New Zealand as a Potential Market for Bangladesh’s Apparel Exports

Md. Sajib Hossain

Bangladesh and New Zealand have great potential to further strengthen their trade and investment relations. According to ITC Trade Map data (2026), New Zealand’s major exports to Bangladesh in 2025 were dairy products, iron and steel, aluminum, sugar confectionery, vehicles, fruits, wood pulp, plastics, and wool. Conversely, New Zealand’s notable imports from Bangladesh were apparel (knitted, HS 61; non-knitted, HS 62), made-up textile articles, headgear, leather goods, footwear, plastics, prepared food items, and toys.

When it comes to Bangladesh’s apparel exports, the country globally exported clothing or apparel products worth US$39 billion in 2025, accounting for 6.8 percent of global apparel exports (WTO, World Trade Statistics, 6 June, 2025). Thus, the country secured its position as the world’s second-largest apparel exporter after China (27.3 percent), slightly ahead of Viet Nam (6.5 percent).  

However, according to the ITC Trade Map’s export potential estimate for 2030, Bangladesh’s export potential to New Zealand across all products is US$214 million, with an unrealized potential of US$77 million. The products with the greatest export potential from Bangladesh to New Zealand are apparel and textile products; skins, leather products thereof, and footwear, and other manufactured products. However, apparel and textile products alone have the potential to generate an additional US$62 million in exports, accounting for 80 percent of Bangladesh’s total unrealized export potential to New Zealand. This estimate is applicable if Bangladesh does not graduate from the least developed country (LDC) category on November 24, 2026.

Apparel as Bangladesh’s Key Export Item to New Zealand’s Market

Apparel exports continue to dominate Bangladesh’s export basket in the New Zealand market.

As shown in Table 1, in FY 2024-25, they accounted for 93.84 percent of the country’s total exports to New Zealand. However, in FY 2024-25, Bangladesh’s total exports to New Zealand were valued at US$99.73 million, a 4.34 percent decline from US$104.25 million in FY 2023-24. Apparel exports also declined by 5.09 percent to US$93.59 million from US$98.61 million during the same period. Bilateral trade between New Zealand and Bangladesh increased by 1.94 percent to US$497.43 million in FY 2024-25. Meanwhile, Bangladesh’s trade deficit with New Zealand increased by US$18.52 million to US$297.97 million in FY 2024-25, compared with the previous fiscal year.

   Table 1: Bangladesh–New Zealand Trade and Apparel Export Performance

Fiscal Year Basis; Value in US$ Million

   Source: Author’s calculations from EPB, 2026, Bangladesh, for export data and Bangladesh Bank (BB, 2026) for import data.

Bangladesh’s Position in New Zealand’s Apparel Market

As shown in Table 2, China was the major player in New Zealand’s apparel market, accounted for about 58.50 per cent of the market share in 2025, followed by Bangladesh (10.76 per cent), Viet Nam (7.45 per cent), India (4.07 per cent), Indonesia (3.78 per cent), and Cambodia (2.08) per cent, and others. New Zealand’s apparel imports from the world market declined moderately by 2.93 per cent from US$1.22 billion in 2024 to US$1.19 billion in 2025. Also, among New Zealand’s top ten supplier countries, only Viet Nam, Indonesia, Pakistan, and Sri Lanka experienced positive growth, while collectively, the top ten supplier countries posted negative growth of 2.27 per cent.

Table 2: New Zealand’s Top Ten Apparel Suppliers and Market Shares

Calendar Year Basis; Value in US$ Million

 Source: Author’s calculations based on ITC Trade Map, 2026

Note: The apparel export value data for Bangladesh in the New Zealand market are varied between EPB and ITC Trade Map due to differences in reporting sources, fiscal year versus calendar year coverage, FOB vs. CIF valuation, shipment-recording timing, etc.

Why New Zealand Should Source More Apparel from Bangladesh

Several encouraging factors that make Bangladesh an attractive sourcing destination for New Zealand’s apparel buyers, which are as follows:

• Quality apparel products at competitive prices;
• The country’s apparel sector’s social compliance and sustainability practices are in line with the international standards and are well aligned with New Zealand’s ethical sourcing priorities;
• Bangladesh’s apparel sector has emerged as a global leader in green building initiatives. According to the LEED project directory, as of June 4, 2026, there are 288 USGBC LEED-certified green apparel factories in Bangladesh, which is the highest number globally. These LEED-certified apparel factories are improving energy and water efficiency and thus contributing to the reduction of GHG emissions, while also safeguarding workers’ safety and well-being through structural integrity.
• Bangladesh’s large-scale production capacity and reliable supply chains have enabled the country to meet the sourcing requirements of international buyers across different countries and regions.

What is Required to Boost Bangladesh’s Apparel Exports to New Zealand

• Bangladesh has been enjoying preferential market access to   New Zealand under its Least Developed Country Generalized System of Preferences (LDC-GSP) scheme, since 1 July 2001, as per EPB’s market access information.  However, the Government of Bangladesh is currently requesting New Zealand to continue the existing duty-free facilities for another three years after Bangladesh’s LDC graduation. If this facility is not extended, apparel exports from Bangladesh will be subject to about 10 per cent most-favored nation (MFN) duty, from the existing 0 per cent.  Against this backdrop, the Government of New Zealand is urged to positively consider Bangladesh’s request, since the continuation of this facility is crucial for Bangladesh to ensure its smooth and sustainable graduation process;
• To strongly promote exports, the Commercial Wing of the Bangladesh High Commission in Canberra, which is also accredited to New Zealand, needs to undertake enhance trade promotion activities in the New Zealand market. Such efforts include connecting Bangladeshi exporters with New Zealand buyers, providing valuable market intelligence, and addressing export-related challenges, in view of the decline in exports to New Zealand;
• To boost exports, from time to time, Bangladesh can organize trade shows or product exhibitions in New Zealand. Likewise, New Zealand importers, traders, and business delegations can be invited to international fairs and business events in Bangladesh, which will help develop direct buyer-supplier linkages;
• Bangladesh apparel entrepreneurs need to keep an eye on the latest trends, designs, and consumers’ preferences in New Zealand’s fashion market and develop their capability to produce apparel items in line with the demand to establish a strong foot hold there.

It is worth mentioning that in mid-May 2026, New Zealand’s Non-Resident High Commissioner to Bangladesh,

His Excellency David Pine visited Bangladesh and attended several high-level government meetings.  According to media reports, the discussions covered a wide range of bilateral issues, including trade of mutual interests, investment partnerships, cooperation in the environment, climate change issues, safe food and management, as well as building strong diplomatic ties between Bangladesh and New Zealand. During his visit, the High Commissioner also assured that New Zealand would continue to extend GSP facilities even after Bangladesh’s LDC graduation. He also held meetings with chambers and trade bodies in Bangladesh, including the apparel industry trade bodies, BGMEA and BKMEA. On May 21, his courtesy meetings with BGMEA and BKMEA, discussions focused on boosting Bangladesh’s apparel exports to New Zealand, strengthening buyer-supplier linkages, promoting Bangladeshi brands, and enhancing cooperation in renewable energy, fashion design and technology, among others.  Indeed, these engagements send a positive signal for enhancing apparel sector cooperation between the two textile and apparel -producing countries.

To conclude, New Zealand holds immense potential for further increasing Bangladesh’s apparel exports, in one sense, and in another sense, Bangladesh can become a lucrative destination for New Zealand to import apparel items. New Zealand’s GDP at current prices stood at US$278.64 billion, while its GDP per capita on a purchasing power parity (PPP) basis was US$58,310(World Economic Outlook, April, 2026). This indicates that New Zealand is one of the world’s high -income consumer markets, coupled with its stable economy.  The country has a relatively small population of about 5.32 million, as reported by World Bank Open Data (2024), but the market remains potential.  Most importantly, Chain’s drifting away from producing basic apparel items is an opportunity for Bangladesh to capture a larger share of this market.   

Author: Md. Sajib Hossain, Research Associate, Research and Development Cell, BKMEA. He can be reached at hsajib87@yahoo.com

 Disclaimer: The views and analyses expressed in this article are those of the author.