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Present Status of Garments Industry in Bangladesh

Present Status of Garments Industry in Bangladesh (Positive Perspectives):
Most Asian LICs are expected to record positive growth in 2009 and should see a further strengthening of activity in 2010 as global conditions continue to improve.                                                                                                                                                       
IMF forecasts suggest Asia will grow by 5.75 per cent in 2010–far higher than the 1.25 per cent predicted for the G-7 economies but well short of the 6.67 per cent average recorded for the region over the past decade. “A strong rebound in exports is unlikely, given that some of the Asian LICs’ export products including agricultural goods and garments have low responsiveness to global demand changes.”
At present there are about 3500 garment industries in the country and 75 percent of them are in Dhaka. The rest are in Chittagong and Khulna. These Industries have employed fifty lacks of people and 85 percent of them are illiterate rural women. About 76 percent of our export earning comes from this sector. The prime reason why garment industries have come out to be the champion in the field of export is obviously the cheap labor. Labor is not as cheap anywhere in the world as it is in Bangladesh.
Bangladesh exports its RMG products mainly to the United States of America and the European Union. These two destinations account for more than a 90 percent share of the country’s total earnings from garment exports. The country has achieved some product diversification in both the United States and the European Union.
Recently, the country has achieved some level of product upgrading in the European Union, but not to a significant extent in the United States. Bangladesh is less competitive compared with China or India in the United States and it is somewhat competitive in the European Union.


Present Status of Garments Industry in Bangladesh (Negative Perspectives):
   
In a recent survey, it is realized that a large portion of population are working in the RMG sector. A worker (male or female) earns at best (1000-1600) taka per month as basic. But it is a matter of close observation that a significant percentage of workers are marrying within RMG. So, both husband and wife are working in garments and earning at best 3500 taka as basic.
Since freedom is the birth right of a man, mother’s milk, fathers affection and love are the birth right of a child. Mother and father are working in garments all the day round and earn money not enough to live together. So, they are bound keep their child in the village with their mother, mother in law or sister in law. The child must not be growing like any other child who lives with their father and mother. As a result, this child is becoming irrigative. Its mental growth is downward. He or she is not getting a good environment of education. He is always dejected. The child is growing up in an unwelcome world. In the long run, this child will not honor the parents since relationship is not as such. What will happen after 50 years if the children are not grown properly? 
                From the law of business, we have seen that if the owner is unable to provide good working environment for the worker, it is the violation of law. Side by side the workers must get a good compensation package from the owner. This compensation package must include salary, medical service, home allowances, transportation, trainings and education.
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