British Garment Retailers Cancel Orders And Bangladesh Factories Are In Trouble

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Bangladesh commerce minister Tipu Munshi called on the British government to take action to prevent the garment processing industry with 4 million people from going to collapse.

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The total order of 2 billion 500 million pounds was cancelled, mainly including Arcadia (Topshop's parent company), Debenhams, Asda, Peacocks, New Look and Sports Direct.

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Munshi said that many garment factories are in danger of bankruptcy, and the impact will be far more than what they see now.

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"Factories may fail," he said in an interview. They will not be able to afford the main cost, and they may not be able to start again. This is a big problem and the British government has the responsibility to handle it properly. In China, the government has taken positive measures to support garment factories. Britain should also provide support to retailers so that they can stimulate the economy and retailers can support us. "

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Bangladesh has been in a state of blockade since March 26th, and millions of garment workers were asked to stay at home. Bangladesh is a concentrated producer of retail outsourcing in the UK. But local workers have low incomes. Few workers are ready to face the outbreak crisis. And because of the wage suspension during the shutdown period, a large number of workers are suffering enormous difficulties. Although the government provides interest free loans to factories, it hopes to enable factories to maintain operations and pay workers' wages during the epidemic period, but Bangladesh enterprises can not take a vacation like Britain.

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British retailers have been severely criticized by the media for cancelling orders. Many retailers said they had communicated with suppliers and promised to pay the orders they had already made. M&S (Marsha) and Primark both stressed that they had already begun to implement, and Asda said they only cancelled orders for 5% of Bangladesh suppliers.

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Previously, Primark promised to pay all orders for goods delivered in April 17th and before, with a total value of about 370 million. At the same time, New Look has resumed the cancelled part of the Bangladesh order, and said: "unfortunately, we have to inform the supplier that we are unable to issue new orders and will temporarily postpone payment of outstanding items. We have no choice but to do so. We have already begun to pay part of the supplier's funds within our capacity. "