TDS Desk:

Bangladesh’s garment exports fell 11.92 percent from the previous quarter to $9.11 billion in the April–June period of the current fiscal year, according to the latest quarterly data from the central bank.

Still, the figure was 3.15 percent higher than a year earlier.

Bangladesh Bank said the readymade garment sector faced multiple headwinds during the quarter.

The most significant was the United States’ announcement of a 35 percent countervailing duty on Bangladeshi apparel.

Though not yet in effect, the measure created uncertainty and prompted some buyers to defer orders.

Indian restrictions on garment imports from Bangladesh via land routes also disrupted logistics, limiting access to a key regional market, the regulator noted.

Meanwhile, a two-month agitation beginning May 14 by officials of the National Board of Revenue slowed customs clearance, delayed shipments, and hampered timely deliveries.

Broader global economic headwinds, coupled with rising domestic production costs and limited diversification of export markets, added to the volatility in export trends, the report said.

The United States, Germany, the United Kingdom, Spain, France, the Netherlands, Italy, Canada, and Belgium remained the top destinations for Bangladeshi garments during the quarter, accounting for $6.55 billion, or 71.89 percent, of total earnings.

In net terms—after subtracting raw material import costs from export earnings—the sector brought in $5.18 billion, or 56.78 percent of gross garment exports, in the April–June quarter.

Despite the quarterly dip, the industry maintained its position as the backbone of Bangladesh’s economy.

Total garment exports in FY25 reached $39.35 billion, up 8.9 percent from the previous fiscal year, driven by growth in both knitwear and woven shipments, the central bank said.