AZ Apparels started its journey in the RMG sector Since 1995. We have a concept to develop a new dimension of the apparel business with versatile design for the fashion world. Recently Team Textile Focus talked with Mr. Ekram Hossain, Director, AZ Group to know about their business in 2022 and furcating for 2023.
In the first half of this year (2022), my company had strong growth in terms of both value and volume of exports, particularly to the USA.
However, after June export growth of my company dropped to 24% due to the Russia-Ukraine war, which disrupted supply chains and increased global inflation, putting economies in a dire state of distress.
In terms of exports, my business is operating at 20% less capacity than it did during the same period last year. Furthermore due to requests from buyers,I have to hold shipment of ready goods which is roughly 20% products due to their stockpile inventory of the buyers however for those I had already completed back-to-back L/Cs for fabrics and accessories, and I’m obligated to make the payment at the exact maturity date as a result force loans are occurring.
The year 2023 is a crucial year as well as a challenging year for us.I’m expecting a moderate export recovery in the year 2023 as sales in the Western world are gradually increasing with a new normal emerging from the Russia-Ukraine war and declining petroleum product prices.
As a result, the Western world’s inflationary pressure is progressively decreasing, thereby putting more money in consumers’ pockets and enabling them to start spending on clothing.
