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At least 16 individuals have died after a huge fire started at a apparel factory in Bangladesh, with emergency services warning that the fatality count could increase.

A total of sixteen bodies have been retrieved but were charred unrecognizable, the firefighters stated.

Heartbroken relatives gathered outside the four-storey factory in Dhaka's Mirpur area on Tuesday in looking for their family members still not found.

The inferno, which started at the factory around lunchtime, was extinguished after three hours. But an neighboring chemical warehouse remained ablaze, authorities reported.

Up until 21:00 local time (15:00 GMT) that day, the fire at the chemical warehouse had not been entirely put out, media reports said.

Fire department authorities have not ascertained which of the two buildings was the origin point.

According to bystanders, the chemical warehouse contained bleaching powder, synthetic polymers and chemical peroxide, all of which can accelerate fires. Polymer products also produces hazardous smoke when combusted.

Security personnel are still searching for the proprietors of the factory and the warehouse, fire service director the department director briefed journalists.

An inquiry on whether the warehouse was operating legally is also in progress, he added.

Crying family members stood outside the charred buildings, many of them grasping photographs of their unaccounted for relatives.

Present at the scene is a man seeking urgently for his daughter, his loved one.

"When I was informed of the fire, I came running. But I still haven't found her... I just want my child back," he expressed to journalists.

The tragic incident has yet again emphasized the hazardous conditions facing Bangladesh's apparel manufacturing, which engages numerous of workers and is a significant provider of export earnings for the country.