"Grabbing the third spot, Bangladesh is reigning its share in global exports of textile and apparel products. The country’s exports registered a growth of 9 per cent over the last five years to reach $34.4 billion in 2016, while imports have increased at a CAGR of 7 per cent in the same period to reach $10.3 billion in 2016. Bangladesh’s textile and apparel trade balance recorded a surplus of around $24.1 billion in 2016. When we talk about imports, cotton is the largest imported category by Bangladesh, representing 55 per cent of total textile and apparel imports (2016). This is followed by man-made textiles, others and apparel with a share of 35.0 per cent, 6.8 per cent and 3.2 per cent respectively. Top 10 suppliers accounted for around 94 per cent of textile and apparel imports by Bangladesh. China is the largest supplier accounting for 58 per cent share, followed by India and Pakistan with a share of 19 per cent and 6 per cent respectively."
Grabbing the third spot, Bangladesh is reigning its share in global exports of textile and apparel products. The country’s exports registered a growth of 9 per cent over the last five years to reach $34.4 billion in 2016, while imports have increased at a CAGR of 7 per cent in the same period to reach $10.3 billion in 2016. Bangladesh’s textile and apparel trade balance recorded a surplus of around $24.1 billion in 2016. When we talk about imports, cotton is the largest imported category by Bangladesh, representing 55 per cent of total textile and apparel imports (2016). This is followed by man-made textiles, others and apparel with a share of 35.0 per cent, 6.8 per cent and 3.2 per cent respectively. Top 10 suppliers accounted for around 94 per cent of textile and apparel imports by Bangladesh. China is the largest supplier accounting for 58 per cent share, followed by India and Pakistan with a share of 19 per cent and 6 per cent respectively.
India business relations
India is the second largest supplier of textile and apparel products to Bangladesh, at around $2 billion in 2016. It has registered a CAGR of 4 per cent over the last five years. Cotton textiles is the largest category with a share of 77 per cent in India’s T&A exports to Bangladesh. This is followed by man-made textiles and apparel having share of 17 per cent and 4 per cent respectively.
Currently, Bangladesh imports its required consumption of yarn and fabric from China, India and other nations to fill the demand-supply gap. It has served as a key export market for Indian cotton and man-made textiles since long. However, many new investments are the offing in the spinning and weaving sectors of Bangladesh in the coming years with many big firms taking a keen interest to set up spinning and weaving units there.
Going by its strong emphasis on the sector, the country is soon going to emerge as a self-sufficient textile and apparel hub by focussing more on backward integration in the next 10 years. This is expected to lower the export opportunities for China and India. While Bangladesh is a key export market for Indian textiles, it will be important for Indian firms whose major export market is Bangladesh to look for newer markets for their exports in the coming years.
