Two more factories in Bangladesh have achieved Leadership in Energy and Environmental Design (LEED) certification from the United States Green Building Council (USGBC), as reported by the Bangladesh Garment Manufacturers and Exporters Association (BGMEA).
TM Jeans Limited, based in Gazipur, earned a Platinum rating with a score of 81 out of 110 points, and Azmeri Composite Knit Limited, based in Dhaka, earned a Gold rating with a score of 63 out of 110 points, reads a press release sent by former BGMEA director Mohiuddin Rubel.
This brings the total number of green factories in the country to an impressive 235, among which 94 are platinum-rated, 127 are rated gold, and 10 are silver.
“Amidst the challenges posed by a global economic downturn and domestic obstacles, these additions showed Bangladesh’s unwavering commitment to sustainable growth,” read the release.
It added that the steady growth of LEED certifications reflects a proactive approach to sustainability and responsible manufacturing.
“Through continued collaboration and unwavering dedication, we are confident that the Bangladesh RMG sector will achieve even greater milestones, solidifying its reputation as a global leader in sustainable and ethical production,” read the release.
LEED is the most widely utilised green building rating system globally.
Applicable to virtually all building types, LEED provides a framework for creating healthy, efficient, and cost-effective green buildings.
LEED certification is recognised worldwide as a symbol of sustainability achievement and leadership. Before awarding LEED certification, the USGBC evaluates several criteria, including performance transformation, energy efficiency, water conservation, and waste management.
The best-performing facilities are awarded Platinum status, followed by Gold and Silver ratings.
Bangladesh has been obtaining LEED certification since 2012, with the first LEED Platinum-certified factory in the country being Vintage Denim Studio, located in the Ishwardi Export Processing Zone.
The tragic collapse of the Rana Plaza building in 2013 marked a significant turning point for the garment industry in Bangladesh.
This disaster highlighted the urgent need for improved safety standards and sustainable practices within the sector. Entrepreneurs have been investing to improve their factory’s safety – structural, environmental and social aiming to making as sustainable manufacturing plant.
Bangladesh’s apparel exports to the European Union increased by 24 per cent in November 2024 compared with those in the same month of the previous year.
The EU’s apparel imports from Bangladesh increased by 24.09 per cent to 1.53 billion euros in November compared with those of 1.23 billion euros in the same month of 2023, according to data from the Eurostat, the statistical office of the EU.
The country’s exports were 1.75 billion euros in October with growth of 33.83 per cent, 1.54 billion euros in September with 7.39 per cent growth and 1.62 billion euros in August with 4.21 per cent growth.
A strong recovery was evident in the past three months, as exports from September to November in 2024 posted consistent growth, driven by heightened demand during the EU’s peak retail season.
Exporters said that global demand for apparel had risen as inflation eased and interest rates declined in western countries.
They said that Bangladesh had been receiving increased orders for higher-value-added products.
Furthermore, exporters expressed optimism about the steady flow of orders, adding that an improvement in the law-and-order situation could attract even more global orders to Bangladesh.
The country’s apparel exports to the EU in January-November of 2024 increased by 2.53 per cent, outperforming the global average of 0.34 per cent, mainly due to the consistent growth of past three months on the market.
It increased to 16.72 billion euros in the reporting period compared with those of 16.31 billion euros in the same period of 2023.
Knitwear exports to the EU during the reporting period increased by 0.89 per cent to 10.05 billion euros from 9.97 billion euros in the same period of 2023, while the woven sector saw a more substantial increase of 5.13 per cent, rising from 6.35 billion euros to 6.67 billion euros over the same period.
Data showed that the overall apparel imports by the EU from different countries in the first 11 months of 2024 slightly increased by 0.34 per cent to 78.60 billion euros from 78.33 billion euros in the same period of the previous year.
Bangladesh remained the second-largest apparel exporter to the EU after China, supported by its cost competitiveness and increased focus on sustainability, exporters said.
China retained its position as the EU’s largest apparel exporter in the first 11 months of 2024, with exports rising by 1.19 per cent to 22.11 billion euros from 21.85 billion euros in the same period of 2023.
China’s knitwear exports to the EU in the period grew by 3.67 per cent while woven garments saw a slight decline of 1.31 per cent.
The EU’s apparel imports from Turkey in the first 11 months of 2024 declined by 6.99 per cent to 8.60 billion euros from 9.24 billion euros in the same period of 2023.
The EU’s apparel imports from India increased by 0.70 per cent to 3.91 billion euros in January-November of 2024 compared with those of 3.88 billion euros in the same period of the preceding year.
Vietnam’s apparel exports to the EU in the first 11 months of 2024 grew by 2.87 per cent to 3.63 billion euros from 3.53 billion euros in the same period of 2023.
Cambodia and Pakistan emerged as strong performers in exporting readymade garments to the EU during the January-November period of 2024, driven by significant growth in both the knitwear and woven segments.
The EU’s apparel imports from Cambodia in the first 11 months of 2024 increased by 19.94 per cent to 3.58 billion euros compared with those of 2.99 billion euros in the same period of the previous year.
Pakistan’s apparel exports to the EU increased by 11.16 per cent to 3.20 billion euros in January-November of 2024 compared with those of 2.88 billion euros in the same period of 2023.
Despite a downward trend in the capital market, the textile sector thrived today as investors were more active in this sector.
The textile sector accounted for 15.5% of the Dhaka Stock Exchange’s (DSE) total turnover on the day. Besides, investors received the highest return from this sector.
Five textile firms made it to the top gainers list on the Dhaka Stock Exchange (DSE) on the day, with Malek Spinning leading the pack with a 9.66% gain.
The other top gainers included Mithun Knitting, Alltex Industries, Paramount Textile, and Envoy Textile, reflecting strong investor interest in the sector.
Market insiders said a number of companies revealed their financial statements for the first half of this fiscal year, where they posted robust growth in revenue and profit.
However, the benchmark index DSEX of the DSE extended its losing streak for the second consecutive day. On the day, the DSEX declined by 10 points to close at 5,166, while the blue-chip DS30 fell by 6 points to settle at 1,913.
Market performance was mixed, with 105 stocks advancing, 204 declining, and 89 remaining unchanged.
Investor participation remained subdued, with the daily turnover at the DSE dragging down to Tk356 crore from Tk413 crore in the previous session.
EBL Securities, in its daily market review, said the benchmark index of the capital bourse failed to stay afloat in the final session of the week amid stagnancy in trade turnover due to continued profit-booking sell pressure as investors remained wary of the market’s momentum due to the persistent volatility pervading the trading board.
Despite a somewhat upbeat start in the first hour of today’s session, cautious selling by investors dragged the market into the red trajectory again, which pushed the majority of scrips to extend corrections for two consecutive sessions, it added.
Oimex Electrode was the top loser, with its share price dropping 9.30%, followed by Phoenix Finance, ADN Telecom and National Tubes.
Oimex Electrode was the top-traded stock in terms of value. Its shares worth Tk22 crore were traded, followed by Malek Spinning and ADN Telecom.
Bangladesh is likely to face more hurdles in the race to grab a bigger share of the global apparel market as the Indian government plans to step up its financial assistance to garment exporters.
The Indian government’s confidence that it could capture a bigger slice of the $800 billion global market was renewed when it noticed that some work orders had been shifted away from Bangladesh and arrived at its doors last year.
A few international clothing retailers and brands opted to shift work orders away from Bangladesh as local exporters were facing challenges in timely production, shipment, raw material imports and transportation owing to political turmoil as a result of the student-led mass uprising in July.
The impasse, which began in July and ended with the ouster of the Sheikh Hasina-led Awami League government on August 5 last year, left exporters with their hands tied.
A brief period of instability in the immediate aftermath, which featured spates of labour unrest and closure of a significant number of factories for two to three months, only added to those woes.
A crippling energy crisis, which has prevailed over the last two years, also left many big units operating below capacity.
Moreover, the timing of the “July Revolution” could not have been worse for the garments sector.
July, August, September and October, also represent the peak time for both production and shipment of goods meant for Christmas sales in the Western market, the most important sales season.
This meant local exporters faced tremendous pressure to transport and ship goods. Those who could decide to opt for the expensive route of air shipments, if only to meet deadlines.
Data shows that Bangladesh’s exports to major markets are declining as retailers and brands seek alternative destinations while apparel shipments from India, especially to European countries and the US, have been on an upward trend.
Bangladesh’s garment exports to the US fell 0.46 percent to $6.7 billion between January and November last year while India’s rose 4.25 percent to $4.4 billion, data from the US Office of Textiles and Apparel showed.
On a brighter note, local exporters say that work orders that had shifted away from Bangladesh to other countries, especially to India, are now coming back as normalcy has started to restore in industrial hubs and the law and order is gradually improving.
However, the Indian government, which has been providing plenty of financial incentives to its apparel sector for a long time, is keen to capitalise on the opportunity.
Currently, there are some major government schemes to improve the Indian textile sector, which employs an estimated 45 million people. These include various funds, including those for technology upgradation, skills development, capacity building, and infrastructure and power development. Alongside that, there are production incentives and facilities that provide remission of duties.
Yet, Mithileshwar Thakur, secretary general of India’s Apparel Export Promotion Council, told Reuters last week that exporters were finding it difficult to meet the rush of orders in the last few months.
As such, the country has lined up some new initiatives to facilitate garment manufacturers and exporters in the upcoming budget for FY26, which will be placed in parliament soon.
For example, the government is considering increasing the textile ministry’s budget allocation by 10-15 percent from the current 44.17 billion rupees ($511 million), a government source privy to discussions told Reuters.
The Indian government may also raise the allocation for production-linked incentives for the textile sector to around 600 million rupees from 450 million rupees for the current fiscal year, the source told Reuters.
Under this scheme, the government offers tax incentives and other concessions to companies choosing to manufacture locally.
Tariff cuts on raw materials such as polyester and viscose staple fibre, along with textile machinery, are also under consideration, a second government source told Reuters.
Import tariffs are currently in the range of 11-27 percent on fibre, compared to almost zero in Bangladesh, impacting Indian garment exporters, Reuters said.
Requesting anonymity, a high-end European garment retailer that has been sourcing products from Bangladesh for many years said a few work orders had shifted from Bangladesh to India due to the recent political instability.
“They said they could feel the uncertainty and instability,” the retailer said, hopefully adding that those buyers would return with work orders if they felt that the political situation had stabilised.
On the other hand, Bangladesh has cut export subsidies for almost all sectors to reduce pressure on state coffers and encourage exporters to prepare to compete on the global stage without state support after the country graduates from least developed country (LDC) status in 2026.
In FY24, the Bangladesh government provided cash assistance ranging from 1 percent to 15 percent on export earnings to sharpen the competitive edge of local exports on the international market, which represented a 5 percent slash from the previous highest rate of 20 percent.
The benefit only shrunk further in FY25, with the maximum rate being set at 10 percent and the minimum at 0.3 percent, the Bangladesh Bank said in a notice. Moreover, benefits under the Export Development Fund (EDF) have also been slashed despite rising costs of production.
Currently, Bangladesh is the second-largest global garment exporter after China, grabbing 7.4 percent of the market share and exporting $38 billion worth of items, according to data from the World Trade Organization (WTO). As per the data, India is fifth-largest, shipping $15 billion of items to claim a 3 percent market share.
Faruque Hassan, a former president of the Bangladesh Garment Manufacturers and Exporters Association (BGMEA), said the shifting of work orders from Bangladesh to India happened mainly due to the political crisis.
However, he also believed that the anticipated imposition of high tariffs on Chinese goods by the Trump Administration in the USA may have also played a role for the rise in work orders in India.
A lot of work orders are shifting from China to other countries as there is a possibility that the US will levy higher duties on Chinese imports, he explained, adding that Bangladesh was also a beneficiary of the development.
Even two years ago a lot of work orders were shifted to Bangladesh from India, Pakistan, Myanmar and Ethiopia because of better prices and quality and catering capacity in a better business environment.
Hassan also reminded that international retailers and brands do not want to put all their eggs in one basket.
He also backed the local sector, saying local exporters faced tremendous pressure last year but are still performing well because they have a higher installed capacity for both garment and primary textiles.
Moreover, the international retailers and brands have confidence in Bangladesh because the country has demonstrated its capacity to cater to large volumes of work orders, Hassan added.
Moreover, Bangladesh has diversified and a significant amount of exported items are now high-end value-added items, which attracts retailers and brands.
Due to such factors, Bangladesh’s export trend is now on an upward trajectory, with garment exports growing since June, when it recorded a sharp year-on-year drop of 10.48 percent to $2.97 billion.
Garment exports began to recover by July, growing 2.89 percent to $3.17 billion, according to data from the Export Promotion Bureau (EPB). This steady rise continued as exports grew 7.20 percent to $3.32 billion in August and 14.6 percent to $3.01 billion in September.
The largest recent increase was seen in October, when exports jumped 22.80 percent to $3.29 billion, but steady growth is continuing. Garment exports grew 16.25 percent to $3.30 billion in November and 17.45 percent to $3.77 billion in December.
So, the export trend suggests that Bangladesh has been performing well despite the odds.
Former BGMEA President Hassan also added that India has not only been providing financial assistance but has also launched an aggressive marketing drive to grab more of the global market.
For example, the country is arranging a mega-expo called “Bharat Tex 2025” in Delhi in February this year. It will be India’s largest textile expo and will be designed to attract more buyers and business.
Selim Raihan, a professor of economics at the University of Dhaka and executive director of the South Asian Network on Economic Modeling (Sanem), said it is true that some work orders have shifted from Bangladesh to India because of the political crisis.
However, he added that the Indian government has been trying to increase apparel exports for many years but has not performed well since its labour laws are more stringent and wages are higher compared to Bangladesh.
In India, labour unions are also strong, he explained.
He also added that the incentives that the Indian government is planning to offer to exporters must comply with WTO guidelines. Otherwise, the competitor countries will protest, he said.
Bangladesh exported $7.2 billion worth of garments to the US, its single largest export destination, in 2024, according to data from the Export Promotion Bureau (EPB).
The US accounted for 18.72 percent of Bangladesh’s total garment exports last year.
The European Union remained the dominant market, accounting for 50.34 percent of total RMG exports, which amounted to US $19.37 billion.
In 2024, Bangladesh’s Ready-Made Garment (RMG) exports totalled US $38.48 billion.
The UK contributed US $4.3 billion, representing an 11.25 percent share.
Within the EU, key markets included Germany, which imported US $4.83 billion, followed by Spain with US $3.42 billion, and France with US $2.14 billion.
Additionally, exports to Canada reached US $1.24 billion, accounting for 3.23 percent of the market.
Bangladesh is also making notable progress in non-traditional markets like Japan and Australia, reflecting efforts to diversify.
Non-traditional markets contributed US $6.33 billion, or 16.46 percent of total RMG exports.
Among these markets, Japan led with US $1.12 billion, followed by Australia at US $831 million, India at US $606 million, Turkey at US $426 million, and Russia at US $343 million.
Bangladesh’s garment exports to the European Union grew by 2.99 percent year-on-year to $18.15 billion in the January to November period of 2024.
In terms of volume, apparel shipments to the EU increased by 8.22 percent.
However, the unit price of garments experienced a 4.83 percent year-on-year decline during the 11-month period, offsetting the gains and highlighting the challenges of maintaining profitability amid a downward price trend.
Overall EU imports, standing at $85.36 billion during this period, saw a modest 0.86 percent rise in value but a substantial 8.04 percent increase in volume, according to data from Eurostat.
In this context, Bangladesh outpaced the EU’s overall import growth.
Meanwhile, Eurostat data revealed a significant 6.65 percent drop in the average unit prices of garments shipped to the EU.
This downward price pressure significantly impacted major sourcing countries, including Bangladesh.
One key competitor, Cambodia, outshone Bangladesh by posting an exceptional 20.66 percent growth in exports to the EU, although the total volume remained lower at $3.88 billion.
In the 11 months to November last year, China’s garment exports to the EU grew by 1.85 percent to $24.04 billion, while India’s exports increased by 1.05 percent to $4.23 billion.
RMG export to EU falls
Pakistan’s shipments rose by 11.69 percent to $3.47 billion, and Vietnam’s exports grew by 3.46 percent to $3.94 billion, demonstrating stronger performance.
Turkey and Indonesia, on the other hand, experienced declines in export value, underscoring the intense competition in the sector.
Bangladesh’s apparel exports to the European Union grew 24.09%, reaching €1.53 billion ($1.57 billion) in November last year, primarily driven by easing inflation and declining interest rates in Western countries.
Driven by rising demand in the European market, apparel shipments showed consistent growth for four months through November, according to data from Eurostat, the statistical office of the 27-nation bloc.
In the first 11 months of 2024, six months recorded positive growth, including four months with double-digit increases ranging from over 20% to nearly 34%, while the remaining five months saw negative growth in apparel exports.
Thanks to rising demand, apparel shipments to Bangladesh’s largest single destination grew by 2.53% between January and November, surpassing the global average growth of 0.34%.
Exports in the four months reached €16.72 billion, up from €16.31 billion in the equivalent period of 2023. Knitwear exports rose by 0.89% to €10.05 billion, while the woven sector saw a more significant increase of 5.13%, rising from €6.35 billion to €6.67 billion, according to Eurostat.
Apparel exporters attributed the growth to easing inflation and declining interest rates in Western countries, particularly in EU nations, which boosted global demand for apparel. They also noted an increase in orders for higher-value-added products from Bangladesh.
Exporters also expressed optimism about a steady flow of orders, adding that improved law and order could attract even more global business to Bangladesh.
A strong recovery from August to November 2024 was driven by heightened demand during the EU’s peak retail season.
Speaking with The Business Standard, Abdullah Hil Rakib, managing director of Team Group, said the EU’s growth in apparel imports is tied to its economic recovery from the effects of ongoing wars and inflation.
He credited Bangladesh’s apparel export growth to the 27-naiton trading bloc to several factors, including the shift of some orders from China due to trade tensions, which has benefited Bangladesh.
Rakib expressed optimism about maintaining this momentum in the coming months, provided the government ensures adequate power and energy supplies alongside proper policy support.
He urged the government to prioritise law and order, pointing out that extortion in many industrial areas has become a significant challenge for businesses.
Expressing concern over recent proposals to increase energy prices and potential hikes in labour wages, the entrepreneur warned of their implications for exporters.
“If the government does not revise these proposals, it will result in higher overall production costs, further diminishing our competitiveness in the global market,” said Rakib, who is also a former senior vice president of Bangladesh Garment Manufacturers and Exporters Association.
Bangladesh remains 2nd-largest RMG exporter to EU
The Eurostat data showed that overall apparel imports by EU countries from the global market in the first 11 months of 2024 slightly increased by 0.34%, reaching €78.60 billion, compared to €78.33 billion in the equivalent period last year.
Bangladesh remained the second-largest apparel exporter to the EU after China, supported by its cost-effectiveness and increasing focus on sustainability, according to exporters.
China retained its top position, with exports rising by 1.19% to €22.11 billion from €21.85 billion in the first 11 months of 2023.
China’s knitwear exports to the EU grew by 3.67%, while woven garment shipments saw a slight decline of 1.31%.
The EU’s apparel imports from Turkey between January and November declined by 6.99% to €8.60 billion, down from €9.24 billion a year ago.
The EU’s apparel imports from India increased by 0.70% to €3.91 billion, compared with €3.88 billion a year earlier.
Vietnam’s apparel exports to the EU grew by 2.87% to €3.63 billion, up from €3.53 billion the year before.
Cambodia and Pakistan emerged as strong performers in exporting ready-made garments to the EU during the January–November period, driven by significant growth in both the knitwear and woven segments.
The EU’s apparel imports from Cambodia increased by 19.94% to €3.58 billion, compared with €2.99 billion in the first 11 months of last year.
Pakistan’s apparel exports to the EU increased by 11.16% to €3.20 billion, up from €2.88 billion a year ago.
The export of ready-made garment (RMG) products from Bangladesh to non-traditional market destinations reached $6.33 billion in 2024, according to data from the Export Promotion Bureau (EPB).
The data was compiled by the Bangladesh Garment Manufacturers and Exporters Association (BGMEA).
The exports to the nontraditional market made up a significant 16.46% of Bangladesh’s total RMG exports in 2024.
According to EPB data, Bangladesh exported apparel items worth $38.48 billion to their global export destinations in 2024. The earnings from woven were $17.95 billion, and from knitwear were $20.52 billion.
Bangladesh’s primary export destinations include the US, Canada, the UK, and EU countries, which are known as traditional markets, while other countries are considered non-traditional markets.
Japan, Australia, Russia, India, China, South Korea, UAE, Malaysia, Brazil, Mexico, others are major destinations from the non-traditional side.
The EPB data showed that of the $6.33 billion in export earnings, $3.10 billion were from woven items, and $3.22 billion were from knitwear.
Japan was the top destination for Bangladeshi RMG products, as the exporters shipped apparel items worth $1.11 billion. This was followed by Australia, India, and South Korea, where Bangladesh exported items worth $830.96 million, $606.54 million, and $445.78 million, respectively.
Moreover, export earnings from Turkiye, Mexico, the United Arab Emirates, and China stood at $425.95 million, $325.42 million, $244.44 million, and $216.66 million, respectively, in 2024.
In 2024, the European Union remained the largest destination for Bangladeshi apparel exporters. The country shipped apparel items worth $19.37 billion, which was 50.34% of the total RMG exports.
The major destinations in the EU markets were Germany, Spain, France, the Netherlands, Poland, Italy, and Denmark, where the Bangladeshi RMG manufacturers exported apparel items worth $4.83 billion, $3.42 billion, $2.13 billion, $1.95 billion, $1.65 billion, $1.51 billion, and $1.09 billion, respectively.
Bangladesh shipped apparel worth $7.20 billion to the USA, the largest single destination for the country’s apparel, in the last year. The US market covered 18.72% of the total apparel exports.
Moreover, the EPB data added that in 2024, Bangladeshi manufacturers exported RMG products worth $4.33 billion to the UK, which was 11.25% of the total export earnings from RMG exports.
Canada’s export earnings were $1.24 billion in 2024, which was 3.23% of the total earnings from apparel exports.
According to EPB data, Bangladesh earned $35.89 billion by exporting readymade garments to its global destinations.
Meanwhile, EPB initially reported that Bangladesh exported apparel items worth $47.39 billion in 2023. However, in June 2024, a significant discrepancy was found among the export data of the EPB, Bangladesh Bank, and NBR.
To reconcile the discrepancies in reporting export earnings, the EPB prepared the data based on real-time shipment data as per NBR Asycuda World, and export earnings stood at $35.89 billion in 2023.
Mohiuddin Rubel, former director of the BGMEA, believed the Bangladesh RMG industry had the potential for qualitative changes as it diversified product lines and explored new markets.
He also said that if they target these nontraditional markets, they must observe product trends and produce accordingly.
“Development of infrastructure that meets product demand requires enhanced R&D,” he added, saying that they have to come out of the traditional way to grab non-traditional markets.
Moreover, the exporters said that diversification, manmade fibre, resolving NBR-related issues, and signing FTAs and PTAs would help them grab non-traditional markets.
The manufacturers are confident of getting orders as the country has the safest RMG sector and the highest number of green factories in the world, according to industry insiders.
Moreover, industry insiders said that achieving sustainable improvements in industrial relations and establishing stable political and economic reforms are essential for restoring confidence as they dedicate themselves to the immediate future.
The garment industry, a crucial driver of Bangladesh’s export economy, is currently grappling with a series of challenges that have led to a significant downturn. In the past year, at least 76 garment factories have shut their doors, pushing over 50,000 workers, predominantly women out of jobs. Industry experts warn that the situation may worsen, with more closures on the horizon.
SM Fazlul Haque, the former president of the Bangladesh Garment Manufacturers and Exporters Association (BGMEA), highlighted the dire circumstances facing the sector. “The garment industry is in distress. Aside from a handful of factories, most are struggling to turn a profit. The longer the machines operate, the greater the financial burdens become. If this trend continues, we will see even more factories go under,” he remarked.
Several factors have contributed to this crisis, including a downturn in international garment prices, which has placed financial strain on factory owners. European Union buyers have reduced their prices for Bangladeshi garments by 5 per cent, while US buyers have slashed prices by 8 per cent. Additionally, overall export orders fell by 3 per cent last year, further complicating the situation for manufacturers.
Haque pointed to a range of issues exacerbating the crisis, such as soaring bank loan interest rates, the depreciation of the Bangladeshi taka against the US dollar, increased raw material import costs, gas shortages, rising GATT tariffs, and unreliable electricity supply. He noted that the sector faced significant disruptions following the government upheaval in July-August when internet services were suspended.
Despite these challenges, Bangladesh’s garment sector achieved exports totaling $38.48 billion in 2024, with knitwear contributing a substantial portion—$20.52 billion—while woven products accounted for $17.95 billion. The BGMEA oversees 2,564 factories, including more than 600 located in export processing zones, but the closure of 76 factories affiliated with BGMEA this year underscores the urgent need for intervention.
Haque underscored the importance of political stability for industrial growth, stating, “A stable government is vital for advancing the country’s industries. We need new leadership to address the ongoing crisis in the industrial sector.”
In 2024, Bangladesh’s ready-made garment (RMG) exports reached an impressive US $ 38.48 billion, reflecting the sector’s robust performance. The European Union continued to be the largest market for Bangladeshi garments, accounting for 50.34 per cent of total exports, which amounted to US $ 19.37 billion.
Following the EU, the United States was the second-largest market, importing RMG products worth US $ 7.2 billion, or 18.72 per cent of the total. The United Kingdom contributed significantly as well, with exports reaching US $ 4.3 billion, making up 11.25 per cent of the overall figure. According to Mohiuddin Rubel, a former director of the Bangladesh Garment Manufacturers and Exporters Association (BGMEA), Germany, Spain, and France were key players in the EU market, with imports valued at US $ 4.83 billion, US $ 3.42 billion, and US $ 2.14 billion, respectively. Additionally, Canada emerged as an important market, importing US $ 1.24 billion worth of garments, representing a 3.23 per cent market share.
In a noteworthy trend, Bangladesh is making significant inroads into non-traditional markets. Exports to countries such as Japan, Australia, India, Turkey, and Russia totaled US $ 6.33 billion, accounting for 16.46 per cent of total RMG exports. Japan led this group with US $ 1.12 billion in exports, followed by Australia at US $ 831 million, India at US $ 606 million, Turkey at US $ 426 million, and Russia at US $ 343 million.
This strategic expansion into non-traditional markets is enhancing the diversity of Bangladesh’s export portfolio and bolstering the resilience of its RMG industry on the global stage.
