Bangladesh’s ready-made garment industry is facing a challenging period as exports to both traditional and non-traditional markets have declined during the first eleven months of FY2025-26. According to Export Promotion Bureau (EPB) data, total RMG exports fell by 3.41 % year-on-year to $35.31 billion during the July-May period.
Particularly concerning is the 5.95 % decline in exports to non-traditional markets, which dropped to $5.68 billion. At the same time, exports to the European Union, Bangladesh’s largest apparel destination, fell by 4.88 %, while shipments to the United States remained almost stagnant.
To overcome this slowdown, the industry must focus on several strategic priorities.
First, Bangladesh should accelerate market diversification efforts in regions such as the Middle East, Japan, South Korea, Australia, Latin America, and emerging African economies. These markets offer long-term growth opportunities and can reduce dependence on traditional buyers.
Second, manufacturers need to move beyond basic apparel products and invest in high-value segments, including technical textiles, sportswear, performance wear, workwear, outerwear, and sustainable fashion products. Value addition can help increase export earnings even when order volumes remain under pressure.
Third, sustainability should be transformed into a stronger commercial advantage. With Bangladesh hosting the world’s largest number of LEED-certified green garment factories, the industry is well-positioned to attract brands seeking low-carbon and environmentally responsible sourcing partners.
Fourth, digital transformation, automation, artificial intelligence, and advanced manufacturing technologies can improve productivity, reduce costs, and enhance competitiveness against rival sourcing countries.
Finally, stronger branding of “Made in Bangladesh” as a sustainable, reliable, and innovative sourcing destination will be essential for winning new buyers and expanding market share globally.
Despite current challenges, Bangladesh’s RMG sector remains one of the most resilient export industries in the world. With strategic investments in diversification, sustainability, innovation, and product upgrading, the sector can regain growth momentum and move closer to its long-term vision of achieving $100 billion in apparel exports.
