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Bangladesh: Factory audits help both buyers and suppliers

Factory audit compliance can improve transparency and cut costs for apparel manufacturers in Bangladesh who supply to the world’s leading brands. At present, factory owners in sourcing countries such as Bangladesh face an onerous number of audits from different apparel brands and retailers, most of them gathering the same information.

Audit information can be shared across all brands within one central database. Multiple factory checks and audit fatigue is a serious issue for suppliers. Greater transparency from brands, including improving information on staple clothing items such as jeans and T-shirts, can also help. At the moment the public is in the dark on such issues.

Bangladesh’s readymade garment industry has witnessed an unprecedented overhaul since the Rana Plaza disaster. Factories are adopting various safety initiatives and making their safety reports publicly available, which is unique in the global apparel supply chain. Third parties are auditing factories in a transparent procedure to check social compliance. Safety hotlines have enabled workers to register their concerns in the most transparent way. However transparency itself cannot be sustainable if buyers don’t make their business processes transparent. Cheap price of clothing was a key contributor to the Rana Plaza accident as suppliers cut corners to meet the requirements of buyers.

 
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