Thursday, September 19, 2013

Bangladesh Expected to Gain More Garment Work

Passariello states how Bangladesh has been able to stay number one garment industry that has highest potential for future sourcing, despite recent industrial disasters. Retailers are attracted to Bangladesh’s garment industry due to low minimum wage and high number of garment factories in this country. They are also foreseeing safety pacts that need to be made keeping in view the working conditions of these factories. Retailers are no more interested in sourcing from China due to rising labor costs. However, companies like Walt Disney, Co. are withdrawing their sourcing from Bangladesh due to internal disasters like the one in Rana Plaza factory. Globally, labor unrest and massive strikes are disturbing the sourcing factors, due to which Bangladesh may also raise its labor cost in near future.

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