Enhancing Supply Chain Efficiency in Import-Dependent Raw Materials for the RMG Sector in Bangladesh.

Abstract

This thesis investigates the critical supply chain vulnerabilities within the woven segment of Bangladesh's Ready-Made Garment (RMG) sector, which remains fundamentally dependent on imported raw materials. As the nation approaches graduation from Least Developed Country (LDC) status in 2026, the impending loss of preferential trade access threatens to exacerbate existing inefficiencies, placing the sector's cost competitiveness and long-term resilience at risk. The study aims to diagnose the systemic inefficiencies plaguing the import-dependent supply chain and to formulate strategic interventions for enhancement. Adopting a mixed-methods case study approach, the research synthesizes quantitative survey data from 63 RMG firms, qualitative insights from 45 industry experts, field observations at key logistical nodes (Chattogram Port, bonded warehouses), and secondary data analysis. Findings identify pervasive bottlenecks including protracted customs clearance, chronic port congestion, limited digital integration, manual warehouse operations, and elevated logistics costs which are categorized into four core vulnerability areas: logistical, regulatory, technological, and structural import dependency. In response, this thesis proposes the Resilient RMG Supply Chain 4.0 Model, a strategic framework advocating for digital transformation, regulatory streamlining, infrastructure modernization, and proactive risk mitigation, supported by tools such as an Import Substitution Priority Matrix. The study concludes that a coordinated agenda of policy reform and targeted investment is imperative to significantly enhance supply chain efficiency, mitigate the risks of import dependency, and secure Bangladesh's competitive position in the post LDC global apparel market. Keywords: Bangladesh RMG, Supply Chain Efficiency, Import Dependency, LDC Graduation, Digital Transformation, Supply Chain Resilience, Industry 4.0, Logistics Optimization, Strategic Sourcing.