Inflation in European Union, which happens to be the prime destination of the apparel items of Bangladesh, where the country exported more than 60 percent of its apparel items in the last fiscal year — according to Eurostat, the statistical office of the European Union, the rate of inflation in the Eurozone was 7.4 percent in April 2022, while it was 8.1 percent in the EU countries, hitting a new high as growth slows amidst the Ukraine war — has Bangladesh garment exporters worried as they think garment exports to EU could take a hit on account of the same.
Meanwhile, speaking to the media, Vice-President of the Bangladesh Garment Manufacturers and Exporters Association (BGMEA) Shahidullah Azim, reportedly, maintained European buyers were on a go-slow policy and many have even asked to defer orders on account of declining sales due to inflation.
Reports further added garment makers apprehend purchase orders from the EU countries may reduce by 10 to 15 per cent as the buyers are very cautious in placing orders due to the ongoing Russia-Ukraine war, which is taking a toll on the economy of entire Europe.
