Bangladesh garment sales soar despite deadly incidents

DHAKA Sun Jun 9, 2013 2:05pm IST

The clothing tag on a boy's shirt which is made in Bangladesh is shown after purchase from a Walmart store in Encinitas, California, May 14, 2013. REUTERS/Mike Blake

The clothing tag on a boy's shirt which is made in Bangladesh is shown after purchase from a Walmart store in Encinitas, California, May 14, 2013.

Credit: Reuters/Mike Blake

Related Topics

DHAKA (Reuters) - Bangladesh's exports rose 15.43 percent in May to $2.54 billion from a year earlier thanks to stronger clothing sales, the Export Promotion Bureau said on Sunday, even as the country reviews safety standards at factories after two deadly incidents.

Garment exports totalled $19.3 billion for the 11 months that ended in May, nearly 12 percent more than a year earlier.

The sharp increase comes as the government weighs industry reform after the collapse in April of the Rana Plaza factory complex killed 1,129 people. A fire at another factory last year killed 112.

The incidents have put the government, industrialists and the global brands that use the factories under pressure to reform an industry that employs four million and generates 80 percent of Bangladesh's export earnings.

Total exports in the first 11 months of Bangladesh's July-June financial year were $24.32 billion, compared with $21.97 billion over the same period the previous year.

Monthly exports had fallen year-on-year from March through June as the global economic slowdown weighed on demand. But exports have since picked up, with a 10.67 percent rise in the July-May period.

Duty-free access offered by Western countries and low wages have helped make Bangladesh the world's second-largest apparel exporter after China, with 60 percent of clothes going to Europe and 23 percent to the United States.

The European Union and the United States had threatened punitive measures in order to press Dhaka to improve worker safety standards after the collapse in April of the illegally built factory. (Reporting by Ruma Paul; Editing by Jeremy Laurence)

FILED UNDER:
Comments (0)
This discussion is now closed. We welcome comments on our articles for a limited period after their publication.

  • Most Popular
  • Most Shared

Top News

REUTERS SHOWCASE

Diwali Glitter

Diwali Glitter

Gold sales jump about 20 pct for Diwali - trade body  Full Article 

Microsoft Earnings

Microsoft Earnings

Microsoft sales beat Street hopes, cloud profits up.  Full Article 

Canada Shooting

Canada Shooting

Canada Parliament gunman had planned to travel to Syria - police.  Full Article 

New World Bank Rival

New World Bank Rival

Three major nations absent as China launches World Bank rival in Asia  Full Article 

Assault on Pires?

Assault on Pires?

ISL probes allegation of assault on Pires  Full Article 

Ebola Outbreak

Ebola Outbreak

Mali becomes sixth West African nation hit by Ebola.  Full Article 

Climate Deal

Climate Deal

EU strikes compromise to set new climate target.  Full Article 

Kalki Interview

Kalki on Margarita

Kalki on her role in “Margarita, With a Straw”  Full Article 

Reuters India Mobile

Reuters India Mobile

Get the latest news on the go. Visit Reuters India on your mobile device.  Full Coverage