Bangladesh’s Woes Open a Window for Pakistan’s Textile Exports
Bangladesh's Woes Open a Window for Pakistan's Textile Exports
Amid labor strikes in Bangladesh over dissatisfaction with a government-mandated pay increase, nearly 40 factories have closed, creating a potential opportunity for Pakistan's textile exports.
The wage rate adjustments in Bangladesh occurred close to the country's elections, resulting in strikes and a higher risk profile for businesses. Major retailers, such as H&M, which source 60% of their goods from Bangladesh, have adjusted orders, providing Pakistan a limited window to attract some orders.
However, Pakistan faces challenges in competing with Bangladesh's pricing. While there may be opportunities in the new year, the window for holiday season orders has passed.
While some orders may flow Pakistan’s way in the ...