Bangladesh Country Commercial Guide
Learn about the market conditions, opportunities, regulations, and business conditions in bangladesh, prepared by at U.S. Embassies worldwide by Commerce Department, State Department and other U.S. agencies’ professionals
Select Country Guide
Textiles and Apparel
Last published date:

Overview

The export oriented RMG sector in Bangladesh started as a small non-traditional export sector in the late 1970s.  Within a few years, RMG has transformed itself into the country’s highest revenue generating sector, contributing over 80 percent of Bangladesh’s total exports.  From spinning to weaving, from knitwear to leisurewear, the textiles and clothing industry designs and produces for the world’s leading brands and retailers.  This growing sector of the Bangladeshi economy offers a unique competitive edge that supports profitable expansion into new strategic markets.

Sector Highlights

Low-cost and high-quality products that are produced on time, reliably and very competitively with a skilled work force.
A unique regional location for expansion into key Asian and other markets.
Privileged access to large markets including the EU, Japan, and Canada.
Clusters of companies providing a local supplier base with depth in skilled labor, training, and technical development facilities.
In FY 2020-21, Bangladesh’s RMG exports grew 12.55 percent to $31.46 billion (out of $38.76 billion in total exports) as demand in major markets in Europe and North America began to recover from the demand shock induced by the COVID-19 pandemic.  Despite the challenges posed by the global pandemic, global competition, factory safety issues, and infrastructure deficiencies, the long-term outlook for the RMG sector remains positive.  As competitors such as China are moving up the value chain, value apparel manufacturing is shifting to cost effective players such as Bangladesh.  However, Bangladesh has also begun efforts to move up the value chain and to produce more capital-intensive products, including footwear and more complicated garments.

Amid pressure from international retailers as well as the U.S. government and the European Union, many Bangladeshi factories have improved their safety standards and compliance norms.  This has also created an opportunity for exports of U.S. safety equipment.

Leading Sub-Sectors

Backward linkages include zippers, buttons, yarn, and other inputs.  Other sub-sectors include garment and textile labels and packaging.

Opportunities

Cotton, yarn, and other garment and textile inputs; Garment and textile production equipment; Chemicals; Fire and Building Safety Equipment; Fashion and design consulting and services.

Resources

  • Bangladesh Garment Manufacturers and Exporters Association (BGMEA)
  • Bangladesh Knitwear Manufacturers and Exporters Association (BKMEA)
  • Bangladesh Textile Mills Association (BTMA)
  • Nirapon
  • The Accord

×

Global Business Navigator Chatbot Beta

Welcome to the Global Business Navigator, an artificial intelligence (AI) Chatbot from the International Trade Administration (ITA). This tool, currently in beta version testing, is designed to provide general information on the exporting process and the resources available to assist new and experienced U.S. exporters. The Chatbot, developed using Microsoft’s Azure AI services, is trained on ITA’s export-related content and aims to quickly get users the information they need. The Chatbot is intended to make the benefits of exporting more accessible by understanding non-expert language, idiomatic expressions, and foreign languages.

Limitations

As a beta product, the Chatbot is currently being tested and its responses may occasionally produce inaccurate or incomplete information. The Chatbot is trained to decline out of scope or inappropriate requests. The Chatbot’s knowledge is limited to the public information on the Export Solutions web pages of Trade.gov, which covers a wide range of topics on exporting. While it cannot provide responses specific to a company’s product or a specific foreign market, its reference pages will guide you to other relevant government resources and market research. Always double-check the Chatbot’s responses using the provided references or by visiting the Export Solutions web pages on Trade.gov. Do not use its responses as legal or professional advice. Inaccurate advice from the Chatbot would not be a defense to violating any export rules or regulations.

Privacy

The Chatbot does not collect information about users and does not use the contents of users’ chat history to learn new information. All feedback is anonymous. Please do not enter personally identifiable information (PII), sensitive, or proprietary information into the Chatbot. Your conversations will not be connected to other interactions or accounts with ITA. Conversations with the Chatbot may be reviewed to help ITA improve the tool and address harmful, illegal, or otherwise inappropriate questions.

Translation

The Chatbot supports a wide range of languages. Because the Chatbot is trained in English and responses are translated, you should verify the translation. For example, the Chatbot may have difficulty with acronyms, abbreviations, and nuances in a language other than English.

Privacy Program | Information Quality Guidelines | Accessibility