Export earnings from jute and agricultural goods are now leading the country’s total export earnings amid the Coronavirus crisis.
The country’s export earnings have started turning around and continually showing a positive trend in the last two months as the overall export earnings increased by 2.17 percent to stand at $6.88 billion during the first two months of the current financial year, 2020-21.
This figure was $6.73 billion in the same period of FY20.
Export earnings from jute and jute goods increased by 49.64 percent to $195.39 million in the July-August period of FY21 from $130.57 million in the same period of FY20.
On the other hand, export earnings from agriculture products also rose by 32.64 percent to $178.27 million in the first two months of FY 21from $134.4 million in the same period of FY20.
M Sajjad Hussain Sohel, President of Bangladesh Jute Goods Exporters Association (BJGEA) told Bangladesh Post that the demand for jute and jute products has increased in developed countries including in Europe and America due to the reduction in the use of polythene in the world in response to demands for using environment friendly biodegradable products.
“The demand for jute products is increasing day by day,” he said, adding, “Sri Lanka has recently banned use of polythene bags. Now the demand for jute bags in Sri Lanka would also increase.”
He said the jute industry needs to be brought back to life again to survive in the long run for export growth of jute and jute products.
SM Jahangir Hossain, president of Bangladesh Fruits, Vegetables and Allied Products Exporter’s Association, said local traders have slowly come out of the corona crisis helping to boost export earnings from the agro sector.
The country could increase exports from this sector further if the government ensures more chilling facilities for fresh produce at major hubs, he said adding that at present, it has only one chilling and packaging centre.
He said, “Export earnings could touch the $1 billion mark this fiscal if we could boost exports of fruit, betel leaf, flower and foliage.”
Abdus Salam Murshedy, President of Bangladesh Exporters Association, said, “The growth in export earnings towards the end of the financial year is definitely a positive development. This is a positive message as well as good news for the country.”
He expects that this trend will continue in the coming months.
He said the good thing is that the RMG workers are now following hygiene rules.
He urged the government to recruit skilled people in different sectors and diversify products and markets to secure the export earnings.
However, the export earnings from RMG have declined by 0.06 percent to $5.71 billion in the first two months of FY21.
Knitwear export grew by 6.64 percent to $3.11 billion in the first two months of FY21 from $2.92 billion in the same period of FY20.
Export earnings from woven garments decreased by 7.06 percent to $2.6 billion in July-August of FY21 from $2.79 billion in the same period of the last fiscal year.
Export earnings from leather and leather goods grew by 16.54 percent to $154.74 million in July-August of FY21 from $185.41 million in the same period of FY20.