DHAKA: Bangladesh’s ready-made garment industry is seeing growing demand in Saudi Arabia, industry leaders say, as they look to the Kingdom as a key market for expansion in the Gulf region.

The garment sector is a key driver of the Bangladeshi economy. The country is one of the largest garment exporters in the world, second only to China. The industry accounts for more than 80 percent of Bangladesh’s total foreign sales revenue.

The newest data from the Export Promotion Bureau shows that garment exports to Saudi Arabia were valued at $152 million in the fiscal year 2024–25, up by 7.3 percent year-on-year.

The upward trend reflects growing interest from Saudi buyers in Bangladeshi apparel, particularly items such as T-shirts and jeans, according to Akhter Hossain Apurbo, vice president of the Bangladesh Knitwear Manufacturers and Exporters Association.

“We have strong potential for increasing exports to the GCC region, with Saudi Arabia and the UAE being the most significant markets,” he told Arab News.

Major European brands with retail outlets in Saudi Arabia place orders with Bangladeshi producers who deliver products directly to Saudi ports.

“We export to wholesale buyers and later on retailers sell these goods across the region,” Apurbo said. “Mostly Saudi locals are buying these Bangladeshi-made garments.”

Garment exports to Saudi Arabia have been growing consistently over the past few years. In the 2022–23 fiscal year, they were valued at $130 million — a major increase from the $84 million recorded in 2020-21, when production was stalled by the COVID-19 pandemic.

“Saudi Arabia is a growing and potential market for our garment exporters as there is a captive market of about 3 million Bangladeshi migrants,” said Mohiuddin Rubel, former director of the Bangladesh Garment Manufacturers and Exporters Association.

“Saudi citizens are also our target customers. Bangladesh makes world-class garment products and Saudis have good taste in clothing and they can afford it ... most of these buyers choose renowned European and American brands.”

Rubel sees significant untapped potential for high-end garment products and local Bangladeshi brands to enter the Saudi market.

“We have to focus on increasing exports to Saudi Arabia and other Middle Eastern countries, aiming to reduce our dependency on the EU and US markets. It’s the need of the hour,” he said.

“We need to focus on building our own brands (for the Middle Eastern market) besides producing clothes for internationally renowned brands. We have some competitive advantages as the goods will reach their destinations in a shorter time, with lower freight costs ... it will also help us increase product diversity.”