Current Scenario Of RMG

Sector In Bangladesh
Contribution of the RMG Sector in National
Economy
Year Export of RMG Total Export Of % Of RMG To Total Export
(in million US$) Bangladesh
(In Million US$)
2010-11 17914.46 22924.38 78.15
2011-12 19089.73 24301.90 78.55
2012-13 21515.73 27027.36 79.61
2013-14 24491.88 30186.62 81.13
2014-15 25491.40 31208.94 81.68
2015-16 28094.16 34257.18 82.01

Data Source Export Promotion Bureau  Compiled by BGMEA

Current Position of Bangladesh In the RMG sector
and Comparison With its Competitors
Bangladesh is the world’s second largest
apparel exporter

Due to declining profit margins and capacity

constraints in China, Bangladesh is the top
alternative choice for investors for investment
in the RMG sector

Bangladesh's apparel exports could triple by 2020

as the European and the US buyers plan to
strengthen their presence in the country
Employment Opportunities And Wages in the
RMG Sector

Currently the Garment However they are being paid

industry in Bangladesh is meager wages. A comparison by
providing employment to Institute for Global Labor and
around 4.2 million Human Rights shows that the
Bangladeshis, mainly women labour cost to make a Denim Shirt
from low income families is $0.22 in Bangladesh whereas it
is $7.47 in USA.
Comparison between the salary ranges of garment
workers in Bangladesh and its competitors :

$ $

$ $

$ $

$
Major Drawbacks In the RMG Sector
lack of safety in the working place and deplorable
working conditions

physical assault, verbal abuse, forced overtime,

unsanitary conditions, denial of paid maternity
leave, unpaid wages and bonuses on the workers

Deadly incidents from November 2012 through May

2013 brought worker safety and labor violations in
Bangladesh to world attention
 Rana Plaza Collapse:
An accident or murder?
1137 textile workers
making clothes for
Western brands, were
killed

It was the "world's

deadliest industrial
accident since the Bhopal
disaster in India in 1984.”

The eight-story building,

owned by Sohel Rana,
was constructed on a
"pond filled with sand".
 Tazreen Fashions Factory Fire

• one of the worst

industrial tragedies
in Bangladesh

• At least 111 people

were killed, and scores
of workers were taken
to hospitals for
treatment of burns and
smoke inhalation
International Pressure and Withdrawal of
GSP facilities :
• US suspended GSP for Bangladesh in June 2013, citing serious
shortcomings in labor rights and workplace safety.

• Bangladesh had been left out of the United States’ generalized system of
preference (GSP) once again in 2015 and in 2016 due to an interagency
review led by the United States Trade Representative (USTR)

• The EU took the initiative of launching a Sustainability Compact for

Bangladesh with the aim of improving labour rights and factory safety
in the ready-made garment industry.