Building a Sustainable Export Ecosystem in Bangladesh
Building a Sustainable Export Ecosystem in Bangladesh
Founder & CEO, Trade & Investment Bangladesh (T&IB)
Co-Founder & CEO, Bangladesh Trade Center (BTC)
Executive Director, Online Training Academy (OTA)
Secretary General, Brazil Bangladesh Chamber of Commerce & Industry (BBCCI)
Bangladesh has emerged as a significant player in global trade, particularly in the ready-made garments (RMG) sector, which accounts for over 80% of the country’s total exports. In FY2022-23, Bangladesh’s export earnings reached a record high of USD 55.55 billion, reflecting its resilience and growing competitiveness in the global market. However, this growth has been heavily reliant on a narrow range of products and markets, making the export sector vulnerable to external shocks, shifting consumer demands, and environmental concerns. To secure long-term economic prosperity, there is an urgent need to diversify export baskets, modernize logistics and infrastructure, and adopt sustainable practices.
A sustainable export ecosystem encompasses not only economic efficiency but also environmental responsibility, technological adaptation, and social inclusivity. For Bangladesh, this means integrating green manufacturing technologies, streamlining customs procedures, promoting skill development, and reducing carbon footprints across the supply chain. According to the World Bank, improving trade logistics alone could increase Bangladesh’s export potential by up to 20%. Furthermore, the rise of eco-conscious consumers and stringent regulations in international markets particularly in the EU and North America necessitate that Bangladesh prioritize sustainability in order to retain and expand its market share.
Building such an ecosystem requires coordinated efforts between the government, private sector, and development partners. Strategic policy reforms, access to green financing, investment in export-oriented SMEs, and the promotion of innovation-driven sectors such as IT, pharmaceuticals, and agro-processing are essential. Bangladesh’s aspiration to become a developed country by 2041 hinges significantly on its ability to transition from a volume-driven export model to a value-added, diversified, and environmentally responsible trade framework. By laying the foundation for a sustainable export ecosystem today, the nation can ensure inclusive growth and global competitiveness for decades to come.
The Rise of Bangladesh:
Over the past few decades, Bangladesh has transformed from a predominantly agrarian economy into one of the fastest-growing economies in Asia. With an average GDP growth rate of over 6% in the last two decades and a population of more than 170 million, the country has become an emerging force in the global market. According to the World Bank, Bangladesh’s economy is projected to reach nearly USD 1 trillion by 2040 if current growth trends continue. This remarkable progress is the result of strong policy reforms, export-oriented industrialization, and a vibrant private sector that has successfully tapped into global supply chains.
At the heart of this success lies Bangladesh’s impressive manufacturing capabilities. The country is the second-largest exporter of ready-made garments (RMG) in the world, supplying major global brands with competitively priced, quality apparel. Beyond textiles, sectors like pharmaceuticals, leather goods, and agro-processing are rapidly expanding and gaining international recognition. The pharmaceutical industry alone exports to more than 150 countries, while leather and leather goods have shown strong potential to become billion-dollar export earners. These diversified manufacturing strengths underscore Bangladesh’s readiness to evolve into a more sophisticated and sustainable export powerhouse.
However, sustaining this momentum requires more than just industrial growth it demands the development of a resilient and sustainable export ecosystem. Such an ecosystem must support innovation, uphold environmental standards, and promote inclusive participation of businesses of all sizes. As global markets become increasingly sensitive to issues like carbon emissions, ethical sourcing, and circular economy practices, Bangladeshi exporters must adapt to remain competitive. Building a sustainable export ecosystem will not only safeguard long-term growth but also create new opportunities for local entrepreneurs, SMEs, and workers to thrive in a rapidly changing global economy.
The Pillars of a Sustainable Export Ecosystem
A sustainable export ecosystem rests on several foundational pillars that enable long-term competitiveness and inclusive growth. One of the most critical among them is access to finance. For many export-oriented businesses in Bangladesh, especially small and medium-sized enterprises (SMEs), access to affordable and timely financing remains a significant barrier to scaling operations. Financial institutions, supported by government initiatives like Export Development Fund (EDF) and the Bangladesh Bank’s refinancing schemes, play a vital role in bridging this gap. Expanding credit facilities, introducing export insurance, and promoting green financing can empower businesses to invest in quality improvement, capacity expansion, and sustainability measures essential for thriving in global markets.
Another indispensable pillar is skills development. As the global economy shifts toward knowledge-intensive and high-value industries, Bangladesh must invest in upskilling its workforce. The country’s large youth population can become a strategic advantage if equipped with technical expertise, digital literacy, and soft skills aligned with international market demands. Vocational training programs, public-private partnerships, and curriculum modernization are key to preparing workers for evolving sectors such as information technology, high-end manufacturing, and sustainable production. Without a skilled labor force, Bangladesh risks falling behind in competitiveness despite its demographic strengths.
Finally, leveraging technology is essential for driving efficiency, transparency, and innovation across the export value chain. From automating customs procedures and improving logistics to utilizing e-commerce platforms and adopting Industry 4.0 practices, technology can drastically reduce costs and time while expanding market reach. For example, digital trade facilitation tools can cut export processing times by up to 30%, according to UNESCAP. By embracing smart manufacturing, blockchain for supply chain traceability, and data-driven market insights, Bangladeshi exporters can meet global standards and tap into new growth opportunities. Together, these three pillars finance, skills, and technology form the backbone of a resilient and future-ready export ecosystem.
Collaboration: The Key to Success
Building a sustainable export ecosystem in Bangladesh is not the responsibility of any single actor it requires coordinated collaboration among the government, private sector, and international partners. The Bangladesh government plays a pivotal role in shaping the framework for export success by formulating supportive policies, simplifying export procedures, and investing in critical infrastructure. Initiatives such as the National Export Strategy, One Stop Service (OSS) for investors, and the development of Special Economic Zones (SEZs) are examples of steps taken to improve ease of doing business and attract export-oriented investment. Streamlining customs, reducing bureaucratic red tape, and ensuring policy stability are essential for creating an enabling environment for exporters.
Equally important is private sector engagement, as businesses are the driving force behind export activities. Strong collaboration between government agencies and private stakeholders including manufacturers, trade associations like the BGMEA and FBCCI, and industry experts ensures that policies are responsive to real-world challenges and opportunities. The private sector must also invest in innovation, sustainability, and compliance with global standards to remain competitive. Public-private dialogue platforms and export promotion councils can help align strategic priorities and foster a shared vision for export-led growth.
Lastly, international partnerships are vital for accelerating Bangladesh’s export transformation. Attracting foreign direct investment (FDI), facilitating technology transfer, and securing market access through bilateral and multilateral trade agreements can significantly enhance export potential. Partnerships with development organizations, donor agencies, and international financial institutions can support capacity building, infrastructure development, and access to green technologies. In an increasingly interconnected global economy, leveraging international collaboration not only expands Bangladesh’s reach but also ensures the country is integrated into sustainable global value chains. Together, these collaborative efforts are key to realizing a robust and future-proof export ecosystem.
Looking Ahead: A Vision for the Future
As Bangladesh continues its journey toward becoming a high-income nation by 2041, the export sector stands at a critical crossroads poised for transformation and expansion. Future growth will increasingly depend on tapping into emerging markets in Asia, Africa, and Latin America, as well as moving beyond traditional sectors to embrace innovative industries such as information and communication technology (ICT), light engineering, biotechnology, and green manufacturing. With the right strategy, Bangladesh can diversify its export portfolio, reduce dependence on ready-made garments, and position itself as a competitive exporter of high-value goods and services on the global stage.
To realize this vision, sustained investment in infrastructure, technology, and human capital is paramount. Modern ports, seamless logistics, digital connectivity, and energy-efficient production facilities are essential for boosting export efficiency and reliability. At the same time, developing a highly skilled workforce through education reform, vocational training, and lifelong learning will enable the country to meet the demands of a rapidly evolving global marketplace. Investments in research and development (R&D), innovation hubs, and digital trade platforms will further empower businesses to scale and adapt to future challenges.
Now is the time for all stakeholders’ policymakers, business leaders, development partners, and citizens to come together and champion the creation of a thriving, inclusive, and sustainable export ecosystem in Bangladesh. By embracing innovation, promoting collaboration, and committing to environmental and social responsibility, we can shape an export-driven economy that not only drives national prosperity but also uplifts communities across the country. The future is full of promise let us seize it, together.
Closing Remarks:
Bangladesh’s journey from an aid-dependent nation to a rising global exporter is a testament to the resilience, innovation, and determination of its people. As we look ahead, the task before us is clear: to build a sustainable export ecosystem that not only fuels economic growth but also ensures social equity, environmental stewardship, and long-term resilience. This transformation will require visionary leadership, bold investments, and above all, a spirit of partnership across all sectors of society.
By prioritizing sustainability, embracing technology, investing in human capital, and fostering international collaboration, Bangladesh can redefine its role in the global economy not just as a supplier of goods, but as a hub of innovation and responsible growth. The choices we make today will shape the opportunities of tomorrow.
Let us move forward with confidence, commitment, and a shared vision for a prosperous and sustainable Bangladesh powered by trade, grounded in equity, and built for the future.