In the first eleven months of 2017, Bangladesh’s garment exports were up 1.38 per cent year-on-year.  One reason is the favorable exchange rate. Exporters want further devaluation of the local currency against the dollar to compensate for the rising cost of production such that exporters can continue to be competitive on the global stage. They expect at least a ten per cent devaluation of the currency as they have faced a low exchange rate over the last five years. They say the exchange rate is still not up to the mark when compared with competing countries like India and Turkey.

Apart from the favorable exchange rate, the rising shipment of value added items, a brighter image of Bangladesh’s garment sector after remediation work, the relative political calm and automation of production also helped prop up garment exports in 2017. The absence of any major untoward incident like labor or political unrest was a boon for apparel exporters.

Garment exporters are cautiously optimistic about the new year as the country’s apparel sector is on a strong footing. Export receipts are expected to be about ten per cent higher next year. A good number of new factories will come into operation next year.