1.1 Title Of the Study
The title of Clothing Study is “WTO and RMG sector of Bangladesh:
Growth Implications”.
1.2 Origin
of the Study
The term paper on “WTO and RMG sector of Bangladesh:
Growth Implications” is assigned by Dr. A. K. M. Saiful Majid as a
partial fulfillment of the course “Micro Economics”.
1.3 Background of the study
Ready Made Garments (RMG) industry has been contributing
the most to our foreign exchange earnings for the last 2 decades and proved it
as the most significant sector for a sustainable economic growth. This
labor-intensive industry has shown all positive impacts on our socio-economic
milieu by employing a large number of female workers. Though cheap labor force has been one of the major factors
for the rapid-growth of this industry, different trade facilities in frame of
duty exemption (in EU countries) and quota system (in United States) have also
played a vital role in creating the perfectly congenial atmosphere for this
sector in the export market.
Even after all these achievements, this industry faces
major challenges of global trade adjustment in the coming years when it has to
respond to the new trading agreement of WTO in 2005. As a part of the trade
globalization, the trade facilities that Bangladesh is currently enjoying in
EU and US market will be totally abolished. At that conjunction of time, this
particular sector, that has been contributing 75% of the total export earnings,
will certainly feel the heat of the severe global competition. And, it is very
much worthy to say that this sector will have to pass this acid-test to keep
our last ray of hope of rapid economic growth alive.
