Danish minister praises model RMG factory
Danish Minister for Development Cooperation Christian Friis Bach visits GMS Composite Knitting Ltd in Gazipur yesterday. Md Golam Mostafa, managing director, and M Golam Mustafa, executive director of the company, were also present. Photo: GMS
The garment sector got a boost yesterday after a Danish minister said Bangladesh can continue to produce apparel for western buyers by ensuring a world-class working environment for workers.
On a visit to GMS Composite Knitting Ind Ltd, a composite garment factory in Kashimpur in Gazipur, Danish Minister for Development Cooperation Christian Friis Bach said: “The working conditions are good. There is a lot of air in the well-lit rooms.”
“You have definitely created a model factory. It is a model for many other factories.”
His visit came four months after Bangladesh witnessed the worst industrial fire at Tazreen Fashions in November that killed 112 workers. The tragedy put a question mark on fire safety and working conditions in the garment factories.
The minister visited every section in knitting and weaving to see how the company functioned and spoke to the workers.
He was pleased to see the smooth operations of the effluent treatment plant and water treatment plant on the factory premises.
GMS started production in 2001 with a daily capacity to knit 2.5 tonnes of fabric, which is now 45 tonnes, in addition to 135,000 apparel pieces. Prior to that, the company was well-positioned in jute business.
This is a vertical setup with knitting, yarn dyeing, dyeing, finishing, washing, cutting, placement printing and embroidery, sewing and packing, in the same premises.
“You are taking care of the environmental aspect of the production chain and also the workers. These are your competitive advantages,” said Bach, now on a three-day visit to Dhaka.
On his maiden visit to Bangladesh, he directly went to the factory yesterday in a private chopper upon landing at Hazrat Shahjalal International Airport in Dhaka.
Impressed by the working environment, the minister promised to share his experience with his country.
“I will tell my fellow colleagues in the cabinet that it can be done. Good working conditions can be created in Bangladesh, some companies especially GMS is at the forefront in doing so,” said Bach.
“I will tell the Danish consumers that they can buy goods safely from GMS. Next time, I will also be proud to buy a new T-shirt sourced from the company.”
He, however, urged the garment manufacturers in Bangladesh to continue improving the working conditions.
Around 70 percent of the factory's capacity is used for Danish buyers like Bestseller (65 percent) and Rex & Holm (5 percent). The remaining 30 percent is used to make clothes for other European customers, said Md Golam Mostafa, managing director of the company.
The company's annual turnover stands at $150 million, employing 12,000 people, he said.
Situated upon around 11 lakh square feet, the factory produces different products like T-shirts, polo shirts, sweat shirts, ladies' and children's wear for renowned brands like FOTL, KAPPA, ORSAY, PIMKIE, said M Golam Mustafa, executive director of the company.
Value addition of the factory is around 60-65 percent, he said.
GMS is the largest composite factory in knitwear in Bangladesh and they received the National Export Trophy from the commerce ministry in 2009-10 for the highest exports, according to the managing director.
The company provides all types of facilities to ensure better working conditions and has well-equipped fire extinguisher systems, day care and in-house doctors, the company said in a statement.
One of the unique features of the factory is profit-sharing with the workers. “We provide 5 percent of our profits to the workers along with other benefits such as incentive bonus, attendance bonus and yearly increment.”
The factory also has a modern laboratory with the latest equipment including the Spectrophotometer, to perform comprehensive lab tests to meet internationally recognised standards, according to the statement.
The company does not employ children and has a workers' participation committee to ensure labour rights, the managing director said.
Bach is also scheduled to meet Prime Minister Sheikh Hasina, Finance Minister AMA Muhith, and other ministers, civil society leaders, businesspeople and beneficiaries of Danish development assistance around the country.
Charlotte Slente, under-secretary for global development and cooperation of Danish foreign affairs ministry, and Svend Olling, Danish ambassador to Bangladesh, were also present during the factory visit.
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