The Unicorn Hunt
With a young population, growing smartphone penetration, and a maturing venture capital ecosystem, Bangladesh's startup scene is poised for its breakout moment. But what will it take?
Sultana Begum8 min read
business
Beyond the Factory Floor
How Bangladesh's garment giants are reinventing themselves for a new era
Sultana Begum
Business Correspondent
2 September 202611 min read
Bangladesh's ready-made garment sector is facing its most significant transformation since its founding. The brands that survive will be those that move up the value chain — fast.
For forty years, Bangladesh's ready-made garment (RMG) industry has been built on a single competitive advantage: low labor costs. But that advantage is eroding.
Wages in Bangladesh have risen significantly over the past decade. Vietnam, Ethiopia, and Myanmar now offer cheaper alternatives. And the rise of automation threatens to eliminate the comparative advantage of cheap human labor altogether.
The response from Bangladesh's garment sector is not panic — it is reinvention.
Leading manufacturers like DBL Group and Ha-Meem are investing heavily in vertical integration, moving beyond cut-make-trim contracts to own their own fabric mills, yarn production, and increasingly, their own brands.
"We used to make shirts for $4 that sold for $80. Now we want to understand what happens between $4 and $80, and capture more of that journey," says DBL Group CEO M.A. Jabbar.
#rmg#garments#industry#economy#manufacturing