Bangladesh experienced a significant boost in garment shipments during January, setting a new record for the country’s highest monthly export turnover, as reported by the Bangladesh Garment Manufacturers and Exporters Association (BGMEA). Riding on the global economic rebound and export revival, the country achieved an impressive milestone by shipping garments worth $4.97 billion in January, marking a notable 12.45 percent year-on-year growth, according to data from the Export Promotion Bureau (EPB) compiled by BGMEA.
Following a challenging October-December quarter in 2023, the export growth trajectory took a positive turn in January. Specifically, knitwear exports saw a substantial 17.32 percent year-on-year growth, while woven items rebounded with a 7.16 percent growth.
BGMEA President Faruque Hassan expressed pride in this achievement, attributing it to the industry’s continuous expansion and efforts to diversify products and markets, emphasizing a move towards higher value addition. He noted the positive retail sales growth in major markets, citing record figures in the USA and the UK during the holiday seasons last year.
Hassan acknowledged the alleviation of the burden of excess inventory at buyers’ end, anticipating a surge in new orders. Furthermore, he highlighted the reduction in pressure on major economies due to high inflation and interest rates, indicating that 2024 is expected to witness a comeback in trade and growth.
However, Hassan urged caution amid the positive market response, emphasizing the need for careful planning regarding new capacity and expansion. Recognizing the existing overcapacity situation, he stressed the importance of quality investment, especially in backward linkage, as a crucial aspect for the industry’s development over the next five years. In essence, while celebrating the recent success, Hassan emphasized the need for a strategic and thoughtful approach to sustain and build on this positive momentum in Bangladesh’s garment export industry.