Described as the worst since Bangladesh's independence in 1971, the current political turmoil in Bangladesh threatens to disrupt supply chains and production schedules for Indian textile companies operating in the neighboring country, says ChandrimaChatterjee, Secretary General, CITI. The country's impressive growth in the textile sector has strengthened trade flows across the subcontinent, she adds.
The domestic textile industry fears, disruptions in Bangladesh could lead to delays and shortages, forcing Indian companies to seek alternative manufacturing solutions. As a result, there is a noticeable shift toward other manufacturing hubs, with Tirruppur, a major Indian textile center, potentially benefiting from this realignment.
Amid widespread anti-government protests, Bangladesh is experiencing severe unrest, with Prime Minister Sheikh Hasina stepping down. Army Chief General Waqar-uz-Zaman has announced the formation of an interim government to take over duties.
Pointing out the broader implications for global supply chains, Chatterjee warns, major international brands that rely on Bangladesh for sourcing may face delays and reduced product availability, further impacting inventory levels and sales worldwide.
