Future Prospects of Bangladesh’s Ready-Made Garments Industry and the Supportive Policy Regime

Emergence of the global market has heightened the role of trade in world economy and made industrialization as an integral system of global trade and production. Bangladesh economy at present is more globally integrated than at any time in the past. The MFA phase-out will lead to more efficient global realignments of the textile and clothing industry. After the introduction of Agreement on Textile and Clothing (ATC), the RMG industry of Bangladesh is facing new and unique challenges. The paper attempts to identify the prospects of RMG industry in the post-MFA period by analyzing the current scenario along with different policy measures and the available options in order to be more competitive in the new regime.