A new supply chain rule, endorsed by the European Parliament, is set to enhance labor and environmental standards in Bangladesh's garment factories. As the largest destination for textile exports, the European Union (EU) aims to implement stricter regulations to promote sustainability and human rights protection.

The Corporate Sustainability Due Diligence Directive (CSDDD) aims to establish a standard for corporate responsibility in sustainability across EU-bound businesses. It seeks to reinforce environmental and human rights safeguards both within and outside the EU.

The directive awaits final approval from EU member states, with a ministerial vote expected in May. The Parliament's decision coincides with the 11th anniversary of the tragic Rana Plaza building collapse, a poignant reminder of the need for improved safety measures in the garment industry.

The implementation of the CSDDD may bring significant changes to production, compliance, and ethical standards for both importers and suppliers. The rule will be gradually enforced until 2030, initially holding importers responsible for supply chain violations related to compliance standards.

Previously, global apparel retailers sourcing from facilities like Rana Plaza were not held liable for worker fatalities. However, with the CSDDD, the EU aims to ensure accountability and fair treatment for all parties involved in the supply chain.