Although apparel exports have declined in some major European markets, the sector has maintained good growth in non-traditional markets. In the fiscal year 2022-23, the country’s garment exports to non-traditional markets increased by 31.38 percent. This information is known from the sources of Bangladesh Garment Manufacturers and Exporters Association (BGMEA) and Export Development Bureau (EPB)
According to EPB data, apparel exports to the European Union (EU) in the fiscal year 2021-22 were $21.40 billion. In FY 2022-23, it increased by 9.93 percent to $23.52 billion. Apparel exports to Spain, France, Italy, Denmark and the Netherlands were $3.37, $2.94, $2.27, $1.28 and $1.85 billion respectively.
However, at the same time, our apparel exports to some of the major markets in the EU region, such as Germany and Poland, have declined significantly. Apparel exports to Germany in the recent fiscal year were $6.68 billion, which is 6.81 percent less than the previous fiscal year. At the same time, Poland’s clothing export income decreased by 13.66 percent to $1.73 billion, while it was $2.0 billion in the previous fiscal year.
Bangladesh’s top apparel export market is the United States, with garment exports worth $9.01 billion in fiscal year 2021-22. In the fiscal year 2022-23, it decreased by 5.51 percent to $8.51 billion. However, during the same period our exports of ready-made garments to UK and Canada increased by 11.78 percent to $5.1 billion and 16.55 percent to $1.54 billion respectively.
During the period under review (FY 2022-23), apparel exports to non-traditional markets achieved a growth of 31.38 percent. Among major non-traditional markets, exports to Japan, Australia and India crossed the one billion dollar milestone.
Apparel export to India was $1.01 billion, 41.6 percent up from the previous fiscal year. Japan is the largest non-traditional market. Exports to the country increased by 45.6 percent to $1.6 billion from $1.1 billion in the last fiscal year. Exports to Australia also increased by 42.5 percent to $116 million, compared to $81 million in the previous fiscal year.
The non-traditional market share in total apparel exports increased by 17.82 percent in FY 2022-23. In the financial year 2021-22, the growth rate was 14.96 percent.
According to EPB data, Bangladesh’s overall apparel exports grew 10.27% year-on-year to $46.99 billion in FY23, compared to $42.61 billion in FY22. Export earnings from the apparel sector contributed 84.59% to the country’s total export earnings worth $55.55 billion in the recently concluded fiscal year of FY23.
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