Bangladesh continues to face missed opportunities in global trade due to its prolonged failure to diversify exports beyond the dominant apparel and leather sectors, according to trade analysts.

Despite decades of government efforts, no other product category has crossed the billion-dollar export threshold, raising concerns amid growing external uncertainties.

Export Promotion Bureau (EPB) data shows that in the fiscal year 2024–25, only ready-made garments (RMG) and leather goods exceeded the billion-dollar mark. RMG alone accounted for nearly 83% of the country’s total export earnings of $48.21 billion, while leather and leather goods fetched $1.145 billion. Other potential sectors either stagnated or declined, failing to gain momentum in international markets.

Products such as jute and jute goods, home textiles, agricultural items, light engineering, pharmaceuticals, plastic products, and specialised textiles were previously seen as emerging export earners. Some even crossed the billion-dollar mark in earlier years. However, earnings from these sectors have since regressed.

Light engineering, for instance, earned $795.63 million in FY 2022 but dropped to $535.56 million in FY 2025. Similarly, exports of frozen and live fish fluctuated between $376 million and $533 million over the past four years, without showing any upward trend.

Footwear products not made from leather have hovered around $450 million annually, showing no significant growth.

Analysts cite an absence of coherent policy and practical guidelines as key reasons behind the lack of progress. “The government should have some effective policies for product diversification in the export basket,” said Masrur Reaz, Chairman of Policy Exchange Bangladesh.

The country’s dependency on RMG has made it vulnerable to external shocks, such as recent tariff measures by the United States, which have raised concerns over potential disruptions to work orders.