Several thousand foreign buyers and brands purchase ready-made garments from Bangladesh. Among them, the top ten companies account for approximately 29% of the total exports. Swedish multinational retail company H&M is the leading buyer of Bangladeshi garments, followed by Spain’s Inditex and Ireland’s Primark. Together, these three companies purchased nearly $6 billion worth of garments from Bangladesh in the last fiscal year.
The National Board of Revenue (NBR) and buyers’ data analysis by Prothom Alo identified these top buyers for the fiscal year 2023-24. This list was prepared by analyzing nearly 2.1 million export shipments from last year, taking into account the data from the main and subsidiary companies of the top buyers, totaling 1,264 subsidiary companies. However, garments purchased through buying houses or agents were not included in the list. According to NBR data, Bangladesh exported $36.37 billion worth of garments to several thousand buyers last fiscal year, with the top 10 buyers alone purchasing garments worth $10.5 billion, accounting for 29% of total exports. These top 10 multinational companies mainly sell Bangladeshi garments in major markets like the United States. The top 10 buyers of Bangladeshi garments are H&M, Inditex, Primark, Denmark’s Bestseller, the UK’s Marks & Spencer, the Netherlands’ C&A, Japan’s Uniqlo, Poland’s LPP, the UK’s Next, and Poland’s Pepco. Walmart, one of the world’s leading buyers, purchased $400 million worth of garments directly from Bangladesh last fiscal year. Walmart also buys a significant amount of garments through buying houses, which were not identified. Walmart did not disclose purchasing details and hence, did not make it to the top ten.
Blair Cromwell, Director of Corporate Affairs (Global Communication and Sourcing) at Walmart, stated via email that they would not make these statistics public, but emphasized that Bangladesh has long been a significant supplier for Walmart, with their sourcing strategy remaining unchanged. Bangladeshi factories primarily export low-cost garments, which is why the top ten multinational companies purchase garments at an average price of $3 per piece. Among the top ten buyers, Uniqlo bought the most expensive garments, averaging $5.41 per piece. Top luxury brands like France’s Louis Vuitton, Dior, and Chanel, Italy’s Gucci, and the US’s Nike did not purchase garments directly from Bangladesh in the last fiscal year. However, German sportswear brand Adidas bought garments worth $25.6 million, with an average price of $23.50 per piece. Other renowned buyers such as the US’s Ralph Lauren and Canada’s Lululemon also bought garments from Bangladesh, albeit in smaller quantities. These luxury brands purchased garments with export prices ranging between $300 and $500 per piece. Among the top 10 buyers of Bangladeshi garments, Prothom Alo contacted top officials from five companies, who confirmed the accuracy of their purchasing figures but refrained from making formal statements due to corporate headquarters’ restrictions.
Top Buyer: H&M
H&M is the largest buyer of Bangladeshi garments. In the last fiscal year, H&M stocked its garments, made in Bangladesh, in over 1,000 outlets across 44 countries, and customers in 60 countries can purchase H&M’s garments online. These garments are sold mostly in Poland, Germany, and the United States. H&M bought $2.59 billion worth of garments from over 200 Bangladeshi factories in the last fiscal year. The company’s shipments from Bangladesh averaged 2,042 consignments per day, which includes garments for all age groups. Founded in 1947 with one store, H&M now has 4,298 outlets. The company sold products worth $21.32 billion last year. H&M sources from 916 suppliers in 41 countries, including clothing, home textiles, footwear, and cosmetics. The company has been buying garments from Bangladesh for three decades and has consistently been a top buyer. H&M’s Global Communications Press Officer and Communication Specialist, Olbin Nordin, confirmed via email that Bangladesh remains a crucial garment production country for H&M. He stated that having a local team in Bangladesh is always advantageous, and reiterated that Bangladesh is an essential market for them.
Inditex, the second largest buyer of Bangladeshi garments, is a Spanish multinational company that has been increasing its purchases from Bangladesh every year. In the last fiscal year, Inditex bought garments worth $2.18 billion from Bangladesh, marking the first time they surpassed the $2 billion mark in a single fiscal year. Inditex sends these garments to sales centers in 13 countries, with Spain receiving the most, worth $1.87 billion. Their main brands include Zara, Pull & Bear, Bershka, Stradivarius, Oysho, and Massimo Dutti. The company sources garments from 250 factories in Bangladesh, with products ranging from underwear to overcoats.
Primark, an Irish multinational retail company, is the third largest buyer of Bangladeshi garments. In the last fiscal year, Primark purchased garments worth $1.12 billion. Primark has 451 sales centers in 17 countries, and its main markets are Europe and the United States, with the UK being the largest market for Bangladeshi garments.
Bestseller, a Danish multinational company, is the fourth largest buyer, having purchased garments worth $790 million from Bangladesh last fiscal year. The average price per garment was $4.66, the second highest among the top 10 buyers. Bestseller’s garments are sold in sales centers across 11 countries, and they source from 95 factories in Bangladesh.
Marks & Spencer (M&S), a British multinational company, is the fifth largest buyer, purchasing 210 million pieces of garments worth $780 million last fiscal year. The average price per garment was $3.74. M&S’s main brands are M&S and Autograph, with 91% of the garments sourced from Bangladesh being sold in the UK. M&S is also expanding its purchases from Bangladesh, sourcing from 51 factories last fiscal year.
C&A, a Dutch multinational company, has increased its share of Bangladeshi garments. In 2020, 36% of its total garments came from Bangladesh, which increased to 51% in 2022. C&A is the sixth largest buyer, having purchased 200 million pieces of garments worth $720 million last fiscal year. The average price per garment was $3.62, and they source from at least 50 factories in Bangladesh.
Uniqlo Japanese multinational company Uniqlo bought approximately 132.1 million pieces of garments worth $710 million last fiscal year. The average price per piece was $5.41, the highest among the top 10 buyers. Uniqlo’s parent group, Fast Retailing, owns seven brands, including GU, Theory, and J Brand, with 3,595 sales centers worldwide. Uniqlo sells Bangladeshi garments in 24 countries, sourcing from 26 Bangladeshi factories, with 32% of their supply coming from Pacific Jeans Group.
LPP Polish multinational company LPP sourced $654.4 million worth of garments from Bangladesh last fiscal year, supplied by around 250 factories. LPP established a branch office in Dhaka in 2015. According to their website, LPP’s five brands, Reserved, Cropp, Mohito, House, and Sinsay, are sold in 40 countries.
Next British multinational company Next, with a 160-year history, purchased $530 million worth of garments from Bangladesh last fiscal year, equating to 160 million pieces at an average price of $3.24 per piece. Next consistently sources half a billion dollars’ worth of garments from Bangladesh annually.
Pepco Polish multinational retailer Pepco buys the lowest-priced garments from Bangladesh among the top 10 buyers. Last fiscal year, Pepco purchased 260 million pieces of garments worth around $460 million, at an average price of $1.75 per piece. Pepco has over 4,500 sales centers across 21 European countries, sourcing garments mainly from Bangladesh, China, and India. They market garments under four brands: Pepco, Poundland, PGS, and Dealz.
Former BGMEA President Faruque Hassan mentioned that Bangladesh produces garments for over a thousand small and large buyer companies. This diversification strengthens the country’s garment sector and offers opportunities to market other Bangladeshi products to these buyers.
