Bangladesh's trade was predicted to be disrupted and decline earlier this year when the Russia-Ukraine war began on February 24th.
Despite the prolonged conflict and the removal of several Russian banks from the Swift global payment system, Bangladesh's product shipments to Russia have continued to expand.
“We are all trying to maintain this market growth through the collective efforts by stakeholders," said Faruque Hassan, president of the BGMEA.
He also mentioned that the buyers attempt to receive goods for the Russian market through different locations and payment methods.
However, data from the Export Promotion Bureau (EPB) reveal that in March of FY22, the country's export revenues increased by around 29 per cent year over year to 223.01 million in the markets of Russia, Ukraine, Belarus, and Poland.
“My Russian buyers have already cancelled $3 million worth of orders, which were supposed to be shipped in June-July this year," Team Group Managing Director Abdulla Hil Rakib stated.
He further stated that due to the vessel situation, several shipments worth $1.7 million had been postponed from April to July.
If the war continues, it will hurt Europe's economy, which is heavily reliant on Russia.
The impact of the war, according to Ashikur Rahman Tuhin, Managing Director of TAD Group, will be more evident after 3-4 months, as it takes 4-5 months to complete shipments of items under an order.
Inditex, the Spanish retailer, has already temporarily closed its stores in Russia, the company's second-largest market.
Other brands, in addition to H&M and Inditex, have temporarily closed their outlets in Russia, reflecting the decline in shipments.
