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Thursday, 27 June 2019 12:28

BGMEA stops issuing utility declaration to 51 factories

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Bangladesh Garment Manufacturers and Exporters Association has temporarily stopped issuing utility declaration to 51 of its member factories for non-compliance. After nine months of the government instruction to stop providing UD to 142 factories due to slow progress in safety remediation, the trade body recently decided to suspend issuance of UD to 51 factories.

Department of Inspection for Factories and Establishments on September 20, 2018 issued a letter to BGMEA and Bangladesh Knitwear Manufacturers and Exporters Association asking them to stop providing UD to the factories as the remediation progress in the units was not satisfactory. In the letter, DIFE requested the trade bodies to stop issuing UD to the factories for the next three months to expedite remediation in the units inspected under a national initiative.

BGMEA leaders held a meeting with the factory authorities to find out the problems of the factories in implementing corrective action plans. In the meeting, BGMEA decided to stop issuing of UD to 51 factories for six months and asked the units to made required progress within the time. If the BGMEA stops issuance of UD to the errant factories, it would be a good decision for expediting remediation work in the units.