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A minimum of 16 persons have perished after a massive fire broke out at a clothing factory in Bangladesh, with emergency services warning that the number of victims could increase.

Sixteen bodies have been retrieved but were burned unrecognizable, the firefighters stated.

Heartbroken relatives converged outside the four-storey factory in Dhaka's Mirpur area on Tuesday in looking for their loved ones still missing.

The fire, which started at the factory around midday, was put out after several hours. But an nearby chemical warehouse remained ablaze, authorities confirmed.

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

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

Based on bystanders, the chemical warehouse housed chemical bleaching agents, synthetic polymers and industrial peroxide, all of which can worsen fires. Plastic also produces hazardous smoke when combusted.

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

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

Weeping family members waited outside the charred buildings, many of them clutching photographs of their lost relatives.

Included in the crowd is a man seeking urgently for his daughter, Farzana Akhter.

"When I heard about the fire, I came running. But I still cannot locate her... I just want my daughter back," he stated to news media.

The devastating event has another time underscored the security issues facing Bangladesh's garment industry, which engages numerous of workers and is a major contributor to foreign revenue for the nation.