‘RMG at risk of losing global edge without diversification’

Commerce, Industries, and Textiles & Jute Minister Khandakar Abdul Muktadir said textile and ready-made garment (RMG) sector must prioritise sustainable production systems, innovation, research and product diversification to remain globally competitive in the long run.
The minister made the remarks while addressing the “Grand Launching Event of Textile Innovation Exchange” as chief guest at a hotel in the capital on Saturday.
He said sustainability is no longer merely a slogan but an essential condition for the industry’s survival and future growth. 
“As Bangladesh has limited natural resources, electricity, gas and water must be used efficiently in industrial production.”
He stressed the importance of energy conservation, water recycling, circular production systems and improved management practices to ensure optimum utilisation of resources, according to a press release.
Muktadir said that although the RMG industry has achieved remarkable success over the past decades, exports remain heavily dependent on a limited range of products.
He warned that the country could struggle to maintain its global competitive edge unless it quickly shifts toward higher value-added products such as sportswear, man-made
fibre-based apparel and technical textiles.
Referring to the European market and the challenges Bangladesh may face after graduating from the Least Developed Country (LDC) category, he said the country must become more proactive in diversifying products and exploring new export destinations.
At the same time, greater emphasis should be placed on research, design development, skills enhancement and the adoption of modern technologies to take the industry to new heights, he added.
Highlighting the textile sector’s contribution to the country’s economic development, the minister said the industry has become one of the main drivers of industrialisation and export growth by generating large-scale employment with relatively low investment.
He noted that the sector still holds immense untapped potential if supported by proper planning and innovation.
On the issue of reopening closed industrial units, the minister said the government would not spend money on
non-functional factories while leaving outdated machinery unchanged.
Instead, industry-specific solutions would be adopted, including the development of industrial parks, public-private partnership (PPP) initiatives and lease-based investment models to attract fresh investment.
He said decisions in this regard would be taken in consultation with experienced private sector entrepreneurs.
The minister also said promising sectors such as leather, light engineering and shipbuilding would be revitalised through modern technology, skills development and international cooperation.