Technology

Fifteen Bangladeshi software firms pitch Tokyo at Japan IT Week — why Japan is the export market the industry has been quietly building for a decade

A 27-member BASIS delegation is in Tokyo for the three-day fair, with eleven companies — Leadsoft, Nascenia, Brain Station 23, BJIT and others — exhibiting under a Bangladesh pavilion and president Russell T Ahmed telling a seminar that Bangladeshi skills plus Japanese technology benefit both. The numbers behind the pitch: an ageing Japan short of 800,000 engineers, a Bangladeshi diaspora that speaks the language, and firms like BJIT that already earn most of their revenue there.

Fifteen Bangladeshi software firms pitch Tokyo at Japan IT Week — why Japan is the export market the industry has been quietly building for a decade

Japan IT Week, the spring fair at Tokyo Big Sight that draws most of Asia’s software buyers, opened on Wednesday with a Bangladesh pavilion on the floor. The software association BASIS has brought a 27-member delegation from 15 companies, eleven of them exhibiting — Leadsoft Bangladesh, Nascenia, Brain Station 23, Kawai Advanced Technology & Solution, BJIT, DreamOnline, Atrabit ICT Solution, Edusoft Consultants, E-Tracker Solution, DeshLink and Xeed Bangladesh — and four more, Link Vision, Arclight Systems, Triangle Services and Pollux Technology, attending as visitors. The fair runs until 7 April.

The pitch

At a seminar titled “Digital Bangladesh: Your IT Destination”, BASIS president Russell T Ahmed put the case in one sentence: “Bangladesh has skilled people in IT and Japan has advanced technology; if the two countries work together, both benefit.” Bangladeshi firms, he said, can build products and deliver services to any country’s requirements.

Why Japan, specifically

The industry’s export story is usually told about America and Europe, but Japan is the market where Bangladesh has the clearest structural advantage, for three reasons. Demography: Japan’s working-age population is shrinking and its government estimates a shortfall of nearly 800,000 IT engineers by 2030; it has been actively courting South and South-East Asian firms to fill it. Language: Japanese clients want to be served in Japanese, which shuts out most of India’s giants, and Bangladesh has spent a decade building the capacity — the Japan-Bangladesh IT training programmes, the JICA-backed B-JET course that has sent hundreds of engineers to Japanese firms, and companies like BJIT, founded by a Bangladeshi in Tokyo, that earn most of their revenue there. Relationships: Japanese buyers switch vendors rarely and pay reliably; a firm that wins one contract tends to keep it for a decade.

What the eleven are selling

Mostly what Japan buys from abroad: offshore development teams for enterprise software, mobile apps, testing and maintenance, at rates a third of Tokyo’s. Several — Kawai, BJIT, DreamOnline — are Japanese-Bangladeshi joint ventures already, and their presence in the pavilion is less about winning new clients than about showing the others how it is done.

The honest caveat

Bangladesh’s software exports to Japan are still small — a few tens of millions of dollars against India’s billions — and the constraint is not demand but Japanese-speaking engineers, of whom the country produces a few hundred a year. The pavilion in Tokyo is a marketing exercise; the language classes in Dhaka are the investment that decides whether it pays off.

Why Japan is a slow market to enter and a good one to hold

Japanese IT outsourcing does not behave like the American or European market, and the difference decides whether a pavilion like this converts into contracts.

Qualification is long. A Japanese client typically starts with a small paid trial, assesses process discipline and documentation as closely as the code, and expands only after it is satisfied — a cycle measured in quarters, not weeks. Specifications are detailed and changes are rare, which rewards firms that are precise and punishes those that improvise.

The reward for surviving that is the other half of the picture. Japanese clients change vendors infrequently, pay reliably, and stay for years. It is a market that is expensive to enter and unusually cheap to keep — which is exactly why the language investment matters more than the trade-fair stand.

Source: Prothom Alo

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Tech BD

Tech BD is an independent technology publication based in Dhaka, published in English and Bangla. Articles appear under the masthead rather than under individual bylines; corrections and source questions reach the editor at info@tech-bd.com.