Why Garment Industries are Important in the Economy of Bangladesh?
In this era of globalization, the Garment industry of Bangladesh has been known as a brand in the developed countries. Due to Sufficient manpower, an attractive labor market, and geographic location, Investors of the developed world are looking to invest in the Bangladeshi RMG sector. In 1978, the industry was Launched here with just nine factories and 0.069 million dollars in foreign exchange. But in the 2017-2018 FY, Bangladesh earned more than 30 billion dollars of foreign currency through the Readymade Garment exports, and the number of factories in this industry stands at more than 6000. RMG exports saw 8.76% growth last fiscal year. Not only that but also Bangladesh has demonstrated its immense potential by gaining the world’s second place in ready-made garment exports. Until now in more than 150 countries “Made in Bangladesh” garments are being exported. We are discussing here, Why Garment Industries are Important in the Economy of Bangladesh.
This sector is playing an important role in Bangladesh’s GDP by contributing about 75% of the total export earnings and 15% of the overall economy. Subsequently, the leading multinational companies are taking place in Bangladesh. For example, H & M, GAP, Marks and Spencer, TESCO, Lee & Fung, UNIQLO, YKK Bangladesh Pte. Ltd, Must Garment Corp. Ltd, Wal-Mart, Next Sourcing Ltd. Including many multinational companies. Where Most of the companies are mentioned in Fortune magazine’s 100 List.
The industry is also the main non-farm formal sector creating employment opportunities for the poor people. The greater part of the workforce in this sector is female, less educated, and has migrated from rural areas, Thus, the garment industry is seen as contributing to poverty reduction in Bangladesh by providing employment opportunities with higher wages for the poor who would otherwise be engaged in low-wage economic activities in rural areas.
Though it is a labor-intensive organization, here the majority of workers are working class, but there are so many employment opportunities for the educated persons in various management positions. In Bangladesh, there are so many graduates who have completed their graduation but remain workless, The RMG sector is playing an important role here in the economy by providing employment opportunities. Bachelor’s / Master’s graduates have the opportunity to work for the RMG sector in those sections:
- Human Resources Division
- Merchandising
- Quality Controller
- Industrial Engineering
- Fashion Designer
- Compliance
- Purchase & Procurement
- Commercial
- Raw Material Sourcing
- Buying House
- Designing
- Marketing
- Others.
According to experts, the RMG sector in Bangladesh has huge opportunities for building a thriving career. This sector is still in the “Growing Stage” today, 10 years ago, many of those who began a career in the RMG sector, now they are known as well-known entrepreneurs. So anyone who wants to pursue his career as well as to improve the lives of the country’s overall economic development can join in this sector. Garment Industries have always Important in the Economy of Bangladesh since 1990.