Bangladesh’s apparel exports fell 12 per cent in the first 18 days of September 2022. Due to high inflation and increased bank interest rates in export destinations, a number of buyers are going slow in terms of placing new orders over the last two months even if some of them are also asking to hold shipments as a result of which apparel shipments have taken a hit. Due to reduced consumer demand, a number of retailers have already cancelled some orders even if some buyers are requesting exporters to delay shipments or suspend orders.

However, Bangladesh’s denim exports to the US in the first seven months of 2022 rose by 46 per cent. In 2021, Bangladesh became the top denim exporter to the US for the second consecutive year. Currently, Bangladesh holds a 22 per cent market share of the US denim market. Bangladesh’s denim sector has improved a lot with huge investments in denim processing plants. The fabric used to be imported but now about 60 per cent is being sourced from domestic suppliers. A number of state-of-the-art fabric mills were established in the country due to the positive growth of denim. Bangladesh’s manufacturers now produce high-end products.