Around 64.12 per cent of Bangladesh’s total clothing exports were headed for the EU in the last fiscal year. The EU’s apparel imports from Bangladesh in value term grew 3.92 per cent during the last January-July period. But in volume terms the EU’s apparel imports from Bangladesh rose by 15.75 per cent. Bangladesh targets a 6.33 per cent rise in ready made garment exports for fiscal 2018-19. Orders are shifting from China to other markets, including Bangladesh and Vietnam, which offer comparatively low prices. The unit price for apparel is gradually declining despite Bangladesh’s moving toward mid- and high value-added items. Market pressure is driving the shrinking trend of apparel prices. The euro’s depreciation also has had a negative impact on the European Union’s imports.
China and Vietnam have diversified their product baskets, including medium and high value-added items. The EU’s overall apparel imports from across the globe during the period increased by 5.58 per cent. In terms of value, it witnessed a meagre 0.06 per cent growth. China’s apparel exports both in value and volume to the EU fell by 6.76 per cent and 5.03 per cent respectively. Vietnam’s exports to the EU grew by 2.42 per cent and 19.26 per cent in terms of value and volume respectively.