The New Nation - Internet Edition

UNB, Dhaka

Export earning in the first month (July) of the current fiscal year fell 33 percent short of the month's target of US$ 1,341 million due to decline in volume.

It also declined 21 percent to US$ 902 million from US$ 1,143 million during the same month last fiscal year, according to Export Promotion Bureau figures released on Thursday.

The government set an export target of US$ 14.5 billion for the fiscal 2007-08 with a growth rate of 19.07 percent over 2006-07. "Manufacturing activities were mostly affected due to lack of business confidence amid ongoing anti-corruption drive," said an apparel industry exporter. He said the export figures would continue to show sluggish trend until September '07, but predicted an up trend from the current month (October '07) with increased shipments.

According to EPB figures, export quantity declined 21 percent in the month of July while prices remained steady. However, prices of primary products increased over 14 percent while those of manufactured products declined by more than one percent. Earnings from the main export sector suffered setback during the month with woven garments falling about 31 percent short of the target to US$ 345 million and declined 24 percent from the same month previous year.

Knitwear also dropped 31 percent from the target to US$ 347 million and 23 percent from July '06.

Earning from frozen food exports fell 17 percent short of the target to US$ 46 million and 12 percent from the same month previous year. Other major items that recorded decline from the target and previous year's performance were home textiles, engineering products, handicrafts, leather and leather products, chemical products, ceramic products, computer services, jute goods, petroleum byproducts, terry towel, textile fabrics and electronics.

Export earnings from vegetables, cut flower and agro-processed foods crossed both the period's target and last year's performance while raw jute, footwear and tea did better than last year's performance but fell short of their respective targets.