Home ›› 27 Jul 2021 ›› Front
Bangladesh’s export earnings from sweaters, a sub-sector of RMG industry, posted a 12.62 per cent rise to $4.05 billion in the fiscal year 2020-21.
Although exports earning are yet to bounce back to pre-Covid periods, a warm response from global buyers has been encouraging.
According to Export Promotion Bureau (EPB) data, Bangladesh in the FY21 earned $4.05 billion from the sub-sector, up from $3.60 billion in the previous fiscal year. It is 4.70% or $204 million less than the export earnings in FY2019-20 at $4.25 billion.
“Exports showed a positive growth in the FY21 compared to the previous year, but it is still less than the pre Covid-19 times. So, we cannot term it as positive growth rather we can say we are on right track to recover,” Shahidul Islam, managing director of Rupa Group, told The Business Post.
Sweater exports contributed 23.89 per cent of the country’s total knitwear exports worth $16.96 billion. In the last fiscal, sweater exports contributed 12.88 per cent of the total RMG exports worth $31.45 billion.
“With the reopening of European economies, we are receiving good response from the importers. If the present situation at our export destinations sustains till June 2022, we would be able to recover fully,” Shahidul added.
“It is good sign that we are showing signs of recovery. Export performance could have been better, if we could book the orders at better prices,” Md Moshiul Azam Shajal, managing director of Posmi Sweaters told The Business Post.
But hope is still there as the prices of raw materials went up and we would be able to negotiate for better prices, which will help us to recover, he added.
On the other hand, there are enough orders but some buyers have kept it on hold due to the ongoing strict lockdown. But we are hopeful as the Covid-19 pandemic situation in western countries improving gradually, Shajal noted.
“Sweater is a strong sub sector of the RMG sector and its contribution is highly needed to reach our export goal. Sweater exports showed better performance than the total apparel exports. It helps to return to positive territory,” Bangladesh Garment Manufacturers and Exporters Association (BGMEA) president Faruque Hassan told The Business Post.
In FY 21, Bangladesh exports earning from apparel sector rose by 12.55 per cent to $31.45 billion, which $28 billion in the previous year.
“We are closely working with the government to ensure a congenial environment to grow,” said Hassan, also a managing director of Giant Group.
The country’s overall export earnings rose by 15.10 per cent to $38.75 billion.
