Bangladesh's garment industry resumes operations amid political unrest

08 Aug '24

2 min read

Bangladesh's garment industry resumes operations amid political unrest

Pic: Adobe Stock

Insights

Bangladesh's RMG industry is resuming operations, with factory owners expressing cautious optimism.
Key industry players have reported a return to normalcy, but concerns remain about potential long-term impacts.
Raihan Mahmud noted that while buyers are understanding, there is a risk of orders shifting to other countries if stability isn't ensured soon.

Despite the recent political unrest in Bangladesh, the country’s vital readymade garment (RMG) industry is gradually resuming operations, with factory owners expressing cautious optimism about the future. Key stakeholders in the industry have shared their perspectives on the current situation and its potential impact on garment production and international trade.

Ahammed Ali Babu, director of marketing & merchandising at Blue Planet Group, confirmed that garment factories under their management have resumed operations as of today. "All is now under control and hope will continue smoothly," Babu told Fibre2Fashion, signalling confidence in the stability of the situation.

Similarly, SiATEX (BD) Limited, another significant player in the industry, has reported a return to normalcy. "Please note here, everything is under control, and all garment factories are open and working!" said Anupam Dutta.

However, the political scenario's impact on the industry cannot be ignored. Raihan Mahmud, owner of Tex Garment Zone, a major player in the apparel sector of Bangladesh, highlighted concerns despite resuming operations. "Yesterday we found worker attendance at 80 per cent after remaining closed from August 5 to 6," Mahmud told F2F. He expressed concerns about the long-term implications if the unrest continues, noting that buyers are currently understanding but have requested extra efforts to ensure timely deliveries.

Mahmud further stated, “If the situation continues, long term order placements might be uncertain, and they may shift orders to Pakistan, India and China. We hope interim government will be established today and they will make sure enough security for all factories and restructure the administration.”

As the political situation evolves, the resilience of Bangladesh’s garment industry will be put to the test, with its ability to maintain production and meet international demands hanging in the balance.

The RMG industry is vital for the country as it accounts for 80-85 per cent of its foreign exchange earnings.

Fibre2Fashion News Desk (KD)

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