Three prominent trade bodies in Bangladesh — the Bangladesh Garment Manufacturers and Exporters Association (BGMEA), Bangladesh Knitwear Manufacturers and Exporters Association (BKMEA), and the Leathergoods And Footwear Manufacturers and Exporters Association of Bangladesh (LFMEAB) — have united with a global effort urging Governments to collaborate in safeguarding the safe transit of commercial vessels through the Red Sea, aiming to prevent a recurrence of the attacks witnessed last December.
The assaults, attributed to Iran-backed Houthis, who control significant portions of Yemen despite lacking international recognition, were purportedly conducted to exert pressure on Israel amid its conflict with Palestinian Hamas militants in Gaza.
These attacks prompted major shipping lines to halt operations in the Red Sea and adjacent Suez Canal, crucial maritime routes connecting Africa and Asia, forcing vessels to detour through the significantly longer Cape of Good Hope route.
The redirected cargo’s value surpasses US $ 80 billion, underscoring the significance of the Red Sea route, which facilitates around 30 per cent of global trade, including essential commodities like food, energy, apparel, electronics, and medicine.
The diversion has extended travel times by at least 2-3 weeks and incurred substantial additional fuel and labour expenses, exacerbating logistical challenges.
Bangladesh, a key player in the garment industry, heavily relies on the Red Sea route for exporting garments to Europe and the US. Typically, international retailers and brands bear transportation costs under the freight-on-board method, although few local suppliers cover expenses through the cost-and-freight approach.
Despite differing practices, the Bangladesh Garment Manufacturers and Exporters Association (BGMEA), Bangladesh Knitwear Manufacturers and Exporters Association (BKMEA), and the Leathergoods And Footwear Manufacturers and Exporters Association of Bangladesh (LFMEAB) have aligned themselves with the global initiative, underscoring the urgency of securing vital maritime trade routes.
