50 Star US Inc.
Despite the economic downturn, Brazil's textile exports did well and had a significant increase of 73% in the first ten months of the current fiscal year.
However, in light of the economy's size and potential, the export volume is still negligible. Brazil presents a great possibility for growth for the nation's clothing product manufacturers as a non-traditional expert market.
Data from the Export Promotion Bureau (EPB) show that during the first ten months of the current fiscal year, exports of garments from Bangladesh to Brazil surged by 73% to $139 million. In the months of July through April of FY22, Bangladesh made $81 million.
Knitwear accounted for $86 million of the $139 million total, an increase of 75.51% from the $49 million it did at the same time last year. Woven goods saw a 65% increase to $53 million from $32 million a year earlier.
According to the EPB data, throughout the period of July through April of the current fiscal year, total apparel export to non-traditional exporting markets increased by 30.80% to $7 billion. Bangladesh made $5.35 billion in the same period of the prior fiscal year by exporting garment products to non-traditional markets.
The strong growth is linked to exporters' initiatives to investigate new markets and consumers as well as government cash incentives against shipments to non-traditional markets.
"Our attention has been on discovering new markets and customers. On the other hand, exporters took part in several expos, which also greatly aided growth in the new market as well as Brazil, according to Faruque Hassan, president of the Bangladesh Garment Manufacturers and Exporters Association (BGMEA).
But when compared to Brazil's market size and potential, the current export volume is incredibly modest. In order to take full advantage of the occasion, he continued, we must arrange to conduct a single country exposition.
Another factor for the increase is financial incentives against exports to non-traditional markets.
According to Senior Secretary of the Commerce Ministry Tapan Kanti Ghosh, "Government is providing cash incentives against the exports to new markets to increase exports. Brazil is a new market and we are working with the Brazilian counterpart to improve bilateral trade."
"The development in non-traditional export markets is a promising indicator for Bangladesh notwithstanding the country's significant dependence on traditional markets. However, the potentials are unrealized, according to economist AB Mirza Azizul Islam.
We must effectively use diplomatic and commercial channels in order to seize the chances. Similarly, he continued, exporters should attend more bilateral business meetings to investigate opportunities.
The combined chamber is currently working diligently to strengthen the two countries' commercial ties, and in the next days, that trade will surpass $2 billion.
Brazil benefits from bilateral commerce since we import more than we export. According to the most recent figures, trade volume is around $2 billion.
Bangladesh imports sugar, wheat, and cotton from Brazil and exports dinnerware, man-made filaments, clothing, pharmaceuticals, plastics, and textiles derived from vegetable fibers.
The Brazilian Trade and Investment Promotion Agency (ApexBrasil) and the Federation of Bangladesh Chambers of Commerce and Industry (FBCCI) signed a memorandum of understanding (MoU) in February to cooperate for the future development of bilateral trade relations.
At ApexBrasil's offices in Brazil, Ana Paula Repezza, the business director, and Md. Jashim Uddin, the president of the FBCCI, signed the contract.
Comments