Konoike to buy stake in apparel inspection firm in Bangladesh
NEW DELHI, NNA - Japanese logistics firm Konoike Transport Co. will acquire a stake in an apparel inspection and repair company in Bangladesh to ensure that quality-assured Bangladeshi apparel products will be distributed in Japan efficiently and with lower costs.
Konoike said in a statement Wednesday that its Bangladeshi arm, Konoike Euro Logistics (Bangladesh) Ltd., will obtain a 33 percent stake in PQC Kuwahara Repair Centre Ltd. in Dhaka.
PQC Kuwahara was established last August by Japanese apparel inspection firm Kuwahara Co. and Pacific Quality Control Centre Ltd., a Japan-Bangladesh joint venture based in the Bangladeshi capital.
Bangladesh is a major garment manufacturing country and the world's major apparel exporter, but many local factories do not meet the standard of quality for Japan-bound products.
By investing in PQC Kuwahara, Konoike aims to establish a logistics system in which Bangladeshi-made apparel products are domestically inspected and repaired if necessary before their shipment to Japan.
"We are the first in the industry in Bangladesh to provide a comprehensive service to complete (inspections and) repairs locally," a Konoike spokesman said.
Konoike said that once its capital injection into PQC Kuwahara is completed, PQC Kuwahara will change its name to Inrex Bangladesh Ltd.
The spokesman noted that demand for transporting clothes from Bangladesh to Japan is growing by 10 to 20 percent annually. (NNA/Kyodo)