Study warns of environmental risks from inefficient water use in apparel sector

Factors like outdated regulatory framework, poor effluent discharge standards and lack of a meaningful price for water remain major challenges to the optimal use of water in Bangladesh's textile and apparel sectors, according to a recent study.

Other challenges include pressure from buyers for lowering prices and their insufficient support for ensuring responsible usage of water for production purposes in the sector.

The study titled "Accelerating Water Stewardship Investments in Global Apparel Supply Chain" suggested that Bangladesh's textile and garment sectors need to invest more in water stewardship, especially in the wet processing segment.

It said overuse of water in the industries like apparel and textile sectors contribute to environmental pollution, thus risking communities and supply chains.

Study of the Resilient Water Accelerator (RWA) initiative and supply chain advisory company SupplyESChange also warned that Bangladesh is at a risk of lagging behind its other competitors in respect of advanced water stewardship practices and higher ESG (Environmental, Social, Governance) standards.

The RWA research study found that many of the 500 to 1,000 wet processing sites in Bangladesh still do not take basic water stewardship steps while severe water pollution and overuse have been reported for a good number of other parties.

Given the significance of the sector to Bangladesh's sustainable economic growth, it is crucial to overcome the challenges for ensuring the best possible use of water, it added.

A separate study revealed that the textile and apparel sector, which is considered as the backbone of Bangladesh's fast-growing economy, is responsible for using about 76 per cent of total industrial water in the country.

And the sector's water use is projected to be more than triple by 2042, it mentioned.

The RWA study also found that despite having opportunities, smaller suppliers including Tier-2 wet processors are unable to access commercial finance for supporting such cost-saving stewardship water investment, due mainly to a combination of higher rate of interest (15 to 16 per cent in recent years) and a lack of standardised financial products offered by domestic banks.

Besides, Tier 2 suppliers often operate without long-term sourcing commitments from buyers that can support reliable debt repayments, it said, adding that other financial, contractual, and governance barriers also remain unsolved, posing a threat to Bangladesh's water security.

Meantime, a total of 16 textile and apparel manufacturers have been engaged in a pilot programme, designed to accelerate water stewardship by uniting sites within the same catchment to work collectively.

Talking to the FE, Shahid Kamal, Country Coordinator of Alliance for Water Stewardship (AWS) in Bangladesh, said apparel buyer Primark has nominated 16 factories, with an exception that a lone unit was engaged individually, which would voluntarily work to achieve AWS standards based on 68 indicators.

Once their targets are achieved, they will be eligible to obtain certification, he said, adding that starting in Bangladesh, the piloting has now expanded in India and China aiming to ensure responsible water management.

Miran Ali, a former vice president of the Bangladesh Garment Manufacturers and Exporters Association (BGMEA), said: "Water stewardship is going to be a crucial part of our business. We are now investing more and more in water-efficient machines for our laundries."

He claimed that the amount of water used has decreased significantly, primarily due to the IFC-led PACT programme. He added that they are already reusing and recycling a substantial portion of wash-water.

Citing examples, he said denim factories are using the same water for two wash cycles, thereby reducing the volume of net water they need to extract.

Moreover, he added that they are also exploring other options to further reduce their water usage.

Meanwhile, Adviser to Ministry of Water Resources Syeda Rizwana Hasan at a recent programme said the long-awaited 'Industrial Water Use Policy' would be finanlised soon, aiming to regulate groundwater extraction for industries and introduce a pricing mechanism for its use.

Under the proposed policy, no payment would be required immediately, but charges would be imposed gradually to encourage industries to lessen their water consumption, she observed.

munni_fe@yahoo.com