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This collection features a selection of inspiring examples of the circular economy, compiled in the context of the Switch to Circular Economy Value Chains programme (SWITCH).

Launched in 2020, SWITCH is a five-year initiative that assists EU multinational companies and their suppliers from developing countries to switch to more circular economy approaches and practices in three selected value chains: [Plastic Packaging](https://knowledge-hub.circle-lab.com/switchtocircular/search?collections=832%3D0&framework_elements__5=111), [Textile & Garments](https://knowledge-hub.circle-lab.com/switchtocircular/search?collections=832%3D0&framework_elements__5=99), and ICT and Electronics.

The overall objective of SWITCH is to support the “transformation towards a circular economy”, and to contribute to sustainable growth, low carbon and climate resilient development, decent jobs creation, and a safer, healthier and pollution-free environment.

SWITCH is co-funded by the European Union and the Government of Finland, and implemented by UNIDO, in collaboration with Chatham House, Circle Economy, and the European Investment Bank.
Learn more at www.switchtocircular.eu

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Switch to Circular Economy Value Chains

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Business case

Impact on the quantity or quality of jobs, and shifts in the labour market

Jobs

Impact on the health and happiness of human populations

Well-being

Direct and indirect effects that increase revenues or the potential for new revenues, for example from new products, customer segments, partnerships or business models

Revenue Potential

Reduced green house gas emissions released into the biosphere

Reduce Emissions (SDG13)

Reduced use and withdrawal of water and rate of recycling and reuse of water

Save Water (SDG6)

Producing textile and leather products and processing them into apparel and accessories

Fashion and Textiles

Engaging in discussions with industry stakeholders to share circular economy best practices and push the industry towards greater circularity

Guidance, dialogue with industry stakeholders

Working together with industry peers to engage in business activities or exploratory projects that advance the circular economy

Joint industry ventures, projects, pilots

Participating in government programmes that support and advance the circular economy

Government programmes

Initiatives with disadvantaged communities, minorities, people distanced from the labour market

Give-back programmes

Impacts

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Industries

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The principles of a circular economy concern designing out waste, regenerating ecosystems and keeping items in use. Decoupling the economy from material flows—improving the rate of resource productivity faster than the economic growth rate—is also a consistent guide. By evolving with the growing number of applications of circular economy principles, and consolidating these strategies across thematic areas, Circle Economy’s Key Elements Framework (KE) renders the elements of the circular economy salient and serves as a basis to derive contextual strategies and interventions. 


The Framework consists of:
- Core Elements: Activities directly handling product or material flows; and uniquely,
- Enabling Elements: those that remove obstacles for core actors.


Key elements of the circular economy

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Circle Economy's framework of strategies and activities that define the circular economy

 The Bangladesh Garment Manufacturers and Exporters Association (BGMEA) is one of the largest trade associations in the country representing the readymade garment industry, particularly the woven garments, knitwear and sweater sub-sectors with equal importance. Starting its journey in 1983 today BGMEA takes care of an industry that is at the backbone of Bangladesh’s economy. Since the inception, BGMEA is dedicated to promote and facilitate the apparel industry through policy advocacy to the government, services to members, ensuring workers’ rights and social compliance at factories. BGMEA collaborates with local and international stakeholders, including brands and development partners to pave the way for development of Bangladesh apparel industry. Currently, BGMEA has around four thousand registered garment factories. MisionBGMEA works with the vision to develop the RMG industry of Bangladesh and the economy of the country. Having such vision BGMEA chalked out the following missions and its strategic direction is paved accordingly –Firstly, to protect and promote the interests of the industry; thus ensuring a sustained growth in the foreign exchange earnings of the country.Secondly, BGMEA is committed to ensure all legitimate rights and privileges of the garment workers. The association also strives toward the betterment of the society and environment. MembersBGMEA started with only 12 members in early 1980's and presently has around 4500 member factories. Around 40% of BGMEA member factories are knitwear and sweater manufactures, and the rest 60% are woven garment manufactures. BGMEA member factories account for 100% woven garment exports of the country and more than 95% of sweater exports, while around half of the light knitwear exports are made by them. How BGMEA RunsBGMEA is being run by a 35-member elected Board of Directors. The Board of Directors is elected for a two-year term. Seven Vice Presidents having important portfolios, along with a secretariat of experienced officials, assists the President in formulating and executing vital policies and programs of the organization.  The President is the highest executive authority of the association. The Board of Directors takes assistance from different Standing Committees headed by a Chairman and composed of members having vast experience in the related fields. Strict adherence to democratic norms and code of conduct are being maintained in the BGMEA elections, which has been regarded as a trend setter in trade body elections of Bangladesh for its pre-election projection caucus and election-day discipline. 

 The readymade garments industry acts as a catalyst for the development of Bangladesh. The "Made in Bangladesh" tag has also brought glory for the country, making it a prestigious brand across the globe. Bangladesh, which was once termed by cynics a "bottomless basket" has now become a "basket full of wonders." The country with its limited resources has been maintaining 6% annual average GDP growth rate and has brought about remarkable social and human development. After the independence in 1971, Bangladesh was one of poorest countries in the world. No major industries were developed in Bangladesh, when it was known as East Pakistan, due to discriminatory attitude and policies of the government of the then West Pakistan. So, rebuilding the war-ravaged country with limited resources appeared to be the biggest challenge. The industry that has been making crucial contribution to rebuilding the country and its economy is none other than the readymade garment (RMG) industry which is now the single biggest export earner for Bangladesh. The sector accounts for 83% of total export earnings of the country.  When our only major export earner "the jute industry" started losing its golden days, it is the RMG sector that replaced it, and then, to overtake it. The apparel industry of Bangladesh started its journey in the 1980s and has come to the position it is in today. The late NuroolQuader Khan was the pioneer of the readymade garment industry in Bangladesh. He had a vision of how to transform the country. In 1978, he sent 130 trainees to South Korea where they learned how to produce readymade garments.  With those trainees, he set up the first factory "Desh Garments"  to produce garments for export. At the same time, the late Akhter Mohammad Musa of Bond Garments, the late Mohammad Reazuddin of Reaz Garments, MdHumayun of Paris Garments, Engineer Mohammad Fazlul Azim of Azim Group, Major (Retd) Abdul Mannan of Sunman Group, M Shamsur Rahman of Stylecraft Limited, the first President of BGMEA, AM Subid Ali of Aristocrat Limited also came forward and established some of the first garment factories in Bangladesh. Following their footsteps, other prudent and hardworking entrepreneurs started RMG factories in the country. Since then, Bangladeshi garment industry did not need to look behind. Despite many difficulties faced by the sector over the past years, it has carved a niche in world market and kept continuing to show robust performance. Since the early days, different sources of impetus have contributed to the development and maturity of the industry at various stages. We learned about child-labour in 1994, and successfully made the industry free from child labour in 1995. The MFA-quota was a blessing to our industry to take root, gradually develop and mature. While the quota was approaching to an end in 2004, it was predicted by many that the phase-out would incur a massive upset in our export. However, the post-MFA era is another story of success. Proving all the predictions wrong, we conquered the post-MFA challenges. Now the apparel industry is Bangladesh's biggest export earner with value of over $27.9 billion of exports in 2019-20 financial year. MADE IN BANGLADESH WITH PRIDE 

 We cannot move forward leaving our society backward. This philosophy makes us realize that we have some responsibilities towards society beyond legal obligations. Out of this sense of responsibility towards the community and environment in which we live and operate, BGMEA has been actively involved in various corporate social responsibility activities for the larger good of society. Despite being a non-profit organization, BGMEA has been making significant contribution to the community with true heart and sincere actions. Healthcare for Garment Workers    As part of its CSR activities, BGMEA runs 12 Health Centers that provides healthcare facilities and medicines to more than 60,000 garment workers per year at free of cost. The annual expenditure of these centers is around USD 3,00,000 which is funded by BGMEA’s own resources. The centers also provide awareness program on HIV/ AIDS, tuberculosis, reproductive health and use of contraceptives. Besides, for RMG workers, a full-fledged hospital is operational in Chittagong, and a 100-bed hospital in Dhaka is under construction. The hospital will provide all kinds of outdoor and indoor healthcare facilities to garment workers at free of cost or at heavily subsidized charges. PCR Lab  BGMEA has set up a PCR lab in collaboration with Diabetic Association of Bangladesh (BADAS) at Chandra Tongi and Narayanganj to conduct Covid-19 tests of garment workers.  Schools for Workers' Children  BGMEA runs five schools for garment workers’ children and provides books and study materials at free of cost. BGMEA also provides stipends to the meritorious students. Support to Lactating Mothers Working in Garment Factories   The lactating mothers need special care, more nutrition and higher calorie as they require more energy in bringing up the newborn babies with sound health. With the Govt. of Bangladesh, BGMEA has been implementing a project since 2014 to support female garment workers with infants. Every beneficiary gets Tk800 per month for 36 months as allowance, totaling Tk28,800 in installments. In 2019-20 financial year, a total of Tk23,32,80,000 has been allocated for disbursement among 8,100 lactating mothers working in garment factories. Dormitory for Garment Workers A dormitory for 3000 workers in Chittagong has been set up jointly by the Chittagong Development Authority (CDA) and BGMEA. One more dormitory is going to be set up in Ashulia. Group Insurance BGMEA ensures mandatory group insurance scheme for the garment workers and staff.  Skills Development  With the suppport of Government of Bangladesh and development partners, BGMEA has been implementing different skill development programs including STEP and SEIP for garment employees and workers through several training centers across the country. The tranied people are placed for jobs in garment factories.  Digital Wallet  “Digital Wallet” is the RMG digital payment platform envisioned by BGMEA. These newly opened e-accounts will be inter-operable and a vendor neutral platform for electronic wage payment and shopping. The digital payment platform will serve for cashback, reward points and merchant discounts which will increase the value of wages they receive. BGMEA signed an agreement with Information and Communication Technology Division on June 27 to introduce the digital payment platform for the sector. A pilot program was successfully done covering 150 workers from 3 factories.           Moner Bondhu – An Initiative for Workers’ Mental Wellbeing  Moner Bondhu's facilitators engage workers in many stress management and anger management exercises, meditation which work as quick remedy. The workers in the session before were very excited about experiencing a completely new type of session and said that they felt very relaxed. They are also given the opportunity to connect with “Moner Bondhu” by watching the show at Nagorik channel and Moner Bondhu's social media. Ant-Sexual Harassment Committee To oversee the activities of the Anti-Harassment Committee formed in the factory level, a committee headed by a Director and another two female members have been formed in BGMEA.  Monitors from CMC/SSD cell of BGMEA Dhaka and Chattagram office are visiting factories about formation of Anti-Harassment Committee.  As per the visiting report till date a total 1394 factories were visited by the monitors. They found 577 factories where formed Committees. Apart from BGMEA’s own CSR activities, a good number of garment factories in Bangladesh individually have been engaged in CSR practices like offering treatment and medical facilities such as pathology tests, medicines to their workers and employees at free of cost, running day care centers for the children of workers, awarding stipends to the meritorious children of the workers etc. A number of unique CSR practices also prevail among garment factories. One of these extraordinary practices is employing workers with disabilities in garment factories and ensuring congenial working conditions for them. Providing free lunch, together with food allowances to workers is another unique example of their CSR activities. Fair price shop to provide garment workers with daily essentials at a fair price is an exceptional CSR practice exercised a few garment factories of Bangladesh. Ensuring Workers Legitimate Rights BGMEA is committed to ensuring all legitimate rights and privileges of the garment workers. BGMEA mediates to resolve labour related disputes and complaints. A committee was formed in June 2020 involving representatives of BGMEA and IBC with the BGMEA President in the chair to address labour disputes and complaints in member factories. The committee handled the following types of problems: •   Workers dismissed or retrenched or terminated without wages or benefits •   Dismissed without paying Maternity benefit •   Illegally dismissed/ terminate of trade union leaders. The committee settled 93 out of 114 complaints it received. And a total of 2961 workers benefited from the dispute settlements mediated by the BGMEA-IBC committee. Besides, The Conciliation-Cum-Arbitration Committee (CAC) settled 1987 out of 2152 complaints in 2019-2020 year. A total of 7080 workers benefited from the settlements. (last updated on 10 March 2021) BGMEA worked hand in hand with ILO , better works and GIZ on training mid management and workers on their rights and privileges. BGMEA continues to work on training workers on skill development and health issues. 

 BANGLADESHHome to world's highest number ofgreen garment factories  We have 183 LEED green garment factories certified by the U.S. Green Building Council (USGBC)9 out of the world's top 10 green garment factories are in Bangladesh 40 out of the world's top 100 green industrial projectsare in Bangladesh 500 more factories are in the process of getting LEED certification  Bangladesh RMG industry now standing at a cross road in one hand it has huge opportunity to become the global leader, on the other hand it is also facing some growing challenges in the area of sustainability with issues like climate change, groundwater depletion, efficiency and many more. Globally fashion industry is known as the most polluting industry only after oil and gas. It requires thousands of chemicals and many sophisticated processes to give the fast fashion industry the colors it has. There is always a negative correlation between economic growth and environmental sustainability. We have seen in 2019 the issue of environmental sustainability has taken in the core of fashion industry, and is the most critical area of concerns now a day. Big global brands come up with pledges to their customer to provide fashion with lesser environmental impact, global policy leaders, environmental watch dogs and civil society organization found very vocal about the impact of fashion industry. But clothing is one of the basic needs of human being and we cannot stop wearing fashion able items.  So, the only way would be how we can be eco-friendlier and more efficient to reduce the environmental cost of production. Bangladesh RMG industry being the 2nd largest apparel exporter of the world has responded to this global demand in a very proactive manner. Few of the initiatives and activities of BGMEA to take the sustainability stride of the industry to next level are:  SDG ALIGNMENTAttaining SDGs are one of the core areas of concern for government of Bangladesh and it is said that there without the help of the private sector it is not possible for the government to achieve the goals on time. BGMEA being the apex trade body of the RMG industry have always been supportive to the government of Bangladesh. BGMEA has signed an MoU with the Unilever Bangladesh to achieve SDGs 3, 5, 6, 12 and 17 by impacting lives of 10% population of Bangladesh. We have identified 6 NPIs (National Priority Indicators) to work with Unilever and these are: NPI 5&6- Ensure healthy lives and promote well-being all at all ages, NPI 16: Achieve gender equality and empower all women and girls. NPI 17 & 18: Ensure availability and sustainable management of water sanitation for all, NPI 13: Ensure sustainable consumption and production patterns. DECARBONIZATIONAccording to IPCC (Intergovernmental Panel on Climate Change) 5th Annual report Bangladesh in one of the most vulnerable country to climate change. But ironically, we are one of the lowest carbon emitters of the world. But still understanding the importance of climate change BGMEA has signed the UN fashion industry charter for Climate Action with UNFCCC as a supporting organization to reduce GHGs emission of the industry by 30% within 2030. GREEN BUTTONBGMEA has pledged to “Green Button Initiative” of the German government. Germany is one of the most important markets for Bangladeshi RMG product. The “Green Button” initiative is the 1st ever state-owned global seal on environmental sustainability. It looks into all aspects of sustainability of the apparel product. UNFCCCBGMEA has joined the Fashion Industry Charter for Climate Action, an initiative convened by the UN Climate Change. The Charter goes beyond previous industry-wide commitments. It includes a target of 30 per cent GHG emission reductions by 2030 and a commitment to analyze and set a decarbonization pathway for the fashion industry drawing on methodologies from the Science-Based Targets initiative. By joining this initiative, BGMEA pledges to support implementation of the principles enshrined in the Fashion Industry Charter for Climate Action, in line with the goals established by the Paris Agreement of 2015. PaCT IIAfter the successful implementation of the PaCT first phase the 2nd Phase of the project have started and till now 75 factories have joined the initiative that looks in to water footprint reduction, energy efficiency, renewable energy and chemical management. Besides the program introduced web based system of monitoring on resource efficiency. Through this program the factories are being able to enhance their environmental performances and becoming more sustainable and efficient. GREEN POLICYA proper policy frame work is prerequisite for development of a country. Though Bangladesh is not yet a policy driven country it has a huge implication with national policy framework. BGMEA is been very closely associated with such policy initiatives of the GoB. BGMEA is the member of the task force on GEZ (Green Economic Zones Guidelines) for BEZA. A proper green economic zone policy will uphold the green industrialization of Bangladesh. WATERBGMEA is one of the key partner of the Water Resources Group 2030 a public, private, civil society partnership hosted by the World Bank Group. Ultimate goal of this MSP is to improve water resources management through collaborative transformative actions. Through this platform BGMEA have worked on “Valuing Water”, MAR (Managed Aquifer Recharge),   ISPP (Incentivizing Sustainable Production Practices). WASTEUnder the MSP, the IWWS (Industrial Water Work stream) a sustainable integrated sludge management system is being developed for the EZs. WATER POLICYWARPO (Water Resources Planning organization) has drafted an industrial water use policy for Bangladesh and BGMEA was closely associated with technical insights and supported the initiative. BGMEA Sustainability Report 2020  The Bangladesh Garments Manufacturer and Exporter Association (BGMEA) is proud to publish the second-edition of its Sustainability Report from an association level. It is an attempt to assess its performance in the changing business landscape of the new normal. BGMEA took the initiative to report its sustainability performances through the lens of the Global Reporting Initiative's (GRI) sustainability reporting framework. Globally, this reporting structure is validated and acclaimed by all the stakeholders and adopted by major businesses.  In the global business landscape, sustainability and business are strongly intertwined. The ready-made garments (RMG) industry of Bangladesh has faced numerous challenges since its inception. And every time, we transformed and upgraded our industry to make it more resilient. Besides workplace safety, our RMG industry of Bangladesh has been proactively contributing to sustainability. Many of our members already have sustainability reporting practices. Therefore, sharing a collaborative story on sustainability should help us author the narrative of the industry’s stride and accomplishment, which will, hopefully, break the usual perception of the stakeholders and society at large. The impact of our RMG industry is not just confined just stitching garments but it extends to a socio-economic strata. The RMG industry of Bangladesh, with regard to sustainability, is committed to maintain a strong foothold in line with the global apparel brands.  Click here to read the full BGMEA Sustainability Report 2020. RMG sector sustainability report: A PATHWAY TO MANAGE PRIVATE SECTOR IMPACT on Bangladesh National Priority Indicators (NPIs) & Sustainable Development Goals (SDGs)  

Bangladesh

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The Bangladesh Garment Manufacturers and Exporters Association (BGMEA) is one of the largest trade associations in the country representing the readymade garment industry, particularly the woven garments, knitwear and sweater sub-sectors with equal importance. 

Bangladesh Garment Manufacturers and Exporters Association (BGMEA) 

The Bangladesh Garment Manufacturers and Exporters Association (BGMEA)&nbsp;is one of the largest trade associations in the country representing the readymade garment industry, particularly the woven garments, knitwear and sweater sub-sectors with equal importance.

The Bangladesh Garment Manufacturers and Exporters Association (BGMEA)  - supporting Bangladesh Ready Made Garments industry

Policy case

Efficiency gains on operations or transactions either through cultural or technological shifts

Productivity

Providing public and private education and support services at any level or for any profession, and governmental and public administration services, including judicial, regulatory, and legislative activities, taxation, defence, public order and safety, immigration services, foreign affairs and the administration of government programmes

Education and Government Services

Providing various support services for businesses and governments, such as research, testing, certification and consulting services, cleaning and maintenance services, security and protection services, legal, accounting and bookkeeping services, information management, data processing, and business process outsourcing services

Research & Commercial Services

Working together with stakeholders and parties in other unrelated industries to implement circular economy strategies and opportunities

Cross-industry projects, pilots

Engaging in discussions with government bodies and policymakers to push for regulations that support the circular economy

Advocacy for circular economy policy

Conduct research

Public-private partnerships

A framework of policy instruments that enabled and encourage the transition to the circular economy

Policies

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A framework of policy instruments that enable and stimulate the transition to the circular economy

Business Initiative Leading Development (BUILD) is the country’s pioneering public-private dialogue platform jointly promoted by the three leading chambers of the country, Dhaka Chamber of Commerce and Industry (DCCI), Metropolitan Chamber of Commerce and Industry (MCCI), and Chittagong Chamber of Commerce and Industry (CCCI).

Established in 2011, BUILD is uniquely positioned to provide research-driven policy recommendations to the government on behalf of the private sector.

BUILD 

Business Initiative Leading Development (BUILD) is the country’s pioneering public-private dialogue platform jointly promoted by the three leading chambers of the country, Dhaka Chamber of Commerce and Industry (DCCI), Metropolitan Chamber of Commerce and Industry (MCCI), and Chittagong Chamber of Commerce and Industry (CCCI). Established in 2011, BUILD is uniquely positioned to provide research-driven policy recommendations to the government on behalf of the private sector. BUILD has seven thematic working committees, each with its own ability to implement recommendations since each is co-chaired by a private-sector leader and a high-up official from a relevant Ministry of the Government of Bangladesh (GoB).