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A minimum of 16 individuals have perished after a huge fire started at a garment factory in Bangladesh, with emergency services warning that the fatality count could rise.

Sixteen bodies have been retrieved but were charred unrecognizable, the fire department said.

Grief-stricken relatives converged outside the multi-story factory in Mirpur, Dhaka on that day in looking for their dear ones still unaccounted for.

The blaze, which started at the factory around noon, was extinguished after multiple hours. But an nearby chemical warehouse kept burning, emergency services reported.

As late as 21:00 local time (15:00 GMT) yesterday, the fire at the chemical warehouse had not been entirely put out, news sources reported.

Fire service officials have not determined which of the two buildings caught fire first.

Based on eyewitnesses, the chemical warehouse housed industrial bleaches, plastic and chemical peroxide, all of which can intensify fires. Plastic also emits toxic fumes when burned.

Law enforcement and armed forces are still searching for the proprietors of the factory and the warehouse, fire department chief the fire service official briefed reporters.

An inquiry on whether the warehouse was functioning with proper authorization is also currently underway, he noted.

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

Present at the scene is a man looking frantically for his daughter, his family member.

"When I heard about the fire, I hurried to the scene. But I still haven't found her... I just want my daughter back," he told reporters.

The tragic incident has another time emphasized the safety concerns facing Bangladesh's clothing sector, which engages numerous of workers and is a crucial provider of export earnings for the nation.