Bangladesh’s apparel exports to some 11 non-traditional markets slowed last fiscal when the export performance to nine East European countries remained unimpressive. Factors like higher duty, complex rules of origin and the absence of continued efforts to promote products and explore markets were responsible. Devaluation of currencies against the dollar in the importing countries and the aftermath of a couple of tragic industrial accidents followed by the country's post-election political turmoil also played a part in the lackluster export performance.

Bangladesh’s non-traditional export markets are: Australia, Brazil, Chile, China, India, Japan, Korea, Mexico, Russia, South Africa and Turkey. Traditional export destinations are the US, Europe and Canada. These buy more than 84 per cent of Bangladesh's readymade garment products.

Apparel exports to the non-traditional markets witnessed more than 20 per cent growth during the period from the fiscal year 2011-12 to 2013-14. But the growth slowed down to 10.48 per cent in fiscal year 2015-16. In the previous fiscal year the rate stood at 8.90 per cent.

Germany is the second largest single export destination for Bangladeshi garments after the US. Swedish retailers also plan to increase their sourcing volume from the country.

Bangladesh has the world’s lowest wages, after Myanmar and Sri Lanka, a skilled workforce, and also the upper hand owing to China becoming less competitive in recent years.