Garment exports to new markets up 6.79pc in July-May

A RMG factory in Gazipur, Dhaka.

Dhaka, June 18 -Bangladesh's garment industry is seeing promising shifts in its export landscape, with a notable surge in shipments to non-traditional markets.

Data released by the Export Promotion Bureau, compiled by the Bangladesh Garment Manufacturers and Exporters Association (BGMEA), reveals that garment exports to these emerging destinations climbed by 6.79 percent year-on-year, reaching $6.04 billion during the July-May period of the fiscal year 2024-25.

Non-traditional markets encompass all destinations outside of the long-standing major buyers: the European Union, the United States, Canada, and the United Kingdom. Within this diverse group, India showed significant growth with a 17.35 percent rise in exports, followed by Turkey at 31.75 percent, and Japan at 10.32 percent.

However, not all non-traditional markets saw an uptick; shipments to Russia, South Korea, the United Arab Emirates, and Malaysia experienced a decline during this period.

Despite the growth in new markets, the European Union continues to be the powerhouse for Bangladesh's readymade garment (RMG) exports, commanding nearly half of all shipments at 49.91 percent, totaling an impressive $18.25 billion. The United States remains a strong second, with exports reaching $7.03 billion, marking a substantial 19.23 percent increase. Canada and the UK also contributed significantly, with exports of $1.20 billion and $4.04 billion respectively.

Looking at year-on-year growth for the major markets, RMG exports to the EU rose by 10.46 percent, the US by 15.97 percent, and Canada by 14.14 percent. The UK saw more modest growth at 3.96 percent. Within the EU, Germany led as the top export destination, receiving $4.58 billion in shipments, with Spain ($3.16 billion) and France ($2.00 billion) following.

On the product front, the knitwear segment of the garment sector showed robust performance with a 10.98 percent growth, while woven garment exports also saw a healthy increase of 9.30 percent. Overall, the cumulative RMG exports for the July-May period reached $36.56 billion, representing a strong 10.20 percent increase from the same period a year ago. - UNB