Sustainability key to RMG's growth
August 24, 2025 00:00:00
The ready-made garment (RMG) sector is the backbone of our economy, accounting for around 84 per cent of total export earnings. While this industry has secured a strong position in the global apparel market, it now faces the dual challenges of climate risks and the growing international demand for sustainable production.
Bangladesh has made commendable progress in this area. According to the U.S.-based Green Building Council (USGBC), as of July 2025, the country hosted 202 LEED-certified green factories, more than 70 of which are Platinum rated - the highest number in the world. Factory owners report that eco-friendly technologies have helped reduce electricity and water usage by 30-35 per cent, while also lowering production costs.
Yet the transition is not without hurdles. Building sustainable infrastructure requires an additional USD 25-30 per square foot, and medium-sized factories often need USD 5-10 million in extra investment. For small and medium entrepreneurs, this remains a formidable barrier. Adding to the challenge, international buyers are often unwilling to share the costs of sustainable production, despite pressing suppliers to cut carbon emissions by 50 per cent and achieve zero-waste production by 2030.
If Bangladesh can meet these requirements, the rewards could be substantial. A McKinsey report suggests that sustainable practices could generate an additional USD 20-25 billion in apparel export earnings by 2030. To realize this potential, industry experts stress the need for government support in the form of duty exemptions on eco-friendly machinery, low-interest green loans, tax incentives for renewable energy use, skilled workforce development, and easier access to international certifications.
Sustainable and environment-friendly RMG is no longer optional, it is essential for survival. With the right mix of policy support, investment, and innovation, Bangladesh can not only safeguard its RMG sector but also strengthen its global leadership in sustainable apparel.
Sakibul Hasan
Dhaka College