Home ›› 03 Dec 2021 ›› Front
The apparel sector’s consistent performance helped Bangladesh register $4 billion in export earnings for a second consecutive month in November as stakeholders warned that the new coronavirus variant could affect trade in the coming months.
Export Promotion Bureau (EPB) data showed Bangladesh export earnings in November was $4 billion, a 31.25 per cent rise compared to the same period last year. But it was still lower than October when the country earned $4.73 billion, the highest-ever recorded in a single month.
In this fiscal’s July-November period, the country earned $19.79 billion with 24.29 per cent growth over the same period of the previous FY. The government had fixed a $17.47 billion export target for this period, up from $15.92 billion in the last FY.
Last month, the RMG sector fetched $3.23 billion, or around 80 per cent, of the total export earnings. In July-November of this fiscal, the apparel sector earned $15.85 billion with 22.97 per cent growth, up from $14.11 billion during the same period last year.
This time, the knitwear sector registered 25.91 per cent growth to $8.98 billion, and the woven sector saw 19.32 per cent growth to $6.87 billion.
Industry insiders attributed November’s performance to orders received during April-May when Vietnam and India suffered because of Covid-19.
“But the situation has changed. Buyers are now asking us to slow down production after the Omicron variant was detected. We fear that the sector’s performance might fall in December and January,” said Shahidullah Azim, vice president of Bangladesh Garment Manufacturers and Exporters Association.
Meanwhile, from April to October, the jute sector performed negatively on low global demand. During this period, $124 million came from this sector. But performance in the July-November period was poor compared to the same period last year. In July-November 2021, the sector saw 17.45 per cent negative growth to $457 million, down from $553 million recorded in the corresponding period.
Jute and jute goods exporters claimed that their production cost had almost doubled.
“The situation changed once raw jute hit the market. Buyers have started placing orders. But we fear that the new Covid-19 variant may affect exports,” said Esrat Jahan Chowdhury, CEO of Tulika and director of Bangladesh Jute Goods Exporters Association. She emphasised product diversification and focus on jute cotton.
On the other hand, the home textile sector grew 25.3 per cent and earned $564 million in July-November. It had made $450 million in the same period last FY.
According to EPB, the leather and leather goods sector fetched $92 million in export earnings in November this year, up from $72 million in November 2020. On the other hand, in July-November, this sector earned $457 million, or 27.41 per cent more than last year.
In July-November, the agriculture sector showed 24.37 per cent growth, earning $556 million. The Pharmaceutical sector’s earnings grew by 29.78 per cent in this period to around $91 million.