Bangladesh current footwear export struggles by Apex Footwear Limited: impact of Ukraine-Russia conflict

Abstract

This report explores the impact of the ongoing Ukraine-Russia conflict on Bangladesh's footwear industry by focusing specifically on Apex Footwear Limited. The footwear industry is one of the key contributors to Bangladesh’s economy and Apex is being one of the largest exporters. However, the war has created several challenges, including supply chain disruptions, rising raw material costs, and declining export orders, particularly from European markets, which have been significantly affected by inflation and energy crises. The report analyzes how Apex Footwear Limited has adjusted to these challenges. By adopting market diversification strategies, Apex expanded its operations to new markets such as Japan and the USA. They also implemented cost management techniques and focused on sustainability to maintain their market position. Interviews with Apex management and secondary data from industry reports provided insights into how the company navigated this uncertain global landscape. While the company has made considerable efforts to overcome the impact of the conflict, the future of Bangladesh's footwear export sector remains uncertain, with challenges persisting in the form of high production costs and disrupted supply chains.