NewsTextiles & Apparel

10% growth in RMG export to new market though 4.97% overall growth

BTJ Desk Report
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10% growth in RMG export to new market though 4.97% overall growth

Bangladesh’s ready-made garment exports to new markets grew by 10%, totaling $7.70 billion from July to April of FY24, compared to $7 billion in the same period of the previous fiscal year. Key market growth included Japan at $1.4 billion (6.14% increase), Australia (17.18%), and South Korea (14.73%). Middle Eastern markets also showed significant increases: Saudi Arabia (58%), Turkey (54%), and the UAE (41.96%).

Overall, Bangladesh’s global exports reached $40.49 billion, up from $38.57 billion in the previous fiscal year. S M Mannan Kochi, president of the Bangladesh Garment Manufacturers and Exporters Association (BGMEA), attributed this growth to government policy support, especially cash incentives. He highlighted the importance of new market exports in sustaining growth amid slowdowns in traditional markets like the EU, USA, UK, and Canada, and urged continued government support and alternative incentives to enhance competitiveness.

Despite a 4.97% overall growth in the RMG sector during FY24, performance in some EU markets varied. Exports to the EU grew by 3.66%, reaching $19.90 billion, with significant increases in Spain (6.07%), France (3.42%), the Netherlands (17.51%), Poland (20.65%), and Denmark (32%). However, exports to Germany and Italy declined by 9.40% and 2.45%, respectively. Exports to the USA decreased by 1.90% to $6.81 billion, while exports to the UK and Canada were $4.8 billion and $1.26 million, respectively.

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