In its latest report, the World Trade Organization (WTO) has stated least developed countries like Bangladesh could witness a significant fall in their export earnings this year. The report attributed this mainly to these countries’ dependence on a limited number of markets (export destinations) and product categories. Five principal markets of Bangladesh including the US, France, UK, Spain and Germany have been severely impacted by Coronavirus, which could have an adverse bearing on the country’s export receipts in 2020.

As per reports, Germany accounts for around 15.1 per cent of Bangladesh’s total exports with US following with 13.8 per cent share, Spain 7 per cent, France 6.8 per cent and UK 8.1 per cent. The COVID-19 pandemic also threatens to derail the LDCs hard-won development gains as supply chain disruption and declining demands weigh against their exports; especially the textile and apparel exports.

Also, brands and retailers in these export destinations have already started to file for bankruptcy protection, which could further complicate the suppliers’ problems from the LDCs as the contracts that have been signed already now run the risk of getting cancelled.