BGMEA asks global buyers to readjust apparel prices

Bangladesh Garment Manufacturers and Exporters Association President Faruque Hassan has asked global buyers to reduce the gap between retailers’ prices and apparel makers’ rising production costs – caused by high prices of raw materials.

Addressing an event titled “Sustainability of the Apparel Industry of Bangladesh: Policies, Scopes and Constraints” on Thursday, he said, “The increase in global market prices of yarn, chemicals and other raw materials has pushed up production costs in garment manufacturing.

“However, we are not getting prices in line with this context, and buyers need to close this gap.”

At the programme, organised by Solidaridad Network Asia and ESTex Foundation at a hotel in Dhaka, Faruque continued, “The RMG factories are increasingly investing in safety and sustainability, but there is a sharp disconnect between sustainability and pricing mechanisms.

“I am calling on brands and retailers to be rational in terms of pricing to make the supply chain resilient and sustainable.”

Adding that the RMG industry is not only making contributions to the socio-economic development of Bangladesh, but bringing praise to the nation too, Faruque said, “The apparel industry is spreading the “Made in Bangladesh” trade mark across the world.

“We are all proud because of it. The industry belongs to the people of this country. The development of the sector also means development for Bangladesh and betterment of its people.”

He added, “The next phase of Bangladesh’s economic growth will largely depend on the industrial sector, where the apparel industry will play a pivotal role. So it is the responsibility of everyone to protect this industry for the greater interest of our country.”

The event was held to provide a platform to policy makers and stakeholders for highlighting policy gaps, needs, constraints, exploring new opportunities and initiating pathways for implementing solutions to the environmental, social, and economic issues of Bangladesh’s apparel industry, with the aim to ensure sustainability, a press release said on Thursday.

Mohammad Hasan Arif, general manager at Bangladesh Economic Zones Authority; Selim Reza Hasan, country manager at Solidaridad Network Asia; Syed Naved Husain, group director at Beximco Ltd and Dr Mohidus Samad Khan of the EStex Foundation were present there among others.