Foreign trade figures of Bangladesh

Foreign Trade in Figures

Trade represents only 31% of Bangladeshi GDP (World Bank, latest data available). The vast majority of exports comprises apparel and clothing accessories (43.4% of the total for knitted, 37.9% for not knitted), while footwear accounts for 2.2% and cotton for 1.2% (data Export Promotion Bureau for FY 2023). As per imports, they are led by refined petroleum (10.4%), petroleum gas (4.0%), raw cotton (3.3%), scrap iron (2.7%), and non-retail pure cotton yarn (2.2% - data OEC).

The country's main export partners are the United States (15.7%), Germany (15.2%), the United Kingdom (7.8%), Spain (7.2%), and Poland (5.6%); while imports come chiefly from China (34.5%), India (17.0%), Indonesia (5.4%), Singapore (4.7%), and Malaysia (3.7% - data OEC, 2023). The country acts as a passageway between the centre of India and its Eastern provinces. Customs duties in Bangladesh are relatively high; however, the country is implementing a series of measures to reduce its trade barriers, including concessional tariffs, a customs duty recovery system, export processing zones, as well as high-level negotiations with key countries. Bangladesh has benefited from more simplified procedures and regulations to export its products to the European Union as an LDC (least developed country).

Since becoming independent, Bangladesh has had a negative trade balance, with its deficit being financed by international aid and expatriate transfers. In 2023, exports of goods from Bangladesh increased to USD 55.7 billion (from 54.7 billion the previous year) and imports of goods increased to USD 66.8 billion (from 88.2 billion in 2022 – data WTO). With regards to services, the imports for 2023 were USD 10.7 billion, while the exports were USD 6 billion. The World Bank estimated a trade deficit of 4.7% of GDP (from 8% one year earlier). According to data from the Export Promotion Bureau (EPB), in the first half of fiscal year 2024-25, exports rose 12.84% to USD 24.53 billion. Garment shipments, the largest export category, grew 13.28% to USD 19.88 billion. Of this, knitwear exports totalled USD 10.83 billion, up 13.01%, and woven garment exports reached USD 9.05 billion, increasing 13.60%. Leather goods exports grew 10.44% to USD 577.29 million, while cotton products rose 16.32% to USD 319.06 million. Home textiles increased 7.85% to USD 410.81 million, and non-leather footwear surged 39.10% to USD 273.89 million, according to EPB data.