Despite its potential, Bangladesh's leather product exports, including footwear, have been stagnant for nearly two decades, whereas Vietnam's footwear exports have surged from less than $1 billion to an astonishing $25 billion. This striking contrast shows the obstacles that are preventing Bangladesh's leather sector from reaching its full potential.
The overreliance on imported materials for footwear production is a significant contributor to Bangladesh's export stagnation. According to industry insiders, this reliance has made the sector vulnerable to supply chain interruptions and currency rate changes.
Bangladesh Shoe City Ltd (BSCL) emerges as a beacon of innovation and progress in a bold move that is destined to change the footwear industry. This ground-breaking initiative, pioneered by the visionary Jennys Group, consolidates the manufacturing of over 50 crucial shoe components into a single, cutting-edge facility.
BSCL, strategically located on a spacious 35-acre tract in Gazipur's Mouchak union, is poised to change Bangladesh's standing as a worldwide footwear manufacturing hub.
With four factories currently in operation, including one in Canada, BSCL's momentum is apparent. The attraction of the initiative has piqued the interest of 15 other investors from a variety of countries, including Japan and China, who are keen to join the effort.
Nasir Khan, chairman of BSCL, a Jennys Group subsidiary, reaffirmed the company's steadfast commitment to attaining 100% value addition within its cutting-edge facilities.
Khan underlined the necessity of self-sufficiency in the footwear business, despite the difficulties imposed by the pandemic and the ongoing Russia-Ukraine conflict.
He emphasized the issues faced by an overreliance on imported resources, stating that purchasers frequently voice concerns about the stability of supply chains that are excessively reliant on imports, highlighting the need for a more resilient and integrated strategy.
BSCL has completed a comprehensive initiative to develop end-to-end infrastructure within its facilities to address these challenges and establish a viable footwear production ecosystem. This comprehensive method includes the manufacture of both raw materials and final goods, all easily housed within a single, strategically located facility, he noted.
Sonjoy Saha, BSCL's project director, envisions the company as a one-stop shop for footwear manufacturing, with a Tk800 crore investment. With all enterprises expected to begin production by 2030, the project hopes to create around 25,000 new jobs upon completion.