Bangladesh’s readymade garment (RMG) industry earned US$31.72 billion during the July-April period of fiscal year 2025-26, demonstrating resilience despite ongoing global economic uncertainty, inflationary pressure, supply chain disruptions and slowing demand across several international markets.
According to data released by the Bangladesh Export Promotion Bureau (EPB), the country’s apparel sector maintained strong export performance in major global destinations, with the European Union, the United States and the United Kingdom continuing to dominate Bangladesh’s export basket.
The garment industry remains the backbone of Bangladesh’s economy, contributing nearly 83% of the country’s total export earnings while supporting millions of workers and driving socio-economic development across the country.
The European Union retained its position as the largest market for Bangladeshi apparel exports during the reporting period. Exports to the EU reached US$15.54 billion, accounting for 48.98% of Bangladesh’s total RMG exports. However, shipments to the region declined by 4.38% year-on-year as European retailers faced weaker consumer spending, inflationary challenges and cautious inventory management.
Germany remained the top EU destination for Bangladeshi garments, importing apparel worth US$3.59 billion during the July-April period. Spain secured the second position with imports valued at US$2.99 billion, followed by the Netherlands at US$1.76 billion and France at US$1.62 billion.
Poland emerged as another significant European market with imports totaling US$1.49 billion, while Italy imported Bangladeshi garments worth US$1.17 billion. Denmark and Sweden also maintained strong sourcing demand with imports of US$750.81 million and US$602.86 million respectively.
Other European destinations contributing more than US$50 million in imports included Belgium at US$423.74 million, the Czech Republic at US$256.52 million, Ireland at US$193.61 million, Hungary at US$150.53 million, Romania at US$137.11 million, Slovenia at US$118.73 million, Portugal at US$85.72 million, Austria at US$59.14 million and Slovakia at US$55.12 million.
Industry experts say Bangladesh continues to hold a competitive position in the European market due to its large-scale manufacturing capacity, cost competitiveness, compliance improvements and growing focus on sustainable production.
The United States secured the second-largest position among export destinations, with Bangladesh exporting garments worth US$6.29 billion during the July-April period. The US market accounted for 19.83% of Bangladesh’s total apparel exports and recorded a modest growth of 0.98% year-on-year despite slower retail sales and persistent economic uncertainty in North America.
The United Kingdom remained another major destination for Bangladeshi apparel products. Exports to the UK reached US$3.64 billion, representing 11.48% of total RMG exports while recording a slight growth of 0.30% compared to the same period in the previous fiscal year.
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Canada also posted positive growth during the reporting period. Apparel exports to Canada stood at US$1.09 billion, contributing 3.44% of total exports and recording a 3.69% year-on-year increase.
Meanwhile, Bangladesh’s non-traditional export markets generated US$5.16 billion during the July-April period, accounting for 16.27% of the country’s total garment exports. However, exports to these destinations declined by 5.83% year-on-year amid slower economic recovery in several emerging markets.
Japan remained the largest non-traditional market for Bangladeshi apparel with imports worth US$966.34 million. Australia followed with imports totaling US$617.59 million, while India imported garments worth US$501.68 million.
South Korea emerged as another important destination with imports of US$328.79 million, followed by Turkey at US$310.44 million and Mexico at US$234.56 million.
Exports to the United Arab Emirates reached US$220.31 million, while China imported Bangladeshi garments worth US$209.50 million during the reporting period. Russia also remained a notable market with imports totaling US$196.66 million.
Malaysia imported apparel products worth US$183.38 million, followed by Brazil at US$171.88 million and Saudi Arabia at US$162.11 million. Exports to Chile stood at US$125.44 million, while South Africa imported garments worth US$99.19 million and New Zealand recorded imports of US$73.61 million.
Other non-traditional markets collectively contributed US$757.71 million to Bangladesh’s apparel export earnings during the reporting period.
Product-wise export performance showed knitwear continuing to dominate Bangladesh’s garment exports. Knitwear exports reached US$16.47 billion during July-April FY2025-26, accounting for 51.9% of total apparel exports.
Woven garment exports stood at US$15.25 billion, contributing 48.1% of total exports during the same period.
Overall year-on-year export performance for the July-April period recorded a combined decline of 5.51%, with knitwear exports declining by 3.68% and woven garment exports decreasing by 1.83%.
Despite these challenges, industry stakeholders say Bangladesh’s garment sector has continued to demonstrate resilience amid difficult global conditions. Manufacturers have been facing rising operational costs, energy shortages, high freight expenses, currency volatility and increasing compliance requirements from international buyers.
At the same time, Bangladesh has continued strengthening its reputation as a sustainable and reliable sourcing hub. The country is home to many globally recognized green garment factories and continues investing in environmentally sustainable manufacturing, workplace safety and value-added production.
Analysts believe Bangladesh’s large workforce, vertically integrated textile supply chain and growing focus on diversification into non-traditional markets will help the country maintain long-term export competitiveness.
Industry leaders also stress the importance of improving infrastructure, ensuring stable energy supply, reducing lead times and expanding product diversification to support future export growth.
Despite the global slowdown and market uncertainties, Bangladesh’s RMG sector continues to play a critical role in sustaining economic growth, employment generation and foreign exchange earnings, reinforcing the country’s position as one of the world’s leading apparel sourcing destinations.
