Apparel sector, the lifeline of Bangladesh economy, has registered a 21.72% growth to over $3 billion in export earnings in July, the first month of the current fiscal year.
According to Export Promotion Bureau (EPB) released on 13 August, in July Bangladesh has earned $3.01 billion, up by 21.72%, which was $2.47 billion in the same period last year.
As per the latest data, of the total amount, Knitwear products fetched $1.53 billion, which is 20.88% higher than the $1.26 billion in the same period a year ago. Woven products earned $1.50 billion, up by 22.59%, compared to $1.21 billion a year ago.
Talking to Textile Today, exporters credited safety improvement at workplace and stability in the country. They also expressed hope of reaching the export target as Bangladesh is now a safe workplace and moving towards value-added products.
With a 6.78% growth projection, Bangladesh government hast set exports target of $32.69 billion for the apparel sector.
The growth is very inspiring for the country as well as exporters. This indicates that Bangladesh now has enough capacity to attract buyers and executes bulk amount of work orders, Exporters Association of Bangladesh (EAB) President Abdus Salam Murshedy said the Textile Today.
On the other hand, in July Bangladesh executed more shipment, which was delayed due to vacation on the occasion of Eid-ul-Fitr in June, which expedited the export growth, said Salam, a Former President of Bangladesh Garment Manufacturers and Exporters Association (BGMEA).
Due to safety improvement in the RMG sector, buyers’ confidence on Bangladesh has increased. As a result, work orders have shown a continuous rise in last few months, BGMEA senior vice president Faruque Hassan said.
As manufacturers are ready to welcome the buyers with compliance and environment-friendly factory, in the current fiscal, export earnings will see share rise in growth, said Faruque.
He urged the government to increase the efficiency of ports so that Bangladesh can handle a large number of work orders effectively.
Stakeholders urged the government to ensure smooth supply of gas and electricity for uninterrupted production. They also called for effective measures for better infrastructural development as it will help to reduce lead-time.
In the FY 18, Bangladesh’s export earnings from the RMG sector stood at $30.61billion, posting 8.76% growth.
Of the total amount, Knitwear products earned $15.18 billion, which is 10.40% higher than the $13.76 in the same period a year ago. Woven products earned $15.42 billion, up by 7.18%, compared to $14.39 billion a year ago.
Meanwhile, Bangladesh’s export earnings rose by 5.8% to $36.66 billion in the last fiscal year, while the country earned $34.65 billion from exports in FY17.