Bangladesh’s apparel exports grew by three per cent in October 2022 compared to October 2021. However, earnings went down seven per cent.

The sector experienced a decline in orders of 25 per cent to 30 per cent due to inflation in the destinations, overstock and global economic turbulence.Just when the country’s export-oriented readymade garment industry was recovering from the effects of pandemic lockdowns, the Russia-Ukraine war has plunged the industry deeper into multiple crises. Rising energy prices are eroding the purchasing power of European consumers who are now spending more on daily necessities as opposed to fast fashion.

European shoppers are likely to reduce their Christmas purchases and this will prevent importers of Bangladesh apparel products to clear their whole stock. Buyers have been withholding orders for the last few months. Due to the recession in the US, Canada, and Europe, customers there are unable to buy like before, as their purchasing power has decreased because of inflation, energy crisis and also a possible food crisis.If Christmas salesdon’t reach targets, brands won't be able to order the product for the next season, which will again have a negative impact. Europe and the UK are the prime destinations of Bangladesh’s apparel exports.