Bangladesh

As a least-developed country (LDC), Bangladesh is a beneficiary of the EU's "Everything but Arms" (EBA) arrangement. Since March 2017, Bangladesh is one of the countries under "enhanced engagement", which further incentivises and facilitates beneficiary countries' progress with regard to the 15 core international conventions covered in the GSP Regulation. Preferential exports to the EU are important for Bangladesh: in 2024, they amounted to €19.0 billion, making Bangladesh the largest exporter among EBA beneficiary countries by far.

newspaper News
  • 21 April 2026: Press release: EU and Bangladesh pave the way for a closer partnership and more cooperation - Initialling of Partnership and Cooperation Agreement between the EU and Bangladesh
  • 30 March 2026: EU statement on the Government of Bangladesh’s report on progress made in the implementation of the road map to address all outstanding issues mentioned in the article 26 complaint
  • 17 March 2025: EU statement on the Government of Bangladesh’s report on progress made on the implementation of the road map taken to address all outstanding issues concerning alleged non-observance of ILO Conventions Nos 81, 87 and 98
  • 5 November 2024: EU statement on the Government of Bangladesh’s report on progress made on the implementation of the road map taken to address all outstanding issues concerning alleged non-observance of ILO Conventions Nos 81, 87 and 98
  • 31 October 2024: The 11th EU-Bangladesh Joint Commission meeting was held in Dhaka (Press release), preceded by a meeting of the Sub-group on Good Governance and Human Rights (Press release)
  • 12-16 November 2023: EU monitoring mission to assess the compliance of Bangladesh with its commitments under the EBA (Press release)

What is the EBA?

The EBA arrangement covers all LDCs as classified by the United Nations. This arrangement enables duty-free and quota-free access for all products originating in LDCs except for arms and ammunition. Unlike beneficiaries of the Standard GSP and GSP+, LDCs are not excluded from the scheme if they benefit from other preferential arrangements or agreements with the EU.

At a glance: EU preferential imports from EBA beneficiary countries (2024, € million)

group

173.6M (2024)

Population

account_balance
Parliamentary Republic

Government

trending_up

4.2% (2024)

GDP Growth

equalizer

10.5% (2024)

Inflation

money

$ 450.1B (2024)

GDP

Facts about Bangladesh's economy

Garment Industry

The garment industry is by far the most important industry for Bangladesh, and it contributes more than 80% to the country's total export earnings. This makes Bangladesh the world's second largest exporter of garments. From 2019 to 2024, garments exports grew by more than 30% to more than €48 billion.

Export Products

Apparel and clothing articles, footwear and other textile articles dominate Bangladesh's export sector. These products are followed by fish products, articles made of leather, headgear and hides and skins.

Trade Partners

Next to the EU, China, India, and the US are important trading partners for Bangladesh. China and India are the most important sources of imports, accounting for a combined share of 42% in 2024. The EU accounts for over 45% of the exports followed by the US and the UK.

Economic Structure

Although the agricultural sector only contributes about 11% to the GDP (2024), it employs the majority of the workforce. Rice remains the most important agricultural product, together with jute and tea. Economic growth was mainly driven by the industrial sector (34%), of which the clothing and garment industry is the most important pillar. Other manufacturing activities include the production of fertilizer, paper, sugar, glass, and aluminium works. Services contribute 51% to the GDP rendering it the most important economic sector of Bangladesh.

Usage of EBA Preferences

Bangladesh is by far the most important beneficiary of the EBA arrangement. In 2024, about 96% of Bangladesh's total exports made use of the preferences granted under the EBA.

Trade with the EU

Total trade with the EU amounted to €19.9 billion in 2024. With a share of 20.7%, the EU is Bangladesh's most important trading partner and is particularly important as a market for Bangladesh: in 2024, 46.1% of Bangladesh's exports went to the EU market.

Bangladesh and the EU

Imports from Bangladesh by product section (2024, € million)

Imports from Bangladesh over time (€ million)

BANGLADESH AND THE EU GSP

Economic Impact

100%

Almost all exports of Bangladesh to the EU market were eligible for EBA tariff preferences in 2024.

96%

Bangladesh's preference utilisation rate in 2024.

96%

Share of zero-duty imports from Bangladesh in 2024.

Preference utilisation and export diversification

EU imports from Bangladesh (€ million)

Preference utilisation (%) vs. total eligible imports (in € million)

Most of Bangladesh's exports to the EU are eligible for preferences under the EBA. EBA-eligible imports from Bangladesh strongly increased until 2019 but then dropped sharply during COVID-19. They rebounded in 2022, reaching an all-time high, but decreased substantially in 2023 and 2024. Bangladesh's preference utilisation rate, which indicates the ratio of eligible to preferential imports, was consistently above 95% until 2022 but dropped to (a still high) level of 90% in 2023, recovering to 96% in 2024.

The largest product sections under EBA (€ million, 2024)

EU imports from Bangladesh remain heavily concentrated on garments, which accounted for 94% of all preferential imports in 2024. However, in the past three years, imports of plastics and food preparations increased fastest among the leading categories - they were about 50% higher in 2024 than in 2022; conversely, imports of vehicles decreased by 50% in the same period. The government makes an effort to further diversify the economy and has identified a number of priority sectors. The EBA preference utilisation rate recovered in 2024 to 96%, with virtually all product categories making better use of the preferences.

SUSTAINABLE DEVELOPMENT

With the ratification of ILO Convention No. 138 (Minimum Age Convention) in 2022 Bangladesh has now ratified all of the conventions in matters of human rights, labour rights, environment, and good governance listed in the GSP Regulation. Nevertheless, the EU "enhanced engagement" with Bangladesh continues since 2017 due to concerns with the country's overall adherence to human and labour rights.

Over the period 2023 to 2025, Bangladesh went through significant political and economic changes. The political landscape in 2023 was marked by heightened polarisation and tensions between the ruling party and opposition forces, which eventually led to the fall of the government that had been in power for 15 years. From August 2024, Bangladesh was governed by an interim administration which prepared the path to genuinely competitive parliamentary elections and a referendum which took place in a peaceful atmosphere on 12 February 2026.

Aided by the enhanced engagement process, the following positive developments were noted in the period:

  • Human rights: Bangladesh ratified the Optional Protocol to the Convention against Torture (OP-CAT) in 2025; withdrew its long-standing reservation against CAT Article 14(1) as from 3 February 2026, enabling individual communications and aligning with long-standing international recommendations; submitted a periodic report on the Convention on the Elimination of All Forms of Discrimination against Women (CEDAW); and acceded to the International Convention for the Protection of All Persons from Enforced Disappearance (ICPED). Legislative initiatives include the Sexual Harassment Prevention Ordinance (2026) and the Women and Children Repression Prevention (Amendment) Ordinance (2025).
  • Labour rights: Bangladesh’s recent ratifications of ILO Occupational Safety and Health Convention, 1981 (No. 155), ILO Promotional Framework for Occupational Safety and Health Convention, 2006 (No. 187), and ILO Violence and Harassment Convention, 2019 (No. 190) in 2025, have been important positive steps. In 2025 the Government issued an Ordinance amending the Bangladesh Labour Act (BLA), a comprehensive review that introduces positive changes in a number of areas. Regarding child labour, the list of hazardous work prohibited to children has been updated, with five new sectors included.

Remaining issues and priorities for future engagement are:

  • Human rights: Core flaws in legislation continue to threaten the freedom of expression. Unresolved issues on discrimination, militarization impacts, and indigenous land and participation rights remain, and legal gaps on sexual violence - including the restrictive scope of marital rape provisions - continue to impede gender-equality compliance. Various pieces of legislation, including the penal code, foresee imprisonment with the possibility of forced labour.
  • Labour rights: Significant efforts are still needed to translate labour commitments into measurable outcomes, particularly on Export Processing Zone (EPZ) rights, union registration/anti-union discrimination, inspection coverage and quality (including forced labour indicators), gaps in implementing occupational health and safety, and reductions in child labour in informal and hazardous work. Important restrictions persist on freedom of association and on registration of trade unions. A significant number of children are still involved in hazardous work. The Government needs to continue strengthening the capacities of the law enforcement bodies with regard to child labour and ensure that dissuasive penalties are imposed.

For more information about Bangladesh's compliance with the GSP conventions, see the convention compliance database. Also see the factsheet on Bangladesh.

Core international conventions on human rights and labour standards

Ratified

  • Convention on the Prevention and Punishment of the Crime of Genocide (1948)
  • International Convention on the Elimination of All Forms of Racial Discrimination (1969)
  • International Covenant on Civil and Political Rights (1976)
  • International Covenant on Economic Social and Cultural Rights (1976)
  • Convention on the Elimination of All Forms of Discrimination Against Women (1981)
  • Convention Against Torture and other Cruel, Inhuman or Degrading Treatment or Punishment (1987)
  • Convention on the Rights of the Child (1990)
  • Convention concerning Forced or Compulsory Labour, No 29 (1930)
  • Convention concerning Freedom of Association and Protection of the Right to Organise, No 87 (1948)
  • Convention concerning the Application of the Principles of the Right to Organise and to Bargain Collectively, No 98 (1949)
  • Convention concerning Equal Remuneration of Men and Women Workers for Work of Equal Value, No 100 (1951)
  • Convention concerning the Abolition of Forced Labour, No 105 (1957)
  • Convention concerning Discrimination in Respect of Employment and Occupation, No 111 (1958)
  • Convention concerning Minimum Age for Admission to Employment, No 138 (1973)
  • Convention concerning the Prohibition and Immediate Action for the Elimination of the Worst Forms of Child Labour, No 182 (1999)

Additional Conventions

  • Convention on International Trade in Endangered Species of Wild Fauna and Flora (1973)
  • Montreal Protocol on Substances that Deplete the Ozone Layer (1987)
  • Basel Convention on the Control of Transboundary Movements of Hazardous Wastes and Their Disposal (1989)
  • Convention on Biological Diversity (1992)
  • The United Nations Framework Convention on Climate Change (1992)
  • Cartagena Protocol on Biosafety (2000)
  • Stockholm Convention on Persistent Organic Pollutants (2001)
  • Kyoto Protocol to the United Nations Framework Convention on Climate Change (1998)
  • United Nations Single Convention on Narcotic Drugs (1961)
  • United Nations Convention on Psychotropic Substances (1971)
  • United Nations Convention against Illicit Traffic in Narcotic Drugs and Psychotropic Substances (1988)
  • United Nations Convention against Corruption (2004)

EU-Bangladesh Bilateral Development Cooperation

DG INTPA

Access all info about EU-Bangladesh relations on the International Partnerships website.