Archive for September, 2006

Vietnam : President awards 42 textile & garment firms

Vietnam : President awards 42 textile & garment firms
September 28, 2006/Fibre2fashion.com, India

While awarding 42 businessmen from textile and garment industry, President Nguyen Minh Triet praised the contribution of the sector in the modernization of country’s economy.

He hailed their achievement despite the small quotas and high import taxes as exports from the sector reach US $5 billion per year. He also regretted the fact that the industry is still hampered by shortcomings and problems while the country prepares to enter WTO.

President expressed confidence that some companies have the capacity to overcome their problems and prosper and asked industry to strive to stand on its own feet.

Chairman of Vietnam Textile and Garments Association and the head of event’s organizing board, Le Quoc An informed that awards were given to 42 companies for attaining excellent result in business, exports and market development.

He disclosed that last year industry’s export turnover was $4.8 billion which is expected to jump by 20 percent to $5.8 billion in 2006.

Add comment September 29th, 2006

Garment workers block city road for 8 hours

Garment workers block city road for 8 hours
Staff Correspondent/The Daily Star, Bangladesh 

Several thousand of agitating workers from two garment factories barricaded Rokeya Sarani yesterday for eight and a half hours resulting in a traffic gridlock in the capital.

Workers of Perfect Sweaters Ltd and TS Sweaters Ltd blockaded both sides of Rokeya Sarani stretching from Agargaon to Mirpur 10 and brought all vehicular movement to a standstill from 8:00am to 4:30pm.

A huge number of police were deployed on the scene to avoid any untoward incident.

The abrupt halt of traffic clogged up the surrounding streets causing excruciating sufferings to commuters and city dwellers who had no other means but to walk to get to their destinations.

The workers claimed that they were compelled to barricade the roads as a means of drawing attention since their employers turned a deaf eye to their nine-point demand which included increase of salary, Eid bonus, over time work opportunity and shorter work hours during Ramadan.

A TS Sweaters employee said they had a discussion with the factory officials on September 16 regarding their demands followed up by another meeting on September 24 where the officials assured the workers of considering their demands as per BGMEA rules.

“We suddenly found both garment factories closed on September 25 for indefinite period. We tried to contact our employers, but as we failed to reach them. And that forced us to take this action,” explained Mobarak Hussain, another employee at TS Sweater Limited.

Ritan Kanti Barua, general manager Perfect Sweaters Limited, however, commented that the authorities could not meet the workers’ demands as those were irrational.

The factory workers later withdrew their barricade at around 4:30pm after the owners promised the workers to sit with them for more discussions over their demands.

The factory owners will meet with the workers’ representatives at BGMEA Bhaban today to review the nine-point demands of the workers.

Both factories are to resume operations today after three days of closure.

Add comment September 28th, 2006

Potensi Desa Kertonatan, Kartasura, Sukoharjo ,Konveksi batik Kertonatan merambah pasar Malaysia

Potensi Desa Kertonatan, Kartasura, Sukoharjo
Konveksi batik Kertonatan merambah pasar Malaysia
www.solopos.net

Desa Kertonatan merupakan satu dari 10 desa di Kecamatan Kartasura, Sukoharjo, yang kini tengah giat membangun. Hal tersebut terlihat dari pembangunan dalam skala besar di desa tersebut. Bahkan berdasarkan data kewilayahan Pemerintah Desa (Pemdes) setempat, setiap satu tahun, minimal 1 hektare lahan pertanian beralih fungsi menjadi bangunan.

Kepala Desa Kertonatan, Sartoyo mengatakan sesuai Rencana Tata Ruang Kota (RUTK), wilayah Kertonatan tidak difokuskan sebagai sentral pertanian, tetapi difokuskan pada pembangunan seperti industri dan sebagainya. Meski demikian, sektor pertanian tetap menjadi tulang punggung masyarakat dan Pemdes setempat.
Sartoyo mengaku, adanya industri menjadikan semakin berkurangnya jumlah petani. ”Warga kebanyakan beralih menjadi buruh industri yang jumlahnya kini lebih dari 200 orang,” terangnya. Di sisi lain warga juga mengembangkan sektor industri kecil seperti, konveksi dan perdagangan. Konveksi batik, menurut Sartoyo, menjadi andalan Desa Kertonatan. Produk konveksi tersebut saat ini pemasarannya telah merambah negeri jiran, Malaysia.
Salah seorang pedagang sekaligus pengusaha konveksi batik di Desa Kertonatan, Uzi Umi Fauziyah mengatakan usaha konveksi batik di Kertonatan sudah berkembang sejak puluhan tahun lalu ketika Pasar Klewer, Solo mulai berdiri. Menurut dia, pada awalnya di daerah itu hanya terdapat enam pengusaha konveksi, namun saat ini sudah ada kurang lebih 20 pengusaha. ”Biasanya, batik setengah jadi dari Pasar Klewer kami kerjakan menjadi pakaian jadi pria, wanita, perlengkapan salat dan sebagainya,” kata Umi.
Selain bahan batik, industri konveksi di desa itu juga menggarap bahan sutra. Bahkan, dengan adanya konveksi sutra tersebut produk konveksi di Kertonatan menjadi lebih dikenal. Bahkan, menurut Umi, hasil konveksi tersebut baru-baru ini diminta untuk dipamerkan di Malaysia.
Pada saat ini, dengan dibantu oleh enam pekerja, omset penjualan produk konveksi yang dimiliki Umi kurang lebih Rp 25 juta per bulan. Dari omset penjualan itu dia mengaku dapat meraup untung sebesar 10% dari omset itu.

Desa Kertonatan

Kepala Desa : Sartoyo
Luas Wilayah : 120.0065 Ha
Jumlah penduduk : 2.353 jiwa
Dukuh : 10
RW : 5
RT : 18
KK : 813

Batas Desa

Utara : Desa Ngasem,
Colomadu, Karanganyar
Timur : Desa Kartasura,
Kartasura,Sukoharjo
Selatan : Sambon, Banyudono, Boyolali
Barat : Uwiran, Banyudono, Boyolali. - Nur Hidayat

Add comment September 27th, 2006

Garment workers strike on Oct 16

Garment workers strike on Oct 16
The New Nation, Bangladesh

Workers of the ready-made garment sector will observe strike all over the country on October 16 demanding their minimum wage of Tk 3,000, execution of Labour Act along with other accords and payment of all arrears, including festival bonus before the upcoming Eid.

National Alliance for Protection of Garment Workers and Industries, a combine of some 16 labour groups announced the programme at a roundtable on ‘Labour Act in Garment Industry: Proposal of Minimum Wage and Implementation’ at Shaheed Asad Auditorium in the city yesterday.

The labour leaders vehemently rejected the recommendations made by the Minimum Wage Board and vowed to take to the street to compel the owners to accept their minimum wage of Tk 3,000.

Taking part in the discussion, SKOP coordinator Dr Wazedul Islam Khan said the yesterday-passed Labour Act-2006 in parliament was entirely against the interest of the workers and contradictory to the suggestions of ILO, which would compound the prevailing anger of the labour force. He also declared to enforce labour strike and siege programme on October 15 across the country in pursuance of the same demand.

Referring to the price of essentials beyond the capacity of buying of the common people, Awami League presidium member Matia Chowdhury remarked that how the problems of RMG labours could be solved when the commerce minister of the country says that he has no work, he is only spending leisure time now.

She urged the owners’ side to determine a reasonable wage for the workers of the garment industries, in accordance with the price of essential commodities and basic needs of a labour as a human being.

President of Workers Party Rashed Khan Menon said the government extended huge facilities to the industries of EPZ areas but it did not give any outstanding facility like subsidy or incentive to the industries of other areas of the country. Two- policy in the same country is depriving the labours of their basic rights, Menon added.

Menon, also the central leader of the 14-party opposition combine asked the garment owners to reconsider and agree to the just demand of minimum salary of Tk 3000 for the workers.

On behalf of the factory owners BKMEA Director SA Baset said both the labours and the owners were eager to settle the matter.

All the problems and crises would be resolved within the very shortest possible time, if the government, owners and labour representatives sit together and sign in the same accord regarding the RMG sector, Baset claimed.

He also criticised the government, as it is remaining silent in this juncture of RMG sector in lieu of extending various incentive and subsidy facilities to the sector.

The labour representatives also demanded habitation management for the workers, issuing identity and health cards for free treatment facility, maternity leave and an end to the oppression on the labours.

Central member of the organisation Abul Hossain presented the keynote paper while President of Ganatantri Party Nurul Islam, Forward Party President ABM Mostafa Amin, Roy Romesh Chandra, Haider Akbar Khan Ranu, General Secretary of Jatiyatabadi Sromik Dal Zafrul Hasan and the central members of National Alliance for Protection of Garment Workers and Industries, among others, spoke the function.

© Copyright 2003 by The New Nation

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Add comment September 26th, 2006

Solve crisis, save RMG sector

Solve crisis, save RMG sector
Speakers urge at The Daily Star-Junior Chamber roundtable
Staff Correspondent
The Daily Star, Bangladesh

Speakers at a roundtable yesterday called upon all stakeholders to immediately solve the prevailing crisis regarding minimum wage structure in the readymade garment (RMG) sector and look into other hidden causes that are responsible for the stalemate.
The minimum wage is one of the causes of violence in the sector but many other issues –workers right, overtime, regular increment, bonus, incentives and other facilities — need to be resolved for bringing back normalcy in the thriving garment sector, they said.

The speakers underscored the need for an amicable solution of the problems in the greater interest of the sector.

The Junior Chamber International (JCI) Bangladesh chapter organised the roundtable on ‘Problems in the RMG sector, recent issues and possible solutions’ at the Brac centre with joint collaboration of The Daily Star.

The Daily Star Editor Mahfuz Anam moderated the seminar while garment factory owners, Bangladesh Garment Manufacturers and Exporters Association (BGMEA) leaders, representatives of workers, buyers and donors participated in the discussion.

The seminar witnessed a strong debate between the representatives of workers and owners on the question of minimum wage for the garment workers.

Annisul Huq, former president of BGMEA and a member of the government formed wage commission for garment sector, told the discussion that the prevailing conflict between workers and owners on the question of minimum wage would be solved within a week.

“We are going to have a win-win situation on minimum wage within a week,” he said without giving details about the understanding between the conflicting groups.

Earlier both the workers and owners rejected the minimum wage structure declared by the government wage commission. The workers said the minimum wage was much less than their demand while the owners termed it ‘too high and unacceptable’.

The workers’ representatives demanded wage hike in the garment sector for the ‘very survival’ of the poorly paid workers.

With the unusual rise in the prices of essentials, the garment workers cannot survive with the poor amount they get, they said, adding that the sector may face another spell of unrest if their demands are not met.

Annisul Huq expressed fear that around 20 to 30 per cent factories might face closure if the minimum wage structure is implemented without considering the other relevant issues.

The cutting and making (CM) charge has declined almost by 50 per cent in the recent years, he said, adding that the wage structure should be formulated considering the ability of the owners.

Nazma Akhter, a worker leader and representative of the workers in the wage commission, reiterated their demand for Tk 3,000 as the minimum wage for the garment sector.

Urging the buyers to increase the CM charge and save the sector from ruination, she said the workers are also ready to launch movement for price hike of the garment items.

“We do not want to go for rampage but we want to survive. Please let us lead a life as just human beings,” said another representative of workers.

Mamunur Rashid of City Bank NA said the garment factory owners do not present the actual picture of their earning and profit. Although the owners make huge profit compared to their equity share, they show profit margin on the basis of total turnover, he added.

All the economic indicators like per capita income and GDP growth rate went up in Bangladesh in recent years but the garment workers are not getting the share of benefit, he said, adding that not allowing responsible trade union also acted as a factor behind the volatile situation in the garment sector.

Asif Ibrahim, a member of board of directors of BGMEA, said there has not been significant increase of the prices of garment products over the last 20 years in the global market and the benefits they achieved were due to the currency rate fluctuation.

“When we exported RMG products during 80’s, we used to get Tk 35 for a dollar but now we get Tk 70,” he said.

He, however, added, “In the meantime, our production cost has also gone up significantly due to workers salary and reinvestment in the sector.”

“We have to receive high price from the buyers that is needed for sustainable growth of the industry. We have to consider how much wage we can afford to pay the workers and what should be the reasonable wage for the workers,” Ibrahim said.

It would not be rational to impose the minimum wage by creating pressure only on the owners, he said, adding that interest of both the garment owners and workers has to be considered.

Urging the owners to treat the workers as human beings, Channel-i Executive Director Israul Haque said a wrong perception has developed among the workers that garment owners earn huge money and deprive the workers and it is one of the major reasons behind the unrest in the garment sector.

An amicable solution can come out only if the owners consider the workers as their partner, he said.

Golam Faruk, chairman of SQ Group, criticised the wage commission’s proposal for a seven-grade wage only for the garment workers and said under this system workers may lose their right to negotiate with the owners for high wage after becoming skilled workers.

He spoke in favour of the labour leaders’ demand for determining the minimum wage based on the workers’ basic needs.

Now the wage should be set considering the well-being of both workers and owners.

Dr Fahmida A Khatun, a senior research fellow of Centre for Policy Dialogue (CPD) Bangladesh, said although the garment factory owners got the benefits of currency fluctuations while exporting products, the workers are yet to get the share of that profit.

The workers have also been deprived of the profit of currency fluctuation as per the accounts of consumer price index (CPI) and per capita GDP, she said, adding, “If we adjust both CPI and GDP with the workers’ existing wage, per month minimum wage should be Tk 2156.”

“If a worker wants to consume 2,122 calorie food every day, he or she has to spend Tk 1016 per month only for food. But the workers have to bear other costs of the family as well,” she said.

Emphasising the need for a compromise between the workers and the owners to come to an agreement on the minimum wage, Mahbubur Rahman, president of International Chamber of Commerce - Bangladesh (ICCB) said if the garment owners have the ability to pay the workers as per the newly declared minimum wage, they must pay it, but it would not be viable for an industrial unit that does not have the ability.

He said trade unions in the industrial sector consider their vested interest instead of industry development.

S Rumi Saifulah, national president of JCI Bangladesh, BGMEA director Salam Murshedi, Jenni Christenssen and Zillul Hye Razi of European Commission office in Dhaka, and Robert Wong of US embassy in Dhaka also took part in the discussion.

Rumi Saifullah (2-R), national president of Junior Chamber International (JCI) Bangladesh, speaks at a roundtable on ‘Problems in the RMG sector–recent issues and possible solutions’ organised by JCI Bangladesh and The Daily Star yesterday in Dhaka. (From right) Asif Touhid, Waqar Choudhury, Aftab Mahmud Khurshid and Mahzabeen Faruque, members of the national governing body of JCI Bangladesh, are also seen. PHOTO: STAR

Add comment September 25th, 2006

BATEXPO-2006 opens: Ensure working atmosphere in garment factories: PM

BATEXPO-2006 opens: Ensure working atmosphere in garment factories: PM
The New Nation, Bangladesh

Prime Minister Begum Khaleda Zia urged the owners of garment industries and concerned authorities to ensure appropriate working environment, factory condition, and workers health and safety and their wages and welfare.

She also called for properly fulfilling the conditions of compliance, which is presently very important.

The Prime Minister made the call yesterday while inaugurating the three-day long 17th Bangladesh Apparel and Textile Exposition (BATEXPO) 2006 at Hotel Sheraton in the capital.

Bangladesh Garment Manufacturers and Exporters Association (BGMEA) with GTZ, a German technical cooperation organisation, organised the biggest showcase of RMG and textile products to attract the foreign buyers.

The Prime Minister said, “The Government has formed a forum, led by the Commerce Minister, to face the compliance issues of the RMG sector.”

She expressed her happiness knowing that the BGMEA and BKMEA have formed a joint project with International Labour Organisation (ILO) to make the garment industries compliant.

She said, “In any industry, role of owner-worker-buyer is important. Cordially, understanding and cooperation of the three parties is essential for continuous development of the industry.”

The Prime Minister also said that her government is ready to extend all cooperation to ensure upholding the genuine interests of the three parties. The government has provided such cooperation in the past and would continue to do so in the future.

In the present context, there is need to set up a ‘Garment Palli’ or garment industrial park to meet the demands of the buyers on compliance issue. She added that the government has taken up the matter with highest importance.

The Prime Minister informed that the government had taken steps to establish a ‘Garment Palli’ at Gazaria upazila in Munshiganj, where about 300 compliant factories would be set up.

Bangladesh should not be confined to sewing of garments in order to keep the country’s readymade garment competitive in the global market, she said.

She also said, “We will have to produce fabrics and other accessories in the country as well as have to set up more backward linkage industries.”

The government is ready to give all necessary assistance in this regard, she added and invited the foreign and local entrepreneurs to invest in the sector.

About rehabilitation of the sick industries, the Prime Minister repeated the BGMEA leaders and said that it is most urgent to start these factories for the development of socio-economic condition and for bringing stability in the society.

She said that the Ministry of Commerce in this regard formed a committee. The committee has submitted its recommendations.

The Prime Minister directed all concerned to examine the committee’s recommendations and start implementing those immediately.

She advised BGMEA, BTMA and BKMEA to work together in the greater interest of the development of RMG industries and boost exports.

Commerce Minister Hafizuddin Ahmed, State Minister for Finance and Planning Shah Mohammad Abul Hossain and BGMEA President SM Fazlul Haque also spoke at the function.

Ministers, MPs, entrepreneurs, garment and textile exporters, foreign buyers and investors attended the inaugural session.

The Prime Minister formally inaugurated the fair and visited some stalls.

© Copyright 2003 by The New Nation

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Add comment September 22nd, 2006

Garment workers’ wage

Garment workers’ wage
The New Nation, Bangladesh
Wed, 20 Sep 2006, 10:19:00

THE export-oriented readymade garment (RMG) sector which is the principal source of foreign exchange earnings of the county, is now under a threat from simmering discontent of its workforce. A tripartite commission was set up by the Government with the aim of fixing the minimum wage for the workers and reviewing and revising upwards their other wages and benefits.
It appears that the commission’s declaration of minimum wage has not satisfied the workers. Not only they have rejected the proposed wage, they are planning to resume their agitation to press their demand for higher minimum wages than what has been declared by the commission. The outlook for the sector is thus worrying. All stakeholders, specially the government, needs to be proactive to head off trouble in this pivotal economic sector.

Some analysts of the recent violence in the RMG industries have searched and found that the reasons for the same to be accumulated feeling of injustice suffered by the workers. The laws relating to protection of the rights and interests of workers appear to be better observed in the country’s older industries compared to the relatively new ones. But it needs to be realised also that strict regulations might curtail workers’ benefits with low wages and long hours of work, translated otherwise into comparative advantage for industries for those to have competitive edge over foreign competitors. But the prospect of shutting down garment industries from clamour for higher wages could mean no employment and no income at all.

This does not mean that progressively the garment producing units should not increase wages and extend other benefits to their workers. It makes pre-eminent sense for the workers of the RMG industries to encourage activities that would create more employment opportunities for them and not to press so hard for very neat fulfilment of their benefits and rights. RMG workers are not expected to give them up. But there should be safety valves also for owners and operators of the RMG industries not to be overwhelmed by demands so that hikes in these areas are not at the cost of viability of the industries. Owners of garment industries also should not siphon away profit to other sectors by depriving the poor workers of its share.

This principle should also apply in the fixation of minimum wages and benefits for RMG workers. Wages, monetary benefits and welfare facilities should be linked to productivity and the real ability of enterprises to pay them. Thus, while discussing and accepting workers’ demands as far as reasonable and practicable, the negotiators at all levels and forums also need to understand their real long term interests. They must realise that such a harsh course of action could only push the RMG sector of the country out of competitiveness in the international market.

Add comment September 21st, 2006

China : Minimum standard wage for garment workers raised

China : Minimum standard wage for garment workers raised
September 19, 2006/Fibre2fashion.com, India

From September 1, 2006, standard minimum wage in key garment production areas like Guangdong, Zhejiang, Jiangsu and Shanghai was raised.Guangdong firms have decided to hike the wages at varied degrees between 18 and 32 percent.

Government recognized the need for increased environmental protection and higher labor wage for continuous economic development.

Companies that are serious threat to environment or exploit its workers will be terminated.

Clothing unit owner informed that the profit earned today from 400 thousand pieces of ski suit was almost equal to the profit of 60 thousand pieces in 1998.

New wage standards have made already small profits even more meager, forcing many firms to seriously consider shifting to cheaper regions and countries.

Fibre2fashion, News Desk - China

Add comment September 20th, 2006

Poppy Dharsono: Sentra industri kecil sandang rakyat harus lebih diberdayakan

Poppy Dharsono: Sentra industri kecil sandang rakyat harus lebih diberdayakan
Solo (Espos),

Keberadaan sentra industri tekstil, seperti batik atau tenun, di daerah-daerah harus lebih didorong agar bisa mengisi kebutuhan nasional serta untuk menembus pasar luar negeri.Akan tetapi seluruh sumber daya yang ada juga harus bisa dipersatukan untuk memenangkan posisi saing, yang harus diperjuangkan dari bawah.

Demikian dikatakan desainer dan pengusaha Poppy Dharsono dalam seminar nasional Eksistensi Pertekstilan di Indonesia yang digelar Jurusan Seni Kriya Tekstil Fakultas Sastra dan Seni Rupa (FSSR) Universitas Sebelas Maret (UNS) Solo, Senin (18/9).

Menurut Poppy, penguatan kemampuan pengusaha kecil itu harus dibangun dari bawah dan atas kesadaran penuh mereka sendiri. Pengalaman merosotnya kinerja dan kemampuan Gabungan Koperasi Batik Indonesia (GKBI), lanjut Poppy, harus menjadi pelajaran bahwa lebih baik mendayagunakan potensi dari yang kecil dulu dari pada membangun perhimpunan dalam skala besar dan luas namun tidak efektif.
Poppy menambahkan, sebagian pengusaha kerajinan tekstil seperti batik masih berpandangan sempit dengan tidak mau membuka diri karena takut produknya dicontek. Di sisi lain mereka juga sulit bertahan karena keterbatasan jangkauan pemasaran serta kesulitan pengadaan bahan baku yang berharga mahal seperti sutera. ”Coba kalau mereka mau berhimpun dalam koperasi, mereka bisa memecahkan permasalahan bersama-sama seperti belanja bahan baku untuk kebutuhan bersama atau melakukan pemasaran produk bersama,” katanya.
Kalangan pengusaha dan perancang fashion sendiri perlu terlibat lebih jauh dalam mengembangkan potensi yang ada di daerah. Poppy mencontohkan, Asosiasi Pengusaha dan Perancang Mode Indonesia (APPMI) yang didirikannya sejak 10 tahun lalu sudah punya misi membina potensi kerajinan tekstil di daerah. ”Para pengurus APPMI di tingkat provinsi selalu diminta untuk mendukung dan memanfaatkan sepenuhnya potensi di daerah masing-masing,” ujar Poppy.
”Bali misalnya, selain punya potensi desain tradisional, mereka punya desain bikinan perancang luar negeri yang bermukim di Bali. Jawa Tengah punya ciri khas batik pesisiran dan batik Solo atau tenun. Semua perancang harus mampu menjadikannya sebagai brand-nya,” tukas Poppy. - bas

Add comment September 19th, 2006

China : Shishi garment firms upbeat at Polish market

China : Shishi garment firms upbeat at Polish market
September 18, 2006/Fibre2fashion.com, India

Shishi city observation team consisting of 12 local clothing and shoe units, returned from Poland after a successful exploration of its market potential.

This observation team sought to explore and acquire new export opportunities as Poland recently joined the EU.

This group mainly examined ‘Huasha China City’ with an area of 250 thousand square meters and Maxlmus marketplace where the key products are apparel and garments, shoes and some other light industry goods.

Once this research was over many Shishi clothing and shoe firms showed keen interest in establishing trade relations with Poland that offers potential markets.

Several manufacturers have even decided to open outlets in either ‘Huasha China’ or Maxlmus.

Other countries visited by the team were Italy and France while team members met up with several old clients in Rome and Milan.

Fibre2Fashion, News Desk - China

Add comment September 19th, 2006

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