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Bangladesh's readymade garment exports to the European Union (EU) recorded a robust 37-percent growth during January-February period of 2025, staying ahead of the major competitors like China, Vietnam, Turkey, and India.
Apparel exports to the EU market during the first two months of this year fetched US$ 3.69 billion, compared to US$ 2.69 billion earned in the same period of last year, according to data compiled by BGMEA based on Eurostat, the statistical office of the EU.
Exporters have attributed the rise to a number of factors, including rising global demand, shift of work orders from China, and duty-free market access, while local reasons are competitive pricing, enhanced capacity, efficiency, productivity, workplace-safety compliance, and the production of quality goods.
The developments during the last several years, enhanced buyers' confidence and trust, and good business environment have also helped boost the country's main export trade.
The EU's total apparel imports in January-February of 2025 stood at US$16.09 billion, 17.81 per cent higher than US$ 13.66 billion logged in the corresponding months last year, the data revealed.
Among Bangladesh's main competitors, China recorded a 25.12-percent growth during January-February period of 2025, while India, Pakistan, and Cambodia witnessed double-digit growth of 25.60 per cent, 29.65 per cent, and 41 per cent, respectively.
When asked, Bangladesh Garment Manufacturers and Exporters Association (BGMEA) former director Mohiuddin Rubel said Bangladesh's apparel exports to the EU experienced remarkable growth both in value and volume.
The RMG exports in January-February 2025 grew remarkably by 36.99 per cent supported by a strong 39.02 per cent increase in volume.
However, a decrease of 1.46 per cent in unit price underscored the challenges of maintaining profitability, he noted.
He also attributed several factors that contributed to this positive export trend, including value-added garment production, the EU's economic recovery, duty-free market access, adherence to safety standards, and collaborative efforts of manufacturers and workers.
Looking ahead, the outlook remains optimistic with an expected increase in work orders throughout 2025, sustaining growth momentum, he added.
As buyers expand their sourcing activities in Bangladesh, the growth trajectory is expected to continue, especially amidst rising tensions between the US and other countries, he added.
Meanwhile, the BGMEA data showed that China's apparel exports to the EU reached US$4.54 billion, up from US$3.63 billion in January-February 2024.
However, Turkey faced a 3.64-percent decrease in apparel exports to the EU, amounting to US$1.61 billion during January-February period of 2025.
Vietnam recorded a 16.58-percent growth, reaching US$759 million exports.
India, Pakistan, and Cambodia fetched US$865.18 million, US$710.65 million, and US$775.11 million respectively during January-February period of 2025 from clothing exports to the EU.
Mr Rubel added that data highlighted the necessity for strategic adaptations to foster future growth.
"Despite Bangladesh's resilience in upholding export levels both in quantity and value, there is a clear imperative for the country to sustain its competitive edge and enhance profit margins amidst persistent global price declines," he noted.
Key factors such as value addition and expanding market reach remain pivotal for Bangladesh's economic sustainability and prosperity, he further said.
In the meantime, RMG exports to the United States, the single-largest destination for Bangladesh, grew by 26.64 per cent to US$1.50 billion during the January-February period of 2025 which was US$1.18 billion in the corresponding period of 2024, according to the data by OTEXA, an affiliate of the US Department of Commerce.
Munni_fe@yahoo.com