Export earnings for July 2020 exceeds expectation

A ray of light for economic recovery has been observed in the July 2020 export earnings report. Published by Export Promotion Bureau, Bangladesh, the report shows the July 2020 export grew by 0.59% compared to July 2019. Total export in July 2020 was 3.91 billion dollars which were 3.45 billion in 2019. The performance exceeded the strategic target for July 2020 by 13.39%. The hopeful performance was led by textile products and primary commodities.

July to July comparison shows that export earnings from primary commodities (Chapter 1-24) grew by almost 21%. Within this section, agricultural products (Chapter 4-24) export grew by 31%.

The earnings from textile products in July 2020 (Chapter 50-63) was almost similar to July 2019. Though 0.25% less earning was recorded compared to July 2019, this can be seen as a positive sign because July 2019 was a normal time and July 2020 is in the middle of a raging pandemic.

Within the textile section only specialized textiles (Chapter 58-60) products have witnessed heavy negative growth. Earning from this section in July 2020 was 9.48 million dollars which was 13.48 million in July 2019, a negative growth of 29.67%. Export earnings from the RMG sector (Chapter 61 and 62) in July 2020 was almost similar to July 2019. However, a negative growth of almost 2% was observed. In July 2020 export earnings from RMG was 3.24 billion dollars; the amount was 3.31 billion dollars in July 2019.

Export earnings of Engineering Products grew by 34.61%, Wigs and Human Hair grew by 20%, Handicrafts grew by 57.22% and Chemical Products grew by 43.71%.

However, many sections have seen heavy negative growth in July 2020. Among 22 sections, 17 sections seen a negative growth.

Export earnings from cement, salt, stone, ores, slag and ash, petroleum bi-products, plastic products, rubber, leather, leather products, wood, wood products, paper, paper products, headgear/cap, building materials, ceramic products, glass, glass ware, ships, boats, floating structures and other mfd products have declined in July 2020 compared to June 2020.

Table: Section wise table

Data Source: NBR