Bangladesh - Garment and Textile Machinery and EquipmentBangladesh - Textiles
Overview
The export-oriented RMG sector in Bangladesh started as a small non-traditional export sector in the late 1970s. Within three decades, RMG has transformed itself into the country’s highest revenue generating sector, contributing 81.2 percent of Bangladesh’s total exports. From spinning to weaving, from knitwear to leisurewear and high street fashions, the textiles and clothing industry designs and produces for the world’s leading brands and retailers. This rapidly growing sector of the Bangladeshi economy offers a unique competitive edge that supports profitable expansion into new strategic markets.
Sector highlights:
• Low-cost and high-quality products that are produced on time, reliably and very competitively with a skilled work force;
• A unique regional location for expansion into key Asian and other markets;
• Privileged trading status with Canada, the EU and Japan;
• Clusters of companies providing a local supplier base with depth in skilled labor, training, and technical development facilities.
In FY2016–2017, Bangladesh's RMG exports reached $28.1 billion (out of $34.7 billion in total exports). Despite political instability, global competition, factory safety issues, infrastructure deficiencies and other struggles and limitations, the RMG sector continues to grow. Bangladesh’s RMG sector has a bright future, as competitors like China are moving up the value chain, leaving value apparel manufacturing to cost effective players like Bangladesh. However, Bangladesh has also begun efforts to move up the value chain and to produce more capital intensive products, including footwear and more complicated garments.
Amid pressure from international retailers as well as the U.S. government and European Union, many Bangladeshi factories have improved their safety standards and compliance norms. This has also created an opportunity for exports of safety equipment.
FY 2013-2014 | FY 2014-2015 | FY 2015-2016 | FY 2016-2017 | |
Total Local Production | N/A | N/A | N/A | N/A |
Total Exports | 24,491,880,000 | 25,491,400,000 | 28,094,160,000 | 28,149,840,000 |
Total Imports | N/A | N/A | N/A | N/A |
Imports from the US | N/A | N/A | N/A | N/A |
Total Market Size | N/A | N/A | N/A | N/A |
Exchange Rates | N/A | N/A | N/A | N/A |
(Bangladesh garment exports market size = (total local production + imports) - exports)
Leading Sub-Sectors
Backward linkages include zippers, buttons, yarn, and other inputs. Other sub-sectors include garment and textile labels and packaging.
Opportunities
Cotton, yarn, and other garment and textile inputs; Garment and textile production equipment; Chemicals; Fire and Building Safety Equipment; Fashion and design consulting and services.
Web Resources
Bangladesh Garment Manufacturers and Exporters Association (BGMEA)
Bangladesh Knitwear Manufacturers and Exporters Association (BKMEA)
Bangladesh Textile Mills Association (BTMA)