Bangladesh’s textile industry accounts for over 70 per cent of export revenue and 13 per cent of the country’s gross domestic product. The country has more investor-friendly policies than many of its neighbors and cheaper skilled labor. The country has tax-free access to 37 countries, including the European Union, Canada and Australia.

After liberation in 1972, Bangladesh opted for a socialistic economic policy by nationalising all big industries, including large textile mills. However, the country took a more capitalistic view of development by not only opting for a market-oriented economic policy but also handing over these mills to the private sector in phases.

This signaled a breakthrough in the industry, which provides five million jobs for the people of the country. The country today is an export-oriented economy, thriving on cotton and readymade garments.

Last year, Bangladesh came up with a textile policy, targeted at expanding the export market. One of the focal points of the policy is to strengthen the primary textile sector to fulfil the local demand of textiles and promote a medium and high value added export oriented garment industry.

Knitting industries in the country are self-sufficient. The spinning, weaving, power loom, knitting, dyeing and finishing industries are strong.