[🇧🇩] Textile & RMG Industry of Bangladesh

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BGMEA, BKMEA want import ban on knit fabric withdrawn

Two leading apparel trade bodies—the Bangladesh Garment Manufacturers and Exporters Association (BGMEA) and the Bangladesh Knitwear Manufacturers and Exporters Association (BKMEA)—have demanded the cancellation or suspension of a provision restricting knit fabric imports under the count

thefinancialexpress.com.bd

BGMEA, BKMEA want import ban on knit fabric withdrawn

Two leading apparel trade bodies—the Bangladesh Garment Manufacturers and Exporters Association (BGMEA) and the Bangladesh Knitwear Manufacturers and Exporters Association (BKMEA)—have demanded the cancellation or suspension of a provision restricting knit fabric imports under the country's new import policy.

In separate letters sent to the Ministry of Commerce, the trade associations stated that Sub-clause 12 of Clause 25 of the Import Policy Order 2026–2029 stipulates that "knit fabrics shall not be eligible for import."

Both organisations requested the suspension or withdrawal of this restriction, emphasizing its potential negative impact on the normal operations and global competitiveness of the export-oriented readymade garment (RMG) sector, reports UNB.

In a letter sent to the Commerce Minister on September 1, BGMEA President Mahmud Hasan Khan explained that international buyers' demands constantly evolve, requiring product diversification, adherence to specific quality standards, custom designs, and rapid delivery. Meeting these buyer-driven requirements frequently necessitates sourcing specific varieties of fabric from international suppliers.

BGMEA noted that restricted import access could disrupt regular factory operations, as specialized grades, colors, textures, and designs required by global buyers are often unavailable in the local market.

BKMEA President Mohammad Hatem also urged the suspension or repeal of the provision, highlighting that imported knit fabrics of various types have already arrived at Chittagong Port under open-air storage, while many exporters have already completed import formalities.

The BKMEA warned that the new policy creates severe complications in clearing these shipments and executing scheduled export orders. He added that the restriction further compounds operational pressures on factories already struggling with production disruptions caused by ongoing gas shortages.​

 

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BKMEA urges repeal of knit fabric import ban

The Bangladesh Knitwear Manufacturers and Exporters Association (BKMEA) has urged the government to immediately withdraw a provision in the new Import Policy Order for 2026-29 that bans the import of knit fabrics. In a letter to the Commerce Minister on September 2, signed by BKMEA President Moham

thefinancialexpress.com.bd

BKMEA urges repeal of knit fabric import ban

The Bangladesh Knitwear Manufacturers and Exporters Association (BKMEA) has urged the government to immediately withdraw a provision in the new Import Policy Order for 2026-29 that bans the import of knit fabrics.

In a letter to the Commerce Minister on September 2, signed by BKMEA President Mohammad Hatem, the trade body expressed concern over sub-clause 12 of provision 25 of the policy, which states: “Knit fabrics shall not be importable.”

According to the letter, during previous consultations with industry stakeholders, the authorities acknowledged that the restrictive provision had been included inadvertently and assured the industry that it would be removed.

However, the restriction was retained in the official gazette published by the ministry on August 24, 2026.

The BKMEA president said the ongoing severe gas crisis has significantly disrupted domestic textile mills and fabric production.

Local manufacturers are currently unable to meet the volume requirements, specialised technical standards and design variations demanded by international buyers, making the import of raw materials unavoidable.

Moreover, several garment exporters had already opened letters of credit (LCs) for raw knit fabrics before the gazette was published. Many of the shipments have already arrived at Chittagong Port, while others are still in transit, the letter said.

The BKMEA warned that enforcement of the ban would halt customs clearance, causing shipment delays, financial losses and cancellations of export orders.

To maintain production and meet buyers’ commitments, the association urged the government to immediately suspend or repeal the provision.​

 

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Bangladesh retains No 2 spot in US apparel exports

Bangladesh retained the second position in garment exports to the US in the January-July period as China’s apparel shipments to the American market recorded their steepest decline.

www.thedailystar.net

Bangladesh retains No 2 spot in US apparel exports

Refayet Ullah Mirdha

Bangladesh retained the second position in garment exports to the US in the January-July period as China’s apparel shipments to the American market recorded their steepest decline.

Bangladesh first overtook China in January-February as the Trump administration imposed higher tariffs on Chinese garment imports.

It retained the position in January-July despite a 6.50 percent year-on-year decline in garment exports to the US to $4.66 billion, mainly due to weaker demand for locally made apparel, according to data from the Office of Textiles and Apparel (OTEXA), the US provider of global apparel import data.

In July alone, Bangladesh’s garment exports to the US fell 10.73 percent.

Overall, US apparel imports declined 8.65 percent year-on-year to $41.83 billion in January-July.

China’s apparel shipments to the US fell 34.21 percent to $4.55 billion, while India’s declined 25.77 percent to $2.45 billion and Pakistan’s 5.60 percent to $1.26 billion.

Vietnam’s shipments fell 1.03 percent to $9.36 billion, while Indonesia and Cambodia posted growth of 2.76 percent and 10.48 percent to $2.74 billion and $2.62 billion, respectively.

Vietnam remained the largest apparel exporter to the US, followed by Bangladesh and China.

Bangladesh is in a relatively better position than some other apparel-exporting countries in terms of tariffs, which is helping boost shipments to the US market, said Shovon Islam, managing director of Sparrow Group.

“Although exports are in a good position, prices declined in January-July as local exporters had to bear part of the reciprocal tariff,” he said.

If the energy crisis is resolved, Bangladesh could perform even better in the US market, Shovon added.

“China is losing market share, and Bangladesh may be able to perform better in the future. In fact, Vietnam is taking more of China’s market in the US, while Bangladesh is taking a smaller share,” said Anwar Ul Alam Chowdhury Parvez, chairman and managing director of Evince Group, which ships a significant portion of its garments to the US.

However, Bangladesh’s ability to retain the position could be challenged by the ongoing energy crisis, he said.

“We are concerned whether Bangladesh can retain this position in the US market as the energy crisis persists in industrial units. Buyers are also well aware of the energy situation,” Anwar said. If the country can ensure adequate energy supplies, Bangladesh may sustain the positive trend, he added.

Mohammad Hatem, president of the Bangladesh Knitwear Manufacturers and Exporters Association (BKMEA), said Bangladesh could benefit further as China loses market share in the US, but sustaining growth will require lower production costs and reliable gas and power supplies.

Mahmud Hasan Khan, president of the Bangladesh Garment Manufacturers and Exporters Association (BGMEA), said the outlook for garment exports to the US was positive as work orders were rebounding following the finalisation of effective tariff rates for individual countries by the US government.

However, the industry’s focus should not be on export volume alone, but also on how much value local manufacturers retain, he said.

“Obtaining letters of credit from international buyers should not be the main target, as many exporters cannot make even a minimum profit because of high import costs for raw materials such as fabrics and chemicals,” Mahmud said.

Many exporters are also shipping goods below production cost in the hope of making profits later, he said. The BGMEA wants the industry to achieve a retention value of $20 billion if Bangladesh exports $50 billion worth of garments a year, Mahmud added.

The US is Bangladesh’s single largest garment export destination.

In February, Bangladesh and the US signed the Agreement on Reciprocal Trade (ART), which includes a textile clause. Under the clause, garments made in Bangladesh using US-sourced cotton and man-made fibres could qualify for duty-free access to the US market.

The provision could further strengthen Bangladesh’s competitiveness in the US market if implemented properly.​