¶¶Òõ¾«Æ·

The country’s readymade garment exports to the European Union witnessed a sustained growth of 48.34 per cent between 2020 and 2024, reaching 18.79 billion euros, cementing its position as Europe’s second-largest supplier.

According to data from Eurostat, in 2020, Bangladesh exported 12.32 billion euros worth of RMG to the EU, the largest export destination of the country, which rose to 18.28 billion euros by 2024, outpacing overall global export growth to the region.

During the same period, Europe’s total apparel imports from global suppliers climbed by 24.92 per cent from 68.48 billion euros in 2020 to 85.55 billion euros in 2024, showing rising demand despite global uncertainties.

Among the major suppliers, China remained the EU’s top apparel source, followed by Bangladesh, Turkey, India, and Vietnam.

Mohammad Hatem, president of the Bangladesh Knitwear Manufacturers and Exporters Association, told ¶¶Òõ¾«Æ· that over the past five years, Bangladesh’s exports to EU countries have grown steadily.

‘This growth has been largely driven by rising demand among European consumers for Bangladeshi apparel and the country’s ability to maintain competitive prices,’ he added.

However, he warned that sustaining this momentum would not be easy, as Bangladesh’s exports have already reached near-peak levels.

At the same time, buyers’ expectations in the European market are shifting rapidly — particularly when it comes to sustainable production and supply chain transparency, he added.

In 2021, Bangladesh exported RMG worth 14.29 billion euros, which climbed to 21.91 billion euros in 2022.

However, due to economic sluggishness across Europe due to the Ukraine-Russia war, the export declined to 17.44 billion euros in 2023, which further surged to 18.28 billion euros in 2024.

‘About 50 per cent of our total RMG export is bounded to EU, which is good thing, but there might be challenges also,’ said Mohiuddin Rubel, former director of the Bangladesh Garment Manufacturers and Exporters Association.

He also warned that Bangladesh has to adapt to EU due diligence and challenges after the post-LDC era.

The EU’s Corporate Sustainability Due Diligence Directive was passed by the European Parliament on 24 April 2024, aiming to enforce human rights and environmental safeguards across corporate supply chains.

The EU is now preparing to implement a series of new policies, including the CSDDD, the Green Deal, and the Digital Product Passport.

These measures would require major European brands to identify and address human rights, worker safety, and environmental risks across their entire supply chains, which might impact Bangladesh’s RMG sector.

Recognising this, Mohammad Hatem said that the government, industry associations, and development partners have already begun preparing.

‘We have taken initiatives including drafting a national action plan for the labour sector, amending the Bangladesh Labour Act, enhancing worker skills with support from the ILO and development partners, strengthening factory safety,’ he added.

He also said that many exporters are obtaining internationally recognized certifications and rolling out digital systems to improve supply chain traceability.

Currently, Bangladesh has 263 United States Green Building Council’s Leadership in Energy and Environmental Design (LEED) certifications, where 111 are platinum-rated, 133 are gold-rated, 15 are silver-rated, and four are certified.

Along with a modest GDP growth forecast, in July 2025, the euro zone annual inflation remained stable at 2 per cent, meaning consumers’ ability to spend more on fashion.

However, the competitors like China and India have been hit with US tariffs, where negotiations with China are still ongoing, and India was slammed with a 50 per cent tariff, including a penalty.

Exporters said that high US tariffs have prompted suppliers like China and India to incrementally raise their concentration in the EU countries.

The trade race might intensify further in the days ahead, especially following the new US tariff regime, they warned.

Hatem stressed that to stay ahead, Bangladeshi exporters must focus on sustainable production and environmentally friendly processes to win buyers’ trust.

Moreover, the country must also focus on higher-value and design-driven products.

Rubel said Bangladesh must adapt to what the EU demands, including developing local backward linkage industries, logistics support, government policies, and others.

They also said that the government must support this transformation by offering policy incentives, tax breaks, and encouraging green investment.