Grow within Asia: Intra-Asia trade guide for Bangladeshi businesses

This guide covers key information on how Bangladeshi Small and Medium Enterprises (SMEs) can start expanding into Asia’s fastest-moving trade corridors, taking full advantage of unprecedented opportunities. From navigating regulatory hurdles to achieving faster delivery to boosting efficiency, DHL Express is here to support Bangladeshi SME export businesses in expanding their regional growth.

Why intra-Asia trade is the future of Bangladesh’s exports

The global trade landscape is undergoing a significant transformation. We are witnessing a rising dominance of regional trade within the Asia-Pacific over traditional long-haul corridors to the US and EU. As noted by McKinsey & Co., trade corridors that have not been traditionally as high-profile, such as Japan-India or India-Singapore, are strengthening, while China continues to bolster its imports from Southeast Asia².

Moreover, Bangladesh’s domestic economic growth is projected to slow down in FY2025 before picking back up in FY2026³. While this doesn’t automatically translate into losses for local businesses, Bangladeshi SMEs may want to expand into other markets to bolster against changes in domestic demand.

For Bangladeshi exporters, there are several compelling advantages to tapping into these burgeoning intra-Asia trade routes:

Shorter delivery cycles

A commonsensical benefit of geographic proximity is that goods spend less time in transit. This leads to quicker turnaround times which are critical for industries with fast-moving consumer goods (FMCG) or fashion trends. For a Bangladeshi exporter of ready-made garments (RMG), or instance, reaching consumers in neighbouring markets within days instead of weeks can significantly boost competitiveness and responsiveness to market demand.

Lower cost-to-serve

Reduced transit distances generally translate to lower fuel costs and potentially less complex logistics, contributing to a more favorable cost-to-serve ratio compared to distant Western markets. This is particularly beneficial for the cost-sensitive products that define much of Bangladesh’s exports.

Similar time zones and cultural familiarity

Operating within similar time zones simplifies communication and coordination, smoothening the logistics of international trade. Furthermore, shared cultural nuances across many intra-Asia markets can facilitate easier market entry and understanding of consumer preferences, reducing cultural barriers that often hinder success in more distant markets.

Growing middle-class demand for consumer goods

Countries like India, Indonesia, and Thailand are experiencing a rapid rise in middle-class populations with increasing purchasing power. This fuels demand for a variety of products from affordable fashion to consumer electronics, offering fertile ground for Bangladeshi manufacturers and exporters keen to capture an overseas audience.

Bangladesh’s major export categories are already finding significant demand within Asia, especially with India and Indonesia already amongst Bangladesh’s top trading partners⁴. Export textiles, particularly RMGs, remain a powerhouse for Bangladesh. However, other categories such as footwear, lightweight electronics, handicrafts, leather, leather goods, and pharmaceuticals are also gaining traction.

Top intra-Asia markets for Bangladeshi exports

India

India’s strong bilateral trade ties and shared land border make it a pivotal intra-Asia market for Bangladeshi SMEs. Per Bangladesh’s Export Promotion Bureau (EPB), Bangladesh exported US$1.76 billion worth of goods to India between July 2024 to June 2025⁵ with foodstuffs, textile fibres, jute, RMGs, and other apparel and accessories included in the top export categories.

However, in early 2025, India announced restrictions on Bangladeshi imports via land ports. This will impact the Benapole-Petrapole land crossing that manages about 60% of Bangladesh-India trade, necessitating SMEs to explore other methods for international shipping, such as express freight. As a leader in international freight and cargo shipping, DHL Express can provide Bangladeshi SMEs with versatile, adaptable international shipping solutions to help grow their business effectively.

Singapore and Malaysia

Singapore and Malaysia currently export more goods to Bangladesh than vice versa resulting in a negative trade balance. However, both countries’ highly urbanised and digitally connected markets present unique opportunities for Bangladeshi exporters, particularly in the e-commerce sphere. In July 2025, Bangladeshi businesses even showcased a diverse range of export capabilities at the 36th Malaysia International Machinery Fair in Kuala Lumpur, reflecting a desire to expand exports beyond RMGs (which are currently the top export category for both countries).

Bangladesh has notable export opportunities in halal-certified agricultural and processed goods to Singapore, where halal certification is essential for many consumer products yet domestic gaps in supply persist.

Similarly, in Malaysia, there’s a documented rise in Bangladesh’s pharmaceutical exports, with ongoing discussions around a bilateral Free Trade Agreement (FTA) expected to further boost trade in this sector. This aligns with Malaysia’s ambition to become a global halal hub, creating a receptive market for Bangladesh’s certified products.

Thailand and Indonesia

Thailand and Indonesia’s rising middle class and rapid e-commerce adoption are driving booming consumer markets and opportunities for Bangladeshi SMEs to explore new regional trading partners. Both countries exhibit high demand for affordable fashion, accessories, and consumer goods, perfectly aligning with Bangladesh's strong manufacturing base.

Thailand’s e-commerce market is projected to reach US$58.5 billion by 2027, growing at a 15% CAGR (2024–2027). This highlights strong consumer demand ideal for regional cross-border trade, where Bangladeshi fashion retailers can reach a vast online consumer base.

While in Indonesia, Bangladeshi garment businesses can capitalize on strong domestic and regional consumption trends to make headways into a competitive market. Indonesia’s modest fashion sector, for one, continues to standout, as well as a demand for affordable apparel by the growing middle class.

Practical tips for Bangladeshi SMEs entering Intra-Asia markets

Regardless of the intended market, there are some best practices Bangladeshi SME export businesses can adopt to properly prepare for expansion across Asia-Pacific:

1. Study market-specific product regulations: Intra-Asian regulations vary significantly particularly for food, cosmetics, and pharmaceuticals. For instance, to export halal products into markets like Malaysia or Singapore, exporters must obtain halal certification from an approved body recognized by JAKIM and MUIS respectively. Hygiene, sanitation, and safety requirements, such as cold storage for foodstuffs, pharmaceuticals, and biomedicals, also need to be met.
2. Use shipment value protection: For high-value parcels, consider using services like DHL’s shipment value protection to mitigate risks during overseas shipping. This offers peace of mind when sending valuable goods.
3. Optimize packaging for air express shipping: For international shipping, particularly via air express, optimizing packaging for lightweight yet durable protection is crucial. This not only safeguards goods but can also help reduce shipping costs. Learn more tips on packaging goods for shipping or how to ship bulk items internationally.
4. Leverage On-Demand Delivery: Services like On-Demand Delivery (ODD) can significantly boost customer satisfaction in foreign markets by giving recipients control over their delivery time and location. This is highly valued in markets with high e-commerce expectations.
5. Regularly review transit times and customs issues: Utilize tracking dashboards and proactive notifications to monitor shipments and address potential cross border customs issues or delays promptly.

Why DHL Express is the right partner for intra-Asia trade growth

DHL Express Bangladesh is uniquely positioned as the ideal international logistics provider for Bangladeshi businesses, offering time-definite, cross-border expertise and a robust shipping presence throughout Asia-Pacific.

Regional infrastructure that powers faster Asia-bound delivery

DHL operates in 220+ countries and territories with a strong Asia Pacific hub network, including key regional trade hubs like Hong Kong, Singapore, Kuala Lumpur, and Bangkok. This extensive network dramatically shortens lead times and enables highly reliable international delivery within Asia.

For Bangladeshi exporters, this means:

• Faster market access: Products can reach key intra-Asia markets in significantly less time, allowing businesses to respond quickly to market trends and consumer demand.
• Reliable supply chains: A robust hub network translates to fewer delays and more predictable transit times, which is essential for B2B transactions and maintaining consistent inventory for e-commerce.
• Time-definite services: DHL’s time-definite ODD services (e.g. Express 9:00, Express 10:30, Express 12:00) provide guaranteed delivery times. This is invaluable for B2B exporters shipping urgent components, samples, or e-commerce businesses promising premium parcel delivery services abroad.

Simplifying customs and compliance for regional trade

Common trade challenges for Bangladeshi SMEs often revolve around navigating complex regulations, from the intricacies of preparing export paperwork to compliance with different countries’ lists of restricted goods. Variation in HS Codes and Incoterms across Asia can also contribute to significant delays and unexpected costs, affecting business overheads.

DHL Express mitigates these challenges with its country-specific customs clearance support. We provide tailored guidance on requirements for each destination, ensuring your cross border customs process is as smooth as possible. Our teams can offer advice on preparing accurate commercial invoices, packing lists, and certificates of origin: all crucial documents for export from Bangladesh.

DHL Express also adopts a proactive approach to goods handling, identifying potential issues before they cause delays to allow for swift resolution and preventing shipments from getting stuck at customs.

Proprietary tools and services that enhance delivery and customer satisfaction

Finally, DHL Express’ value-added services boost efficiency and customer experience in international shipping. This includes:

• Duties and Taxes Paid (DTP): DTP service simplifies delivery by allowing the sender to settle import charges in advance whether selling directly to a buyer or via platforms like eBay and Shopify. Buyers face no surprise fees upon arrival, significantly reducing cart abandonment and improving customer satisfaction for e-commerce companies in particular.
• On-Demand Delivery (ODD): ODD gives customers control over their delivery time and location, a critical feature in markets like Indonesia and Thailand with rising e-commerce expectations and diverse delivery complexities.
• Real-time tracking (via MyDHL+): DHL Express’ MyDHL+ platform provides business customers with a one-stop shipping management platform that makes it easy to track and monitor overseas shipping consignments. This tool helps businesses manage expectations and respond proactively to any delivery updates, vital for maintaining overall customer trust.

These services reduce failed deliveries and enhance transparency, strengthening your business’ competitive advantage.

These three core strengths define DHL Express as a reliable growth partner for Bangladeshi businesses aiming to expand their reach across intra-Asian markets and shipping lines. Open a business account today to start scaling your SME export ventures and push new boundaries in regional and Asia-Pacific trade.