FORMATION OF A GARMENTS FACTORY IN BANGLADESH

Fashion defines us. How we look, what we wear chronicles our taste to the world. There is a tag below the collar of your shirt or inside the beltline of your pants which tells you the birthplace of the item you have chosen to portray your fashion with. A major chunk of it comes from the ready-made garments industry or RMG all around the world. RMG is the biggest exporting sector in Bangladesh. It has been the dominant wing of business for over a decade now and has put Bangladesh firmly on the map. Only in 2019 alone, RMG exports has accounted for USD 34.13 Billion, which is 84 % of the country’s total exports and that ranks it as the 2nd biggest RMG exporter in the world.

The RMG sector has many parts and the production is not a small process by any means. The whole process starts with the vision of a designer who puts a sketch on paper. The same is then communicated to the companies and factories making the product. Then once it is approved, there is the sourcing of the materials which mostly happens from outside Bangladesh, followed by getting the materials into Bangladesh, making sure that it is the proper material which has been ordered. Then comes the matter of production, explaining the vision of the product to the labour force who will actually make the product and then finally once it is prepared, exporting the product to the customer. There is a huge amount of legal services involved in these matters from the beginning to the end and a lot of times even after the work is complete when disputes arise which is quite common in the garments industry. Such legal services include execution of commercial contracts between buyer and seller, LC (Letter of credit) related disputes, breach of contract, debts recovery etc. Other than that, labour disputes are also quite common in the RMG sector owing to the fact that this is a purely labour-intensive industry with a high number of labours employed.

Also, another part of it involves a lot of foreign investment in the garments industry in both factories and in the form of buying houses which represent some of the biggest brands outside the country. As a result of the foreign investments, it also attracts a lot of foreign expatriates who come to work in Bangladesh. There are also a number of Export Processing Zones in the country which serve specifically to the RMG sector and their exports.

Disclaimer:

The information contains in this web-site is prepared for educational purpose. This site may be used by the students, faculties, independent learners and the learned advocates of all over the world. Researchers all over the world have the access to upload their writes up in this site. In consideration of the people’s participation in the Web Page, the individual, group, organization, business, spectator, or other, does hereby release and forever discharge the Lawyers & Jurists, and its officers, board, and employees, jointly and severally from any and all actions, causes of actions, claims and demands for, upon or by reason of any damage, loss or injury, which hereafter may be sustained by participating their work in the Web Page. This release extends and applies to, and also covers and includes, all unknown, unforeseen, unanticipated and unsuspected injuries, damages, loss and liability and the consequences thereof, as well as those now disclosed and known to exist.  The provisions of any state’s law providing substance that releases shall not extend to claims, demands, injuries, or damages which are known or unsuspected to exist at this time, to the person executing such release, are hereby expressly waived. However the Lawyers & Jurists makes no warranty expressed or implied or assumes any legal liability or responsibility for the accuracy, completeness or usefulness of any information, apparatus, product or process disclosed or represents that its use would not infringe privately owned rights. Reference herein to any specific commercial product process or service by trade name, trade mark, manufacturer or otherwise, does not necessarily constitute or imply its endorsement, recommendation or favouring by the Lawyers & Jurists. The views and opinions of the authors expressed in the Web site do not necessarily state or reflect those of the Lawyers & Jurists. Above all, if there is any complaint drop by any independent user to the admin for any contents of this site, the Lawyers & Jurists would remove this immediately from its site.