Plush, regal fabrics make a gorgeous fashion spectacle. Fabrics are influenced by changes in technology, work, moral and cultural values of a country. Good fabrics complement the finishing of a garment, and add to its beauty. Along with the global demand, local markets of a country alter itself to match with the rapid changes in fad. Bangladesh is best placed in the region for fabrics, and textiles. Textile and fabrics industry is the largest sector in the country with a potential to manufacture more than 3 billion yards of fabrics on an average; annually.

 

Fabric Industry of Bangladesh - Growing Textile Economy:

 

Fabrics play an important role in the economy, and fabric industries are a dominating factor in Bangladesh. Fabric industries are more labor intensive, and hence play a prominent role in providing employment for people. In Bangladesh, this industry accounts for 45% of the total industrial employment, 13% of the GDP, and 5 % of the total national income. It employs more than 4 million people, of which majority are women. In addition to meeting the demand for domestic apparel manufacturing, they also have a significant contribution in the exports of textiles and clothing. Fabric and apparel exports account for approximately $5 billion a year to US, EU, Canada and other countries; worldwide.

 

Initially fabric industry in Bangladesh was a small import substitute industry and started growing during the 80s. Organized and private sector industries are dominating the scene currently, and are further expanding rapidly. Most of its industries are concentrated in Dhaka, Narayanganj and its neighborhood. 78% of the total export earning comes from textiles and textile related products. Their fabric production capacity during 1994-2007 increased drastically from 1,260 million meters to 3,500 million meters. Textile and fabric manufacturers of Bangladesh face competition with countries like India, Pakistan, Thailand, Indonesia, Sri Lanka, and China. But, Bangladesh has a comparative advantage over its counterparts in terms of labor and energy cost which are much lower and have remained static over a period of time.

 

Labor costs in Bangladesh is lowest as compared with its competitors

 

Energy costs in Bangladesh as compared with its counterparts

Textile industries of this country is comprised of a mix of small to large scale privately and publicly owned companies. Major textile fabrics exported from Bangladesh are PV fabrics, polyester filament fabrics, man-made filament mixed fabrics, and viscose filament fabrics. Fabric and apparel sectors together consist of 3,600 firms; most of them in and around the capital city of Dhaka.