Textiles and apparel

Bangladesh is a global hub for textiles and apparel manufacturing and is currently the second-largest exporter of ready-made garments (RMG) worldwide. In 2024, the sector recorded USD 38.48 billion in export earnings, with knitwear contributing USD 20.52 billion and woven garments USD 17.95 billion. The industry is backed by the highest number of green garment factories globally, with over 230 LEED-certified units, supported by government initiatives promoting sustainable manufacturing and environmental compliance.

The sector’s long-term growth is underpinned by diversification into advanced and value-added textiles, including smart fabrics, eco-friendly innovations, and technical textiles catering to the automotive, medical, and construction sectors. A backward linkage ecosystem, encompassing local production of yarn, fabrics, and accessories, strengthens supply chain resilience and reduces dependence on imports. Increasing investment in man-made fiber (MMF) and high-value apparel segments is helping the sector align with global demand shifts.

Bangladesh continues to expand its trade footprint through active pursuit of Free Trade Agreements (FTAs) and Preferential Trade Agreements (PTAs), including engagement with ASEAN countries and efforts to secure EU GSP+ status, enhancing market access and global competitiveness. Bangladeshi garments maintain a strong presence in traditional markets, led by the European Union, with key export destinations such as Germany, Spain, France, the Netherlands, Poland, Italy, and Denmark. The United States remains the largest single-country export market, followed by the United Kingdom and Canada. Simultaneously, Bangladesh is gaining momentum in non-traditional and high-potential markets, including Japan, Australia, India, South Korea, Turkey, Mexico, the UAE, and China. Additional growth is being seen in Malaysia, Brazil, Russia, Singapore, and Hong Kong (SAR of China).

The sector’s commitment to ethical production, environmental sustainability, and innovation—reinforced by partnerships such as the European Union Sustainability Compact covering 85% of Bangladesh’s RMG exports—continues to position the country as a trusted sourcing destination for global brands and investors.