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Bangladesh textile & apparel industry by aumi

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Bangladesh textile & apparel industry by aumi

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Bangladesh textile & apparel industry by aumi

  1. 1. COURSE NAME: TEXTILE PRODUCTION MANAGEMENT Name: S. M. Naeem Rahman ID NO: 132-23-194 Daffodil Internatinal University Bangladesh Textile & Apparel Industry Presentation topic Ideas for today and tomorrow
  2. 2. Vision Statement The textile and apparel industries provide the single source of economic growth in Bangladesh's rapidly developing economy. Exports of textiles and garments are the principal source of foreign exchange earnings. Today the apparel export sector is a mufti-billion-dollar manufacturing and export industry in the country.
  3. 3. Literature Review Many researchers have investigated working conditions in the Bangladesh garments industry. In fact Working conditions in the RMG(Ready Made Garments) sector are below standard and do not meet the ILO standards. Labour standards and rights are commonly ignored in the RMG factories in Bangladesh: poor practices include the absence of trade unions informal recruitment, and irregular payment, sudden termination, wage discrimination, excessive work, and abusing child labour.
  4. 4. There are only 9 export oriented manufacturing industry in 1978 , such as Reaz gmts. Paris gmts. Jewel gmts. & Boishaki gmts. Reaz gmts establish in 1960. But in1973 it changed it’s name to Reaz gmts Ltd & started to export by selling 10000 pcs of shirt to France, valued 13 million franc in 1978.That was first direct export of apparel. Desh gmts.Ltd first joint venture in Bangladesh , technical & marketing collaboration with S.Korean Daewoo corporation , established in 1979 . First 100% export oriented company .
  5. 5. Facts  In the 1980s, there were only 50 factories employing only a few thousand people. Currently, there are 4490 manufacturing units. The RMG sector contributes around 76 percent to the total export earnings. In 2007 it earned $9.35 billion.  This sector also contributes around 13 percent to the GDP, which was only around 3 percent in 1991. Of the estimated 4.2 million people employed in this sector, about 50 percent of them are women from rural areas.  In 2000, the industry consisting of some 3000 factories employed directly more than 1.5 million workers of whom almost 80% were female. USA is the largest importer of Bangladeshi RMG products, followed by Germany, UK, France and other E.Ucountries.
  6. 6. • Textile and apparel firms in Bangladesh are mostly concentrated around the capital city of Dhaka. Geography International Communication available Easy for buyers to visit, inspect etc. Trained technical manpower easily available All financial institutions H.Q in Dhaka Five to six hours travel time to Chittagong by road Utilities such as gas, electricity, water availability better
  7. 7. Year-wise/Schedule Textile and apparels Distribution Investment(in cror.) 0 10,000 20,000 30,000 40,000 50,000 60,000 70,000 80,000 90,000 2007 2008 2009 2010 2011 2012 2013 22,193 10,730 9,200 26,566 26,174 14839 81667 Textiles and Apparels Textiles and Apparels Source: DIPP
  8. 8. Scope for Bangladesh in RMG Current trends on the buying side. China is losing its attractiveness for new and established buyers. Foreign buyers are keen to invest because of the cheap labor. Bangladeshi RMGs’ are maintaining good quality for years.
  9. 9. Reasons OfTheWeakness OfTrade Union Movement In Bangladesh : • 1. Disunity and division of organizations. • 2. Unlimited and long working hours. • 3. Absence of Job security. • 4. Migration from factory to factory. • 5. Absence of weekly holiday and other holidays. • 6. Majority of women. • 7. State policy. • 8. Elite class ownership. • 9. Low wage. • 10. Unemployment of the country. • 11. Building structure is not good. • 12. No unity in Worker. • 13. No special training & proper education in the female worker.
  10. 10. Comparative Statement on Export of Textile & Apparels and Total Export of Bangladesh 0 75.64 75.83 79.33 77.12 78.15 78.6 79.63 % OF RMG'S TO TOTAL EXPORT 2006-07 2007-08 2008-09 2009-10 2010-11 2011-12 2012-13 Figure : Comparative Statement on Export Growth Of RMG In Bangladesh
  11. 11. Contact Directly to the apparel producers regarding price, samples, delivery schedule etc – more dependency on manufactures regarding quality. Production Agencies/Buying house:Take care of product development, purchase of fabrics and accessories, follow up production, conducting inspection, scheduling shipment date etc. Satellite office: Has own QC dept. and other staffs to conduct the operations. Distribution Structure
  12. 12. Goal and Objective Regular earning Workers investments on family pension schemes etc. create savings. 15 years and above had their own bank accounts. A higher proportion of workers (30 percent) had bank accounts in the EPZ. Women are on average better savers than men. Women save about 7.6 percent of their otherwise small income.
  13. 13. Recommendation  Current infrastructures should be modified from the government side.  Investment in education requires broad initiatives.  A long term strategy should be developed to secure the raw materials supply as well.  Ensure high quality machine, so that they can produce high quality product.  Trained up workers by various diploma course.