Knitwear items totaled 47 per cent of Bangladesh’s total RMG exports in 2023. 

The country recorded earnings worth $26.55 billion from export of knitwear items during the year while $24.71 billion were generated from the export of woven garments. In total, Bangladesh’s earnings from RMG exports totaled $45.70 billion against total export earnings of $54.70 billion.

The rise in knitwear exports is attributed to the strong backward linkage, the sector’s capacity to ensure quick delivery of products, and the government's policy support, etc.

Besides changing patterns in fashion and acceleration of delivery services, the government’s support in the form of cash incentives and utilities also helped entrepreneurs invest in the segment, say exporters

Exporters of woven garments however, faced absence of backward linkages and longer lead times. According to Fazlee Shamim Ehsan, Vice President, BKMEA, majority of the segment’s demand for raw material like fabric is met through imports.

These exporters need huge investments along with simplified banking procedures to enable them to invest in the woven backward linkage, he adds.