Bangladesh鈥檚 export earnings in May 2024 registered a negative growth for the second consecutive month due mainly to decreased shipments of readymade garments.
The country鈥檚 export earnings in May 2024 fell by 16.06 per cent to $4.07 billion compared with those of $4.85 billion in the same month of 2023.
Export earnings in April 2024 also registered a 0.99-per cent negative growth.
The overall export earnings in the July-May period of the current financial year 2023-24 stood at $51.54 billion with a 2.01-per cent growth compared with that of $50.52 billion in the same period of FY 2022-23, according to Export Promotion Bureau data released on Wednesday.
Exporters said that Bangladesh鈥檚 export experienced negative growth in the past two months due to some external and internal reasons, including slowdown in global demand due to inflation, shortage of gas and electricity supply, complex customs procedure and delay in export shipments.
They also said that higher costs for electricity, gas, and transport, elevated bank interest rates, and low prices of products offered by buyers were hindering the competitiveness of Bangladesh鈥檚 RMG sector.
Export earnings from readymade garments in May 2024 declined by 17.19 per cent to $3.35 billion year-on-year compared with those of $4.05 billion in the same month of 2023.
The data showed that the country鈥檚 knitwear exports in the month decreased by 20.75 per cent to $1.83 billion while the earnings from woven garments fell by 12.48 per cent to $1.52 billion.
Export earnings from apparel in the 11 months of FY24 increased by 2.86 per cent to $43.85 billion compared with those of $42.63 billion in the same period of FY23, the data showed.
Bangladesh Garment manufacturers and Exporters Association president SM Mannan Kochi said that inflation in the global economy and rising interest rates had reduced consumer purchasing power, leading to lower retail sales and imports of apparel.
The BGMEA president said that a significant drop in unit prices of products in the United States and European countries had also contributed to the decline in exports.
Kochi said that the increase in minimum wages, rising costs of electricity, gas and transport, soaring bank interest rates from single digits to 14-15 per cent and a reduction in cash assistance were causing the industry to lag in terms of competitiveness.
鈥榃e are facing complications related to the National Board of Revenue, ports and banks, and at the same time, the government has decided not to provide gas and electricity connections or bank loans to any new factory outside industrial zones. If implemented, this decision risks further hindering investment and exports,鈥� the BGMEA president said.
Export earnings from woven garments in July-May of FY24 declined by 1.09 per cent to $19.14 billion compared with those of $19.35 billion in the same period of the previous financial year.
Export earnings from knitwear in the first 11 months of FY24 grew by 6.15 per cent to $24.71 billion compared with those of $23.27 billion in the same period of FY23.
Bangladesh Knitwear Manufacturers and Exporters Association executive president Mohammad Hatem told 抖阴精品 that long shipment times were a key reason for decreasing exports, as production was being delayed due to severe shortages of gas and electricity.
Hatem also said that harassment by customs was another key reason for the delay in export shipments.聽
The EPB data showed that export earnings from home textiles in July-May of FY24 decreased by 24.29 per cent to $776.06 million compared with those of $1.02 billion in the same period of FY23.
Earnings from leather and leather goods in the 11 months of FY24 declined by 14.17 per cent to $961.49 million compared with those of $1.12 billion in the corresponding period of FY23.
Earnings from leather-footwear exports in July-May of FY24 fell by 25.92 per cent to $477.24 million compared with those of $644.18 million while the other leather products fetched $358.54 million with a 0.81-per cent negative growth in the period.
Export earnings from jute and jute goods in the 11 months of FY24 fell by 7.53 per cent to $784.69 million compared with those of $848.6 million in the same period of FY23.
However, export earnings from agricultural products in the period increased by 8.2 per cent to $846.33 million compared with those of $795.01 million.
Export earnings from frozen and live fish in the 11 months of FY24 fell by 13.56 per cent to $344.98 million compared with those of $399.09 million and the earnings from shrimp exports declined by 20.09 per cent to $226.59 million in the period.
Exports of engineering products in July-May of FY24 fell by 7.52 per cent to $479.96 million compared with those of $518.97 million in the same period of the previous financial year.