The government has set an ambitious export earnings target of $63.4 billion from goods and services for fiscal year 2026-27, aiming for 15 percent growth over last year’s actual earnings despite missing the previous fiscal year’s target by a wide margin.
The target comprises $55.2 billion from merchandise exports and $8.2 billion from services exports, Commerce Minister Khandaker Abdul Muktadir told reporters on Sunday after a meeting on export target-setting at the Secretariat.
Bangladesh earned $55 billion from exports in FY2025-26 against a target of $63.5 billion, underscoring the challenges facing the country’s external sector.
Of last year’s total earnings, merchandise exports accounted for $48 billion, falling short of the $55 billion target, while services exports stood at $7 billion against the projected $8.5 billion.
Defending the higher target for the current fiscal year, Muktadir said the government expects exports to rebound on the back of business-friendly reforms, simplified regulatory procedures and progress in negotiations on free trade agreements (FTAs) with several countries.
He said Bangladesh’s export sector had remained largely stagnant in recent years but expressed confidence that the slowdown could be overcome during FY2026-27.
The commerce minister acknowledged that external headwinds—including ongoing conflicts in different parts of the world and subdued consumer demand in advanced economies—continue to weigh on global trade.
Even so, he said, the latest budget contains a number of measures aimed at supporting export-oriented industries, while the government is streamlining business registration and operational procedures to improve the investment climate.
The government is also preparing additional incentives for exporters, which, he said, would enhance Bangladesh’s competitiveness and strengthen buyers’ confidence.
On trade negotiations, Muktadir said Bangladesh expects to conclude FTA talks with South Korea within the next few days, while an agreement with the United Arab Emirates is also nearing completion.
The government aims to wrap up negotiations with another four to five countries by December. Preparations are also underway to launch FTA negotiations with the European Union, Bangladesh’s largest export destination, with negotiating teams already formed on both sides.
Commenting on the US tariff regime, the commerce minister said there had been no effective increase in duties on Bangladeshi exports despite recent changes in Washington’s legal framework.
He said the United States had initially announced a 37 percent reciprocal tariff, later reduced it to 19 percent, and subsequently withdrew the measure following a court ruling.
The US administration later imposed a 10 percent tariff under Section 301 on labour-related grounds after shifting from the earlier legal mechanism, he said.
“In practical terms, the tariff rate remains unchanged,” Muktadir said, adding that the measure applies to nearly 60 countries, including the European Union and the United Kingdom, and therefore is unlikely to put Bangladesh at a competitive disadvantage in the US market.