Reza Mahmud :
Bangladesh’s ready-made garment (RMG) exports are gaining momentum in non-traditional markets such as Japan, India, Australia, Russia, and South Korea, signaling a positive shift in diversification efforts beyond the country’s conventional export destinations.
According to the latest data from the Export Promotion Bureau (EPB), Bangladesh exported garments worth USD 6.04 billion to non-traditional markets during the first 11 months (July-May) of the 2024-25 fiscal year. This marks a 6.79% growth compared to the same period of the previous year.
When contacted, Mohiuddin Rubel, former Director of Bangladesh Garment Manufacturers and Exporters Association (BGMEA) told The New Nation on Saturday, “Japan wants to increase business with Bangladesh. A Japanese delegation is visiting Bangladesh now to work over signing Free Trade Agreement (FTA) deal.”
He said, though the overall growths of RMG export in non-traditional markets are not so high, but it is satisfactory in cases of Japan and India.
He said Middle-East and Korean markets are declining, but the reasons are not clear.
Sources said among the emerging destinations, Japan and India have shown the most significant growth. Garment exports to Japan increased by approximately 10.32%, reaching USD 1.12 billion, while exports to India surged by 17.35% to reach USD 610 million during the July-May period.
These figures highlight both the expanding demand for Bangladeshi garments in Asia and the progress being made in market diversification efforts.
In contrast, export growth to Australia was relatively modest, at just 2%, while exports to Russia and South Korea actually declined, with Russia witnessing a notable 9.5% drop.
Despite these setbacks, non-traditional markets remain a crucial area of focus for Bangladeshi exporters aiming to reduce reliance on traditional buyers in the European Union (EU), the United States, the United Kingdom, and Canada.
From July 2024 to May 2025, Bangladesh exported a total of USD 36.56 billion worth of garments globally-a 10.20% increase compared to the same period in the 2023-24 fiscal year.
Traditional markets, especially in the EU, the US, and the UK, continued to perform well. However, the diversification into new destinations is becoming increasingly important amid shifting global dynamics and buyer strategies.
India, which shares strong cultural and geographic ties with Bangladesh, stands out as a market with immense untapped potential. Despite enjoying duty-free market access under the SAFTA agreement, Bangladeshi exporters are facing new challenges due to non-tariff barriers.
In May 2025, the Indian government imposed a ban on land-based imports of RMG from Bangladesh, restricting shipments only through sea ports-specifically Kolkata and Nava Sheva.
This sudden policy shift has raised concerns among exporters. Previously, land routes were the most cost-effective and time-efficient method of transporting garments to India, taking just 7 days and incurring lower logistical costs. Now, exporters are forced to rely on maritime routes that can take 15 to 21 days, depending on vessel schedules.
Only three direct ships per month operate between Chattogram and Nava Sheva, while most others must travel via Colombo, further delaying delivery times.
One of the BGMEA leader said, “The ban on land route exports has disrupted supply chain planning. Longer lead times and higher shipping costs have made our products less attractive to Indian buyers. Some Indian importers are even citing visa complications and regulatory uncertainty as reasons for reducing or delaying orders.”
He further added that Western brands operating in India have scaled back their orders, due to the growing logistical uncertainty and increased costs. “If the current restrictions continue, we could see a decline in apparel exports to India in the coming months,” he warned.
In contrast, Japan continues to be Bangladesh’s top non-traditional export destination. The country imported USD 1.12 billion worth of garments during the July-May period, a 10.32% rise from the previous fiscal year.
Japan’s preference for high-quality, competitively priced garments aligns well with Bangladesh’s manufacturing strengths, particularly in knitwear, formal wear, and sustainable textiles.
Japan’s market also values ethical production practices, giving Bangladesh’s RMG sector an edge due to its ongoing improvements in workplace safety, compliance, and environmental standards. The gradual appreciation of the Japanese Yen against the dollar has also made Bangladeshi garments more affordable.
The growth in non-traditional markets, especially in Asia, signals a major strategic opportunity for Bangladesh’s RMG sector. With global fashion brands looking to diversify sourcing away from China, Bangladesh is well-positioned to become the preferred supplier in Asia.