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Labour unrest costs Bangladesh garment industry nearly USD400M

DHAKA (XINHUA) – The recent labour unrest that erupted in several major readymade garment industrial hubs on the outskirts of Bangladeshi capital Dhaka caused damage worth nearly half a billion US dollars.

“We’ve suffered a production loss of around USD400 million due to the unrest in September and October,” President of the Bangladesh Garment Manufacturers and Exporters Association (BGMEA) Khandoker Rafiqul Islam said during a press conference in Dhaka on Saturday.

He stressed the importance of maintaining law and order in the industrial hubs as factories are currently operating as usual.

However, work orders from major international clothing retailers and brands have returned to normalcy after volatility of the weeks due to labour unrest, he said.

Hundreds of ready-made garment factories in Bangladesh’s Ashulia and Gazipur industrial hubs were shut due to labour unrest which had then persisted for weeks.

Tens of thousands of workers have reportedly waged protests over various demands, including bonus for their attendance, tiffin allowance, stopping workers’ termination and other benefits.

Bangladesh has emerged as a significant player in the global garment industry, securing its position as the second-largest garment exporter worldwide after China.

The South Asian country has some 3,500 garment factories, which account for about 85 percent of its around USD50 billion in annual exports, supplying many of the world’s top brands.

According to the BGMEA, 80 per cent of some four million workers employed in ready-made garment factories are women.

Women work at a garment factory in Bangladesh. PHOTO: AFP
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