Trade

Bangladeshi leather exports on a downward trend

Dec 11, 2023 Bangladesh

Bangladesh's leather exports have been on a downward trend, mainly due to the performance of the leather footwear segment, whose exports fell by 34.75% year-on-year from July to November

Data from the Export Promotion Bureau of the Government of Bangladesh shows that in the first five months of fiscal 2023-2024, the country’s leather exports declined by 20.55%, on a comparable basis to the same period of last fiscal year, totalling 427.02 million US dollars. This figure was 19.93% lower than the strategic target set for the period of 533.32 million US dollars.

The leather footwear segment is significantly underperforming. Between July and November, Bangladeshi leather footwear exports amounted to 214.15 million US dollars, down by 34.75%, as compared to a similar period in the previous fiscal year. This was also 15.96% below the strategic target set for the period of 295.50 million US dollars.

Bangladeshi leather goods exports increased by 2.11% in the first five months of the current fiscal year to 156.99 million US dollars, on a comparable basis to the same period of fiscal 2022-2023. However, it was still 14.11% below the strategic target of 184.49 million US dollars set for the period under review.

Meanwhile, the Asian country’s finished leather exports recorded a very slight increase of 0.56% in these five months, reaching 55.88 million US dollars, as compared to a similar period of the prior year. This figure was 4.78% above the strategic target of 53.33 million US dollars set for the period.

The data also indicates that in the first five months of 2023-2024, other footwear exports decreased by 7.16% to 194.51 million US dollars, on a comparable basis to the same period of last year, which is 10.14% below the strategic target set for the period of 194.51 million US dollars.

Bangladeshi Footwear Industry

According to the World Footwear 2023 Yearbook (more information available HERE), Bangladesh has emerged as one of the world’s top 10 producers of footwear. The country’s exports have grown rapidly over the past decade, with a further 20% increase recorded in 2022. Bangladesh exports mainly to the US and European markets and imports almost exclusively from China.

Image Credits: seatrade-maritime.com

Bangladesh Exports Footwear International Trade Leather