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No fewer than 16 people have lost their lives after a huge fire broke out at a garment factory in Bangladesh, with emergency services cautioning that the fatality count could rise.

A total of sixteen bodies have been found but were burned beyond recognition, the fire service said.

Grief-stricken relatives gathered outside the four-level factory in Mirpur, Dhaka on that day in search of their family members still not found.

The inferno, which started at the factory around noon, was brought under control after multiple hours. But an adjacent chemical warehouse continued to burn, officials confirmed.

Up until 21:00 local time (15:00 GMT) yesterday, the fire at the chemical warehouse had not been completely doused, news sources said.

Fire department authorities have not ascertained which of the two buildings caught fire first.

Based on witnesses, the chemical warehouse contained industrial bleaches, plastic and chemical peroxide, all of which can intensify fires. Polymer products also releases hazardous smoke when burned.

Police and military officers are still searching for the owners of the factory and the warehouse, fire department chief the department director told reporters.

An investigation on whether the warehouse was functioning with proper authorization is also in progress, he noted.

Weeping family members stood outside the fire-damaged buildings, many of them clutching photographs of their unaccounted for relatives.

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

"When I was informed of the fire, I hurried to the scene. But I still have been unable to find her... I just want my child back," he expressed to journalists.

The tragic incident has yet again emphasized the security issues plaguing Bangladesh's garment industry, which employs millions of workers and is a significant contributor to economic income for the nation.