The readymade garment (RMG) industry in Bangladesh lost nearly $400 million due to labour unrest in September and October.
Moreover, nearly 5%-6% of work orders were shifted to other countries during the unrest. However, work orders from international clothing retailers and brands were returning as the sector witnessed normalcy after a challenging period of over two months.
Khandoker Rafiqul Islam, president of the Bangladesh Garment Manufacturers and Exporters Association (BGMEA), was speaking about the situation at a press conference held at the BGMEA Complex on Saturday.
He said a combined effort by the BGMEA Board and the government, a joint force led by the army, has been established to ensure the security of the RMG industrial hubs.
This joint force has been regularly patrolling the area to maintain law and order.
Responding to a question, the BGMEA president said: “The recently published export data was factually correct as it was published after analyzing the data from the EPB, Bangladesh Bank, and the NBR.”
Replying to another question, he said that in a joint meeting, the manufacturers accepted all 18-point demands of the workers, 16 of which were implemented instantly by almost 99% of factories, and the procedures for accepting the rest are ongoing.
He also said that about 5%- 6% of work orders were shifted to competitor countries; however, work orders from international clothing retailers and brands were returning.
He mentioned that major buyers are dedicated to sourcing from Bangladesh and have already begun placing orders as the situation gradually improves. Some buyers who needed immediate shipment might have shifted to competitors, but the number is significantly low.
He also mentioned that this week they will meet with the buyers' representatives to update them on the situation in the country's RMG sector.
Responding to a question, he said that they will take initiatives to keep jhut and other recyclable wastes free from external influences. They will develop a long-term plan regarding this and will urge the government to support policy.
He also said that along with the government, they have taken the initiative to ensure TCB goods for more than 4 million workers in the RMG sector.
He requested the government not to disconnect utility lines like gas and electricity in any industry for three months, as many were affected by the labour unrest.
Islam also urged the government to reduce bank Interest rates to single digits.
To retain their competitive edge, he urged the government to ensure law and order at industrial hubs, simplify customs port procedures, and eliminate unnecessary delays in loading and unloading at ports.
He also urged ensuring the safety of business establishments if any action is taken against any person and addressing provisions of a safe exit policy for garment industry entrepreneurs.
BGMEA president also urged the government to bring the anarchists under stricter legal measures.
According to the industry source, only two factories across the country were closed on Saturday in the Savar and Ashulia area.
On Saturday, nearly 100% of factories in the major RMG industrial hubs of Savar, Ashulia, DMP, and Gazipur were operational.
According to sources, four factories were closed that day: two in Savar and Ashulia, and two in the Gazipur area.
In Savar and Ashulia, Anjuman Designs Ltd. was closed under 13(1), and Generation Next Fashion was on general holiday for the last several weeks due to a financial crisis, including a delay in paying the wages for August and September.
In Savar and Ashulia, 99.50% of the 397 factories remained operational. In Gazipur, DMP, Narayanganj, Chittagong, and Nanrsingdi hubs, 100% of the factories were operational, as no cases of closure or protests were reported in these hubs.
Overall, 99.91% of factories nationwide operated normally, totalling 2,117 out of 2,119 factories.
