Illustrating the Thematic Analysis: Export Constraints and Potential in Selected Sectors
research and development (R&D) in the sector for the development of additional diversified fabrics and to decrease the cost of the currently available high-end fabrics could be useful. The Jute Research Institute, for example, has a pilot project regarding diversified jute fabrics and is exploring collaboration with some garment and textile units for large-scale runs. Fabrics further developed can also be provided in the fabric bank for diversified jute product producers. Lack of production and trade data and poor access to market information make strategic benchmarking and planning difficult for companies. Interviews with stakeholders along the diversified jute sector indicate continued lack of and access to market information, particularly in regard to available production technology, and sources of equipment and technology for upgrading production of basic and complex fabrics. Moreover, there is little to no current, readily available information regarding diversified jute products over the range of products within diversified jute, inconsistent application and lack of product-specific codes, and lack of an internal census carried out with regularity that does not overlook nontraditional jute products. As a consequence, Bangladesh, as well as jute products, are off the radar of many international databases, limiting the country’s marketing reach. Some of the issues, such as marketing, research, and branding, could be addressed together with India and Nepal. If the numbers are correct, there is potentially a huge demand for natural fibers like jute, which could be more effectively realized with a joint approach to marketing and branding. If South Asian countries get together and share marketing and branding costs under a regional approach, this can help all parties. Another approach is to restrict this to the two largest production countries and brand “Bengali” jute from Bangladesh and India. Either of these initiatives could be undertaken under the Jute Study Group’s mandate. Joint R&D to complement domestic research efforts offers another possibility.
Diversified Jute: Non-Leather Footwear Bangladesh is highly competitive in the espadrille market and this could be another major niche area in the future. Bangladesh is among the top Asian producers of footwear, with production in 2011 of 276 million pairs and a 1.3 percent world market share. Bangladesh exports mostly leather footwear, although nonleather footwear is growing. Footwear exports totaled US$335 million for FY2012, consisting mostly of leather footwear (US$240 million or 71.5 percent); others included non-leather footwear (US$76.5 million or 22.8 percent) and footwear components (such as soles).14 All of Bangladesh’s espadrille production is exported. Of the leading non-leather footwear categories, Bangladesh’s largest export markets are Spain, the Republic of Korea, and Japan (HS640419 under the Harmonized System of trade classification); Germany, France, and Spain (HS640220); and France, Italy, and Germany (HS640520). Bangladesh’s non-leather footwear is currently in the non-luxury niche. Therefore, changing consumer attitudes bode well for demand for Bangladeshi shoes. Toward New Sources of Competitiveness in Bangladesh • http://dx.doi.org/10.1596/978-1-4648-0647-6
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