The Turkish Lira was valued at 16.36119 against the US dollar in the first week of 2023 and devalued by 40.2 per cent to reach 22.9324 against the US dollar in the last week of the year. Turkish exporters enjoyed a weaker currency to face stiff competition in the global garment and textile trade. They were able to receive export orders offering attractive prices without compromising their margins, made possible by the weaker local currency against the US dollar, according to Fibre2Fashion's market insight tool TexPro.
Similarly, the Bangladeshi Taka dropped by 16.2 per cent to 107.9506 in the last week of 2023. The currency was valued at 92.87855 against the US dollar in the first week of the year. Most brands and retailers in the Western world cut garment imports due to mounting stock as consumers had to cut discretionary expenditure amid higher inflation. Bangladeshi exporters had some cushion from the weaker currency in these tough times.
However, garment exporters from Vietnam, China, and India were not as fortunate, as their local currencies did not weaken much against the US dollar. The Vietnamese Dong eased just 1.8 per cent to 23,821.19181 against the US dollar, from 23,403.45095 at the start of 2023. The Indian rupee (INR) depreciated 5.1 per cent to 82.56687 from 78.53279 against the US dollar. Similarly, the Chinese yuan (CNY) also fell by 5.1 per cent to 7.06531 against the US dollar, as per TexPro.
ALCHEMPro News Desk (KUL)
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