Os in an Org.

Introduction

Bangladesh has been witnessing tremendous industrial growth across its industrial sector; textile and garment have especially dragged the focus of government bodies and private investors. Vast availability of lowest manpower is one of the most competitive advantage, energy costs and a proven track record in garment production and exports have positioned Bangladesh as a regional garment industry development hub in the Asian continent. In context of fast increase in labor wages and raw material prices in other major regional counterparts, such as China, India, and Thailand etc. Bangladesh is well poised to remain most preferred destination for international garment majors for sourcing world class fabric and finished clothes. Without any existence of quotas, the RMG sector of Bangladesh showed tremendous success in international market by achieving reliability of top branded companies.

The Readymade Garments (RMG) sector of Bangladesh has emerged as the biggest earner of foreign currency. The RMG sector has experienced an exponential growth since the 1980s. The sector contributes significantly to the GDP. It also provides employment to around 4.2 million Bangladeshis. With around USD 15 billion in export value in calendar year 2010, the RMG industry is currently Bangladesh’s most important industry sector (13 percent share of GDP and total export share of over 75 percent) .With 12 percent average annual growth rates, clothing exports are the key driving force behind GDP development (7 percent CAGR from 1995 to 2010). At the same time RMG holds the first position in earning foreign currency.

The country’s recognition as low cost-high quality garment production base resulted in apparel production boom. The impact of improving buying power is quite visible on domestic market as consumers are now buying branded garment and spending a considerable part of their disposable income on textile and clothing. Both small- and large-sized firms are booking huge...