Ready-Made Garment Sector and International Trade Development: Evidence From Bangladesh

Abstract

<p> The Ready-made garment sector has occupied an important place in international trade of Bangladesh. The main purpose of the study is to examine the contribution of RMG sector for the development of international trade in Bangladesh. The study has used primary and secondary data. In order to collect primary data, two sets of questionnaires are developed, which are prepared in the light of the objectives of the study. The study has also used secondary data only relevant to the export value of RMG sector, total export value of the country, total import value of RMG sector, import value of the country, balance of trade, and balance of payment etc. for measuring the international trade development in Bangladesh during the period of 2003- 2013. The main reason to consider the certain period is the availability of data. This study revealed that the RMG sector has made substantial contribution for the development of International trade in Bangladesh. The result of the study also indicates that the RMG sector in the country has brought the largest part of export earnings that minimize the trade deficit. But there are some realistic problems in the RMG sector that hinder the development of international trade. The study seems to carry an enormous academic value since a few studies have been undertaken in this area. It may be helpful to the RMG entrepreneurs, BGMEA, Export promotion bureau (EPB), Academic researchers and national policy makers who have been making endeavor to the development of RMG sector as well as development of international trade as a whole.</p><p>Key words: RMG sector, Export value, Balance of trade, foreign reserve and International trade development </p>

Unboxing the Ready Made Garments (RMG) sector of Bangladesh

“…The readymade garments industry acts as the backbone of the country's economy, while the tag "Made in Bangladesh" has brought glory for the country. The RMG sector of Bangladesh grew at a rate of 55 percent from 2002 to 2012, making it one of the fastest growing sectors of the country's economy (Uddin 2014). The RMG export accounted for 80 percent of the country's total exports in 2012, which increased to 81.13 percent in 2014.…”

Comparative Efficiency Measurement of the Selected Garments Factories in Bangladesh: An Application of Data Envelopment Analysis (Dea)

“…Until the early 1980s, the state owned almost all spinning mills in Bangladesh and 85 percent the textile industry's assets (not including small businesses) Lorch (1991). The Bangladeshi government began to realize potential for the industry to flourish and offered development stimulus such as duty-free import machinery and raw materials, bonded warehouse facilities and cash incentives Uddin (2014). Desh garments, Reaz garments, Style Craft and Aristocraft were the first garments in Bangladesh.…”