Despite Bangladesh's garment shipments to major markets like the European Union (EU) and the United States rebounding strongly in recent months, the price per unit of these garments has fallen.

For example, in January 2025, the unit price of garments shipped from Bangladesh to the US decreased by 2.20 per cent, according to data from the US Office of Textiles and Apparel (OTEXA). However, the value of exports grew by 45.93 per cent Y-o-Y during the month to reach $799.65 million. The volume of garments exports from Bangladesh to the US increased by 49.21 per cent during the month.

Similarly, the unit price of Bangladeshi-made garments shipped to the EU decreased by 4.84 per cent in the January-December period 2024, according to the latest data from Eurostat, the EU's statistical office.

Bangladesh's garment exports to the EU grew by 4.86 per cent to $19.77 billion last year. By volume, exports increased by 10.18 per cent in the same period. The EU's total apparel imports grew by 8.98 per cent.

The unit price of the EU's global apparel imports fell by 6.83 percent, significantly influenced by China's 8.43 per cent price reduction. Price cuts by Vietnam and Cambodia were also notable.

Historically, Bangladeshi garment exporters have received lower prices than those in competing countries.

The overall price of garment items traded globally declined last year and continues to do so this year, says Faruque Hassan, Managing Director, Giant Group and Former President, Bangladesh Garment Manufacturers and Exporters Association (BGMEA).

This decline is due to a drop in the prices of raw materials such as cotton, yarn, fabrics, and freight charges, he adds.

If the country ensures better quality and timely delivery, buyers will willingly pay more. Additionally, unhealthy price competition among local manufacturers is another factor behind the low prices paid by buyers, avers Hassan.

In the July-February period of the current fiscal year, Bangladesh's garment exports grew by 10.64 percent to $26.79 billion, according to data from the Export Promotion Bureau (EPB).

Of this amount, exports to the EU - accounting for 50.10 per cent of Bangladesh's total RMG exports - were valued at $13.42 billion.

Meanwhile, exports to the US reached $5.06 billion, representing 18.91 per cent of the total share.