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Climate change may hit RMG export earnings of 4 nations by 2030: Study

22 Dec '25
2 min read
Climate change may hit RMG export earnings of 4 nations by 2030: Study
Pic: Fardous Hasan Pranto/Shutterstock

Insights

  • The apparel industries in Vietnam, Cambodia, Pakistan and Bangladesh may lose up to $65.8 billion in export earnings by 2030 and create a million fewer jobs due to the impact of climate changes if they make no efforts to manage heat stress and higher flooding, a study revealed.
  • Under the no-adaptation scenario, estimates for export earnings by 2050 are 68.8 per cent lower than in the adaptation scenario.
The apparel industries in Vietnam, Cambodia, Pakistan and Bangladesh may lose up to $65.8 billion in potential export earnings by 2030 and create a million fewer jobs due to the impact of climate changes if the countries make no efforts to manage heat stress and intensified flooding, according to a study by Cornell University’s Global Labour Institute (GLI) and the International Finance Corporation (IFC).

This translates to a 22-per cent reduction in export earnings versus a climate-adaptive scenario.

The estimates for 2050 are even worse. With the compounding effect of slower growth under the no-adaptation scenario, estimates for export earnings are 68.8 per cent lower than in the adaptation scenario.

The analysis also predicts that in these four countries, the employment levels in a no-adaptation scenario would be 8.64 million lower in 2050 than in the adaptative scenario.

The International Labour Organization’s Better Work team offered inputs for the study.

Extreme weather is already disrupting production, delaying orders and threatening workers’ health and incomes. As heat waves and floods become more severe and frequent, worker health, productivity, job creation, and earnings are increasingly at risk, Better Work said in a release.

Despite these challenges, there is reason for optimism. Action is under way across the apparel sector. Governments are introducing and enforcing new standards on workplace heat, ventilation, rest breaks, and access to water.

Global brands are adopting voluntary standards to better manage extreme heat and flooding risks across their supply chains. Manufacturers are training workers to identify and respond to heat stress and related illnesses.

ALCHEMPro News Desk (DS)

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