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Bangladesh Garment Exports Slip To $35.3 Billion In July–May Amid Weak Global Demand

Bangladesh garment exports declined to $35.31 billion during the July–May period of FY2025-26, reflecting continued pressure on the country’s largest export sector amid cautious global buying trends and economic uncertainty in key markets. According to data released by Bangladesh’s Export Promotion Bureau (EPB), garment exports fell by 3.4% year-on-year during the first eleven months of […]

Bangladesh Garment Exports Slip
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Risk | Market ShiftBangladesh garment exports declined 3.4% due to weak global demand and economic uncertainty.

Bangladesh Garment Exports Decline: Global Demand Weakens, Diversification Critical

  • Bangladesh garment exports fell 3.4% to $35.31 billion during July-May FY2025-26, with May alone seeing an 8% decline.
  • Garment manufacturers and exporters in Bangladesh are directly impacted by reduced orders and revenue, affecting their production and profitability.
  • The decline signals potential pricing pressure, reduced production volumes, and a shift in global sourcing strategies away from Bangladesh.
  • This decline reflects a broader trend of cautious global retail buying amidst inflation and economic uncertainty, impacting major apparel exporting nations.
  • Professionals should monitor global demand recovery, explore market diversification, and invest in higher-value production to enhance competitiveness.
Affects:ManufacturersExportersDistributorsRetailersWholesalersSpinners & Yarn ProducersWeavers & Fabric MillsGarment ManufacturersSourcing ManagersImportersRaw Material SuppliersDyers & ProcessorsBrand OwnersInvestors
Bangladesh exportsGarment industryGlobal demandApparel tradeMarket diversificationEconomic uncertainty
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Bangladesh garment exports declined to $35.31 billion during the July–May period of FY2025-26, reflecting continued pressure on the country’s largest export sector amid cautious global buying trends and economic uncertainty in key markets.

According to data released by Bangladesh’s Export Promotion Bureau (EPB), garment exports fell by 3.4% year-on-year during the first eleven months of the fiscal year. Knitwear exports dropped to $18.78 billion, while woven garment shipments declined to $16.53 billion.

The slowdown in apparel exports comes as international retailers continue to place orders cautiously amid weak consumer demand, inflationary pressures, and ongoing global economic uncertainties. Industry stakeholders have pointed to subdued demand in major export destinations as a key factor behind the decline.

In May alone, Bangladesh garment exports fell by more than 8% year-on-year to $3.59 billion, contributing to a broader decline in the country’s overall export earnings. Total merchandise exports during July–May stood at $43.8 billion, down approximately 2.6% from the same period a year earlier.

Despite the challenges, the RMG sector continues to account for more than 80% of Bangladesh’s export earnings, underscoring its critical role in the national economy. However, economists and industry leaders have emphasized the need for market diversification, higher-value apparel production, and improved competitiveness as Bangladesh prepares for post-LDC trade realities.

Meanwhile, sectors such as engineering products, pharmaceuticals, and value-added jute products have shown positive growth, although their gains have not been sufficient to offset the weakness in garment exports.

With the fiscal year nearing its end, industry observers will be closely watching whether stronger demand from key markets and supportive policy measures can help Bangladesh’s apparel sector regain momentum in the coming months.

Source: Fibre 2 Fashion

 (Rewritten & adapted by Indian-Apparel.com News Desk)

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