Bangladesh’s ready-made garment (RMG) exports declined by 3.41 percent during the first 11 months of fiscal year 2025-26 amid weaker demand in the European Union and several major non-traditional markets, raising concerns within the country’s largest export-earning sector.
According to the latest data published by the Export Promotion Bureau (EPB), Bangladesh earned $35.31 billion from RMG exports during July-May of FY26, down from $36.56 billion in the corresponding period of the previous fiscal year.
Industry insiders said persistent inflation in Western economies, subdued consumer spending and growing competition from rival apparel-exporting countries contributed to the slowdown, although some emerging markets showed signs of resilience.
The European Union remained Bangladesh’s largest apparel export destination, accounting for 49.15 percent of total RMG shipments.
Exports to the EU stood at $17.36 billion during the July-May period, registering a 4.88 percent year-on-year decline.
Among major EU markets, exports to Germany — Bangladesh’s largest market within the bloc — fell sharply by 12.71 percent to $3.99 billion. Shipments to France declined by 9.90 percent to $1.81 billion, while exports to Italy dropped by 8.56 percent to $1.31 billion.
Exports to Denmark decreased by 12.56 percent and Belgium by 6.14 percent during the period.
However, several EU destinations recorded positive growth despite the broader downturn. Exports to Spain increased by 4.07 percent to $3.29 billion, the Netherlands by 2.13 percent to $1.97 billion and Poland by 7.98 percent to $1.68 billion.
The United States retained its position as Bangladesh’s second-largest apparel market.
Exports to the US stood almost unchanged at $7.03 billion during the July-May period, accounting for 19.90 percent of Bangladesh’s total RMG exports. The market registered a marginal decline of 0.04 percent compared with the same period last year.
Data showed that knitwear exports to the US rose by 1.99 percent, while woven garment shipments declined by 1.10 percent.
Exports to Canada showed positive momentum, rising by 2.27 percent to $1.23 billion and accounting for 3.47 percent of Bangladesh’s total apparel exports.
In contrast, exports to the United Kingdom declined by 0.50 percent to $4.02 billion, representing 11.38 percent of total shipments.
Non-traditional markets, once considered a key area for export diversification, also experienced a slowdown.
Exports to non-traditional destinations fell by 5.95 percent to $5.68 billion during the period, accounting for 16.09 percent of total apparel exports.
Among major non-traditional markets, exports to Japan declined by 6.58 percent to $1.04 billion, India by 11.13 percent to $537.43 million and Turkey by 16.60 percent to $359.39 million.
Shipments to Russia recorded one of the steepest declines, dropping by 30.36 percent to $218.17 million.
Exports to Australia fell by 10.09 percent, while Mexico saw a 12.94 percent decline.
Despite the overall contraction, several emerging markets posted notable growth. Exports to China increased by 15.07 percent, Brazil by 17.80 percent and Saudi Arabia by 17.04 percent.
Shipments to the United Arab Emirates and Malaysia also recorded double-digit growth during the period.
The EPB data further showed that exports from the knitwear segment declined by 4.26 percent to $18.78 billion, while woven garment exports fell by 2.42 percent to $16.53 billion.
Industry analysts said the latest figures reflected continued volatility in global demand and highlighted Bangladesh’s heavy dependence on a few major markets, particularly the EU and the US.
They said Bangladesh would need to accelerate market diversification, improve product value addition and strengthen competitiveness to sustain long-term export growth amid growing global uncertainty.