bangladesh textile mills association (btma)

TO OUR GROUP PRESENTATION

WELCOME

Group members

Amit Biswas ID: 143003014 Ahasan Habib ID: 143003013 Mir Ohidul ID:143003012 Md kawsar ID: 143003011 Nahian ID: 143003010 Thamina Hossain Bristy ID : 143003015

BANGLADESH TEXTILE MILLS ASSOCIATION

(BTMA)

PRESENTATION TOPIC

Introduction

Tremendous industrial growthAvailability of lowest manpowerSourcing world class fabrics and

finished clothes

Objectives

To promote trade in textile and apparelsTo expand market access To establish a market information systemTo promote the development of policies

supportive to trade To provide an institutional framework for

the development of textile industryTo enhance private sector involvement in

regional policy formulation and implementation

Concentration of Textile in 2015

Ready Made Garments Industry

•Growth oriented.•Largest exporting industry.•Contribution towards GDP.•Employment generation.•Social development.

New Markets

•The RMG started exporting to new market.•Growth opportunity.•WTO listed Bangladesh as 5th clothing exporter.

Uniqueness

•Highest RMG exporting country.

•Competitive pricing is the unique revenue strategy.

•Competitive advantage on cost of labor.

•EPZ manufacturing and lower cost of energy.

• back-end bottlenecks • supply of gas for electricity generation • welfare schemes and participatory decision• technology and skill upgrading • EU GSP rules• Governsment policies for Foreign

Investments

GOVERNMENT

•48th largest economy •Economy growth rate by 6-7%•Deposit rate 9.65%

ECONOMIC

BANGLADESH CORPORATE TAX POLICIES

Standard rate of corporate tax in Bangladesh is 27.5%

Publicly Traded Company 27.5%Non-publicly Traded Company 37.5%10% rebate on tax

Technological

National science and technology policyIt gives direction to Science and technologyThe National Council for Science and

Technology (NCST)

Export policy

The sector share of RMG export

In 1980 EPZ was established76% of country’s export earning from textile

and apparel.export worth nearly $5billion p.a.6th largest apparel supplier to US and EU

countries.

Year Approx %1995 172003 40

Human Resources

45% of all industrial employmentContribute 5% to the total national income4 million people are employed mostly

women

Geography

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

Why in Dhaka Region ?•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

The Stand Out Factors

• The world's second biggest exporter of clothing

• Excellent transportation

• Availability of raw materials

• Adequate sources of energy

• EPZ- primary objective, 8 EPZ’s, benefits and BEPZA

• Market coverage's – duty free access to Canada, Norway, Japan, New Zealand and Australia

• Cheapest labour force

8.Duty Free Access to US 9. Investment Guarantee : Foreign Private

Investment (Promotion and Projection) Act 1980 , OPIC"s (Overseas Private Investment Corporation, USA) , Multi-national Investment Guarantee Agency (MIGA)

10. The International Centre for Settlement of Investment Disputes (ICSID)

11. FDI- in 2011, FDI was $1136.38m.. 13.75% up in 2012

12. Bank interest@ 7% for financing exports

THANK YOU