9 August 2024 03:22 am Views - 5155
As Bangladesh, a major player in the global apparel market, grapples with a severe crisis, Sri Lanka is poised to benefit from some apparel orders in the short term, according to the Joint Apparel Association Forum (JAAF).
The crisis in Bangladesh may prompt buyers to seek alternative sources to maintain their supply chains and meet critical deadlines.
JAAF Secretary General Yohan Lawrence highlighted Sri Lanka’s agility and sophisticated production capabilities, noting that the country has spare capacity to temporarily fill some of these gaps.
“Given Sri Lanka’s proven ability to adapt and our available capacity, we expect some foreign buyers to turn to Sri Lanka until the situation in Bangladesh stabilises,” Lawrence told Mirror Business.
“This was a similar dynamic to what we experienced during our own crisis.”
However, Lawrence acknowledged that Bangladesh’s apparel industry is significantly larger than Sri Lanka’s, making it impractical for the island nation to fully absorb the volume of orders displaced by the crisis.
“If buyers are satisfied with the cost, quality, and sustainability benefits of shifting production to Sri Lanka, we may retain some of them in the medium to long term,” he said.
While Sri Lanka cannot match Bangladesh’s scale, its ability to execute smaller, agile production runs could make it a valuable component in global supply chain resilience strategies.
“Our focus remains on delivering high-quality, reliable service to both existing and new clients during this interim period. We are ready to help mitigate shortfalls and support supply chain stability,” Lawrence added.
The ongoing instability in Bangladesh has disrupted the business environment, including the apparel sector, though some factories are resuming operations.
“Having faced similar challenges in Sri Lanka just two years ago, we understand the complexities and hardships involved,” Lawrence said, extending the Forum’s heartfelt thoughts to the people of Bangladesh.
“We acknowledge their resilience and hope for a swift resolution to these turbulent times.”