Bangladesh garment sector incurs $3 billion losses for coronavirus
Published : Wednesday, 1 April, 2020 at 12:01 AM Count : 877
With the passing of days, the number of coronavirus infected patients has been growing in Bangladesh. The worst affected sectors--tourism, transport and export sector--have been incurring huge losses. However, the export-oriented ready-made apparel sector appears to face a disastrous situation.
Bangladesh Garment Manufacturers and Exporters Association (BGMEA) says that the export orders of about 920.36 million pieces of apparel, worth US$2.90 billion in the garment sector have either been cancelled or postponed since the outbreak of deadly coronavirus in Bangladesh.
BGMEA President Dr Rubana Huq said buyers of most of the foreign countries including the United States, Germany and Italy have cancelled the export orders of 920.36 million pieces of 1,059 garment factories of Bangladesh till 6:00pm on Tuesday (March 31). As a result, the garment owners have incurred losses amounting to US$2.90 billion. Some 2,10,000 workers, mostly female, work at these factories.
These affected factories are included in the BGMEA listed 4,200 factories.
Besides, 106 garment factories, which are BGMEA listed factories, have been closed over the last 14 months (from January 2019 to February 2020) for financial crises.
Export of readymade garments has declined by 41.84 per cent till March 18 last compared to the same period of the previous year.
Most of the factories of the export-oriented sector including BGMEA, BKMEA and BTMEA will remain close till April 4 next, causing losses amounting to millions of dollars, Rubana Huq said.