Home / Knowledge / News / Apparel/Garments / VF Corp guarantor for Bangla safety improvement loans
VF Corp guarantor for Bangla safety improvement loans
04
Sep '14
VF Corporation, global retailer of iconic garment brands like Wrangler, Lee and Nautica, has taken a big step forward in its commitment to improve safety standards in Bangladesh garment factories.

VF will stand guarantor for $10 million in financing to be extended by International Finance Corporation (IFC) for building upgrades and fire and safety improvements in its vendor factories in Bangladesh.

These funds are part of VF’s overall $17 million commitment to the health and safety of Bangladeshi garment workers.

With the support of IFC, this program provides an innovative solution to facilitate indirect financing support from VF to help improve supplier factory safety. IFC will utilize its in-house expertise on environmental and social standards to support the effort.

The program will also enable IFC to offer loans at a reasonable cost to qualified suppliers who own factories in Bangladesh that produce VF products, helping to accelerate the implementation of needed fire and building safety improvements.

“The safety of the people making our products around the world is imperative,” says Eric Wiseman, CEO at VF Corporation.

“Our program with IFC helps to ensure that our suppliers have access to the necessary capital to complete safety improvement plans”, he informs

Qualifying suppliers will undergo structural, electrical and fire safety assessments under the protocol outlined by the Alliance for Bangladesh Worker Safety, of which VF is a member and the funding will be used to implement corrective action plans derived from these assessments.

Individual loans granted to suppliers are expected to range from $100,000 to $1 million and must address one of three applicable performance standards.

According to Serge Devieux, IFC Director for South Asia, employment in the apparel industry has reduced poverty for millions of women in Bangladesh.

He adds, “This financing model, which we think could work well for other buyers and suppliers, will help Bangladesh’s suppliers improve work conditions and strengthen the country’s ability to attract garment manufacturers.” (AR)

Fibre2fashion News Desk - India

Must ReadView All

Courtesy: Reliance Industries

Textiles | On 24th Apr 2017

Reliance’s FY17 revenue from petrochemicals up 12.2%

Increase in prices across polymers and polyester chain has...

Textiles | On 24th Apr 2017

India, Kazakhstan to increase cooperation in textiles

Indian and Kazakhstan are deliberating upon increasing cooperation in ...

Textiles | On 24th Apr 2017

GST reflects 'One nation, One aspiration' spirit: Modi

Prime Minister Narendra Modi has said that the Goods and Services Tax ...

Interviews View All

Vidhyaa Shankar. S
A Ganapathi Chettiar

'The usage of knits is getting into the boundaries of woven fabrics'

Victor Chao
Esmetex

‘In future, clothing boundary lines will become increasingly blurred.’

Prabu Mohanram
Balavigna Weaving Mills Pvt Ltd

The biggest challenge that the weaving industry faces is high price

Ashok Desai
Bombay Textile Research Association

Bombay Textile Research Association (BTRA) is a leading name in textile...

Johan Berlin
InvestKonsult Sweden AB

Investkonsult Sweden AB has been buying and selling second-hand textile...

Giorgio Mantovani
Corman S.p.A

Giorgio Mantovani, MD of Corman, with a presence in both Milano and New...

Mike Hoffman
Gildan Activewear SRL

Gildan Activewear, a manufacturer and marketer of branded clothing and...

Prathyusha Garimella
Prathyusha Garimella

Hyderabad-based designer <b>Prathyusha Garimella</b> is known for blending ...

Sonam & Paras Modi
SVA

Sonam and Paras Modi's Sva Couture is synonymous with head-turning...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


editorial@fibre2fashion.com

Letter To Editor






(Max. 8000 char.)

Search Companies





SEARCH
April 2017

April 2017

Subscribe today and get the latest update on Textiles, Fashion, Apparel and so on.

SUBSCRIBE


Browse Our Archives

GO


E-News Insight
Subscribe Today and Get the
Latest News Update in Your Mail Box.
Advanced Search