Readymade Garments Industry of Bangladesh

Introduction: The readymade garments industry acts as the backbone of our

economy and as a catalyst for the development of our country. We take pride in the sector that has been fetching billions of dollars as export earnings and creating jobs for millions of people in the country.

The “Made in Bangladesh” tag has also brought glory for Bangladesh, making it a prestigious brand across the globe. Bangladesh, which was once termed by cynics a “bottomless basket” has now become a “basket full of wonders.” The country with its limited resources has been maintaining 6% annual average GDP growth rate and has brought about remarkable social and human development.

After the independence in 1971, Bangladesh was one of poorest countries in the world. No major industries were developed in Bangladesh, when it was known as East Pakistan, due to discriminatory attitude and policies of the government of the then West Pakistan. So, rebuilding the war-ravaged country with limited resources appeared to be the biggest challenge for us.

The industry that has been making crucial contribution to rebuilding the country and its economy is none other than the readymade garment (RMG) industry which is now the single biggest export earner for Bangladesh. The sector accounts for 81% of total export earnings of the country.

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Improving Working Conditions in the Ready-Made Garment Sector (RMGP) Programme In Bangladesh

Since the 1980’s, the Ready-Made Garment (RMG) industry in Bangladesh has experienced rapid growth and is at present ranked as one of the top exporters in the world. The RMG industry has made a substantial contribution to the economy and society by primarily providing a source of employment for approximately three and a half million workers, mostly women. This staggering growth is undermined by the lack of safety in the factories and industrial accidents, which has defined the risks associated to RMG sector. Over the past decade the RMG sector has witnessed a number of industrial accidents including the recent fire at Tazreen Fashions and collapse of the Rana

ILO

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Plaza which claimed the lives of hundreds of workers. These accidents shocked the country and the international community. In response to these accidents the Government of Bangladesh and the development partners have mobilised unprecedented support and made commitments to improve working conditions and workers’ safety in the RMG industry in Bangladesh.

The ILO Programme on Improving Working Conditions in the Ready-Made Garment Sector has been developed to support the interventions identified in the National Tripartite Plan of Action on Fire Safety & Building Integrity and recent commitments made by the Government of Bangladesh. The programme is based on the Joint Tripartite Statement by the Government of Bangladesh (GoB), employers and the workers. Improving Working Conditions in the Ready-Made Garment Sector programme is designed in line with the priorities set in the Sixth Five Year Plan (SFYP 2011-2016) of Bangladesh, which recognized the urgent need for job

ILO

creation. The programme is jointly funded by theKingdom of the Netherlands and the Department forInternational Development (DFID)-United Kingdom.The programme has been drawn up in collaborationwith the Government of Bangladesh, workers andemployers.

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ILO

Key Partners:

• Ministry of Labour and Employment• Ministry of Housing and Public Works• National Tripartite Committee on Fire and Building Safety• Bangladesh Garment Manufacturers and Exporters Association

(BGMEA)• Bangladesh Knitwear Manufactures and Exporters Association

(BKMEA)• Bangladesh Employer’s Federation (BEF)• National Coordination Committee for Worker’s Education (NCCWE)• IndustriALL Bangladesh Council (IBC)• Bangladesh University of Engineering and Technology (BUET)

ILO

Project Strategy:

• The ILO consulted widely with stakeholders of the RMG sector to identify the areas where it can provide short term and long term support in improving working conditions in the sector.

•Based on the results of extensive consultations, the programme adopted an approach that has five vital components :

• Building and Fire Safety Assessment• Strengthen Labour Inspection & Support Fire and Building Inspection• Build Occupational Safety and Health (OSH) awareness, capacity and systems• Rehabilitation and skills training for victims• Implement Better Work programme in Bangladesh• In three and a half years the programme will achieve immediate results in terms of rapid

action on building and fire safety and support to survivors; as well as long term results in significantly improved legislation, capacity and implementation in regulation of working conditions, initially in the RMG sector but with the potential to expand to all sectors.

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Growth of RMG Factories in Bangladesh

1983-1984

1985-1986

1987-1988

1989-1990

1991-1992

1993-1994

1995-1996

1997-1998

1999-2000

2001-2002

2003-2004

2006-2007

2008-2009

2010-2011

2012-20130

1000

2000

3000

4000

5000

6000

Growth of RMG Factories in Bangladesh

No. of Factory

Year

No. of factory

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Major Apparel ItemsMajor Apparel Items Exported From Bangladesh, in Million USD

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Top 10 Woven Garment Exports from Bangladesh, FY2014-2015

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Comparative Statement of RMG and Total Export in Bangladesh

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