Bangladesh’s readymade garment exports to the European Union grew by 4.86% year-on-year in 2024, reaching $19.77 billion, according to Eurostat data. However, exporters faced a decline in unit prices as the growth in export volume (10.18%) outpaced the increase in value.
Bangladesh exported 1,230 million kg of garments to the EU, up from 1,116 million kg in the previous year. However, the per-unit price dropped by 5%, falling to $16.07 per kg from $16.88 per kg in 2023. The EU’s overall apparel imports rose by 1.53% to $92.56 billion, while volume grew by 8.98%, leading to a 6.83% decline in average unit prices. Other major sourcing countries, including China, Turkey, India, Vietnam, and Cambodia, also experienced price declines.
China remained the EU’s largest apparel supplier, with exports growing by 2.61% to $26.07 billion, followed by Bangladesh, Turkey, and India.
Industry experts noted that falling unit prices pose profitability challenges, requiring strategic shifts. Factors driving Bangladesh’s export growth include value-added production, duty-free access, workplace safety improvements, and strong manufacturer-worker collaboration.
Despite fluctuations in 2024, Bangladesh experienced significant growth in the last quarter. Looking ahead to 2025, work orders are expected to rise, sustaining the growth momentum.
To maintain competitiveness, Bangladesh must focus on value addition and market diversification to protect profit margins amid global price deflation. Additionally, Bangladesh should bargain on pricing increment.
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