Political stability, value added chains, education and increased labour productivity have been emphasised as the keys to speeding up the growth of Bangladesh’s apparel sector, which can help the country achieve the middle-income status by 2021.
Other factors such as improving workers’ living condition, flow of investment, infrastructure development, backward integration, research and training, and human resource development are also equally important to keep the RMG growth trend.
The growth could also result in gaining competitive advantages over apparel giants like China and India, said speakers at a seminar styled “Can RMG sector help Bangladesh to become a middle-income country?” at the final session of the Dhaka Apparel Summit yesterday.
The Bangladesh Garments and Manufacturers and Exporters Association (BGMEA) organised the seminar at Bangabandhu International Conference Centre in the capital.
Speaking at the event, Jatiya Sangsad Speaker Shirin Sharmin Chaudhury claimed that Bangladesh was moving on the right track to obtain the target of becoming a middle-income country by 2021.
She put emphasis on ensuring a congenial investment condition, political stability, removing red tapism and development of skilled manpower to make the dream of $50 billion earning from the RMG exports by 2021 come true.
“We need to focus on women’s empowerment because it is not only for the welfare of women but also is smart economy,” Shirin said.
Commerce Minister Tofail Ahmed said Bangladesh economy had leapt forward in the past five years and if the momentum continued, Bangladesh would be able to become a middle-income country in the next six years.
He said the government was making efforts to remove infrastructure bottlenecks as it had taken many steps to increase electricity and gas production.
Bangladesh Bank Governor Atiur Rahman said the central bank aimed at an inclusive growth by 2021, which matched with the BGMEA’s goal of earning $50bn from RMG exports.
He said: “We need to put all hands together to craft a comprehensive strategy for taking the RMG sector to a new height. The RMG industry has been growing over the years in an unplanned way; it needs to grow in a planned manner to reduce the risk of structural deficiencies.”
He assured financing with soft loans for developing the sector further. He said he had recently discussed with the World Bank the arrangement of long-term funding for the sector.
BNP leader and former commerce minister Amir Khoshru Mahmud Chowdhury said political stability was the most important factor, lacking which nothing would work.
“We need to ensure the democratic process, while controlling law and order and securing workers’ rights are also the prerequisites for a sustainable development,” he said.
He also underscored the need for education to boost RMG production. “Only education can bring changes in the industry. Buying capacity of workers should be increased by improving their living condition to create demand for stimulating the economy.”
Green Member of European Parliament Jean Lambert said engagement of more women in the economy was extremely important for the economic growth as well as the RMG.
She focused on food security in line with the climate change, education, IT, democratic development, value added chains and skills for the apparel industry to achieve the middle-income status.
Vice-President of Global Responsibility, Human Rights and Business, Gap Inc Wilma B Wallace said workers’ dormitories, childcare, training and wage equality were the fundamental elements for the future of the apparel sector.
Managing Director of Mohammadi Group Rubana Huq moderated the seminar.
