Assessing The True Dimension Of The Garment Business In Bangladesh

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In 2015 the NYU Stern Center for Enterprise and Human Rights launched the findings of an 18-month research trying at the actual measurement of the garment trade in Bangladesh. The report concluded that there are more than 7,000 garment factories producing for the export market. The report revealed 1000's of previously unacknowledged subcontracting factories in a country with chronic factory security concerns.

A recently released follow-up study from the BRAC University’s Centre for Entrepreneurship Improvement in Dhaka, confirms the NYU Stern Center’s findings. Utilizing an identical methodology that combines evaluation of a number of on-line databases and discipline research the BRAC University Center found over eight,000 garment factories in Bangladesh (please see the comparison table beneath). Sponsored by the C&A Foundation, this study reveals that over one third of the garment facilities identified are subcontractors and most of these amenities will not be registered with any of the native Bangladesh industry associations.

Why does this matter? What the findings of these research reveal is that as many as 3 million staff are employed in workplaces that fall outside the scope of any current monitoring or remediation mechanisms. While many native suppliers say the trade has consolidated since 2015, the findings of those two parallel research clarify that a significant number of subcontracting factories proceed to provide garments. These factories remain outside the scope of an important international factory safety initiatives that were created within the aftermath of the 2013 Rana Plaza tragedy. Among these initiatives are international umbrella organizations, the Bangladesh Accord, and the Alliance for Bangladesh Workplace Safety, each fashioned by international brands and retailers in 2013. Collectively these organizations embrace over 200 worldwide manufacturers and retailers, all of whom have made commitments to address factory issues of mesh safety vest with pockets as a way to make Bangladesh’s garment sector secure and sustainable.


In April the NYU Stern Center assessed the progress reports of those organizations and located that less than one hundred factories had been absolutely remediated below the techniques put in place by the Accord and Alliance. While some remediation efforts have begun to take place at hundreds of additional factories, it is clear that much remains to be done.

Trying to the longer term the Bangladesh Accord recently announced an extension of its mandate till 2021 but this resolution is being challenged by each the federal government of Bangladesh and by local manufactures via their trade affiliation, the BGMEA.

It's encouraging that BRAC, supported by the C&A Basis and endorsed by the BGMEA (Bangladesh’ largest industry trade affiliation), has just announced a second part of their mapping efforts, to comply with their preliminary finding of 8,000 facilities. Their plan is to make use of the identical subject research methodology and digitally map the whole trade in Bangladesh. In the event that they succeed in making a map that includes each registered services and subcontractors, stakeholders can begin to have a more informed conversation about what it takes to upgrade the sector as an entire and the place to prioritize funds.

Understanding the true scope of the issue may additionally move the dialogue beyond remediating individual factories to addressing systemic issues including infrastructure challenges. For instance, now we have identified that fixing an overstretched electrical grid will probably be crucial for creating a maintainable and useful manufacturing industry. To address these systemic issues, international finance establishments, the Bangladesh authorities, foreign donors and governments must contribute and work towards the implementation of a comprehensive factory safety plan.