As the world becomes more interconnected, many countries with competitive advantages in the manufacturing industry are attracting foreign investors. Bangladesh is one of the countries experiencing significant growth in this sector. Its abundant resources, strategic location, and low labour costs have made it an increasingly popular destination for manufacturing in recent years. As a result, Bangladesh’s manufacturing industry is making a mark globally and international players have already started reaping the benefits of manufacturing out of here.

Advantages of Manufacturing in Bangladesh

Bangladesh has emerged as a significant player in the global manufacturing industry, attracting investments from international businesses looking for low-cost production options. Here are some of the reasons why the country is an ideal location for businesses looking to set up manufacturing operations.

  • Low labour costs: Bangladesh’s low labour costs makes it an attractive destination for manufacturing enterprises. Shifting operations here allows for cost savings, increased productivity, and competitive pricing, creating opportunities for business growth and profitability.
  • Strategic location: Bangladesh is strategically located between India and China, providing businesses easy access to two of the largest and fastest-growing economies globally.
  • Access to raw materials: Bangladesh’s abundant natural resources, including jute, tea, leather, and textiles, make it an attractive destination for businesses in these sectors.
  • Young and skilled workforce: Bangladesh has a large, young, and highly skilled workforce that is motivated and adaptable.

Challenges of Manufacturing in Bangladesh

  • Infrastructure: Bangladesh’s infrastructure is still developing, and frequent power outages can disrupt manufacturing operations. Additionally, the transportation network is underdeveloped, which can cause delays and increase costs.
  • Bureaucracy: The country’s bureaucratic system can be slow and complex, which can cause delays and frustration for foreign investors.
  • Corruption: Corruption is a significant issue in Bangladesh, and businesses must be cautious of this when investing in the country. The World Bank’s 2020 Ease of Doing Business report ranks Bangladesh 168 out of 190 countries in terms of corruption*.

Businesses can take specific steps to overcome them and succeed in the manufacturing industry in Bangladesh. Here are some ways businesses can navigate the challenges:

Partner with reliable manufacturers

Businesses should conduct thorough due diligence before entering into a partnership with a manufacturer. This includes checking the manufacturer’s credentials, inspecting their facilities, and reviewing their track record. Working with a trusted third-party inspection company such as Global Inspection Managing (GIM) can help businesses ensure that their manufacturing partners meet international quality standards.

Address infrastructure challenges

Businesses can invest in their infrastructure, such as building warehouses and power plants. Additionally, companies can work with their manufacturing partners to develop contingency plans in case of power outages or other disruptions.

Navigate the bureaucracy

Businesses can work with local partners who are familiar with the regulatory landscape and can help navigate the bureaucracy. Investing in technology and automation can help businesses streamline their operations and reduce the administrative burden.

Address environmental concerns

Bangladesh faces several environmental challenges, including air and water pollution and climate change. To overcome this challenge, businesses can implement sustainable manufacturing practices, such as reducing energy consumption and waste, using eco-friendly materials, and implementing renewable energy sources. Additionally, businesses can work with local communities and governments to develop sustainable solutions and reduce their environmental impact.

Main Industries in Bangladesh

Bangladesh has a diverse economy that is driven by several industries. The country is home to more than 160 million people, making it one of the most populous countries globally.

Textiles and Garments

The textile and garment industry is the largest in Bangladesh, accounting for over 80% of the country’s exports. The sector significantly contributes to the country’s economy, employing millions directly and indirectly. The sector is known for its low labour costs, which have attracted many foreign investors. This industry has grown in recent years, with several international brands operating in the country.


Agriculture is another significant industry in Bangladesh, employing nearly half of the country’s workforce. The fertile delta of the Ganges, Brahmaputra, and Meghna rivers provides an ideal environment for rice cultivation. The country is also a major producer of jute, tea, sugarcane, and vegetables. Despite its importance, the agriculture sector is often affected by natural disasters such as floods and cyclones, which can cause significant damage to crops and infrastructure.


The pharmaceutical industry in Bangladesh has grown significantly in recent years, with several local companies expanding their operations and exporting products to international markets. The country has a large pool of highly skilled professionals in the sector, which has helped to boost the industry’s growth. Additionally, the government has implemented several policies to support the industry, including tax incentives and streamlined regulations.


The leather industry in Bangladesh is a significant contributor to the country’s economy, employing thousands of people across the value chain. The country is known for its high-quality leather products, including shoes, bags, and belts, which are exported to international markets. The industry faces several challenges, including environmental concerns and low worker wages. However, the government has addressed these issues, including implementing stricter environmental regulations and increasing wages.


Jute is an essential crop in Bangladesh, with the country being one of the largest producers of this fibre globally. The industry employs thousands of people across the value chain, from farmers to traders to manufacturers. Jute is used to make a wide range of products, including bags, carpets, and textiles. Despite its importance, the industry faces several challenges, including competition from synthetic fibres and environmental concerns.

Ensuring Product Quality and Compliance in Bangladesh

Ensuring product quality and compliance is crucial for any manufacturing business, especially in Bangladesh. Businesses must:

  • Choose the Right Manufacturing Partner: It is crucial to partner with a reliable and reputable manufacturer with a proven track record of delivering high-quality products.
  • Conduct Regular Quality Control Inspections: Regular quality control checks can identify any potential issues with products and ensure they meet international standards.
  • Choose a Reliable Inspection and Testing Company: A reliable inspection and testing company can help businesses conduct quality control and product inspections in Bangladesh.

Conducting quality Control in Bangladesh

Maintaining consistent quality standards is crucial to the success of any manufacturing operation, and this is particularly true in Bangladesh, where the manufacturing industry is still developing. Quality control in Bangladesh can be challenging due to several factors, including a lack of infrastructure and quality management systems. However, with the right approach, businesses can ensure that their products meet international quality standards. Here are some tips for ensuring quality control in Bangladesh:

Develop clear quality standards

The first step in ensuring quality control benefits is to develop clear quality standards for your products. This includes setting specifications for inspection, dimensions, and performance and establishing testing procedures and acceptance criteria. Clearly defined quality standards help ensure that all products meet the same level of quality and consistency.

Conduct routine inspections

Regular inspections are critical to ensuring that quality standards are being met. This includes raw material inspection, in-process production, and finished products. Checks can be conducted by internal quality control teams or by third-party inspection companies such as GIM. Inspections should be performed regularly to catch any issues early on and prevent defective products from reaching customers.

Train employees

Properly trained employees are essential to maintaining quality standards. This includes training employees on quality control procedures, product specifications, and testing protocols. Training should be ongoing and include regular refreshers to ensure employees are up-to-date on the latest quality control practices.

Invest in technology

Investing in technology can help improve quality control in Bangladesh by automating certain processes and reducing the risk of human error. This includes using sensors and monitoring equipment to track production processes and detect defects early on. Digital quality control systems can help streamline the quality control process and improve data analysis.

Develop a culture of quality

Creating a culture of quality is essential to maintaining consistent quality standards. This includes promoting a quality-focused mindset among employees and emphasising the importance of quality control in all aspects of the manufacturing process. By creating a culture of quality, businesses can ensure that all employees are committed to maintaining high standards of quality.

Why Choose GIM?

Global Inspection Managing (GIM) is a leading inspection and testing company that provides businesses with comprehensive quality control inspections in Bangladesh. Our team of experienced inspectors has extensive knowledge of the country’s regulatory environment and can help enterprises to navigate the challenges of manufacturing in Bangladesh. By partnering with us, businesses can mitigate risks and ensure their products meet international standards, giving them peace of mind.


Manufacturing in Bangladesh offers numerous opportunities and advantages for businesses expanding their operations. Despite facing certain challenges, investing in the country can be profitable with the right strategies.