August apparel exports to EU see 3.1% growth
The overall growth is attributed to a steady rise in EU apparel imports, though the previous month presented a different picture
Bangladesh's apparel exports to the European Union (EU) saw a 3.1% growth in August 2024, reaching €1.6 billion.
This increase in earnings was driven by higher knitwear and woven garment exports compared to the same month last year.
Knitwear exports from Bangladesh rose by 1.4%, totalling €1 billion in August 2024, up from €986 million in August 2023.
Woven garment exports experienced a stronger growth of 6.2%, reaching €602 million, compared to €567 million in the same period the previous year.
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The overall growth is attributed to a steady rise in EU apparel imports, though the previous month presented a different picture.
In July 2024, Bangladesh's apparel exports to the EU had dropped by 2.7% to €1.56 billion, with knitwear exports falling by €48.17 million year-on-year (YoY).
While Bangladesh's exports grew, China, the largest apparel exporter to the EU, recorded an 11% increase in August 2024. Its exports rose from €2.67 billion in August 2023 to €2.96 billion.
However, Turkey, the third-largest exporter, experienced a 1.7% decline, with its exports falling to €857 million from €873 million in the same period the previous year.
Despite these August gains, Bangladesh's total apparel exports to the EU for the first eight months of 2024 showed a decline.
From January to August, exports dropped by 3.51% to €11.90 billion, down from €12.34 billion during the same period in 2023.
Knitwear exports in this period fell by 6.51% to €6.97 billion, while woven garment exports saw a slight increase of 1.05%, reaching €4.94 billion.
The EU's total apparel imports between January and August 2024 also decreased by 3.62%, totalling €54.69 billion, compared to €56.74 billion during the same period in 2023.
Former BGMEA board director Mohiuddin Rubel expressed optimism about future growth, saying, "Bangladesh is performing well as our major market, Germany, is doing better. Additionally, the overall EU economy is improving, which has increased the demand for apparel."
Rubel added that with positive forecasts from buyers and the current interim government's vision to boost exports to the EU and USA, he expects exports to continue growing.
"If the government can ensure a steady supply of utilities and maintain security, apparel exports will improve in the near future," he remarked.
Eurostat data also showed that most major apparel suppliers to the EU, except Pakistan, registered negative growth in the first eight months of 2024.
China's exports during this period declined by 4.11% to €14.39 billion, while Turkey's exports fell by 7.51% to €6.31 billion. India's apparel exports to the EU dropped by 2.67%, totalling €3.08 billion, and Vietnam's exports declined by 2.11%, falling from €2.50 billion to €2.44 billion.
In contrast, Pakistan's apparel exports to the EU increased by 7.31%, reaching €2.24 billion, up from €2.09 billion in the same period the previous year.
