DHAKA, May 30, 2018 (BSS) – Export earnings from the Readymade Garment (RMG) increased by 11.67percent or US$ 842.52 million in January to March quarter of 2018 than the corresponding quarter of previous year 2017.
“Despite high price decline in international market, the growth of RMG sector has increased due to political calmness. During the period, productivity has increased,” a senior Bangladesh Bank (BB) official told BSS here today.
According to BB data, export earnings from RMG stood at $8,061.65 million during the January to March quarter of 2018 which was $ 7,219.13 million in the corresponding quarter of 2017.
During the January to March period, export earnings from RMG sector increased by 5.68 percent or $432.98 million than the previous quarter (October to December) in 2017.
RMG is the major export item. It brought 84.54 percent of the country’s total export earnings of $9535.53 million in the January to March quarter.
Data showed that 45.47 percent and 39.07 percent of total export earnings were received from woven garments and knitwear respectively. Export earnings from woven garments stood at $4,335.78 million during the period while knitwear $3,725.87 million.
Talking to BSS, president of the Bangladesh Malaysia Chamber of Commerce and Industry (BMCCI) Syed Moazzam Hossain said RMG sector is the country’s largest foreign currency earner.
Because of different initiatives by the government and other authorities concerned, he said, the production of RMG is increasing and thus export earnings from the sector is also increasing gradually.
Moazzem, also an exporter of RMG product, said although the production level is increasing, exporters do not get expected price for their products as buyers are dominating in international market.
According to the BB data, about four million of total manpower is working in 4,482 garments factories. Employment in RMG sector increased from two million in fiscal 2004-05 to four million in 2011-12. The figure of the RMG workforce remained unchanged till FY17.
Major importer countries of Bangladeshi RMGs are the USA, Germany, the UK, France, Spain, Italy, Belgium, the Netherlands and Canada.
During the January to March of 2018 period, total export to these nine countries stood at $6,440.65 million, of which 91.78 percent or $5,911.45 million is from the RMG (woven 51.26 percent and knitwear 40.53 percent) sector.
During the January to March quarter, RMG export to these nine countries increased by 10.2 percent compared to the corresponding quarter of the previous fiscal year.