RMG export to US drops by 18.54pc in Jan-July

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The country’s apparel export to america in January-July this season fell by 18.54 % as a result of global economical slowdown witnessed in the wake of the coronavirus pandemic.
 
The US official data showed that Bangladesh’s apparel export to the united states market in the first seven months of 2020 plunged by $661 million to $2.90 billion from $3.56 billion in the same period last year.  

Exporters said that although earnings from the united states increased slightly in July, the info reflected the adverse impacts of the pandemic in April-June.

The info showed that the US demand for apparel in January-July 2020 also dropped by 30.68 per cent to $33.87 billion from $48.86 billion in the same period of last year.

Bangladesh still remained the third most significant apparel supplier to the united states market but the rate of negative growth registered by the united states was greater than its competitor country Vietnam, in line with the data of any office of Textiles and Apparel beneath the US Department of Commerce.

Despite sluggish demand for apparel in america, Cambodia’s export registered a 6.13-per cent positive growth available during the period.

Vietnam’s apparel export to the US in the seven months of 2020 fell by 11.06 % to $6.94 billion from $7.80 billion in the same amount of 2019.

Cambodia’s readymade garment export to the US in January-July 2020 increased by $89 million to $1.54 billion from $1.45 billion in the same period of 2019.

US apparel import from China in the first seven months of the year decreased by 49.34 per cent to $7.34 billion from $14.50 billion in the same amount of 2019, the Otexa data showed.

It showed that Bangladesh’s readymade garment export to the united states, the major market for Bangladesh, had began to decline since April and the wages witnessed a 12.10per cent negative growth in the January-May period.

Bangladesh’s RMG export to the marketplace also decreased by 19.73 % in the first half of the current calendar year.

The impact of the coronavirus pandemic on Bangladesh’s apparel export was reflected in america import data but the rate of negative growth would fall in the coming days as the US consumers had started buying again, Bangladesh Knitwear Manufacturers and Exporters Association first vicepresident Mohammad Hatem told MODERN.

He said that export to the united states increased in July but Bangladesh have been failing to gain the expected market share in america because of many issues.

During the pandemic, the rate of negative growth registered by Vietnam in the US was less than Bangladesh as Vietnam enjoys a competitive duty structure and lead time advantage available to buy, Hatem said.

He hoped that the export growth of Bangladesh’s RMG sector would return to a positive on the US market by the finish of this year. 
Source: https://www.newagebd.net

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