The Bangladesh Textile Industry has a long history of many centuries and has been seen as the part of an economy of undivided India and later on of Pakistan.

It was only after the liberation of Bangladesh that the Textile Industry had to be considered independently to meet the needs of the large population. Until 1990s the Textile Industry was basically meeting the local needs.

Following the increase in the export of readymade garment industry, the textile industry started catering to the export market in the 1990s. The Government Policy in Bangladesh always favored the backward linkage industry.