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BGMEA rejects TIB report as baseless
16
Jan '16
The Bangladesh Garment Manufacturers and Exporters Association (BGMEA) has rejected the findings of Transparency International Bangladesh (TIB) that highlighted corruption in garment supply chain. BGMEA described the report as baseless and intended to damage the image of the RMG sector.

At a press conference on January 15, BGMEA President Siddiqur Rahman protested the report of the TIB on garment supply chain.

“TIB's report on RMG sector about corruption is totally baseless, intentional, false and ill motivated and we strongly reject the findings,” Rahman said at the press briefing.

He denied the allegation of selling the imported fabrics in local markets by the garment makers.

On sub-contracts, Rahman said the garment makers execute sub-contracts with the permission from the buyers to whom they supply the products.

"So, if buyers allow sub-contracting, there is no offence in it," Rahman said.

Rahman claimed that the TIB interviewed only 74 people from RMG stakeholders but made generalised comments on the entire sector.

TIB's report released on January 14 said the supply chain of the country's biggest export earner is plagued by irregularities and corruption for which global apparel buyers are also responsible.

The anti-corruption watchdog detected anomalies at 16 stages -- from order placement to shipment -- in the apparel supply chain.

According to the TIB, irregularities and corruption at different stages of the chain have become almost a custom in some cases. And various stakeholders, including factory owners, buyers, auditors and inspectors, are involved in it.

The TIB prepared the report based on information gathered from November 2014 to April last year through interviews of stakeholders, including buyers and global brands or their agents, garment factory owners and exporters, workers, compliance auditors, factory inspectors, merchandisers, shipping agents and bankers.

It conducted the study jointly with Transparency International, Germany.

The TIB said this is a qualitative study through which it could detect the stages of corruption in the supply chain of garment industry. It didn't quantify the amounts of illegal transactions that take place in the supply chain. (SH)

Fibre2Fashion News Desk - India

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