Sustainable business model in RMG sector key to growth

The apparel sector in the country has to concentrate on a sustainable business model where the key focus should be on using less national resources and ensuring workers’ wellbeing, said stakeholders.

They also called for adoption of technology on large scale to meet the goals of sustainable apparel industry.

Representatives of global fashion brands, apparel leaders and diplomats came up with the remarks while addressing a session titled ‘RMG Sector Roadmap: Towards a Prosperous Future’ on the first day of Dhaka Apparel Summit on Tuesday.

Bangladesh Garment Manufacturers and Exporters Association (BGMEA) organized the event in partnership with Bangladesh Apparel Exchange (BAE). 

BGMEA Vice-President Miran Ali moderated the session.

European consumers are particularly focusing on sustainability and the business model should be sustainable. There are challenges such as social crisis and innovation, said Francisco Javier Losada Montero, Chief Sustainability Officer of Inditex.   

Innovation should be a major tool to overcome the challenge while technology could be a source of innovation, he said.

Bangladesh has to move towards sustainable raw materials and become more efficient in using energy, water and other natural resources and protect bio-diversity to move towards further growth, said Francisco. 

Collaboration between buyers and suppliers will be the key to tackling the challenges, he added.

He also emphasizes on addressing social facts such as workers’ wellbeing to reach the goal.

Production process is changing rapidly because of technology. “We are working to meet diverse needs of customers and provide values to customers,” said Rita Lohani, Director for Operations, Walmart Sourcing, Bangladesh.

“We should think about how to produce more products by using less natural resources. It is important to ensure business environment to attract Foreign Direct Investment and to give a boost to investors’ confidence,” he added.

Right now, sustainability is the key word, said Kutubuddin Ahmed, former BGMEA president. In a research it was found that 67 percent consumers want sustainable products in apparel category as well as other goods. While another research showed 20 consumers want brand items, said Ahmed.

“We have to pass the first phase of sustainability where we have a great advantage as Bangladesh has the highest number of certified green factories,” said Ahmed.

In the second phase, works on energy, chemicals, workplace and workers’ safety will come. Buyers and brands have to be careful about it, said the business leader.

“We are the second largest apparel exporter but there is a huge gap between Bangladesh and China, the number one exporter (China) in the world. We have huge potentials to grow but this has to be achieved through attainment of sustainable goals as the brands and consumers are more caring about sustainability,” he noted.