United News of Bangladesh

Bangladesh’s apparel exports to European Union (EU) took a severe hit in the first four months of 2026, recording the steepest decline among major global suppliers amid a broader market contraction, according to the latest Eurostat data. Bangladesh underperformed compared to its key competitors, suffering from a dual blow of eroding export volumes and falling unit prices, said Mohiuddin Rubel, Former Director of the Bangladesh Garment Manufacturers and Exporters Association (BGMEA) and Additional Managing Director of Denim Expert Ltd According to data presented in the document "EU export document", total EU apparel imports from across the globe dropped by 10.42 percent year-on-year during the January–April 2026 period, falling to €27.77 billion from €31.00 billion in the corresponding period of 2025. During this timeframe, Bangladesh's exports to the EU plummeted by 19.33 percent, dropping to €6.09 billion from €7.54 billion. Industry experts pointed out that unlike other major competitors who managed to hold ground on either price or volume, Bangladesh lost on both fronts simultaneously. The country's export volume fell by 9.91 percent to 435.97 million kg, while its average unit price slid sharply by 10.45 percent to €13.96 per kg. The single-month data for April 2026 painted an even bleaker picture for the country, showing a sharp 19.53 percent year-on-year drop in value, alongside a 14.63 percent decline in volume and a 5.74 percent dip in unit prices. Mixed Fortunes for Global Competitors While the overall European market slowed down due to a 5.48 percent drop in global import volumes and a 5.22 percent decline in average unit prices, Bangladesh's rival manufacturing hubs showed highly varied strategies and outcomes: China: The top clothing supplier posted the mildest value decline of just 4.70 percent (€7.95 billion) and emerged as the only major exporter to increase its shipping volume, which grew 3.25 percent to 408.91 million kg. This was achieved through aggressive pricing, with its unit price dropping 7.70 percent to €19.44 per kg. Vietnam: Exhibited remarkable resilience, with its export value dipping a marginal 0.70 percent to €1.37 billion. Despite a 7.11 percent contraction in shipment volume, Vietnam managed to defend its market position through premium pricing, securing a 6.90 percent increase in unit prices to €29.43 per kg. Turkey and India: Turkey saw a volume-led export value decline of 16.60 percent to €2.42 billion, even as its unit prices rose marginally by 1.49 percent. India registered a 12.10 percent contraction in value to €1.64 billion, hit by drops in both volume (-7.70 percent) and price (-4.76 percent). Pakistan: Recorded an unusual market dynamic where its export volume actually rose by 5.86 percent (108.53 million kg), but its overall earnings plummeted by 17.94 percent to €1.09 billion due to a massive 22.49 percent collapse in unit prices—the steepest price drop among all monitored nations. The Eurostat data highlighted that Bangladesh's double-digit decline represents a distinct vulnerability in the European market. While China opted for volume growth via price cuts and Vietnam successfully prioritized value over volume, Bangladesh was uniquely caught in a downward spiral on both metrics. Local industry insiders stressed that the dual erosion of price and volume on a comparable scale was not observed in any other major garment-exporting nation, signaling an urgent need for Bangladeshi exporters to re-evaluate pricing strategies, boost competitiveness, and diversify into higher-value apparel segments.