...economic development. Policymakers in the least developed countries (LDCs) have, at various times, attempted to make agriculture the primary engine of economic growth and employment generation but this approach has not worked. The Ready-Made Garments (RMG) industry occupies a unique position in the Bangladesh economy. Bangladesh has a total population of over160 million. Among of vast population about 3.5 million people are working in the garments industries. It is the largest exporting industry in Bangladesh, which experienced phenomenal growth during the last 20 years under the quota system of Multi-Fiber Arrangement (MFA). The abolition of quota system thus brings new challenges for Bangladesh’s apparel industry to continue its current status and enhance it in a free flow of apparel trade era. According to BGMEA, after the Liberation War of Bangladesh, in 1983 the Ready-Made-Garment (RMG) industry emerged to be a most promising sector in the socio-economic context of Bangladesh. From that point of time till now, this industry has grown and developed so rapidly that currently Bangladesh is exporting RMG products worth 5 billion USD every year to countries like EU, USA, Canada and other countries of the world. Now, Bangladesh enjoys the position of being the 6th largest apparel supplier to the USA and EU countries. The sector rapidly attained high importance in terms of employment, foreign exchange earnings and its contribution to GDP. Background of RMG industry in Bangladesh...
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...exports from Bangladesh over the last two decades has surpassed the most optimistic expectations. Today the apparel export sector is a multi-billion-dollar manufacturing and export industry in the country. The overall impact of the readymade garment exports is certainly one of the most significant social and economic developments in contemporary Bangladesh. With over one and a half million women workers employed in semi-skilled and skilled jobs producing clothing for exports, the development of the apparel export industry has had far-reaching implications for the society and economy of Bangladesh. Literature Review: Several authors have analyzed aspects of the garment industry in Bangladesh. Of the various aspects of the industry, the problems and the working conditions of female workers have received the greatest attention. There are several studies including the Bangladesh Institute of Development Studies (BIDS) study by Salma Chowdhury and Protima Mazumdar (1991) and the Bangladesh Unnayan Parisad (1990) study on this topic. Both of these studies use accepted survey and research methodology to analyze a wealth of data on the social and economic background, problems and prospects of female workers in the RMG sector. Professor Muzaffar Ahmad looks at the industrial organization of the sector and discusses robustness and long-term viability of apparel manufacturing in Bangladesh. Wiigton (2000) provides a good overview of this industry, especially the developments in the early...
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...1. Introduction After independence in 1971, Bangladesh moved to a private sector led export oriented economy in late 1970’s from a highly protected government led economy in search of prosperity and growth. Even though there was little growth and development in the country as a whole; one particular sector, the Readymade Garment (RMG) industry was the beneficiary of privatization. From 0.2 percent in 1980’s, it came to 75 percent in 2004-05 of country’s total export. This industry employs 1.8 million people of whom 90 percent are women. Trade liberalization as a form of globalization followed by the imposition of quotas by US was the key input while entrepreneurs played the anchor role to take advantage of these conditions. Government also came forward with favourable policies for further growth. However, the quota oriented worldwide apparel trade came to an end on December 2004. What is going to happen in the Bangladesh apparel industry, which was predicted to lose its stake in an open market? This dissertation aims to discover the condition of the apparel industry as a whole at present and how the firms adjust to the situation with their internal rearrangement. Additionally, issues considered as vital for industry’s growth, such as infrastructure, information technology in the form of database, internet and software, and capacity building will be discussed. The dissertation starts with the global picture of apparel trade, and with a brief description how this trade...
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...Executive Summary Apparel sector is the significant foreign exchange earning sector of Bangladesh which accounts majority portion of country’s GDP. Since it is a labour intensive sector, social compliance issues regarding workers and employees became the prime concern for the buyers and suppliers nowadays. The sourcing model of global apparel brands within its ethical purchasing and supply chain management functions have been critically analysed to evaluate their effectiveness and value they add throughout their supply chain and in overall organisational operation. This report has emphasised on three key areas such as general sourcing model and its components in the context of global buyer’s perspective i.e. Transnational Corporations, a clear scenario about current ethical situation of Bangladesh’s apparel sector, and relevant supply chain theories and its implications related to ethical purchasing in apparel industries. At the end, a proper conclusion has been given by evaluating all the three sections critically based on the theoretical lens of purchasing and supply chain management. Table of Contents Executive Summary 1 Introduction 3 Section-1: General Discussion on Sourcing and its Components 4 Sourcing and its Role in Supply Chain 4 Sourcing Needs of the Companies and its Impact on Supply Chain 4 Steps of Making Sourcing Decisions by Transnational Corporations 5 Ethical Sourcing 6 Ethical Sourcing by TNCs in Apparel Sector 6 Importance of being...
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...compensation package has two main components: direct financial payments which include wages, salaries, incentives, commissions and bonuses and indirect financial payment which include financial benefits like employer paid insurance and vacations. Every organization has to focus on compensation package because not a single organization exists that does not provide the benefits to the workers. There is not a single person who works without payment in an organization. From this point of view compensation package is the most important policy of an organization. From recruitment to motivation every kind of HR functions are done for the sake of compensation. Like other organizations compensation package is most important subject matter of garments industry especially in Ready-made Garments sector. We know that, the earn to mouth people are working in the RMG...
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.............................................................. 4 1.2 History of RMG Sector in Bangladesh: ................................................................................................ 4 1.3 Objective of Study: .............................................................................................................................. 6 1.4 Methodology: ...................................................................................................................................... 6 1.4 Limitations of the study: ..................................................................................................................... 7 CHAPTER 2: ................................................................................................................................................... 8 2.0 AN OVERVIEW OF RGM .......................................................................................................................... 8 . 2.1 Ready Made Garments Export Condition in brief: .............................................................................. 8 2.3 RECENT GLOBAL TRENDS IN TEXTILE AND GARMENTS: ..................................................................... 9 2.4 Contribution of RMG sector in total export in Bangladesh: ............................................................. 10 2.5 Problem of RMG Export in Bangladesh...
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...FIRST DRAFT RISE OF READYMADE GARMENTS INDUSTRY IN BANGLADESH: ENTREPRENEURIAL INGENUITY OR PUBLIC POLICY by MOHAMMED ALI RASHID Professor of Economics North South University Paper presented at the Workshop on Governance and Development organized by the World Bank and BIDS at Dhaka on 11-12 November 2006 I. INTRODUCTION The 100 percent export-oriented readymade garments (RMG) industry of Bangladesh has witnessed remarkable growth since its inception in the late 1970s. Paradoxically, this flagship industry of Bangladeshi private entrepreneurial talent took roots through the first export consignment of shirts from Bangladesh made by the state-trading agency, the Trading Corporation of Bangladesh (TCB), in the mid-1970s under countertrade arrangements and the destination was some East European countries. Subsequently, however, private entrepreneurs entered the industry and phenomenal growth took place in RMG exports from Bangladesh. Export of RMG increased from US $40 thousand in 1978 –79 to US $6.4 billion in 2004-05. The industry has also provided employment to nearly 2 million workers, most of them women drawn from the rural areas. Explosive growth of RMG exports is of course not unique to Bangladesh. The annual compound growth rate of RMG export industries in Indonesia (31.2%), Mauritius (23.8%), and Dominican Republic (21.1%) compares favourably with that of Bangladesh 1 (81.3%) over the 1980-87 period . However, while initial conditions were favourable for export...
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...Assignment on Apparel Industry Compliance System Author: Md. Nasir Uddin, Md.Mozammel Haque, Md.Fakhrul Islam Sumon, Saiful Islam, Kazi Mahbubul Hoq Department of Textile Engineering Daffodil International University Introduction: Bangladesh has emerged as a key player in RMG (Ready Made Garment) sector since 1978. Textiles and clothing account for about 85% of total export earnings of Bangladesh. Out of which, 76% comes from the apparel sector which covers the major products of knit and woven shirts, blouses, trousers, skirts, shorts, jackets, sweaters, sports wears and many more casual and fashion items. |[pic] | |Chart : Bangladeshi RMG export thourghout the decade | The pivotal factor in the apparel industry is the workforce i.e. the sewing operators, the helpers, cutting masters, pattern makers, finishers etc.. Bangladesh is endowed with abundant and cheap labour force that is easily trainable and convertible into semi-skilled and skilled workforce |[pic] | |Fig: garments Manufacturing | Quality of goods exported from Bangladesh has always been questioned by the foreign buyers due to lack of experience and awareness of Garment manufacturers associated in the trade....
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...20, No. 03 Problems of Bangladesh Garments Sector and their Solution– An Islamic Perspective Sarwar Md. Saifullah Khaled( Abstract: The paper relates to the Bangladesh garments sector. Garments workers are badly exploited by the factory owners in collaboration with their foreign buyers resulting in a sub-human standard of life of workers. The occasional agitations for higher wages and better amenities for workers are alleged to be fanned up to violence by some interested quarters together with the privileged unorganized labour leaders and certain NGOs. The recent violence following the declaration of the Wage Structure 2010 is alleged to be backed by those interested in taking away this industry from Bangladesh. The paper highlights the major problems faced by the industry and suggests solution in the light of the teachings of Islam. I. Introduction After the decline and fall of the jute industry just after liberation – (recent media reports show a hopeful prospect of this industry) – the garments industry now plays a vital role in the economy, starting about a decade or so after the emergence of Bangladesh. Like the jute growers and the jute industrial workers that were once the driving force of the Bangladesh economy, the same role is being played today by the garments industry and its workers, and they are the single largest number of industrial workers in the country. With the toil, sweat and untiring effort of the garments workers, this industry has achieved immense expansion...
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...Battle for the textile and apparel industry in Southeast Asia • The reasons for China’s decreasing presence in the industry • Initiatives by the governments in Southeast Asia to boost the textile trade • Vietnam and Bangladesh’s quest to conquer apparel industry and surpass India Textile manufacturing is characterised as a high labour intensive industry and the enterprise has been steering the economic growth in Southeast Asia. The industry is closely linked to the agriculture sector and the raw materials such as cotton and jute, which are easily available, this along with high crop subsidies have supported the growth of textile manufacturing in the region. China has been dominating the industry for more than three decades as far as production...
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...EXECUTIVE SUMMARY Readymade Garments Industry is the leading foreign currency earning sectors of Bangladesh. Now-a-days Bangladesh financial sector is very much dependent upon this sector. The annual export income of garments sector is driven from two sources one is woven garments and others is knit wear. Redimet garments is a 100% export oriented garments. Redimet garments exports various garments product in foreign market. The company makes shirts, ladies dress, shorts, trousers, and others for U.S.A, U.K, Europian countries countries. They use high tech machineries to produce a quality garments product. They also add new machineries to increase their production line. They have a mission and the vision is profit maximization. The merchandising philosophy of Redimet garments is to keep good relation with their buyers. The garments Industry maintains a good relationship with every buyer. Hard working and commitment maintenance is their main strategy. They always try to satisfy their buyers. In this perspective the merchandiser always try to do their merchandising activities in due time. The merchandiser of this company is not very much skilled person. More over him has no assistant. For this reason Sometimes the company face problem. So, here Redimet garments can recruit high skilled people with giving high salary. The Redimet garments should improve their product quality, packing system, internal environment, and other merchandising activities to satisfy their foreign buyers...
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...[pic] INDEPENDENT UNIVERSITY BANGLADESH CHITTAGONG CAMPUS ASSIGNMENT ON: Challenges of garments industry in Bangladesh COURSE TITLE: International business-mba-514 SUBMITTED TO: dr. tahlil azim COURSE INSTRUCTOR Mba-514 SUBMITTED BY: irfan riaz ahmed ID: 0531045 SEC: 01 Mba-514 DATE OF SUBMISSION: 20-09-2010 TABLE OF CONTENT |SL. NO. |PARTICULARS |PAGE NO. | |1. |ABSTRACT |3 | |2. |INTRODUCTION |4 | |3. |BACKGROUND OF THE INDUSTRY |5-7 | |4. |PRESENT COMPETITIVE SITUATIONS OF THE INDUSTRY IN THE WORLD MARKET |7-13 | |5. |PROBLEMS OF THE INDUSTRY |13-15 | |6. |PROSPECT OF THE INDUSTRY |15-18 | |7. |CONCLUSION & RECOMMENDATION |19 | |8...
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...| Sabiha Naz Priyanka | 1310749630 | | Assignment Prepared for: | Mahmudur Rahman, | Lecturer, | School of Business | North South University | Tuesday, February 17, 2015 Mamun Ashrafi Nafisa Fashion House # 424 (Ground floor), Road # 30, New D.O.H.S, Mohakhali Dhaka-1206 Bangladesh. Dear Dave Nielson, Thank you for the opportunity to be considered for support by The Investment Alliance Ltd. (U.K). In the five short years since its founding, Nafisa Fashion has played a major role in the transformation of apparel ready-made garments industry from a market with too many unproductive, unsupervised firms with too much time to get into trouble to one providing quality service with assured value for money. We envision carrying on our legacy & have thus come up with an innovative program which will not just help us to penetrate the local industry but will also lead to become one of the top 3 leading suit manufacturers across the world. With that mantra in mind we have come up with “Virtual Growth Strategy” program. A priority need for the program, our project will focus on 5 aspects of the industry namely pricing in the global garment industry, Asian multinationals in global supply chain, garments & textile productions, trade & investment agreements, & phase-out of the multi-fiber arrangement. In other words, these are the hurdles/challenges we will overcome via our program to reach our desired goal. Nafisa Fashion is requesting...
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... 03 Problems of Bangladesh Garments Sector and their Solution– An Islamic Perspective Sarwar Md. Saifullah Khaled( Abstract: The paper relates to the Bangladesh garments sector. Garments workers are badly exploited by the factory owners in collaboration with their foreign buyers resulting in a sub-human standard of life of workers. The occasional agitations for higher wages and better amenities for workers are alleged to be fanned up to violence by some interested quarters together with the privileged unorganized labour leaders and certain NGOs. The recent violence following the declaration of the Wage Structure 2010 is alleged to be backed by those interested in taking away this industry from Bangladesh. The paper highlights the major problems faced by the industry and suggests solution in the light of the teachings of Islam. I. Introduction After the decline and fall of the jute industry just after liberation – (recent media reports show a hopeful prospect of this industry) – the garments industry now plays a vital role in the economy, starting about a decade or so after the emergence of Bangladesh. Like the jute growers and the jute industrial workers that were once the driving force of the Bangladesh economy, the same role is being played today by the garments industry and its workers, and they are the single largest number of industrial workers in the country. With the toil, sweat and untiring effort of the garments workers, this industry has achieved immense...
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...[pic] Assignment On “Impacts of the Ready-Made Garments (RMG) Sector to the Bangladesh Economy” SUBMITTED TO Mahboob Ul Alam A full time faculty member of ‘’BGMEA Institute of Fashion & Technology (BIFT)’’ SUBMITTED BY Wasik Chowdhury Abdur Rahman Jewel Md. Shahadat Hossen Chowdhury Course Name: Apparel Merchandising (MER 227) Batch : 57 SUBMISSION DATE: September 21, 2011 Letter of Transmittal September 21, 2011 Mahboob Ul Alam A full time faculty member of BGMEA Institute of Fashion & Technology (BIFT) Subject: Submission of Report on Contribution of the Ready-Made Garments (RMG) Sector to the Bangladesh Economy Dear Sir, This is my pleasure to submit this study on “Contribution of the Ready-Made Garments (RMG) Sector to the Bangladesh Economy”. We have done our level best to complete the report in time and with the quality of my expectation. The whole experience of this report enables us to get an insight in to the real life situation. We have really enjoyed working in ’BGMEA Institute of Fashion & Technology (BIFT) preparing the report. Hope the report will be met your expectation and standard. We would like to thank you for your supportive suggestion and helping me to carry on this study. Sincerely yours, Wasik Chowdhury Abdur Rahman Jewel Md. Shahadat Hossen Chowdhury Acknowledgement At first we desire to express our deepest sense of gratitude of almighty Allah. With profound regard we gratefully acknowledge...
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