Terming the progress in the ongoing remediation in the country’s apparel sector ‘slow’, the Alliance for Bangladesh Workers’ Safety said on Thursday that it made remediation verification visits (RVVs) only to couples of factories by the deadline of July last.
Out of the eight readymade garment (RMG) factories visited, the Alliance found six units that fully completed the required remediation work.
The factories are-Green Textile Ltd, Kwun Tong Apparels Ltd, Laundry Industries, Lenny Apparels, Optimum Fashions Ltd and Uni Vogue Ltd.
The platform of North American apparel retailers and buyers set a target in March last to complete all remediation and final inspections at about 600 of its supplier factories by July 2017. It also expected to complete final inspection at least at 10 per cent of its listed units by July 2015.
The RVV could not be made at the targeted factories as the flaw-fixing programme has been advancing slowly mainly because of various reasons, including the political instability during the first quarter of 2015 that hampered the import activities and also created difficulties for the manufacturers to run their businesses, the group said.
“Remediation is moving little more slowly for various reasons. Bangladesh is not a fire-door producing country which is very important and it needs expertise to install within the set timeframe which is also not so available,” Executive Director of Alliance James Moriarty said at a press briefing held at a city hotel.
The initial inspection found both major and minor flaws, he said, however, expecting that all the remediation work would be completed by 2018.
At the briefing they also released its second annual report that highlighted the important progress made over the last two years, identified challenges and committed continued collaboration with all stakeholders to make reforms sustainable.
After completion of initial inspection, the Alliance found that on an average only 32 per cent of the required remediation was done while it conducted second verification at about 17 factories. The rate of remediation was 87 per cent at the 17 units.
Regarding funding for the factories to help remediation, Mr Moriarty said that they also recognised that cost of doing business was also important.
“By making financing more widely available and affordable and working with factory owners to make necessary repairs, the Alliance is making factories safer for millions of workers,” he added.
US Agency for International Development (USAID) Bangladesh Mission Director Janina Jaruzelski said they were in discussion with two local banks to provide fund for factories, especially those of small and medium categories.
The $18 million fund would take its final shape at the end of the month and it would be in addition to the $50 million that the IFC was giving, the Alliance said.
Salam Murshedy President of Exporters Association of Bangladesh, who also was present there, said a good number of manufacturers were not availing the IFC fund as they do not have any business with the IFC-nominated bank.
He requested the Alliance to look into the issue and make the fund available for all its member factories.
Replying to a question, Mr Moriarty, however, said the Alliance’s high officials were in Dhaka to discuss with the concerned government agencies, makers and other related ones how the activities of the western retailers would be continued after 2018, especially how to address the issues including continuation of inspection, remediation and its standards.
While taking to the press after a meeting with Commerce Minister Tofail Ahmed at his Secretariat office on the day, the visiting Alliance boss assured him of the platform’s continued support and cooperation with the government of Bangladesh and apparel makers to address the work place safety issues.
Bangladesh made significant progress in the country’s apparel sector safety and the demand for Bangladesh’s apparels was increasing in the global markets. The US would continue its support for Bangladesh’s development, James Moriarty said.
The government approved 400 trade unions in last two years in the country, Commerce Minister Tofail Ahmed said.
“We gave approval of 400 trade unions in the country. We completed database and some 16 conditions have been fulfilled,” he said.
“There is no obstacle to getting back the GSP facility in the US markets as we have fulfilled all 16 conditions. We have no pending any conditions,” the minister said.
“The United States Trade Representative (USTR) will arrive in the country. They will inspect the working safety of the country’s apparel factories and talking with the workers concerned. They will be happy to see the country’s apparel factories’ improvement. They will restore the Generalised System of Preferences (GSP) facility in favour of Bangladesh after inspection,” the commerce minister said.
“We have no conflict with the Accord and Alliance. We have good relations with them. The country’s present situation is normal. Political and economic situation is also good. The apparel buyers are getting back the confidence,” he added.
“It is not possible to do trade union activities in the country’s Export Processing Zones (EPZ) by pressing any one. We have allowed Workers’ Welfare Association (WWA) in the EPZ areas and that is like a trade union. The WWAs comprise representatives of factory owners, workers and government officials,” he said.
Senior secretary of the commerce ministry Hedayetullah Al Mamoon, four representatives of the Alliance for Bangladesh Worker Safety (Alliance) including James Moriarty were also present then.
