Published : 24 Aug 2026, 04:09 PM
Updated : 08 Sep 2026, 09:35 AM
LPP, a major European retailer, has reaffirmed its commitment to Bangladesh, emphasising its role as a key growth partner for the nation's ready-made garment (RMG) industry.
LPP says it is currently the eighth largest buyer of garments from Bangladesh, sourcing over $750 million annually across a network of more than 350 Bangladeshi manufacturing partners, the group said in a statement.
Addressing recent financial complexities in the market, LPP clarified that it remains the party most significantly affected by its historical relationship with FES.
“FES currently owes LPP BDT 36.5 billion (approximately PLN 1.1 billion), resulting in substantial write-offs for the Polish retail group,” LPP said. “Despite enduring severe financial strain from these third-party obligations, LPP has absorbed the impact while navigating the situation transparently.”
Despite the difficulties, LPP said that they will not compromise its long-standing partnership with Bangladesh.
“LPP remains fully committed to maintaining its sourcing operations, honoring all direct contractual obligations, and fostering stable, transparent relationships with Bangladeshi garment manufacturers,” it said.
"Bangladesh remains a cornerstone of our global supply chain," noted LPP leadership. "Despite being the party most severely impacted by the FES matter, our priority is ensuring the stability and long-term prosperity of Bangladesh’s garment sector and the local workforce that powers it."
LPP says it will continue collaborating with local manufacturers and industry bodies to guarantee supply chain predictability, and ensure its investment in Bangladesh uplifts the local economy and strengthens the global apparel ecosystem.
