Reason Behind Bangladesh Get Lowest Rate In Garments

Today's discussion topic is why our Bangladesh garments get 32 to 83 percent lowest rate comparatively to our neighbor Asian countries. Today I found the news in our local newspaper The daily Star and there was a video discussion on it. They found valid reasons behind that and at the end I'll share the video link that available in my native language Bangla. I will discuss the highlighted points they discussed in the video discussion and let us know some valid reason behind Bangladesh getting lowest rate in garments when we are exporting it.

The first reason is that we supply more than the demand of garments as a result the value of it getting lower. Garments is the big sector of earning source in our country Bangladesh and many uneducated even educated people getting job in this sector. Uneducated people doesn't protest for getting low amount of salary as a result our production is huge for exporting in foreign countries. As our people sell their labour in a low rate so it can be a huge supply and when its available, it get lowest rate than the other countries whose export in a fair rate. Buyers are taking the advantages of workers availability.

Bangladesh sell garment products in 10 categories and we are getting low rate in average than the global market price, when we analysis it we get to learn the lowest amount is a huge which does really matter in our finance. In 2021-2022 our Bangladesh earned 42.61 billion dollar from garments export which could be double (around 85 billion dollar)if we export it wisely but we made it available as a result it's value fall down to 50% or less in a year.

In another experiment result says that, Bangladesh's 39 garments factory export garments bellow production cost which is indeed a worse sign for our government finance and economy. Our garment's 80% depend on some specific garment products categories like t-shirts, sweater, trouser and so on and we are still strong in these categories as there was no value addition found yet. But the other categories are not that strong that can make the garment in Bangladesh financially strong.

One more reason behind is that, we have more garments factories comparatively other countries as a result there are huge workers to work for low payments and most of the garments worker belongs to poor family almost hand to mount situation. We have internal unhealthy competition between factory owners as they selling same products in different prices which is also a big reason behind this loss.

Garment business is a kind of global supply chain business and also seasonal type business. According to the discussion they also thinks the image of Bangladesh in garments export is not that good to international market so they pay lowest rate than the other countries but still garments is a great earning source and our availability and high production is the reason behind our lowest payments and this could be fixed when we will focus in quality instead quantity. Having a good image in global market is really very important to fix this financial issue in our country. This was the main discussion in the financial talk show of our news reporter and expert.

News source: The Daily Star

Image Source: Pixabay