Why Bangladesh Dominates Global Garment Manufacturing

Bangladesh is the world's second-largest apparel exporter (after China) due to a confluence of factors:

  • Ultra-low labor costs: Minimum wage ~$100/month (among lowest globally).
  • Government incentives: Tax holidays, duty-free imports, bonded warehouses, subsidized land.
  • Infrastructure: Ports (Chittagong, Mongla), highways, EPZs (Export Processing Zones).
  • Skilled workforce: Decades of experience; specialized sewing, washing, finishing.
  • Quota removal (2005): End of Multi-Fibre Arrangement unleashed export growth.
  • Currency depreciation: Taka decline enhances price competitiveness.

~4.5 million workers (mostly women); exports >$40 billion/year. Challenges: safety, wages, automation, diversification.

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