Bangladesh’s largest conglomerate to import grey fabric, yarn from Pakistan
KARACHI: Advanced Chemical Industries (ACI), one of the largest Bangladeshi conglomerates, has expressed interest to import grey fabrics and yarn from Pakistani companies, which would help Pakistani companies reclaim Bangladesh’s textile market.
An official at Trade Development Authority of Pakistan (TDAP) said a meeting between Pakistan’s trade mission and ACI’s top official was held last month, wherein ACI expresses intention to start imports from Pakistan.
Advanced Chemical Industries (ACI) Limited, being one of the largest conglomerates in Bangladesh with a multinational heritage operates across the country through its four diversified strategic business units.
The official said the proposal in this regard had been forwarded to Ministry of Commerce and Textile for further deliberations.
Bangladesh is a huge market while Pakistan’s exports to the largest Muslim country were only $57.63 million in September 2019.
Textiles comprise 57 percent of Pakistan's export revenues. However, in recent years, textile exports have declined significantly. Despite over 30 percent rupee devaluation, country’s overall textile sector exports declined 1.42 percent to $13.329 billion in the fiscal year ended June 30, 2019, as higher cost of doing business kept the sector under pressure.
State Bank of Pakistan (SBP) in a report on Pakistan Economy said that the stagnation in overall textile exports stemmed from a slowdown in export growth (in value terms) of readymade garments and knitwear items, and declines in cotton fabric and yarn exports.
The official said a proposal regarding opening of outlets for Gul Ahmed in Bangladesh and distribution of National Foods products from Pakistan in Bangladesh, was also under consideration.
Proprietor of Maimuna Corporation and President Bangladesh Rice Exporters Association will be visiting Pakistan shortly regarding his rice imports and to meet people from Gul Ahmad, National Food and dry date exporters in Karachi.
Bangladesh is a very important export destination for Pakistani products ranking amongst top destinations globally and 2nd in Asia after China. During the current year, Pakistani exports to the market have generally slowed down, owing to non-availability of PIA flights between Karachi and Dhaka.