This presentation helps you to better understand the current situation and prospects of knitwear sector and respective missions of Bangladesh.

2. About BKMEA
• Bangladesh Knitwear Manufacturers and Exporters Association (BKMEA) is
one of the apex trade body that represents more than 2,150 knitwear
factories of Bangladesh.
• BKMEA has started its journey in 1996 by the all out efforts of few knitwear
manufacturers. BKMEA was formed as a trade association to facilitate and
promote knitwear business.
• Primarily, it was located in Narayanganj. And now it has two more offices in
Dhaka and Chittagong along with the head office at Narayanganj.
• There are four (4) training institutions namely Institute of Apparel Research
& Technology (iART) Dhaka, iART Narayanganj, iART Comilla, iART
Chittagong.

3. Vision and Mission
• Motto
“Working Today to Shine Tomorrow”
• Vision
• To expand the Knitwear Export worldwide
• Mission
• Retaining the trend of export to existing markets
• Promoting export of knitwear to new markets
• Promoting the sector for global compliance
• Promoting the product diversification

4. Organizational Structure
A K M Selim Osman, M.P.
President, BKMEA

5. Organizational Structure (Cont.)
BKMEA is run by a 27-member Board of Directors, led by the President.
The Board of Directors is elected for 2-years period.
Mansoor Ahmed
1st V.P., BKMEA
Homaun Kabir Khan Shilpi
V.P.(Finance) BKMEA
Gauhar Siraj Jamil
3rd V.P., BKMEA
Fazlee Shamim Ehsan
2nd V.P., BKMEA

6. Production Process of Knit Garments

7. Steps for a Composite Knit Garments in Bangladesh
Cotton: Raw cotton is the most important fiber widely used in knit yarn production.
Spinning: Spinning mill process raw cotton to produce yarn after the ginning process.
Knitting: Composite Mills purchase yarn from local spinning mills or import from abroad and knit different types of gray fabrics as per the buyer’s
requirement using circular knitting machine or flat knitting machine.
Dyeing & Washing: Gray fabrics are carried to dyeing and washing plant to be dyed and washed through ensuring fabric performance parameters
as required by the buyer.
Pattern & Cutting: Finished fabrics are cut here according to marker of garments. Marker is generated using the patterns and grading according to
the buyers instruction. Fabric Cutting process is done by using manual method or computerized method.
Printing: Printing is the process to print logo, picture or any other images/designs on the fabrics which is tasked to do after the cutting of fabrics.
Embroidery is also done in this step if needed.
Sewing: In this section, all the patterned wise cut parts is taken to the sewing line to make the readymade knitwear. Sewing process is done by
manually.
Quality Checking: After completing sewing, a manual inspection is done here to make defect less garments. Garments Inspection is done by using
manual method. Another final inspection is also done to check whether the buyer’s specifications are met before the shipment.
Ironing & Packing: Qualifying at QC, stitched garments are treated by steam; also required finishing should be completed here. Complete
garments are packed here by using buyers instructed poly bag.
Dispatch & Delivery: After completing all the required processes it’s finally send to the buyer as per the instructed mode of transportation.

8. Value Addition of Bangladesh Knitwear Sector
Year 1994 2000 2008 2012 2013 2014 2015 2016
Value Addition 50% 70% 75% 72% 75% 75% 70% 75%
• The domestic value addition in this sector is about 75%, which is much higher than woven products.
• Knitwear production process starts from cotton or cotton import to Dispatch & Delivery. So there is huge
scope to add more value than other manufactured goods though the production chain.
• Whereas woven wear production process starts from fabric import/sewing to Dispatch & Delivery

9. Sectoral Export Share of Bangladesh FY 2016-17
Woven Wear
41%
Knitwear
39%
Other
11%
Home Textile
2%
Jute & Jute goods
3%
Leather & Leather
Products
4%

10. Bangladesh Knitwear Exports for FY 2016-17
Europe
75%
Asia
8%
Africa
0.003
America
13%
Australia
3%
Latin America
1%

11. Prospect for Bangladesh Knitwear Export
0.39 0.60 0.76 0.94 1.04 1.27 1.46 1.46 1.65 2.15 2.82 3.82 4.55 5.53 6.43
6.48
9.48
9.49
10.48
12.05
12.43
13.36
13.76
21.80
41.62
01020304050
1994-95
1995-96
1996-97
1997-98
1998-99
1999-00
2000-01
2001-02
2002-03
2003-04
2004-05
2005-06
2006-07
2007-08
2008-09
2009-10
2010-11
2011-12
2012-13
2013-14
2014-15
2015-16
2016-17
2021-22
2041-42
ValueinBillionUSD
Other Woven Wear Knitwear

12. Bangladesh’s Selected Missions Wise Export for FY 2016-17
Sl.
No
Missions with
Accredited Countries
National Export (Value in Million USD) Knitwear (Value in Million USD)
Value Growth (%), p. a. Value Growth (%), p. a.
Share of national
export (%)
1 Australia (Canberra) 728.45 -6.73 415.33 -7.54 57.02
Australia 658.15 -6.73 371.55 -8.70 56.45
Fiji 2.16 21.35 1.06 73.38 49.26
New Zealand 68.14 -7.46 42.72 2.63 62.69
2 Canada (Ottawa) 1090.47 -2.95 407.97 -3.96 37.41
Argentina 9.61 19.23 3.14 100.89 32.68
Canada 1079.19 -3.03 404.81 -4.24 37.51
Cuba 0.29 -76.61 -100.00 0.00
Jamaica 1.11 29.07 0.01 N/A 0.83
Venezuela 0.27 -56.45 0.01 -95.83 4.61
3 France (Paris) 1910.59 2.38 1060.20 4.02 55.49
France 1892.55 2.18 1050.30 3.71 55.50
Romania 18.04 28.67 9.90 51.50 54.87
4 Malaysia (Kuala Lumpur) 211.52 10.71 86.11 10.02 40.71
5 U.K (London) 3731.64 -7.12 1753.15 -2.99 46.98
United Kingdom 3569.26 -6.31 1668.95 -0.90 46.76
Ireland 162.38 -21.90 84.19 -31.60 51.85
6 Korea Rep (Seoul) 238.23 -14.95 78.13 2.80 32.80

13. Knitwear Export Trend from Bangladesh amongst the
Selected Missions
U.K (London), 2063
Australia (Canberra), 153
Canada (Ottawa), 471
France (Paris), 1395
Korea Republic (Seoul), 93
Malaysia (KualaLampur), 88
-500
0
500
1000
1500
2000
2500
3000
3500
2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016
ValueinMillionUS$

14. Next Five (5) Years’ Projection for Knitwear Export from
Bangladesh to Selected Missions
Missions 2016 Growth , 2015-2016
CAGR (%)
2001-2016
Share (%)
in 2016
CAGR (%)
2016-2021
Share (%)
in 2021
U.K (London) 2062.93 0.88 12.47 12.29 8.25 14.07
Australia (Canberra) 152.81 12.01 18.34 0.91 10.32 1.15
Canada (Ottawa) 470.85 3.26 15.90 2.80 8.44 3.24
France (Paris) 1395.31 10.49 12.81 8.31 5.73 8.46
Korea Republic (Seoul) 92.62 8.23 42.87 0.55 17.48 0.95
Malaysia (KualaLampur) 88.42 41.32 53.85 0.53 14.03 0.78
Aggregation 4262.94 5.30 13.39 25.39 7.93 28.64
Value is in million USD if nothing else is mentioned; e=estimation based on linear and polynomial trend projection
methods; Used Mirror data from ITC map, Geneva for continuous data availability from 2001 to 2016 , (Retrieved: 21-
October-2017)

15. Core Strength of Bangladesh Knitwear Sector
• Bangladesh is the second largest Knitwear products exporting countries in the
world
• Implementation of social compliance, fire safety mechanism in the factories
• Favorable endowment of labor force including a large pool of skilled, semi-
skilled & experienced
• Initiating Green Production Technology across the RMG sector of Bangladesh
• High quality diversified products at competitive prices rate
• Child labor free knitwear sector
• Strong Backward linkage
• Favorable government export friendly policy
• Ability to produce all types of Knitwear Products as per buyer requirements.

16. Selected Importing Markets for Knitwear Exported by
Bangladesh in 2016
Importers
Value
exported in
2016
(USD million)
Share in
Bangladesh's
exports (%)
Growth in
exported
value
between
2012-2016
(%, p.a.)
Growth in
exported
value
between
2015-2016
(%, p.a.)
Ranking of
partner
countries in
world imports
Share of
partner
countries in
world imports
(%)
Total imports
growth in
value of
partner
countries
between
2012-2016
(%, p.a.)
UK 1700.19 10.1 8 1 4 6.3 1
France 1385.45 8.3 6 11 5 5.2 0
Canada 468.05 2.8 0 3 11 2.3 1
Australia 362.75 2.2 12 1 14 1.5 3
South Korea 92.62 0.6 30 8 15 1.5 11
Malaysia 88.42 0.5 57 41 28 0.6 48
Bangladesh's exports represent 7.7% of world exports for Knitwear, its ranking in world exports is 2

17. Features of Bangladesh Knitwear Products
• Knitwear products are produced in a standardized method for USA
and EU consumer, where design provided by the global buyer.
• Product marketing strategy is penetration which means increased
sales volume at lower cost, thereby allowing it to generate a higher
profit.
• Global buyer prescription for product production is strictly followed
by the knitwear factories of Bangladesh.
• Bangladesh knitwear sector product is capable to meet the needs of
apparel buyer and the final consumer.
• Manufacturers are now producing fashion products with basic items.

18. Major Sourcing Brand of Knitwear
Brand name Country Brand name Country
H & M Sweden Benetton Italy
Walmart USA GU Japan
C &A Belgium Helmutlang Austria
Zara Spain OVS Italy
GAP USA ERIMA Germany
Target USA Bonmarché UK
TESCO UK Bonds Australia
Li Fung Hongkong Jockey Australia
Carrefour France G-Star Raw Netherlands
Levi's USA Mango Spain
JC Penney USA JOE FRESH Canada
K Mart Australia PUMA Germany
M & S UK Adidas Germany
UNIQLO Japan JBC Belgium
ESPIRIT Hongkong Charles Vögele Switzerland
Calvin Klein USA Kappahl Sweden

19. Knitwear Export Expansion by the Mission
Canberra
(Australia, New Zealand and Fiji)

20. Canberra Mission: Australia, New Zealand and Fiji

21. General Descriptions
Major Indicators BANGLADESH AUSTRALIA FIJI NEW ZEALAND
Country size 147,630 km2 7,692,024 km2 18,274 km2 268,021 km2
Population 159.9 million 23.9 million 0.9 million 4.6 million
GDP (PPP) $576.5 billion $1.1 trillion $8.0 billion $168.2 billion
GDP Growth 6.40% 2.5% 4.3% 3.4%
Per capita GDP $3,607 $47,389 $9,044 $36,172
Unemployment 4.40% 6.30% 7.70% 5.90%
Inflation (CPI) 6.40% 1.50% 2.80% 0.30%
FDI Inflow $2.2 billion $22.3 billion $332.4 million $-985.8 million
Currency Taka Australian dollar Fijian dollar New Zealand dollar
Source: Economic freedom index, 2017

22. Travelling from Bangladesh to Australia (Air Route)
• The air travel (bird fly) shortest distance between Australia and Bangladesh is 7,159 km= 4,448 miles.
• If you travel with an airplane (which has average speed of 560 miles) from Australia to Bangladesh, It takes 7.94
hours to arrive.
Air Ports
• Canberra
• Sydney
• Melbourne
• Brisbane

23. Travelling from Bangladesh to Australia (Sea Route)
• Point A: Chittagong port,
Bangladesh
• Point B: port of Darwin, Australia
• Journey Between Bangladesh to
Australia covers, bay of bangle,
Indian ocean and Timor Sea.
Sea Ports:
• Sydney-
• Melbourne
• Fremantle
• Brisbane

24. Signed Agreements Between Bangladesh and Australia
Sl. No. Year Title of the Agreement Date of sign/entered into force
1 1999
MOU on Development Cooperation between Bangladesh
and Australia, Subsidiary Agreement on Australian Volunteer
Program
20-Oct-99
2 2005
The Australian Youth Ambassadors for Development
Program
24-May-05
3 2006 Work and Holiday Visa Agreement 8-Mar-06
4 2008 MoU on Bilateral Air Services Arrangement 15-Aug-08
5 2008 Cooperation for Combating International Terrorism 2-Dec-08
Source: Bangladesh Ministry of Foreign Affairs

25. • In the export bundle from Bangladesh to Australia knitwear products captures the first position
• In FY 2016-2017 knitwear products earned almost 56.45% of total Export to Australia.
• Knitwear products also shows positive export growth till last fiscal year but unfortunately it
become negative in FY2016-17
• In 2016-17, two-way trade grew to reach over $2 billion dollars.
• Principal imports of Bangladesh from Australia are edible vegetables, cotton, fertilizers and
agriculture cereals and Iron-steel.
• The main export of Bangladesh to Australia are RMG (both knitwear and woven garments), textile,
Headgear, leather, fish etc.
• Since 1 July 2003 products from Bangladesh enter Australia Duty-free and Quota-free.
• Bangladesh offers commercial opportunities to Australian companies operating in the energy,
telecommunications, transport, textiles, education and mining sectors.
• Australian businesses are well placed to provide services and equipment for energy and
infrastructure development in Bangladesh.
Overview of Trade Between Bangladesh and Australia

26. Knitwear Export Statistics in New Zealand and Fiji
15.55
20.94
26.85 26.51
32.01
41.62
42.72
0
5
10
15
20
25
30
35
40
45
2010-11 2011-12 2012-13 2013-14 2014-15 2015-16 2016-17
Yearly Export from Bangladesh to New Zealand (value in
million USD
0.04 0.04
0.01
0.08 0.09
0.61
1.06
0
0.2
0.4
0.6
0.8
1
1.2
2010-11 2011-12 2012-13 2013-14 2014-15 2015-16 2016-17
Yearly Export to FIJI from Bangladesh ( values in
million
• There is definitely a positively trend in knitwear
Export to New Zealand. Which is a very good for our
relationship.
• Yearly Knitwear export to Fiji is plotted in the graph
and we find a kind of positive trend. Which is a good
sign for Bangladesh and Fiji’s export relation.

27. Highest exported Knitwear products from Bangladesh
Australia New Zealand Fiji
HS code Products HS code Products
HS
code
Products
610910 T-shirts, singlets and other vests 610910 T-shirts, singlets and other vests of cotton 610910 T-shirts, singlets and other vests of cotton
611020
Pullovers, cardigans and similar
articles of cotton
611020
Jerseys, pullovers, cardigans, waistcoats
and similar articles, of cotton
610510
Men's or boys' shirts of cotton, knitted or crocheted
(excluding nightshirts, T-shirts, singlets
610990
T-shirts, singlets and other vests, of
other textile materials
610462
Women's or girls' trousers, bib and brace
overalls, breeches and shorts of cotton
610729
Men's or boys' nightshirts and pajamas of textile
materials
610510 Men’s/boys shirts, of cotton 611090
Jerseys, pullovers, cardigans, waistcoats
and similar articles, of textile materials
610799
Men's or boys' bathrobes, dressing gowns and similar
articles of textile materials
610342
Men’s/boys trousers and shorts, of
cotton
610510
Men's or boys' shirts of cotton, knitted or
crocheted (excluding nightshirts, T-shirts
611212 Track-suits of synthetic fibers
610462
Women’s/girls trousers and shorts, of
cotton
611030
Jerseys, pullovers, cardigans, waistcoats
and similar articles, of man-made fibers
611219
Track-suits of textile materials (excluding cotton or
synthetic fibers)
611090
Pullovers,cardigans&similar articles
of other textile materials
610990
T-shirts, singlets and other vests of textile
materials
611592
Full-length or knee-length stockings, socks and other
hosiery, incl. stockings for varicose
611030
Pullovers, cardigans and similar
articles of man-made fibers
610342
Men's or boys' trousers, bib and brace
overalls, breeches and shorts of cotton
611594
Full-length or knee-length stockings, socks and other
hosiery, incl. footwear without applied
610821
Women’s/girls briefs and panties, of
cotton
611610
Gloves, mittens and mitts, impregnated,
coated or covered with plastics or rubber
611790 Parts of garments or clothing accessories
611120
Babies garments and clothing
accessories of cotton
610831
Women's or girls' nightdresses and pajamas
of cotton
610331
Men's or boys' jackets and blazers of wool or fine
animal hair
Share of the highest exporting products of total
knitwear (94%)
Share of the highest exporting products of total
knitwear (88%)
Share of the highest exporting products of total knitwear
(100%)
There are huge export products similarities between Australia and New Zealand but there is a product diversifying opportunity in Fiji

28. • Thus the FTA between Bangladesh and Australia does not bring any fruitful outcome to
Bangladesh rather it brings some changes to Australia as Australia may get some duty free
preference to Bangladesh but the trade portion is minimal.
• Bangladesh should utilize the duty free preference to Australia. The export promotion in
Australian market is vital with considerable compliance with rules of origin criteria.
• Simultaneously all other trade and border related issues especially cost, connectivity, lead
time, quality of the product may enhance the export under preference.
• Australia mainly recognized as a development partner of Bangladesh and second home of
most of the Bangladeshi people. so Australia can increase investment in Bangladesh
through the Bilateral Investment Agreement.
• In infrastructure development Australia may support Bangladesh in PPP development.
• By taking the advantage of Australia as the 3rd most popular international student
destination, Bangladesh may sign MoU with top universities in Australia to enhance skilled
man power.
Policy Recommendations

29. Knitwear Export Expansion by the Mission
Ottawa
(Cañada, Argentina, Jamaica, Venezuela, Cuba)

30. Ottawa Mission: Cañada, Argentina, Jamaica, Cuba, Venezuela

31. Relations with Bangladesh
• Argentina: Bangladesh and Argentina have shown interest in expanding the
bilateral economic activities between the two countries.
• Cuba : Diplomatic relations between the two countries were officially started in
1972, right after the independence of Bangladesh. The relations took a turning
point when Bangladesh signed a controversial agreement with Cuba to export jute
bags in 1974.
• Venezuela: Both the countries have expressed their interest to strengthen the
bilateral economic ties. The need for exchange of business delegations between the
two countries has been stressed to explore potential areas for bilateral trade and
investment. The energy sector has been identified as a potential field for extensive
economic cooperation between Bangladesh and Venezuela. Bangladesh has also
sought direct investment from Venezuelan enterprises

32. Canada Knitwear Import 2016
China
40%
Cambodia
12%
Bangladesh
10%
Viet Nam
8%
Other
30%

33. Next Five (5) Years’ Projection for Knitwear Export
470.85
573.94
606.96
639.98
672.99
706.01
3.26
21.89
5.75 5.44 5.16 4.91
0
5
10
15
20
25
0
100
200
300
400
500
600
700
800
2016 2017e 2018e 2019e 2020e 2021e
Growth(%)
MillionUSD
Yearly Projection
Ottawa Growth (%)

34. Canadian Apparel buyer and Consumer Trends
• Consumers before buying any product they conduct an online search and online product reviews
are very important for buying decision-making.
• Buyer always directed the factory management to create decent working conditions in factories
that could be productivity, efficiency gains and taking the price back to the consumer.
• Buyers want products that meet the demands of their customers and do not tarnish their labels
with bad publicity overseas. That’s why Canadian buyers want assurances about issues such as
environment, gender, labor rights and worker health.
• Buyers want assurances of their markets and their major sources of goods are stable and
dependable. That’s why Canadian buyers use the services of a regionally based buying agent who
is familiar with local factories and vendors.
• Buyer in compare with USA buyer promote more worker dialogue, freedom of association and
collective bargaining.
• Buyer are very much conscious about their brand and consumer satisfaction. At the same time
Canadian consumer always conscious about the product production process in comparison with
the USA.

35. Opportunity for Bangladesh knitwear in Canadian Market
• Bangladesh knitwear sector has more than 30 years experience in knitwear production,
managing supply chain, and maintaining lead time with the buyer of EU and USA requirement.
Product quality and competitive pricing are maintained by the knitwear factories of
Bangladesh. Already many factories had adopted B2B relationship management method to
increase and retain the export growth.
• All of the factories of knitwear sectors of Bangladesh are maintaining the compliance issues.
According to the Accord and Alliance factory inspection agencies, they found less than 2% of
the factories are risky and those risky factories are already shut down.
• Canadian buyer and consumers are very much conscious about environmental issues and all
the factories of Bangladesh knitwear sector are maintaining the global green policy.
• Canadian buyer uses the buying agent to manage the souring from factories and Bangladesh
knitwear sector is always maintaining compliance of buyer agents.
• Canadian buyer prefers the standard product with penetration pricing and decent working
condition which is available in Bangladesh knitwear sector.

36. Knitwear Export Expansion by the Mission
Paris
(France and Romania )

37. Next Five (5) Years’ Projection for Knitwear Export
1395.31
1516.16
1598.00
1679.84
1761.68
1843.52
10.49
8.66
5.40
5.12 4.87 4.65
0
2
4
6
8
10
12
0
200
400
600
800
1000
1200
1400
1600
1800
2000
2016 2017e 2018e 2019e 2020e 2021e
Growth(%)
MillionUSD
Yearly Projection
France (Paris) Growth (%)

38. Paris Mission: France and Romania

39. General descriptions
BANGLADESH FRANCE ROMANIA
Country size 147,630 km2 549,087 km2 238,397 Km2
Population 159.9 million 64.2 million 19.8 million
GDP (PPP) $576.5 billion $2.6 trillion $413.8 billion
GDP Growth 6.40% 1.10% 3.7% growth
Per capita GDP $3,607 $41,181 $20,787 per capita
Unemployment 4.40% 10.60% 6.90%
Inflation (CPI) 6.40% 0.10% -0.60%
FDI Inflow $2.2 billion $42.9 billion $3.4 billion
Currency TAKA EURO Leu
Source: Economic freedom index, 2017

40. Travelling from Bangladesh to France (Air Route)
• The air travel (bird fly) shortest distance between Bangladesh and France is 8,009 km= 4,977 miles.
• If you travel with an airplane (which has average speed of 560 miles) from Bangladesh to France, It takes
8.89 hours to arrive.
• But usually it takes 14-15 hours on an average to reach France with a one stop flight

41. Sea Rout from Bangladesh to Paris
Point A : Port of Le Havre,
Paris, France
Point B: port of Chittagong,
Bangladesh
This journey includes seas like Bay of Bangle. Indian ocean , Arabian Sea,
Red sea, gulf of Suez, Suez canal, strait of Gibraltar, North Atlantic Ocean,
English Channel.

42. Agreements signed among Bangladesh and France and Romania
Sl. No. Name of the Agreement Date of Signature
1.
Agreement between Bangladesh and France for Peaceful use of Nuclear
Energy
29 August 1980
2. Agreement on the Reciprocal Promotion and Protection of Investments 10 September 1985
3.
Convention on Avoidance of Double Taxation and the Prevention of Fiscal
Evasion with respect to taxes on income
09 March 1987
4. Agreement on Cultural, Scientific and Technical Cooperation 10 March 1987
5.
Memorandum of Understanding regarding conclusion of Air-Service
Agreement between Bangladesh and France
02 July 1998
Agreement on Trade between the Government of the People’s Republic of Bangladesh and the Government
of Romania has been Signed on 15th September,1997.

43. Trade Relationship between Bangladesh and France
• Within the European Union, France is a major economic partner of
Bangladesh. Both countries have developed strong economic
cooperation and are enjoying warm business relationships.
• Bangladesh enjoys trade with France under the facility of EU’s
“Everything But Arms” arrangements.
• France is the 5th highest export destination of all Bangladeshi products.
• And 4th highest export destination for Knitwear Garments

44. Investment relationship between Bangladesh and France
• France is directly supporting infrastructure development projects in Bangladesh through ’Agence
Française de Développement (AFD).
• The most notable French investment is the Lafarge-Surma cement factory (253 million USD)
in Chhatak with a capacity of 1.2 million tons per year.
• A good number of French companies have already invested in Bangladesh, notable among them are
Alcatel, Ondeo, Dégrement, Adhipress.
• Another reference is the renowned enterprise Total, that has invested in an LPG factory in
Chittagong.
• French and Bangladeshi firms have also set up joint-ventures, like the one between Danone and
Grameen.
• Other companies such as Aventis, ADEX, Adhipress, Danone, Vieola have also made challenging
investments.
• Some French NGOs such as 'Friendship', Partners Bangladesh, Handicap International, Aide
Médicale, Développement, Kinésithérapeutes Du Monde, SOLINFO etc. Run various programs to
help underprivileged people in various areas in Bangladesh.

45. Political relation between Bangladesh and France
• Bangladesh was recognized by France as a sovereign state on 14th February 1972.
• Since the visit of French President François Mitterrand to Bangladesh in 1990, the
bilateral relations between the two countries have remained very cordial.
• Prime Minister Sheikh Hasina paid an official visit to Paris in 1999. Throughout the
last decades, the two countries have exchanged many visits at high political levels to
maintain close relationship.
• In 2016, Bangladesh commerce minister Tofail ahmed said, Bangladesh has taken
initiative to export pharmaceuticals, furniture, IT and leather products to France.

46. Knitwear Export Statistics in France and Romania
4.37
7.62
5.66
6.07
7.06
6.53
9.90
0
2
4
6
8
10
12
2010-11 2011-12 2012-13 2013-14 2014-15 2015-16 2016-17
Yearly Export trend of Romania from Bangladesh (values
in million USD)
• We can see that there is a upward trend in export of
Knitwear Products in Romania.
• In recent years, FY2016-17 we found a 51% growth for
export in Romania in Knitwear products
• Before FY2012-13 growth rate was negative but after
that exporting items in France showed tremendous
growth performance
999.71
855.18
892.45 964.27
990.05
1012.68
1050.30
0
200
400
600
800
1000
1200
2010-11 2011-12 2012-13 2013-14 2014-15 2015-16 2016-17
Yearly Export trend of France from
Bangladesh (values in million USD)

47. Highest Exported Knitwear Products from Bangladesh
France Share (%) Romania Share (%)
610910: T-shirts, singlets and other vests, of cotton 40% 610910: T-shirts, singlets and other vests, of cotton 26%
611020: Pullovers, cardigans and similar articles of cotton 16%
611030: Pullovers, cardigans and similar articles of man-
made fibers
12%
611030: Pullovers, cardigans and similar articles of man-
made fibers
8% 610721: Men’s/boys nightshirts and pajamas, of cotton 12%
610510: Men’s/boys shirts, of cotton 6% 611020: Pullovers, cardigans and similar articles of cotton 11%
610462: Women’s/girls trousers and shorts, of cotton 5% 610510: Men’s/boys shirts, of cotton 8%
611090: Pullovers, cardigans &similar articles of other
textile materials
5% 610342: Men’s/boys trousers and shorts, of cotton 7%
610711: Men’s/boys underpants and briefs, of cotton 4%
610831: Women’s/girls nightdresses and pajamas, of
cotton
6%
610990: T-shirts, singlets and other vests, of other textile 2%
610343: Men’s/boys trousers and shorts, of synthetic
fibers
4%
610829: Women’s/girls briefs and panties, of other textile
materials
1% 610462: Women’s/girls trousers and shorts, of cotton 3%
611120: Babies garments and clothing accessories of
cotton
1%
611120: Babies garments and clothing accessories of
cotton
2%
Share of the Highest Exporting Products 87% Share of the Highest Exporting Products 92%

48. • Bangladesh should utilize the trade agreements signed with France.
• An inter-governmental trade committee exclusively concentrated on “knitwear
export” should be formed under the leadership of honorable commerce Minister of
both countries.
• For ease of doing business there should be liberalized B2B facilities for both
countries investors.
• Liberal credit system may be considered for capacity building and hiring technology
for producer of high quality knitwear products in both country.
• All out efforts should be made and steps taken for production and export of high
priced knitwear products in the light of the prevailing market demand.
• Immediate steps shall be taken to establish some special courses in fashion institutes
under special arrangements to extend expert services to match the actual demand
of France.
Policy Recommendation

49. Knitwear Export Expansion by the
Mission Kuala Lumpur
(Malaysia)

50. Kuala Lumpur Mission: Malaysia

51. Bangladesh–Malaysia relations
• Malaysia was one of the first countries to recognize the independence of Bangladesh
in 1971.
• Bangladesh and Malaysia are members of the Commonwealth of Nations, the World
Trade Organization (WTO), the Organization of Islamic Cooperation (OIC),
the Developing 8 Countries (D-8) and the Non-Aligned Movement (NAM).
• Both countries are enjoying strong fraternal relations.
• Malaysia has a high commission in Dhaka and Bangladesh has a high
commission in Kuala Lumpur.
• Bangladesh has export near about 140 million US Dollar to Malaysia and Malaysia
has imported 1.9 billion USD from the world in 2017.
• Last seven Bangladesh apparel has positive export growth to Malaysia.
• Bangladesh knitwear sector has the potentiality to increase export to Malaysia.

52. Overview of Knitwear Import in Malaysia
Knitwear
import (%),
0.65
Bangladesh's
export share
(%), 0.11
Import (billion
US$), 168.38Bangladesh's share of
knitwear import (%), 8.05
Bangladesh's knitwear export
share of total export (%),
46.53
0
50
100
150
200
250
0.01
0.1
1
10
100
2012 2013 2014 2015 2016
BillionUS$
%

53. Malaysia Knitwear Import 2016
China
56%
Bangladesh
8%
Indonesia
6%
Viet Nam
5%
Cambodia
4%
Other
21%

54. Next Five (5) Years’ Projection for Knitwear Export
88 89.48
107.43
126.92
147.94
170.5
41.32
1.20
20.06
18.14
16.56
15.25
0
5
10
15
20
25
30
35
40
45
0
20
40
60
80
100
120
140
160
180
2016 2017e 2018e 2019e 2020e 2021e
Growth(%)
MillionUSD
Yearly Projection
Malaysia (KualaLampur) Growth (%)

55. Policy Recommendations
• Malaysian business buyer and consumer not conscious about the product production process in
comparison with the USA, EU, and Japan.
• B2B Marketing strategies between Bangladesh knitwear sector factories and Malaysian business buyer.
• Tradeshows in Malaysia
• Liaison and proper marketing promotion with Chief Procurement Officer of Malaysian apparel buyer.
• Social media marketing and advertisement are very much effective in Malaysian market as most of the
internet user of Malaysian people use social media.
• To increase the market share of Bangladesh apparel export in Malaysian apparel import market, we have
to create the positive cover of Bangladesh.
• Adopting Customer Relationship Management in Bangladesh knitwear to organized production and
connected with the business buyer of Malaysian buyer no matter how low volume of production order.
• Consumer of Malaysia is increasing interest on e-commerce. This consumer population is relatively young
around 26 years old.

56. Knitwear Export Expansion by the Mission
London
(United Kingdom, Ireland)

57. London Mission: United Kingdom, Ireland

58. Overview of Trade Between Bangladesh and UK
• The United Kingdom (UK) is a state made up of the historic countries of England, Wales and
Scotland, as well as Northern Ireland.
• The state is known as the home of modern parliamentary democracy and the industrial
revolution.
• Despite the 2016 referendum vote to leave the EU (Brexit) which has resided the significant
questions about country’s global role, it remains an economic and military power with great
political and cultural influence around the world(BBC news, United kingdom country profile).
• The economy of the UK is the highly-developed market-oriented economy and it is the second
largest economy in the European Union. The service sector mainly dominates the UK economy
accounting for 80% of GDP; the financial services industry is of great importance. London, the
capital of the UK is one of the global financial hubs which size of the economy making it one of
the largest cities in terms of GDP in Europe (Wikipedia, the economy of the United Kingdom).
• However, UK is the Bangladesh’s third largest importer of Bangladeshi products with US$ around
3.57 billion in 2016-17
• It is also the third largest importer of Bangladesh RMG products after the US and Germany.
• Bangladesh still now enjoying a duty-free-quota free status (DFQF) with the UK.

59. Knitwear Export Expansion in UK
0
5
10
15
20
25
30
35
China Bangladesh Turkey India Cambodia Italy
Share (in % ) 2012 Share in (% )2013 Share in (% )2014 Share in (% )2015 Share in (% )2016
Annual Market Share of the Major Countries in the UK

60. Next Five (5) Years’ Projection for Knitwear Export
2062.933
2314.44
2492.71
2677.53
2868.9
3066.82
0.88
12.19
7.70
7.41
7.15
6.90
0
2
4
6
8
10
12
14
0
500
1000
1500
2000
2500
3000
3500
2016 2017e 2018e 2019e 2020e 2021e
Growth(%)
MillionUSD
Yearly Projection
London Growth

61. Policy Recommendation
• Bangladesh currently is enjoying a duty-free and quota-free status in the UK
in exporting its manufactured goods including knitwear products under
European Union’s GSP facilities.
• But the UK will finally leave the European Union in 2019 and since then we
are not sure that Bangladesh will get this facility in UK market. Therefore,
Bangladesh government should negotiate with UK government to reiterate
the GSP facilities after the Brexit process.
• At this backdrop, it is high time for Bangladesh to start the process of
bilateral trade between two countries such as Free trade agreement (FTA),
preferential trade agreement (PTA) etc. so as to sustain this market and also
to the immense potentiality of this market as well.

62. Knitwear Export Expansion by the Mission
Seoul
(Korea Republic)

63. Mission Seoul: Korea Republic

64. General Description
Major Economic Indicators
Bangladesh Korea, Republic
2015 2015
GDP (million US$) 195078.56 1382764
GDP growth (annual %) 6.55 2.79
FDI, net (BoP, million US$) -3330.47 19656.3
FDI, net inflows (% of GDP) 1.73 0.3
FDI, net inflows (BoP, million US$) 3380.25 4104.1
FDI, net outflows (% of GDP) 0.03 1.72
FDI, net outflows (BoP, million US$) 49.78 23760.4
Exports (% of GDP) 17.34 45.34
Exports (annual % growth) -2.83 -0.13
Exports (BoP, million US$) 34852.32 640611.8
Exports (million US$) 33820.14 626899.4
Imports (% of GDP) 24.75 38.38
Imports (annual % growth) 3.2 2.09
Imports (BoP, million US$) 45326.27 533259.4
Imports (million US$) 48280.63 530641.7
Labor force, total 70.71 26.7

65. Bangladesh and Republic of Korea (S. Korea) Bilateral Trade Statistics
(US Dollar million)
Year Exports Imports Ratio
2001 22.11 540.63 1:24.0
2002 19.87 468.93 1:23.6
2003 23.86 502.48 1:21.1
2004 41.48 453.48 1:10.9
2005 43.65 583.15 1:13.4
2006 52.94 664.18 1:12.5
2007 106.54 631.31 1:05.9
2008 106.98 937.17 1:08.8
2009 89.44 1105.10 1:12.4
2010 155.23 1222.36 1:07.9
2011 201.36 919.11 1:04.6
2012 202.46 1705.82 1:08.4
2013 260.92 1495.23 1:05.7
2014 N/A N/A N/A
2015 281.35 1480.59 1:05.3

66. South Korea Knitwear Market Analysis
Countries
Export Volume in USD million Market Share (%)
2014 2015 2016 2014 2015 2016
China 1179.54 1192.99 1199.75 48% 44% 41%
Viet Nam 461.9 560.32 708.52 19% 21% 24%
Indonesia 179.27 212.01 217.07 7% 8% 7%
Italy 111.61 115.79 117.72 5% 4% 4%
Cambodia 74.64 91.28 108.86 3% 3% 4%
Bangladesh 68.15 85.58 92.62 3% 3% 3%
Myanmar 55.11 67.75 63.1 2% 3% 2%
Philippines 40.49 45.85 53.32 2% 2% 2%
Thailand 43.74 48.1 48.39 2% 2% 2%
South Korea 26.24 27.71 34.22 1% 1% 1%
Other 219.82 238.82 252.23 9% 9% 9%

67. Next Five (5) Years’ Projection for Knitwear Export
92.62
115.86
136.3
158.35
182
207.24
8.23
25.09
17.64
16.18
14.94
13.87
0
5
10
15
20
25
30
0
50
100
150
200
250
2016 2017e 2018e 2019e 2020e 2021e
Yearly Projection
Growth(%)
MillionUSD
Korea Republic (Seoul) Growth

68. South Korea Market and Buyer Trends
• South Koreans prefer to do business with people with whom they have a personal connection. It is
therefore crucial to be introduced by a third-party.
• South Korean buyer controls the marketing network and acts like lead firm.
• South Korean buyer not only focuses on efficiency but also a relationship with the supplier.
• South Korean buyer controls the maximum production process and provides all kind of raw materials
support to the supplier factory.
• South Korean buyer undertaking the market risk and enjoy the major share of profit margin in apparel
value chain.
• South Korean buyer are very much conscious about their brand and consumer satisfaction.
• South Korean consumer always conscious about the product production process in comparison with the
USA and Europe.
• The consumption is much diversified. The market is constantly oversupplied and is flooded with more than
enough merchandise supply.

69. Recommendation
• Bangladesh knitwear sector needs to focus on export to the South Korea similar to the
USA and the EU
• A ‘trust-based relationship’ between South Korea lead firm buyers and
Bangladesh knitwear suppliers is important for the South Korea market in compare with
USA and EU market.
• Bangladesh government should encourage South Korea FDI in the backward and forward
integration of apparel value chain.
• To get the most benefits from China Plus One strategy, Bangladesh knitwear sector has to
assure the South Korea buyer through capacity building and long-run sustainability
supply of product with the reasonable price.
• Bangladesh knitwear exporter may participate in apparel exhibition and trade fair in
South Korea.
• Apparel value chain both forward and backward integration controlled by the South
Korea buyer. South Korea buyer prefer CMT and original equipment manufacturer (OEM)
, Bangladesh knitwear sector can avoid Original design manufacturer (ODM) and Original
Brand Manufacturer (OBM) methods of production to value addition to the South Korea
product.

70. Request for the Commercial Councilors
 Market information: Importers information, fashion trend, cultural proximity,
product demand and supply channel etc are needed to explore markets.
 Payment mode: Exporters require assurance of payment against their export. We
need to know the import payment mechanism of the importing country.
 Response to entrepreneur's queries: The entrepreneurs often require many
information regarding export markets.
 Facilitating visa process for our exporter and buyer: Our exporters have to visit
different countries to ensure and promote knitwear export. In many cases, buyers
visit Bangladesh to provide orders and observe knitwear factories.
 Commercial/trade disputes settlement: Exporters sometimes face unethical
business practice from buyers. Buyers demand discount on the export value
raising false or unrealistic reasons.

71. Request for the Commercial Councilors (Cont.)
 Liaison between related trade bodies of the target markets: This will be very
helpful if we can jointly share our problems and solutions.
 Distribute BKMEA’s brochures and publications: A bi-annual research journal
named “Knit Communique’’, an annual “Apparel Export statistics of Bangladesh”
are regularly published. Besides, we also regularly publishes various articles,
newsletters, market brief. Those could be key information sources for the
businessmen. So please take necessary steps to provide those.
 Fixing high level delegation meeting: When the business delegates from the
respective missions come or BKMEA members visit those territories, the relevant
personnel should provide full cooperation there to manage meeting or any
program.
 Seeking full cooperation in single country Knit Fair: When BKMEA members
participate any knit fair, they should get full collaboration there.