B’desh seeks Pak investment in cotton & yarn sector

[CaPtAiN_pLaNeT]

B’desh seeks Pak investment in cotton & yarn sector
May 26, 2012 (Bangladesh)

Bangladesh : B

Bangladesh Commerce Minister GM Quader has called upon Pakistani investors to invest in partnership projects in Bangladesh’s cotton and yarn sector.

Speaking at the opening of the second 'Made in Pakistan Exhibition 2012' organized by Rawalpindi Chamber of Commerce and Industry, Pakistan, the Minister said Pakistani entrepreneurs can consider investing in some of their speciality sectors like cotton and yarn in Bangladesh.

Stating of cotton and yarn industries to be the backward linkage industries of Bangladesh, for which the country imports raw cotton from Pakistan, he suggested that some of the cotton and textile entrepreneurs from Pakistan can set up their production units in Bangladesh and cater to local demand.

The Minister said by setting up units in Bangladesh, Pakistani entrepreneurs can even enjoy duty-free access to many countries across the world.

Pakistani entrepreneurs can take greater benefit of concessional or cheaper access to different world markets by investing in areas where Bangladesh itself is not investing, he added.

The ‘Made in Pakistan’ exhibition displaying ladies fashion items, handicrafts and fabrics from 67 participating companies will go on till May 27, 2012.

 

[Pakistanisage]

Thanks but No thanks. We will invest in our own textile industry. You think we have forgotten your vote against Pakistan on entry to European Union. You come to Pakistan now after your sources for Cotton yarn has been rebuffed by India.

 

[CaPtAiN_pLaNeT]

Thanks but No thanks. We will invest in our own textile industry. You think we have forgotten your vote against Pakistan on entry to European Union. You come to Pakistan now after your sources for Cotton yarn has been rebuffed by India.

Come on man this is all about business. Recent news has indicated that 40% of the textile mill of pakistan has already shifted to Bangladesh. After all the biggest advantage that Bangladesh enjoy is duty free export to certain destination. Thats how those who set up mills in Bangladesh able to earn a big amount of profit.

 

[hankau62]

Come on man this is all about business. Recent news has indicated that 40% of the textile mill of pakistan has already shifted to Bangladesh. After all the biggest advantage that Bangladesh enjoy is duty free export to certain destination. Thats how those who set up mills in Bangladesh able to earn a big amount of profit.

What will happen if the preferential treatment by the west for export from Bangladesh ends? Will the export will still be competitive??

Just being curious.

 

[CaPtAiN_pLaNeT]

What will happen if the preferential treatment by the west for export from Bangladesh ends? Will the export will still be competitive??

Just being curious.

Yes as production cost is still lower but BD will have to be more competitive. By the way this is not only for garments but for any manufacturing goods Bangladesh gets this advantage. Not likely to be taken away soon.

That is the reason why many countries/companies has shown eagerness to set up their manufacturing base in Bangladesh. N Bangladesh has also made the strategy to be 2nd China in terms of manufacturing for its development. Electricity shortage and poor infrastructure are the biggest problem.

Apart from west long term plan of Bangladesh is to capture the home market of India and China. But India is creating lots of trade barrier so that Bangladeshi product cant enter easily. In the mean time Bangladesh is looking for high grade product manufacturing.

 

[Kaniska]

Then its a good deal...Pakistan should utilize it...

 

[CaPtAiN_pLaNeT]

Then its a good deal...Pakistan should utilize it...

Thats why Pakistani garments and textile mills are already following it and moved their base to Bangladesh.

 

[eastwatch]

Thanks but No thanks. We will invest in our own textile industry. You think we have forgotten your vote against Pakistan on entry to European Union. You come to Pakistan now after your sources for Cotton yarn has been rebuffed by India.

Please read the news again. Our commerce minister is asking for investments in the sub sector of cotton YARN. BD imports raw cotton from many countries including Pakistan and produces much of the thread and yarn by itself. However, our local production does not satisfay the demand. So, we also import yarn from other countries including India to make up the gap.

Our expanding export market has increased the demand for yarn. Therefore, Pakistani industry owners can fill in the gaps without disrupting their business in the home country. Pakistani industrialists are in a better position to get uninterrupted supply from their home country. They also do not have to close their businesses in Pakistan.

 

[CaPtAiN_pLaNeT]

Please read the news again. Our commerce minister is asking for investments in the sub sector of cotton YARN. BD imports raw cotton from many countries including Pakistan and produces much of the thread and yarn by itself. However, our local production does not satisfay the demand. So, we also import yarn from other countries including India to make up the gap.

Our expanding export market has increased the demand for yarn. Therefore, Pakistani industry owners can fill in the gaps without disrupting their business in the home country. Pakistani industrialists are in a better position to get uninterrupted supply from their home country. They also do not have to close their businesses in Pakistan.

Actually commerce minister has asked to set up cotton and yarn industry in Bangladesh to feel the vacuum that we need to import. In this way they can also get duty free access to many countries.

Stating of cotton and yarn industries to be the backward linkage industries of Bangladesh, for which the country imports raw cotton from Pakistan, he suggested that some of the cotton and textile entrepreneurs from Pakistan can set up their production units in Bangladesh and cater to local demand.

The Minister said by setting up units in Bangladesh, Pakistani entrepreneurs can even enjoy duty-free access to many countries across the world.

 

[eastwatch]

Actually commerce minister has asked to set up cotton and yarn industry in Bangladesh to feel the vacuum that we need to import. In this way they can also get duty free access to many countries.

What is your idea about cotton and yarn industry? Is it that in BD the Pakistani industrialists will also produce cotton? What I said is perfectly logical. You have comprehended it wrongly. BD certainly cannot produce cotton. So, the country will have to import cotton and produce yarns.

 

[SamranAli]

we want good relations with Bangladesh but its people are living in 70s with pro indian mind. They should remember that Pakistan was created for what .

 

[PlanetSoldier]

we want good relations with Bangladesh but its people are living in 70s with pro indian mind. They should remember that Pakistan was created for what .

You should remember why Pakistan was created we needn't. You don't know about Bangladesh like we know about Pakistan as we were part of Pakistan and key players in making it but you were never part of Bangladesh. And please dig in more before commenting on us, being Bangladeshi we are 1st pro Bangladeshi.

Thanks

 

[bindaas]

Actually, Bangladesh can save lots of Pakistani businessman from making losses as Pakistan is facing severe electricity and gas crisis which has ruined textile industry in Pakistan. So, it is actually a win win situation for both sides.

 

[zakriaarshad]

Pakistani Textile Potential is shifting to bangladesh at very large scale. Good for our industrialists and good for Bangladeshies too. The Pakistani brothers who are opposing the idea may not be aware of the fact that largest proportion of our textile exports consists of cotton and blended yarn while Bangladesh exports RMG. Although bangladeshi manufacturers are somewhat "biased" with Pakistani products but many chances of betterment still persist. Because we know that bangladeshies are never consistent in their deals....

 

[DarkPrince]

its good for both BD n Pak