Trade
16 days ago

Do not shift financial burden onto suppliers

BGMEA to global buyers

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Bangladesh Garment Manufacturers and Exporters Association (BGMEA) has requested global apparel brands and retailers not to shift the financial burden onto suppliers as some buyers are in negotiation with Bangladeshi apparel makers to mitigate the impact of the latest US tariff regime.

Expressing deep concern in an open letter to global buyers on Sunday night, the apparel apex body said the recent announcement of the reciprocal tariff, particularly the 37 per cent tariff on Bangladeshi exports to the United States, has placed all in an 'unexpectedly challenging situation'.

"We fully recognise the pressure this has created at your end. The uncertainty surrounding cost structures, supply chain planning, and long-term sourcing decisions is significant, and we acknowledge your circumstances with utmost sincerity," BGMEA administrator Anwar Hossain said in the letter.

The US is the single largest export destination for Bangladeshi made exportable goods mostly readymade garments.

He mentioned that several brands and retailers have already reached out to their Bangladeshi suppliers and in some cases, discussing possible measures to address the impact.

"We understand the urgency, but transferring the burden downstream to suppliers at this early stage will only exacerbate the stress," he said requesting patience and support during this period as Bangladesh pursues a meaningful resolution. Mr Hossain said the government is actively engaging with industry stakeholders and US authorities to resolve the issue through high-level diplomatic and trade discussions. "The government of Bangladesh has also engaged with US authorities, with sincere intent to align our bilateral trade relationship," he added.

He said they are striving to make the industry not only globally competitive but also more sustainable and socially impactful, particularly for the millions of workers, many of them women, whose livelihoods depend on this sector.

The BGMEA also invited buyers to share their insights and suggestions to jointly navigate the situation and address the challenges effectively.

 

Munni_fe@yahoo.com

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