Bangladesh fruit exports slump as shipping and compliance barriers hit earnings

Traders Union
All News
Business & Wealth
Companies
Bangladesh fruit export slump

Highlights

Bangladesh's fruit export earnings dropped from $30.86 million to $7.38 million in July-September due to disruptions around the Strait of Hormuz.
Freight charges for fruit exports to key markets surged from $2,000-$2,200 to $7,000-$8,000, straining margins and reducing accessible destinations.
Lack of adequate cold storage, lab capacity, packaging, and compliance with international standards, along with high testing costs, are undermining Bangladesh's export competitiveness.

Export decline and supply chain strain

As reported by The Business Standard, citing Export Promotion Bureau data, Bangladesh's fruit export earnings fall from $30.86 million a year earlier to $7.38 million in the July-September quarter. The decline comes as shipping disruptions linked to the Strait of Hormuz crisis affect sea shipments and reduce export volumes, according to an official at the Department of Agricultural Extension's Plant Quarantine Wing.

Mangoes and jackfruits remain among Bangladesh's main fruit exports to the European Union, the UK and Middle Eastern markets including the UAE and Saudi Arabia. But exporters say sharply higher freight charges are making those destinations more difficult to serve, with shipping costs rising from about $2,000-$2,200 to $7,000-$8,000, according to Alexa Trading Corporation director Onup Das.

Air freight is offering limited support because cargo space is tight and flight schedules are irregular. Das says shipments of tender coconuts to Oman and cabbage to the Maldives are currently being held up by shipping complications.

Infrastructure and compliance gaps curb market access

Beyond transport disruptions, exporters face structural constraints including inadequate cold storage, treatment facilities, laboratory testing, packaging capacity and farm-level record-keeping. Industry representatives say limited awareness of traceability requirements, a lack of contract farming, and too few collection centres and packing houses near airports are also reducing the ability to meet international standards.

Md Mahbubul Alam Shakib, a lecturer at Hajee Mohammad Danesh Science and Technology University, says weak record-keeping on pesticide and fertiliser use makes it harder to trace excessive residues in exported fruit. He recommends wider use of contract farming, a simple Bangla-language digital record system, and more packing houses and treatment facilities closer to production hubs such as Rajshahi and Chapainawabganj to reduce spoilage risks.

A Department of Agricultural Extension official says authorities are linking farmers with export requirements through traceability certificates, field-level monitoring and pesticide-use guidelines. The official adds that cooling vans are being used for transport, temperature-controlled short-term airport storage has been announced for perishables, and plans for thousands of mini cold-storage facilities nationwide could help cut post-harvest losses.

Plant-health compliance remains another major hurdle for exporters trying to enter or expand in overseas markets. Exporters and academics say Bangladesh needs more vapour heat treatment and hot water treatment facilities, although a VHT centre inaugurated in Gabtoli in July 2026 now provides treatment, quarantine and other export-related services, while a one-stop service has also been announced before consignments are sent to the airport.

Testing and packaging costs are adding further pressure to the sector. Exporters say expensive compliance tests, limited laboratory capacity and high import duties on carton-making materials are raising costs, underscoring the need for stronger quality control and sustained investment in export infrastructure to improve competitiveness and buyer confidence.

The Strait of Hormuz shipping disruption has started to filter through to agriculture, with costlier and less reliable logistics contributing to lower fertilizer use, more cautious planting decisions, and rising operating costs that can depress yields. Our earlier coverage also noted that the longer uncertainty persists, the more firms and producers adjust behavior and routes—typically at higher cost—raising the risk of further commodity price pressure and food-security strains, especially in Asia and Africa.

This material may contain third-party opinions, none of the data and information on this webpage constitutes investment advice according to our Disclaimer. While we adhere to strict Editorial Integrity, this post may contain references to products from our partners.