Bangladesh’s export earnings fell 5.84 per cent in the first six months of the fiscal. Receipt between July and December was also 12.77 per cent lower than the half-yearly target. Of the six months, shipments rose only in July and December. Exports rebounded in December, registering a 2.89 per cent growth. In the first half, shipments of apparel, which usually make up more than 80 per cent of national exports, fell 6.21 per cent. Knitwear exports were down 5.16 per cent and woven exports declined 7.28 per cent. However, export earnings from apparel items improved a bit in December in comparison to November. But the increase in December does not signify that the sector is turning around as such. The first two weeks of December remained negative while the second half picked up slightly.

Leather and leather goods are the second highest export earner for Bangladesh after garments. But between July and December, export earnings from leather and leather goods fell 10.61 per cent. Worse, the possibility of a rebound for export of leather and leather goods over the next two years is dim as the demand for non-leather goods is on the rise worldwide. Non-leather goods are seen as comfortable and less expensive compared to leather goods.