Bangladesh's garment exports to new destinations are increasing substantially though shipments to traditional markets have come down. New markets are promising mainly due to the government’s stimulus package, aggressive marketing by exporters and relaxation of the rules of origin by some countries. 

Apparel exports to new destinations, all markets except the EU, the US and Canada, rose 15.47 per cent year-on-year in July to December of the current fiscal year. Major new export destinations are: Australia, Brazil, Chile, China, India, Japan, South Korea, Mexico, Russia, South Africa and Turkey. 

During the six month from July to December, Bangladesh’s garment exports to the US declined 5.18 per cent, to EU 3.53 per cent, and to Canada 14.60 per cent. Exports to South American countries such as Brazil, Mexico and Chile are growing at a faster rate. Garment exports to non-traditional markets got a boost when the government offered an incentive package to businesses in fiscal 2008-09 to offset the impact of the global financial crisis on the sector. 

Generally, 60 per cent of Bangladesh’s garment items are destined for the EU, 23 per cent to the US, six per cent to Canada and the rest to other countries.