Global Potentiality of Bangladeshi Handicraft Part I

Handicraft of Bangladesh is closely related with its culture and heritage. It expresses who we are and how our country was in previous times. As the world is being globalized rapidly, every product is being produced using machines but handicrafts make itself different from these kinds of product because personal touch of the maker. Each piece of handicraft tells the story of a craftsman, whether its pottery, jewelry or random pieces of art, the personal touch makes a world of difference. Every Nakshi Katha is a story of women, every pottery tells about the potter. Our handicraft is not made by a dumb machine but it’s a work of sweat and blood. Once there was a time our handicraft was in our national boarder but with the help of globalization our handicraft reached to the furthest corner of the world. It draws well attention of people. As it is eco-friendly people are moving towards from the machine to nature. There is enormous potentiality of handicraft in global market. BSCIC (Bangladesh Small and Cottage Industries Corporation) gives training to the people related to crafting and making them resourceful in this sector. So the investor can have good craftsmen to meet the global quality standard.

However, there are more than 1000 large scale Handicraft producers in Bangladesh, where only 300 are enlisted with Banglacraft (the association of handicraft manufacturers and exporters). A large no of handicraft producer sells their good in local market and a few numbers are involved in export.

Table-01: Showing some leading organizations current profile.    

Organization-	Hathay Bunano p.s.	Naksha	Prabartana	Arong	Prokritee
Type	NGO’s	Private	NGO’s	NGO’s	NGO’S
Start from	2005	1993	1986	1976	2001
Manpower	4000	500	5000	65000	2000
Product House	38	2	-	653	20
Main product	Kids items (Toys, dresses)	All types of textile Handicrafts	All types of handicrafts	All types of handicrafts	All types of Handicrafts (Specially produce Handmade  paper)
Market	Export	Local	99% Local	96% Local	99% Export
Turn Over	-	7-8Mn. Taka	100Mn. Taka	-	700Mn. Taka.

Table-01: Current position of some leading handicraft manufacturers in Bangladesh.

SWOT analysis of Bangladesh’s Handicraft

Strength of our Handicrafts: The following issues giving Handicraft business the stamina to compete with the artificial machine made products and effort to take place in domestic and international market- 

1.      It provides large product variety and range as it is full of diversified culture.

2.      Industry provides services to different market (Handicrafts, Textiles, Jewelry) because of diversified product range.

3.      Naturally we are resourceful in craft raw materials.

4.      Industry needs low capital investment.

5.      Low barriers for new entry in market.

6.      Products are highly value added, and handicrafts have various applications.

7.      It is a potential source of foreign revenue because of high export demand.

8.      Industry provides potential sources of employment.

Impediments for Growth: The following weaknesses are the main barriers for the Handicraft business development and making business more and more competitive -

1.      Narrow product range and lack of new and innovative designs suitable for overseas markets; have been identified as main constraints for growth of handicraft export from Bangladesh.

2.      Industry is lacking with infrastructure and communication facilities.

3.      Lack of capabilities in producing large volume.

4.      Lack of updated information on changing tastes and preferences of overseas buyers often restricts market access of potential products.

5.      Lack of finance and non-introduction of effective technology are also recognized as major inadequacy for healthy growth of the sector.

6.      Lack of co-ordination between government bodies and private players.

7.      Inadequate information of current market trends.

8.      There is lack of skilled artesian.

9.      Industry is still confined to rural areas and small cities which creates a great transport problem.

10.  Low or no involvement of Technical person such as Textile Engineers, Fashion designers etc.

Opportunity: The Handicraft business can be developed by ensuring proper use of the following opportunities-

1.      GSP in EU markets

2.      Emerging demand for handicrafts goods in developed countries such as USA, UK, Japan, India, Canada, France, Germany, Italy etc.

3.      Rising demand and usage of handicrafts products in fashion industry.

4.      Developing of domestic and international tourism sector.

5.      E-commerce and Internet are emerged as promissory distribution channels to market and sell the craft products.

6.      Our cultural and jute good has got values in overseas market

7.      People like diversified designs and handmade items

8.      Cheap manpower available in our country

9.      Potential source of foreign revenue.

Threats for our Handicrafts sector: Our Handicraft business has the following threats which reducing our business and causes of unemployment- 

1.      Hand-crafted products have to compete on price, design and adaptability with modern machine made products, which make difficulties for our traditional products to be competitive in international market.

2.      Artificial automated product produced by competing countries, as Chinese embroidery machine products compete with our hand stitch.

3.      Use of polyester, nylon, acrylic and other manmade elements in competing artificial products which reducing the product cost of artificial product.

4.      Quality products produced by competing countries like India, Pakistan, China, South Africa, etc.

5.      Competing countries are enjoying better Trade Terms sometimes.

6.      Competing countries are offering better technological support and R&D facility in their countries.