Online Desk: In line with the latest wage hike for apparel workers, one of the country’s top apparel buyers H&M will pay higher prices for ready-made garment items sourced from Bangladesh.

“We are committed and welcome the latest wage hike. We will pay higher once the new wage structure is implemented,” said Ziaur Rahman, regional head of H&M Bangladesh, Pakistan and Ethiopia.

Bangladesh is one of H&M’s most strategic sourcing destinations and it would remain so in the future, Rahman said at the inaugural session of the two-day 15th Bangladesh Denim Expo on Wednesday at the International Convention City Bashundhara in Dhaka.

The expo was inaugurated by Commerce Minister Tipu Munshi. Other speakers included Bangladesh Garment Manufacturers and Exporters Association (BGMEA) President Faruque Hassan, former BGMEA presidents Siddiqur Rahman and SM Mannan Kochi, and Mostafiz Uddin, founder and CEO of non-profit Bangladesh Apparel Exchange (BAE). Mr Rahman also stressed circularity, saying there is a huge business opportunity in Bangladesh’s vast textile and garment waste — locally known as “jhut”.

Bangladesh is the world’s second-largest apparel exporter. In the denim segment, the country is the largest exporter to both the European Union and the United States, Commerce Minister Tipu Munshi said.

Regarding the recently declared minimum wages for ready-made garment workers, he said the government has tried to adjust the minimum wage in view of the current inflation.

Criticising the ongoing labour protests over the minimum wage hike, Siddiqur Rahman said a quarter of so-called labour leaders are refusing to accept the new wage structure, which includes a substantial 56.25 per cent increase to Tk 12,500 for entry-level workers.

He alleged that vested interests with political involvement are trying to instigate unrest within the RMG sector and warned that such actions could drive buyers to seek alternative sourcing destinations. Mostafiz Uddin said the Bangladesh denim industry has huge potential and his organisation has been working to unlock the industry’s untapped potential.

Some 80 exhibitors from 12 countries are participating in the expo, organised by the Bangladesh Apparel Exchange.

Four panel discussions will be held during the expo: ‘Bangladesh Apparel Industry in 2030: The Road Ahead’, ‘Transforming Human Capital for US$100 Billion Export Target’, ‘Sustainable Transition of Denim Industry’, and ‘Unlocking the Untapped Potentials’.