Growth of Ready-made Garment (RMG) Industry in Bangladesh

Growth of Ready-made Garment (RMG) Industry in Bangladesh

Noor Ahmed Raaz
Specialized in Apparel Manufacturing
Owner and Editor in chief Textile Merchandising
Asst. Prof., Department of Textile Engineering
Atish Dipankar University of Science & Technology
Email: mnnabi@adust.edu.bd

RMG Sector in Bangladesh:

As the largest and most renowned manufacturing sector and Gross domestic product (GDP) contributor in the country, the ready-made garment (RMG) industry in Bangladesh has been increasing its presence in the global market. (Source: The Business Wire, London).

Bangladesh is the 8th most populated country in the world. After China, Bangladesh is the largest garment exporter country in the world. Bangladesh has a huge demand for garment orders from foreign buyers for low order costs. A lot of foreign companies has their own export-oriented production plants or buying house in Bangladesh.  The Read-made Garment (RMG) sector in Bangladesh started just after the independence of Bangladesh in 1971, that time the country’s economy was very poor. Bangladesh has gained fabulous success in recent decades in RMG sector. This sector earns about 76 percent of the country’s export earnings.  In Bangladesh, the Ready Made Garments (RMG) sector plays a vital role in our economy with about 2.4 million workers where 80% are women.  Therefore the contribution of female workers in RMG as well as the contribution to the national economy.

Bangladeshi Female Worker in RMG Sector

In the early 1980s, the government provided licenses to new entrepreneurs in order to facilitate duty-free import of machinery to produce garments for the reason of export. As a result, the number of garment factories increased rapidly and reached 632 in 1984-85. Exports increased from US $ 1.3 million in 1980-81 to US $ 116.2 million in 1984-85 and the industry started successful in the country. In 1982, the Bangladesh Garment Manufacturers and Exporters Association (BGMEA) was established to secure the interests of the manufacturers and exporters of the Ready-made Garment (RMG). Since the establishment of BGMEA, it has been working with the factory owners on their rights and facilities.

Bangladesh Garment Manufacturers and Exporters Association (BGMEA) leaders addressing a press conference

Growth of the Garment Industry in Bangladesh:

Here we have tried to discuss the steady growth in the field of RMG during the last two decades. The growth of the RMG industry in conditions of Fiscal year, number of factories, Employment in Million workers, Export value (Billion US $), % of Garments in the country’s export earnings are given below-

Noor Ahmed Raaz

Founder & Editor of Textile Merchandising. He is an Assistant Professor and Chairman of the Textile Engineering Department of a Reputed University in Bangladesh. He has performed numerous Research Regarding Textile Engineering. He has also received two times “Research & Development Fellowship” from the Ministry of Science & Technology in Bangladesh. For any further queries, please contact email at raju.uttara105@gmail.com or WhatsApp at +8801673758271.