Bangladesh’s garment exports to the US and the EU increased between July and October of the current fiscal year compared to the corresponding period of the last fiscal year. Bangladesh has two main export destinations for garment and its products -- the US, which accounts for 24 per cent of the shipments, and the European Union (EU), which accounts for 64 per cent.

The country’s garment shipments have continued to attain impressive recovery, largely driven by volume, as the price hike rate has been very low, with normalcy restoration in the global supply chain from the pandemic's severe fallout. A new study by the Centre for Policy Dialogue (CPD reveals the volume-driven export growth has had important consequences for bottom tier entrepreneurs and their falling profit margins. The rise in productivity is not being realised through higher prices, although it is helping Bangladesh's apparels remain competitive. In the US market, the 23.8 per cent growth in export earnings was mostly driven by volume, which rose by 19.8 per cent, whereas in contrast the rise in price per dozen was a mere 3.3 per cent. Export earnings from the EU rose 8.9 per cent against the backdrop of a rise in volume of 7.9 per cent as against the rise in price by an insignificant 0.9 per cent.