Bangladesh may be the world’s second largest exporter of apparel but it’s per hour earnings from the export of apparel are the lowest in south Asia. The country’s per hour earnings from apparel exports are $0.51 while the amount is $0.55 dollars for Sri Lanka, $0.58 for Pakistan and $1.06 for India. For China it is $2.6.

Bangladesh’s per capita export earnings from apparel which are $126 are also well below China’s at $365 and Vietnam’s at $312. The regional average for South Asia is $70. Though the South Asian region possesses several key advantages in the apparel sector, its share of the global apparel market continues to lag behind China’s, which accounts for 41 per cent of the global market. Still South Asia’s share of the global apparel market increased to 12.3 per cent in 2012 from 7.5 per cent in 2000.

Despite higher labor costs, China is able to attract buyers by offering a wide range of apparel at short lead times, while high productivity limits total costs despite high wages. No country in South Asia has thus far succeeded in offering a comparable package of goods and services.