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Published : 01 May 2025, 02:20 AM
For Bangladesh’s garment workers, the beginning of the month is often the most financially challenging, as they struggle to make ends meet until wages are disbursed, typically between the 7th and 10th of every month.
As families dread the high food bills, relatives in their villages anxiously await the arrival of payday.
Recent discussions about introducing a ration system for garment workers have sparked hope for many like Masrufa Yasmin, who believes that receiving rations at the start of the month would help ease the burden of those difficult days.
“It would be great if we could get rations,” said Masrufa, who works as a helper at Grameen Fashions in Gazipur. “Then we won’t have to worry about food for the first few days of the month.”
The demand for providing rations to garment workers has gained momentum in recent years, as their calls for wage increases have gone unanswered. That demand has grown louder since inflation climbed into double digits last year.
Following the fall of the Awami League government in the July Uprising, Bangladesh is now undergoing a wave of reforms. As part of this transition, the interim government’s Labour Reform Commission has recommended a card-based ration system for workers in both industrial zones and rural areas in their final report, as part of broader social security measures.
However, several key questions remain unanswered: How much food will be allocated per person? What will be the annual cost of implementation? Where will the funding come from? And who will manage the system?
Due to the absence of adequate research, experts remain divided on the feasibility of such a scheme. But there is consensus on one point: as the workforce behind one of Bangladesh’s largest sources of foreign currency, garment workers deserve to be supported by the state.
Factory owners argue they lack the financial capacity to provide rations on their own, without the government’s help. However, the government has yet to make any decision on the matter.
WHY ARE RATIONS IMPORTANT
According to a 2016 study by the Asian Centre for Development, garment workers in Bangladesh spend 72 percent of their total income on food and rent.
In other words, from a monthly income of Tk 15,720, around Tk 11,318 is spent solely on these two essentials.
On average, 11 percent is sent to relatives in their home villages, with the remainder going towards healthcare, education, and other daily expenses.
Food inflation in Bangladesh has been on the rise in recent years. While general inflation hovers around 10 percent, food inflation exceeded 12 percent last year, making it the highest in South Asia.
The working class bears the brunt of these rising costs. According to economists, a rationing system could serve as an effective way to relieve this pressure.
Mostafizur Rahman, honorary fellow at the Centre for Policy Dialogue (CPD), told bdnews24.com: “Workers are not responsible for food inflation. It is the state's moral obligation to provide them with rations. If workers receive rations, their nutrition will improve, which in turn will boost their productivity.”
Speaking on the impact of rising food prices across different socio-economic groups, Mostafizur also emphasised the need for more research into how various classes experience inflation.
Of the four million workers employed in the garment sector, most come from low-income, rural families. By sending a portion of their earnings back home, these workers also play a vital role in alleviating poverty in rural areas.
The industry contributes 21 percent to Bangladesh’s GDP, which is the highest in South Asia. Half of this comes from the manufacturing sector, with ready-made garments making up 80 percent of that share.
Therefore, garment workers deserve monthly rations, even if it is for the sake of their significant contributions to the national economy, said Binayak Sen, Director General of the Bangladesh Institute of Development Studies (BIDS).
Rations would also serve as a “great help” during periods when factories shut down, said Zakir Sardar, a machine operator at Z Apparels in Savar.
“I was unemployed for three months,” he told bdnews24.com. “I took on any daily wage work I could find until I found a new job on the 26th. If I had access to rations during that time, it would have been easier.”
Nazmun Nahar, a sewing operator at BFSL in Nabi Nagar, and her husband, both work in garment factories. Their eldest daughter is a university student, and they see her education as equally important as daily living expenses.
“I have to keep track of every single penny, otherwise I can’t cover my daughter’s education costs,” Nazmun said.
“Even if I save a single taka through rations, it would be really helpful.”
Masrufa’s husband, Mahfuzul Alam, has worked in the garment industry for over a decade. He hopes to set aside some savings amid discussions of a potential rationing system.
A worker at Doreen Washing Plant, Mahfuz keeps his children in the village with his mother to reduce living costs, while he and his wife support their family of five from the city.
“Whatever I can save through rations, I’ll put in the bank,” he said. “Even if I save just Tk 1,000, at least I’ll have something for the future.”
HOW MUCH WILL IT COST? WHERE WILL THE MONEY COME FROM?
The estimated annual cost of the rationing system has not been published yet.
However, Binayak Sen shared his observations on the matter at a seminar, saying that if the government can provide rations until the inflation rate comes down to around 5 to 6 percent, the country’s production system will remain stable.
“Providing a ration subsidy of at least Tk 1,000 per worker per month would require Tk 4 billion monthly, or Tk 50 billion annually. The government could allocate this amount through the Trading Corporation of Bangladesh (TCB),” he said.
This means the government would need to allocate Tk 50 billion in the national budget annually in the initial phase to sustain a rationing programme.
However, neither the government nor labour organisations have proposed any funding sources for this expenditure.
Zahid Hossain, former lead economist at the World Bank’s Dhaka office, believes that to finance such a programme, the government must either increase its revenue or divert funds from other subsidy areas.
Speaking to bdnews24.com, he said: “There’s limited scope in the current budget to expand subsidies. As per advice from the IMF and other groups, the government is trying to reduce existing subsidies. So whether the support comes in the form of food or cash, it must be given by cutting back elsewhere.”
One of the biggest challenges of a rationing programme, whether ration or cash-based, lies in its administration, ensuring that the benefits reach the recipients. To ensure this, an organisation would need to oversee the disbursement of funds at the grassroots level.
Abul Kalam Azad, joint general secretary of the Bangladesh Trade Union Centre (TUC), suggested that rations could be distributed through the state-owned TCB in coordination with factory owners and workers’ representatives.
However, Zahid expressed doubts about the TCB’s capacity to manage such a large-scale operation in a labour-intensive industry, as it is a massive logistical task, ranging from procurement to storage to deliveries at factory gates.
Moreover, there has been no research on how much additional administrative costs would be required to deliver Tk 50 billion in aid.
“The proposal sounds good in theory. But where will the money come from? Whether it’s cash or food, what will be its actual economic impact? These questions need to be researched before the plan can be considered,” Zahid added.
On the other hand, Mostafizur argued that the workers’ rations should come from the same source as the salaries, allowances, and pensions for civil servants.
WHAT THE GOVERNMENT AND THE FACTORY OWNERS ARE SAYING
If the government moves forward with the Labour Reform Commission’s recommendation by introducing a rationing system for garment workers, how might factory owners participate in the scheme?
According to Mohammad Hatem, president of the Bangladesh Knitwear Manufacturers and Exporters Association (BKMEA), factory owners in the readymade garment sector cannot afford such a responsibility.
“The government would need to take on the majority of the cost. We, as employers, can participate, but this would need to be discussed and agreed upon.”
Syed Nazrul Islam, managing director of Well Designers, echoed similar sentiments.
“Post-COVID, we no longer have the same capacity. Some may be able to contribute, but others cannot. It would be best if the government could take on the full responsibility. After all, factory owners already deposit a portion of their profits each year into the government’s Workers’ Welfare Fund,” he said.
Kamran T Rahman, a member of the Labour Reform Commission and president of the Metropolitan Chamber of Commerce and Industry (MCCI), said that the commission recommended implementing the programme after consulting everyone, including employers, workers, and trade union leaders.
“Most of them are in favour of the rationing system. The government can now assess the proposal. Implementation will come later.”
Kamran added that once the government decides, there can be further discussion on funding and logistics.
When approached for comment, AHM Shafiquzzaman, secretary of the Ministry of Labour and Employment, told bdnews24.com: “The Labour Reform Commission has made several recommendations for the welfare of workers, including the introduction of a rationing system. After May Day, we will sit with the relevant ministries, and implement the ones that can be done.”
[Writing in English by Zakia Rubaba Hoque]
