Garment exports to US rebound

Staff Correspondent

Bangladesh’s apparel exports to United States rebounded in the January-March period of 2015 as the country overcame the setback of tragic Rana Plaza building collapse and Tazreen Fashions fire.
Following a continuous negative growth in 2014, Bangladesh’s readymade garment exports to the US market started to rebound with the beginning of the year 2015 and the exports to the US market grew by 6.25 per cent in January-March period.
Country’s apparel exports in January-March period of 2015 to the US increased to US$ 1.39 billion from US$ 1.31 billion in the same period of last year, according to the US Commerce Department data released on Tuesday.
Though the apparel export figure of China to the US market is the highest, its (Chaina’s) growth rate is lower than Bangladesh.
Data showed that the China’s apparel exports to US in the first three months of the year 2015 increased by 4.93 per cent to US$ 6.47 billion from US$ 6.17 billion in the same period of 2014.
Apparel export earnings of Vietnam from US in the first three months grew by 12.11 per cent to US$ 2.43 billion from US$ 2.17 billion in the same period of the year 2014, according to the data.
Apparel export from India to the US market in the January-March period rose by 9.36 per cent to US$ 1.03 billion from US$ 944.04 million in the same period of the year 2014, data showed.
‘Overcoming the slowdown of last year in the US market the present export growth is obviously encouraging and we have more scope to grab more shares in the market as simultaneously Bangladesh is producing both high and low end products,’ Faruque Hassan, managing director of Giant Group, a leading garment exporting company, told New Age on Thursday.
Another exporter said that they had scope to register more export growth in the US market but the political relation between two countries is one of the barriers.
Moreover, Bangladesh’s apparel export registered an insignificant growth in April 2015, showed the Export Promotion Bureau data which will be released on Sunday.
According to the data, RMG exports in April increased by 1.15 per cent to US$ 1.93 billion from US$ 1.91 billion in the same period of 2014.
The EPB data showed that the export earnings from knitwear in the July-April period of the financial year 2014-15 increased by 2.09 per cent to US$ 10 billion against US$ 9.80 billion in the same period of FY14.
Earnings from woven in the first 10 months of the current financial year rose by 3.85 to US$ 10.55 billion from US$ 10.16 billion in the same period of the previous financial year.
Faruque, also the former vice president of Bangladesh Garment Manufacturers and Exporters Association, said global orders have increased a bit but not significantly.
‘Following the Rana Plaza building collapse, the present export scenario indicates that we have overcome the situation by addressing the concerns over the working condition,’ he said.
Faruque thinks that Bangladesh RMG sector regained its image globally with the help of brands and buyers and the sector would achieve its goal, though the export earning target in the current fiscal year would not be achieved.
‘I think the growth in the readymade garment export in the FY15 will not be more than 3 per cent,’ he said.

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