Apparel exports surge 20.54% to non-traditional markets in 2023
Apparel export to Russian grew 13.13% in 2023 despite ongoing war
As the government aims to diversify the country's export destinations, Bangladesh's apparel exports to non-traditional markets witnessed a 20.54% year-on-year growth last year.
During January to December of 2023, exports to these destinations jumped to $8.87 billion from $7.36 billion in the corresponding period of previous year, according to the Export Promotion Bureau (EPB) data.
Japan was the top destination among major non-traditional markets last year, fetching $1.68 billion, indicating a growth of 26.53% compared to 2022.
Export to other non-traditional markets, including Australia, Russia, New Zealand, Saudi Arabia, South Korea and China, has also posted positive growth.
Keep updated, follow The Business Standard's Google news channel
Even amid an ongoing war, Russia imported $479 million worth apparels from Bangladesh last year – a 13.13% growth from $423.21 million in 2022.
Japan and Australia are the only two non-traditional markets that received over $1 billion worth of apparels from Bangladesh.
However, apparel shipments to two major markets – the US and Germany – experienced a decline of 8.68% and 16.40%, respectively.
According to EPB data, the share of apparel exports to non-traditional markets stood at 18.72% in 2023. It was 16.10% in 2022.
Exporters noted that Bangladesh's apparel sector is performing well in non-traditional markets despite slowdown of apparel demand in the global market.
Faruque Hassan, president of Bangladesh Garment Manufacturers and Exporters Association, said the figures exemplify exporters' commitment to diversifying the export portfolio, which is a result of the tireless efforts of entrepreneurs.
"A heartfelt appreciation to our valued members for their visionary steps reflected in the numbers of our exports to new markets. Their dedication remains instrumental in our positive growth," he added.
Faruque mentioned that the growth represents the collective achievements of individual exporters within the industry, and BGMEA is appreciative of the chance to provide support.
"Through our apparel diplomacy initiatives, we tried to create a stir around the global market, to tell the story of our transformation and the renewed vision and committed efforts toward sustainability," BGMEA president further said.
He also mentioned that they need more efforts, branding and promotion to unlock further growth opportunities in new items.
Apparel exports to the EU market (considered traditional) saw 1.49% growth to $23.38 billion in 2023, thanks to 12.69% positive growth in Spain and 8.46% growth in France.
While the UK, also a traditional market, third largest export destination of Bangladesh apparel, managed to retain a growth by 12.46% in 2023. Bangladesh's RMG export to the UK reached $5.34 billion during the calendar year 2023 from $4.75 billion in 2022.
Bangladesh's total apparel exports amounted to $47.39 billion in 2023.
