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Market Opportunities in Bangladesh

Low production costs, a large and strong growing home market with 160 million consumers, an enthusiastic and rapidly emerging private sector and a tremendous international export success for especially the garment industry, are some of the factors, which have led international companies to focus on Bangladesh.

Bangladesh offers very low production costs and has become one of the most cost-efficient production hubs in the world.

Bangladesh is becoming one of the most popular outsourcing destinations in the world and even a large number of Chinese companies are now moving to Bangladesh to seek cost efficient supply.

The country is strategically located next to India, China and the ASEAN markets and as an LDC country Bangladesh has tariff-free access to several regions and countries. Currently ~60% of the population is below 24 years and the work force is increasing with approximately 1 million people each year.

Bangladesh's GDP Per Capita reached 1,827.000 USD in June 2019. The GDP growth reached 7.86% in 2018 and is set to grow by an 8.13%—the highest ever in the country’s economic history—in the current fiscal year (FY2018-19). Rapid growth enabled Bangladesh to reach the lower middle-income country status in 2015. In 2018, Bangladesh fulfilled all three eligibility criteria for graduation from the UN’s Least Developed Countries (LDC) list for the first time and is on track for graduation in 2024 (World Bank, 2020 ).

Economy has been growing with approximately 6.5% annually over the last decade with the private sector being the locomotive.

Since the Rana Plaza accident in 2013 where 1100 workers died in a building collapse, Bangladesh has undergone a series of improvements in working conditions - not least related to Ready Made Garments and risk from electricity, fire and building stability.

The sectors mentioned below are in particular believed to represent significant growth potential in a Danish context:

• Energy – including traditional fossil fuel based, renewable energy and energy efficiency
• Water & Environment
• Pharmaceuticals & Health Services
• Agribusiness
• ICT and business service

Contact

Winnie Estrup Petersen
Ambassador

 

Ali Mushtaq Butt
Commercial Counsellor

 

Samina Ahsan
Shahrukh
Sr. Trade Advisor

 

Saadia Taufiq
Trade Advisor

 

Sakib Islam Chowdhury
Trade Advisor