Bangladesh's export-based apparel makers have struggled with declining profits due to rising production costs despite the depreciation of the local currency against the US dollar.

Energy costs, labor expenses, and raw materials are major ingredients for manufacturers, and their prices have increased in Bangladesh. The country's energy costs have surpassed those of many other countries, including India, due to the government's hike in the prices of diesel, kerosene, petrol, and octane. Transportation costs also increased with the rise in fuel prices, which offset the benefits of the currency depreciation.

Although the currency depreciation increased competitiveness for exporters, those whose raw materials needed to be imported and whose domestic value addition was low experienced relatively lower benefits.

However, Bangladesh's export earnings have remained strong due to the shifting of orders from China, and the country has established itself as a reliable supplier in the global market.