RMG exports reached $38.57 billion during the July-April of 2022-23 fiscal year, reflecting a 9.09% increase compared to the same period in the previous fiscal year, according to the Export Promotion Bureau (EPB).
A detailed breakdown of the various categories indicated that knitwear exports reached $20.96 billion, while woven garment exports became $17.60 billion with 8.97% and 9.24% year-over-year growth respectively. Overall, it’s a sign of a steady growth in Bangladesh's overall RMG export earnings.
Regardless of the overall positive trend, a more detailed inspection of single month statistics reveals a recent decline in apparel export growth.
In April, the country's RMG exports observed a significant decline of 15.48%, amounting to $3.32 billion compared to April 2022.
The amalgamation of these declines contributed to the overall descending trend in recent months, which stands in contrast to the otherwise positive trajectory for the mentioned period in 2022-23 fiscal year, said Mohiuddin Rubel, director of BGMEA and additional managing director of Denim Expert Limited.
“Our target was $46.80 billion, and we had to ensure a 9.83% growth. There are two months left in this financial year, so in these two months, we have to meet the target of about $8 billion,” he said.
“In April, our export target was $4.07 billion against $3.32 billion target. We exported 18.40% less than our target this month. And compared to this month last year, our exports decreased by 15.48%. This is the lowest single month export this year.”
"The reason for this is that we had fewer working days due to Eid. Exports are less in that month due to the general Eid holidays. Another trend that has been going on is our exports were down last month compared to other months,” said Rubel.
“We realised that our capacity was dwindling. In continuation of that trend, exports have declined this month as well. We have seen negative trends in the Eid holidays,” he added.
“However, it will be clear in the coming month whether this negative trend is due to the impact of the Eid holidays or because of the negative trend that we have been seeing,” Rubel said.
“Hopefully, we will be able to meet the remaining targets in the coming months,” he added.