RMG sector: Bangladesh loss is India gain

[Saiful Islam]

You would be stupid to believe some little "Garment council" just because they said that does not make it true but only gives you hope. Whenever I go H&M all I ever see is Made in Bangladesh, Turkey, Indonesia or Malaysia. Rarely India.

 

[hankau62]

seems another tragedy has fallen to the workers.

RIP

BBC News - Bangladesh clothing factory hit by deadly fire

 

[Jako]

You would be stupid to believe some little "Garment council" just because they said that does not make it true but only gives you hope. Whenever I go H&M all I ever see is Made in Bangladesh, Turkey, Indonesia or Malaysia. Rarely India.

Thats because though we export RMG( 8 billion atm), we are not a major player. And just to give you an idea of our priorities our IT exports are a little below 5 times your RMG exports. Our export for Nuclear Reactors and machineries stand at 10 billion in 2012. Our exports for automobiles and electrical appliances and machineries stand at 10 billion each in 2012.Heck we even export more pharmaceuticals & ships than RMG.

Now that you know what we are good at.

 

[Skallagrim]

India could emerge as largest apparel sourcing centre in five years - The Economic Times

Guys - if you don't get your act together your neighbors will take over your only export market in next 5 years. Don't come crying that this is all Rawami design to destabilize your country.

The RMG buyers faced severe criticism at home recently mainly due to a high death toll in a recent building collapse along with another devastating incident of factory fire. But one has to keep in mind that factories with severe non-compliance issues are few and the Garment buyers do business. As long as the prices of their coomodities are low and orders are executed safely they are unlikely to shift to another source. The current growth of Indian apparel industry may partly be due to a shift of some of the orders which is possibly a temporary measure some of the buyers may have taken to hush the criticism recently they faced at home. Definitely they are more careful now in placing orders because an incident of building collapse or factory fire incurs terrible loss in both business and reputation. Luckily for us the apparel manufacturers' associations in BD along with the government became sincere this time to implement and evaluate factories for compliance with building codes and fire safety standards.

 

[damiendehorn]

Thats because though we export RMG( 8 billion atm), we are not a major player. And just to give you an idea of our priorities our IT exports are a little below 5 times your RMG exports. Our export for Nuclear Reactors and machineries stand at 10 billion in 2012. Our exports for automobiles and electrical appliances and machineries stand at 10 billion each in 2012.Heck we even export more pharmaceuticals & ships than RMG.

Now that you know what we are good at.

YES you are still the undisputed champ of the jangia industry!

Well as a nation which is about an 8th the size of india, had to start from practically zero in 1971, had to contend with various natural disastours etc, being the undisputed RMG sorry "jangia" exporter is fine for now. RMGs gives the most needy people work, unlike IT etc.

For us its one industry at a time, slow and steady. Next we are looking at small scale industrial production of white goods, ship building etc. For example we now one of the largest exporters of bicyles....one sector at a time, well get to the IT and heavy engineering in due course.

So in the meantime enjoy your boasting of how big your industries are. We'll just keep growing and building our industries and taking market shares one sector at a time.

 

[damiendehorn]

And you should visit Rajarhat New town or Saltlake to see how new townships modern by every means can churn out when you pave way for a IT park, that even when Kolkata now aint a major IT hub of India. Gurgaon a village 10yrs back is modern city now. Same with Noida, and various suburbs of cities across India,which can actually eclipse the city 20 yrs from now.
And all what your RMG industry does is pollute and make a city dirty that too by paying peanuts to the employees.

You need to know the difference between RMG industry and dyeing. Bangladesh is into RMG, where the actual yarn is mostly brought in from china, korea, and INDIA, so the pollution is happening in your back yard, all we do is give our poor work.

India is trying to build its economy from a top down approach, so thats why you see a lot of service tech firms and BPOs. This approach is good for a select few people, who earn a lot relative to the general population, and as long as they spend their earning in india then the wealth can filter down. How ever if they send their money abroad, import consumer goods, gold, invest overseas or take holidays, it does not perculate down.

Bangladesh has taken the opposite approach, we are looking bottom up approach, concentrating on using low cost labour, giving the poor, mainly women work and increasing their spending power. This approach means the amount earned stays mainly within bangladesh, not in swiss banks or invested abroad giving jobs to others, we dont want huge disparity in wealth, few billionaires and the rest.

These are 2 different approaches, one top down the other bottom up. Though we are one of the largest RMG exporters, we are now starting to diversify the economy, we are actively looking to build our light industries and setting EPZs to encourage industrialisation and the in a few years we will target the information sector.

 

[malgudi]

You need to know the difference between RMG industry and dyeing. Bangladesh is into RMG, where the actual yarn is mostly brought in from china, korea, and INDIA, so the pollution is happening in your back yard, all we do is give our poor work.

BD outsourcing its poor work to China, Korea and India?

 

[TopCat]

You need to know the difference between RMG industry and dyeing. Bangladesh is into RMG, where the actual yarn is mostly brought in from china, korea, and INDIA, so the pollution is happening in your back yard, all we do is give our poor work.

India is trying to build its economy from a top down approach, so thats why you see a lot of service tech firms and BPOs. This approach is good for a select few people, who earn a lot relative to the general population, and as long as they spend their earning in india then the wealth can filter down. How ever if they send their money abroad, import consumer goods, gold, invest overseas or take holidays, it does not perculate down.

Bangladesh has taken the opposite approach, we are looking bottom up approach, concentrating on using low cost labour, giving the poor, mainly women work and increasing their spending power. This approach means the amount earned stays mainly within bangladesh, not in swiss banks or invested abroad giving jobs to others, we dont want huge disparity in wealth, few billionaires and the rest.

These are 2 different approaches, one top down the other bottom up. Though we are one of the largest RMG exporters, we are now starting to diversify the economy, we are actively looking to build our light industries and setting EPZs to encourage industrialisation and the in a few years we will target the information sector.

80% of the material are sourced from BD now a days. Only cotton is imported. Some woven fabrics are still being imported.

There are plenty of pollution yet ETP is mandatory in BD.

 

[Zabaniyah]

Apart from working conditions (especially in small garment factories), labor rights and political unrest (the biggest factor), Bangladesh's RMG industry is not under any danger.

The yarn will keep flowing. There is not a cheaper source like Bangladesh, and will continue that way for a very long time. People who buy this phony article have absolutely no practical experience in the corporate world of Bangladesh.

 

[Zabaniyah]

Luckily for us the apparel manufacturers' associations in BD along with the government became sincere this time to implement and evaluate factories for compliance with building codes and fire safety standards.

They are trying. But the thing is that they couldn't project that image to the outside world. Add that to political unrest, that'll make most folks wary before investing in Bangladesh.