Bangladesh’s textile and apparel industry, has grown remarkably, reaching record monthly exports of US $ 4.6 billion in November and December 2022. Bangladesh’s textile and garment exports, which were valued at US $ 29.8 billion in 2020, put it in third place internationally. Two years later, it reported exports of US $ 49 billion, a strong growth rate of 64 per cent.
The head of Vinatex, the biggest manufacturer of textiles and clothing in Vietnam, Le Tien Truong, credits this “Bangladesh phenomenon” to consistent investments made since 2018 in cutting-edge, effective production techniques. According to the U.S. Green Building Council, Bangladesh has 230 factories certified by LEED (Leadership in Energy and Environmental Design) as of August 2024, with 40 per cent of them achieving the esteemed LEED Platinum designation. Moreover, an additional 500 factories are currently pursuing comparable accreditation.
According to Truong, Bangladesh’s success is a result of its dedication to environmentally friendly production, as well as labour stability and productivity gains made possible by the availability of a reasonably priced labour pool. He believes that this is an important lesson for Vietnam, since, despite the country’s 13,000 businesses and more than 50,000 manufacturers, just 10 per cent of the 619 enterprises with LEED certification are in the textile and apparel industry.
The huge financial outlay needed to update factories and obtain green certifications presents a hurdle for Vietnamese companies. Ample manufacturing space, solar power installation, enough fresh air circulation, and green areas are essential components that are necessary for the productivity and well-being of employees.
With over 100 billion goods produced annually and over 90 million tonnes of solid waste generated, the textile and apparel sector is a major source of garbage that is expected to increase to 150 million tonnes by 2030. Of this garbage, only 20 per cent can be recycled. In response, big fashion retailers like Zara, Levi’s, Uniqlo, and H&M are establishing challenging sustainability goals. For example, Adidas wants half of its goods to be created from recycled materials, and H&M wants to source 30 per cent of its materials from recycled sources by 2025.
Even if there aren’t any laws requiring a certain per centage of recycled materials in textile items, green production is unavoidable, particularly in developed countries where laws are expected to be implemented shortly. In order to maintain the integrity of their supply chains, producers and purchasers are getting ready for these changes.
It is anticipated that Vietnam will take five to ten years to make the shift to green production. Truong underlines that Vietnam’s products run the risk of becoming outdated in a market that is getting more and more regulated by green standards if this transition is not started right now.
Vietnamese textile and apparel industries need to invest heavily in green and sustainable production methods now in order to ensure sustainable development over the next few decades. Recent efforts by Vinatex to upgrade energy efficiency and yarn manufacturing technologies have already resulted in a 15 per cent decrease in water usage during the dyeing process and a 20 per cent reduction in electricity consumption per kilogramme of yarn.
