Bangladesh鈥檚 apparel exports to the European Union in September rose by 6.9 per cent year-on-year to 1.53 billion euros, up from 1.43 billion euros in the same period of 2023, driven largely by knitwear, while woven garments posted slightly slower growth.
However, Bangladesh鈥檚 apparel exports to the EU declined by 2.47 per cent to 13.43 billion euros in January-September of 2024, down from 13.77 billion euros in the same period of 2023, due to significant drops in January, February and March, according to data from Eurostat, the statistical office of the EU.
The overall apparel imports by the EU from different countries in the first nine months of 2024 decreased by 2.28 per cent to 62.86 billion euros from 64.46 billion euros in the same period of the previous year.
The data revealed that, during the period, the EU鈥檚 apparel imports from nearly all major supplier countries experienced negative growth, with the exception of that from Pakistan.
鈥榃hile global demand has been improving in recent months, Bangladesh is struggling to fully capitalise on the opportunity due to eroding competitive advantages, primarily caused by high utility prices, inadequate gas supply and the recent wage hike,鈥� said former Bangladesh Knitwear Manufacturers and Exporters Association president Fazlul Hoque.
He said that these factors had driven up production costs, contributing to the negative growth.
Fazlul, also managing director of Plummy Fashions Limited, said that while work orders had been arriving in Bangladesh in recent months, the price of apparel remained one of the major challenges for buyers.
He also said that the latest wave of labour unrest has dealt a blow to the industry, as buyers were hesitant to place orders in the industrial zones of Ashulia and Gazipur due to concerns over stability.
Although, Bangladesh鈥檚 overall readymade garment exports to the EU dropped in the first nine month of 2024, woven garment exports increased by 1.50 per cent to 5.49 billion euros in the period.
The export earnings from knitwear in January-September of 2024 dropped by 5.04 per cent to 7.93 billion euros, the data showed.聽
The Eurostat data indicated that, in September 2024, total apparel imports from Bangladesh to the EU rose by 6.9 per cent year-on-year, reflecting a strong recovery and robust demand.
Woven garment imports by the EU from Bangladesh in September of 2024 rose by 6.5 per cent year-on-year to 562.58 million euros while, while knitwear imports experienced a 7.13 per cent rise to 965.46 million euros in the period.
According to the data, the monthly RMG export trend of Bangladesh to the EU in 2024 showed fluctuations, with notable declines in the first three months of this year.
The EU鈥檚 apparel imports from Bangladesh in January registered a sharp decline of 34.03 per cent to 1.19 billion euros from 1.80 billion euros in the same month of 2023.
February followed with an 18.33 per cent drop, from 1.59 billion euros to 1.29 billion euros, while March continued the downward trend with an 8.12 per cent decrease, from 1.93 billion euros to 1.77 billion euros.
However, Bangladesh鈥檚 apparel export performance on the EU market improved in the second quarter of 2024, with a strong recovery in April, as exports surged by 29.80 per cent to 1.75 billion euros, up from 1.35 billion euros in the same month of 2023.
This positive momentum carried on into May, with a 20.74 per cent increase in importing apparel from Bangladesh by the EU, rising to 1.59 billion euros from 1.32 billion euros in the same month of the previous year.
Bangladesh鈥檚 apparel exports to the EU in June saw a slight dip of 5.88 per cent with exports falling to 1.12 billion euros from 1.19 billion euros.
In July, a minor decline of 2.67 per cent was recorded, with exports dropping from 1.61 billion euros to 1.56 billion euros.
The EU鈥檚 apparel imports from Bangladesh in August increased by 3.87 per cent to 1.61 billion euros, up from 1.55 billion euros in the same month of 2023, the Eurostat data showed.
The EU鈥檚 apparel imports from China in January-September of 2024 fell by 2.23 per cent to 17.31 billion euros from 17.71 billion euros in the same period of 2023.
The EU鈥檚 apparel imports from Turkey in the first nine months of 2024 declined by 7.13 per cent to 7.08 billion euros from 7.62 billion euros in the same period of 2023.
The EU鈥檚 apparel imports from India decreased by only 0.97 per cent to 3.39 billion euros in the first nine months of 2024 compared with that of 3.42 billion euros in the same period of the past year.
Vietnam also faced a minimal 0.33 per cent negative growth with total exports to the EU decreasing from 2.84 billion euros to 2.83 billion euros.
Pakistan鈥檚 apparel exports to the EU grew by 8.21 per cent in January-September of 2024, increasing to 2.53 billion euros from 2.34 billion euros in the same period of 2023, the Eurostat data showed.
