RMG exports see 7.23% growth in 2024
According to EPB data, RMG exports experienced just two months of negative growth, and the remaining ten months posted positive trends
Highlights
- RMG exports saw dips in April and June
- December marked the year's highest single-month export earnings
- Energy supply, worker efficiency, political stability key challenges for 2025
The country's readymade garment (RMG) exports witnessed a 7.23% growth in 2024, reaching $38.48 billion, up from $35.89 billion in 2023, according to the Export Promotion Bureau (EPB).
As per EPB's data, compiled by the Bangladesh Garment Manufacturers and Exporters Association (BGMEA), in 2024, RMG exports experienced just two months of negative growth, and the remaining ten months posted positive trends, meaning the sector's growth maintained consistency despite a turbulent and challenging year for the country's politics and economy.
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The month-wise export performance for 2024 showed that the year started well, as January, February, and March recorded exports of $3.47 billion, $3.19 billion, and $3.06 billion, respectively.
However, exports dipped in April by 6.62% to $2.38 billion but a rebound followed in May, with a robust 14.59% growth bringing in $3.5 billion. Later, June saw another dip, with a 10.48% decline to $2.97 billion.
From July onwards, RMG exports remained consistent the rest of the calendar year as the manufacturers never faced any setback. In July, Bangladeshi apparel manufacturers earned $3.18 billion, fetching a positive growth of 2.89%.
In August, the export witnessed a positive growth of 7.20% to $3.32 billion, despite the country going through a massive political upheaval at the time, as a massive mass uprising ousted the Sheikh Hasina-led government.
September saw a 14.61% increase to $3.01 billion, while October surged 22.8% to $3.29 billion. The trend continued in November and
December, with exports reaching $3.3 billion (16.25% growth) and $3.77 billion (17.45% growth), the latter being the year's highest monthly earnings.
Speaking to The Business Standard yesterday, Faruque Hassan, former president of the Bangladesh Garment Manufacturers and Exporters Association (BGMEA), called 2024 a challenging but opportunity-filled year.
He said work orders increased as political stability improved, and international retailers and brands showed renewed interest due to a rise in sales in the US and EU.
"If we can reduce corruption and resolve customs and NBR-related issues, 2025 will be a good year for us. Inflation has started decreasing gradually in our major destinations, mainly in Europe and America," he said, adding that the central banks of many countries are also reducing interest rates.
He also said that the buyers are always confident in Bangladeshi manufacturers due to circularity, green factories, workplace safety, etc. If the global economy turns around, Bangladesh will benefit from it.
Echoing similar sentiments, Mohiuddin Rubel, former director of the BGMEA, believed the Bangladesh RMG industry had the potential for qualitative changes as it diversified product lines and explored new markets.
Significant investments in activewear and non-cotton products are emerging within the industry, but the ongoing crisis in sustainable energy remains a hurdle, he added while talking to TBS today.
Regarding the challenges for 2025, Faruque Hassan said Bangladesh's RMG sector must solve domestic issues to seize the opportunities.
"We have to ensure an uninterrupted supply of energy and fuel and increase worker efficiency. Moreover, the highest priority should be given to improving the law-and-order situation, ensuring that workers' unrest does not occur, and ensuring political stability," he added.
Mohiuddin Rubel noted that achieving sustainable improvements in industrial relations and establishing stable political and economic reforms are essential for restoring confidence as they dedicate themselves to the immediate future.
