Problems behind RMG sectors:

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Offline Md. Fouad Hossain Sarker

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Problems behind RMG sectors:
« on: October 29, 2011, 08:18:46 PM »
Some problems impeding RMG sector:

1.Bangladesh imports raw materials for garments like cotton, thread color etc. This dependence on raw materials hampers the development of garments industry. Moreover, foreign suppliers often supply low quality materials, which result in low quality products

2.In addition to the fact that the industry is vulnerable because it is highly dependent on the imported raw materials

3.Labor productivity in the RMG sector of Bangladesh is lower than many of its competitors. Bangladeshi workers are not as efficient as those of Hong Kong, South Korea and some other countries.

4.Most of the illiterate women workers employed in garments are unskilled and so their products often become lower in quality

5.Most factories, technologies used are not the latest

6.Insufficiency of loan in time

7.Uncertainly of electricity

8.Delay in getting materials

9.Infrastructure in the country is deplorably underdeveloped.

10.Problem in taxes and so on often obstruct the industry.

11.In the world market 115 to 120 items of dress are in demand where as Bangladesh supplies only ten to twelve items of garments. India, South Korea, Hong Kong, Singapore, Thailand, Taiwan etc, have made remarkable progress in garments industries.

12.Garments industries often pay dearly for political unrest, hartal and terrorism etc.

13.Inadequate port facilities result in frequent port congestion, which delays shipment.

14.The international market has withdrawn quota advantage over garments export form Bangladesh since December 2005.

15.Destruction of twin tower on 11 September’ 2001 and invasion on Afghanistan and Iraq and depression in money economy.

16.The application of MFA had negative impact on many garments exporting countries. The countries, which were adversely affected by quotas under MFA, created pressure to discontinue MFA by integrating textile and clothing industries into GATT system. As a result, the Uruguay Round negotiations envisaged the phasing out of MFA by the end of 2004. With the phasing out of MFA, the position of Bangladesh in the world market will change as all countries including those under quota restrictions, will enjoy quota free status. Bangladesh will have to compete with a larger number of established and powerful suppliers of readymade garments.
Md. Fouad Hossain Sarker
Assistant Professor and Head
Department of Development Studies
Faculty of Humanities and Social Sciences
Daffodil International University

Offline Suha

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Re: Problems behind RMG sectors:
« Reply #1 on: October 29, 2011, 08:25:05 PM »
Good post.
Engr. Md. Mahfuzur Rahman
Asst. Professor
Department of Textile Engineering
Daffodil International University

Offline AAA

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Re: Problems behind RMG sectors:
« Reply #2 on: October 29, 2011, 10:38:07 PM »
first i would say that this information is very helpful to many of us.
alone these mentioned problems, i like to include one or two points from my practical experiences:
apparel manufacturing and its business are a chain of complex work. They are too many players and too many actors. Creating proper links among them and defining their job responsibilities are quite difficult, Which is one of the foremost problems in the clothing manufacturing.
-we don't have such trained management personals who believe on ' problem is not a problem' and have the ability to prove it.

Offline nashid

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Re: Problems behind RMG sectors:
« Reply #3 on: October 30, 2011, 12:37:31 AM »
Nice info, thanks for the post.
Nashid Sharif
Department of Textile Engineering
Daffodil International University.

Offline samiha sultana

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Re: Problems behind RMG sectors:
« Reply #4 on: October 30, 2011, 02:10:14 PM »
We should be aware about these issues.