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Export earnings fall short of target

  • Published at 11:40 pm May 7th, 2017
  • Last updated at 11:42 pm May 7th, 2017
Export earnings fall short of target
Despite having a double-digit export target, Bangladesh’s export earnings have risen by nearly 4% in July-April period of the current fiscal year. In attaining the government target of $50 billion export by 2021, Bangladesh has to register a double-digit growth while RMG sector over 12% growth in export earnings. Export-oriented sector people opined that overall export earnings have shown a single-digit growth due to slower growth in export earnings of apparel sector. The $28 billion clothing industry contributes about 82% to the overall export earnings of the country. According to the Export Promotion Bureau (EPB) provisional data, in July-April of Fiscal Year 2016-17, Bangladesh earned $28.72 billion, which is 3.92% higher compared to $27.63 billion a year ago. The figure is 4.25% less than that of the target of $29.99 billion set for the period. RMG sector, the lifeline of the country’s export earnings, has fetched $23.13 billion, which is 2.21% higher compared to $22.64 billion a year ago. On the other hand, export earnings in April rose by 3.49% to $2.77 billion, which was $2.68 billion a year ago. “The current export growth of RMG sector is lower than expected. It is because of price fall of the products” BGMEA Vice-President Mohammed Nasir told the Dhaka Tribune. “While appreciation of Bangladeshi Taka against US dollar added salt to the wounds, our competitors in the global markets surpass us due to their government incentives as well as policy support.” BGMEA leader urged the government to introduce special exchange rate for the export-oriented sector and cut tax at source as well as reduce corporate tax for the sector people to remain competitive in the global markets.