Led by a recovery in demand in Western economies, Bangladesh’s garment exports surged by 15 per cent to $38.76 billion in the financial year ended June. The country’s garment exports rose 13 per cent to $31.5 billion in 2020-21 from a year earlier, thanks to a 21 per cent surge in overseas sales of knitwear products such as T-shirts and sweaters. However, exports remained 7 per cent below the pre-pandemic period of 2018-19 financial year, as per the Export Promotion Bureau.

Sales of woven garments, such as formal denim shirts and pants, rose by 3 per cent owing to tepid demand caused by more people working from home and avoiding social gatherings. Led by more orders from the US and Europe, Bangladesh’s garment exports grew at a record pace of 31 per cent in June to $3.58 billion. Garment industry leaders say they expect exports to increase but are concerned about rising freight and raw material costs. These could hamper the country’s apparel exports, says Shahidullah Azim, Vice President, Bangladesh Garments Exporters and Manufacturers Association (BGMEA).

Bangladesh is currently battling a record spike in COVID-19 cases, prompting the government to extend its strictest lockdown to July 14. Garment factories, however, are allowed to operate observing health protocols.