Export earnings in November increased by 6.22 per cent and reached US$ 3.05 billion, thanks to a strong rebound generated by the higher shipments of apparel products, which logged a growth of 7.46 per cent in the first five months of the 2017–18 financial year.

According to the Export Promotion Bureau (EPB), shipments of key readymade garments, comprising knitwear and woven items, totalled USD 11.96 billion during the past five months, up 7.5 per cent from the same period of 2016.

Explaining the reasons, the senior vice-president of the Bangladesh Garment Manufacturers and Exporters Association (BGMEA), Faruque Hassan, told The Independent, “We have invested around USD 4 billion in workplace safety and occupational health. Another reason is that our currency has depreciated against all other foreign currencies, which has helped businesspersons, especially those associated with the export business,” he added.

He also said 63 per cent and 18 per cent of readymade garment (RMG) products are exported to Europe and the US.

“October to January—these four months comprise the peak season for the RMG industry as we manufacture goods for the next year’s spring and summer seasons,” explained Hassan.

He also pointed out that a total of 67 Bangladeshi RMG factories have received Leadership in Energy and Environmental Design (LEED) certification from the US Green Building Council (USGBC) since 2011. Such modernisation of the industry has helped it regain foreign buyers’ confidence.

Explaining the obstacles, Hassan said, “We import raw materials like cotton and petrochemical products from abroad. It increases production costs and the overhead cost as well.”

Woven products earned USD 5.71 million in the first five months, a 3.99 per cent rise compared to the same period of the previous year, while the knitwear industry earned nearly USD 6.24 million, posting growth of 10.86 per cent.

For July to November of the 2017–18 financial year, agricultural products such as tea, vegetables and tobacco soared by 17.77 per cent and fetched some USD 259.65 million. Export Promotion Bureau (EPB) officials said the leather and leather products exports declined by a very significant amount, with negative growth of 2.95 per cent.    

“Around 65,000 to 70,000 people used to work in the tanneries at Hazaribagh before we shifted all the factories to Savar. As a result, many people have lost their jobs. This has impacted the exports of leather goods,” said a tannery owner, Shaheen Ahamed.

EPB data also shows the growth of jute and jute goods has increased drastically and reached 16.51 per cent. This sector fetched USD 451.01 million in the first five months of the 2017–18 financial year.

Industry experts said exports of innovative products such as shopping bags, jute promotional bags, canvas tote bags and home decor products to countries like Germany and Austria have boosted export growth.

According to the EPB, exports went up to 6.7 per cent and fetched USD 14.56 billion in the first five months (July– November) of the 2017–18 financial year.