- Bangladesh exports rebound in April after eight-month decline
Bangladesh’s merchandise exports rebounded strongly in April, ending eight consecutive months of decline as demand improved in key markets such as the US and the UK. According to Export Promotion Bureau (EPB) data, exports rose nearly 33% year-on-year to $4 billion during the month.
The recovery was largely driven by the ready-made garment sector, which accounts for more than 80% of the country’s exports. Apparel shipments increased 31.21% to $3.14 billion in April, with knitwear exports rising 30.02% to $1.70 billion and woven garments growing 32.65% to $1.43 billion.
Despite the strong monthly performance, overall exports during July–April of FY2025-26 remained around 2% lower year-on-year at $39.39 billion. During the same period, garment exports declined 2.82% to $31.71 billion.
The EPB said all of Bangladesh’s top 20 export destinations posted positive growth in April. Exports to the US increased 43.01%, while shipments to the UK rose 23.46% compared to the same month last year.
Industry leaders said the April recovery mainly reflected payments for orders placed earlier in the year before geopolitical tensions and domestic energy disruptions intensified. Exporters added that buyers remain cautious amid ongoing global supply chain uncertainty, although demand from major markets has shown signs of improvement.
Source: The Daily Star
- EU apparel exports from Bangladesh drop 19%
Bangladesh’s apparel exports to the European Union fell 19.26% year-on-year to €2.89 billion in January–February 2026, according to Eurostat data. In the same period last year, exports stood at €3.57 billion.
Export volumes also declined by 11.14% to 205.52 million kilograms, while the average export price per kilogram dropped 9.13% to €14.04, indicating continued pressure on unit prices. In February alone, export value fell 12.39%, with volume down 3.30% and unit prices decreasing 9.39% compared to the same month a year earlier.
Among competitors, China recorded €4.20 billion in apparel exports to the EU, despite a 4.01% decline in value, while Vietnam saw a 2.06% fall to €711.73 million. Turkey posted a sharper 22.91% drop to €1.20 billion.
Overall, EU apparel imports declined 11.27% year-on-year to €13.83 billion during the period, reflecting weaker demand and falling prices across the market.
Source: The Daily Star
- Bangladesh receives lowest T-shirt prices in EU market, study finds
Bangladesh supplies the largest share of cotton T-shirts to the European Union (EU) but receives the lowest prices from global apparel brands, according to a new study by Public Eye and the Clean Clothes Campaign.
The report said Bangladeshi-made cotton T-shirts are imported into the EU at an average price of US$2.06 per piece, below the overall EU average of US$2.67. The study alleged that major fashion brands continue to pressure suppliers into accepting unsustainably low prices despite public commitments to sustainability and workers’ rights. Researchers said intense competition among factories often forces suppliers to accept orders with extremely thin or non-existent profit margins just to keep production running.
The report warned that low sourcing prices negatively impact wages, workplace safety, and overall sustainability in the garment sector. It also noted that many factories cut costs or rely on excessive overtime to remain operational. Industry leaders in Bangladesh agreed that suppliers receive comparatively lower prices than competitors in countries such as Vietnam.
BKMEA President Mohammad Hatem said persistently low prices are creating financial pressure on factories and could eventually lead to delayed wages and factory closures.
Source: The Financial Express
- Textile millers seek tax cuts as factories struggle
The Bangladesh Textile Mills Association (BTMA) has proposed reducing the income tax rate for textile mills from 27.5% to 10% until 2030 in the upcoming national budget. The association said the sector is struggling with rising gas and electricity costs, production disruptions, higher interest rates, reduced export incentives, and growing global competition ahead of Bangladesh’s LDC graduation.
BTMA also argued that the current tax structure is uneven, as export-oriented garment manufacturers continue to enjoy a lower 12% tax rate. According to the association, more than 200 textile mills have already shut down, while many of the remaining factories are operating at only 60 to 70 percent of their production capacity due to financial and operational pressures.
Separately, the Bangladesh Knitwear Manufacturers and Exporters Association (BKMEA) requested the government waive Tk420 crore in bank loans for 50 struggling factories. The association said many factories have faced financial difficulties because of weak international competitiveness, banking irregularities, and other operational challenges. BKMEA urged the government to classify the factories as sick industries and provide support to help them survive.
Source: The Business Standard
- H&M starts ending business ties with some garment suppliers in Bangladesh
H&M, one of the largest buyers of Bangladesh’s ready-made garments, has begun ending business relationships with several local suppliers, according to industry sources. More than half a dozen garment factories have reportedly been notified that the Swedish retailer will discontinue sourcing from them.
A managing director of an export-oriented composite knit textile factory in Bhaluka confirmed that his company received an email from H&M around a week ago informing them that the brand would no longer source from the factory. He said the company had worked with H&M for over two decades and that the decision would put the factory under significant pressure, as a large share of its production capacity had been dedicated to H&M orders. The factory owner added that while H&M would continue to take delivery of goods for the current season and some orders for the next season, no explanation was provided for ending the long-term business relationship. He also said attempts to contact the buyer after receiving the email had not received a response.
Industry insiders allege that more factories may be affected as part of H&M’s broader strategy to diversify its sourcing away from Bangladesh.
Source: The Financial Express
- EU to review Bangladesh FTA proposal
The European Union is set to begin an internal assessment of Bangladesh’s proposal for a free trade agreement (FTA), nearly a year after it was submitted, according to the commerce ministry. Officials said the EU recently sent a letter to the ministry, although no specific timeline has been provided for the start of negotiations.
Bangladesh first proposed talks for an FTA in August last year to secure continued preferential access to the EU market after graduating from least developed country (LDC) status. At present, the country benefits from duty-free, quota-free access under the EU’s Everything but Arms (EBA) scheme. However, this facility is expected to end after graduation, and exporters may face around 10% tariffs from 2029 if no new arrangement is reached.
The EU remains Bangladesh’s largest export destination, accounting for nearly 60% of total exports, with annual shipments worth more than $25 billion. Textiles and ready-made garments make up about 94% of exports to the bloc, making continued market access crucial for the sector.
Officials said Bangladesh is simultaneously prioritising a possible delay in LDC graduation while also pursuing long-term trade arrangements with the EU. The government has already requested a deferment until 2029, which is currently under review by UN bodies.
Source: The Daily Observer
- Sri Lanka apparel exports decline despite diversification push
Sri Lanka that has long experience in garment export has been experiencing decline of export, despite industry experts believes Sri Lanka’s apparel sector has growth potential through market diversification.
According to Joint Apparel Association Forum (JAAF) data, the country’s apparel exports declined 4.72% year on year to $328.15 million in April. Exports to the UK dropped 16.91%, while shipments to the EU and US fell 8.78% and 3.46% respectively.
However, exports to non-traditional markets increased 12.61%, highlighting opportunities beyond major Western destinations. During January to April 2026, Sri Lanka’s apparel exports totaled $1.53 billion, down 7.47% from the same period last year.
Source: The Daily Sun
- Apparel leaders to donate over 300,000 school dress sets under pilot programme
Leaders of Bangladesh’s apparel sector are set to donate more than 300,000 sets of school uniforms under a pilot programme aligned with the government’s election pledge. The initiative is expected to be implemented by July.
Under the pilot scheme, one set of school uniform, a pair of shoes, and a jute bag will initially be distributed to Class-I students of two government primary schools in each upazila across the country. The programme is planned to expand gradually to all government primary schools and later to madrasa, officials said.
According to ministry sources, BGMEA and BTMA have each pledged 100,000 sets of uniforms and shoes, while the Bangladesh Garment Buying House Association has committed 50,000 sets. Officials said the initiative is expected to become visible within 180 days and will later expand further as part of a broader national programme.
Source: The Business Post
- New Zealand assures continued duty-free access for Bangladesh post-LDC graduation
New Zealand has assured that it will continue providing duty-free and preferential market access for Bangladeshi goods even after the country graduates from the least developed country (LDC) category. The assurance was revealed during a meeting between High Commissioner David Pine and Commerce Minister Khandakar Abdul Muktadir.
Bangladesh currently exports around $99.73 million worth of goods to New Zealand annually, with garments making up nearly 90% of total exports. During July–April of the current fiscal year, exports stood at $78.93 million.
Source: The New Age
- Textile Innovation Exchange (TIE) officially launched to accelerate innovation in Bangladesh’s textile and apparel industry
The grand launching ceremony of the Textile Innovation Exchange (TIE) was successfully in Dhaka, bringing together policymakers, industry leaders, academia, innovators, and development partners under the vision of transforming innovation into a core competence for Bangladesh’s textile and apparel sector.
The initiative aims to institutionalize innovation as a measurable, evidence-led, and repeatable practice across the industry by creating stronger collaboration between factories, academia, technology providers, researchers, and global stakeholders.
The launching program began with a welcome address by Engr. Md. Shamsuzzaman, Chairman of the Organizing Committee who is also the Vice President of BKMEA and MD of Microfiber Group.
Khandakar Abdul Muktadir, Honourable Minister of the Ministries of Industries, Textiles and Jute, and Commerce of the Government of Bangladesh was the Chief Guest of the programme.
The event was also graced by Prof. Dr. Engr. Md. Zulhash Uddin, Vice-Chancellor of Bangladesh University of Textiles, Inamul Haq Khan, Senior Vice President, BGMEA; Abdullah Al Mamun, Spokesperson, BTMA; Md. Abdul Hamid, President of Bangladesh Garment Buying House Association, Engr. Md. Enayet Hossain, Member Secretary of the Interim Committee of The Institution of Textile Engineers and Technologists (ITET) and Tareq Amin, Founder and CEO of Textile Today Innovation Hub (TTIH).
Source: Textile Today
- Shaping the future of textile and apparel industry of India – Role played specifically by the Make in India initiative
India’s textile and apparel industry has grown into a major pillar of the economy, thanks to strong support from the government’s “Make in India” initiative launched in 2014.
The sector contributes significantly to India’s GDP, industrial production, exports, and employment, directly employing around 45–46 million people, especially women and rural workers. Textile exports reached around US$36–37 billion in 2024–25, with apparel making up the largest share.
The “Make in India” initiative boosted the industry by encouraging manufacturing expansion, attracting investments, modernising infrastructure, improving logistics, and increasing export competitiveness. Government programs such as PM MITRA, PLI, and TUFS have further supported growth in spinning, weaving, garment manufacturing, and technical textiles.
India is now one of the world’s largest cotton producers and the second-largest textile manufacturer. The industry is projected to grow rapidly, with the market expected to reach US$350 billion and exports targeted at US$100 billion by 2030.
It is also underscored the key challenges including competition from Bangladesh, Vietnam, and China, rising compliance requirements, volatile cotton prices, and high logistics costs. Foreign Direct Investment (FDI) is identified as another major growth driver, helping improve technology, productivity, infrastructure, quality, and global market access. India allows 100% FDI in textiles under the automatic route, attracting global brands and manufacturers.
Overall, The Make in India initiative has strengthened India’s global position in textiles and apparel and could transform the sector into one of the country’s largest engines of manufacturing, exports, and employment by 2030.
Source: The Time of India
