• Thursday, Nov 14, 2019
  • Last Update : 02:56 pm

Export earnings post only 2.69% growth

  • Published at 10:25 pm May 9th, 2019
web-Export earnings
Syed Zakir Hossain/Dhaka Tribune

According to the EPB, in April Bangladesh earned $3.03 billion exporting goods to the global market

Bangladesh’s export earnings in April, the fourth month of the year, picked up by only 2.69% to $3.03 billion compared to the same month of last year, according to the data of the Export Promotion Bureau (EPB).

However, Bangladesh exports shipment to the global markets surged by 11.61% to $33.93 billion during July-April period of the current fiscal years. It was $30.40 billion in the same period last year. 

According to the EPB, in April Bangladesh earned $3.03 billion exporting goods to the global market, which was $2.95 billion in the same period a year ago.  

The export figure failed to reach the monthly target of $3.08 billion.

Clothing sector, which contributed 83.95% or $28.50 billion to the total exports of $33.93 billion in the first 10 months, was in the driving force as usual. 

Exports earnings from the RMG sector stood at $28.49 billion, up by 12.59% from $25.30 billion during the July-April period of the previous fiscal year.

Of the total export earnings by the apparel sector, knitwear products earned $14.08 billion, which was 112.32%% higher than the $12.54 billion earned during the same period of FY2017-18.

Woven products earned $14.40 billion, up by 12.85% from $12.76 billion during the same period of the previous fiscal year.

The specialized textile sector saw a 36% growth to $125 million from $92, while home textile products saw a negative growth of 3.74% to $723.60 million, down from $752.67 million. 

“The present growth rate is quite good as the December-March was peak season for closing the shipments. But the situation is different as the works order flow is not so good,” Faisal Samad, Senior Vice President of Bangladesh Garment Manufacturers and Exporters Association told the Dhaka Tribune. 

So, I cannot assured that the growth momentum would continue in months to come as the sector had been going through competition due to rise in wage and production cost, said Faisal also the Managing Director, Surma Garments Ltd.    

Amid challenges, the new leaders just took the charge of the BGMEA and it was working to identify new areas where more opportunity remained to grow, he added.

“In the beginning of the year, the government projected single digit growth but there is a double digit growth. It is a positive sign for the apparel sector,” Khondaker Golam Moazzem, research director of Centre for Policy Dialogue (CPD) told the Dhaka Tribune. 

There was a need to look into the mater, whether the buyers had increased prices of products or adjusted additional cost added for the new wage structure, said the economist. 

He also expressed hope on sustaining the double digit growth as the demand of Bangladeshi goods would remain higher due to China- US trade war. 

“It was assumed that the trade war will calm down but recent development does not indicate so.” 

Export performance of other major sectors

Among other major sectors, agricultural products posted a sharp rise of 45.61% growth to $790.90 million in the first ten months of FY2018-19, from $543.18 million in the previous fiscal year.

Additionally, export earnings from the pharmaceuticals sector rose by 29.94% to $111.70 million, up from $86 million, and plastic goods rose by 23.6% to $110.35 million, up from $81.19 million during the July-April period of FY2018-19.

However, earnings from leather and leather goods witnessed a 8.7% negative growth to $837.07 million during the period, down from $916.74 million during the same period of FY2017-18.

Jute and jute goods, the third export earning sector, also registered a 23.83% negative growth to $695 million, which was $889.74 million during the same period in the previous fiscal year.

Export earnings from the frozen and live fish saw a positive growth of 2.65% to $446.48 million, up from $435 million in FY2017-18.