Exports of electronics goods go up 8.5 times in 9 months

Advanced technology, high quality, durability and reasonable prices are the key driving force of the ‘Made in Bangladesh’ tagged electronics products in drawing the global buyers attention. These factors are helping the the locally produced electronics goods stay ahead of the global brands in terms of global market competitiveness that also leading the global market penetration. As a result, country’s electronics exports posted a phenomenal growth amidst the world-wide coronavirus pandemic. 

According to the product wise detailed export data for the July-2020 to March-2021 period of this fiscal year, published by the Export promotion Bureau (EPB), the country’s export sector witnessed a sharp growth in the consumer electronics’ export earnings. In the first nine months (July-March) of this fiscal year, Bangladesh’s consumer electronics exports were jumped up by about 8.5 times against the exports of the previous year’s corresponding period. 

According to the EPB data, Bangladesh in the July to March period of the FY 2019-20 earned about $14.38 lakh or $1.44 million from the exports of electronics goods, including refrigerator and freezer, air conditioner, LED television, washing machine, blender, rice cooker, gas stove, induction cooker, fan, hot plate, refrigerator compressor and components.   

In the same period of the current FY 2020-21, country’s earnings from the electronics goods export were rose to $12.22 million, which was about 8.5 times higher than the export earnings of the previous fiscal year’s same period. 

Analyzing the EPB data, it was found that, Bangladesh’s electronics giant Walton exported around $8.32 million worth of goods, alone accounted for 67.21 percent of the country’s total $12.22 million earnings from the electronics exports. 

Local industry insiders think that local electronics manufacturing industry will be emerged as the country’s major export earnings sector like the readymade garment sector if the government provides necessary policy supports including export incentives. 

In the domestic market, the local brands have already proved their mettle in capturing more than 90 percent of the markets by overcoming the foreign brands’ full dominance within a very period. 

International market analysts also opined that Bangladeshi brands have enough potential to grab a lion market share and also to lead the global consumer electronics market. 

They said, China is the major supplying country of most of global consumer electronics brands. But the growing trade concern between America and China have led the global brands to leaning towards establishing business relations with other Asian countries. 

By grabbing this golden opportunity, they noted that the local brands have the great potential in turning Bangladesh into an emerging hub of the global electronics. 

The EPB data analysis also shows that local electronics giant Walton has been playing a key in boosting the export earnings of the electronics sector as well as making the industry a potential new export sector. 

During the first nine months of the 2020-21, Walton exported about $18.36 lakh worth refrigerators, around $1.20 lakh worth freezers, $17.06 lakh worth air conditioners, nearly $38 lakh worth LED televisions, $6.66 lakh worth refrigerator compressors and components, $1.18 lakh worth washing machines, about $10,226 worth blenders, about $37,800 worth gas stoves, about $27,800 worth rice cookers. $4,400 worth induction cookers, $17,800 worth fan and also exported $2,200 worth hot plates.

According to sources, Walton made a great success in expanding its global trades despite the world-wide corona pandemic. During the current fiscal year, new export markets for Walton products have been created in some of the developed countries of the Europe such as Germany, Greece, Ireland, Croatia, Spain, Poland, Romania, Italy. As a result, Walton's exports earning in the July to April period of the 2020-21 swelled up by almost nine times and reached $10.8 million over the last fiscal year’s same period. 

In the January to April period of this year, Walton’s export earnings rose to $ 7.35 million from $0.56 million exports earnings in the same period of the previous year. 

Following Walton, other local electronics manufacturers should give much focus on expanding their business beyond the local boundaries, said EPB’s Vice Chairman AHM Ahsan. 

Bangladeshi consumer electronics brands have the potential to grab a remarkable portion of the global electronics market by offering the latest technology and high quality products at competitive prices. 

To achieve great success in the international market, he suggested the local brands to give special emphasis on the establishment of mutual business communication with global traders and also research on the global market and buyer. 

Dwelling on the global business plants, Walton Hi-Tech Industries Ltd. Managing Director Engineer Golam Murshed said, "Walton is moving ahead in the global market with setting up 'Vision 2030'. That means, Walton will be one of the best global electronics brands in the world by 2030. To make the dream true, Walton prepared a roadmap consisting of some mid and long-term plans. As part of this, we set a target to increase the export volume from $12 million to $35 million in the 2021-22 and also to $1 billion in the 2023-2024. In this context, Walton emphasized on expanding its global brand business and the OEM (Original Equipment Manufacturer) business as well.

Walton Hi-Tech Industries Director Nishat Tasnim Shuchi, said, Walton products is ahead of the other global brands’ in terms of state-of-the-art technology, durability, competitive price and stylish design. 

And thus, she said, the ‘Made in Bangladesh’ tagged refrigerators, TVs, ACs, compressors, washing machines etc, manufactured by Walton, are drawing the global buyers’ attention as well as gaining their confidence in a short period of time in export markets. As a result, she noted that Walton made a great success in the market penetration of its locally finished products in Europe amidst the coronavirus pandemic situation.

One and a half decades ago, the local demands for electronics products were met with the imported goods. When Walton started local production of electronics products in 2008, the market picture changed rapidly. Following Walton, some other local companies such as Minister, Jamuna, RFL were set up in this sector. As a result, Bangladesh is now self-sufficient in the consumer electronics, electrical and home appliance sector.

At present, domestic brands are meeting more than 90 per cent of the entire demand for electronics, electrical and home appliances in the local market. Among the local brands, Walton secured about 70 percent market share of the refrigerators. In addition, Walton as a single company is also at the top in meeting the demand for AC as well as TV. Along with meeting the local market’s demands, Walton is now exporting consumer electronics and home appliances in about 40 countries of the Asia, Middle East, Africa and Europe. 

Walton accounts for 67.21 percent of total export earnings