Industry insiders and trade analysts say that Bangladesh is poised to overtake all other countries as the world’s largest importer of cotton in the current fiscal year, thanks to its strategic geopolitical location and a changing global trade environment. They do, however, warn that persistent geopolitical difficulties may endanger a steady supply of cotton, which might upset the nation’s vital export industry.
Foreign Affairs Adviser Md Touhid Hossain recently announced that the Government is considering importing cotton from the United States to narrow the trade gap with the country and support US agricultural production. He highlighted that increased cotton imports from the US could benefit both American suppliers and Bangladeshi businesses, while also protecting Bangladesh from possible tariff pressures under a future Trump administration.
The United States Department of Agriculture (USDA) has projected that Bangladesh will surpass China in cotton imports during the fiscal year 2024-25. The report estimates that Bangladesh will import 7.8 million bales of cotton this year, an increase from over 7.5 million bales in FY2023-24. Globally, cotton imports are expected to reach 42.4 million bales in FY2024-25, with Bangladesh, China, Vietnam, and Pakistan representing 65 per cent of that total.
China is projected to import 8 million bales, Bangladesh 7.8 million, Vietnam 7.1 million, and Pakistan 4.8 million bales.
Despite the optimistic outlook for imports, local textile mill owners report that many factories are operating below capacity due to a persistent gas crisis. Showkat Aziz Russell, president of the Bangladesh Textile Mills Association (BTMA), noted that the country has reduced incentives for certain sectors of the garment industry and halted Indian yarn imports through land ports. He believes these measures will enhance domestic textile production in the upcoming months.
He stressed that a stable cotton supply chain is vital for maintaining Bangladesh’s export flow, with the US market emerging as a promising option.
Muhammad Ayub, General Secretary of the Bangladesh Cotton Association, highlighted the importance of uninterrupted cotton import sources to ensure timely delivery of export orders. He noted that Bangladesh currently imports about 50 per cent of its cotton from African countries, where ongoing conflicts are increasing supply risks.
He also emphasised the need to diversify supply sources and enhance domestic cotton production through high-yield varieties to buffer against future global supply disruptions.
Dr. Md Fakhre Alam Ibne Tabib, Executive Director of the Cotton Development Board, shared that cotton is being cultivated on 46,000 hectares this year, with a production target of 228,000 bales. Last year, the country produced 210,000 bales from 45,150 hectares. He noted that Bangladesh’s annual cotton demand stands at approximately 8.5 million bales, leading to an annual import requirement of about 8.3 million bales, which costs the country roughly Tk35,000 crore.
Tabib highlighted the textile and clothing industry’s scale, noting that primary investments in this sector exceed US $ 22 billion and contribute 13 per cent to the country’s GDP. The industry comprises 1,849 BTMA-member mills, accounting for over 86 per cent of national export earnings, with cotton fibers constituting 71 per cent of the materials used.
