A ban by the Australian government on certain types of air cargo has forced further changes in how clothes are moved from up-and-coming manufacturers in Bangladesh, sources have told Asia Cargo News.
The Australian government at the end of last year dramatically tightened the rules about air cargo from a number of countries – including Syria, Egypt, Somalia, Yemen and Bangladesh.
“Now any mail item of more than 500 grams, or cargo item of more than 250 grams and 5mm in size is not allowed to [be sent] to Australia by air. Bangladeshi exporters have been unable to send any salesman samples to Australia by air since December 19. This has been seriously hampering our ready-made garments (RMG) export to Australia,” an official with the Bangladesh Garment Manufacturers and Exporters Association told Asia Cargo News.
“Due to the ban on air cargo, we are now using sea freight, which is causing much delay,” the official added.
This follows on from changes advocated by the Australian Federation of International Forwarders who recommended sending goods via either Hong Kong or Singapore from where they can be re-exported having undergone security clearance.
While Bangladesh’s garment manufacturers are adapting as well as possible given the scale of the trade with Australia, they are digging in for a long lobbying campaign to get the decision reversed.
“Australia is a potential new market for Bangladesh RMG,” the BGMEA official said. “Bangladesh’s RMG export to Australia in 2014-15 was US$533.63 million. Bangladesh’s RMG export to Australia almost tripled in last five years, and in the last year the growth was about 24%.”
By Michael Mackey
Southeast Asia Correspondent | Bangkok