TBT DESK: Bangladesh's Ready-made Garment (RMG) exports have experienced a moderate growth of 10.64 percent (PC) to the world and have shipped $26.79 billion worth of goods for July-February period of the current fiscal year (FY25).
According to the Export Promotion Bureau (EPB's) recently published country-wise export data for the July-February period of FY25, the European Union continues to be a pivotal market which represents 50.10 percent of Bangladesh's total RMG exports, with a total value of $13.42 billion.
Exports to the United States reached $5.06 billion, representing 18.91 percent of the total share while Canada totaled $845 million with a 3.16pc market share, and the UK market was also important, with exports worth $2.93 billion, which is 10.94pc of Bangladesh's total RMG exports during the specified period.
Regarding growth, Bangladesh's RMG exports to the EU grew by 11.53 percent year-over-year, with the USA demonstrating a strong increase of 16.38 percent and Canada registering an increase of 14.12 percent.
However, RMG exports to the UK exhibited a more modest growth rate of 3.74
percent. Within the EU, Germany stood out as a significant market, with Bangladesh's exports valued at $3.38 billion, followed by Spain at $2.35 billion, France at $1.43 billion, Italy at $1.05 billion, Poland at $1.13 billion and the Netherlands at $1.43 billion.
Growth rates were especially notable in Germany (11.03pc), the Netherlands (25.06pc), Poland (12.06pc), Denmark (14.58pc), and Sweden (21.12pc). Bangladesh's RMG sector also showcased growth in non-traditional markets, with an overall rise of 6.23 percent where total exports reached $4.52 billion, capturing 16.90 percent of Bangladesh's total export, indicating potential for further expansion.
Among these markets, Japan led with imports totaling $839 million, followed by Australia at $582 million and India at $478 million.
Exports to countries such as Turkey and Mexico are significant as well, amounting to $305 million and $229 million, respectively, with a commendable growth rate of 18.58 percent by India, 25.14 percent by Mexico, and 32.20 percent by Turkey.
While growth in Japan, Australia, India, Turkey, and Mexico is positive during this timeframe, exports to Russia, Korea, the UAE, and Malaysia have diminished.
The ongoing growth in exports significantly depends on the EU and USA, which continue to be the main markets for Bangladesh, indicating further potential within these areas.
Mohiuddin Rubel, former director of BGMEA, managing director (MD) of Bangladesh Apparel Exchange and Additional MD of Denim Expert Ltd, said the moderate growth in the non-traditional market underscores the importance of further research and focus in this category as it possesses substantial growth potential which will also help to balance reliance on traditional markets.
"The persistent global trade tensions are constantly reshaping the global environment, creating opportunities that Bangladesh could take advantage of, assuming we have the required productive capacity," he added.
Simultaneously, Rubel said there should be a dedicated emphasis on investing in backward linkages to bolster and enhance the RMG sector's competitiveness and growth potential, as remaining competitive throughout is always essential.