Home / Knowledge / News / Apparel/Garments / 'Better margin must to improve sustainability compliance'
'Better margin must to improve sustainability compliance'
17
Aug '15
Courtesy: CPD
Courtesy: CPD
Bangladeshi apparel industries should allocate additional margin for compliance in order to ensure labour welfare and thus increase sustainability of the sector, says a report of the country's Centre for Policy Dialogue (CPD).

Strengthening government's institutional mechanism and social audit system set up by buyers and retailers would be essential to inspect factory-level compliance and maintain international standards.

The observations emerged from a dialogue on “Bangladesh Apparels Sector: Does Margin Matter for Ensuring Compliance?” organised by CPD in partnership with Friedrich Ebert Stiftung (FES), Bangladesh Office, Dhaka recently.

FES resident representative Henrik Maihack called for fair wages, rights to unionism and government's role in ensuring justice in the apparels industry and doing what is economically possible and socially necessary.

CPD chairman Professor Rehman Sobhan observed that increasing export competitiveness at the cost of workers' wellbeing is socially unjust and politically unsustainable. He proposed making the workers shareholders to positively include their contribution in the Global Value Chain (GVC) and thus make the industries sustainable.

CPD additional research director Dr Khondaker Golam Moazzem shared findings from a CPD study which explored possible linkages between allocation of margin and maintaining firm level compliance. The study investigated whether compliance is being compromised in Bangladesh's apparels sector, which is benefitting the market agents of the value chain.

The study revealed that a disjointed value chain is in operation in the apparels value chain of Bangladesh because existing structure and market forces put little emphasis on compliance. Expenditure in compliance is extremely low in comparison with other countries and in contrast with investments in industrial raw materials including fabric.

Another delegate, Ms Rubana Huq, MD of Mohammadi Group observed that due to high cost, maintaining compliance standards would remain challenging, especially without apparels industries regulating themselves by addressing real compliance issues instead of protecting reputation for business.

Industries need to promote descent and productive employment, improve working condition and in this way, agree on sharing the profit with the workers, observed another delegate, Syed Sultan Uddin Ahmmed, assistant executive director, Bangladesh Institute of Labour Studies (BILS).

Former BGMEA president Anisur Rahman Sinha,felt that compliance is of least importance on the buyers' side, who instead prioritise product quality, delivery time and low price. After bearing the expenditure in extra freight, import and custom duties for fabric, cost cutting in labour remains the only solution. He cautioned that entrepreneurs need consider margin and sustainability before compliance, which is a non-negotiable requirement and not a choice. (SH)

Fibre2Fashion News Desk – India


Must ReadView All

Courtesy: Business wire

Textiles | On 28th Jul 2017

Taiwan launches new products at Outdoor Retailer show

The Taiwan External Trade Development Council (TAITRA) hosted the...

Textiles | On 28th Jul 2017

Clariant, Huntsman present update on planned merger

Clariant and Huntsman Corporation have presented a first update on...

Fashion | On 28th Jul 2017

Kering’s first half consolidated revenue up 28.2%

Kering has announced a consolidated revenue of €7,296.2 million for...

Interviews View All

Sanjay Yagnik
Maa Tex Speciality

‘We suggest reducing dosage of sizing chemicals to reduce sludge...

Nitin Bhatia
Trend Arrest

Setting up a brand for online selling is easy, but running the brand is not

Karin Ekberg
Leadership & Sustainability

Sustainable models are beneficial for brands, retailers and manufacturers

Iago Castro Asensio
RCfil Distribuciones S.L.

Iago Castro Asensio, International Business Manager of RCfil...

Marten Alkhagen
Swerea IVF AB

Marten Alkhagen, Senior Scientist - Nonwoven and Technical Textiles of...

Larry L Kinn
Suominen Corporation

Larry L Kinn, Senior Vice President - Operations Americas of Suominen...

Aditi Somani
Aditi Somani

Aditi Somani specialises in luxury fusion wear with international cuts and ...

Rupa Sood and Sharan Apparao
Nayaab

Nayaab, an exhibition meant to celebrate Indian weaves, is in its second...

Igor Chapurin
Chapurin

"Now we can see the Russian trend in international fashion. And Russian...

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

July 2017

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

news category


Related Categories:

Planning to Take the Leap towards
Sustainability?

Do you see sustainability as a route to business growth?

Yes No

Do you think the sustainability space has the needed tools and resources available for a business to lead change?

Yes No

Active Poll

Do you see sustainability as a route to business growth?

Yes
61.1%
No
22.2%
Skip
16.7%

Total Votes: 18

Do you think adopting a sustainable approach will be a profitable move for your business?

Yes No

Active Poll

Do you think the sustainability space has the needed tools and resources available for a business to lead change?

Yes
33.3%
No
44.4%
Skip
22.2%

Total Votes: 18

Do you want the world to know about your sustainability journey and your business’ environmental footprint?

Yes No

Active Poll

Do you think adopting a sustainable approach will be a profitable move for your business?

Yes
83.3%
No
5.6%
Skip
11.1%

Total Votes: 18

Thanks for your valuable feedback. Claim your free latest sustainability e-book.

Active Poll

Do you want the world to know about your sustainability journey and your business’ environmental footprint?

Yes
50.0%
No
11.1%
Skip
38.9%

Total Votes: 18


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



X