Improving Environmental and Social Conditions in The Savar Tannery Estate, Bangladesh

Bangladesh’s leather industry is the second-largest export sector, employing 600,000 people directly and another 300,000 indirectly, contributing $1.4 billion to the economy (EPB, Bangladesh Bank, 2023). Despite its potential, the sector remains underutilized due to incomplete Common Effluent Treatment Plant (CETP) facilities, poor compliance with environmental, social, and governance (ESG) standards, and weak Environmental and Social Management Systems (ESMS). The relocation of tanneries from Hazaribagh to Savar, which began in 2003 and saw tanneries shifting in 2017, still faces major environmental and operational challenges. Without addressing these issues, the industry risks losing global opportunities, including Leather Working Group (LWG) certification, which is crucial for sustainable growth and increased exports.

Ethical Trading Initiative (ETI), ETI Bangladesh, Bangladesh Labour Foundation (BLF), and Mondiaal FNV have launched a consortium project called "Improving Environmental and Social Conditions in the Savar Tannery Estate, Bangladesh." The project is funded by the Sustainable Manufacturing and Environmental Pollution (SMEP) programme, established by the Foreign, Commonwealth and Development Office (FCDO) in partnership with UN Trade and Development (UNCTAD).

PROJECT GOAL

The project's goal is to reduce pollution and the environmental impact of the Savar Tannery Industrial Estate, fostering adherence to international standards, ethical practices, and environmental responsibilities

TIMELINE

August 2024- March 2026

INTERVENTION AREA

40 tanneries from the Savar Tannery Industrial Estate

OBJECTIVES

  • Improved Occupational Health & Safety (OHS) standards and promotion of decent work conditions in tanneries
  • Establishment of a Human Rights and Environmental Due Diligence (HREDD) framework, along with an Environmental and Social Management System (ESMS) to enhance resource efficiency and achieve LWG certification eligibility
  • Strengthened connections and business opportunities for tannery owners with both national and international markets.

MAJOR ACTIVITIES OF THE PROJECT

  • Improving the knowledge and skills of workers, worker representatives, and factory managers on workplace safety and health through training and awareness initiatives
  • Establishing functional safety and anti-harassment committees that follow national laws, international standards and ethical practices
  • Ensuring workplaces meet the safety rules set by the Department of Inspection for Factories and Establishments (DIFE)
  • Developing and implementing a Human Rights and Environmental Due Diligence (HREDD) framework and toolkit
  • Creating an Environmental and Social Management System (ESMS) checklist and carrying out a worker involved ESMS action plan
  • Strengthening environmental awareness and actions
  • Helping tanneries connect with potential business partners to expand market opportunities
  • Consolidating and sharing lessons learned from the project intervention

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