Bangladesh’s ready-made garment (RMG) exports reached $47.39 billion in 2023, marking a modest 3.67% increase from the previous year.
While overall growth remained positive, the industry experienced notable shifts in destination markets. The United States, once Bangladesh’s largest export destination, saw a dip of 8.68% in garment shipments due to a decline in woven garment exports.
However, knitwear exports to the US grew slightly. The European Union (EU) also showed slower growth, reaching $23.38 billion, partly due to a significant decline in shipments to Germany.
On a brighter note, the UK market remained solid, with Bangladesh achieving 12.46% growth in RMG exports. Additionally, non-traditional markets emerged as a bright spot, growing a remarkable 20.54% to reach $8.87 billion. Japan, with a 26.53% growth, stands as the top non-traditional market for Bangladesh.
This shift towards non-traditional markets, like Japan and Australia, reflects Bangladesh’s strategy to reduce dependence on traditional destinations. Diversification helps to mitigate risks associated with economic fluctuations in any single market.