RMG accounts 84.37% to maintain the country’s overall export growth
After lagging behind for two consecutive months (March-April), May’s exports jumped again. The momentum is back in May. Analyzing the export data of May, BGMEA has informed that 28.33 percent growth has come in the ready-made garment sector to $4.05 billion in this month.This increase in May has brought a positive message to exports in the midst of various crises besides production disruption due to gas and electricity crisis.
Figure: BGMEA has informed that 28.33 percent growth has come in the ready-made garment sector to $4.05 billion in this month.In May, woven products exported worth of $1.74 billion, a growth of 23.15% while knit garment exports were $2.31 billion with a growth of 32.53%. However, the target was $4.13 billion, 1.89% behind the target.In 11 months (July-May), ready-made garment exports have reached $42.63 billion which was $38.52 billion in last fiscal (2021-2022). As a result, the growth in 11 months has been 10.67 percent.According to the Export Promotion Bureau (EPB), country’s total export is $4.85 billionin May which is 22.59 percent higher than the previous month of April and 26.61 percent more than May of last fiscal.However, overall export was 5.29 percent less than the target set in May. The target was $5.12 billion in this month. In May last year, the income from export of goods was $3.83 billion.Bangladesh has maintained this growth by relying on the export of ready-made garments, the main sector of export income. Ready-made garments accounted 84.37 percent of the total export income during July-May.According to the EPB date, the second largest export sector is leather and leather products has earned $1.12 billion with a growth rate of 42 percent in the first 11 months of the current financial year.The third highest export of home textile products worth $1.02 billion. However, the export of this sector has decreased by 30 percent. And the fourth highest export of jute and jute products worth $0.85 billion with a negative growth of 19.5 percent.The government has set an export target of $58 billion in the current financial year. In the 11 months of the current financial year, including the garment sector, the total export amount has stood at $50.52 billion. During this period the growth has been 7.11 percent.Export earnings crossed $50 billion for the first time in 2021-22 with a growth of 34.38 percent.
