Exporters who have been operating their factories at least 20 per cent below capacity due to declining orders from inflation-hit Western markets for over a year, are now expressing concerns over the recent upsurge in political violence within the country.
Exporters had initially held hope that the easing inflation in the USA and Europe would lead to a recovery in orders. However, the current political unrest has emerged as a potential risk, giving rise to fears among international buyers. Apprehensions are growing concerning the timely shipment of goods, which could have potential repercussions on the overall economy.
Syed Mohammad Tanvir, the managing director of Pacific Jeans Group, a prominent Bangladeshi apparel exporter situated in the Chattogram Export Processing Zone, emphasised the importance of preserving the seamless operation of their production lines and shipments.
Tanvir, serving as the vice president of the Chattogram Chamber of Commerce and Industry, earnestly appealed to all political parties to abstain from any actions that might harm Bangladesh’s reputation on the international stage.
In line with Tanvir’s apprehensions, Mohammad Hatem, the executive president of the Bangladesh Knitwear Manufacturers and Exporters Association (BKMEA), emphasised the significance of political stability in shaping the economy and exports over the past few years.
In FY ’23, Bangladesh’s exports grew by 6.67 per cent Y-o-Y, reaching US $ 55.55 billion, with the apparel sector contributing 84 per cent. It fell 4.28 per cent short of the US $ 58 billion target due to global challenges like subdued demand, economic upheavals, geopolitical crises, and inflationary pressures in Western countries.
