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Exports break downtrend

Refayet Ullah Mirdha
Bangladesh has managed to buck a downtrend in exports in July due to an increase in shipment of woven garment items to the US.
Month-wise exports from Bangladesh had been in negative territory since March because of a debt crisis in Eurozone, the country's largest export destination. But, with the rebound of the US economy, Bangladesh's overall exports are also increasing on the back of higher demand for woven garments in the world's largest economy.
In July, the first month of the current fiscal year, exports rose by 4.26 percent to $2.43 billion compared to the same month last year, according to data released by the Export Promotion Bureau (EPB) yesterday.
In garment exports, woven items surpassed knitwear. Bangladesh's largest woven garment market is the US.
In July, Bangladesh exported woven garments worth $993.84 million, 11.92 percent higherthanthesamemonth lastyear.
Knitwear items brought in $1 billion, a decline by 0.68 percent from July last year.
Earlier, the commerce ministry set the annual export target at $28 billion for the current fiscal year, while the target for July was at $2.34 billion.
The problem is not over yet as the Eurozone is still reeling under the debt crisis, said Shafiul Islam Mohiuddin,
president of Bangladesh Garment Manufacturers and Exporters Association.
“We are going through tough times. Future trends are vulnerable,” he said.
Exports of woven garments to the US are increasing due to the rebound of its economy, he said.
Fazlul Hoque, a former president of Bangladesh Knitwear Manufacturers and Exporters Association, said knitwear exports from Bangladesh are declining, while its competitors such as Cambodia andVietnam are performing well.
“One of the major reasons behind the fall in knitwear exports is the prolonged debt crisis in the Eurozone,” Hoque said.
The Eurozone is the largest export destination for Bangladesh's knitwear products.
Bangladeshi knitwear makers should export more to the new destinations such as India, China, South Korea, South Africa, Australia, Japan, Mexico, Russia, Brazil and Turkey, Hoque said.
reefat@thedailystar.net