Bangladesh apparel export earnings growth achieved new heights in March 2022. Witnessing a staggering 60.15% year-on-year growth.
According to the Export Promotion Bureau (EPB) released data, Bangladesh’s readymade garment (RMG) export fetched $3.9 billion year-on-year in March.
Of the total RMG earnings, over $2.05 billion came from knitwear exports, while woven items fetched around $1.88 billion, the EPB data showed.
While, the EPB data also showed that in July to March period of FY 2021-2022, the country’s apparel exports earned $31.42 billion. With the growth of 33% in the first nine months to the present fiscal year.
In the nine months period, the RMG made up 81% of the country’s total exports earning share.
While the Home textile sector export earnings reached $1.15 billion in July to March period.
Industry experts opined that the record garment export growth provides high hopes for the near future.
On the other hand, the 51% increase in cotton prices in February pushed the yarn and fabrics prices up. While, due to the Russia-Ukraine war – freight costs also increased significantly.
Therefore net export has not improved to that degree. A bulky part of the export growth is volume-focused as countless buyers have passed on enlarged costs to RMG exporters. As a result, Bangladesh’s apparel exporters could not rise profit per unit of garments.
Faruque Hassan, President, BGMEA said to Textile Today, “This higher growth is the outcome of our continuous hard work during the pandemic time and afterward. Though there were various challenges like higher freight costs and raw material price increases – we have overcome these with our apparel diplomacy.”
“BGMEA delegation team visited buyers and brands in the USA and EU to smoothen the glitches,” President BGMEA added.
“Although the recent cotton price hike, renewed freight cost increase and the gas crisis are hurting RMG manufacturers severely,” Faruque Hassan added.