Bangladesh, which is facing its worst political crisis since Independence in 1971 with over 400 people killed in protests following former Prime Minister Sheikh Hasina's resignation and flight from the country amid massive public anger over her government's controversial quota system, poses "significant concerns" for India's textile and apparel sector, particularly for companies operating factories in the neighboring country, according to the Confederation of Indian Textile Industry.
Photo: Rajib Dhar
The domestic textile industry body warns that any disruption in Bangladesh's supply chain could immediately impact production schedules and delivery timelines for Indian firms. Indian companies with manufacturing operations in Bangladesh may face difficulties in maintaining their production flow, leading to delays and potential shortages in the market. Despite concerns about these potential disruptions, Chandrima Chatterjee, Secretary General of the Confederation of Indian Textile Industry (CITI), expressed hope that the situation will improve soon.
The Indian industry is deeply concerned about the unfolding events in Bangladesh and is hopeful for a quick return to normalcy. Stability in Bangladesh is crucial for the smooth operation of cross-border trade and production, according to CITI. Major global brands that rely heavily on Bangladesh for sourcing may also be impacted by these disruptions, facing delays and reduced product availability. This could create a ripple effect across the global retail market, potentially affecting inventory levels and sales worldwide.
