Dhaka, July 30 (SocialNews.XYZ) Bangladesh’s Awami League has alleged that the rapid dismantling of the country’s Ready-Made Garment (RMG) sector is the direct consequence of "grotesque administrative mismanagement, economic paralysis, and total governance failure" under successive authorities since the July 2024 demonstrations.
The party claimed that the former interim administration led by Muhammad Yunus failed to maintain law and order, allowing industrial zones in the country to descend into "lawlessness".
It added that the ruling Bangladesh Nationalist Party (BNP) government continues the same trajectory through “political inertia, economic score-settling, and an utter inability to secure primary energy inputs or stabilise a suffocating financial environment.”
"The post-July interim administration spent months in state paralysis, failing to enforce law and order in industrial belts, passive in the face of extortion rings, and unable to secure stable LNG import channels. The newly elected BNP government has proven equally ineffective. Rather than enacting emergency economic stabilisation, such as targeted energy relief, credit guarantees, and urgent trade diplomacy, the administration has remained absorbed in political score-settling and patronage redistribution," the party stated.
Following the political upheavals triggered by the July 2024 demonstrations, the Awami League said that the country’s flagship export industry has suffered “catastrophic” market erosion. Citing World Trade Organisation (WTO) data, it said Bangladesh has officially lost its long-held second-place global position to Vietnam, recording a paltry 0.89 per cent apparel export growth--the lowest among major Asian competitors--while the broader global apparel market expanded by 4.46 per cent.
"The surrender of Bangladesh’s competitive edge is reflected in stark global trade data. While regional competitors capitalised on shifting Western retail orders, Bangladeshi manufacturing sputtered under factory shutdowns and supply chain bottlenecks. Industry estimates indicate that over $2 billion in international apparel orders shifted away from Bangladesh during the post-July turmoil," it added.
The party said that the closure of garment factories has deepened the economic hardship of people while depleting the foreign exchange earnings on which the country's broader economy depends. With the RMG sector accounting for the bulk of Bangladesh's export earnings, it said the sector's decline is weakening foreign exchange reserves, economic growth, and fiscal stability.
Warning of further deterioration of the garment sector, the party said, "If Bangladesh's political leadership continues to offer empty reassurances while industrial output collapses, the country not merely loses its second-place ranking; it will permanently lose its position in global trade. Global supply chains do not wait for political recovery; without immediate, drastic policy corrections, Bangladesh's RMG sector faces terminal decay."
Source: IANS
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