Risks
Risks (2025)
Each year, we conduct a comprehensive risk assessment per country and per supplier. Risks arising throughout the entire supply chain are identified and prioritized. In consultation with the relevant stakeholders, improvement action plans are developed.
Regions
The majority of our purchases are made from business partners based in:
- Faisalabad (Pakistan)
- Karachi (Pakistan)
- Denizli (Turkey)
- Zhejiang Sheng (China)
Prioritization of Identified Risks
Bamatex identified these risks not only based on literature, training, and audit reports, but also through management visits to our suppliers on-site and cooperation with local organizations. These sources ensure that the theoretical knowledge obtained is confirmed and deepened.
Risk 1: Vulnerable groups:
We define the following groups as vulnerable in the regions where Bamatex operates:
1. Women:
- Gender Equality
- Health and Safety
- Working hours
2. Children and young workers:
- Child labor
- Working hours
3. (Ethnic) minorities:
- Awareness of cultural differences
- Equal opportunities
- Working hours
-
-
Specifically in our area of operation:
Pakistan: Faisalabad
- Migrants from Southern Punjab / Khyber Pakhtunkhwa
- Religious minorities (Christians, Ahmadis)
Pakistan: Karachi
- Internal migrants (Balochistan, Punjab, KP)
- Religious minorities (Hindus, Christians, Parsis)
- Afghan refugees / Pashtun community
Turkey: Denizli
- Syrian refugees
- Kurdish minority
- Seasonal workers from Eastern Turkey
China: Zhejiang Sheng
- Ethnic minorities (Uyghurs, Hui)
Measurements to improve social impact: ooperating with selected business partners. The selection is based on various criteria (supplier risk analysis, recognized certifications, frequent audits by accredited bodies and local agents, visits by Bamatex management, cooperation with local organizations, etc.).
Goal: Creating an inclusive and safe working environment for all vulnerable groups.
Risk 2: Fair wages
- accurately identify analysis of wage gap relative to living wages.
- initiate a process to gradually close this wage gap and achieve a living wage.
|
Risk 3: Employee engagement: Measurements to improve social impact:
|
|
Risk 4 : Water consumption
Measurements to improve environmental impact:
- Bamatex is OCS and GRS certified.
- New products in recycled cotton are under development.
Goal: Handle non-renewable resources responsibly.
Commitment of Bamatex
Bamatex will continue to ensure that the impact of named risks in this Code of Conduct is minimized. We will continue to ensure that minimum expectations towards suppliers and subcontractors are met. We will do this by:
- A clear supplier selection process and purchasing policy (published on the company website)
- Long-term partnerships
- Supply chain monitoring by accredited audit bodies
- Supplier monitoring by local agents
- Partnership focused on continuous improvement
- Support of recognized bodies such as Amfori in training and grievance handling (Speak for Change)
- Visits by Bamatex management to our suppliers
- Cooperation with local organizations
Concrete Actions
- Bamatex gave its commitment to SOS Children's Villages Pakistan. This organization ensures that children receive the necessary housing and education, ensuring their future and preventing early entery into the labor market.
- Our local agent frequently interacts with suppliers employees. This information helps us to strengthen our partnerships.
- In cooperation with Amfori, Bamatex rolled out “Speak for Change” among its Turkish suppliers. We are looking forward to the further rollout of this program.
- Recently, we began cooperating with a program of the International Labour Organization (ILO) active worldwide in the garment and textile industry. The goal is to improve working conditions through active dialogue with all stakeholders.
Measurement and Evaluation
Together with our suppliers, we aim to monitor the progress of our efforts. We track several KPIs related to the mentioned risks.
| GOAL input KPI | Input KI | Output KPI | Outcome KPI | Impact KPI |
| Good purchase practices: good selection of suppliers | Suppliers have valid recognized certificates |
|
Positive evolution of general audit score and performance areas | Social and environmental risks in the textiles industry are better identified and mitigated |
| Good Purchase practices: decrease the pressure on production capacity | Suppliers has a long term contract | 70% of long term contracts on the top 5 suppliers (top 5 determined by turn over) | 75% of top 5 suppliers has an A or B score on the performance area “decent working hours’ | Better work circumstances are common practice |
| Fair Renumeration: closing the gap between legal and living wages | Our suppliers collect data related to living wages | 50% of our suppliers has conducted an assessment | 1 supplier works closely together with an advisory program to steadily close the gap | Decrease poverty and increase quality of life for all the workers of our suppliers |
| Increase workers involvement | suppliers have a complaint mechanism | 75% of our suppliers has a complaint mechanism | Number of actions taken as a result of a complaint submitted | Safer and more pleasant workplaces, more engaged workers |
| Transparency of the supply chain | Supply chain of top 5 suppliers is transparently mapped out | 100% of top 5 suppliers’ supply chain is transparent | 50% of the subcontractors of the top 5 suppliers has signed the Bamatex CoC | Decrease the social and environmental risks in the whole supply chain |
| Protection of the environment | Suppliers have an environmental policy | 100% of the top 5 suppliers have an environmental policy | 75% of top 5 suppliers has A or B score on performance area “protection of the environment” | Increase awareness on protecting the environment |
| Increase % of sustainable products | Suppliers are Made in Green certified | 100% of the top 5 suppliers are Made in Green certified | 70% of the products delivered by top 5 suppliers are Made in Green products | Decrease the environmental impact on the local community |