UNB, Dhaka :
Walking past a busy corner at Chandrima Super Market adjacent to the city’s New Market, the constant calling for attention by salesmen will introduce any layman to a myriad of jeans and other clothing. The flow is even bigger when there is a festival like Eid.
If one chooses a denim, for example, they will first charge an exorbitant rate between Tk 1200-1500, citing high markup costs and the toils it takes to manufacture it, but an experienced haggler can successfully negotiate at within Tk 400-500.
The reason behind these cheap outfits is exactly the motto behind ‘Made in Bangladesh’.
A lot of reasons attribute to the lack of high prices of these clothes. Make no mistake about them, they are all produced for export-quality lots, but an experienced eye can spot a defect like a ripped cuff link, for example, which usually nullifies the prospects of that particular clothing travelling to a high-end Macy’s or Walmart outlet in North America or Marks and Spencer in Europe.
Additionally, very little ‘extortion tolls’ have to be paid to local strong-arms to ensure that the small-scale traders can sell their lot easily, without any legal or law enforcement hassle. The added exclusion of market rents, electricity and other utility costs also attribute to the low cost of their products.
“If I had planned to sell my lot of shirts and trousers at a populous intersection in Elephant Road, I would not be able to charge less than Tk 700-800 per piece,” said Sayeed, a seasonal trader who waits for Ramadan to make a quick buck.
“But by selling here in Gulistan near the Stadium market, I can tap into the lower-middle class target audience, who haggle without hesitation, but enough so that I can break even and leave with a meager profit to celebrate Eid with my family back in my hometown in Comilla.”
Sayeed revealed to UNB that he purchases his products in bulk from a manufacturer in Khaddar Bazar, a wholesale market near the Golap Shah Mazar intersection, more famous for selling unstitched fabrics in wholesale.
“Not only do we sell them in retail, but also to the big shot brands in the city,” said Alam, proprietor of Alam Fabrics and an importer of Indian men’s fabrics, which sells authentic Indian fabric brands like Grasim and Raymond’s to Top Ten, who allegedly brand their logos on the fabrics and charge exorbitant prices, citing “authenticity.”
Market watchers say the price of Bangladeshi made garment items has not increased during the past three years, rather in some cases the prices of some garment items declined to some extent although the cost of production has been increasing over the years.
According to the garment makers, a T-shirt which was sold at US$3 three years ago, now costs $2.50 per piece. In such a situation, the factory owners increase the volume of the items to make up for lower per unit price and thus sustain the business. Already, the cost of production increased for inadequate supply of gas and electricity, higher transportation cost and wage hike in some cases.
Most of the globally renowned brands outsource garment items from Bangladesh. The brands such as Hugo Boss, Puma, Adidas, Next, Mango GAP and G-Star are now customers of Bangladesh.
The presence of so many upscale consumer brands proves that Bangladesh is now able to produce high-end garment items, but many forget that the source begins from the footpath markets of Gulistan and Bongo Bazar.
Bangladesh’s garment workers are the lowest paid in the world, receiving just 5,300 Tk ($68) per month. While hazardous roads and chronic power shortages are a serious problem for the garment industry, international retailers and investors are attracted by the country’s poverty-level wages, hence the cheapest clothing sold in the open markets across the country.
All said and done, this cheap clothing comes at a great price, according to Nazma Akter, founder of the 37,000-member Awaj Foundation, which fights for labour rights in Bangladesh.
“Consumers in [the West] have a big responsibility. They get things so cheap. They have to think about how these companies are doing business.
Walking past a busy corner at Chandrima Super Market adjacent to the city’s New Market, the constant calling for attention by salesmen will introduce any layman to a myriad of jeans and other clothing. The flow is even bigger when there is a festival like Eid.
If one chooses a denim, for example, they will first charge an exorbitant rate between Tk 1200-1500, citing high markup costs and the toils it takes to manufacture it, but an experienced haggler can successfully negotiate at within Tk 400-500.
The reason behind these cheap outfits is exactly the motto behind ‘Made in Bangladesh’.
A lot of reasons attribute to the lack of high prices of these clothes. Make no mistake about them, they are all produced for export-quality lots, but an experienced eye can spot a defect like a ripped cuff link, for example, which usually nullifies the prospects of that particular clothing travelling to a high-end Macy’s or Walmart outlet in North America or Marks and Spencer in Europe.
Additionally, very little ‘extortion tolls’ have to be paid to local strong-arms to ensure that the small-scale traders can sell their lot easily, without any legal or law enforcement hassle. The added exclusion of market rents, electricity and other utility costs also attribute to the low cost of their products.
“If I had planned to sell my lot of shirts and trousers at a populous intersection in Elephant Road, I would not be able to charge less than Tk 700-800 per piece,” said Sayeed, a seasonal trader who waits for Ramadan to make a quick buck.
“But by selling here in Gulistan near the Stadium market, I can tap into the lower-middle class target audience, who haggle without hesitation, but enough so that I can break even and leave with a meager profit to celebrate Eid with my family back in my hometown in Comilla.”
Sayeed revealed to UNB that he purchases his products in bulk from a manufacturer in Khaddar Bazar, a wholesale market near the Golap Shah Mazar intersection, more famous for selling unstitched fabrics in wholesale.
“Not only do we sell them in retail, but also to the big shot brands in the city,” said Alam, proprietor of Alam Fabrics and an importer of Indian men’s fabrics, which sells authentic Indian fabric brands like Grasim and Raymond’s to Top Ten, who allegedly brand their logos on the fabrics and charge exorbitant prices, citing “authenticity.”
Market watchers say the price of Bangladeshi made garment items has not increased during the past three years, rather in some cases the prices of some garment items declined to some extent although the cost of production has been increasing over the years.
According to the garment makers, a T-shirt which was sold at US$3 three years ago, now costs $2.50 per piece. In such a situation, the factory owners increase the volume of the items to make up for lower per unit price and thus sustain the business. Already, the cost of production increased for inadequate supply of gas and electricity, higher transportation cost and wage hike in some cases.
Most of the globally renowned brands outsource garment items from Bangladesh. The brands such as Hugo Boss, Puma, Adidas, Next, Mango GAP and G-Star are now customers of Bangladesh.
The presence of so many upscale consumer brands proves that Bangladesh is now able to produce high-end garment items, but many forget that the source begins from the footpath markets of Gulistan and Bongo Bazar.
Bangladesh’s garment workers are the lowest paid in the world, receiving just 5,300 Tk ($68) per month. While hazardous roads and chronic power shortages are a serious problem for the garment industry, international retailers and investors are attracted by the country’s poverty-level wages, hence the cheapest clothing sold in the open markets across the country.
All said and done, this cheap clothing comes at a great price, according to Nazma Akter, founder of the 37,000-member Awaj Foundation, which fights for labour rights in Bangladesh.
“Consumers in [the West] have a big responsibility. They get things so cheap. They have to think about how these companies are doing business.
