5 more global brands assure Bangladesh of not cancelling export orders
Five more global fashion brands on Tuesday assured Bangladeshi exporters that they would receive readymade garments that had already been produced and were in the process of being made against their orders.
Exporters termed the development positive for the sector as many global buyers cancelled orders or halted shipment of ready goods as the coronavirus (COVID-19) outbreak hit hard the global consumption of apparel items.
Among the retailers, three from the European Union and the rest two from North America confirmed Bangladesh Garment Manufacturers and Exporters Association president Rubana Huq that they would take delivery on the orders already produced and work in progress.
Earlier, Swedish clothing retail company H&M assured of taking delivery of the already produced garments as well as goods in production.
H&M also said that they would pay for the goods under agreed payment terms and the retailer would not negotiate prices on already placed orders.
‘Few brands namely Spanish clothing company Inditex, British multinational retailer Marks and Spencer, French retail company Kiabi and US retail company PVH and Target have come forward and have informed us of their decision to take the ready goods along with the goods in production,’ Rubana told New Age on Tuesday.
‘We welcome their decisions to support us and hope that the payment terms will remain unaffected in order to ensure liquidity flow for the factories,’ she said.
The BGMEA president said that Marks and Spencer confirmed of taking the goods already produced and work in progress.
The retailer would pay for the raw materials which were not used as yet and the payment terms to be decided by end of this week, Rubana said.
‘Inditex is also not walking away and are taking all that’s being produced and are in the seas. PVH has sent a clear confirmation of taking everything,’ she said.
US retailer Target confirmed with full assurance that they would take all orders and it would take full responsibility and come up with all pending solutions, the BGMEA president said.
She said that Target also reiterated that they would work as partners to come out of the crisis and they had no intention of cancellations of any order.
Former BGMEA vice-president Mahmud Hasan Khan Babu said that French retailer Kiabi on Monday confirmed that it would take all its placed orders.
The retailer put its many orders on hold following the coronavirus outbreak in Europe and the company in a videoconference with its Bangladeshi suppliers on Monday assured of taking delivery of the already produced garments as well as goods being produced, Babu said. (Source: New Age)