Trade

Bangladesh leather exports on the decline

Jun 19, 2024 Bangladesh

It seems that the year 2023-2024 won’t be a positive one for Bangladesh’s leather exports. With one month left to the end of the year, total leather exports have declined by 14.17% year-over-year

According to the data released by the Export Promotion Bureau of the Government of Bangladesh, from July 2023 to May 2024, the country’s total leather exports from July 2023 to May 2024 amounted to 961.49 million US dollars, a decrease of 14.17% compared to the same period of the previous year. This figure was 21.58% lower than the strategic target set for the period of 1226.1 million US dollars.

The leather footwear segment has been the one that has struggled the most. In the first eleven months of the current fiscal year, exports from this segment decreased by 25.92% year-over-year to 477.24 million US dollars. This was 29.75% below the strategic target of 679.35 million US dollars set for the period.

Bangladeshi exports of leather goods have also recently resumed a negative trend, falling by 0.81% in these eleven months to 358.54 million US dollars, as compared to a similar period of the previous year. This figure was also 15.47% lower than the strategic target set for the period of 424.14 million US dollars.

Meanwhile, the Asian country’s finished leather exports grew by 9.71% to 125.72 million US dollars in the July-May period, exceeding the strategic target of 122.61 million US dollars set for the period by 2.54%.

The data also shows that, in the first eleven months of the year, other footwear exports totalled 463.33 million US dollars, an increase of 6.87% on a comparable basis to the 2022-2023 fiscal year. However, this figure wasn’t enough to exceed the strategic target of 499.52 million US dollars set for the period.

Bangladeshi Footwear Industry

The Asian country has emerged as one of the world’s top 10 footwear producers in the past decade. According to the World Footwear 2023 Yearbook (more information available HERE), this rapid export growth has been compounded by a further 20% increase in 2022. Bangladesh exports mainly to the US and European markets and imports almost exclusively from China.

Image Credits: ttg.com.bd

Bangladesh Exports Footwear International Trade Leather Leather goods