the survey conducted by ERD. In order to invest in man-made fibers, the study stressed the necessity of developing a fiber security plan, guaranteeing duty-free access to all fibers, creating a special low-cost investment fund, and boosting efficiency.
In 2021, non-cotton clothing made up 54% of the $505 billion global garment market, according to ERD research. On the other hand, according to data from the Export Promotion Bureau (EPB), non-cotton clothing accounted for 29% of the nation's $55.56 billion in export revenue in the fiscal year 2022–2023.
Experts claim that the global market for synthetic fibers is expanding more quickly than that of cotton. Bangladesh is still very small in this market. By taking on the current obstacles, Bangladesh has the chance to realize its full potential in this field.
Bangladeshi spinning millers require financial and policy support, logistical assistance, and simple access to raw materials in order to accomplish this goal. Some of the difficulties are described in the paper "Expanding Man-Made Fiber (MMF) Apparel Exports: A Strategy for Upscaling the Garment Sector."
Key challenges included the lack of duty-free raw materials, lengthy customs clearance processes, difficult duty-drawback procedures, insufficient short-term financing support, a lack of FDI inflows, and the absence of a fiber security plan.
The unexplored potential sector is also being hindered by the lack of acceptance of contemporary technology, the skill gap in middle and top management roles, a shortage of qualified labor, a lack of research and development activities, and lax compliance and certification procedures.
According to the study, imports of synthetic fiber raw materials are subject to duties of up to 59%, whereas imports of cotton or cotton textiles are duty-free. Despite the fact that this duty is meant to be reimbursed upon export, difficulties and extra expenses deter entrepreneurs.
Apparel made of materials other than cotton includes waistcoats, T-shirts, wind jackets, brassieres, non-woven clothing, pants, shirts, overcoats, tracksuits, full or knee-length hosiery and socks, women's rubberized clothing, non-knitted synthetic clothing, and more.
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