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At least 16 persons have perished after a enormous fire broke out at a clothing factory in Bangladesh, with officials cautioning that the fatality count could climb.

A total of sixteen bodies have been retrieved but were burned beyond recognition, the firefighters reported.

Grief-stricken relatives converged outside the four-storey factory in the Mirpur district of Dhaka on Tuesday in looking for their loved ones still unaccounted for.

The blaze, which started at the factory around lunchtime, was extinguished after several hours. But an nearby chemical warehouse remained ablaze, emergency services reported.

Until 21:00 local time (15:00 GMT) on Tuesday, the fire at the chemical warehouse had not been completely doused, media reports indicated.

Fire department authorities have not ascertained which of the two buildings ignited initially.

Per eyewitnesses, the chemical warehouse contained chemical bleaching agents, plastic materials and chemical peroxide, all of which can worsen fires. Plastic also produces hazardous smoke when burned.

Security personnel are still trying to locate the operators of the factory and the warehouse, fire service director the fire service official informed reporters.

An inquiry on whether the warehouse was functioning with proper authorization is also ongoing, he mentioned.

Weeping family members waited outside the burned buildings, many of them grasping photographs of their unaccounted for relatives.

Present at the scene is a man seeking urgently for his daughter, Farzana Akhter.

"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 devastating event has yet again underscored the hazardous conditions plaguing Bangladesh's clothing sector, which provides jobs for millions of workers and is a major contributor to economic income for the country.