Exports rise 3.49pc in January

Monira Munni

The country's exports in January rose 3.49 per cent to US$1.426 billion from the same period last year, the first positive growth after two straight months of decline.

Overseas sales surged by 18 per cent in January compared to December last year when the country shipped products worth $1.172 billion.

Exports fell 7.70 per cent in November and 1.92 per cent in December compared to the same period a year ago as the global economic crisis belatedly affected the country's main foreign exchange earners.

Exports in July-January period of 2009-10 fiscal year, fell 4.7 per cent to $8.70 billion from the same period in the previous year, data from the Export Promotion Bureau (EPB) showed on Wednesday.

Although exports plummeted in November and December, the overall export in January was on the rise, indicating that Bangladesh is recovering from the global crisis, Shahab Ullah, vice chairman of EPB, told the FE.

"Despite lower growth in the last two months, I have seen that export performances in January are better, meaning the fall is reversing," he said. "We are optimistic about the overall positive growth at the end of February."

Exports of raw jute, jute goods, pharmaceuticals and melamine tableware in the last seven months showed a surplus growth, reporting an increase of 38.45, 48.69, 22.77 and 200 per cent respectively.

Decline in apparel exports, followed by leather, frozen foods, chemical and agro-based products largely contributed to the plunging effect, exporters claimed.

"It appears that our major export markets are still vulnerable to the effects of global recession though the shipment was on the rise in January," they commented.

The EPB data showed export of knitwear products decreased by 6.85 per cent to $3543.01 million in the seven months of FY 9-10. During the corresponding period of FY 8-09, the country earned $3803.57 million from knitwear exports.

"It reflects that the recession is not over yet," Fazlul Hoque, president of Bangladesh Knitwear Manufactures and Exporters Association (BKMEA), told the FE.

He termed the recession as one and only reason for this fall. "Since we failed to take necessary action the recession's grip kept on further tightening."

He urged the government and all stakeholders related to the country's export sector to take the issue more seriously before it's too late.

Downward turn in knitwear export was followed by the woven garments as well. Shipments of woven garments were worth $3152.92 million, down by 6.99 per cent from $3389.99 million earned during the same period last fiscal year.