Strong performance in the garment industry has driven a 92% increase in Bangladesh’s exports to the Netherlands over the last five fiscal years.
As per Export Promotion Bureau (EPB)’s data, from US $ 1.27 billion in FY 2020-21, export earnings rose to US $ 2.35 billion in FY 2024-25. The majority of this growth is attributed to the readymade garment sector, with exports reaching US $ 2.08 billion, up by 21.21% from US $ 1.72 billion in the previous year.
Compared to US $ 926 million a year earlier, knitwear exports reached US $ 1.21 billion, climbing by 31.69%, all this within the apparel category. Meanwhile, in case of woven garments, from US $ 797 million in FY 2023-24, they grew to US $ 879 million, up by 9.04%.
According to EPB data, other key export items, other than RMG, included textiles and used clothing worth US $ 50 million, footwear and related products which accounted for US $ 96.75 million and headgear which contributed to US $ 7.35 million.
Exporters and analysts credit increased product diversification, prompt delivery, sustainable manufacturing, better supply chain management and improved product quality for this consistent development. Industry analysts stressed that Bangladesh must concentrate on high-value industries like pharmaceuticals, ICT services and processed food exports in order to sustain the current growth momentum.
Experts also pointed out that in order to increase its market share in the Netherlands, Bangladesh needs to lessen its reliance on clothing and investigate opportunities in the leather sector while adhering to global labour and environmental regulations.
The Netherlands contributed over US $ 303 million in 2022, or 8.7% of Bangladesh’s total foreign direct investment, according to the Bangladesh Bank. Furthermore, Bangladesh is now able to apply a 10% withholding tax on technology and service payments from the Netherlands because of a new tax pact between the two countries.
