Bangladesh Exports: Bangladesh’s (readymade garment), RMG sector has faced a significant decline, with exports dropping by 13.21% in February 2026 compared to the same month last year. This downturn marks a concerning trend for the country’s economy, as the RMG sector contributes about 80% of Bangladesh’s total export earnings.
According to data from the Export Promotion Bureau (EPB), RMG export earnings for the first eight months of the fiscal year 2026 (July-February) reached $25.80 billion, a decrease of 3.73% from the previous fiscal year. Knitwear exports amounted to $13.69 billion, down by 4.56%, while woven exports were $12.11 billion, a reduction of 2.79%.
The February figures are particularly alarming, with knitwear exports falling to $1.40 billion, a decline of 15.46%, and woven exports decreasing to $1.42 billion, down by 10.86%. Industry experts attribute this slump to slowing consumer demand in key markets like the US and Europe, coupled with high inflation and slow retail sales.
Historically, the RMG sector experienced positive growth in the fiscal year 2025, with total export earnings reaching $39.35 billion, an increase of 8.84% from the previous year. However, the current fiscal year has not maintained this momentum, partly due to global market challenges and increased competition from other garment-producing nations.
Stakeholders emphasize the need for market diversification and the production of high-value products to regain buyer confidence. The performance of the RMG sector in the upcoming months will be crucial in determining whether this decline is a temporary setback or indicative of a longer-term issue.
Published in SouthAsianDesk, March 3rd, 2026
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