Hitory of Textile Industry in Bangladesh

Topics: Textile manufacturing, Textile industry, Textile Pages: 19 (5927 words) Published: November 3, 2012
Principles of Management Term Paper
“The History of Textile Industry in Bangladesh”

Submitted to: MD. Rehan Masoom
Course: Principles of Management
Course code: MNG1203

Submitted by:
Atqiya Mahila Trisha; ID-121113006
Syeda Tasneem Humayra; ID-121113008
Rajoshi Jahangir (Rajoshi); ID-121113007
Sirajum Munira; ID-121113001
Sec: A

History of Textile industry in Bangladesh

While agriculture for domestic consumption is Bangladesh’s largest employment sector, the money gained from exporting textiles is the single greatest source of economic growth in Bangladesh. The Bangladesh Textile Industry has a long history of many centuries and has been seen as the part of an economy of undivided India and later on of Pakistan. It was only after the liberation of Bangladesh that the Textile Industry had to be considered independently to meet the needs of the large population. Until 1990s the Textile Industry was basically meeting the local needs. Following the increase in the export of readymade garment industry, the textile industry started catering to the export market in the 1990s. The Government Policy in Bangladesh always favored the backward linkage industry. However, the most dynamic policy was the announcement of Textile policy in 1992-1994 when textile was declared as a Thrust Sector and an alternative cash assistance of 25% given to garments exported using local fabric to compensate for the benefit/advantage and subsidies given by other countries and also to encourage the local backward linkage industry. The aims of this policy were: 1. To increase the value addition of the RMG (Ready Made Garments) export this was at that time 25% of the FOB value. 2. To retain higher level of foreign currency within the country. 3. To reduce lead-time for export.

4. To generate employment and other economic activities.
5. To give an overall price advantage to the export of the garment industry.

Bangladesh Textile Mills Corporation was brought into existence on March 26, 1972 with the promulgation of the BIE order, 1972 and started its formal function from July 1972. At present, 18 textile mills (22 units) are in operation under service change system and producing different counts of cotton yarn and polyester yarn in the form of 32/1 to 80/1. Another 11 mills are under process in operation.


Traditionally, artisans working in small groups, in what are often referred to as cottage industries, produced most of the textile in the sub-continent. There were many such artisans in the area that was to become Bangladesh. In fact, from prehistoric times until the Industrial Revolution in the eighteenth century, East Bengal was self-sufficient in textiles. Its people produced Muslin, Jamdani, and various cotton and silk fabrics. These were all well regarded even beyond the region as they were manufactured by very skilled craftsmen.     

The material produced by the artisans of Bengal started facing vigorous competition beginning in the eighteenth century after the growth of mechanized textile mills in the English Midlands. This eventually led to a great decline in the number of Bengali workers skilled enough to produce such high quality fabrics. According to popularly held beliefs, as the region's spinners and weavers meant competition for their emerging textile industry, the British imperialists responded by trying to force the artisans to stop production. They were said to have sometimes used methods as harsh as cutting off the thumbs of the craftsmen so they would never be able to spin or weave again.  

Not only were huge amounts of fabric produced in Bengal, the area was also a prime producer of the indigo plant, from which the indigo dye was extracted. This natural dye was widely used before the advent of chemical dyes in the nineteenth century. In fact, the rich blue color provided by the dye is still sometimes used for dyeing denim. Bengali dye masters had special recipes for producing...
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