COURSE NAME: TEXTILE PRODUCTION MANAGEMENT

Name: S. M. Naeem Rahman ID NO: 132-23-194

Daffodil Internatinal University

Bangladesh Textile & Apparel Industry

Presentation topic

Ideas for today and tomorrow

Vision Statement

The textile and apparel industries provide the single source of economic growth in Bangladesh's rapidly developing economy. Exports of textiles and garments are the principal source of foreign exchange earnings.  Today the apparel export sector is a mufti-billion-dollar manufacturing and export industry in the country.

Literature Review

Many researchers have investigated working conditions in the Bangladesh garments industry. In fact Working conditions in the RMG(Ready Made Garments) sector are below standard and do not meet the ILO standards.

Labour standards and rights are commonly ignored in the RMG factories in Bangladesh: poor practices include the absence of trade unions informal recruitment, and irregular payment, sudden termination, wage discrimination, excessive work, and abusing child labour.

There are only 9 export oriented

manufacturing industry in 1978 , such as Reaz gmts. Paris gmts. Jewel gmts. & Boishaki gmts.

Reaz gmts establish in 1960. But in1973 it changed it’s name to Reaz gmts Ltd &

started to export by selling 10000 pcs of shirt to France,

valued 13 million franc in 1978. That was first direct

export of apparel.

Desh gmts.Ltd first joint venture in Bangladesh , technical & marketing

collaboration with S.Korean Daewoo corporation ,

established in 1979 . First 100% export oriented

company .

History of Textile Industry in Bangladesh

Facts In the 1980s, there were only 50 factories employing only a few

thousand people. Currently, there are 4490 manufacturing units. The RMG sector contributes around 76 percent to the total export earnings. In 2007 it earned $9.35 billion.

This sector also contributes around 13 percent to the GDP, which was only around 3 percent in 1991. Of the estimated 4.2 million people employed in this sector, about 50 percent of them are women from rural areas.

In 2000, the industry consisting of some 3000 factories employed directly more than 1.5 million workers of whom almost 80% were female. USA is the largest importer of Bangladeshi RMG products, followed by Germany, UK, France and other E.Ucountries.

• Textile and apparel firms in Bangladesh are mostly concentrated around the capital city of Dhaka.

Geography

International Communication available

Easy for buyers to visit, inspect etc.

Trained technical manpower easily available

All financial institutions H.Q in Dhaka

Five to six hours travel time to Chittagong by road

Utilities such as gas, electricity, water availability better

Year-wise/Schedule Textile and apparels Distribution Investment(in cror.)

2007 2008 2009 2010 2011 2012 20130

10,000

20,000

30,000

40,000

50,000

60,000

70,000

80,000

90,000

22,193

10,730 9,200

26,566 26,174

14,839

81,667

Textiles and Apparels

Textiles and Apparels

Source: DIPP

Scope for Bangladesh in RMG

Current trends on the buying side.

China is losing its attractiveness for new and

established buyers.

Foreign buyers are keen to invest because of the cheap

labor.

Bangladeshi RMGs’ are maintaining good quality for

years.

Reasons Of The Weakness Of Trade Union Movement In Bangladesh :

• 1. Disunity and division of organizations. • 2. Unlimited and long working hours.• 3. Absence of Job security. • 4. Migration from factory to factory. • 5. Absence of weekly holiday and other

holidays. • 6. Majority of women. • 7. State policy.• 8. Elite class ownership. • 9. Low wage. • 10. Unemployment of the country.• 11. Building structure is not good.• 12. No unity in Worker.• 13. No special training & proper education in

the female worker.

Comparative Statement on Export of Textile & Apparels and Total Export of Bangladesh

75.64

75.83

79.3377.1278.15

78.6

79.63

% OF RMG'S TO TOTAL EXPORT

2006-072007-082008-092009-102010-112011-122012-13

Figure : Comparative Statement on Export Growth Of RMG In Bangladesh

Contact Directly to the apparel producers regarding price, samples, delivery schedule etc – more dependency on manufactures regarding quality.

Production Agencies/Buying house: Take care of product development, purchase of fabrics and accessories, follow up production, conducting inspection, scheduling shipment date etc.

Satellite office: Has own QC dept. and other staffs to conduct the operations.

Distribution Structure

Goal and Objective

Regular earningWorkers investments on family pension schemes etc. create savings. 15 years and above had their own bank accounts. A higher proportion of workers (30 percent) had bank accounts in the EPZ. Women are on average better savers than men.Women save about 7.6 percent of their otherwise small income.

Recommendation

Current infrastructures should be modified from the government side. Investment in education requires broad initiatives. A long term strategy should be developed to secure the raw materials

supply as well. Ensure high quality machine, so that they can produce high quality

product. Trained up workers by various diploma course.