The financial crisis has had a major impact on Bangladesh’s textile industry

September has always been the golden season for textile sales in Bangladesh. However, due to the financial crisis caused by the U.S. subprime mortgage crisis, orders dropped significantly in September 2008.
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​​According to the Chairman of the Bangladesh Knitting Manufacturers and Importers Association, garment importers from Europe and the United States have reduced order quantities, and some have advanced or delayed delivery. It is conservatively estimated that textile orders shrank by 10% in September 2008.
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Every year, about 55% of Bangladesh’s ready-made garments are exported to Europe and the United States. The shrinking market in Europe and the United States has caused textile owners to panic to a certain extent. As European and American garment importers have suppressed Bangladesh’s garment export prices, the downward trend seems to have become a foregone conclusion.