Apparel exports to EU show signs of recovery

Bangladesh’s apparel exports to the European Union (EU) could gain momentum towards the end of this year and in 2027 as the decline in European apparel imports gradually narrows, raising hopes for Bangladesh’s exporters.

According to Eurostat data, the EU imported apparel worth €60.29 billion in January-August 2026, down 3.83 percent from €62.69 billion in the same period last year.

Import volume declined 2.57 percent, while the average unit price fell 1.29 percent to €19.65 per kilogramme from €19.91.

Bangladesh’s apparel exports to the EU fell 11.67 percent to €11.93 billion during the period from €13.50 billion a year earlier, a decline of around €1.58 billion.

Export volume dropped 4.58 percent, while the average unit price decreased 7.43 percent to €13.76 per kilogramme from €14.87.

However, the August figures showed signs of improvement in overall EU apparel imports. Compared with August 2025, import value rose 0.72 percent, although volume declined 0.57 percent, while the average unit price increased 1.29 percent.

The data indicate that Bangladesh faced a sharper decline in export value than the overall EU import market, with lower unit prices accounting for a substantial part of the fall alongside reduced shipment volumes.

Talking to BSS, former Bangladesh Garment Manufacturers and Exporters Association (BGMEA) director Mohiuddin Rubel said Europe had faced various economic pressures that had reduced its overall imports from the previous year, but recent trends suggested a gradual recovery.

“Bangladesh has performed better in the European market over the last three months than in the first five months of this year. European imports have also increased gradually,” he said.

If the trend continues, Bangladesh could see stronger export growth towards the end of this year and into 2027, he added.

Rubel highlighted the importance of the European market to Bangladesh’s garment industry, saying it accounts for nearly 50 percent of the country’s apparel exports.

Bangladesh also supplies around 20 percent of the EU’s total apparel imports, making the region’s demand trends particularly significant for the country’s export earnings.

He said Bangladesh must maintain its competitiveness and strictly comply with European rules and regulations to sustain export growth and strengthen its position in the market.

The industry needs to focus on the factors European buyers consider when sourcing garments, particularly compliance requirements, sustainability standards and other regulatory conditions, he said.

Rubel also called for greater investment in value-added products, diversification of the product range and stronger engagement with international brands.

Bangladesh should expand its offerings of higher-value garments and products made from different types of fibres to improve its competitive position, he added.

He stressed that the industry must make substantial progress in sustainability and compliance to secure long-term growth.

He further highlighted the need to prepare for the challenges associated with Bangladesh’s graduation from the least developed country (LDC) category, particularly the potential loss of existing trade preferences, including those under the EU’s Generalised Scheme of Preferences (GSP).

Rubel said Bangladesh should begin addressing these challenges well in advance to protect its market access and export competitiveness.

He said sustained improvements in competitiveness, product diversification, sustainability and compliance would help Bangladesh benefit from a recovery in European demand.