Bangladesh's RMG exports to new markets surged by 24.93% in the first quarter of the fiscal year 2023-24, contrasting with sluggish growth in its major markets.
These non-traditional markets, such as Australia, Japan, India, China, South Korea, the United Arab Emirates and Brazil, saw exports reach $2.24 billion in the Jul-Sep period, up from $1.79 billion in the same period last year.
This shift is attributed to "apparel diplomacy" and diversification, reducing reliance on the US and EU due to inflation resulting from the Russia-Ukraine conflict. The share of exports to new markets increased from 17.48% to 19.32% in the same timeframe.
In particular, exports to Japan, Australia, South Korea, the UAE, and Brazil saw substantial growth, reinforcing optimism about reducing dependency on the EU and the US. Meanwhile, the US and Germany saw moderate growth, but the UK experienced a 21.35% increase in Bangladesh's ready-made garment exports in the first quarter of FY24.
In the July-September period of FY24, exports of ready-made garments (RMG) to Japan soared by 39.44%, reaching $446.78 million, as opposed to the $320.40 million achieved in FY23 during the same period.
During the first quarter of FY24, the country's apparel exports to Australia witnessed substantial growth, surging by 54.11% to $344.77 million, in contrast to the $223.71 million recorded in the same period of FY23.
Meanwhile, RMG exports to South Korea in FY24's July-September interval experienced a notable increase of 37.01%, reaching $179.61 million, compared to $131.10 million in FY23.
Bangladesh's apparel exports to the UAE in the first quarter of FY24 also exhibited significant growth, rising by 44.18% to $90.55 million, in contrast to the $62.80 million seen in the same period of FY23. Additionally, RMG exports to Brazil in the July-September period of FY24 surged by 53.79% to $36.93 million, compared to the $24.01 million achieved in FY23 during the same period.