Home Apparel 9 more RMG units lose ties with buyers

9 more RMG units lose ties with buyers

The number of readymade garment factories in which global buyers cut business relations on charge of failure in fixing safety faults reached to 187 with suspension of nine factories by the North American retailers’ group in December 21-27. The Alliance for Bangladesh Worker Safety has suspended the nine factories in Chittagong and Gazipur from its supplier list on charge of failure to make adequate remediation progress and to remove lockable exits. With the new nine the total number of suspended units by the Alliance reached to 117. On the other hand, the Accord on Fire and Building Safety in Bangladesh, the platform of European buyers’ and retailers’ group, terminated business relations with 70 production units of 47 supplier companies. The nine factories with which the Alliance cut business relations in December 21- 27 are: OFMA Camp Limited, Warm Fashion Ltd, Quality Fashion Wear Limited, Ritzy Apparels, Sun Washing Plant, Apollo Sewing and Garments Ltd, Gous Fashion Ind Ltd and Fairy Fabric Printing in Chittagong and Deva Limited in Gazipur. The Alliance in an announcement said that the factories had failed to show evidence of remediation to the platform and failed to remove lockable exits. It said that lack of communication with the retailers’ platform also a reason for cutting the business relations. After the Rana Plaza building collapse, which killed more than 1,100 people, mostly garment workers, in April 2013, North American retailers, including top brands Walmart and Gap, formed the Alliance and European retailers formed the Accord undertaking a five-year plan which set timelines and accountability for inspections and training and workers’ empowerment programmes. The Alliance has so far inspected at 759 factories while the Accord inspected more than 1,600 factories. Following inspection the buyers platforms provided corrective action plan to the factories to ensure fire, electrical and structural safety. According to the statistics provided by the retailers’ groups, 46 of Alliance supplier factories completed remediation through fixing all material components outlined in their corrective action plans while 41 Accord-listed factories completed its remediation successfully. During the inspections both the Alliance and the Accord found serious structural faults in 106 factories and sent the list of the units to the government-set review committee suggesting immediate evacuation. Out of 106 factories 35 were closed as per the recommendations from the experts of the review panel comprising representatives from the government, the Accord, the Alliance, the Bangladesh University of Engendering and Technology and the Bangladesh Garment Manufacturers and Exporters Association.