A slide regarding the Bangladesh RMG (ready-made garments) sector. Here we describe a summary . RMG exports reached $38.57 billion during the July-April of 2022-23 fiscal year, reflecting a 9.09% increase compared to the same period in the previous fiscal year, according to the Export Promotion Bureau (EPB). A detailed breakdown of the various categories indicated that knitwear exports reached $20.96 billion, while woven garment exports became $17.60 billion with 8.97% and 9.24% year-over-year growth respectively. Overall, it's a sign of a steady growth in Bangladesh's overall RMG export earnings. Regardless of the overall positive trend, a more detailed inspection of single month statistics reveals a recent decline in apparel export growth.In April, the country's RMG exports observed a significant decline of 15.48%, amounting to $3.32 billion compared to April 2022. The amalgamation of these declines contributed to the overall descending trend in recent months, which stands in contrast to the otherwise positive trajectory for the mentioned period in 2022-23 fiscal year, said Mohiuddin Rubel, director of BGMEA and additional managing director of Denim Expert Limited."Our target was $46.80 billion, and we had to ensure a 9.83% growth. There are two months left in this financial year, so in these two months, we have to meet the target of about $8 billion," he said. "In April, our export target was $4.07 billion against $3.32 billion target. We exported 18.40% less than our target this month. And compared to this month last year, our exports decreased by 15.48%. This is the lowest single month export this year." "The reason for this is that we had fewer working days due to Eid. Exports are less in that month due to the general Eid holidays. Another trend that has been going on is our exports were down last month compared to other months," said Rubel."We realised that our capacity was dwindling. In continuation of that trend, exports have declined this month as well. We have seen negative trends in the Eid holidays," he added. "However, it will be clear in the coming month whether this negative trend is due to the impact of the Eid holidays or because of the negative trend that we have been seeing," Rubel said. "Hopefully, we will be able to meet the remaining targets in the coming months," he added.

1. THE GLOBAL MARKET DYNAMICS
AND COMPETITIVENESS OF
BANGLADESH'S RMG SECTOR
Presented By
Mohammad Mohasin Kabir Bhuiya
Md. Lutfar Rahman
Date 26/10/2023

2. Desired Outcomes of this
projects
Inspire a shared commitment towards
sustainable growth, ethical practices, and
responsible manufacturing to reinforce
Bangladesh's position as a leading player
in the global RMG sector.

3. INTRODUCTION
Bangladesh's RMG sector is a crucial driver of
the nation's economy, marked by efficient,
large-scale production and competitive pricing.
Known for its quality and affordability, the
industry serves as a key global supplier of
apparel, contributing substantially to the
international textile market.

4. Economic Sector of Bangladesh
Agriculture
•Rice
•Fruits
•Tee
•Milk
Industries
•Cotton
•Garments
•Leather
•Jute
•Ceramics
•Pharmaceutical
services
•Transportation
•Telecommunication
•Banking
•Real Estate

5. Industrial Contribution of Bangladesh Economy

6. Economics Growth
of Bangladesh
within South Asia
Depending on
RMG-Ready made
Garments sector

7. Market share:
Positioning of
Bangladesh's
RMG Sector
in the Global
Market

8. Bangladesh’s size compared to China.
Bangladesh is about 65
times smaller than China. China is
approximately 9,596,960 sq km,
while Bangladesh is 148,460 sq
km.
In terms of Market share
Bangladesh is only 3.5 time small.

9. An Overviewof
Economic
Contribution from
Clothing Industries
of Bangladesh.
• Second largest RMG exporter
• Top Denim exporter to EU and
USA
• Export to more than 150
countries
• Total Industries 2550 (large) +
1500(small)
• Contribution to GDP 12%.
• Ready-made garments
contribute 81.82% to the total
export earnings.
• Total employment 4.22 m
• LEED-certified green factory
177

10. Garments Export Destination from Bangladesh

11. Cost Advantage and Competitive
Pricing Strategies

12. Access
Preference for Trade
Agreements: Analyze
the benefits derived
from preferential trade
agreements, such as
the Generalized System
of Preferences (GSP),
and their impact on
market access and
competitive advantage
for Bangladeshi RMG
exports.
Non-Tariff Barriers
(NTBs): Understand the
implications of non-
tariff barriers, including
product standards,
certification
requirements, and
customs procedures,
on market access and
strategies to mitigate
their impact on the
RMG sector.
Market Diversification
Efforts: Evaluate the
significance of market
diversification
strategies, including
exploring new
geographical markets
and focusing on
product differentiation,
to minimize reliance on
specific regions and
broaden the scope for
Bangladesh's RMG
exports.

13. Government
Initiatives and
Policy Support
Trade policies and regulations play a crucial role in shaping the operations and
growth of Bangladesh's Ready-Made Garment (RMG) industry. Some key
aspects include
1.Export Incentives: Government schemes and incentives to promote
exports and enhance competitiveness in the global market.
2.Tariffs and Duties: Impact of tariffs and duties on imports and
exports, influencing cost structures and market competitiveness.
3.Compliance and Standards: Adherence to international trade
regulations and standards to ensure product quality and access to
global markets.
4.Trade Agreements: Participation in bilateral and multilateral trade
agreements to expand market access and foster international trade
relations.
5.Customs and Clearance Procedures: Streamlining customs
procedures and clearance protocols to facilitate smoother trade
operations and reduce logistical bottlenecks.
6.Intellectual Property Protection: Ensuring effective intellectual
property protection measures to safeguard innovations and prevent
counterfeiting.

14. Challenges of
Bangladesh's
Ready-Made
Garment
Industry
Labor Rights and
Safety Concerns:
Ensuring proper
working conditions,
fair wages, and
occupational safety
for workers.
Compliance and
Regulatory Issues:
Meeting international
compliance standards
and addressing
regulatory
complexities for
export.
Environmental
Sustainability:
Managing
environmental impact
and adopting
sustainable
production practices.

15. Future Outlook and
Opportunities for Growth
OPPORTUNITIES:
• GLOBAL MARKET EXPANSION: DIVERSIFYING INTO NEW
MARKETS AND LEVERAGING EMERGING CONSUMER
TRENDS.
• TECHNOLOGICAL INTEGRATION: ADOPTING ADVANCED
MANUFACTURING TECHNOLOGIES FOR ENHANCED
EFFICIENCY AND PRODUCT QUALITY.
• SKILL DEVELOPMENT AND INNOVATION: INVESTING IN
WORKFORCE TRAINING AND FOSTERING A CULTURE OF
INNOVATION FOR COMPETITIVE ADVANTAGE.

16. Conclusion
In summary, Bangladesh's RMG sector is poised for continued growth, leveraging
technological advancements and sustainable practices. While challenges such as
compliance and labor rights persist, proactive measures are being taken. With a focus
on market diversification and product innovation, the industry is well-positioned to
maintain its global competitiveness.

17. Q&A
Questions &Answers

18. THANK YOU
Thankyou for your attention!