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Determinants of the Bangladesh garment exports in the post-MFA environment

Author

Listed:
  • Md Samsul Alam
  • E. A. Selvanathan
  • Saroja Selvanathan

Abstract

The garment industry is considered as one of the driving forces of socio-economic development of Bangladesh due to its significant contribution to the country's exports, employment generation, and poverty alleviation. This study investigates the determinants of the Bangladesh garment exports in the post Multi-Fibre Arrangement (MFA) environment. Using data from World Bank Enterprise Surveys and other information from secondary sources, this study finds that labour cost, labour productivity, firm size, availability of domestic input materials, and firm location in a port city are the major determinants of Bangladesh garment exports. In addition, the analysis finds that cheap labour, firm size, product and market diversification, preferential market access, and proactive policies by the Bangladesh government have also helped the Bangladesh garment industry to become successful during the post-MFA period.

Suggested Citation

  • Md Samsul Alam & E. A. Selvanathan & Saroja Selvanathan, 2017. "Determinants of the Bangladesh garment exports in the post-MFA environment," Journal of the Asia Pacific Economy, Taylor & Francis Journals, vol. 22(2), pages 330-352, April.
    • Handle: RePEc:taf:rjapxx:v:22:y:2017:i:2:p:330-352
    DOI: 10.1080/13547860.2017.1292768
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    Cited by:

    1. Fatma Nur Karaman Kabadurmus, 2021. "Innovation Challenges in South Asia: Evidence from Bangladesh, Pakistan and India," Journal of South Asian Development, , vol. 16(1), pages 100-129, April.
    2. Ishtehar Sharif Swazan & Debanjan Das, 2022. "Bangladesh's Emergence as a Ready-Made Garment Export Leader: An Examination of the Competitive Advantages of the Garment Industry," International Journal of Global Business and Competitiveness, Springer, vol. 17(2), pages 162-174, December.
    3. Fahmida Mostafiz & Jianqiang Sun, 2023. "Policy Series Effects on Bangladesh Readymade Garments Exportation," Bulletin of Applied Economics, Risk Market Journals, vol. 10(1), pages 133-143.
    4. Park-Poaps H, 2018. "The Roles Technological Advancement and Knowledge Transfers in the Global Textiles and Clothing Sector," Current Trends in Fashion Technology & Textile Engineering, Juniper Publishers Inc., vol. 2(1), pages 13-17, January.
    5. Anup Kumar Bhandari, 2021. "Withdrawal of the multifibre agreement and Indian textile industry: Concerns, efforts, and achievements," Review of Development Economics, Wiley Blackwell, vol. 25(3), pages 1397-1436, August.

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