Bangladesh’s readymade garment exports to China in the July-March FY17 period grew 27.11 per cent compared to the same period of FY16. The country’s exports to China in the nine months of FY17 were 32.06 per cent higher than earnings in the same period of FY16.

Export earnings from India in the July-March period of FY17 grew by 7.28 per cent but earnings from export of two major items — garments and jute and jute goods — decreased. Bangladesh’s garment exports to India in the nine months of FY17 fell by 7.85 per cent compared to the same period of FY16. Exports of jute and jute goods to India in the nine months also decreased by 17.08 per cent compared to the same period of the last financial year.

Bangladesh’s exporters face various technical barriers in India regarding testing facility of products at the border, complexities in registration requirement, product specification and border specification. Other factors are payment procedures and devaluation of the Indian currency. So the country is focusing on exports to China especially since China is shifting from production of basic products to high-end and high-tech items and meeting domestic demand for basic products through imports.