Bangladesh's ready-made garment (RMG) exports to key markets including the United States, the United Kingdom, and Europe experienced significant growth during the first ten months of FY25 spanning July-April 2024-25.
Compiled by the Bangladesh Garment Manufacturers and Exporters Association, data from the Export Promotion Bureau (EPB), shows, Bangladesh's RMG exports increased by 10 per cent to $32.64 billion during July-April’24-25 as against $29.67 billion recorded during the same period in FY24.
Apparel exporters attribute this sustained growth to the increasing demand from prominent brands and retailers, which has maintained momentum despite recent political instability.
Bangladesh’s largest market, EU’s RMG imports increased by 10.55 per cent to $16.25 billion during the July-April 2024-25 period. The country’s exports to the EU accounted for nearly half (49.78 per cent) of Bangladesh's total RMG earnings.
Demonstrating a stronger growth, the United States registered a 15.75 per cent rise to $6.22 billion in RMG imports from Bangladesh during the ten-month period as against $5.38 billion in the same period of FY24. Earnings from the US constituted 19.09 per cent of the total revenue.
Growth in the UK market remained modest at 3.41 percent with RMG imports from Bangladesh totaling $3.63 billion, compared to $3.5 billion in July-April FY24. Bangladesh’s exports to Canada also grew by 13.86 per cent, to $1.05 billion, as against $924.7 million in the same period last year.
Among EU nations, Germany continued to be the top destination for Bangladeshi garments, importing $4.08 billion worth of RMG products in July-April FY25. Following Germany were Spain ($2.85 billion), France ($1.78 billion), the Netherlands ($1.72 billion), Poland ($1.37 billion), and Italy ($1.27 billion). While the US, Canada, the UK, and the EU are considered traditional markets, non-traditional markets also showed positive growth, increasing by 6.25 per cent to $5.48 billion, from $5.16 billion in the FY24 period. These markets now represent 16.79 per cent of Bangladesh’s total RMG exports. Japan led the non-traditional markets with imports of $1.02 billion, followed by Australia ($688.23 million) and India ($563.81 million). Notably, exports to Turkey and South Korea also saw significant earnings, reaching $387.46 million and $369.70 million, respectively.
However, Faruque Hassan, Former President, BGMEA, cautions, growth might remain negative in the coming months due to concerns over new US tariffs, which have reportedly led to a slowdown in orders. The government needs to engage in negotiations and diplomatic efforts regarding these tariffs, he emphasizes.
Mohiuddin Rubel, Former Director, BGMEA, suggests, the ongoing global trade conflicts may present new opportunities for Bangladesh to focus on non-traditional markets, product diversification, and innovation. In FY24, Bangladesh exports RMG products worth $38.48 billion.
