Every nation strives to elevate its economic wellbeing. A good economy reflects a financially independent and firm state. This staves off the horrors of taking loans from supranational organizations, international financial institutions or other countries.
A stable economy is a sign of a flourishing nation, thereby attracting international investments and valuable opportunities.
Focus Economics panelists see the U.S. retaining its title as the world’s largest economy, with a forecasted nominal GDP of USD 25.3 trillion in 2024. Countries go to unprecedented lengths to improve their economic wellbeing. They devise constructive strategies to increase their monetary money value.
One constructive way to substantively boost economic growth is to increase exports and decrease imports. Exporting goods refers to the idea of selling products and services to other countries. This kickstarts the flow of foreign exchange in the country from various countries across the globe.
The cash earned by selling products to the outside world has remarkable effects on economic growth. Exports are home country-made products or services sold to foreign countries with extensive profits, thereby helping elevate the economy.
On the other hand, imports are goods or services purchased from other countries, thereby helping their economy. It is noteworthy that it is paramount to ensure that a country’s imports should never exceed its exports as this substantively imbalances the economy, thereby wrecking it. This activity is referred to as a ‘trade deficit’ in the country. Hence, the number of exports should always outstrip imports to ensure a balanced and elevated economy.
Exports have phenomenal effects on the country’s economic well-being and the citizens residing in it. The manufacturing of products initiates new industries and factories, thereby creating employment opportunities for those citizens who require it.
It starts new entrepreneurship and businesses, thereby making a country self-sufficient.
Increasing exports also helps decrease imports as the country is now able to produce everything on its own. They manufacture home-based products in their country which fulfill their needs too.
Exporting allows a country’s producers to gain ownership advantages and develop low-cost and differentiated products. It is viewed as a low-risk mode of production and trade.
Table of Contents
Growth in the export industry
In 2019, the global trade value of goods exported worldwide amounted to approximately 19 trillion U.S. dollars at current prices. It is evident that the export industry is phenomenally growing at a fast pace. Many countries across the oceans have increased their exports to up their economic game and to adopt a self-made approach, keeping in view the financial crises.
However, it is evident that the ongoing crises of the novel coronavirus have rendered it difficult to export goods due to a halt in transit facilities and lockdowns. There has been a significant impact on the export industry due to the pandemic.
Many deliveries had to come to a sudden halt, thereby posing difficulties for both vendors and buyers. Nevertheless, despite being deadly, the coronavirus has become the new normal, and the world is gradually adapting to the many changes and alterations bought by it. Hence, the export industry, too, has bounced back to normal after much detriment.
Following that, exporters are now actively ensuring to increase their losses by increasing their exports, thereby contributing to themselves and the international export market.
The garments export industry
The export industry is huge and encompasses numerous products and services throughout the world. Numerous categories are ranging from essential items to luxury articles. One line of trade that holds significant importance in the export industry is garments.
Clothing is a basic necessity and is wanted by almost everyone, no matter how rich or poor. It is evident that since the start of times, garments are an essential need of earthlings.
The clothing industry encompasses numerous articles, including garments for men, women, children, the elderly, and almost every age group. It comprises the manufacture of costumes, uniforms, suits, and whatnot. The fashion industry is also closely linked with the garments industry as they require material for new trends and styles.
Keeping that in mind, it is evident that the garment export industry makes up a big chunk in the export, thereby helping earn substantive profits and cash.
The textile industry is enormous as it comprises multiple materials, including silk, wool, linen, cotton, and inorganic fibers. Before people learned to weave these fibers into textiles to produce clothes, the first clothing items were most likely made up of animal skins. The industry today has been industrialized on such a scale that it is almost unrecognizable from its origins. The demand for apparel and clothing is increasing substantively as there is an evident increase in the world’s population. This has a direct effect on the garments export industry.
As the demand for textiles increases, the garments export industry also grows and expands.
Numerous countries throughout the globe are playing an important role in contributing to the garments export industry by exporting apparel and clothing to buyers and those in need. Let’s have a look at 10 of the world’s most significant garments exporting countries;
1. China
Encompassing the world’s most population, China is a country known for its massive manufacturing industry. The Chinese have excelled in making almost every product at affordable prices. They are the world’s largest garments exporters in the world. China exported $274 billion in textiles in 2013, a volume that was nearly seven times that of Bangladesh, the second-largest exporter with $40 billion in exports.[2] This accounted for 43.1% of global clothing exports
Furthermore, in 2019, China was the top-ranked global clothing exporter with a share of approximately 30.8 percent. The Chinese textile industry started in the 20th century, stimulated by WWI, and was drastically affected by the Second Sino-Japanese War. They did not fully recover until the 1950s, at which point many of the major tycoons had moved their empires to Hong Kong to avoid persecution, while the rest of the industry was monopolized by the government.
However, when Deng Xiaoping ascended to power, these Hong Kong companies were looked at as models of technologically advanced capitalist companies. They were able to reconnect with those that had stayed in mainland China. The Chinese apparel export industry continues to growing and outshining every other exporter country in the world.
2. Germany
After China, Germany has become one of the largest exporters of clothing in the world. Germany is the world leader in the textile and fashion industry, with an export value of $38.99 billion. Known for its excellent synthetic yarn, machinery, man-made fiber, and knitted apparel cloth, Germany encompasses many small and large-scale industries that produce top-quality apparel. The raw material used by German producers is of top quality, which lures buyers to shop from German vendors. In the last few decades, the country has improved its production quality of the textile. There is no doubt that the country will improve a lot in the future and will become the world’s largest exporter.
3. Bangladesh
Evident is the actuality that the primary source of income for Bangladesh are their textile industries. They encompass hardworking citizens who make exceptional garments that are demanded across the world. The hardworking nation that has not even completed one century of independence has phenomenally emerged to become the 3rd largest global exporter in 2020.
In addition to that, they are the second-largest exporters of western fast fashion brands. They enthusiastically aim to achieve 50 million export value in 2021. If the country maintains the same pace in producing and exporting garments, Bangladesh will become the world’s largest clothing exporter one day.
4. Vietnam
Located on the eastern Indochinese Peninsula, Vietnam is the 4th largest apparel and clothing, exporter. They have a total export value of $37.93 Billion. Vietnam’s textile industries comprise three sub-sectors – downstream sector, fiber production and upstream sector garments manufacturing.
The reason behind the country’s export success is that they send their goods to the U.S., Japan, E.U. and South Korea. And another significant fact is low labor costs. In the next few decades, Vietnam will surely keep this top position for many years.
5. India
The second most populated country in the world’s 5th largest export country in the world. Encompassing an export value of $37.11 Billion, India makes various kinds of fashionable apparel praised worldwide for their artistic touch. The textile venture is one of the oldest industries of the country, which comprises cotton-based products. Indian textile sector comprises of two significant parts.
First is an unorganized sector formed with a handloom. Another one is formed with applied modern machinery and techniques. India has exceptional quality production of yarn, chain, apparel, and fabric. With each passing day, India is excelling in its textile manufacturing. In addition to that, the country uses advanced technology for its production, which makes it different from other industries.
6. Italy
The Europeans are known for fashion trends and are often denoted as the trendsetter. Situated in the heart of Europe, Italy is the world’s 6th largest apparel exporter of the world. Their total export value boils down to USD 36.57 Bn. The export-oriented Italian industry is rip-roaring and growing at an unprecedented rate. The Italian textile industry is preeminent to apparel and fashion world. Italy covers the entire range of fibers, with cotton, linen, silk, and wool.
Industry shows a more solid production structure with innovative technologies. Italy’s product innovation is completely focused on the technical performance of fabrics and yarns to extend the areas of application. Italy manufactures an extensive range of E-textile with new technologies to provide benefits to the wearer.
7. Turkey
Situated between Europe and Asia, Turkey has a unique fashion sense while making clothing which makes them a critical garment exporter of the world. Turkey is the world’s 7th largest garment exporter of the world. Their textile export industry has reached a value of USD 27.56 Bn. Turkish production and export of the industry have shifted from low value-added commodities to high value-added manufactured items and fashionable goods.
Their textile industry is stacked with fantastic design capacity, hi-tech solutions, dynamic and flexible production capacity, and concern about quality, health, and the environment.
8. United States of America
America is denoted as one of the world’s largest and most competitive countries in the commercial world. The 8th largest clothing exporter of the world’s total export value amounts to USD 27.14 Bn. America is the home to exceptional textile raw materials, fabrics, yarns, apparel, home furnishing, and other textile products.
The strength of U.S. textile lies in Non-Woven, Specialty, and Industrial Fabrics, Medical Textiles, and Protective Apparel. In addition to that, America is technically advanced in the Textile and Apparel sector, making companies invest in the U.S. textile market.
9. Hong Kong
The 9th largest garment exporter in the world is Hong Kong. Their total export value amounts to USD 20.43 Bn. They excel in manufacturing and exporting cotton spinning, denim weaving, knit-to-shape panel knitting, and fine-gauge cotton knitting. They are also known for their beautiful and eye-pleasing dyed and printed fabric.
Hong-Kong has been moving up the market value scale catering to the domestic and international market’s demands with Original Design Manufacturer (ODM) and Original Equipment Manufacturer (OEM).
10. Spain
Located in Europe is known for its colossal textile industry and is also a very exotic tourist spot. Numerous tourists from all over the world pay a visit to Spain’s diverse geography and cultural sites. Comprising a total export value of USD 20.20 Bn, Spain has become the world’s 10th largest clothing exporter.
Textile and textile machine manufacturing is one of the largest industries in Spain. Ranging from spinning, weaving clothing to dyeing and finishing, they produce various kinds of machinery. Spain’s Textile trade and creation have also made it a notable area for fashion. Additionally, Spain is continuously moving forward to reach new heights in the textile and fashion world.
