Garment export prices and volumes from Bangladesh to the US declined in the first 10 months of 2024, reflecting persistent inflationary pressures and domestic challenges. According to the US Office of Textiles and Apparel (OETXA), prices of key apparel items, such as men’s cotton woven trousers and women’s cotton woven trousers, dropped by 7.7% and 4.4%, respectively, alongside declines in other categories like shirts and sweaters.
Bangladesh’s garment shipments to the US fell by 3.33% year-on-year to $6.14 billion during this period, while the US’s overall apparel imports decreased by 0.33%. Despite these challenges, Bangladesh retained its position as the third-largest garment supplier to the US, behind China and Vietnam.
Several factors contributed to this downturn, including domestic labor unrest, production delays, and a sharp depreciation of the Bangladeshi taka, which lost 36% of its value against the US dollar since January 2022. Manufacturers also resorted to offering discounts and lowering prices to avoid order cancellations.
Faruque Hassan, former BGMEA president, noted that reduced import growth by US retailers also impacted Bangladesh’s exports. However, he expressed optimism about a gradual rebound in US demand. To stabilize exports, Hassan emphasized the need for uninterrupted gas and power supply and competitive pricing strategies.
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