The country’s ready-made garments sector (RMG) has seen a surge in exports despite various challenges.
Last year, the sector struggled with multiple crises, including labour protests, factory closures in the face of demonstrations, and wage-related movements. However, the industry has now begun to recover.
According to an analysis of RMG exports over the past seven months, the sector witnessed substantial growth in the U.S. and European markets. These two markets now account for 69 per cent of the total garment exports.
According to the Bangladesh Garment Manufacturers and Exporters Association (BGMEA) data, in the first seven months of the 2024-25 fiscal year (July–January), RMG export earnings in the European market grew by 13.91 per cent, making $11.81 billion. During the same period in the previous fiscal year (2023-24), earnings were $10.36 billion.
During the same period, exports to the US market grew by 16.68 per cent, reaching $4.47 billion, compared to $3.84 billion in the previous year.
Exports to the Canadian market also saw a growth of 15.29 per cent, with export earnings reaching $750 million in the current fiscal year, compared to $651.3 million in the previous fiscal year.
Bangladesh has also experienced positive export growth in non-traditional markets. Over the past seven months, exports to these markets grew by 6.42 per cent, making some $3.97 billion in earnings, up from $3.73 billion in the previous year. Turkey, Brazil, and India were the top buyers among non-traditional markets.
Analysts cited this growth as an outcome of economic recovery in North America and the Trump administration’s tariff policies.
In this regard, former BGMEA director Mohiuddin Rubel said, “The past seven months have revealed strong export growth. The economic recovery in the US and Canada has positively impacted Bangladesh’s garment exports. Additionally, the Trump administration’s tariff policies on Mexico and China have created significant opportunities for Bangladesh’s export earnings.”
Fazlee Shamim Ehsan, executive vice president of the Bangladesh Knitwear Manufacturers and Exporters Association (BKMEA), said, “The main reason behind this positive export trend is buyers’ trust in us. Orders may decrease temporarily due to economic downturns, but as global exports rise, Bangladesh’s exports recover quickly due to the buyers’ confidence in us.”
He further noted, “We expect more orders in the coming months. This year will be a milestone for our garment sector, with record-breaking orders.”
Regarding the limited expansion into new markets, he explained, “New markets must have purchasing power. Europe and the US remain the largest buyers, while only a few other countries have significant purchasing capacity. Many nations produce their own garments. Emerging markets like China, India, and Brazil manufacture their own apparel. Bangladesh performs well in markets where garment production is limited.”
Translated & edited by Fariha Nowshin Chinika
