Wednesday, June 18, 2025
spot_img
spot_img
HomeNews & ViewsTextile & ApparelBangladesh loaded with warehouse shortage

Bangladesh loaded with warehouse shortage

spot_img

In December last year, the pandemic broke out in China, and has now spread to over 115 countries. For the first time in Bangladesh on March 8th, three people were screened positive for coronavirus, and two more cases have been identified recently.

Goods are piling up in ready-made garment factories in Bangladesh. Buyers from European countries have asked their suppliers to delay the shipment of the product due to the COVID-19 outbreak. This means that the factories would suffer tremendous losses in placing shipments on hold and will face a shortage of working capital as payment from customers will be delayed before product delivery. So due to the shipment delay, they face difficulties including space shortage in warehouses and lack of running money. Manufacturers manufacture goods that take bank loans against back-to-back letters of credit, and now bank loans taken from factory owners may be listed due to failure to pay.

Buyers tend to postpone shipments for a few weeks as shops in buyers ‘ countries are facing a declining number of shoppers due to coronavirus outbreaks. Some purchasers in Europe, especially from Italy, Spain and Ireland, have cancelled orders and some have downsized their needs.

YOU MAY ALSO LIKE

LEAVE A REPLY

Please enter your comment!
Please enter your name here

spot_img

Join Our Weekly Newsletter

- Advertisement - spot_img

Upcoming Events

 

Simillar News

Recent Random

US saw a notable increase in apparel imports, totaling $26.22 billion globally: OTEXA

According to OTEXA, In January and April 2025, the US experienced a notable increase in apparel imports, totalling $26.22 billion globally, representing a 10.65% rise...

Why Are Garment Manufacturers Shifting to Egypt?

The Rise of a New Global Apparel Hub Egypt is rapidly emerging as a strategic center for global garment manufacturing. Driven by robust export performance,...

Renewable energy is a key priority for the EU in Bangladesh

EU-Bangladesh diplomatic relations were established in 1973. In 2001, a cooperation agreement was signed extending trade, economic and development cooperation, human rights, good governance,...