Bangladesh RMG Export Performance: A Snapshot
In 2024, Bangladesh’s Ready-Made Garment (RMG) sector reached $38.48 billion in exports.
– EU remained the largest market (50.34%), worth $19.37 billion
– USA contributed $7.2 billion (18.72%)
– UK followed with $4.3 billion (11.25%)
Yet, the FY 2023–24 faced a 5.22% export decline compared to the previous year. A key factor: the fall in FOB prices. According to BGMEA, average RMG export prices dropped by 1.6% over 8 months, despite inflation and rising production costs.
Product-wise FOB Price Trend (2020–2024)
Bangladeshi manufacturers are facing price pressure from global buyers. While production costs are climbing, FOB prices are slipping or stagnating.
Why Negotiation Skills Matter More Than Ever
The current FOB crisis isn’t just economic—it’s strategic. Most Bangladeshi exporters struggle to negotiate value-based pricing. Weak presentation, poor data usage, and lack of buyer psychology understanding often lead to underpricing, even for high-quality, compliant garments.
Effective negotiation is no longer optional—it’s the core skill for RMG survival and growth.
Must-Have Negotiation Skills for RMG Professionals
- Value Proposition Framing
– Communicate sustainability, compliance, and quality as price-worthy factors.2. Data-Backed Arguments
– Use production cost sheets, inflation data, buyer trend analytics, and FOB comparisons during discussions.3. Strategic Silence & Timing
– Learn when not to talk, and when to ask key questions about buyer constraints.4. Cultural Sensitivity
– Understanding negotiation behaviors in Western, Asian, and Middle Eastern markets helps create rapport.5. Win-Win Mentality
– Seek long-term relationship value over short-term margin wins.
The Way Forward
Negotiation training is as essential as compliance audits now. Factories must empower merchandisers and marketing heads with:
– Scenario-based negotiation simulations
– Buyer psychology courses
– Data interpretation and presentation skills
The RMG sector must move from “cost-takers” to “value-creators.”
Let 2025 be the year Bangladesh reclaims its FOB value and global brand dignity—through knowledge, strategy, and negotiation strength.
For more insights and training resources, visit https://www.bgmea.com.bd/
Author: Farhana Shraboni
Assistant Merchandise Manager, Dongyi Sourcing Ltd.
