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Bangladesh apparel sector progressing towards sustainability: Swiss envoy

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Bangladesh’s readymade garment (RMG) sector is steadily advancing on the path of sustainable development, said Swiss Ambassador to Bangladesh Reto Renggli on Thursday.

He praised the industry for its significant improvements in workplace environment, workers’ health and safety, and compliance standards, while urging stakeholders to maintain this positive momentum.

The Swiss envoy made the remarks after visiting the Four A Yarn Dyeing factory, a concern of Team Group, located at Baipail in Savar. Prior to a briefing, he toured various sections of the factory, interacted with workers and management, and observed the facilities firsthand.

“I was very pleased to visit this factory this morning for two reasons,” Ambassador Renggli said. “First, it is a very modern facility, and I was truly impressed by what I saw. Second, this factory produces for brands in Switzerland, and as the Swiss Ambassador, it’s important for me to understand the working conditions in factories that supply the Swiss market.”

He added, “Beyond the production process, I was particularly impressed by the company’s sustainability goals, which they aim to achieve by 2030. I believe this is an excellent example of how business success can be combined with sustainable development.”

The ambassador also lauded the factory for providing a clean and green environment for workers, along with healthcare and other welfare benefits.

Earlier, Ambassador Renggli held a meeting with the management of Four A Yarn Dyeing. Swiss Embassy’s Senior Political, Economic and Press Officer Khaled Chowdhury accompanied him during the visit. From the company side, Deputy Managing Director Abdullah Hil Nakib, Head of Marketing and Merchandising Mehedi Hasan Asif, and other senior officials were present.

Speaking to reporters, Abdullah Hil Nakib said the visit was aimed at countering negative perceptions and misinformation about Bangladesh’s apparel sector abroad.

“We wanted to show the ambassador the real picture of our industry — the working environment, workers’ welfare, and product quality,” he said. “He was very pleased with what he saw and even sought our permission to share his experience on social media, which we believe will help improve the country’s brand image.”

Nakib added that the ambassador also expressed interest in promoting a more accurate understanding of Bangladesh’s garment industry in Switzerland.

Four A Yarn Dyeing is a US Green Building Council (USGBC) certified green factory with the highest Leadership in Energy and Environmental Design (LEED) Platinum rating. The facility manufactures high-value jackets, with free-on-board (FOB) prices close to $100 per piece. These jackets retail for $700-$800 in European and US markets.

Nakib said, “We have a total of 82 production lines, and this year we expect our total turnover to be approximately $70 million-plus. Looking ahead, we are planning for further growth as we are in discussions with several value-added buyers.

“If these discussions materialize, our turnover could reach close to $100 million by 2026.

“We are now waiting for a significant leap forward, as our group has been maintaining a 15 to 20 percent annual growth rate,” he added.

Responding to a question, the Team Group DMD said that the recent US tariff hike on Chinese imports would create pressure on China.

“This is true — they will try to push more into the EU market, and it will definitely create challenges,” he said. “But the challenge will not be so big that we won’t be able to overcome it, because I believe it won’t be that easy for the Chinese to capture the EU market.”

Referring to a recent conversation with a European customer, he added, “Even a few days ago, I was talking to one of our buyers, and they mentioned that they are gradually trying to move away from Chinese suppliers. This sentiment is slowly growing.”

Highlighting the importance of long-term relationships, he said, “The relationship we have built with our customers really matters. Until today, no customer has ever left us because of issues with our service, delivery, or quality.

“At the end of the day, these are what matter most to them. If a customer doesn’t receive quality garments at their warehouse on time, they won’t be able to sell them. That confidence they have in us is our real strength.”

Explaining how they provide design and development services, he said, “Because we have a price advantage, we can offer design and development services, which also helps buyers save costs.

“If a buyer develops designs in their own country, it involves extra expenses. But if they get that service from us, they will definitely share some value addition with us.”

“From our perspective, when we do the design and development ourselves, it’s more production-friendly for us. Simply copying a design from buyers is more difficult. We see scope for value addition here, and that motivates us to innovate further,” he explained.

He mentioned that roughly 10 per cent of their production is based on in-house design and development.

“Every buyer has their own heritage, taste, and brand identity that they want to maintain,” he said. “Still, we are gradually trying to focus more on our own designs so that we can strengthen our position.

“When buyers start consistently taking our designs, our competence will grow, our value addition will increase, and overall growth will follow.”

On the benefits of repeat orders, he said, “Definitely, it gives us an advantage.”

Currently, the factory produces and supplies garments for at least 20 leading global brands, including Tommy Hilfiger, Calvin Klein (CK), and Jack & Jones.

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