Refayet Ullah Mirdha

Only 9 per cent garment factories pay wages to workers through mobile financial services (MFS) and 4 per cent through banks, according to a new study, whose findings may make it difficult for the country to digitally pay 4.1 million apparel workers overnight.

Six textile and garment-producing Asian nations have joined hands to urge global apparel retailers and brands to show responsible business behaviour during the coronavirus pandemic.

At least 15 international apparel retailers and brands have so far assured Bangladesh’s garment manufacturers that they will accept shipments of products that were previously ordered, in an effort to help the country’s exporters deal with the coronavirus fallout.

Yarn and fabrics worth Tk 3,500 crore have piled up in some 250 spinning and weaving mills because of the ongoing movement restriction to curb the spread of coronavirus.

The owners of export-oriented companies and factories can pay wages to their workers for up to three months from the Tk 5,000 crore stimulus package unveiled by Prime Minister Sheikh Hasina.

Bangladesh will remain an eligible country for the EU’s Generalised Scheme of Preferences (GSP) as the European Ombudsman has found no maladministration in a case filed over non-compliance of labour rights.

Many international clothing retailers are coming up with assurances to help garment suppliers by taking the shipment of goods that have already been manufactured or ordered, in a relief to the exporters reeling from the coronavirus fallout.

The government will disburse interest-free soft loans for two years among the export-oriented sectors from the Tk 5,000 crore stimulus package the prime minister unveiled to cope with the fallout from COVID-19.

Swedish retail giant H&M yesterday assured its garment suppliers of taking shipment of goods that have already been manufactured, much to the relief of some Bangladeshi exporters.

Two of the garment factories that are producing the critical personal protective equipment (PPE) yesterday started distributing the safety gear to doctors and nurses in various hospitals, helping them in their fight against the coronavirus.

The government yesterday said the factories making protective equipment against coronavirus or working on previous orders can remain open.

The Bangladesh Garment Manufacturers and Exporters Association (BGMEA) yesterday said its members can consider shutting factories to avoid the spread of the coronavirus.

Gerd Muller, Germany’s federal minister of economic cooperation and development, on Tuesday assured that Bangladesh’s garment sector will have his country’s full support in coping with the coronavirus fallout.

Local production of personal protective equipment (PPE) gained momentum yesterday after a joint initiative got approval from the government about the design and fabrics in a development that would boost morale of the health professionals fighting the coronavirus.

Garment workers have continued to manufacture apparel items for Western buyers despite growing fears of coronavirus contagion in the factories given the close proximity of the workstations.

Work order cancellations by international retailers due to the ongoing coronavirus pandemic have cost Bangladesh’s garment sector $1.98 billion in revenues as of yesterday, exporters said.

Bangladesh wants to secure more trade benefits from China as a least developed country (LDC) instead of signing a free trade agreement with the Asian economic giant, according to commerce ministry officials.

Bangladesh’s apparel exports to the US grew 16.09 per cent year-on-year to $637 million in January amid the US-China trade war.

Major Western clothing retailers said they are yet to cut back on their work orders from Bangladesh for the coronavirus outbreak in Europe and the US -- where most of the country’s apparel products are headed -- in a reassuring development for the sector that rakes in 84 per cent of the exports receipts and employs about 4 million.

The import of Thai products is growing in Bangladesh on the back of higher demand and good quality in a country where the consumer class is fast-expanding.