Bangladesh’s apparel exports have continued to decline in the current fiscal year, with earnings from July to May totaling 35.31 billion dollars, down 3.41 percent from the same period last year. The Export Promotion Bureau (EPB) reported that exports to the European Union, the country’s largest market, fell by 4.88 percent to 17.36 billion dollars. In May alone, total exports dropped 7.07 percent year-on-year, while apparel exports fell 8.29 percent.

Industry representatives said the sector’s earlier signs of recovery in April could not be sustained due to reduced orders from key markets, particularly in Europe. Mohammad Hatem of the Bangladesh Knitwear Manufacturers and Exporters Association noted that export orders have fallen by about 30 percent, citing aggressive competition from China and India in the EU market. Former BGMEA director Mohiuddin Rubel added that overall demand for apparel in the EU has weakened, increasing price competition among suppliers.

Analysts warned that if the downturn in the EU market persists, it could have broader negative effects on Bangladesh’s export-driven economy, which relies heavily on apparel shipments to Europe.