Bangladesh – an emerging apparel manufacturer ?

An article in the New York Times (April 23,2012) describes the doubling of apparel exports from Bangladesh, compared to four years ago. Li & Fung, a manufacturer of apparel increased its procurement to over $1 billion in 2011, a 41% increase over the previous year. But will the disruptions and costs due to power cuts, potholed roads etc be compensated by the low wage rates compared go China ? Or will the growing middle class, and a growth rate of 6%, generate domestic consumption that justify sourcing in Bangladesh ?

About aviyer2010

Professor
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