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: American Apparel

Apparel/Garments | On 25th Feb 2017

Gildan to make some American Apparel products outside US

Gildan Activewear, which recently acquired US fashion brand American...

Courtesy: Kolon Sport

Apparel/Garments | On 25th Feb 2017

Kolon Sport to set up JV with ANTA for Chinese market

Kolon Sport, an outdoor gear and clothing brand of Korea based Kolon...

Designer Karishma Jumani with Niraj Jawanjal, founder and director of IIFW. Courtesy: IIFW

Textiles | On 25th Feb 2017

IIFW to bring together premium lingerie brands

India Intimate fashion Week (IIFW), dedicated to showcasing the...

Interviews View All

Karan Suratwala
Key Textile Accessories Private Limited

Chinese imports are destroying the supply chain

Priyanka
Studio Priyanka Rajiv

‘To reinvent the age-old tradition of embroidery to suit demographics and...

Smarth Bansal
Colorjet India Limited

We would like to venture more companies into the Indian market

Kevin Nelson
TissueGen

Kevin Nelson, Chief Scientific Officer, TissueGen discusses the growing...

Marcel Alberts
Eurofibers

Coating at a fibre level is a practice not usually seen in the...

Mohammad Hassan
Biax Fiberfilm

About one in every 20 patients picks up an infection while hospitalised....

Wendell Rodricks
Wendell Rodricks

"We should not compare India and the West. There are things we do that...

Tony Ward
Tony Ward

"You have to truly understand what your client wants, know her needs, what ...

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
February 2017

February 2017

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

SUBSCRIBE


Browse Our Archives

GO


eNEWS
Insights
Subscribe today and get the latest News update in your mail box.
Advanced Search