Apparel Online Bangladesh Magazine May Issue 2019 | Page 42

BANGLADESH CANVAS
ACCORD’S EXIT AND PROBABLE SOURCING SHIFT
Probability of the buyers’ body exiting Bangladesh sooner or later getting strong; brands/retailers
are reportedly weighing other sourcing options
A
ccord, at best, seems set to
go following the Bangladesh
Supreme Court order to leave the
country, on the pretext that the
home-grown national regulatory body
Remediation Coordination Cell is
capable of taking over its work.
Bangladesh Accord on Fire and
Building Safety, in response has
appealed the decision, which as per
experts is its last resort to ensure if
it can stay put for some more time
before calling it a day! And as it would
have been, the court proceedings are
yet to show any signs of conclusion
with dates of hearing getting deferred
time and again. Nonetheless, the
tug-of-war between Bangladesh and
the retailers’ body reaching a climax,
counter allegations of Bangladesh’s
lack of preparedness to take over
the unfinished work of Accord is
flying thick and fast amidst fears that
Accord deciding to wind up operations
in Bangladesh will come with the
threat of a sourcing shift!
As per a report published by the Clean
Clothes Campaign, the International
Labor Rights Forum, the Maquila
Solidarity Network and the Worker
Rights Consortium, Bangladesh is
apparently far from being prepared
in taking over from Accord the
remediation work.
According to it, Bangladesh “shows
a shocking level of unreadiness”
with around 745 factories under the
Government’s inspection programme
“yet to eliminate high risk safety
hazards.”
What’s more, the report further
claimed that Bangladesh has failed
to shut down factories that were
deemed dangerous. “But today half
of these same facilities operate again
under the Government’s inspection
programme. There is no indication
in the Government’s own records
that any safety improvements have
been made to these factories,” the
report claimed, adding, “Currently,
international stakeholders across
the board agree that Bangladesh’s
national inspection agencies do not
yet meet the expected standard when
it comes to transparency, monitoring
or enforcement.”
However, the lack of clarity as to
whether Bangladesh can successfully
handle the transition without
compromising on the remediation
process and standards, has reportedly
sowed seeds of doubts amongst
brands and retailers, who are
apparently weighing other options
as far as their sourcing strategy is
concerned.
Norwegian company Kid Interiør has
reportedly reiterated that it is
“committed to safe working conditions
in Bangladesh and Accord is one of
the most important measures to make
sure this happens in a fair and cost-
effective way,” while German retailer
KiK on its part reportedly maintained,
“The considerations of the
Government of Bangladesh to send the
Bangladesh Accord out of the country
disappoint us very much. The work
of the Accord has been immensely
successful and the progress should
not lose speed.” 
Apart from Kid Interiør and KiK,
several other big names including
the likes of Esprit, H&M, Adidas and
Inditex have also reportedly come out
in support of Accord’s continuance,
indicating in no uncertain terms
that with Accord moving out of
Bangladesh, brands and retailers
would rather be looking at other
viable options for the future.
It may be mentioned here that
the Bangladesh Accord is a
legally binding pact signed by 200
fashion companies following the
infamous Rana Plaza building
collapse, which claimed lives of
1,100 garment workers.
With little signs of court proceedings
ending anytime soon, manufacturers
Apparel Online spoke to underlined
that considering the existing scenario,
they are hopeful of its continuation for
a year, if not more.
So for the time being, they could heave
a sigh of relief, it seems.
42 Apparel Online Bangladesh | MAY 2019 | www.apparelresources.com