Shaikh Shahrukh: Thirteen years after the Rana Plaza collapse reshaped Bangladesh’s ready-made garment sector, the industry has undergone sweeping changes — safer factories, stricter compliance and global recognition for green manufacturing. Yet beneath these gains lies a more complex reality: workers still face pressure on the factory floor, survivors continue to struggle with long-term hardship, and manufacturers are grappling with rising costs and financial strain. Workers across major industrial hubs say workplace safety has improved significantly since the 2013 disaster.
“Now there are fire exits, and we have regular drills,” said a female worker in Narayanganj. But concerns remain. “The production pressure is still very high. If we fail to meet targets, wages can be deducted,” she added. A worker in Gazipur said union activities remain sensitive in some factories. “There is always fear of losing jobs,” he said. Others noted that while safety awareness has increased, preparedness during real emergencies still needs improvement.
“Before Rana Plaza, we didn’t even know what a fire exit was. Now we get training, but in a real situation, not everyone can respond properly,” another worker said. For factory owners, the transformation has required heavy financial investment. “After Rana Plaza, entrepreneurs had to invest heavily to ensure safety,” said Faiz Ahmed Khan, managing director of Haseen Kayaba Group.
While necessary, he said, these investments have not been matched by higher prices from international buyers. “Many factories took bank loans to upgrade compliance. Those liabilities still remain,” he said.
Ahsanul Russel, managing director of Tua Ha Textile Mills Ltd, echoed the concern. “We carried out extensive renovations to meet compliance standards. But order prices did not increase accordingly,” he said, adding that many factories are still repaying loans taken during that period. Industry insiders say smaller factories were particularly vulnerable, with many unable to survive the financial shock.
One of the most visible outcomes of post-Rana Plaza reforms has been the growth of environmentally sustainable factories. Bangladesh now has more than 210 LEED-certified green garment factories, many with top-tier Platinum and Gold ratings—the highest number in the world. These facilities incorporate energy-efficient systems, water recycling and environmentally friendly designs, marking a shift toward sustainable production. Before 2013, only a handful of factories met such standards.
However, industry leaders say green transformation has also increased production costs without ensuring better returns. “Compliance and sustainability have improved our global reputation,” said Fazlul Hoque, managing director of Plummy Fashions Ltd and former BKMEA president. “But production costs have risen sharply, while buyers continue to negotiate lower prices,” he added.
In the aftermath of the collapse, international initiatives such as the Accord and the Alliance carried out extensive inspections, focusing on structural, electrical and fire safety. Factories were required to reinforce buildings, upgrade electrical systems and introduce modern fire safety measures, including sprinkler systems and emergency drills. These reforms significantly improved safety standards across the sector. But they also raised the cost of doing business.
Industry estimates suggest that between 2,000 and 2,500 garment factories have closed over the past decade. Key factors include high compliance costs, shrinking profit margins, rising utility expenses and intense global competition. A factory owner in Gazipur said compliance upgrades alone cost between $700,000 and $800,000.
“Buyers did not increase prices. Loans went up, profits declined, and many factories could not survive,” he said, requesting anonymity. Manufacturers say pricing pressure from international buyers remains a major challenge, with some buyers continuing to negotiate aggressively despite demanding higher compliance standards.
Compared to the pre-2013 period, the industry now operates under stricter regulations, higher costs and tighter margins. Safety investment has increased, but so have operational challenges—from energy shortages to persistent loan burdens. Thirteen years on, Bangladesh’s garment sector stands as both a success story of reform and a reminder of unresolved pressures. While factories are safer and more sustainable, workers, survivors and business owners alike say the journey toward a fully balanced and resilient industry is still far from complete.
