Bangladesh’s apparel exports to the European Union (EU) have seen remarkable growth, increasing from €11.54 billion in 2015 to €18.27 billion in 2024, marking a substantial 58 per cent increase over the past decade, according to data from the Eurostat, the statistical office of the EU.

This surge in exports highlights the resilience and competitiveness of Bangladesh’s garment sector, even as it faced numerous global challenges, including economic slowdowns, disruptions caused by the COVID-19 pandemic, and the shifting dynamics of international trade.

The growth trajectory over the last ten years reflects consistent upward movement, with total apparel exports steadily increasing from 2015 to 2019, showed the EU data released on February 17.

However, the impact of the Covid-19 pandemic caused a significant dip in 2020, when exports dropped to €12.32 billion, a 17.6 per cent decrease compared to the previous year.

Despite the pandemic’s impact, the garment sector demonstrated remarkable resilience and quickly rebounded, with exports bouncing back to €14.29 billion in 2021, an impressive 16 per cent growth.

The year 2022 marked the most significant year in terms of growth, with Bangladesh’s apparel exports to the EU surging by 53 per cent to reach €21.91 billion.

This surge was driven by the post-pandemic recovery, a sharp rise in global demand, and a favourable trade environment that helped Bangladesh capitalise on the recovery phase.

However, the global economic slowdowns that began to affect key EU markets in 2023 led to a 20.4 per cent drop in exports that year, with the total for the year standing at €17.44 billion.

Despite this decline, 2024 saw a modest recovery with a 4.8 per cent increase, bringing the total to €18.27 billion.

The EU data revealed that Bangladesh’s knitwear exports have been the primary driver of growth.

In 2015, knitwear exports amounted to €6.92 billion. By 2024, this figure had risen to €11.03 billion, a 60 per cent increase over the decade.

The most notable surge in knitwear exports occurred in 2022, when they grew by an astounding 52 per cent.

This growth was largely attributed to the rising global demand for comfortable and casual wear, particularly in the aftermath of the pandemic when consumer preferences shifted.

In contrast, woven apparel exports have also seen growth, but with greater volatility.

Woven apparel exports grew from €4.60 billion in 2015 to €7.23 billion in 2024, marking a 57 per cent increase over the decade.

However, this sector has been more affected by fluctuations in global demand and shifting consumer preferences, particularly as buyers increasingly opt for more casual and sustainable fashion.

The woven apparel sector also faced greater challenges due to economic uncertainties in major EU markets, making its growth more irregular than that of the knitwear segment.

Despite these challenges, Bangladesh’s overall apparel export performance to the EU remains strong, underpinned by several key factors.

The country’s robust manufacturing base, skilled workforce, and cost-effective production processes have allowed it to maintain a competitive edge in the global market.

Moreover, Bangladesh continues to benefit from the Everything But Arms (EBA) scheme, which grants duty-free and quota-free access to EU markets for most apparel products.

These advantages have helped Bangladesh remain a top supplier of garments, even as global trade dynamics continue to shift.