Dhaka, Bangladesh (BBN)- The country’s ready-made garment exports are continuing to soar, rising by nearly 17 percent in the first eight months of the current fiscal year as restoring political stability in Bangladesh.
Apparel exports rose to US$16.14 billion in the eight months from July to February from $13.83 billion a year earlier - and exceeding targets set at $15.36 billion.
Woven garment exports grew by 15.92 percent to $8.23 billion during the period, from $7.10 billion last year while Knitwear exports increased by 17.50 percent to $7.91billion from $6.73 billion, according to the state-run Export Promotion Bureau (EPB) statistics.
“We’re hopeful about achieving the overall export target by the end of this fiscal year if the existing trend continues” an EPB official told BBN in Dhaka.
The government has set an export target of $30.5 billion for fiscal year 2014, which began on 1 July.
Bangladesh's low labour costs have helped it secure business from international apparel brands and retailers like Gap, Tesco, JC Penney, Wal-Mart, H&M, Kohl's and Marks & Spencer.
Fazlul Hoque, former president of the Bangladesh Knitwear Manufacturers and Exporters Association (BKMEA), said the export earnings may increase in the coming months if the political stability continues in Bangladesh.
The country’s political stability has started coming back after holding of the parliamentary elections on January 5 last. The overall business activities were badly affected since October last year following frequent spells of blockade and shutdown.
“We’re seeking a fair price from international buyers as cost of doing business increased significantly after implementation of new wages for workers and for extensive safety improvements,” Mr. Hoque noted.
Bangladesh is now the second largest garment exporter after China. The country has around 4,000 active garment factories, employing more than 4.0 million people, 80 percent of whom are women.
BBN/SSR/AD-15Mar14-9:17 pm (BST)