Bangladesh’s apparel manufacturers are facing tough competition due to a devaluation in the currencies of all emerging countries. The Indian rupee depreciated by 10.04 per cent against the dollar in the current year, while the Indonesian rupiah fell by 7.89 per cent and the Chinese yen depreciated by 4.85 per cent.

Readymade garment manufacturers in Bangladesh and exporters have called for a separate exchange rate for exporters, which would give a cushion to exporters as well as help the country enlarge its export volume. The country’s readymade garment sector has already lost its competitive edge in global markets due to a rise in production costs. A lot of money has been spent in improving safety standards to ensure a safe environment for workers. Also manufacturers have to implement the new wage structure from December.

Bangladesh’s overall exports grew 5.81 per cent in the fiscal year 2018 compared to fiscal year 2017. This has been mainly due to higher shipment of garment products. China is the largest apparel exporter to the globe with a 34.9 per cent market share. Bangladesh is the second largest exporter with a 6.5 per cent market share. Vietnam is the third largest with a 5.9 per cent market share. India is ranked fourth.