Bangladesh's exports to China hit a three-year low of $677 million in the last fiscal year, with 2022-23 receipts being the lowest in a decade, according to data from the Export Promotion Bureau (EPB). Entrepreneurs struggled to benefit from duty advantages offered by China, while a limited product range hindered trade.
FY23 exports dropped 1% to $683 million, with the garment sector facing tough competition from China and other countries like Vietnam and India.
Despite challenges, opportunities exist in leather goods, IT services, and marine products, including fruits like mangoes. Bangladesh's trade imbalance with China widened as imports reached $19 billion, prompting efforts to attract Chinese firms for manufacturing.
Chinese companies focusing on their domestic market created opportunities for Bangladesh's apparel industry to explore other markets. However, price and compliance issues persist, and the lack of raw materials and intermediate goods from India further hampers exports.
To improve prospects, Bangladesh needs to enhance capacity in exporting items China imports, and compliance rules post-Covid-19 affected live fish and crab exports. EPB actively shares outcomes with higher authorities to address the export decline.
