Apparel exports have seen 13.83% growth in the just concluded financial year over the previous year with the total earning from the sector standing at $24.49bn, Export Promotion Bureau (EPB) data showed.
The garment exports even exceeded the target set for the FY2013-14 which suffered months of political unrest and deadliest Rana Plaza incident. The target was $24.14bn. In the FY2012-13, Bangladesh earned $21.5bn from the country’s largest export industry. The growth in the year was 12.71% growth.
Data released yesterday showed knitwear products earned $12.03bn with 15% rise in FY14 from $10.47bn in FY13.
This figure is 4% higher than the official target of $11.57bn.
Woven garments export totalled $12.44bn posting 12.70% growth compared to the previous year’s $11.03bn.
The woven products, however, failed to reach target as set by the EPB. The target was $12.57bn. “Knitwear earning is good. New markets have boosted the earning,” Mohammad Hatem, first vice president of Bangladesh Knitwear Manufacturers and Exporters Association (BKMEA), told the Dhaka Tribune.
FIFA World Cup-2014 also helped the sector earn more as it exported jerseys worth $1bn, he said. According to Hatem, the exports to the US market rose compared to the European market and it made the earnings healthier.
Abdus Salam Murshedy, President of Exporters Association of Bangladesh (EAB), said despite long-lasting political turmoil and labour unrest, the RMG sector has been able to register 14% growth in export. “It was only possible due to sincerity and commitment of the entrepreneurs,” he said.
About the failure of export target by the woven, EAB president said: “The woven products failed to reach target as some buyers shifted orders from Bangladesh due to Accord and Alliance inspection dilemma.”
The clothing industry’s export growth would have been over 20% if there was no political unrest, said a director of Bangladesh Garment Manufacturers and Exporters Association (BGMEA) asking not to be named.
“Political unrest increased the cost of shipment and caused supply disruption,” he said. During the last financial year, Bangladesh suffered months of political turmoil which caused a huge damage to the business, said analysts.
Besides, the year also witnessed the deadliest Rana Plaza disaster tarnishing the image of Bangladesh’s garment industry.
