Bangladesh expects a 20 per cent fall in apparel exports for October 2022. The country’s apparel exports fell seven per cent in September 2022. Already in the first 20 days of October 2022 Bangladesh’s garment exports fell by 18 per cent.

Among the reasons are the war-related crisis, the global economic turmoil, and a record inflation affecting retail businesses.A number of global brands are suffering from a decline in sales and unsold stocks, compelling many to halt current orders and production at the manufacturers’ end.

Domestic issues like power rationing, load shedding and a severe gas crisis have also impacted the sector.The downtrend is expected to continue for the coming months as the global retail market is disrupted by many challenges like the anticipated recession in the global economy, which is halting retail sales and demand for clothing.

Rising fuel prices and inflation have cut consumers’ purchasing power in European countries and decreased the demand for clothing products.The inflation rate in the European Union (EU), the largest destination of Bangladesh’s apparel items, reached nine per cent in September 2022. European shoppers are expected to reduce their Christmas purchases by up to 22 per cent, which will disallow the top brands, importers of Bangladesh’s apparel products, to clear their whole stock.