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Hundreds of textiles waste processing businesses in Gazipur are struggling to continue operations amid the Covid-19 pandemic.
Bangladesh Garment Manufacturers and Exporters Association (BGMEA) member and Stylist Garments Managing Director Md Salauddin Chowdhury said there are 400 registered and at least 1,000 non-registered RMG factories in Gazipur.
BGMEA sources said the RMG industry produces about 4,00,000 tonnes of textiles waste every year. It is possible to earn over Tk 1,000 crore yearly by properly processing the fabric scraps.
The garment leftovers, locally known as ‘Jhoot’, are being turned into household materials such as hats, yarns, quilts, mattresses, belts, bags, oven mitts, pillows, cushions, seat stuffing, padding in cars and soft toys for children.
A research by Circular Fashion Partnership found that in 2019, Bangladesh produced approximately 577,000 tonnes of waste just from the RMG and fabrics mills. Half of it was 100 per cent pure cotton waste.
Bangladeshi factories could sell this waste to recycling market for up to $100 million, according to the research published in June this year.
Bangladesh imported 1.63 million tonnes of cotton fibre spending an estimated $3.5 billion. If the whole amount of cotton waste is recycled within Bangladesh, then imports would decrease by around 15 per cent, saving $500 million, the research found.
Govt intervention sought
The informal sector requires small investment. Local traders claimed that around 1 million people in Gazipur are involved in the garment waste processing business.
During the pandemic, the exports of products made from RMG waste as well as their local sales fell drastically.
Md Mustafizur Rahman Titu, owner of a garment waste processing unit in Gazipur, sought immediate government intervention and incentives.
“Independent fabric recycling businesses generate billions of taka in Gazipur. Although the government earns a lot from this sector, it is yet to pay us attention amid the pandemic,” he said. “The sector is suffering as the national and international sales have nosedived.”
Md Rafique Sheikh from Tongi’s Ershadnagar started his business 30 years ago with Tk 5,000. He earned a monthly profit of Tk 60,000 to Tk 70, after meeting expenses. He had to pay his 12 employees during the pandemic when business was down.
“I closed down my factory recently. There is no demand for products from Jhoot in the local and international markets anymore. I tried in vain to get loan. I’ll be able to run my factory again if the government provides cash assistance and incentives,” he said.
RMG waste recycling businesses said that the situation has been dire since the pandemic hit last year. They urged the government to recognise their craft under the Small and Medium Enterprise (SME) so that they can get loans and incentives.
BGMEA’s member Chowdhury said the survival of thousands of workers depend on these waste processing factories. “This sector has been earning a lot of revenue and it needs immediate government intervention to carry on production amid the pandemic,” he said.
Deputy Director of Bangladesh Small and Cottage Industries Corporation, Gazipur branch, Md Nazrul Islam said that they have no statistical information on this sector yet.
“If the businessmen need help, they can apply for incentives allocated for small businesses. I am sure we can help them out,” he said.
