[🇧🇩] Textile & RMG Industry of Bangladesh

[Saif]

Safety condition improves, challenges remain

Bangladesh’s readymade garment industry has undergone a significant change in the aftermath of the Rana Plaza collapse, one of the deadliest industrial accidents in the country, but there are still in the sector many issues to be addressed...

www.newagebd.net

Safety condition improves, challenges remain
Saddam Hossain 23 April, 2025, 23:34

Representational image. | New Age file photo

Bangladesh’s readymade garment industry has undergone a significant change in the aftermath of the Rana Plaza collapse, one of the deadliest industrial accidents in the country, but there are still in the sector many issues to be addressed.

RMG businesses said that once criticised for its unsafe working conditions, the country’s sole multi-billion-dollar export sector had taken serious strides in rebuilding its reputation and restoring global confidence after the tragic accident 12 years ago.

However, rights activists, brands and foreign partners said that safety issues in the sector had improved after the accident, but the progress could not be termed sustainable.

On April 24, 2013, Rana Plaza, an eight-story building at Savar, on the outskirts of the capital Dhaka, crumbled during working hours, killing 1,138 people, mostly garment workers, and injuring thousands others.

Talking to New Age, Mohammad Hatem, president of the Bangladesh Knitwear Manufacturers and Exporters Association, said that issues related to safety, compliance and worker rights had experienced a major improvement since the Rana Plaza collapse.

‘However, the incident was a tragic and painful event for the industry and we will have to feel the pain in our whole lifetime,’ he added.

Industry insiders said that the factories had followed strict policies to ensure fire, electrical and structural safety and had spent significant amounts of money on those areas.

Mohiuddin Rubel, a former director of the Bangladesh Garment Manufacturers and Exporters Association, told New Age that in recent years, they had taken major initiatives to ensure a safe working environment in the RMG industry.

‘An extensive reform has been carried out in the industry with the support of the government, buyers, trade unions and other international organisations, including the International Labour Organisation,’ he added.

He also said that the government-led initiative and the buyers-led Accord and Alliance inspected about 4,000 factories with the aim of improving safety issues in the units.

‘The building collapse was a tragic incident in the history of this industry. But we have taken that as a turning point and put in all-out efforts to build a safe and sustainable industry,’ he added.

He also said that each factory spent on average Tk 5 crore on factory renovation, detailed engineering assessment and retrofitting.

A 2021 report by McKinsey consultancy labelled Bangladesh’s RMG sector a frontrunner in transparency regarding factory safety and value-chain responsibility.

Another report by QIMA, a global supply chain compliance solutions provider, ranked the country second in the same year’s ethical manufacturing index.

Moreover, Bangladesh also amended its labour law twice, in 2013 and 2018, to safeguard workers’ rights and ensure workplace safety.

The country increased workers’ minimum wages by 56 per cent in 2023 and raised the increment to 9 per cent from 5 per cent in 2024.

In terms of LEED-certified green factories, Bangladesh also witnessed a big jump.

Before the Rana Plaza accident, there were only two green factories in the country.

Currently, the US Green Building Council has certified 240 Bangladeshi factories as LEED (leadership in energy and environmental design).

There are 98 platinum-rated, 128 gold-rated, 10 silver-rated and four certified factories. Moreover, the highest-scoring factory is also from Bangladesh.

After the Rana Plaza collapse, the Accord on Fire and Building Safety in Bangladesh and the Alliance for Bangladesh Workers’ Safety helped the country’s factories to improve their fire, structural and electrical safety measures.

The Alliance left the country in 2018 after remediating 93 per cent across 700 factories it inspected, and the Accord, which lasted until 2020, helped standardise fire and building safety in more than 2,000 RMG factories.

After their departure, the RMG Sustainability Council, an entity comprised of RMG manufacturers, global brands and retailers, and global unions and their Bangladeshi affiliates, started its journey in 2020.

Regarding the RSC, Hatem said that the entity was doing its job as per the global standard, but it also sometimes tried to put artificial pressures on the industry.

‘The biggest paradigm shift since Rana Plaza has been the safety culture that has been developed through public-private partnership in the factories,’ said Mohiuddin.

The BGMEA has also framed its new policy on new member enrolment and subcontracting, he said.

Despite facing crises like the Rana Plaza collapse, Covid pandemic and global economic turmoil due to the Russia-Ukraine war over the years, the RMG sector’s export earnings have never experienced a hard hit.

Bangladesh exported apparel worth $38.48 billion in 2024, a 7.23-per cent increase compared with $35.89 billion in 2023.

Talking to New Age, Nazma Akter, president of the Sommilito Garments Sromik Federation, said that the accused in the Rana Plaza case were yet to be punished and most of the accused were in hiding.

‘Accused Rana along with others must be brought to justice,’ she said.

‘The factory authorities are yet to regularise the remediation activities and the government should do it by maintaining global standard,’ she said.

She also said that safety issues had improved a lot, but this could not be called sustainability, as accidents and fire incidents were still persistent in the sector, along with the absence of earthquake safety.

In some cases, the blacklisting of workers is also persistent, she added, noting that owners had safe passage after committing crimes.

Regarding the cases, Hatem said they also demanded punishment of actual criminals.​

 

[Saif]

Can Bangladesh fend off Vietnam in RMG race?

Bangladesh's limited trade diplomacy, coupled with its slower shift towards value-added production, could allow Vietnam to surpass it in global rankings

www.thedailystar.net

Can Bangladesh fend off Vietnam in RMG race?

Bangladesh's status as the world's second-largest garment exporter has become increasingly precarious, driven by a confluence of global trade shifts, regional competition and structural inefficiencies at home.

The imposition of 37 percent tariffs by the Trump administration has only intensified the pressure on Bangladesh, prompting industry leaders and analysts to express concern over the country's ability to maintain its global standing.

The country now faces a decisive test of its export resilience and trade negotiation capacity. For a sector built on cost competitiveness and heavily dependent on price-sensitive markets, the tariff escalation poses a direct threat to a business model long anchored in low-wage labour.

Many industry leaders are monitoring Vietnam's ascent warily. Although Vietnam faces a steeper tariff -- 46 percent compared to Bangladesh's 37 percent -- there is growing concern that Bangladesh's limited trade diplomacy, coupled with its slower shift towards value-added production, could allow Vietnam to surpass it in global rankings.

"If we don't move fast, we will not be able to save the day," said Rubana Huq, former president of Bangladesh Garment Manufacturers and Exporters Association (BGMEA).

In 2023, Bangladesh accounted for 7.4 percent of global apparel exports, valued at $38 billion, according to the World Trade Organization (WTO). Only China ranked higher, with $165 billion in exports and a commanding 31.6 percent market share. Vietnam followed closely, exporting $31 billion of garments and holding a 6 percent share.

These rankings, however, reflect 2023 performance. The WTO's 2024 data -- yet to be released -- may offer a clearer picture of shifting dynamics. Compounding concerns, the WTO revised Bangladesh's previously reported export figures downward by $9 billion due to discrepancies in data submitted by the Export Promotion Bureau, raising questions about statistical reliability.

Despite the correction, Bangladesh retains several structural strengths: a large and affordable labour force, robust backward linkages through its $25 billion primary textile sector, a global lead in certified green factories, and rising compliance with international safety standards.

But these are increasingly offset by entrenched weaknesses -- underdeveloped infrastructure, extended lead times, high borrowing costs, bureaucratic frictions and overreliance on low-value, basic garments.

What separates Bangladesh from competitors like Vietnam is not just cost structure but strategic direction. Vietnam has steadily moved up the value chain, diversifying its product base and leveraging free trade agreements to secure preferential access. With both countries subject to elevated tariffs in the US market, the decisive variable may be the ability to offer differentiated, value-added products and to navigate trade diplomacy with agility.

Without targeted reforms and meaningful trade engagement, Bangladesh's position in global supply chains risks being overtaken -- not through a sudden collapse, but by gradual erosion in competitiveness and missed opportunities.

Tapan Chowdhury, a garment exporter and managing director of Square Pharmaceuticals, acknowledged that Vietnam could eventually overtake Bangladesh if key structural challenges remain unaddressed. However, he believes Bangladesh retains its competitive edge -- at least for now.

"Given that the Trump administration set the tariff at 37 percent, Bangladesh retains its competitiveness since the effective tariff rate for Vietnam is nearly 10 percentage points higher in the same market," he said.

Tapan urged exporters to shift towards high-value products to withstand price pressures. "International retailers and brands always offer lower prices for basic items. Exporters must adopt the right strategies and be selective in choosing buyers to offset challenges."

Echoing the need for deeper reforms, Rubana Huq, also managing director of Mohammadi Group, said Bangladesh's growth narrative often overlooks entrenched problems.

While the potential of the apparel sector is widely recognised, Rubana warned that optimism alone is not enough. "Relying solely on the continued growth of basic garments is no longer a viable strategy," she said. The sector must diversify its product base, invest in technology upgrades, and develop a skilled workforce capable of adapting to global demand. She stressed the urgency of expanding capacity in man-made fibre (MMF) garments, where Bangladesh continues to lag behind competitors.

"Bangladesh will lose its competitive edge if we can't engage in active economic diplomacy," she warned, calling for stronger international engagement to secure favourable trade terms.

Faruque Hassan, managing director of Giant Group, raised another important distinction in the comparison with Vietnam. He said Vietnam's export statistics often include both garments and textiles, unlike Bangladesh, which reports garments only.

"For example, Vietnam last year reported more than $37 billion in combined textile and garment exports, which included several billion dollars worth of textiles," he said. "If we exclude garments from that equation, it will take more time for Vietnam to overtake Bangladesh."

Nonetheless, Hassan stressed the need for swift action. "We need to explore new markets, diversify both products and destinations, invest in technology, and produce more value-added garments. That must go hand-in-hand with improving customs services, port operations, gas supply, and utility services, and removing non-tariff barriers."

Other exporters remain more confident. Md Fazlul Hoque, managing director of Plummy Fashions Ltd, dismissed speculation that Vietnam is about to overtake Bangladesh.

"For years, people have been saying that Vietnam will surpass us, but that hasn't happened. Bangladesh remains competitive and continues to grow."

He added that rankings are less important than performance. "Meeting the market demand is how we can climb even higher."

Indeed, Bangladesh has maintained a strong presence in key markets. It is currently the second-largest apparel exporter to the EU, with annual shipments exceeding $25 billion, and ranks third in the US with yearly exports of over $8 billion. In Canada and select emerging markets, Bangladesh has also expanded its footprint significantly, with market share rising to more than 20 percent, double the level from five years ago.

Still, concerns over looming threats persist. Anwar-Ul-Alam Chowdhury, chairman of Evince Group, pointed to two immediate risks: Trump's tariffs and Bangladesh's upcoming graduation from least developed country (LDC) status, scheduled in November 2026.

He stressed the need for proactive diplomacy in addressing the US tariffs. "Bangladesh must address Trump's tariffs politically. And the government must take timely policy steps to offset the immediate impacts of LDC graduation."

Although countries like the EU, the UK, Canada, and Australia have pledged to extend duty-free access beyond 2026, Anwar-Ul-Alam argued that Bangladesh must not be complacent. He called for negotiating free trade agreements (FTAs) with major trading partners and enhancing engagement with Asian markets such as China, India, and Japan.

If positioned strategically, he noted, Bangladesh could attract new orders as sourcing patterns shift away from China and Vietnam under US tariff pressure. "But this will depend entirely on our diplomatic and strategic responses."

Mostafa Abid Khan, a former member of Bangladesh Trade and Tariff Commission, warned that even a 10 percent tariff burden could be difficult for many local exporters to absorb. He also flagged Vietnam's advantage under its free trade agreement with the EU, saying the Southeast Asian country continues to strengthen its foothold in the European market.

Mohammad Abdur Razzaque, chairman of the Research and Policy Integration for Development, echoed this concern. "Under the EU-Vietnam FTA, Vietnam's exports to Europe are bound to rise. Its presence in the US and Canadian markets is also expanding."

Razzaque also pointed to a critical structural difference. Vietnam's rapid growth in the garment sector is driven largely by Chinese investment, reportedly $61 billion in textiles and garments. In contrast, Bangladesh's $55 billion textile and garment sector has less than 5 percent foreign investment.

"This is a relative advantage for Bangladesh," he said, suggesting that US buyers may be wary of Vietnam's deep production ties with China.

However, to seize any potential gains from declining Chinese exports, Bangladesh must address one key weakness: its limited capacity in MMF-based apparel, according to Razzaque. "Countries that wish to fill the gap left by China in the US market must be able to scale up MMF production."​

 

[Saif]

RMG orders adequate until Christmas

Local suppliers have secured adequate work orders from US clothing retailers and brands to stay busy until Christmas at the end of this year, although the shipments are likely to be subject to Trump’s reciprocal tariffs.

www.thedailystar.net

RMG orders adequate until Christmas
Exporters say

Local suppliers have secured adequate work orders from US clothing retailers and brands to stay busy until Christmas at the end of this year, although the shipments are likely to be subject to Trump's reciprocal tariffs.

The factories will start manufacturing garments in full swing for the Christmas season from June, and it will continue until the end of July.

The shipment of the goods to the US will start from August so that they can be sold in November and December.

The autumn and winter seasons, Christmas, and Thanksgiving are major sales seasons for garments in the Western world.

However, a majority of local garment exporters are still waiting for Trump's final decision on tariffs, as his administration has given a 90-day pause on the reciprocal tariffs on the countries concerned.

Regarding the next summer season's work orders, both suppliers and buyers are yet to hold negotiations to confirm their values and volumes, as retailers and brands are waiting for Trump's final decision.

Like other countries, the 10 percent baseline tariff is still in place for Bangladesh, except for the 145 percent tariff on the import of Chinese goods. Although Trump on Wednesday assured he would consider a substantial reduction of tariffs on Chinese goods, he made it clear it would not be to zero.

Bangladeshi garment suppliers are now busy holding negotiations on work orders to increase export volumes to Europe and other countries because of favourable or zero tariff rates for Bangladesh.

Bangladesh may face tough competition in other markets such as the European ones, as China and Vietnam will also try to grab bigger market shares to offset the probable reduction in shipments to the US due to the high tariffs imposed on them by the Trump administration.

The booking of orders until Christmas was confirmed by Abdullah Hil Rakib, managing director of TEAM Group, which exported $560 million worth of garments last calendar year, about 25 percent of which were destined for the US.

"So, I am not worried about the next Christmas shipment," Rakib told The Daily Star over the phone.

He also said that over the last few years, he has been increasing garment exports to the US but might have to conduct reviews due to the high tariffs that have been proposed.

Rakib is hopeful that garment exports to the US from Bangladesh will increase further because of the high tariffs imposed on products from China and Vietnam.

He said that after Trump's tariffs were announced, a US-focused retailer came to his factory.

The retailer was planning to shift work orders from China to his factory as the tariff on Chinese goods is very high at 145 percent, and the effective rate on Bangladesh was 26 percent, including a previous 16 percent and a 10 percent baseline tariff.

Rakib is hopeful that US buyers will ultimately come to Bangladesh for sourcing garments as the tariff on products from China and Vietnam—two global giants in garment production—is higher than that on products from Bangladesh.

On the other hand, the tariff on Indian goods is lower than that on Bangladeshi products, but India does not have high manufacturing capacity.

Moreover, Pakistan will face lower tariffs than Bangladesh, but its product varieties are not as diversified as those of the latter, he said.

Shovon Islam, managing director of Sparrow Apparels Ltd, which annually exports garments worth $300 million, about 50 percent of which end up in the US, said some of his buyers were demanding that he bear half of the 10 percent baseline tariff.

However, in garment manufacturing, 70 percent is spent on fabrics, which the manufacturers import to make the garments.

He also said he would have to ship all the goods by mid-September to his US buyers so that the goods could be sold during the Christmas season.

He has received 10 percent fewer work orders year-on-year from his US buyers this season because of the Trump tariffs.

Syed M Tanvir, managing director of Pacific Jeans, said he was still holding negotiations with his US buyers over the Christmas shipments.

"My US buyers neither cancelled nor increased the work orders and also did not seek any discount from me," said a Rupganj-based garment exporter asking not to be named.

Some 40 percent of his yearly exports go to the USA.

But at the same time, it is also not clear what the buyers will do after August, as they are also in a wait-and-see approach now because of the 90-day pause in tariffs, he said.

By June this year, the buyers will be able to confirm work orders for the next season, the exporter also said.

Faruque Hassan, former president of the Bangladesh Garment Manufacturers and Exporters Association (BGMEA), said the buyers may offer lower prices because of the high tariffs, but the exporters would have to stay positive and strong in negotiations.

Currently, more than 900 local garment factories send apparel to the US, and nearly 25 factories have a high concentration on the American markets.

Bangladesh is the third-largest garment exporter to the US after China and Vietnam, and accounts for 9.3 percent of the over $100 billion worth of garments it imports in a year.​

 

[Saif]

Apparel exports to EU witness robust 37pc growth in Jan-Feb

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 fet

thefinancialexpress.com.bd

Apparel exports to EU witness robust 37pc growth in Jan-Feb
FE Report
Published :
Apr 27, 2025 00:10
Updated :
Apr 27, 2025 00:10

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.​

 

[Bilal9]

January-February RMG exports to US up 26.64pc​

Apparel exports to the United States, the single-largest market for made-in-Bangladesh clothing, sustained double-digit growth during the first two months of 2025.

Bangladesh fetched $1.50 billion from the US market during the January-February period of 2025, marking 26.64 per cent growth from $1.18 billion in the corresponding period of 2024, according to the data by OTEXA, an affiliate of the US Department of Commerce.

The data was released on Thursday, a day after the US imposed 37 per cent tariffs on Bangladeshi goods.

Readymade garment (RMG) exports to the US, which bounced back strongly in January, saw 45.9 per cent growth and fetched $799.65 million that month, which was $547.95 million in the same month of 2024.

However, exports may face a blow due to the new tariff imposition by the US.

In terms of quantity, Bangladesh shipped 488.27 million square metres of apparel to the US market in the January-February period of 2025, marking 23.38 per cent growth from 395.74 million square metres in the corresponding period of 2024, the OTEXA data shows.

Industry experts say January and February are unusual months and attributed the export rise to the likely attempts by importers to clear shipments before the Trump administration imposed higher tariffs.

The growth in Bangladesh's RMG exports to the US in January and February of this year outpaced that of all other major suppliers, including India at 25.70 per cent, Pakistan at 23.05 per cent, Vietnam at 11.14 per cent, and China at 8.85 per cent.

Despite the global economic challenges, Bangladeshi products' competitive pricing, enhanced production capabilities, and commitment to sustainable and ethical manufacturing practices contributed to the robust rebound, exporters said.

But the competitiveness may erode in the coming months due to the US tariff hike. Bangladesh may lose competitiveness to India and Pakistan, which face lower tariffs of 26 per cent and 29 per cent, respectively, they observed.

According to the OTEXA data, Bangladesh's RMG export earnings from the US market were $7.34 billion in 2024 and $7.28 billion in 2023. In 2022, clothing exports to the US hit an all-time high of $9.73 billion.

Amid the slow growth last year, Bangladesh's apparel export share in the US market fell to 9.26 per cent in 2024, which was 9.7 per cent in 2022.

The rise in exports from countries like Indonesia, India, Pakistan, and Cambodia in 2025 indicates that US buyers are diversifying their sourcing, influenced by competitive costs and geopolitical considerations.

On the other hand, China's slower growth, which economists and exporters apprehend would slow further, indicates shifting dynamics in global sourcing patterns, while factors such as trade policies, production costs, and sustainability requirements continue to shape these trends.

When asked, Fazlul Hoque, former president of the Bangladesh Knitwear Manufacturers and Exporters Association (BKMEA), said importers may have made early shipments to have a good stock fearing possible tariff hikes so that they can immediately adjust during a crisis period.

The US market that started getting better after a long time of weaker position may face a decline in demand because of the new tariffs, which would raise the prices of garment items, he said.

This means the US consumers would purchase less, resulting in a squeezed market, Hoque noted, adding that the new tariffs may not sustain.

Exporters say Bangladesh needs to address its internal issues, including energy crisis, high cost of production, high bank interest rate, and other complexities, to sustain its competitiveness amid the possible volatile global trade war situation.

However, experts and economists think the new tariffs imposed by the US may not bring any major change in market competition as similar tariffs have been imposed on other garment-producing countries at various rates, with some of them facing higher rates like Vietnam and Cambodia.

Besides, they apprehend a possible global trade war that would result in economic recession and affect almost all exporting countries.

According to some exporters, while Vietnam is doing ever so well in the US market and the new tariffs may affect its growth, India will be a new concern and challenge for Bangladesh as the next-door neighbour is shipping higher volumes of apparel to America, offering lower prices by banking on its own raw materials.

Now India would be in an advantageous position with a low 26 per cent tariff, they said.

Talking to The Financial Express, Rubana Huq, former president of the Bangladesh Garment Manufacturers and Exporters Association (BGMEA), said Bangladesh's exports to the US would fall by at least 25 per cent in the near future.

"Eventually, we will lose to India and Pakistan in general. Also, we will lose to Jordan and Egypt in the higher value-added knit categories," she noted.

Turkey will also be a competitive sourcing hub considering its low tariff as it only has a 10 per cent reciprocal tariff, she added.

According to OTEXA, India received $955.50 million by shipping 263.87 million square metres of apparel to the US in the first two months of 2025. In terms of quantity, the shipments were 31.91 per cent higher compared to that in the same months of 2024.

Vietnam's apparel exports to the US in the period under review fetched $2.62 billion, recording 11.14 per cent growth. It recorded 7.25 per cent growth in terms of quantity as the US imported 753.44 million square metres of garment from the country.

Meanwhile, China recorded 8.85 per cent growth and fetched $2.77 billion during the period. It shipped 1.52 billion square metres of apparel to the US, marking 5.78 per cent growth.

The overall US apparel imports during the first two months of 2025 marked 11.21 per cent year-on-year growth to $13.55 billion.

 

[Bilal9]

Bangladesh poised to become top global apparel exporter: Kihak Sung​

The founder of Korean EPZ praises the steps taken by the chief adviser

Bangladesh is poised to climb to the number one spot in garment exports with the right strategies and reforms, said Kihak Sung, founder of the Korean Export Processing Zone.

"Bangladesh currently holds the position of the world's second-largest apparel exporter as a single country," he said today while speaking as the keynote speaker at a session of the Bangladesh Investment Summit 2025.

He delivered a presentation titled "Bangladesh Moving Forward: Through an Investor's Lens" at the session on "Textile and Apparel" at the InterContinental Dhaka hotel.

To achieve the target of reaching the top position, he said Bangladesh must enhance its use of technology, improve workers' skills, and establish its own production facilities for man-made fibres.

He also highlighted the importance of policy support and the need for a greater number of bonded warehouses.

"These will enable quicker access to raw materials, allowing manufacturers to produce and export finished goods more efficiently," he added.

Commenting on recent trade developments, Sung said, "The three-month suspension of the Trump-era tariff policy brings some relief. The Bangladesh government's proactive measures in this regard are commendable."

Looking ahead, he stressed the need for value-added production.

"We must focus on producing high-value garments; otherwise, it will become increasingly difficult to remain competitive in the global market," he warned.

Anwar Hossain, administrator of the Bangladesh Garment Manufacturers and Exporters Association and vice-chairman of the Export Promotion Bureau, also spoke at the event.

 

[Saif]

50pc reduction in Indian yarn imports to create 500k jobs in Bangladesh: BTMA president

President of the Bangladesh Textile Mills Association (BTMA) Showkat Aziz Russell said that around 500,000 new jobs will be created in the country if Indian yarn imports reduce to 50 per cent. He said this while speaking at a seminar on 'Sustainable Sourcing Seminar of Cotton', organised jointly b

thefinancialexpress.com.bd

50pc reduction in Indian yarn imports to create 500k jobs in Bangladesh: BTMA president
UNB
Published :
Apr 29, 2025 22:26
Updated :
Apr 29, 2025 22:26

President of the Bangladesh Textile Mills Association (BTMA) Showkat Aziz Russell said that around 500,000 new jobs will be created in the country if Indian yarn imports reduce to 50 per cent.

He said this while speaking at a seminar on 'Sustainable Sourcing Seminar of Cotton', organised jointly by Cotton USA and BTMA, held at the Basundhara Convention Centre on Tuesday evening.

Criticising businesses, he said those who are giving opinions in the media that local fabric production is adversely affected by the halt on Indian yarn imports through land ports, he said they are not on the side of the growth of the domestic economy.

The BTMA president said that Indian clothes are imported by paying duty on the prices of clothes, not the weight or KG rate, which is harmful for domestic industries.

He mentioned a report of The Hindu,which mentioned that 45 per cent Indian yarn exported to Bangladesh.

He urged Bangladeshi businesses to keep patient and make policies to favour the country, not favour neighbouring countries.

He said that the immediate past government made a policy to privilege the neighbours, but they could not do any favour from India, so the precious import policy could not be run in Bangladesh now.

He blamed that India was sucking the blood out of Bangladesh's economy, which has to be changed in every sector.

Tracey Ann Jacobson, Charge d'affaires, U.S. Embassy-Bangladesh said the USA is producing the best quality cotton, and the USA can be a sustainable cotton source for Bangladesh.

The USA sought sustainable industrial growth with US collaboration and strong partnerships with businesses, she said.

Ali Arsalan, Representative for Bangladesh, Cotton Council International (CCI), Daniel Wong, of CCI, William Bettendorf Regional Director-South Asia,

Shahana Akter Kiron, Vice President - Head of Customer Engagement, Textile Genesis, Azeezur Rahman Khan,

Country Development Representative, The Woolmark Company, Prof. Muhammad Tausif, Cotton Council International, Technical Consultant, Zoe Keay,

Vice President Sales, Oritain, Daren Abney, Executive Director, U.S. Cotton Trust Protocol have participated in 7 paper presentations in the seminar.

The presentation highlighted the potential of the US cotton market, cotton technol technologies, market survey, cotton tracing system, marketing and supply chain issues.

A number of businesses of Bangladesh and representatives of different US brands were present in the seminar.

Bangladesh imports US cotton as part of its large RMG industry, but faces challenges including concerns about logistics and lengthy shipment times.

BTMA has been advocating for duty-free access to the US market for garments made from US cotton, seeking to further boost this trade. While Bangladesh is a significant importer of US cotton, it's also seeking to diversify its sourcing and increase domestic cotton production.

These issues were also discussed in the seminar.​

 

[Bilal9]

50pc reduction in Indian yarn imports to create 500k jobs in Bangladesh: BTMA president

President of the Bangladesh Textile Mills Association (BTMA) Showkat Aziz Russell said that around 500,000 new jobs will be created in the country if Indian yarn imports reduce to 50 per cent. He said this while speaking at a seminar on 'Sustainable Sourcing Seminar of Cotton', organised jointly b

thefinancialexpress.com.bd

50pc reduction in Indian yarn imports to create 500k jobs in Bangladesh: BTMA president
UNB
Published :
Apr 29, 2025 22:26
Updated :
Apr 29, 2025 22:26

View attachment 16962

President of the Bangladesh Textile Mills Association (BTMA) Showkat Aziz Russell said that around 500,000 new jobs will be created in the country if Indian yarn imports reduce to 50 per cent.

He said this while speaking at a seminar on 'Sustainable Sourcing Seminar of Cotton', organised jointly by Cotton USA and BTMA, held at the Basundhara Convention Centre on Tuesday evening.

Criticising businesses, he said those who are giving opinions in the media that local fabric production is adversely affected by the halt on Indian yarn imports through land ports, he said they are not on the side of the growth of the domestic economy.

The BTMA president said that Indian clothes are imported by paying duty on the prices of clothes, not the weight or KG rate, which is harmful for domestic industries.

He mentioned a report of The Hindu,which mentioned that 45 per cent Indian yarn exported to Bangladesh.

He urged Bangladeshi businesses to keep patient and make policies to favour the country, not favour neighbouring countries.

He said that the immediate past government made a policy to privilege the neighbours, but they could not do any favour from India, so the precious import policy could not be run in Bangladesh now.

He blamed that India was sucking the blood out of Bangladesh's economy, which has to be changed in every sector.

Tracey Ann Jacobson, Charge d'affaires, U.S. Embassy-Bangladesh said the USA is producing the best quality cotton, and the USA can be a sustainable cotton source for Bangladesh.

The USA sought sustainable industrial growth with US collaboration and strong partnerships with businesses, she said.

Ali Arsalan, Representative for Bangladesh, Cotton Council International (CCI), Daniel Wong, of CCI, William Bettendorf Regional Director-South Asia,

Shahana Akter Kiron, Vice President - Head of Customer Engagement, Textile Genesis, Azeezur Rahman Khan,

Country Development Representative, The Woolmark Company, Prof. Muhammad Tausif, Cotton Council International, Technical Consultant, Zoe Keay,

Vice President Sales, Oritain, Daren Abney, Executive Director, U.S. Cotton Trust Protocol have participated in 7 paper presentations in the seminar.

The presentation highlighted the potential of the US cotton market, cotton technol technologies, market survey, cotton tracing system, marketing and supply chain issues.

A number of businesses of Bangladesh and representatives of different US brands were present in the seminar.

Bangladesh imports US cotton as part of its large RMG industry, but faces challenges including concerns about logistics and lengthy shipment times.

BTMA has been advocating for duty-free access to the US market for garments made from US cotton, seeking to further boost this trade. While Bangladesh is a significant importer of US cotton, it's also seeking to diversify its sourcing and increase domestic cotton production.

These issues were also discussed in the seminar.​

Best news I have heard since August 2024 !

Masha 'Allah !

 

[Saif]

India-Pakistan conflict will affect businesses of neighbouring countries: BKMEA President

The Progressive Knit Alliance, led by Mohammad Hatem, has announced its 15-point election manifesto for the Bangladesh Knitwear Manufacturers and Exporters Association (BKMEA) elections for 2025-27. The manifesto was released at a press conference held at a hotel in the capital on Wednesday, UNB r

thefinancialexpress.com.bd

India-Pakistan conflict will affect businesses of neighbouring countries: BKMEA President
Published :
May 07, 2025 21:39
Updated :
May 07, 2025 22:41

The Progressive Knit Alliance, led by Mohammad Hatem, has announced its 15-point election manifesto for the Bangladesh Knitwear Manufacturers and Exporters Association (BKMEA) elections for 2025-27.

The manifesto was released at a press conference held at a hotel in the capital on Wednesday, UNB reports.

During unveiling the manifesto, Hatem, president of knitwear industry owners' organisation BKMEA, said that a war between India and Pakistan will not only have adverse effects on the two countries but also on neighbouring countries.

He said, "Just as the country concerned is affected when a war breaks out, so are the neighbouring countries. Bordering countries like ours will also be affected economically."

He further said, "We have to import various raw materials including yarn and cloth. In a war situation, import and export will be disrupted, which will directly affect our industry. As a result, we will also face losses in various ways."

In this situation, he called on the concerned countries to avoid tension and come to a peaceful solution.

The manifesto has called for effective steps to be taken through discussions with the National Board of Revenue (NBR) to ease import and export by removing customs complications. Among these, it has been promised to resolve the complexity of HS Code, remove all obstacles in the import of raw materials and export of goods, simplify the import availability and use method of composite units, remove the complexity of raw material supply from bonded to non-bonded companies and take steps to resolve the ongoing problems of the Bond Commissionerate.

In addition, it has been said to force non-bonded companies to obtain bond licenses and thereby remove obstacles to exports.

The manifesto calls for discussions with the NBR to stop VAT harassment of export-oriented industries. Taxation system.​

 

[Saif]

Shipments to USA jump on both counts

Bangladesh's apparel exports to the United States, its single-largest market, recorded a double-digit growth both in value and volume during the first quarter of 2025. The country's readymade-garment exports fetched US$2.22 billion from the US market during the January-March period of 2025, markin

thefinancialexpress.com.bd

Robust garment export in Q1/2025
Shipments to USA jump on both counts
Annualised 26.66pc rise fetches BD $2.22b in 3 months
Monira Munni
Published :
May 08, 2025 01:33
Updated :
May 08, 2025 01:33

inset-p1-1Bangladesh's apparel exports to the United States, its single-largest market, recorded a double-digit growth both in value and volume during the first quarter of 2025.

The country's readymade-garment exports fetched US$2.22 billion from the US market during the January-March period of 2025, marking 26.66-percent growth from US$1.75 billion in the corresponding period of 2024, according to the data released on Tuesday by OTEXA, an affiliate of the US Department of Commerce.

In terms of quantity, shipments came to 733.98 million square metres of apparel in a 25.24-percent growth over 586.04 million square metres in the corresponding period of 2024.

Industry experts attributed export rise to the improved US market and the likely attempts by importers to clear shipments before the Trump administration imposed higher tariffs.

The growth in Bangladesh's RMG exports to the US in January-March this year outpaced that of all other major suppliers, including India at 24.04 per cent, Indonesia at 20 per cent, Pakistan 17.51 per cent, Vietnam 13.98 per cent, and China at 4.11 per cent.


Vietnam, however, surpassed China and earned US$3.87 billion during the first quarter of 2025. The US imported apparel worth of US$3.59 billion from China during the period, according to OTEXA data.

Despite the global economic challenges, Bangladeshi products' competitive pricing, enhanced production capabilities, and commitment to sustainable and ethical manufacturing practices contributed to such robust performance, exporters said.

Talking to the FE, a number of exporters opined that Bangladesh could be one of the major beneficiaries of the trade-and tariff wars between the US and China provided local issues were addressed and required strategic-policy support given.

Exporters are divided in opinions about eroding competitiveness in the coming months due to the US tariff hike. Some opine that Bangladesh may lose competitiveness to India and Pakistan, which face lower tariffs of 26 per cent and 29 per cent, respectively, than Bangladesh's 37 per cent, while others believe Bangladesh might not be affected significantly.

According to the OTEXA data, Bangladesh's RMG-export earnings from the US market were $7.34 billion in 2024 and $7.28 billion in 2023. In 2022, clothing exports to the US hit an all-time high of $9.73 billion.

Amid the slow growth last year, Bangladesh's apparel-export share in the US market fell to 9.26 per cent in 2024, which was 9.7 per cent in 2022.


The rise in exports from countries like Indonesia, India, Pakistan, and Cambodia in 2025 indicates US buyers are diversifying their sourcing, influenced by competitive costs and geopolitical considerations.

On the other hand, China's slower growth, which economists and exporters apprehend would slow further, indicates shifting dynamics in global sourcing patterns, while factors such as trade policies, production costs, and sustainability requirements continue to shape these trends.

Asked about the trade trends, Mahmud Hasan Khan, managing director of Rising Group, said the shipments were made before the imposition of the new US tariffs and demands from US were increasing on the back of its improved economy.

"Besides, there has been an anti-China move that encourages US buyers to source from alternative destinations, including Bangladesh, Indonesia, Pakistan, Vietnam and Cambodia," he says.

After the imposition of the jacked-up US tariff regime, the country that could offer better option would perform better, he predicts, adding that importers may have made early shipments to have a good stock of basic items fearing possible tariff hikes so that they can immediately adjust during a crisis period.

Mr Khan, also a former leader of Bangladesh Garment Manufacturers and Exporters Association (BGMEA), thinks the main concern is the 'uncertainty' as none is sure what is going to happen.


Talking to the FE, Abdullah Hil Rakib, managing director of Team Group, said the flow of work orders from the US is good and local manufacturers are also focusing more on manmade fibre on the cusp of transition in clothing.

"Bangladesh has the opportunity to take back the opportunity provided with required policy supports like tax rebates and others," he said, adding that government should redesign the incentives and provide for MMF-garment making to encourage both local and foreign investments.

Exporters say Bangladesh needs to address its internal issues, including energy crisis, high cost of production, high bank interest rates, and other complexities, to sustain its competitiveness amid the possible volatile global trade-war situation.

However, they think the new tariffs imposed by the US may not bring any major change in market competition as similar flat rate of additional 10-percent tariffs, except China, has been imposed for 90 days.

Besides, they apprehend a possible global trade war that would result in economic recession and affect almost all exporting countries.

According to some exporters, while Vietnam is doing ever so well on the US market and the new tariffs may affect its growth, India will be a new concern and challenge for Bangladesh as the next-door neighbour is shipping higher volumes of apparel to America, offering lower prices by banking on its own raw materials.


Mr Rakib, however, notes that Vietnam is facing labour shortage while India and Cambodia don't have the capacity to compete with Bangladesh.

According to OTEXA, India received $1.50 billion by shipping 417.88 million square metres of apparel to the US in the first three months of 2025. In terms of quantity, the shipments were 27.17-percent higher compared to that in the same months of 2024.

The overall US apparel imports during the first three months of 2025 marked 10.96-percent year-on-year growth to $20.04 billion.​

 

[Saif]

Garment export to EU may face cutthroat competition

Bangladesh's readymade garment (RMG) export to its largest destination may face tough competition as competitors like China, Vietnam, Cambodia, Pakistan and Sri Lanka have incrementally raised their concentration in the European Union (EU) for a decade, sources say. The trade race may intensify

thefinancialexpress.com.bd

Garment export to EU may face cutthroat competition
New US tariff regime likely to intensify trade race further: Experts
Monira Munni
Published :
May 09, 2025 00:44
Updated :
May 09, 2025 00:44

Bangladesh's readymade garment (RMG) export to its largest destination may face tough competition as competitors like China, Vietnam, Cambodia, Pakistan and Sri Lanka have incrementally raised their concentration in the European Union (EU) for a decade, sources say.

The trade race may intensify further in the days ahead, especially following the new US tariff regime, as the reciprocal tariffs on higher scales may force the players to diversify their shipment destinations to the 27-nation bloc.

Data analysis shows 56 per cent of China's total apparel exports were destined for the EU in 2012, which edged up to 68 per cent in 2023. The figure was 44 per cent for the US in 2012, which decreased to 32 per cent in 2023.

About 32 per cent of Vietnam's total apparel was shipped to the EU in 2023--an increase from 26 per cent in 2012. The US accounted for 68 per cent in 2023, which was 74 per cent in 2012, according to data.

Cambodia's overall apparel shipments to the EU came to 63 per cent in 2023, which was 40 per cent in 2012. On the other hand, 60 per cent of its apparel was destined for the US in 2012, which fell to 37 per cent in 2023, according to latest data.

Similarly, 52 per cent of Pakistan's total apparel exports went to the EU in 2012, which rose to 71 per cent in 2023. Some 48 per cent of its total apparel exports were shipped to the US market in 2012, which fell to 29 per cent in 2023.

Sri Lanka's apparel exports were 46 per cent to the EU and 54 per cent to the US in 2012, which stood at 57 per cent to the EU and 43 per cent to the US in 2023.

Only India is an exception as 42 per cent and 58 per cent of its total garment exports were destined for the EU and the United States, respectively, in 2023, which was 48 per cent to the EU and 52 per cent to the US in 2012.

On the other hand, the EU accounted for 79 per cent of Bangladesh's total readymade garment (RMG) exports in 2023, up from 72 per cent in 2012. About 21 per cent of the total RMG was shipped to the US in 2023, which was 28 per cent in 2012.

Talking to The Financial Express, Dr Mohammad Abdur Razzaque, chairman of Research and Policy Integration for Development (RAPID), said the greater concern lies beyond the US market. "Constrained by American tariffs, supplies may be diverted to other key destinations, such as the EU, Japan, and Canada."

With Bangladesh holding more than 20-percent share in the EU apparel market, this diversion could intensify price competition, squeezing margins and undermining profitability, he also predicts.

"Compounding these pressures is the risk of competitive currency devaluations among export-reliant economies, as countries seek to counteract the loss in price competitiveness," Dr Razzaque explains.

For Bangladesh, which is already contending with foreign-exchange shortages and inflationary stress, such developments could deepen macroeconomic vulnerabilities and complicate efforts toward external and fiscal stabilisation, the economist adds.

When asked, Fazlul Hoque, former president of Bangladesh Knitwear Manufacturers and Exporters Association (BKMEA), said competition would increase on the existing market not only for foreign competitors but also for local exporters.

Local exporters who ship goods to the US may shift to other countries, especially to the EU, which would intensify the competition within the borders, he notes, fearing "unhealthy price competition" among local exporters to linger.

The situation would be "terrific" if the same trend is followed by other garment-producing countries, resulting in "price pressure" as the market size of the importing countries, like the EU, remains the same, he explains.

Abdullah Hil Rakib, managing director of Team Group, says business shifting from the US would go to the EU, slowing the latter's existing business and it would be for the US tariff hike.

"The situation will be concerning as there would be huge price pressure," says Mr Rakib, also a former leader of Bangladesh Garment Manufacturers and Exporters Association (BGMEA).

Mahmud Hasan Khan, managing director of Rising Group, thinks the likely outcome is a sharp drop in demand on the US market, with severe consequences for the exporting countries.

He also echoes Mr Hoque' views about the price pressure, raising questions as to whether local exporters would get the same volume of work orders that they are receiving.

Meanwhile, exporters have said they are not getting fair prices of locally-made garments, and in many cases, they accept work orders below their production costs mainly to run the business and pay workers.

According to BGMEA data, Bangladesh's apparel shipments to the EU rose by 4.86 per cent year on year to $19.77 billion in 2024.

In 2024, Bangladesh exported 1.23 billion kilograms of garments to the EU, up by 10.18 per cent from 1.10 billion kg shipped in 2023.

The per-unit price fell to $16.07 per kg in 2024 from $16.88 per kg in the previous year, marking a 4.84-percent decline.

Though the EU's overall apparel imports increased 1.53 per cent year on year in terms of value to reach $92.56 billion in 2024, the import volume grew 8.98 per cent to 4.27 billion kg, resulting in a 6.83-percent decline in average unit prices, impacting major sourcing countries, including Bangladesh.​

 

[Saif]

RMG exports to US soar by 26.66pc in Jan-Mar

The country’s readymade garment exports to the United States, Bangladesh’s single largest export destination, witnessed a growth of 26.66 per cent in January-March period of 2025 to $2.22 billion, amid fears of tariffs imposed by the US.

www.newagebd.net

RMG exports to US soar by 26.66pc in Jan-Mar
Staff Correspondent 09 May, 2025, 23:15

The country’s readymade garment exports to the United States, Bangladesh’s single largest export destination, witnessed a growth of 26.66 per cent in January-March period of 2025 to $2.22 billion, amid fears of tariffs imposed by the US.

According to the latest data published by the Office of Textiles and Apparel, Bangladeshi exporters exported RMG items worth $1.55 billion in the corresponding period of 2024.

During the first quarter of 2025, Bangladesh outpaced its major competitors in terms of export growth rates.

In the first three months of 2025, the North American country’s RMG imports from its global suppliers increased by 10.96 per cent to $20.04 billion, compared with those of $18.06 billion in the same period of 2024.

In terms of volume, Bangladeshi RMG exports to the US in January-March of 2025 saw a positive growth of 25.24 per cent to 733.99 million square metres from that of 586.04 million square metre in the same period of 2024, Otexa data stated.

Bangladesh’s market share in the North American country stood at 9.61 per cent in the first quarter of 2025.

According to the Otexa data, amid the ongoing trade war between the US and China, Vietnam outperformed China as the highest exporter to the US in the first quarter of 2025, while China slipped to the second place.

Among the major suppliers, US apparel imports from Vietnam experienced a positive growth of 13.98 per cent to $3.88 billion in January-March, from that of $3.4 billion in 2024. Vietnam held a market share of 19.2 per cent.

The Otexa data stated that China exported apparel items worth $3.60 billion in the reporting period, a positive growth of 4.11 per cent from that of $3.45 billion in the same period of 2024, claiming a market share of 20.50 per cent.

Followed by Bangladesh, India secured the fourth position by exporting apparel items worth $1.51 billion in January-March of 2025, registering a positive growth of 24.04 per cent compared with that of $1.22 billion in the same period of 2024, with a market share of 6.13 per cent in the US.

According to the data, the US’ RMG imports from Indonesia surged by 20 per cent to $1.23 billion. In comparison, RMG imports from Cambodia increased by 14.70 per cent to $927.09 million in the same period. This made Indonesia and Cambodia hold the fifth and sixth place respectively with a market share of 5.48 per cent and 4.83 per cent.

However, the country’s RMG manufacturers are still concerned about the US’ 37 per cent tariff imposition on all Bangladeshi exporting products, though it has been paused for 90 days.

They said that the 90-day pause was not a permanent or sustainable solution and the government should take immediate action through diplomatic channels to resolve the issue before 90 days.

Mohammad Hatem, president of the Bangladesh Knitwear Manufacturers and Exporters Association, said that the country must narrow trade imbalance to protect exporters from the US tariff.

However, he said, the abnormal imposition of tariffs on Chinese products accelerated the shifting of work orders to Bangladesh, impacting US exports.

Mohiuddin Rubel, a former Bangladesh Garment Manufacturers and Exporters Association director, said that China’s export growth to the US lagged behind during the period and Bangladesh might have captured a share of China’s declining orders.

He, however, said that the impacts of the new US trade policies were yet to unfold and urged the government to take proper actions.

According to the Otexa data, Bangladesh’s apparel exports to the US in 2024 saw a marginal 0.75 per cent growth to reach $7.34 billion compared with those of $7.29 billion in 2023 amid fluctuations in shipments throughout the year.​

 

[Saif]

EU competition major challenge before garment sector

Bangladesh's ready-made garment sector, the backbone of its export economy, faces its most severe challenge in decades. The impending 37 per cent US tariff, set to take effect after June 9, 2025, would be damaging enough on its own. But the greater threat lies in Europe where 79 per cent of Banglad

thefinancialexpress.com.bd

EU competition major challenge before garment sector
Published :
May 11, 2025 00:06
Updated :
May 11, 2025 00:06

Bangladesh's ready-made garment sector, the backbone of its export economy, faces its most severe challenge in decades. The impending 37 per cent US tariff, set to take effect after June 9, 2025, would be damaging enough on its own. But the greater threat lies in Europe where 79 per cent of Bangladesh's RMG exports currently go. As competitors like China, Vietnam and Cambodia face similar US tariff pressures, they are inevitably turning to the EU market as their alternative destination. This is bad news for Bangladesh. Just as its US market access shrinks, its primary export destination faces a flurry of competitors vying for market share. The EU's importance cannot be overstated as it absorbs nearly four times more Bangladeshi garments than the US market. What was once Bangladesh's safe harbour is about to become its most contested battleground.

The warning signs of growing competition have been visible for years. As reported in this daily, between 2012-2023, China increased its EU apparel share from 56 per cent to 68 per cent, Vietnam from 26 per cent to 32 per cent and Cambodia made the most dramatic leap from 40 per cent to 63 per cent. These weren't random fluctuations but strategic shifts by countries preparing for exactly this scenario. Now, with the US effectively closing its doors to affordable garments through punitive tariffs, these countries have no choice but to redouble their efforts to catch European market. Unfortunately for Bangladesh, which relies heavily on EU market access for foreign currency earnings, this surge in competition could be devastating. The real threat now lies not just in losing the US market, but in losing ground in Europe.

What follows is an intense race to the bottom. Greater competition means thinner margins and thinner margins threaten the sustainability of the entire sector. The pressure is already evident in the declining per-kg price of Bangladeshi garments in the EU which reportedly dropped by 4.84 per cent over the past year. This decline indicates that exporters are being forced to sell more at lower prices just to stay in the game, and as the competition becomes more severe, the price will fall further. Experts also warn of competitive currency devaluations where export-dependent economies may artificially devalue their currency in order to stay price-competitive. Meanwhile, Bangladesh's impending graduation from Least Developed Country (LDC) status in 2026 will strip away its duty-free EU access at the worst possible time. The irony is that Cambodia, one of Bangladesh's competitors in the RMG exports, will retain these privileges as it remains an LDC. That gives Cambodia a distinct edge just when Bangladesh's competitiveness is set to weaken.

So what can Bangladesh do to navigate this increasingly treacherous trade environment? The first task is to address the US market. No visible progress has been made in reaching a trade understanding with the US in the two months of tariff pause that elapsed. Given that the US rationale for tariffs is the export-import imbalance, Bangladesh needs to urgently identify potential imports from the US to build a more balanced trade relationship. For the EU, Bangladesh must secure a new trade agreement before LDC graduation, following the model of Vietnam's EU FTA. Simultaneously, Bangladesh must actively diversify its export destinations beyond the traditional strongholds of the EU and the US. Countries like Japan, Canada and emerging markets offer potential avenues and should be actively cultivated. Most critically, Bangladesh needs a export strategy on a war footing involving all stakeholders, from government to manufacturers to trade bodies. Without swift, strategic action, Bangladesh risks losing its position it has built in the global apparel trade through decades of effort.​

 

[Saif]

Denim exports to US, EU up 56pc, 32pc

Locally-made denim items' exports to the two major destinations - the US and the European Union (EU) - during the first two months of 2025 witnessed significant growth of over 56 per cent and more than 32 per cent, respectively. Bangladesh fetched $138.75 million from denim exports to the

thefinancialexpress.com.bd

Denim exports to US, EU up 56pc, 32pc
Monira Munni
Published :
May 13, 2025 00:36
Updated :
May 13, 2025 00:36

Locally-made denim items' exports to the two major destinations - the US and the European Union (EU) - during the first two months of 2025 witnessed significant growth of over 56 per cent and more than 32 per cent, respectively.

Bangladesh fetched $138.75 million from denim exports to the US in this period, up by 56.33 per cent from the earnings of $88.75 million in the corresponding period of 2024, according to data compiled by the Bangladesh Garment Manufacturers and Exporters Association (BGMEA).

US imports of denim items from Mexico, Pakistan, Vietnam, and China recorded 16.27 per cent, 33.29 per cent, 6.49 per cent, and 6.99 per cent growth, respectively, in this period.

On the other hand, Bangladesh's denim exports to the EU during this period stood at $285.52 million, recording 32.43 per cent growth from $215.60 million earned in the corresponding months of 2024.

Pakistan, the second largest denim exporter to the EU, logged 48.11 per cent growth in this period, followed by Turkey at 0.06 per cent, Tunisia at 4.68 per cent, and Cambodia at 55.24 per cent, data shows.

Bangladesh remained the top denim supplier both to the US and the EU in 2024 as the country fetched the highest $675.65 million and $1.28 billion, respectively, from the two destinations, data shows.

Yeasin Al Faisal, manager at Argon Denims Ltd, told The Financial Express the denim business is growing and they are not facing any impact of the new US tariff regime as they mostly ship goods to the EU.

Argon Denims is participating in the 18th edition of Bangladesh Denim Expo that kicked off on Monday at the International Convention City Bashundhara (ICCB) in the capital.

Faisal said they participated in the show to display their products and innovation and also to know about what other suppliers are showcasing.

The two-day event aims at helping the industry enhance its capacity and develop innovation to navigate the uncertain times of tariff and trade war.

A total of 57 exhibitors from 13 countries, including Bangladesh, India, Pakistan, China, Turkey, Spain, Italy, Vietnam, and the US, joined the show to display their latest innovation and goods.

Sanaul Haque, executive director of Azlan Denim Ltd, a concern of Sim Group, said they are expanding their capacity as the demand for denim items is increasing.

Currently, they produce 1.6 million yards of denim fabrics monthly, which will increase to 2.50 million by July, he added.

Abdul Kader Khan, managing director of Khan Accessories and Packaging Company Ltd, said they are exhibiting their accessory items as some of their buyers who have denim business worldwide insisted them to join the fair.

As denim exports are growing, he expects to get new buyers too.

When asked, Chao Ji, sales manager of Black Peony Textile Co Ltd, a Chinese denim fabric producer, said they have been participating in the denim show for the last six years and have their own office in Dhaka.

"Bangladesh is a potential market, and business is growing slowly here with good prices," he said.

Brant Tong, sales manager of XDD Textile, a Vietnamese denim fabric maker, said there are a number of denim factories and washing plants in Bangladesh.

"So, there is huge demand for denim fabric, and we are here in search of more business opportunities," he said.

Speaking about the US new tariff regime, he said business in Vietnam slowed in recent times with a decline in work orders as buyers are now in a wait-and-see situation.

This is because no one knows what would happen after the three-month pause of the proposed US tariffs, added Tong.

The majority of his factory's denim production is destined for the US, he said, adding that buyers are waiting to see further action or negotiations with the US.

He also said some of the buyers have already postponed their bookings.

Md Amdadul Hoque, country representative (Bangladesh) of Diamond Denim, a Pakistani denim factory, said business in May and June usually remains slow and that is what is happening now.

He, however, said they have to bear the cost of an additional 10 per cent hike in tariffs imposed by the US.

Nauman Ahmad, general manager of marketing (denim business) at Azgard Nine Limited, another denim fabric maker based in Pakistan, said there are uncertainties in the US market for all supplier countries - not only Pakistan but also others in Asia.

This is the biggest challenge for the current time, he said.

They have business mostly with the EU, he said, adding their business is moderate and they have not faced any negative impact for the US tariff so far.​

 

[Saif]

Local RMG to remain competitive even if tariffs rise

Bangladesh should improve garment quality and delivery speed amidst intense competition in global supply chains arising from US President Donald Trump’s recent reciprocal tariffs, said some international traders yesterday..Bangladesh has the opportunity to retain its competitive edge due t

www.thedailystar.net

Local RMG to remain competitive even if tariffs rise
Believes international backward linkage companies for denim

The 18th edition of Bangladesh Denim Expo at the International Convention City Bashundhara in Dhaka will come to a close tomorrow. Photo: collected

Bangladesh should improve garment quality and delivery speed amidst intense competition in global supply chains arising from US President Donald Trump's recent reciprocal tariffs, said some international traders today.

Bangladesh has the opportunity to retain its competitive edge due to its large-scale production capacity, something international clothing retailers and brands always take into consideration, they said.

China and Vietnam are facing higher tariffs than Bangladesh in the US market, but there are others facing far less, such as India, Pakistan, Kenya, Jordan and Egypt, they said.

The latter do not have high production capacities, for which they cannot cater to large-volume work orders, they added.

"There is no way to replace Bangladesh because of its production capacity… It is not a matter of tariffs only," said Matteo A Urbini, managing director of Italy-based Soko Chemicals.

He was talking to The Daily Star while attending the 18th edition of Bangladesh Denim Expo at the International Convention City Bashundhara in Dhaka.

Urbini supplies a technology based on a chemical called "hydrogel" for washing denim fabrics to 60 companies in Bangladesh.

The technology is said to require just eight litres of water to wash one kilogram of denim fabric, whereas conventionally 80 litres are required.

Bangladesh is still competitive, said Herve Denoyelle, a representative of French hemp and flax fibre manufacturer The Flax Company, when asked about alternative clothing sourcing destinations to Bangladesh.

Bangladesh and China will remain competitive for mass consumption. Once the final rates of US tariffs are decided after the ongoing 90-day pause, business will grow again, he said.

Products from China and Vietnam will become more expensive because of their higher tariff rates, and Bangladesh should focus on recycled and sustainable products, he said.

His company produces 8,000 tonnes of fibre a year and supplies nearly 100 tonnes to 10 companies in Bangladesh for the manufacture of denim fabrics.

Robert Deakin, sales director of China-based Deyao Textile, which manufactures denim fabrics, said he was cautiously optimistic about Bangladesh.

The final tariff rates are yet to be decided, and business will prevail even if a 37 percent tariff is imposed on Bangladeshi products, he said.

The two-day exposition has brought 57 exhibitors from 13 countries, including India, Pakistan, China, Turkey, Spain, Italy, Vietnam, the United Arab Emirates, Germany, Switzerland and the USA, according to a statement from the organiser.

"Bangladesh has emerged as the fastest-growing apparel exporter to the United States in the first quarter of 2025, posting the highest year-on-year growth of 26.64 percent," said Mostafiz Uddin, founder and CEO of Bangladesh Denim Expo.

This placed Bangladesh ahead of other major exporters such as India (24.04 percent), Pakistan (17.49 percent), Vietnam (13.96 percent) and China (4.18 percent), he said.

Bangladesh is the largest denim exporter to both the US and Europe, he added.​

 

[Saif]

Bangladesh set to remain world’s top cotton importer in MY26

Bangladesh is on track to retain its status as the world’s biggest cotton importer in the marketing year (MY) 2025-26, with imports projected to reach 8.5 million bales, according to a record-setting forecast by the United States Department of Agriculture (USDA).

www.thedailystar.net

Bangladesh set to remain world’s top cotton importer in MY26

Bangladesh is on track to retain its status as the world's biggest cotton importer in the marketing year (MY) 2025-26, with imports projected to reach 8.5 million bales, according to a record-setting forecast by the United States Department of Agriculture (USDA).

Vietnam is set to follow closely with 8 million bales, marking an all-time high for both countries, as per the USDA's latest Cotton: World Markets and Trade report.

The report highlights a modest rebound in global cotton consumption, which is expected to hit a five-year high of 118.1 million bales. This resurgence is attributed to stable economic activity, particularly in major textile-exporting countries such as Bangladesh and Vietnam.

For Bangladesh, the surge in cotton imports reflects the continued expansion of its ready-made garment (RMG) industry — the backbone of its export economy.

In the first 10 months of FY25, Bangladesh's RMG exports grew 10.86 percent year-on-year to $30.25 billion, according to Export Promotion Bureau (EPB) data.

Mohammad Hatem, president of the Bangladesh Knitwear Manufacturers and Exporters Association (BKMEA), said Bangladesh's decision to import more cotton from the US is part of a broader strategy to reduce the trade gap between the two countries.

He noted that the record volume of cotton imports would also strengthen Bangladesh's case for securing duty-free access for its RMG products in the US market.

"The government has already taken necessary initiatives in this regard," Hatem said.

He further stated that US cotton is considered the best in the world in terms of quality and consistency, making it the preferred choice for local spinners and manufacturers.

"With global buyers increasingly prioritising sustainable sourcing and natural fibres, cotton remains a vital raw material for Bangladesh's spinners and knitwear producers," Hatem added.

He viewed the USDA's import forecast as a strong endorsement of Bangladesh's capability to maintain and expand its leadership in the global apparel value chain.

The global cotton trade is also forecast to rise by 2.3 million bales to 44.8 million bales in MY26, indicating a broader uptick in demand across textile-producing economies.

China, which imported 15 million bales in MY24, is projected to import only 7 million bales in MY26. The country's shift away has left space for Bangladesh to rise to the top, which analysts say marks a notable structural shift in global cotton trade flows.

The USDA also anticipates stable cotton prices globally, aided by adequate supply, a weakening US dollar, and declining energy costs. These trends may ease cost pressures for Bangladeshi millers, who have grappled with high input costs over the past two years.

On March 17 this year, Foreign Affairs Adviser Md Touhid Hossain said Bangladesh intends to import more cotton from the US, creating mutual benefits for US suppliers and local businesses.

He added that such trade ties could offer Bangladesh protection amid former US President Donald Trump's tariff-centric policies.

Although the Trump administration has levied high tariffs on many countries, Bangladeshi goods have so far remained outside the purview of such punitive measures.

Hossain argued that sourcing more US cotton could further dissuade the administration from targeting Bangladesh, whose products face an average tariff of 15.62 percent in the US market.

He also stressed the need to boost domestic cotton production to meet at least 20 percent of the country's annual demand, amounting to about 9 million bales.

Currently, local production covers just 2 percent of that requirement.​

 

[Saif]

Apparel sector needs $6.6b investment to cut carbon emission by half: Report

Bangladesh's textile and apparel industry needs an approximate investment worth US$6.6 billion to help reduce the level of carbon emissions by half by 2030 through renewable energy and energy efficiency measures, according to a global report. Of the required amount, only $1.8 billion is currently

thefinancialexpress.com.bd

Apparel sector needs $6.6b investment to cut carbon emission by half: Report
Monira Munni

Published :
May 16, 2025 08:49
Updated :
May 16, 2025 08:49

Bangladesh's textile and apparel industry needs an approximate investment worth US$6.6 billion to help reduce the level of carbon emissions by half by 2030 through renewable energy and energy efficiency measures, according to a global report.

Of the required amount, only $1.8 billion is currently available or anticipated while there has been a gap of $4.8 billion, said the report titled 'Landscape and Opportunities to Finance the Decarbonization of Bangladesh's Apparel Manufacturing Sector'.

As of 2023, Bangladesh was among the top five countries having the highest level of potential in reduction of greenhouse gas emissions in the apparel and textile industries.

Apparel Impact Institute (Aii) in collaboration with Development Financial International, Inc (DFI) published the report on May 08 outlining how the country can close that gap and realize its decarbonization potential through strategic finance tools.

Aii is a global non-profit organisation, dedicated to identifying, funding, scaling, and measuring the apparel and footwear industry's proven environmental impact solutions and works with over 50 brands and retailers including Target, PVH, Lululemon and H&M Group that are leading the sector's global decarbonization efforts.

Bangladesh's textile and apparel industry contributes more than 80 per cent of the country's foreign export earnings, said the report.

The sector has significant potential to contribute to the goal of a 50 per cent reduction in greenhouse gas (GHG) emission by 2030, taking the industry's scale-- key production stages, including raw material processing, weaving, knitting, dyeing, finishing, manufacturing and distribution and continued reliance on fossil fuels, into consideration.

Despite its economic significance, local textile and apparel industry faces considerable environmental challenges and the high consumption of energy, water, and chemicals across the supply chain has contributed to significant environmental degradation and GHG emissions, according to the report.

In Bangladesh, natural gas burning remains the country's primary source of energy and RMG sector alone accounts for 8.2 per cent of Bangladesh's total electricity consumption, it said, adding that the textile and garment sector represents 27.8 per cent of Bangladesh's primary energy consumption.

Besides, there is growing pressure from brands and emerging global and local regulations for the industry to adopt cleaner and sustainable practices, it said.

Explaining the possible credit lines, it said as of September 2024, some 12 credit lines and revolving fund schemes have been identified, with close to $1.6 billion in available funding and $175 million in upcoming funding from International Financial Institutions (IFIs) and the national government.

"This leaves a financing gap of US$4.8 billion," it said, adding IFIs are also partnering with the government and private sector to improve energy policies, build local technical capabilities, and support decarbonisation initiatives," said the report.

It, however, found financial constraints, limited technical expertise, insufficient energy policies and inadequate infrastructure as major challenges that manufacturers face in transitioning to sustainability.

A lack of technical experts such as energy auditors in Bangladesh drives up costs and prolongs inspection processes, with energy audits averaging $10,000 - approximately double the cost in neighbouring India.

Building local expertise can help reduce costs and generate quality local jobs, the report suggested.

It further said the renewable energy market is still in its early stages, with limited renewable energy service companies (RESCO) activity and no energy service companies (ESCO) operations in Bangladesh recommending "Growth capital is needed to scale renewable energy and energy efficiency solutions."

The report also recommended, among others, enhanced support from brands, active involvement of manufacturers to address barriers like higher level of debt and perceived risks by encouraging brands to offer stronger incentives and support through various financing and de-risking instruments.

Talking to the FE, Shams Mahmud, managing director of Shasha Denims Ltd, said the industry itself has, so far, invested to help cut emissions, taking the EU regulations into consideration.

"It is difficult to make funds available mostly for small and medium enterprises as they (SMEs) don't have enough capacity and lengthy documentation procedures," he said. He went on: "The rate of interest also remains high."

Mr. Mahmud, however, said the green transition fund is not industry-friendly.

The main issue is to measure as how much decarbonization is done, he said, adding that there is a lack of skilled manpower in government agencies concerned.

About the measures, he said, his factory has undertaken to decarbonise, while they are installing new energy-efficient technology that can help reduce usages of water and chemical.

Such technology using tri-generation systems of power generation to reduce carbon footprint, enhancing the efficiency level to 85 per cent from 60 per cent in two years back.​

 

[Saif]

Apparel exports to EU surge by 33pc

Bangladesh’s apparel exports to the European Union showed a strong upward trend in the first quarter (January-March) of 2025, with total earnings increasing by 33 per cent compared to the same period in 2024...

www.newagebd.net

Apparel exports to EU surge by 33pc
Moinul Haque 17 May, 2025, 23:02

Bangladesh’s apparel exports to the European Union showed a strong upward trend in the first quarter (January-March) of 2025, with total earnings increasing by 33 per cent compared to the same period in 2024.

According to data from the Eurostat, the statistical office of the EU, From January to March 2025, EU apparel imports from Bangladesh totalled 5.68 billion euros, compared to 4.27 billion euros during the same period in 2024.

This increase of 1.41 billion euros in the quarter represents a notable 33 per cent growth in terms of value.

Knitwear exports drove much of this expansion, climbing nearly 36 per cent from around 2.39 billion euros to 3.25 billion euros. Woven apparel also performed strongly, with exports rising approximately 30 per cent from 1.87 billion euros to 2.43 billion euros.

Exporters attributed the recent surge in apparel exports to the EU to seasonal summer demand, early order placements by buyers and a recovering European market.

Although Bangladesh’s exports to the EU grew year-on-year in each of the three months, the rate of growth slowed gradually over the quarter.

Data showed that Bangladesh’s apparel exports to the EU in January 2025 posted the highest growth rate at 61 per cent, reaching 1.91 billion euros, followed by slower but healthy growth of 28 per cent in February with 1.66 billion euros and a further slowdown to 18 per cent growth in March with exports totaling 2.10 billion euros.

Bangladesh Knitwear Manufacturers and Exporters Association former president Fazlul Hoque said that the significant increase in the EU’s overall apparel imports in the first quarter of 2025 indicated a clear revival of the market.

‘The good news is that buyers are placing orders again — and the even better news is that a significant share of those orders is coming to Bangladesh. It shows that we are holding our ground, even as competition intensifies,’ he said.

The EU market saw strong growth in apparel imports in the first quarter of 2025, with total import value rising 20.6 per cent from approximately 19.44 billion euros in January-March of 2024 to 23.45 billion euros in the same period in 2025.

Knit apparel imports increased by 23.6 per cent, rising from 9.53 billion euros to 11.78 billion euros, while woven apparel imports grew 18 per cent, from 9.90 billion euros to 11.67 billion euros.

Overall, EU apparel imports rose by more than 4.9 billion euros year-on-year.

In volume terms, the EU’s apparel imports also recorded a significant increase.

Total import volume reached approximately 11.51 million kilograms in the first quarter of 2025, up from 9.57 million kilograms in the same period of 2024, a 20.3 per cent rise.

In quantity, Bangladesh’s total apparel exports to the EU rose from 2.90 million kilograms in the first quarter of 2024 to 3.61 million kilograms in the first quarter of 2025, an increase of 24.6 per cent.

Knitwear volumes grew by 29.5 per cent, from 1.76 million kilograms to 2.28 million kilograms while woven apparel exports increased by 17.1 per cent, reaching 1.33 million kilograms.

Among major EU suppliers, Bangladesh recorded one of the highest growth rates in value terms, surpassing key competitors such as China, Vietnam, Turkey, and India.

While it fell just short of Cambodia’s exceptionally high growth rate, it remained slightly ahead of Pakistan’s.

Despite the positive export trends, Fazlul Hoque cautioned that supply-side risks were mounting, particularly due to energy shortages.

He said that plans to divert gas from power generation could create significant energy supply challenges for the industry, potentially threatening Bangladesh’s ability to sustain or grow its market share.

Eurostat data showed that China retained its position as the EU’s largest apparel supplier by value. The country’s exports rose from 4.92 billion euros in the first quarter of 2024 to 6.35 billion euros in the same period of 2025, marking a 29 per cent increase. Knitwear shipments to the EU grew by 32.7 per cent, while woven apparel rose by 25.5 per cent.

Turkey saw a slight decline in total apparel exports, which fell by 0.9 per cent from 2.28 billion euros to 2.26 billion euros. While knit exports rose marginally by 1.5 per cent, woven apparel declined by 4.1 per cent, possibly reflecting changing competitiveness or supply chain dynamics.

India achieved solid growth, with EU imports rising from 1.07 billion euros to 1.37 billion euros, a 27.8 per cent increase. Knitwear grew by 34 per cent and woven by 22 per cent, indicating a broader improvement in India’s access to the EU market.

Vietnam’s apparel exports to the EU expanded by 22 per cent to 1.08 billion euros, supported by a 19 per cent rise in knitwear and a 24 per cent increase in woven apparel.

Pakistan recorded a 32.8 per cent rise in total exports, which reached 1.03 billion euros. Knitwear exports increased by 30 per cent, while woven apparel grew by 36 per cent.

Cambodia reported the fastest growth among all listed suppliers, with EU apparel imports rising by 37.8 per cent to 1.11 billion euros. Knitwear exports grew by 35 per cent, and woven garments surged by 41 per cent.​

 

[Saif]

Fast fashion, fat margins: How retailers cash in on low-cost RMG

Global fashion brands are reaping triple-digit profits on Bangladeshi garments, buying at $3 and selling for three to four times more. Yet, they continue to pressure factories to cut prices further.

www.thedailystar.net

Fast fashion, fat margins: How retailers cash in on low-cost RMG

Global fashion brands are reaping triple-digit profits on Bangladeshi garments, buying at $3 and selling for three to four times more. Yet, they continue to pressure factories to cut prices further.

A shirt manufactured in Bangladesh at a free-on-board (FoB) price of $5 often retails for as much as $28 in Europe or North America. Once shipping, warehousing, duties, and other operational costs are added, bringing the total to around $16, retailers may still earn a profit of about $12 per item.

Western retailers and brands often justify their pricing strategies by pointing to the high costs associated with global operations, including freight charges, currency hedging, warehousing, demurrage, markdowns, and advertising.

"There are overheads, of course, but let's not pretend they're not making money," said Fazle Shamim Ehsan, proprietor of Fatullah Apparels. "Especially in the mid to high-end market, many brands earn huge profits from goods made in Bangladesh."

Still, many Western buyers continue to pressure Bangladeshi factories to reduce the prices further.

A 2020 study by the European non-profit Fair Wear Foundation found that nearly 39 percent of garment manufacturers in the country had sold products at a loss.

The practice, exporters say, is mainly to preserve long-standing relationships with global retailers and to secure future contracts.

Meanwhile, data from the Centre for Policy Dialogue (CPD), a Dhaka-based think tank, suggests that Bangladesh consistently receives lower prices than its Asian competitors for similar products.

In 2020, Bangladeshi cotton T-shirts exported to the European Union (EU) fetched €1,091.5 per 100 kilogrammes, a 1 percent decline from the previous year, while Vietnam's equivalent product saw a 3 percent price increase, rising to €2,157.9.

The contrast was even sharper in pullovers.

Bangladesh's average price fell 7 percent to €1,329.5, whereas Vietnamese pullovers held steady at €2,157.8.

For garments made from man-made fibres, Bangladeshi exports declined 6 percent to €1,319.4, while Vietnam's fell by just 3 percent to €1,906.2.

The United States market reflected similar patterns, as shown in the CPD data.

The average price for a dozen Bangladeshi-made cotton T-shirts dropped from $22.43 in 2019 to $17.99 in 2020, a 20 percent fall, while Vietnamese suppliers experienced a slightly smaller decline, with prices falling from $38.2 to $31.9.

Bangladeshi sweaters and pullovers also saw a 2 percent price drop to $39.31 per dozen, whereas Vietnamese equivalents remained largely unchanged, with prices hovering around $47.

For trousers, the gap was wider still. A dozen cotton-fibre trousers for women and girls exported from Bangladesh earned $64.17 in 2020, down 12 percent from the year before. Vietnam, by comparison, received $84.6 for the same product after a smaller price adjustment of just 6 percent.

SYSTEMIC UNDERVALUATION

A 2022 report by the International Trade Centre (ITC) underscored the pattern of systemic undervaluation of Bangladeshi garments.

Men's woven cotton trousers exported from Bangladesh earned an FoB price of $7.01 per piece, which was 9.2 percent below the global average of $7.72. Vietnam received $10.76 for the same item, while Sri Lanka and India fetched $8 and $8.41.

Similarly, men's cotton jeans made in Bangladesh were sold at $7.81 per piece, 7.2 percent below the global average of $8.41, while Vietnamese jeans sold for $11.55.

Even in niche categories like man-made fibre bras, Bangladesh was paid considerably less, with exporters earning $3.19 per unit compared to Vietnam's $6.06.

Only two Bangladeshi products -- women's cotton trousers and men's cotton T-shirts -- were sold at slightly above the global average.

Women's cotton trousers earned $6.43 apiece, exceeding the world average of $5.22 by 23.3 percent, while men's T-shirts fetched $1.47, roughly 23.1 percent higher than the global benchmark.

Still, these figures were dwarfed by the earnings of countries like Turkey and Peru, which received up to four times more for similar items.

According to the ITC, which has a joint mandate with the World Trade Organization and the United Nations, these pricing gaps represent an entrenched imbalance in the global supply chain.

Industry insiders say Bangladesh's quality has improved, but its bargaining power remains weak.

RETAILERS CITE HIGH OPERATIONAL COSTS

Ehsan, owner of Fatullah Apparels, said jackets and outerwear produced in Bangladesh, often sold to retailers at FoB prices ranging from $20 to $25, regularly appear in stores for $100 to $110.

He added that some of the world's richest individuals have built their fortunes in fashion retail, with Bangladesh as a key production hub.

The profit chain often stretches beyond the retailers themselves.

Md Fazlul Hoque, managing director of Plummy Fashions Ltd, pointed out that a significant share of Bangladesh's garment exports is managed by intermediaries or third-party importers, who also take a cut before the goods reach retail shelves.

"Sometimes we sell a T-shirt at $3.50, and it ends up in a branded store for $39," Hoque said. "Of course, it doesn't stay at that price forever -- discounting comes in later, but the markup is still substantial."

He added that while pricing can vary across seasons and product categories, the general rule of thumb remains: most garments are sold at three to four times their FoB value.

However, a European retailer, on condition of anonymity, disputed the claims of excessive markups. "Those suggesting a substantial markup on Bangladeshi garment items are gravely mistaken," he said.

"In the garment supply chain, a European retailer must rent large warehouses to store goods, which is quite costly," he said, adding that transportation expenses also factor in.

"Renting retail space is another major expense, and ultimately, retailers and brands can sell, at best, 70 percent of the goods from a single consignment," he said. "Once the season ends, unsold items can no longer be offered to customers."

The retailer said that European companies pay higher wages than their Asian counterparts, which also affects profit margins. "Ultimately, European retailers earn less than 10 percent profit annually. The claims of high markups are exaggerated."

CALL FOR FAIR PRICING

Apparel industry advocates and multilateral organisations are increasingly urging retailers to adopt more equitable pricing models.

The ITC noted in its report that while apparel manufacturing has grown more complex, involving design, logistics, and branding, the actual cut-and-sew operations, which remain concentrated in countries like Bangladesh, continue to be the least rewarded.

Khondaker Golam Moazzem, research director at CPD, said that China and Vietnam are getting higher prices for their garments by utilising diverse fabrics and innovative product designs, despite sharing the same HS codes as Bangladesh.

In contrast, Bangladesh's garment exports are heavily reliant on just five or six products, accounting for 70 percent of its total exports. This concentration creates unhealthy competition, tempting local exporters to undercut prices, said Moazzem.

He also pointed out that the industry's heavy dependence on cotton and limited use of man-made fibres are also obstructing better prices.

"Bringing in more foreign investment could be a viable solution, as foreign investors usually have access to upmarket buyers and advanced technologies," said the CPD research director.​

 

[Saif]

RMG export to EU rises 29% in Jan-Mar

Bangladesh shipped $5.98 billion worth of apparels to the EU in the first three months of 2025

www.thedailystar.net

RMG export to EU rises 29% in Jan-Mar
Bangladesh shipped $5.98 billion worth of apparels to the EU in the first three months of 2025

Bangladesh's apparel exports to the European Union surged by 29 percent in the first three months of 2025.

The South Asian country shipped garments worth $5.98 billion to the EU in the January–March period of 2025, up from $4.63 billion in the same period of 2024.

Moreover, garment export volume to the destination also rose by a strong 24.64 percent, along with a 3.55 percent increase in unit price, according to data from Eurostat, the statistical office of the European Union.

The rise in export value, volume, and unit price indicates balanced growth in amount, quantity, and price in the EU market, the data said.

In the January–March period of 2025, the EU saw a significant surge in apparel imports, with growth of 16.84 percent, totalling $24.65 billion.

This increase was accompanied by a notable 20.25 percent spike in volume and a 2.84 percent decrease in average unit prices.

China, India, Pakistan, and Cambodia also experienced substantial growth in the same period.

China's apparel exports to the EU reached $6.67 billion in January–March 2025, up from $5.34 billion in the same period of the previous year.

However, Turkey faced a 4.14 percent decrease in apparel exports to the EU, totalling $2.37 billion in January–March 2025, while Vietnam recorded 18.09 percent growth, reaching $1.14 billion in exports.

India, Pakistan, and Cambodia secured $1.44 billion, $1.08 billion, and $1.16 billion respectively from the EU clothing market during January–March 2025.​

 

[Saif]

Bangladesh to stay as top cotton importer in 2025-26

Bangladesh, the second largest exporter of readymade garment items, is poised to remain the world’s largest raw cotton importer in the marketing year 2025-26, said the US Department of Agriculture...

www.newagebd.net

Bangladesh to stay as top cotton importer in 2025-26
USDA says
Saddam Hossain 20 May, 2025, 23:30

A file photo shows a worker overseeing a cotton processing machine at a factory in Habiganj. | New Age photo

Bangladesh, the second largest exporter of readymade garment items, is poised to remain the world’s largest raw cotton importer in the marketing year 2025-26, said the US Department of Agriculture.

According to the data titled ‘Cotton: World Markets and Trade’ issued by the Foreign Agricultural Service under USDA, Bangladesh is projected to import 8.5 million bales of cotton in MY26, which starts in August.

USDA data show that in MY24, Bangladesh imported about 7.5 million bales of cotton from its global sources, which may increase to 8.2 million bales at the end of the current MY25.

Vietnam, one of the closest competitors of Bangladesh in the RMG export, is projected to import 8 million bales of cotton in MY26, where China may import 7 million bales, which imported 15 million bales in MY24.

However, Bangladesh remained top cotton importers, with 7 million bales import in MY23, and 8.45 million bales in MY22.

Meanwhile, on March 31, the USDA, in its report titled ‘Cotton and Products Annual,’ stated that Bangladesh’s cotton imports would witness a slight increase in MY26 thanks to increasing demand for RMG items.

According to the Export Promotion Bureau data, in the July-April period of the current FY25, Bangladesh’s RMG exports witnessed a positive growth of 10.86 per cent year-on-year to $30.25 billion.

In MY24, West African cotton held the largest market share in Bangladesh (37 per cent), while other major exporters included Brazil (17 per cent), India (23 per cent), and the United States (9 per cent).

US cotton growers and exporters tried to expand their exports to Bangladesh for years.

It is to be noted that in early April, the US administration announced hefty duties on multiple countries as part of sweeping global tariffs, and Bangladesh was also slapped with a 37 per cent reciprocal tariff. Currently, most Bangladeshi goods in the US face a 15 per cent tariff.

However, after a few days, the US administration paused the declared tariff for a 90-day period.

A number of exporters and experts suggested raising the import of US cotton to reduce the trade gap between Bangladesh and the US.

On 2023, Bangladesh lifted the double fumigation requirement for US cotton, meant US cotton could enter Bangladesh without fumigation at the port of entry, which saved importers millions of dollars and five days of waiting time.

Mohammad Hatem, president of the Bangladesh Knitwear Manufacturers and Exporters Association (BKMEA), said Bangladesh could import more cotton from the US as a part of a broader strategy to reduce the trade gap between the two countries.

He said that the USDA’s import forecast strongly ratifies Bangladesh’s capability to maintain and expand its leadership in the global RMG value chain.

He also said that importing a large amount of cotton from the US may reinforce Bangladesh’s position for bargaining for duty-free access for its RMG items to the US.

He also said that the government’s position in this regard is appreciable.

He added that cotton will always remain vital as a crucial raw material for Bangladesh’s spinners and knitwear producers as a primary source of natural and sustainable fibre.

According to the USDA, Bangladeshi producers could produce about 153,000 bales of cotton on 45,000 hectares of land, which is less than 2 per cent of its total consumption.​

 

[Saif]

Textile mills gasp from severe disruption in gas supply

Textile and garment industry owners said that due to the inadequate supply of gas, the normal manufacturing activities is being hampered in the industry...

www.newagebd.net

Textile mills gasp from severe disruption in gas supply
Staff Correspondent 25 May, 2025, 22:59

BTMA president addresses the press conference organised by the Bangladesh Textile Mill Association in the capital on Sunday. | Press release

Textile and garment industry owners said that due to the inadequate supply of gas, the normal manufacturing activities is being hampered in the industry.

Moreover, a number of textile mills are on the verge of shutting down as they are unable to operate even at minimum capacity.

They were speaking at a press conference organised by the Bangladesh Textile Mill Association in the capital on Sunday.

Representatives from Federation of Bangladesh Chamber of Commerce and Industry, Bangladesh Garment Manufacturers and Exporters Association, Bangladesh Knitwear Manufacturers and Exporters Association, Bangladesh Terry Towel and Linen Manufacturers and Exporters Association, Leathergoods and Footwear Manufacturers and Exporters Association of Bangladesh, and Bangladesh Chamber of Industries were also present at the event.

BTMA president Showkat Aziz Russell said that the sector was going through a gas supply shortage for the past few months, and it became severe in the last few weeks.

He also said that the government was reluctant to resolve the crises and the sector was passing through a hard time.

‘The government seems like ostrich, everyone is saying about their problems but they hide their head in the sands,’ he added.

He also said that the factories are being strangled to death through anti-industry actions and the working capital has shrunk drastically.

‘It seems that we cannot pay wages and festival allowances properly before Eid and we won’t be able to reopen the factories after Eid,’ he added.

He also said that in 1971, intellectuals were systematically targeted and killed. In 2025, the industry and the industrialists are being targeted destroyed, he added.

He also said that the failure to save the industry could lead the country towards famine.

He sought immediate governmental measures to ensure smooth and uninterrupted gas supply to the textile industries of the country.

‘The government has failed to provide adequate gas supply to the industries despite hike in the prices several time and repeated commitments,’ he added.

But, the government is now setting a deadline for the factories to pay wages, otherwise, the owners will be arrested, and their houses and cars will be sold, he lamented.

‘Government should introduce a mid-term strategy and roadmap to resolve the gas and energy issues,’ he added.

He also said that there was about 20 per cent system loss in Titas Gas, though the global standard is 1 per cent to 2 per cent.

‘If the government take immediate measures to stop system loss, it would be lowered to 7 per cent to 8 per cent,’ he added.

BCI president Anwar Ul Alam Chowdhury said that the government committed to provide required mmcf of gas, but they couldn’t supply.

The government has hiked gas price, interest rates for which factories run only 60 per cent of their capacity.

Jakir Hossain Noyon, member of the assistant committee of the FBCCI, said that government must focus on exploring new gas field to meet the demands.

He also urged the government to start Small Modular Reactor technology for the industry.

BTMA director Rajeev Haidar also urged to drill new gas field.

BTMA vice-president Saleudh Zaman Khan said that if the government did not take proper action, Bangladesh would not see the birth of new entrepreneurs.

‘If the government couldn’t solve the problems by June, a number of factories will shut after the Eid,’ he added.

Business leaders from many other trade bodies also spoke at the event.​

 

[Saif]

High-level consultation held to align on single monitoring and compliance system for RMG sector

A high-level consultation meeting towards alignment for a Single Monitoring and Compliance System (SMCS) was held on Tuesday at the BGMEA Complex in Uttara. The event was jointly organized by the Bangladesh Garment Manufacturers and Exporters Association (BGMEA) and the Bangladesh Knitwear Manufac

thefinancialexpress.com.bd

High-level consultation held to align on single monitoring and compliance system for RMG sector

FE Online Report
Published :
May 27, 2025 23:21
Updated :
May 27, 2025 23:55

A high-level consultation meeting towards alignment for a Single Monitoring and Compliance System (SMCS) was held on Tuesday at the BGMEA Complex in Uttara.

The event was jointly organized by the Bangladesh Garment Manufacturers and Exporters Association (BGMEA) and the Bangladesh Knitwear Manufacturers and Exporters Association (BKMEA).

The meeting brought together key stakeholders, including representatives from the International Labour Organization (ILO), the Department of Inspection for Factories and Establishments (DIFE), and major global brands such as M&S, GAP, Inditex, and Li & Fung, alongside members of BGMEA and BKMEA.

Discussions centered around the persistent challenge of overlapping audits and compliance requirements in the RMG and textile sector.

The participants highlighted how this leads to audit fatigue, duplication of efforts, and inefficient use of resources.

This consultation focused on discussing ways to establish a common platform to streamline monitoring and compliance practices for enhanced sector-wide efficiency and accountability.

The session was chaired by Md. Anwar Hossain, Administrator, BGMEA. ANM Saifuddin, Supporting Committee Member, BGMEA, moderated the discussion, while Fazlee Ehsan Shamim, Executive President, BKMEA, also spoke at the meeting.

In his remarks, Tuomo Poutiainen, Country Director of ILO Bangladesh, stressed the importance of developing a credible and inclusive national system. He highlighted the need for trust-building and institutional collaboration to ensure the system’s success and sustainability.

BGMEA Administrator Md. Anwar Hossain underscored the need to address fragmentation in audits to minimize fatigue and highlighted the importance of a common compliance platform with a credible and internationally accepted unified code of conduct for social and technical audits.

He emphasized that this would benefit all stakeholders — buyers, manufacturers, and workers alike.

Anwar Hossain urged the ILO to take the lead in facilitating its development.

All brand representatives and stakeholders present expressed support for the initiative.

BGMEA and BKMEA will jointly develop a concept paper outlining the scope, rationale, and framework of a unified monitoring and compliance system, according to meeting sources.

Stakeholder consultations will be initiated to identify common compliance indicators across trade bodies, employers, trade unions, brands, and auditing experts.

The initiative aims to lay the groundwork for a trusted and transparent national compliance system aligned with global expectations and the Bangladeshi context.​

 

[Saif]

Over half of registered RMG factories pay festival allowance ahead of deadline: BGMEA

Over 53 per cent, or 1,126 garment factories registered with the apparel apex body — Bangladesh Garment Manufacturers and Exporters Association— paid festival allowances as of Wednesday, three days before the set deadline, according to data from the BGMEA. The trade body, in a circular

thefinancialexpress.com.bd

Over half of registered RMG factories pay festival allowance ahead of deadline: BGMEA

FE Online Report
Published :
May 28, 2025 19:47
Updated :
May 28, 2025 22:19

Over 53 per cent, or 1,126 garment factories registered with the apparel apex body — Bangladesh Garment Manufacturers and Exporters Association— paid festival allowances as of Wednesday, three days before the set deadline, according to data from the BGMEA.

The trade body, in a circular issued on May 26 citing the government’s decision, asked all its members to pay the festival allowance by May 31 and the monthly wages for May by June 3.

“But, if necessary, May wages could be paid before the Eid holiday starts, considering production and shipment, after discussions with respective workers,” read the notification.

It further added that, in such cases, factory management must ensure there is no labour unrest.

According to the BGMEA, some 2,092 factories listed with the trade body are currently in operation.

Some 46.18 per cent, or 966 factories, had not paid the festival allowance as of Wednesday, data showed.

It also showed that four units in the Gazipur, Savar, and Ashulia industrial zones out of the 2,092 factories suspended operations on Wednesday for various reasons.

Two factories located in Gazipur — Hong Kong Fashion Ltd and Hagh Knitwear Ltd — had not paid wages for the month of March as of Wednesday, while about two dozen factories had not paid wages for the month of April.​

 

[Saif]

Bangladesh now has 244 green RMG factories

Now Bangladesh has 244 readymade garment factories certified by the United States Green Building Council’s Leadership in Energy and Environmental Design authorities as another unit achieved status of green factory. ..

www.newagebd.net

Bangladesh now has 244 green RMG factories
Staff Correspondent 28 May, 2025, 23:06

Now Bangladesh has 244 readymade garment factories certified by the United States Green Building Council’s Leadership in Energy and Environmental Design authorities as another unit achieved status of green factory.

Of the 244 green factories, 102 are platinum-rated, 128 gold-rated, 10 silver-rated and four certified factories, according to the Bangladesh Garment Manufacturers and Exporters Association.

In May, Gazipur-based Esprit Apparels Ltd achieved a platinum certificate from the USGBC under LEED BD+C: New Construction v4 rating system with a score of 101.

So far, 68 of the world’s top 100 LEED factories, including nine of the top 10 and 18 of the top 20, are in Bangladesh.

This success is expected to attract new investment and partnerships, reinforcing Bangladesh’s position as a sustainable manufacturing hub.

According to industry insiders, a total of 550 factories were awaiting the USGBC’s LEED certification.

The factories of Bangladesh have been obtaining the LEED certificate since 2011.

The USGBC honours factories based on several criteria: transformation performance, energy, water and waste management. The best performers are rated platinum, followed by gold and silver.

According to industry insiders, these criteria help green factories significantly reduce operational costs over time, even though they may initially cost more to set up.

Former BGMEA director Mohiuddin Rubel said that as the world increasingly prioritised ESG performance and sustainability in supply chains, this milestone enhanced the country’s global image.

According to apparel manufacturers, the move towards green factory buildings helped regain Bangladesh›s image after the Rana Plaza tragedy, which claimed 1,134 lives and left more than 2,000 injured.​

 

[Saif]

We will expand new market destinations: Mahmud H Khan

As the election of the board of director of Bangladesh Garment Manufacturers and Exporters Association is approaching, Mahmud Hasan Khan (Babu), the panel leader of Forum, a contesting panel of BGMEA election for 2025-27 tenure, said his...

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We will expand new market destinations: Mahmud H Khan
Saddam Hossain 29 May, 2025, 23:06

Mahmud Hasan Khan (Babu)

As the election of the board of director of Bangladesh Garment Manufacturers and Exporters Association is approaching, Mahmud Hasan Khan (Babu), the panel leader of Forum, a contesting panel of BGMEA election for 2025-27 tenure, said his vision to expand market destination for the country’s readymade garment items.

In an interview with New Age, Babu, also the managing director of Rising Group, said that their goal is to increase stake in the nontraditional or new markets.

‘In the past ten years, the market for country’s RMG items expanded to Asian, African and Latin American markets significantly. Currently, about 20 per cent of the export earnings come from the new markets,’ he added.

Overreliance on few destinations is not ideal always, he added saying that they would work more for Japan, Australia, Brazil and other new destinations.

He also said that if they can be elected, they would closely work with the government to sign free trade agreement or preferential trading agreement as the Western countries frequently changes their tariff policies.

‘To fulfill our 14-point election manifesto, we have selected candidates’ entrepreneurial experience, professional competence, industry expertise, and technological proficiency, as well as their visionary leadership,’ he added.

He said that for the mentioned reason, the members would vote them, and if they can be elected, they will contribute to building a modern, transparent, and accountable BGMEA and in this regard.

He said that the Ministry of Commerce handles a wide range of domestic trade matters, often resulting in delays. So, they will work with the government establish a dedicated ‘Ministry of Apparel’ to faster decision-making, policy formulation and implementation.

He also said that small and medium entrepreneurs in the apparel sector have long faced numerous challenges.

‘It is crucial to ensure access to low-interest loans for SME entrepreneurs. We would work for a special fund to provide them with technology support and enhanced market access.

Regarding the industrial safety and labour rights, he said that it would introduce forced-savings among the RMG manufacturers as a solution to wage issues ahead of Eid and other festivals.

‘Bangladesh’s apparel industry is now 45 years old. Yet, it has not become truly sustainable. To build a resilient industry, we must prioritize key areas like industrial safety, labour rights, and environmental protection’, he added.

He also said that they would work for a practical and comprehensive exit policy for the factories which become unviable due to uncontrollable reasons.

Babu Said that they have a plan to establish zone-based crisis management cells to enable faster and more effective responses to any issues that arise locally.

‘The harassment faced during customs audits continues to be a major issue for us. We do not want to remain trapped in this cycle,’ he added.

He said that they work to implement a fully digitized clearance system to reduce both the time and cost of export-import operations.

He also said that they want a competent, transparent, and accountable BGMEA for the sake of a stronger national economy.​

 

[Saif]

Bangladeshi RMG factories reap benefits from Better Work programme

Garment factories enrolled in the Better Work Bangladesh (BWB) programme are undergoing fewer social audits—used to assess labour and human rights risks—compared to factories not participating in the initiative. Babylon Group, which operates four knit and woven garment factories, has s

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Bangladeshi RMG factories reap benefits from Better Work programme

FE ONLINE REPORT
Published :
May 30, 2025 10:32
Updated :
May 30, 2025 10:32

Garment factories enrolled in the Better Work Bangladesh (BWB) programme are undergoing fewer social audits—used to assess labour and human rights risks—compared to factories not participating in the initiative.

Babylon Group, which operates four knit and woven garment factories, has seen its average number of social audits drop from about 12 annually to seven or eight since joining the BWB programme. Rubaet Bin Aziz, Group General Manager of HR, Admin, and Compliance at Babylon Garments Limited, shared this information during a media visit to the company's Mirpur-based factory on Thursday.

“This reduction not only saves valuable time but also cuts annual costs by approximately Tk 10 million,” Aziz said.

Three of Babylon Group's factories have been working with the Better Work programme for the past seven years.

The media tour was organised by BWB to showcase how effective social dialogue and grievance mechanisms can lead to stronger worker-management relationships and support both economic performance and worker well-being.

A report by the International Trade Center (ITC), released in August last year, noted that Bangladesh's ready-made garment (RMG) sector continues to experience the highest average number of social audits, even as other countries like China, Vietnam, Turkey, and India have seen a decline in such assessments.

The report pointed out that excessive auditing can lead to "fatigue" and "inefficiencies" within supply chains.

Local apparel exporters echoed this concern, stating that the same auditors often conduct multiple audits throughout the year, collecting duplicate information for different buyers. This repetition, they said, disrupts production and incurs unnecessary costs.

Social audits play a key role in identifying labour and human rights risks and ensuring suppliers meet global or company-specific standards for ethical labour and supply chain practices.

The Better Work programme, a joint initiative of the International Labour Organization (ILO) and the International Finance Corporation (IFC), collaborates with governments, employers, workers, and global brands to improve labour conditions and boost competitiveness in the garment sector.

Launched in Bangladesh in 2015, the programme currently includes around 490 factories, benefiting approximately 1.3 million workers—51 per cent of whom are women—according to BWB Team Lead Syed Fazle Niaz.

Nasrin Akter, a senior operator and president of the Babylon Garments Workers Union, told The Financial Express that workers communicate their demands through the union, which negotiates with factory management.

She cited the recent announcement of a 10-day Eid-ul-Adha holiday on May 12, which came after workers requested the time off—two weeks before the Bangladesh Garment Manufacturers and Exporters Association (BGMEA) issued similar guidance to its members.

Aziz emphasised Babylon’s commitment to fair labour practices, supported by a strong governance structure that encourages open dialogue in the workplace.

He noted that the BWB programme’s capacity-building initiatives have helped trade union leaders improve their critical thinking, debating, and listening skills—enhancing communication and ensuring better representation of worker interests.

Mr Niaz added that trade unions play a vital role in allowing workers to voice concerns democratically, ultimately contributing to long-term business sustainability.​

 

[Saif]

Budget a bit optimistic for garment sector: BGMEA

The Bangladesh Garment Manufacturers and Exporters Association welcomed the Tk 7.9 lakh crore national budget for FY 2025–26, acknowledging its focus on inclusive and sustainable development amid a post-political transition landscape...

www.newagebd.net

Budget a bit optimistic for garment sector: BGMEA
Staff Correspondent 03 June, 2025, 00:24

The Bangladesh Garment Manufacturers and Exporters Association welcomed the Tk 7.9 lakh crore national budget for FY 2025–26, acknowledging its focus on inclusive and sustainable development amid a post-political transition landscape.

In a statement issued by BGMEA administrator Anwar Hossain on Monday, the trade body praised the emphasis on education, health, good governance, job creation, and preparation for LDC graduation.

He said that the proposed 6.5 per cent inflation target and no increase in electricity prices were positive for low-income workers and industries.

Moreover, the VAT exemptions on LNG imports and reduced duties on petroleum and diesel are expected to cut production costs.

BGMEA also lauded allocations for women entrepreneurs (Tk 125 crore), blue economy research (Tk 200 crore), climate risk mitigation (Tk 100 crore), and youth entrepreneurship (Tk 100 crore).

The RMG sector, accounting for 84 per cent of exports, is under pressure from global challenges, including US tariffs, India’s transshipment suspension, high bank interest rates, and utility price hikes.

In this context, BGMEA appreciated the decision to keep source tax and corporate tax for exporters unchanged.

Moreover, they also applauded several reforms simplifying the bond and customs system, such as extended general bond renewal terms, revised penalties, and tariff exemptions for key machinery for EPZs.

However, BGMEA expressed disappointment that some proposals, like full VAT exemptions for RMG-related services and smoother HS code and bonded operations, were not included.

The association emphasised the need for continued support to safeguard the livelihoods of 4 million people tied directly and indirectly to the industry.​

 

[Saif]

Garment exports hit $10b as raw material import costs $4b

In the third quarter (January–March) of the current 2024–25 fiscal year, Bangladesh exported ready-made garments worth a total of USD 10.34 billion (USD 1,034 crore).

en.prothomalo.com

Garment exports hit $10b as raw material import costs $4b
Staff Correspondent Dhaka
Published: 09 Jun 2025, 13: 13

Readymade garments factory AFP file photo

In the third quarter (January–March) of the current 2024–25 fiscal year, Bangladesh exported readymade garments worth a total of USD 10.34 billion (USD 1,034 crore). During the same period, USD 4.25 billion (USD 425 crore) was spent on importing raw materials.

This means that the value addition in garment exports during the last quarter stood at 58.90 per cent while in the previous quarter, the value addition stood at 61 per cent.

These figures were revealed in the latest quarterly report by Bangladesh Bank on the ready-made garment sector. The report shows that since the fourth quarter of the 2021–22 fiscal year, value addition in garment exports has been hovering around 60 per cent.

The central bank calculates the net export or value addition in the garment sector by deducting the cost of importing cotton, yarn, fabric, and accessories from total garment export earnings. Some also refer to net export income as the sector’s value addition.

The Export Promotion Bureau (EPB) had inflated export figures in the last two fiscals. The export as well as the value addition rate saw a false increase then. The Bangladesh Bank brought this discrepancy in the statistics to light in middle of last year. The export data was later revised and the value addition rate in the garment sector dropped across seven quarters in the last two fiscal years in turn.

Due to the inflated export figures, value addition in garment exports suddenly jumped from 59 per cent to over 67 per cent for the second quarter (October–December) of 2022–23 fiscal year. The value addition ranged between 70 per cent and 72 per cent in the following five quarters.

However, after the data revision, it was revealed that value addition in the January–March and April–June quarters of that fiscal year had actually dropped to 62 per cent. Meanwhile, the value addition ranged between 57.5 per cent and 61.5 per cent in all four quarters of 2023–24 fiscal year.

According to the Bangladesh Bank report, the export of readymade garments stood at USD 9.51 billion (USD 951 crore) in the first quarter (July–September) of the current fiscal year while the import of raw material was at USD 3.84 billion (USD 384 crore) resulting in a value addition of 59 per cent.

Then in the second quarter (October–December), garment exports reached USD 10.37 billion (USD 1,037 crore), with USD 4.04 billion (USD 404 crore) spent on raw materials. With this the value addition stood at 61 per cent.​

 

[Saif]

BD becomes fastest-growing apparel exporter to US

Bangladesh emerged as the fastest-growing apparel exporter to the United States with the highest 29.34-percent year-on-year growth among its major peers during the first four months of 2025. The export of readymade garments from Bangladesh during the January- April period fetched US$2.98 b

thefinancialexpress.com.bd

BD becomes fastest-growing apparel exporter to US
Records highest 29.34pc annualised growth among peers during four months to April

FE REPORT
Published :
Jun 11, 2025 01:02
Updated :
Jun 11, 2025 01:02

Bangladesh emerged as the fastest-growing apparel exporter to the United States with the highest 29.34-percent year-on-year growth among its major peers during the first four months of 2025.

The export of readymade garments from Bangladesh during the January- April period fetched US$2.98 billion, against US$2.31 billion in the same period of 2024, according to the data released on June 05 by OTEXA, an affiliate of the US Department of Commerce.

The growth rate also surpassed the global average growth of 10.67 per cent, placing Bangladesh ahead of main competitors like Vietnam, India and Cambodia on the US market.

US's overall apparel imports during January to April 2025 stood at US$26.22 billion, up from $23.69 billion in the corresponding period the last year.

The rise reflects improved consumer demand and the ongoing recalibration of supply chains, particularly in response to trade and tariff shifts involving China.

Vietnam, which overtook China in March 2025 to become leading apparel exporter to the US, kept its position in April as US imports from China during the period fell sharply.

Vietnam shipped RMG items worth US$5.09 billion, accounting for a 16.08- percent growth.

China remained in the second position with US$4.36 billion worth of RMG shipments with a meagre 0.6-percent year-on-year growth highlighting the effects of renewed tariff barriers and ongoing geopolitical tensions.

Talking to the FE, Fazlul Hoque, former president of the Bangladesh Knitwear Manufacturers and Exporters Association (BKMEA), termed the growth good.

Responding to a question, he said it would take some more months or August onwards to understand the US new tariff regime's impact, saying that there is on average a 50:50 arrangement between most US buyers and local exporters that each of them would share half of the additional 10-percent duty burden for the interim period.

Exporters opine that the overall work-order situation is good despite some disruption in backward-linkage suppliers due to gas crisis.

According to the OTEXA data, China started the year with strong export performance as in January US imports of Chinese apparel reached US$1.60 billion in a 13.6-percent increase compared to the same month in 2024 while February recorded 3.0-percent growth.

In March, however, the momentum reversed with US imports falling 8.9 per cent year on year to US$826.7 million. The decline deepened in April, when imports dropped by a further 13.3 per cent to US$760.7 million.

In contrast, Vietnam demonstrated consistent and accelerating growth throughout the first four months of the year.

Vietnam's apparel exports to the US in January rose 19.8 per cent, February with modest at 2.2 per cent but in March and April recorded 20.2-percent and 23.3-percent growth respectively.

India's apparel exports rose by 20.3 per cent to US$2 billion during the January-to-April period.

Indonesia recorded a 15.61-percent increase in apparel shipments to US$1.6 billion, continuing its steady growth as a supplier to the US market.

Cambodia witnessed 19.79-percent rise in exports, reaching US$1.23 billion, during the period under consideration.

Pakistan also recorded a growth of 19.5 per cent to bag US $750 million from the US market.​

 

[Saif]

RMG sector pays tribute to Rakib

The readymade garment (RMG) sector bid a heartfelt farewell to Abdullah Hil Rakib, founder and managing director of Team Group, at the BGMEA Complex in Uttara, Dhaka, before he was laid to rest at the BAF Shaheen graveyard on Saturday. A stalwart of the industry for over three decades, Rakib died i

thefinancialexpress.com.bd

RMG sector pays tribute to Rakib

FE REPORT
Published :
Jun 15, 2025 09:37
Updated :
Jun 15, 2025 09:37

The readymade garment (RMG) sector bid a heartfelt farewell to Abdullah Hil Rakib, founder and managing director of Team Group, at the BGMEA Complex in Uttara, Dhaka, before he was laid to rest at the BAF Shaheen graveyard on Saturday. A stalwart of the industry for over three decades, Rakib died in a boating accident in Canada on June 8.

At the farewell ceremony, industry leaders gathered to honour his legacy and pledge to carry forward his unfinished dreams, particularly his vision of reaching $100 billion in RMG exports.

Former BGMEA president Faruque Hassan reflected on Rakib's lifelong dedication to family, business, and the RMG sector. "Rakib was always the first to step forward in times of crisis," he said.

Rakib served as a senior vice president of BGMEA and was deeply involved in the growth of Bangladesh's apparel sector. Md. Abul Kalam, Managing Director of Chaity Group, highlighted Rakib's ambition to elevate Bangladesh's apparel exports to $100 billion, committing to making that dream a reality.

Former BGMEA president SM Fazlul Hoque called Rakib a "shining light" with many dreams, while Quazi Moniruzzaman, another past president, praised Rakib for creating countless job opportunities.

Rakib's vision extended beyond business, including skills development, design, sustainability and branding Bangladesh globally. Asif Ashraf, Managing Director of Urmi Group, paid tribute to Rakib's vision for the nation's collective progress and better governance.

The ceremony was attended by Rakib's grieving family, including his wife Afroza Shaheen and children Mahir Daiyan and Lamia Tabassum. In a tearful tribute, Lamia pledged to fulfil her father's legacy.

Rakib's body was brought back to Dhaka on Friday night, and the first namaz-e-janaza was held at the BGMEA Complex on Saturday morning, followed by a second prayer after Zuhr at Banani DOHS. He was laid to rest at the BAF Shaheen graveyard. Rakib and his close friend Captain Md. Saifuzzaman Guddu of Biman Bangladesh Airlines died in the same boating accident in Canada.

Rakib is survived by his wife and two children. His family have been residing in Toronto for the children's education. Rakib had travelled to Canada to celebrate Eid with his family when the accident occurred.​

 

[Saif]

BGMEA signs MoU with Textilepages to enhance access to international buyers

The Bangladesh Garment Manufacturers and Exporters Association (BGMEA) and Textilepages.com, a global B2B platform, signed a Memorandum of Understanding (MoU) on Sunday at the former’s Uttara office in the city. This partnership aims to empower BGMEA member factories, particularly small and

thefinancialexpress.com.bd

BGMEA signs MoU with Textilepages to enhance access to international buyers

FE ONLINE REPORT
Published :
Jun 15, 2025 20:44
Updated :
Jun 15, 2025 20:44

The Bangladesh Garment Manufacturers and Exporters Association (BGMEA) and Textilepages.com, a global B2B platform, signed a Memorandum of Understanding (MoU) on Sunday at the former’s Uttara office in the city.

This partnership aims to empower BGMEA member factories, particularly small and medium-sized exporters, by enhancing their digital presence and enabling direct access to international buyers free of charge, according to a statement.

Under the agreement, BGMEA members will gain access to key features of Textilepages.com, a leading global B2B platform dedicated to the textile and apparel industry.

It supports the broader mission of increasing Bangladesh’s export potential through digital transformation and global visibility.

Md Anwar Hossain, the administrator of BGMEA, said, “In today’s global market, digital visibility is essential for growth. This partnership will help our members, especially SMEs, connect with buyers worldwide and showcase the strength of Bangladesh’s apparel industry.”

Rahman Rob Bhuiyan, founder of Textilepages.com, BGMEA vice presidents Inamul Haq Khan Bablu and Shehab Udduza Chowdhury, among others, were also present.​

 

[Saif]

BGMEA, Swisscontact join forces

The apparel apex body, BGMEA and Swisscontact have joined forces to drive sustainable and inclusive transformation in the country’s readymade garments (RMG) sector. In this connection, Swisscontact and Bangladesh Garment Manufacturers and Exporters Association (BGMEA) on Sunday signed a Memo

thefinancialexpress.com.bd

BGMEA, Swisscontact join forces

FE ONLINE REPORT
Published :
Jun 15, 2025 20:19
Updated :
Jun 15, 2025 20:19

The apparel apex body, BGMEA and Swisscontact have joined forces to drive sustainable and inclusive transformation in the country’s readymade garments (RMG) sector.

In this connection, Swisscontact and Bangladesh Garment Manufacturers and Exporters Association (BGMEA) on Sunday signed a Memorandum of Understanding (MoU) at the trade body’s headquarters in Uttara in the city, according to a statement.

The MoU formalises collaboration under three flagship projects implemented by Swisscontact – PROGRESS (Promoting Green Growth in the RMG Sector through Skills), InSPIRE (Initiative to Stimulate Private Investment for Resource Efficiency) and BYETS (Building Youth Employability through Skills).

The first two projects are funded by the Embassy of Sweden and the Swiss Agency for Development and Cooperation (SDC), while the third is funded by the Embassy of the Netherlands.

The MoU brings together BGMEA’s industry reach and Swisscontact’s development expertise to collaborate and promote sustainability, focusing on skills development for women and youth, environmental and social compliance, clean energy adoption, and joint outreach to support factory-level transformation in the RMG sector, added the statement.

Speaking at the signing ceremony, Ikramul H Sohel, Senior Programme Officer – Inclusive Economic Development of the Embassy of Sweden in Dhaka, said, “The Swedish government prioritises empowering MSMEs and advancing gender equality within the RMG sector. We believe this partnership between Swisscontact and BGMEA will bring these priorities to life by catalysing meaningful, long-term change that benefits both workers and businesses.”

BGMEA Administrator Anwar Hossain said, “This MoU reflects our commitment to strengthening Bangladesh’s RMG sector by enhancing competitiveness through innovation, workforce development, and sustainability. We look forward to working with Swisscontact to create tangible impact across the industry.”

“We are excited to join hands with BGMEA to scale our efforts in making the RMG sector more resilient, inclusive, and environmentally sustainable,” said Ishrat Fatema, Deputy Country Director of Swisscontact Bangladesh.

BGMEA's newly elected senior vice president Inamul Haq Khan Bablu and its Support Committee members Asif Ashraf and ANM Saifuddin were also present there.​

 

[Saif]

Iran-Israel conflict may affect Bangladesh’s RMG sector: BGMEA president

The ongoing conflict between Iran and Israel might affect the country’s readymade garment business as the global prices of oil could rise due to the war, causing a hike in operational costs locally. “The Iran-Israel war could be a new challenge for the local garment industry, that coul

thefinancialexpress.com.bd

Iran-Israel conflict may affect Bangladesh’s RMG sector: BGMEA president

FE ONLINE REPORT
Published :
Jun 16, 2025 19:48
Updated :
Jun 16, 2025 19:48

The ongoing conflict between Iran and Israel might affect the country’s readymade garment business as the global prices of oil could rise due to the war, causing a hike in operational costs locally.

“The Iran-Israel war could be a new challenge for the local garment industry, that could result in a rise in global oil prices. And sustaining the competitiveness amid such a situation could be very challenging,” Mahmud Hasan Khan Babu, the newly elected president of Bangladesh Garment Manufacturers and Exporters Association (BGMEA), said on Monday.

He made the remark at the charge handover ceremony of the BGMEA held at its Uttara office in the city.

The newly elected BGMEA board of directors, led by its president Mahmud Hasan Khan, took charge of the trade body for the term of 2025-2027.​

 

[Saif]

Most of the RMG factories were closed before August 5: Dr Sakhawat

Labour and Employment Adviser Brig Gen (Retd) Dr M Sakhawat Hossain on Wednesday said some garments factories experienced closures before last year’s August 5 although it was often mentioned that these closures were taken place after August 5. “The owners of these garments factories to

thefinancialexpress.com.bd

Most of the RMG factories were closed before August 5: Dr Sakhawat

UNB
Published :
Jun 25, 2025 19:44
Updated :
Jun 25, 2025 19:44

Labour and Employment Adviser Brig Gen (Retd) Dr M Sakhawat Hossain on Wednesday said some garments factories experienced closures before last year’s August 5 although it was often mentioned that these closures were taken place after August 5.

“The owners of these garments factories took huge loans from the banks but they did not pay the salaries and dues of the employees timely,” he said while talking to journalists after attending a seminar at Bangladesh Public Administration Training Centre (BPATC).

The Defence Services Command and Staff College, Mirpur, organized the seminar with the participation of military officers of different ranks from 24 countries.

The adviser said that the owners of these garments have taken loans ranging from Tk 2 billion to Tk 3 billion from banks and most of them are now defaulters. Now, the banks are not giving more loans to them as they did not refund the money timely, Dr Sakhawat said.

Most of the owners of these garments have already left the country due to their own crisis as they ran their business with political connections, he added.

Replying to another question, Dr Sakhawat claimed that most of the employees of recently closed Beximco Group have already joined different factories across the country including Chattogram.​

 

[Saif]

3-day int’l textile expo begins

The 16th edition of Intex Bangladesh Expo 2025 began on Wednesday at International Convention City Bashundhara in the capital...

www.newagebd.net

3-day int’l textile expo begins
Staff Correspondent 25 June, 2025, 22:29

The 16th edition of Intex Bangladesh Expo 2025 began on Wednesday at International Convention City Bashundhara in the capital.

The three-day international textile sourcing show is hosting over 125 companies from more than 10 countries, providing a dynamic platform for global buyers, suppliers and manufacturers, said a press release.

Commerce secretary Mahbubur Rahman was present as chief guest and Export Promotion Bureau chairman Md Anwar Hossain as guest of honour in the inaugural event.

Mahbubur Rahman said, ‘Bangladesh is no longer just a volume player — it’s emerging fast as a global hub for sustainable, value-added apparel manufacturing. With strategic investment in innovation, compliance and skilled workforce, the country is well-positioned to lead the next chapter of responsible fashion and textile sourcing. We believe that a platform like INTEX Bangladesh will play a major role in achieving our strategic goals while ensuring quality products in a competitive global market.’

This year’s expo features prominent country pavilions. India, through TEXPROCIL and PDEXCIL, is showcasing cotton, blends and sustainable textiles; China brings technical fabrics and garment trims; South Korea features eco-friendly performance materials; while Thailand and Japan contribute premium shirting and woven products. Bangladeshi exhibitors are highlighting advancements in knitwear, denim and vertically integrated production solutions.

As part of the expo, Interactive Business Forum will host two thought-provoking sessions. The first explores the integration of AI in textile production and fashion, while the second addresses the impact of global tariffs and trade shifts on Bangladeshi exports.​

 

[Saif]

Muslin’s revival weaves past into present

On a golden summer morning in Rupganj, Narayanganj, the sound of handlooms echoes from tin-roofed sheds nestled amid winding village paths and open fields.

www.thedailystar.net

Muslin’s revival weaves past into present

A centuries-old fabric once lost to history is being revived -- and with it, a new generation of artisans, mostly women, are weaving their way into the economy.

Photo: Ibrahim Khalil Ibu

On a golden summer morning in Rupganj, Narayanganj, the sound of handlooms echoes from tin-roofed sheds nestled amid winding village paths and open fields. Inside, women and men sit in quiet focus, spinning delicate threads. Here, in the heart of what was once Bengal's muslin belt, a fabric that disappeared nearly two centuries ago is being reborn -- and with it, the livelihoods of hundreds of rural artisans.

The Dhakai muslin revival project, formally titled Bangladesh's Golden Heritage: Muslin Yarn Making Technology and Revival of Muslin Fabrics, was launched in 2018 with a budget of Tk 12.1 crore. Its goals were ambitious: to rediscover the lost phuti karpas cotton, retrain weavers in long-forgotten techniques, and re-establish muslin as a symbol of national pride -- and rural prosperity.

What began as a heritage restoration initiative has evolved into a grassroots economic movement, creating employment, empowering women, and anchoring a new kind of rural artisan economy in the legacy of an ancient craft.

For nearly 200 years, the threads of muslin lay broken. Once draped across Mughal emperors and traded across Europe and the Middle East, Dhakai muslin collapsed under the combined weight of colonial violence, industrial competition, and economic neglect. British policies in the 18th and 19th centuries, including punitive taxation, import substitution, and, according to some historical accounts, deliberate sabotage, brought the muslin industry to its knees. The decline of the Mughal Empire and the disappearance of phuti karpas, the rare cotton plant used in muslin, sealed its fate.

Not until 2014 did serious efforts begin to revive it. That year, the Ministry of Textiles and Jute issued a directive: bring back muslin. Four years later, the project was formally launched under the Bangladesh Handloom Board. A research committee was formed, including experts from Bangladesh Textile University, Rajshahi University, BTMC, and the Cotton Development Board.

"We launched this project to revive our heritage and golden past," said Md Ayub Ali, the project's director. "And we worked with that goal in mind."

The first challenge was scientific: to locate and cultivate phuti karpas again. But equally vital was the rediscovery of ultra-fine hand-spinning techniques -- the kind once capable of producing yarn counts above 500, so fine it could pass through a signet ring.

In Chandina and Debidwar in Cumilla, researchers found ageing artisans still producing low-count yarns on foot-powered spindles. Through rigorous training and patient mentoring, many have now reached counts as high as 731, approaching the legendary fineness of historical muslin.

Beyond historical restoration, the project has offered a lifeline to hundreds of rural women who had little or no access to income. Among them is Marjia Begum, 18, from a small village near Narayanganj.

"I had to stop school during the coronavirus lockdown. We just couldn't afford anything anymore," she said. Having studied up to class 9, she faced a future filled with economic uncertainty. "I was not in any job, and I had no skills. I used to just sit at home, worried all the time," she recalled.

Her life changed when she was selected for muslin training under the revival initiative. "At first, I didn't even understand what muslin really was," she said, laughing. "But the trainers were patient. Slowly, I began to love it."

Marjia now earns Tk 550 a day -- enough to support her family and save for the future. "It's not just a job," she said. "This is dignity. I can help my parents. I feel important."

Like Marjia, most of the 327 women trained so far had previously been engaged in unpaid domestic work. "Out of 327 women weavers, 300 were in domestic work, which we do not value economically," said Ayub Ali. "They've come out, taken training, and are now contributing. This is a major achievement in women's empowerment."

The structure of the workday, typically from 7 am to 2 pm, allows women to balance paid work with household responsibilities. Many bring their children to the muslin centres, where they play nearby.

Jayeda Akter Joba, 24, lives near Dhaka Muslin House in Rupganj. "I finished higher secondary school, but after that, I couldn't study further. We often struggled to eat even once a day," she said. Curious about the training, she joined. "I'd read that kings and queens once wore muslin. I never thought I'd help make it."

After six months of training, Joba now earns a stable income. "I support my family with my husband, pay for my children's expenses, and I no longer feel like a burden."

WEAVING SKILL, HISTORY AND DIGNITY

Mohsina Akhter, 33, began her career as a domestic help in Chandina, Cumilla. Today, she is a supervisor and trainer at the Dhaka Muslin House. "It took me two to three years of practice to master the technique," she said. Now earning Tk 16,800 per month, she trains other women and supports her family. "I feel proud, not just for what I make, but for what I pass on."

Aasia Begum, 31, worked for years as a Jamdani weaver before transitioning to muslin. "Jamdani is easier," she explained. "Muslin is much more delicate. Everything is done by hand -- spinning, weaving -- and it takes a long time. I often get back pain from sitting for hours."

Despite the difficulties, Aasia has completed three full muslin pieces. "It's something our ancestors were famous for. I'm proud to be part of this history."

Yet even pride has its limits. "If this project continues and our income increases, we'll be more empowered and the muslin industry will rise again," she said.

That tension -- between cultural legacy and economic viability -- is echoed by other artisans.

Sabuj Mia, a senior weaver, said: "We're proud to bring muslin back, but for us artisans to stay committed, we need fair wages that match the time and effort this work demands. If income grows steadily, muslin won't just survive, it will thrive."

He added that many artisans are the sole breadwinners in their families. "We can't keep going just on pride. We need consistent support and better pay. Then this heritage won't be a burden -- it'll be a future."

The project has achieved symbolic milestones. In March 2021, muslin received geographical indication (GI) certification. In July the same year, it won the national Public Administration Medal (institutional category), recognising its role in reviving a critical piece of Bangladesh's cultural identity.

The Dhaka Muslin House, established in Tarabo along the Shitalakshya River, once a thriving zone of muslin trade, now functions as both a production hub and a living museum.

In the first phase, artisans produced 58 pieces of muslin cloth, including 27 sarees -- some complete, others still in progress, as well as scarves and veils. These pieces are not being sold commercially, but serve as research and exhibition material.

A second phase began in March 2025 and will run until mid-2027. It aims to refine cotton varieties, improve pre-weaving processes, and train private entrepreneurs for future scale-up. "We plan to transfer the project to private hands for long-term commercial production, both nationally and globally," said Ali.

Still, concerns linger over job security. Many workers remain under project-based contracts, with uncertain continuity. During funding gaps or administrative lulls, some artisans have left for garment factories, lured by more stable income. For muslin to flourish, workers say, it needs not just pride but protection.

A FABRIC OF THE FUTURE

Today, muslin is more than a cloth. It is a return on cultural investment, a rediscovery of skill, dignity, and economic value rooted in tradition. The revival of Dhakai muslin illustrates what heritage restoration can achieve when paired with inclusive employment, targeted training, and sustained institutional support.

And in the fingers of women like Marjia, the legacy of Bengal's most exquisite fabric is being rewoven -- not just into cloth, but into lives, livelihoods, and a future stitched with purpose.

While the term "muslin" continues to be used commercially by fashion brands, much of it is in name only, Md Monzur Hossain, professor of Botany at Rajshahi University and a member of the muslin research team, said. "Muslin is still being marketed by various fashion companies, but mostly as a trade name because the word 'muslin' has commercial appeal," he said. "If you use the name, it sells."

But true Dhakai muslin, he emphasised, must meet specific criteria in both material and technique. "Authentic Dhakai muslin must be made entirely of cotton and woven with yarn of a specific count," he said, adding that the revival project even developed a new spinning wheel to meet these traditional standards.

"Whether the yarn is 300 count and produced locally or imported -- these are critical considerations," Hossain added. "If these criteria aren't met, it can't be called genuine Dhakai muslin."​

 

[Saif]

Textile waste can be exported to Pakistan: BGMEA

Pakistan can meet the growing demands of its recycling industry by importing garment industry waste (textile waste) from Bangladesh, said Mahmud Hasan Khan Babu, president of the BGMEA on Sunday...

www.newagebd.net

Textile waste can be exported to Pakistan: BGMEA
Bangladesh Sangbad Sangstha . Dhaka 29 June, 2025, 22:03

Pakistan can meet the growing demands of its recycling industry by importing garment industry waste (textile waste) from Bangladesh, said Mahmud Hasan Khan Babu, president of the BGMEA on Sunday.

He said Bangladesh is the largest producer of jute in the world, and there is significant demand for Bangladeshi jute fibre in Pakistan.

‘If Pakistan imports jute fibre, it will be beneficial for both the countries,’ said the BGMEA President.

He made the remarks when Muhammad Wasif, Chargé d’Affaires of the Pakistan High Commission paid a courtesy visit to Bangladesh Garment Manufacturers and Exporters Association office in Uttara on Sunday, said a BGMEA press release.

Trade and Investment Attaché of the high commission Zain Aziz, BGMEA vice-president Md Rezwan Selim, and directors Faisal Samad, Sumaiya Islam, and Fahima Akhter were present at the meeting.

The meeting focused on strengthening and expanding trade ties between the two nations, particularly in the garment and textile sectors, and explored other potential areas of cooperation.

The release said discussions included increasing textile imports from Pakistan and exporting ready-made garments and accessories from Bangladesh to Pakistan. Bangladesh has made notable progress in garment accessories production.

Both sides agreed to share knowledge, send business delegations, and collaborate on exhibitions and workshops.

They also discussed the implementation of a Memorandum of Understanding (MoU) previously signed between the BGMEA and the Pakistan Readymade Garments Manufacturers and Exporters Association (PRGMEA) to promote bilateral trade.

The BGMEA President emphasized that active involvement from business communities in both the countries is vital for the MoU’s implementation.

Both parties agreed to appoint focal points to further accelerate trade and investment cooperation.​

 

[Saif]

undefined | The Financial Express

thefinancialexpress.com.bd

TRUMP TARIFFS
US fashion cos plan further China dependency cut: Study

Monira Munni
Published :
Jul 01, 2025 00:02
Updated :
Jul 01, 2025 00:02

US fashion companies plan to further cut their dependency on China due to the Trump administration's escalating tariffs and policy uncertainties, according to the findings of a survey.

"Far from surprising, many leading US fashion companies expressed concerns that the Trump administration's escalating tariffs have resulted in higher sourcing costs and cut companies' profit margins," the survey said.

"To mitigate these impacts, most companies plan to further reduce their 'China exposure,' maintain a geographically diversified sourcing base, and prioritise flexibility in sourcing and shipping," it said.

With the hiking tariff rate on US apparel imports from China and increasing strategic competition between the two countries, many leading US fashion companies plan to reduce their apparel sourcing from China to a single-digit, if not move out of the country entirely, it added.

Local exporters, however, see business opportunities, saying Bangladesh has the capacity to grab the possible shifted work orders with a competitive edge, provided it addresses internal issues like the energy crisis and other logistics-related barriers.

Dr Sheng Lu, a professor of fashion and apparel studies at the University of Delaware, analysed the available data and transcripts of the latest earnings calls from approximately 25 leading publicly traded US fashion companies between mid-May and June 2025, as well as covered company performances in the first quarter of this year.

The study aimed to examine the impacts of the Trump administration's escalating tariffs on US fashion companies' apparel sourcing practices.

It found no clear evidence that the current policy environment has successfully incentivised US companies to expand apparel sourcing from the Western Hemisphere, let alone commit to new long-term investments.

Meanwhile, US fashion companies have adopted a strategic pricing approach by not passing the entire cost increase to consumers through widespread retail price hikes.

Maintaining a geographically diverse sourcing base remains a popular strategy for US fashion companies to mitigate the impacts of increasing tariffs and ongoing policy uncertainties.

Companies particularly intend to avoid "putting too many eggs in one basket" and limiting the reliance on any single supplying country.

When asked, Fazlul Hoque, managing director of Plummy Fashions Ltd, said there is immense potential for Bangladesh amid the US existing flat rate of an additional 10 per cent tariff.

Exports would rise if Bangladesh performs better with efficiency and enhanced capacity, especially for value-added items, he said.

Mr Hoque, also a former president of the Bangladesh Knitwear Manufacturers and Exporters Association (BKMEA), however, said the prices of new orders of locally made apparels would increase, while the real prices offered by buyers would fall further, which is a challenge.

Also, India could be a new competitor for Bangladesh.

Despite the challenges, orders shifted from China can come here, but questions remain about the extent to which Bangladesh can grab the opportunity with the existing internal issues like the energy crisis, high bank interest rates, low efficiency, and incentive cuts.

Exporters said on average, local suppliers have to take the 50 per cent cost burden of the US enhanced tariff (additional 10 per cent), with the three-month pause ending on July 9.

Shovon Islam, managing director of Sparrow Group, said the growth in apparel exports to both the European Union (EU) and the US in recent months has shown that Bangladesh, followed by India and Pakistan, is one of the gainers from order shifts from China.

There is also a high potential to get higher chunks of the shifts, he said, raising questions about whether Bangladesh could and would grab the future share as the country still depends on imported raw materials, mostly for value-added items and manmade fibres (MMF).

There is no fresh investment to enhance capacity, especially MMF and other high value-added items, he noted.

The growth could be higher if garment makers get the required financial support from banks as they got earlier due to the tightening monetary policy and energy shortages, among others, said Mr Islam.

He alleged that exporters are in the dark over what would happen after July 9 as they get no clear message from the government about what measures it is taking or going to take over the new US tariffs.

Besides, he said about 15 per cent of work orders for the spring season have been kept on hold, while he received 10 per cent fewer orders for the holiday season, mostly Christmas.

That is why they could not communicate with buyers in this regard, he noted. Sayeed Ahmad Chowdhury, director of operation at Square Denim, expressed concern as to how much of the shifting orders from China Bangladesh could grab, saying the country has lost a good volume of production capacity due to the closure of several vertically integrated groups of companies, including Beximco, Nassa, and Mahmud.

Stressing capacity enhancement, he said many factories, especially textile units located in Bhaluka and Gazipur, cannot use their full production capacity due to poor energy supply.

Factories mostly having relations with "weak banks" are still struggling to open letters of credit (LCs) while infrastructure and other logistics issues finally resulted in an increase in lead times, he added.

Data shows China's share in the US market in 2013 was 37.7 per cent, which decreased to 21.3 per cent in 2023.

In the meantime, Bangladesh's share rose to 9.0 per cent in 2023, which was 6.0 per cent in 2013.

Vietnam grabbed 17.8 per cent of the US apparel market in 2023, up from 10 per cent in 2013. India's share stood at 5.8 per cent in 2023, which was 4.0 per cent in 2013.

Cambodia and Pakistan's shares stood at 4.3 per cent and 2.6 per cent, respectively, in 2023, which were 3.2 per cent and 1.9 per cent in 2013.​

 

[Saif]

BGMEA team meets BIDA-BEZA chief to discuss sustainable growth of RMG sector

A high-level delegation from the Bangladesh Garment Manufacturers and Exporters Association (BGMEA) today (Monday) met with Chowdhury Ashik Mahmud Bin Harun, Executive Chairman of the Bangladesh Investment Development Authority (BIDA) and the Bangladesh Economic Zones Authority (BEZA) at the BIDA O

thefinancialexpress.com.bd

BGMEA team meets BIDA-BEZA chief to discuss sustainable growth of RMG sector

Published :
Jun 30, 2025 19:53
Updated :
Jun 30, 2025 19:53

A high-level delegation from the Bangladesh Garment Manufacturers and Exporters Association (BGMEA) today (Monday) met with Chowdhury Ashik Mahmud Bin Harun, Executive Chairman of the Bangladesh Investment Development Authority (BIDA) and the Bangladesh Economic Zones Authority (BEZA) at the BIDA Office in the city in an effort to promote sustainable development and increase investment in the country's ready-made garment (RMG) sector.

The BGMEA delegation was led by its President, Mahmud Hasan Khan, and Vice President, Mijanur Rahman, alongside other senior members of the association, BSS reports citing a press release.

The meeting covered a wide range of topics that are important to the RMG industry, such as infrastructure support, gas supply, LNG import prices, dependable energy access, and access to reasonably priced financing. A simpler VAT and tax system for the circular economy and clothing recycling subsector was also emphasised by the delegation.

BGMEA Vice President Mijanur Rahman emphasized the necessity of revisiting the current loan classification policy of Bangladesh Bank to facilitate investment by genuine entrepreneurs.

"We urge BIDA to raise this issue with the Governor of Bangladesh Bank for constructive policy reform," he stated.

He also called for NBR(National Board of Revenue)'s audit mechanisms to be more consultative and less burdensome for industry stakeholders, adding, "Entrepreneurs expect a transparent, discussion-based audit environment that supports, not stifles, industrial growth."

Speaking at the event, Mahmud Hasan Khan announced plans to establish a large integrated garment industrial complex in Chattogram on at least 10 acres of land.

"This hub, designed as a multi-factory facility, will allow numerous small and medium enterprises (SMEs) to operate under one roof, which will reduce production costs, streamline investment processes, and boost competitiveness," he noted.

During the meeting, Ashik Chowdhury highlighted the RMG industry as a vital component of Bangladesh's economic growth.

He reaffirmed the government's commitment to deepening public-private collaboration and assured BGMEA of BIDA's full support through policy facilitation and structured industry consultation to accelerate the sector's sustainable growth.​

 

[Saif]

Bangladesh’s apparel export to US rose to $7.34b in a decade: US Report

Bangladesh’s apparel export to the USA market increased to US$ 7.34 billion from $5.4 billion in a decade, according to the US Government Office of Textiles and Apparel (OTEXA). The report revealed, apparel imports from Bangladesh to the USA in 2015 were valued at US $5.40 billion, rising to

thefinancialexpress.com.bd

Bangladesh’s apparel export to US rose to $7.34b in a decade: US Report

UNB
Published :
Jun 30, 2025 19:00
Updated :
Jun 30, 2025 19:01

Bangladesh’s apparel export to the USA market increased to US$ 7.34 billion from $5.4 billion in a decade, according to the US Government Office of Textiles and Apparel (OTEXA).

The report revealed, apparel imports from Bangladesh to the USA in 2015 were valued at US $5.40 billion, rising to US $7.34 billion by 2024, reflecting a notable 35.94 percent growth over the same period.

While experiencing a positive trajectory until 2019, the emergence of COVID led to an 11.76 percent decline in 2020 ($5.92 billion was in 2019 and $5.22 billion was in 2020).

Since 2020, Bangladesh has shown impressive growth at 40.45 percent, surpassing the USA’s growth rate of 23.72 percent, according to the report.

The OTEXA stated that in 2015, apparel imports to the USA totalled US $85.16 billion, decreasing to US $79.26 billion by 2024, marking a 6.94 percent decline over the decade.

The trend was consistently positive until 2019, but with the onset of COVID, a significant 23.47 percent drop was observed in 2020 ($83.70 billion was in 2019 and $64.06 billion was in 2020).

Despite the USA showing signs of recovery post-COVID, the economic downturn was substantial, failing to meet the import of 2015 even in 2024.

During US recessions, consumer spending reductions notably impact clothing expenditures, reflecting broader economic shifts impacting the apparel market.

With the USA retail sector heavily reliant on imports (comprising 95 percent of the industry), challenges such as high tariffs (averaging 18.5 percent pre-Trump era), escalating freight costs, and short apparel market lifespans have hindered integration into supply chains.​