Bangladesh has secured second position in export growth among emerging economies and first among South Asian nations in the last decade (2008 – 2018) despite its narrow export basket in the World Trade Organisation index.
According to the WTO Statistical Review 2019, Vietnam ranked the top position in the index where major economies including China, India, Mexico, United Arab Emirates (UAE), Turkey, Brazil and South Africa were found to be placed in lower positions.
Vietnam, which is also one of the top garment exporters worldwide, topped the list with a 14.6 percent export growth while Bangladesh gained 9.8 percent, according to the flagship annual report of the World Trade Organisation.
Exports of two giant economies, China and India, grew by 5.7 percent and 5.3 percent respectively. The export growth of Mexico was 4.5 percent, UAE 3.7 percent, Turkey 2.4 percent, Brazil 1.9 percent and South Africa 1.5 percent.
Bangladesh exceeded the export growth of many leading economies like China, India, Brazil and Turkey and some developing nations because of the high volume of garment export.
“Bangladesh’s exports of apparel and clothing more than trebled between 2008 and 2018,” the WTO said. Vietnam’s exports of electrical machinery increased almost 30-fold between 2008 and 2018, according to the report. Bangladesh is now the 42nd largest exporter and 30th largest importer of the world, the data said.
Meanwhile, Bangladesh maintained the title of second largest garment exporter worldwide grabbing 6.4 percent of the trade while China maintained its dominance occupying 31.3 percent despite a slight decline in the growth in 2018.
The share of Vietnam in apparel trade grew to 6.2 percent, India 3.3 percent and Turkey 3.1 percent, according to data of the WTO.
With the high achievement of export receipts last fiscal year, the government recently set a new export target for the current fiscal year at $54 billion, of which $45.50 billion is expected from merchandise export and $8.50 billion from services export.
The overall export growth has been fixed 15.20 percent higher than the achievements last fiscal year.
In merchandise export, the growth rate has been fixed at 12.25 percent higher than that attained last fiscal year while in services 34.10 percent. Target for the new fiscal year has been fixed on the achievements of the immediate past fiscal year.
World economic outlooks, government policy supports, changes in the dollar exchange rate, market and product diversification, supply side capacity, improvement of safety standards in garment factories and effects of the US-China trade war have been taken into consideration during fixing of the target, Islam said. Last fiscal year receipts from merchandise shipment amounted to $40.53 billion and services sector $6.33 billion.
Overall exports had registered a 14.30 percent growth, 10.55 percent in goods shipments and 46.06 percent in services sector. As usual, the highest export target has been fixed for the garment sector in the current fiscal year at $38.20 billion, which is 11.91 percent higher than the achievement of last fiscal year.
In other sectors growth, agriculture products grew 34.92 percent, plastic products 21.65 percent and pharmaceuticals 25.60 percent in the last fiscal.
Of the amount, $18.85 billion has been targeted from knitwear and $19.35 billion from the woven sector. Last year Bangladesh exported garment items worth $34.13 billion, registering a 11.49 percent year-on-year growth.
Decleration: Image used here sourced from The Daily Star for presentation purpose only.