Pacific Jeans Group is a leading Bangladeshi apparel exporter. Pacific Jeans Group aims to contribute towards reaching the country’s $100 billion apparel export target by 2030 by setting a target of reaching the $1 billion export mark by 2028. As part of regular interaction with the RMG leaders, Textile Focus discussed with a dynamic female leader Luthmela Farid Director of Pacific Jeans Ltd., who is actively involved in the company’s operations and has earned their position as an influential figure in the day-to-day running of the business. Pacific Jeans Group aims to contribute towards reaching the country’s $100 billion apparel export target by 2030 by setting a target of reaching the $1 billion export mark by 2028. As part of regular interaction with the RMG leaders, Textile Focus discussed with a dynamic female leader Luthmela Farid Director of Pacific Jeans Ltd who is actively involved in the company’s operations and has earned their position as an influential figure in the day-to-day running of the business.
Textile Focus: Could you please share the current scenario of the RMG Sector?
Luthmela Farid: RMG sector of Bangladesh is going through a very crucial period considering the global economic downturn and the LDC graduation aftermath. We’re walking on a tightrope and mapping out how to navigate in the market without GSP or duty-free benefits while accommodating the surging cost. To keep up the sustained growth economic diplomacy and congenial PTA/FTA with the existing and potential exporting country will play a vital role in shaping our future. Our competitor exporting countries are already enjoying such kind of benefit and exploring opportunities for duty-free access. Without securing GSP plus, the EU will incur 12% duty for importing RMG from Bangladesh while Vietnam will be enjoying duty-free access in the EU in years to come and is expected to gain additional market share.
United Nations Conference on Trade and Development (UNCTAD) suggests a potential 1.4% to 2.4% decline in exports from developing countries if carbon tax is imposed. EU is taking a groundbreaking initiative of implementing carbon tax on imports from the foreign companies for EU enlisted buyers. This is a part of EU’s green deal for achieving climate neutrality and transforming Europe into a continent that is free from carbon emissions. This implies that 2026 onwards, EU importers need to get CBAM (Carbon Border Adjustment Mechanism) to cover the embedded emission cost. This will impact the competitiveness of Bangladesh and influence the trade dynamics across the world.
Textile Focus: Kindly share the update of Pacific Jeans Group.
Luthmela Farid: To make the organization future proof Pacific Jeans is aiming product diversification and transition towards high end products. We need a leapfrog towards technological and product sophistication as Bangladesh don’t fit into low cost factor of production any more. As a part of our growth strategy we’ve started our new venture of formalwear, a product category which demands high level of craftmanship, precision and excellence. As a response to the global movement towards circularity across the apparel supply chain Pacific Jeans has launched “Pacific Recycle Fiber” to transform cutting waste into high quality fiber which will be reused in fabric production. This textile-to-textile recycling will integrate the weavers, spinners garment manufacturers and other stakeholders in a business model where textile waste will be recycled and reused in fabric manufacturing. This framework will eliminate waste, prevent it from going to land-fill, extend the shelf-life of natural resource like cotton, circulate materials and regenerate nature. Sorting the textile waste from the cutting table will give a better traceability and transparency of the product life cycle to the customers. Global competition is rising from many fold and in order to thrive in this industry establishing circularity and closing the loop will not only give us a better negotiating power but also align our apparel sector with the emerging industry trends.
Textile Focus: Recently Pacific Jeans won the National Export Trophy for 2021-22, How do you evaluate this?
Luthmela Farid: Pacific Jeans has been winning national export trophies consecutively since 1998 which is a testament of it’s resilience and it’s ability to adapt with industry dynamics. Pacific Jeans is the pioneer of premium jeans manufacturing in Bangladesh established in 1984. Since then it has spearheaded innovation and best practices in the industry. Pacific Jeans has always been an early adopter of technology and trend-setter in the region. It has weathered many storms starting from it’s formation to different phase of growth of Bangladesh RMG industry and till date. Back then it was a challenge setting up a company from scratch when the industry was nascent with a little know-how, and inadequate regulatory framework and infrastructure for the RMG industry to grow. The company witnessed phenomenal growth throughout its journey due to its ability to adapt to change and concerted effort for future readiness.
Textile Focus: As a LEED-certified manufacturer, how do Pacific Jeans ensure sustainability in Apparel Production?
Luthmela Farid: All of our production facilities are either gold or platinum LEED certified. LEED certification is an international recognition of commitment to sustainability for an organization providing a framework for efficient environmental, social and governance benefits. It helps reduce 25% of energy consumption and 35% of carbon emissions compared to traditional infrastructure. The building design improves indoor ambience allowing more daylight and air circulation. It offers cleaner air free of harmful chemicals found in paintings and finishing. The comprehensive guidelines make the organization energy and water-efficient, save maintenance costs, reduce carbon footprint and help achieve ESG objectives. However, ensuring sustainable production is a holistic approach that should address all fronts of production processes across the entire value chain. As a part of achieving net-zero climate impact, our goal is to avail 50% renewable energy, use 80% recycled water in production and 65% carbon reduction by 2030 considering the base year 2018.
Textile Focus: We know Pacific Jeans is doing so many innovative products and has a strong R&D team, as a Director what’s your future plan?
Luthmela Farid: Sustainability is ingrained in our organizational culture ensuring that sustainable apparel manufacturing is not merely a buzzword but the manifestation of ethical fashion practices starting from sourcing sustainable materials, curtailing carbon footprints and diminishing waste. Our R&D team is collaborating with the key stakeholders in the industry and challenging the status quo to create the most sustainable jeans and make it accessible for all. Our commitment towards responsible denim is fostering innovation, collaboration and environmental stewardship in shaping a sustainable apparel industry. Our design strategy is directed to incorporate recycled. biodegradable and organic content as much as possible rather than virgin materials. We design for longevity, circularity and resource saving which calls for materials which are either biodegradable or recyclable. The advent of water and energy-saving technology and the use of eco-friendly chemicals for fading and vintage finish of jeans are transforming our laundry from a resource-intensive to responsible and regenerative. We believe the global shift towards ethically produced garments offers Bangladesh an opportunity to distinguish itself on the global stage through timely adaptation to sustainability trends. We’re constantly strengthening ourselves with all sustainable technologies to serve the global fashion industry where ethics, creativity, style and responsibility can co-exist in harmony.
