Exports show modest annualized growth, fail to meet set targets
Published on: April 3, 2024.
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Merchandise exports in Bangladesh saw a 9.88-percent annualized growth, generating $5.10 billion in revenue for the country in March. However, this narrowly missed the month’s target, aligning with the trend of falling short of targets over the past nine months. Despite a growth of 4.39 percent from July to March, the earnings fell 5.86-percent short of the target for the same period.
During March 2024, exports reached $4.64 billion, slightly missing the target by 0.88 percent. This is an increase from the $4.34 billion earned in March 2023, as reported by the Export Promotion Bureau (EPB). From July to March of FY 2022-23, Bangladesh earned $41.72 billion.
The apparel sector, particularly readymade garments (RMG), dominated the export invoice during these periods. RMG earned $4.34 billion in March 2024, marking an 11.71-percent growth, and $3.89 billion in March 2023. From July to March of FY 2022-23, RMG exports earned the country $37.20 billion, with $21.01 billion coming from knitwear and $16.19 billion from woven garments.
However, the home-textile subsector experienced a decline of 25.98 percent, generating $636.53 million in earnings from July to March of FY ’24. Faruque Hassan, President of the Bangladesh Garment Manufacturers and Exporters Association (BGMEA), attributed the challenges faced in 2023 to buyers placing fewer work orders due to their excess inventory.
Fazlee Shamim Ehsan, Vice President of the Bangladesh Knitwear Manufacturers and Exporters Association (BKMEA), mentioned receiving small-sized work orders in recent months, indicating a change in buyers’ strategies to reduce lead time. He expressed hope that this growth would continue for the next two to three months.
Other sectors that experienced changes in export earnings include jute and jute goods, agricultural items, engineering products, frozen and live fish, leather and leather goods, pharmaceuticals, footwear, and plastic products.
To sustain the rebound and further growth, exporters are advised to negotiate better pricing with their buyers. The industry leaders also emphasized the importance of uninterrupted energy supply.
For more information, please visit the source article from The Financial Express: [Source](https://thefinancialexpress.com.bd)
