Wednesday, May 22, 2013

Elephant May Give Duty-Free Access To Royal Bengal Tiger!!


In move to enhance trade between two Asian nations (BANGLADESH-THAILAND),
Thailand may give duty-free access to some selected Bangladeshi products.

Bangladesh’s commerce ministers GM Quader hopes and highlighted in his
statement that, Thai government will approve the duty waiver for selected
Bangladeshi products.


During Honorable Thai Prime Minister’s Yingluck Shinawatra last visit (December 2012) to Bangladesh, he decided to diminish the trade discrepancy between the two Asian countries.

It’s also the part of a plan to double two-way trade to near about $2 billion by 2016. 


Elephant (national animal of Thailand).JPG


Royal_bengal_tiger (national animal of Bangladesh)


Monday, May 13, 2013

Good News for Bangladeshi Garment Workers.




Salary Hike Started of Bangladesh Garment Workers.


Source: Local TV channels, News Papers

Bangladesh has some of the lowest wages in the world and the second largest apparel exporter in the world after China. But now a day, Ready-Made Garment (RMG) sector faces severe blow in global market for Savar tragedy (an eight storied building named Rana Plaza crumbling down at Savar and left over more than eleven hundred garment workers dead).

People's Republic of Bangladesh Government, Bangladesh Garment Manufacturers and Exporters Association (BGMEA) and Bangladesh Knitwear Manufacturers and Exporters Association (BKMEA) 
work together to clean up the country’s image on the 
global stage after this tragedy.

Bangladesh Government has decided to form a new minimum wage board for garment workers which will effect from 1st May 2013.

After a meeting with garment owners, labour leaders and other ministers at the secretariat on 12th May 2013, Textiles Minister Abdul Latif Siddique announced the government’s decision. He noticed that Prime Minister Sheikh Hasina had made the decision and he didn’t know details about the matter.
Garment owners, the industry leaders strongly opposed the decision initially but agreed later.
They told that they are not in a position at this moment to hike the wages of workers considering business down owing cause of political unrest and global recession.

After an emergency meeting with Labour and Employment Minister Rajiuddin Ahmed Raju, they agreed to the government decision. BGMEA President Atiqul Islam said - “If the wage board recommends increasing salaries from May 1, we will do that.” BKMEA President AKM Salim Osman said that they have no objection. Nazma Akhter, president of Sammilito Garment Sramik Federation welcoming the decision and demanding immediate implement.

Sequences the hike of minimum wage as below

New one would be the 4th wage board of Bangladesh. 

As a part of clean up the country’s image, BGMEA sent a letter to Pope Francis with respect to dispute Pope’s comments on Bangladeshi garment workers as “Slave Labour”. They highlighted in their letter, that there is no slavery system in Bangladesh and country’s law also don’t allow slavery”.
The Pope blame the garment owners by the Vatican radio  quoted as “Not paying a fair wage, not giving a job because you are only looking at balance sheets, only looking to make a profit”.  

First Bangladeshi Nobel Peace Prize winner Professor Muhammad Yunus also appeals to Help Bangladesh's Garment Industry (Savar tragedy, garments industry and Bangladesh). He proposed to fix a minimum international wage jointly with foreign buyers for the industry. 



He quoted – Bangladesh's garment industry must be reformed, not destroyed. 

Sunday, May 12, 2013

Mother’s Day Is Not One Day A Year - But Should Be Everyday In Our Life


According Islamic views, I thing that there is no need one day to celebrate as Mother’s Day. You should celebrate every day in your whole life. First of all let me show

How Mothers/Parents are viewed in Islam?

Allaah (SWT) Says -
“And We have enjoined upon man, to his parents, good treatment. His mother carried him with hardship and gave birth to him with hardship, and his gestation and weaning [period] is thirty months. [He grows] until, when he reaches maturity and reaches [the age of] forty years, he says, “My Lord, enable me to be grateful for Your favor which You have bestowed upon me and upon my parents and to work righteousness of which You will approve and make righteous for me my offspring. Indeed, I have repented to You, and indeed, I am of the Muslims.” [Verse 15 from chapter 46]


Your Lord and Sustainer has decided for you that you do not worship any but Him, and (He has determined) beautiful conduct to the two parents. If one or both of the two of them reaches the greatness of age, so do not say a harsh word to them, but speak to them generously. And lower the wing of humility, out of gentleness, and say, "My Lord and Sustainer, be gentle to them just as they cherished me when I was small." – [Surah al-Isra ayat 23-24]”


In another ayah in Surah al-An'am
(O Prophet) say, "Come, I will read out to you the sacred rules your Lord and Sustainer has given you: That you do not associate anything as a partner with Him. That you give beautiful conduct to the two parents. That you do not kill your children fearing flat poverty - We will provide for you and for them. That you do not even go near lewdness, neither the obvious nor the hidden. That you do not kill the life that Allah has made sacred, except in the truth (of what has been commanded). That is what He has enjoined upon you in order that you become intelligent. – [Surah al-An'am ayah 151]

“Your Lord has decreed that you worship none but Him, And that you be kind to parents. Whether one or both of them attain old age in your life, Say not to them a word of contempt, nor repel them, But address them in terms of honor. And out of kindness, Lower to them the wing of humility, and say: 'My Lord! bestow on them Your Mercy as they Cherished me in childhood' "
(Quran 17:23-24).


Prophet Muhammad (Peace and Blessings Be Upon Him)
Said [Al-Hadith]

·        A man came to the Prophet Muhammad (peace and blessings be upon him) and said: O Messenger of Allah, Who from amongst mankind warrants the best companionship from me? He replied: "Your mother." The man asked: Then who? So he replied: "Your mother." The man then asked: Then who? So the Prophet (peace and blessings be upon him) replied again: "Your mother." The man then asked: Then who? So he replied: "Then your father."
[Sahîh Bukhârî 5971 and Sahîh Muslim 7/2]

·        Abu Hurayra (RA) said:
"A man came to the Prophet of Allah, may Allah bless him and grant him peace, and asked, 'What do you command me to do?' He replied, 'Be dutiful towards your mother.' Then he asked him the same question again and he replied, 'Be dutiful towards your mother.' He repeated it yet again and the Prophet replied, 'Be dutiful towards your mother.' He repeated the question a fourth time and the reply was, 'Be dutiful towards your mother.' Then he put the question a fifth time and the Prophet said, 'Be dutiful towards your father.'"
[Sahih Al-Bukhari]

·        Abu 'Amr ash-Shaybani said:
"The owner of this house (and he pointed at the house of 'Abdullah ibn Mas'ud) said, "I asked the Prophet, may Allah bless him and grant him peace, which action Allah loves best. He replied, 'Prayer at its proper time.' 'Then what?' I asked. He said, 'Then kindness to parents." I asked, 'Then what?' He replied, 'Then jihad in the Way of Allah.'" He added, "He told me about these things. If I had asked him to tell me more, he would have told me more."
[Sahih Al-Bukhari]

·        Talhah ibn Mu'âwiyah as-Salamî said:
Ten Easy Ways To Enter Paradise
I came to the Prophet Muhammad (peace and blessings be upon him) and said, "O Messenger of Allah, I want to perform Jihad in the way of Allah. He asked, "Is your mother alive?" I replied, "Yes." The Prophet then said: "Cling to her feet, because paradise is there." [at-Tabarânî]

·        A man once consulted the Prophet Muhammad (peace and blessings be upon him) about taking part in a military campaign. The Prophet asked the man if his mother was still living. When told that she was alive, the Prophet said: “(Then) stay with her, for Paradise is at her feet.” [Al-Tirmidhi]
Ø Shaykh Nidhaam Sakkijihaa Explain:
Cling to her feet means to submit yourself to your mother, protect her, be close to her, serve her because in this is Paradise and with her satisfaction you will enjoy the good blessings of Allah.
[Sakkijihaa, Honoring the Parents, p. 52]

·        Abu Usaid Saidi: We were once sitting with Prophet Muhammad (peace and blessings be upon him) when a man from the tribe of Salmah came and said to him: O Messenger of Allah! do my parents have rights over me even after they have died? And Rasulullah (peace and blessings be upon him) said: Yes. You must pray to Allah to bless them with His Forgiveness and Mercy, fulfill the promises they made to anyone, and respect their relations and their friends [Abu Dawud and Ibn Majah].


According to above references we can say that the Prophet (peace and blessings be upon him) ahead the importance of the mother over the father by repeating “your mother” three times (in first hadith) and illustrates up to five times (in second hadith) then saying “your father” in response to the man’s question.

In third and fourth hadith Prophet Muhammad (peace and blessings be upon him) highlights the importance of the mother caring over going to war to defend religion (Islam).

Every mother has to go through the problems of pregnancy and severe pains of delivery. Considering mother’s difficulties of pregnancy, labor, caring and breastfeeding those are not necessary for a father - Prophet (peace and blessings be upon him) has given more rights to the mother than anybody else.

Be Thankful To Your Mother

The Prophet Muhammad (peace and blessings be upon him) said on another occasion: “Allah has forbidden for you to be undutiful to your mothers.” (Sahih Al-Bukhari) that means that disobedience of mothers is a sin.

According Al-Quran and hadith we can say that cause of the responsibilities towards child, mother/women is accorded a higher honor than even the father/man in Islam.


Allah (SWT) and the Messenger of Allah Prophet Muhammad (peace and blessings be upon him) clearly said what should to do and what should not to do. 




If you know how mothers/women are viewed in Islam and other religion, 
please share your view.




I’m Proud to Be a Muslim. If you feel so, Please Share it.




Mother Always Worriers About You


Friday, May 10, 2013

A Woman Rescued After Spending 17 Days Trapped Under Eight Stories Collapsed Building


Miracle of Allah (SW)

A woman named Resma was rescued today 10th may 2013,  after spending 17 days trapped under the rubble of Rana Plaza, a eight stories building that collapsed on April 24 and killing more than 1,000 people.


She had been rescued and now taken to Combined Military Hospital's (CMH) ICU.

Rescue man said that total 45 minutes taken to pull her alive. 


Reshma, was discovered in a Muslim prayer room (a room that used for Salat/Namaz like mosque by garments workers and others on this building) on the second floor of the eight-storey building’s wreckage.

She heard voices of the rescue workers for the past several days and kept hitting the ruins with sticks and rods just to attract their attention but no one heard her. “I never dreamed I'd see the daylight again," she told a local TV channel from her hospital bed.

Reshma also noticed that there were no more survivors in her area.

"Allah, you are the greatest, you can do anything. Please allow us all to rescue the survivor just found," said a man on a mike leading the prayers. "We seek apology for our sins. Please pardon us, pardon the person found alive."


Bangladeshi Prime Minister Sheikh Hasina talked through mobile phone with Resma and She already on the way to CMH to meet with her.





Resma was rescued today 10th may 2013,  after spending 17 days (408 hours)trapped under the rubble of Rana Plaza, a eight stories building that collapsed on April 24 and killing more than 1,000 peoples.





Bangladeshi television SHOMOY TV,  Channel 24, Ekattur TV and other channels broadcast live footage of emergency service workers pulling the woman from the collapsed building,





ALLAH IS ALMIGHTY
"Allah, you are the greatest, you can do anything"
"We seek apology for our sins. Please pardon us"


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Thursday, May 9, 2013

Savar tragedy, garments industry and Bangladesh


Bangladeshi Nobel Peace Laureate (Nobel Peace Prize: 2006), banker and economist Dr. Muhammad Yunus proposed for Save Bangladeshi Garments industry to it’s Government , Civilian, Owner of garments factories and also to foreign buyers after Savar Tragedy (See some pictures of Savar tragedy). At this tragedy, the death toll reached more than 850 and still dead bodies coming out endlessly. In this situation, I think the proposal of Yunus should accept by all of us to save our garments sector, to ensure our economical growth. So that I want to spread his proposal and share with you..

His proposal is as follows:
                http://www.thedailystar.net

First Bangladeshi Nobel Peace Prize-2006 recipient - Dr Muhammad Yunus

Savar tragedy, garments industry and Bangladesh
(By - Muhammad Yunus)


1.0 Savar tragedy is a symbol of our failure as a nation. The crack in Rana Plaza that caused the collapse of the building has only shown us that if we don’t face up to the cracks in our state systems, that we as a nation will get lost in the debris of the collapse.

Today the souls of those who lost their lives in Rana Plaza are watching what we are doing and listening to what we say. The last breath of those souls surrounds us.

Did we learn anything at all from this terrible massacre? Or will we have completed our duty by merely expressing our deep sympathy?

2.0 What should we do?

(a) Do everything to prevent such an incident from being repeat the future.

(b) What to do for those who have lost lives, their limbs or their livelihoods?

(c) What do we need to do to not only save our garments industry but make it even more strong?

(d) The collapse of the nine-floor building in Savar was not merely a collapse. The collapse of the building is just a precursor to the imminent collapse of all our state institutions. If we look closely at the collapse of the Savar building, we can read the symptoms of collapse of our state institutions. We will have to find ways to fix the institutions to protect them from complete collapse.

Citizen's Action Group

3.0 I will discuss how we might be able to not just save, but also strengthen our garments industry.

(i) Questions have been raised about the future of the garments industry. A very large foreign buyer has decided to pull out of Bangladesh because of the dangers of the garments industry here. Others may follow this example. If this happens, it will severely damage our social and economic future. This industry does not only increase our national income but has brought immense change in our society by transforming the lives of women in the country.

We cannot allow this industry to be destroyed. Rather, we have to be united as a nation to strengthen the industry.

The government, the leaders of the garments industry, the NGOs, the civil society all have to come forward in a united way to do this.

We have to give complete reassurance to the foreign buyers that they will never again face this kind of danger, and that we are all united to take steps in order to achieve that, and will firmly carry out this commitment in the future.

(ii) Each of these actors (government, owners, civil society etc) will work jointly but also work independently within their own spheres. Civil society will have to undertake programs in their own way. Civil society can try to bring hope and trust in the minds of the foreign buyers on behalf of the country. They can immediately send jointly signed letters to the chairmen of the foreign companies as well as to the CEOs of those companies. The message will be to highlight the social and economic importance of the garments industry in Bangladesh, and to thank them for the role they have played in the empowerment of women and in bringing widespread transformation to Bangladesh. To inform them that civil society is ready to work together with the government as well as separately to solve the problems being faced by the industry, to let them know about the types of programs that are being considered, to express interest in meeting with the companies to discuss about these programs, to let them know about the formation, structure and work of a Citizen’s Action Group for Protecting Garment Workers and Garment Industry (or something similar ) that could take quick decisions etc in support of these.

(iii) Another letter will go to the foreign organizations, international NGOs, and consulting firms that already work to improve the quality of the garment industries in the third world including on the issue of workers’ rights, monitoring and screening, and so on. This letter will let them know that the Citizen’s Action Group would like to work with them and also cooperate with them to improve the conditions of the workers. The letter will express the Group’s interest in meeting and remaining connected with them.

(iv) Write letters to various government agencies in the countries of the foreign buyers to inform them that the Citizens Action Group is determined to bring widespread change in the garments industry in Bangladesh.

(v) Within the country, write letters to the government, garments owners, BGMEA, BKMEA, labour organizations, NGOs, buying houses, and other affiliated organizations and to meet with them to elaborate out the working procedures with them.

My two proposals regarding workers

I have from time to time given recommendations to foreign buyers about how to tackle the problems faced by the garments industry in Bangladesh. Under the present circumstances I find it all the more important that I raise this issue now again, particularly because of the castigation by Pope Francis that buyers are treating the garment workers like slave labourers with $ 40 wage per month.

My first proposal is as follows:

(a) A minimum wage law for the labor already exists in our country. If any company pays a salary below that minimum wage, that will be illegal.

My proposal is that the foreign buyers will jointly fix a minimum international wage level. For example, if the minimum wage is now 25 cents per hour in Bangladesh, then they will standardize minimum wage for garment industry as 50 cents per hour. No buyer will give any salary below this rate, and no industry owners will fix salary below this limit. It would be an integral part of compliance.

Of course, we have to be prepared for a negative market reaction to this. As a result of this, some will argue that Bangladesh may overnight lose the competitiveness it had gained for being a country offering “the cheapest labour”. In order to retain its competitiveness, Bangladesh will have to increase its attractiveness in other ways for example, increasing labour productivity, increasing specialized labour skills, regain the trust of buying companies, give assurance that no unfavourable situations will be created in future, and to ensure the complete welfare of the workers, and so on. Until we are able to ensure this international minimum wage, we would not be able to pull out the workers from the grievous category of “slave labour” which was used by the Pope.

We have to gain support for the international minimum wage through sincere discussions with the politicians, business leaders, citizens, church groups, and media leaders in the countries of the foreign buyers. In the past, I have tried to convince the buyers, but have not yet succeeded. Now after Savar Tragedy, and in light of the castigation from the Pope, the issue has gained a new dimension. I want to mobilize my international and Bangladeshi friends to make my efforts stronger and more persistent this time.

We have to make the international business houses understand that while the garment workers are physically working in Bangladesh, they are actually contributing their labour for their businesses. They are stakeholders of their businesses. Their business depends on the labour here. Mere physical separation should not be a ground for them to look away from the well- being of this labour. That is the main message from the Pope. I hope the buying companies get the point.

It is not necessary for all the companies to agree on the minimum international wage at the same point in time. If some of the leading companies come forward on this issue, I think the process will start. Others will soon accept this.

(b) I have made my second proposal many times before, but it did not gain any traction. There is now an opportunity for me to propose it again. This time I see a good chance for its adoption because of the relevance of the proposal to the current situation.

Bangladesh garment factory produces and sells a piece of garment for five dollars which is attractively packed and shipped to New York port. This five dollars not only includes the production, packaging, shipment, profit and management but also indirectly covers the share that went to the cotton producing farmers, yarn mills for producing the yarn, cost of dying, and weaving as input cost.

When an American customer buys this item from a shop for US$ 35, he feels happy that he got a good bargain. The point to notice is that everyone who was involved in production collectively received US$ 5. Another US$ 30 was added within the US for reaching the product to the final consumer. I keep drawing attention to the fact that with a little effort we can achieve a huge impact in the lives of those "slave labour", as the Pope calls them. My proposal relates to the little effort. I am asking the question whether a consumer in a shopping mall would feel upset if he is asked to pay US$ 35.50 instead of US$ 35 for the item of clothing. My answer is: no, he’ll not even notice this little change. If we could create a "Grameen (or BRAC) Garment Workers Welfare Trust" in Bangladesh with that additional US$ 0.50, then we could resolve most of the problems faced by the workers – their physical safety, social safety, individual safety, work environment, pensions, healthcare, housing, their children’s health, education, childcare, retirement, old age, travel could all be taken care of through this Trust.

What do we need to do for this?

The international buying company will pay 10% of the amount that it has agreed to pay garments factory owner (based on their negotiated price for the garments produced) against a particular order, to the Trust. This money will be managed, solely for the welfare of the workers in that particular factory.

There will be separate sub-funds in the Trust for each and every factory so that the workers in each factory are benefited on the basis of their own production if the buyers are putting this 10% in the trust.

Bangladesh annually now exports garments worth US$ 18 billion. If all the garment buyers accept this proposal, then US$ 1.8 billion would be received by the Trust each year. This would mean that an amount of $500 would be deposited in the Trust for each of the 3.6 million workers. If this amount of fund can be collected, the situation of the workers can be vastly improved. All we have to do is to sell the item of clothing for $35.50 instead of $35. Small unnoticeable addition to the price can do workers.

Of course international buyers may argue that that extra 50 cents charged in the final price will reduce the demand for the product and that their profit would shrink. My answer to that will be that we will offer them an arrangement whereby their sales will go up, instead of down. We would give them a good marketing tool to make this product more attractive to the buyers by making the consumers feel they are getting more for this extra 50 cents. We would put a special tag on each piece of clothing to make them "special". The tag would say: "From the Happy Workers of Bangladesh, with Pleasure. Workers Well-being is managed by Grameen or BRAC or any other internationally reputed organization. There would be a beautiful logo that would go with it. This would immediately convey the message that the dress has been made with a lot of warmth and happiness by the factory workers in Bangladesh.

When consumers will see that a well known and trusted institution has taken responsibility to ensure both the present and the future of the workers who produced their garment, they won’t mind paying 50 cents extra. The retailers may use in their advertising that these products are made by well protected well supported workers. Consumers would be proud to support the product and the company, rather than feel guilty about wearing a product made by "slave labour" under harsh working conditions. A consumer will be able to know from the company’s website and annual report, what benefits the dress she wears are currently bringing to the workers, and what benefits their children are receiving.

Both the national and the international businesses should feel as though the workers are a part of their family. The days of slave labour have to come to an end. It is better to start the process now, before more ugly incidents occur.

I do not expect that all companies will immediately implement my proposal. I hope that a few would come forward to experiment with the proposal. Their country’s governments, the agencies, organizations who work to protect labor rights, citizens groups, church groups, media, will step forward to support it. This issue will attract attention more urgently now in light of the mass death in Savar, as well as for the Pope’s comments on the treatment of the poor labour in garment industry in Bangladesh.

I believe, for buying companies leaving Bangladesh is definitely not a solution. It would be as unfortunate for Bangladesh as it would be for the foreign buyers. There is no sense of relief for them in leaving a country which has been highly benefitted through their business, a country which could have gained continuing rapid and visible economic and social progress because of them, a country that would always remain grateful to them for their business.

Rather, if Bangladesh government and citizens could come forward unitedly to work to remove all the difficulties being faced by the foreign buyers, and work shoulder to shoulder with them, it would bring the joy for creating a new breed of business that prides in achieving something which is far beyond the business success - something which leads to a bright new future for a country. I believe that they would rather like to remain in Bangladesh, take challenges and take pride in creating a new society and a new economy. Not only Disney, which left the country because of recent problems, will come back when they see big changes are happening because of the collective efforts of the government and the citizens, more new companies will be interested in coming to Bangladesh. Changes are taking place in the world of business. Even if they are tiny changes, they are coming nonetheless. We can accelerate that change. Citizen Action Group can prepare the ground for that.

Savar related Programs

Citizens’ Action Group can create a complete data-base of all those who have lost their lives in Savar, lost their limbs or have had their livelihoods affected, and work to regularly update that. The primary work of this has already been initiated by the Grameen organizations with the help of different other organizations. Citizen’s Action Group can take the responsibility to coordinate this work.

Many programs have been announced and a lot of funds have been pledged for those who have been affected, and this is still ongoing. The Citizens’ Action Group can advise on these programs and how best to implement them. It can monitor the programs and inform the relevant authorities accordingly. They can keep contact with the victims on an individual basis, and help them solve their problems by establishing links between them and the appropriate agencies. The problems that are being faced by the victims of Savar range from the immediate to the long term. The Citizens’ Action Group should be ready to keep the people of the country remain engaged with the rehabilitation of the victims, and come up with effective programs to tackle the problems of different kinds (health, income, education etc.) and of different duration, faced by the victims of Savar.

When will we come to our senses?

Savar has created a huge wound and deep pain in the minds of the people of country. I pray that this deep pain compels us towards resolving the core of the problems in our national life. Savar is the creation of our dysfunctional politics. When we watched more than 600 helpless deaths, the loss of limbs of hundreds on our TV screen throughout the country it made us aware at every moment, what our dysfunctional politics has led us to.

After all this, will we just keep on watching as it keeps happening again and again?

When will we come to our senses?



Wednesday, May 8, 2013

Secret Cuts


I Want To Share A News From www.thedailystar.net About Bangladesh Garment Business Which Disclosed Some Secrets of This RMG Business Sector.

I thing this news will help you to understand the foreign buyer’s behavior.


Secret cuts
Is the garment business jinxed, or is it made to look so?

Fire a few days back, building collapse yesterday and workers’ vandalism over poor wage today. These are the headlines the largest forex earning sector makes, for several years now. Risky buildings can exist only when a government goes into hibernation and risky workplaces when an employer turns covertly criminal. As the government never wakes up to its task, tragedy revisits time and again. Culprit manufacturers enjoy the culture of impunity and workers continue to get killed. This sorry garment story is known to all. But stories that remain unknown are equally ominous, if not more. Syed Ashfaqul Haque with Inam Ahmed exposes the unethical face of leading garment buyers.
A good number of international buyers are raking in fortunes, investing virtually nothing for their orders in Bangladesh.


With a clause of deferred payment in letter of credit (L/C) — the formal loan agreement for a purchase — they are literally fleecing the Bangladesh garment sector and contributing eventually to the misery of the workers.
With such L/Cs, these greed merchants get products shipped out and release payments to manufacturers after months of delay.
This means they virtually get their products on credit and pay manufacturers only after selling those.
The Daily Star has obtained four such L/Cs in one of which payment was disbursed six months after shipment.
With payment being deferred, Bangladeshi manufacturers are actually forced to subsidise the buyers. Garment-makers take loan, free of interest for 90 days, against the L/C in executing orders. So, for the period beyond 90 days, manufacturers have to fork out 15pc interest.
Frustrated, yet manufacturers are ever obliging because they do not want to upset the buyers and stay without work. If shut, a small knit factory with 35 machines loses about $9,000 a day in production and $1,000 in overhead costs. For a small woven factory with 120 machines, the loss goes up to $14,000.
Since victims do not complain, the central bank and garment owners’ association choose to turn a blind eye to this unethical practice.



This newspaper has also gathered how criminalisation of the business has, over the years, gradually been nudging the world’s number-two apparel-maker down the hill.
Order worth a dollar that a buyer places actually does not add up to a dollar. On different pretexts and through underhand dealings, they take back almost 25 cents, leaving the manufacturers to complete the job with the remaining 75 cents.
With these cents, manufacturers buy fabrics and accessories, make clothes, pay establishment costs, ship out clothes, and are expected to pay workers reasonably and make good profit as well.
But profit has been hard to come by for the last few years. The way most of the big international buyers squeeze price off orders in one way or the other can only be dubbed as blatantly criminal, unethical and ruthless.
A Dhaka-based manufacture exports cotton long sleeve tops for a Spanish buyer for decades. The buyer comes back every year with repeat order, lowering the price further. Though manufacturing cost including wages doubled within this span of eight years, the price was pushed down to $2.40 a piece this year from $3.40 in 2005.
At every factory, employers and employees alike rejoice the day when L/C from the buyer arrives. It is almost like an Eid day for all. But little do they cheer about the day when payment arrives from the buyer. More often than not, the balance sheet, upon execution of order, bears the testimony of a huge loss.
Take Momtaz Uddin as our manufacturer and let’s see why his balance sheet turned horrific.
Say, for example, he has shipped out 20,000 shirts within L/C time limit and with quality checked by buyer’s men during production. The $10 a shirt price is only on paper.
The buyer deducted 5pc from L/C for expense of his offshore office in Hong Kong. Some buyers ask for it in cash and some through L/C. Like others, he too has to be party to money laundering. The purpose of an offshore office is unknown.
Still, he considers himself lucky for getting the order directly from the buyer. Had a buying agent gotten between them, he would have lost up to 5pc further.
Momtaz, as asked by the buyer, bought fabrics and accessories from his nominated suppliers. Previously, fabrics and accessories worked as price cushions for him. Through hard negotiation, he used to save at least 25pc, 15 from fabric and 10 from accessories. Now the buyer is scooping the cream off from his suppliers. He curses the buyer but keeps obliging him.
His buyer proudly advertises to his customers that all products are human body friendly. So, Momtaz had to certify the products with chemical and metal test for both fabrics and accessories. The tests were costly, and ate up 2pc.
The buyer has a small front office too in Dhaka for quality inspection at factory and correspondence back to Italy. Head of his Dhaka office discretely made it clear that he did have a share in the pie. And a modest 1pc for him keeps the manufacturer away from any trouble.
There are still more mouths to feed. Momtaz had to win favour of quality controllers and merchandisers from the buyer’s local office.
Cash, gifts and tummy-full of lunch at every visit to the factory did keep his production trouble-free. Along the way, a few thousand dollars went up in the smoke.
So, 33pc was off the price already, and the manufacturer had not started production yet.
There was time a few years back when the L/C was more relaxed. He could get payment within three days after submitting shipping documents with his bank. As the buyer now withholds payment for up to six months now, he takes loan from bank to pay workers and meet other operational costs. Momtaz further counts losses in 15pc interest on the loan.
The misery does not end here.
Once the orders are shipped, the buyers often start complaining that the product standards are not up to the mark (this they do despite the fact that they control quality). Or that business is bad and they cannot sell products.
Now that is a chiller. Because the next thing the buyers will ask for is a discount. Since they cannot sell or the product quality is not good, they will demand a price cut.
With their back against the wall, manufacturers like Momtaz look for ways to cut costs and survive.
They are left with 20pc of the price that is kept for operational and establishment expenses including wages of the workers.

So, cheap clothes and corruption combine to take its toll on workers. They are given poor wages and a cheap, unsafe place to work in.
And disasters start brewing in silence.


Thursday, May 2, 2013

Come let us sit and talk


Bangladesh’s Prime Minister Sheikh Hasina requested opposition party’s chairperson Khaleda Zia to start talks on Thursday (2nd May 2, 2013) at Gonobhabon.

“Come let us sit and talk- We can sit anywhere, we think the parliament is the best place for talks.” Hasina said and also thanked Khaleda Zia for withdrawn today’s nationwide hartal (strike).




She noticed that, Bangladesh gets first woman Speaker.
Now Bangladesh’s Prime Minister, Leader of the Opposition, Deputy Leader of Parliament and Speaker are woman. 

Shirin Sharmin Chaudhury- first female speaker, Bangladesh


To end the political stalemate, local business leaders and civil society activists have pressured two leaders to start a dialogue.