Abstract:
Bangladesh is a developing country. Textile is one of the biggest industries which were rapidly
developed due to low labor cost. Almost 80% foreign currency earned from this sector and 10% of
total G.D.P. So, this is the main driving force of the economy. Bangladesh is facing high cost of
production due to several factors like the hike in electricity tariff, the increase in interest rate, energy
crisis, devaluation of Bangladeshi taka, increasing cost of inputs, political instability, removal of
subsidy and internal dispute. The above all factor increase the cost of production which decreases the
exports. Some time optimum profit as well as quality cannot be achieved from this sector. Because
Textiles owners usually take decisions themselves; ignoring technical experts consultancy. They
have tendency to use low cost raw materials as they think low cost raw material is always cost
effective; which is not true. Buyer’s claim against poor quality of product is obvious and it is very
risky for the progress of Textile Business. 100% cotton Knit garments exports are the lion share of
this textile business and so the expansion was happened for knit fabric production and its relevant
process. So, we need to find out appropriate process for yarn selection so that quality and profit
margin significantly increase. The study shows better result for new developed method though the
average yarn price were 0.05$/kg higher than the old method. The average process losses were
2.228% lower, dye ability was 4.6% higher and cut panel losses were 2.912% lower which not only
offset the extra yarn price but also reduce total manufacturing cost. Quality situation (greige, finish,
In house) were also much more better in new yarn selection method from old yarn selection method.
Considering all data total cost for finished fabric were 0.245$/kg lower than the old yarn selection
method ie. Profitability increase 4.14% according to new yarn selection method. So, it is
recommended that need to follow this new method for cotton yarn selection as profitability increased
as well as quality situation improved by this method.
