Russian fashion brand eyes 30% sourcing boost from Bangladesh
garment workers in bangladesh
Russia's largest fashion brand Gloria Jeans plans to expand its sourcing from Bangladesh, aiming to increase orders by 30% in 2025 and achieve an annual turnover of 70 million US dollar.
Moyeen Ahmed, Regional General Manager for Bangladesh, India, and Pakistan, stated, 'We witnessed significant growth in sourcing from Bangladesh last year. By 2025, we aim to grow our business in the region by up to 30% compared to the current year.'
He explained that Gloria Jeans ceased operations in Uzbekistan a year ago and is preparing to close 6-7 production units in Russia. A portion of these orders will likely be redirected to Bangladesh, alongside existing suppliers such as China and Vietnam.
Bangladesh has strengthened its competitive edge by producing a substantial volume of denim fabric locally. However, high tariffs on Bangladeshi apparel exports to Russia remain a major hurdle, making products less competitive in comparison to Vietnam.
'Removing these duties could position Bangladesh as the top supplier to the Russian market, which holds enormous potential for apparel exports,' Ahmed added.
Gloria Jeans' global apparel sourcing value based on Free On Board (FOB) terms stands at approximately $150 million, with retail values considerably higher.
According to WTO statistics, Russia imported $7.83 billion worth of apparel in 2023. In contrast, Bangladesh exported apparel worth $322.24 million to Russia during FY24, as reported by Bangladesh Bank.
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