This week’s meeting of the Sustainability Compact brings together stakeholders from all aspects of Bangladesh’s RMG industry. It is an important occasion for participants to review the bigger picture. Since the Rana Plaza disaster, the sector has shown significant adaptability and resilience by acting to improve safety and competitiveness. The most recent Buyer’s Forum meeting noted broad satisfaction, with progress being made by the Accord and Alliance stakeholder safety initiatives in improving workplace conditions. With more Chinese manufactures looking to outsource production, Bangladesh’s RMG sector is well placed to move towards its target of doubling export value to $50 billion by 2021. It is vital then the sector is assured of sufficient funds to continue investment in remediation and new factories. To date, most of the cost of factory improvements has been shouldered by factory owners and workers.Big brands and buyers also need to play their part by investing in more long-term relationships and orders to safeguard the sector’s ability to keep upgrading standards and productivity. Large brands and buyers must avoid the temptation to use ongoing challenges as a stick to drive down prices. A global “race to the bottom” is not sustainable. Relentless price cuts only exacerbate similar challenges to those faced by Bangladesh’s garment industry in other countries. It is in the common interest of buyers and factory owners and workers alike for Bangladesh’s garment industry to improve its standards, as consumers and buyers will also gain from higher standards through improvements in productivity.
