Textile associations of 9 countries in Asia, the Middle East and North Africa are taking drastic steps to eliminate inequalities in relations with many European and American fashion brands and retailers.
Accordingly, 13 associations representing textile and garment companies of Bangladesh, Cambodia, Indonesia, Myanmar, Vietnam, China, Pakistan, Turkey and Morocco - countries that generate nearly 70% of apparel exports. a draft document on the responsible purchasing terms is in progress. This document is considered as the basis for negotiation to ensure both the buying and selling activities are beneficial for both sides.
At this time last year, many garment companies around the world were in a dire straits as many brands and retailers rushed to postpone, cancel, refuse to pay or discount contracts. signed by the effects of the COVID-19 pandemic.
According to a report by the Bangladesh Textile Exporters and Producers Association (BGMEA), in March and April 2020 alone, the total number of orders delayed and canceled by enterprises in this country reached 3.7 billion USD. Their customers are more than 1,900 European and North American brands and retailers.
According to a report titled 'Billions of USD not paid' by the Center for the Rights of Workers Global (CGWR), in the early months of the COVID-19 pandemic, many brands delayed, canceled and refused to pay. the number of orders has a total value of up to 40 billion USD. In addition, the PayUp Movement Alliance statistics show that as of April 2021, many retailers and fashion brands still owe manufacturers $ 18 billion out of the above $ 40 billion.
Acknowledging the challenges that brands and retailers face when most countries around the world adopt social distancing measures, including the closure of retail stores, the press and The employee's rights protection organization still has to speak up about the behaviors considered irresponsible of buyers.
Many brands and retailers unilaterally change the terms of their contracts signed months ago and offer suppliers no chance to negotiate. Some retailers even use the force majeure clause to declare to the manufacturer that they can 'cancel any order, at any stage', applying to "The orders are in production and in the process of shipping ', and' not responsible for the cost of the goods'.
In fact, the squeeze of brands and retailers as buyers of manufacturers has been going on for many years now, and the COVID-19 pandemic has exacerbated the relationship. This inherently tense system. The brands have many requirements with manufacturers such as fast delivery, 100% quality products, find ways to fine and reduce manufacturers' wages.
The International Labor Organization (ILO) acknowledges that the COVID-19 epidemic crisis has had a heavy impact on the textile and apparel industry in the Asia-Pacific region. A sharp decline in retail sales in key export markets has affected workers and businesses across supply chains.
The ILO report emphasizes that imports from countries that are major customers of the textile and garment exporting countries in Asia have decreased by 70% in the first half of 2020 due to the sharp decline of consumer demand, the government applies and disruptions in the import of raw materials for the production of textiles and clothing.
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Source: tuoitre.vn
