Staff Reporter :
Leaders of the textiles and clothing sector’s trade bodies on Monday sought 5.0 per cent cash incentive against export of apparel products for the next five years to sustain the industry production and maintain its edge in global arena.
They said the sustainability and competitiveness of the country’s textile and clothing industry have been affected due to rising production cost driven by a wage hike, energy cost hike, compliance cost and declining international market price of local apparel items.
The business leaders came up with the call at a joint press conference of Bangladesh Textile Mills Association (BTMA), Bangladesh Garment Manufacturers and Exporters Association (BGMEA) and Bangladesh Knitwear Manufacturers and Exporters Association BKMEA (BKMEA) held at a city hotel.
“The government should offer a 5.0 per cent cash incentive against exports of apparel goods both in traditional and non-traditional markets for the next five years in the next budget to enable the garment makers to sustain with the rising cost of production,” BGMEA President Rubana Huq said this while speaking at the press briefing.
She said the sustainability and competitiveness of local apparel industry is being hampered due to rising production cost amid implementation of the new wage in the industry.
“So, the industry is needed the government support in form of cash incentive for certain period to cope up with the challenges,” Rubana Huq stated.
Highlighting the present crisis in the industry, she further said that the country’s apparel sector is now passing through a transition period owing to several internal and external factors.
“About 22 factories have been closed in the last one month and 10,000 workers lost their jobs. These factories have failed to sustain their production amid rising production cost and cost of compliance. More factories would face similar fate if the government does not offer support to the industry,” she added.
Rubana Huq stated that if there were no help the sector would be in great trouble. A 5.0 per cent cash incentive for the next five years will help the apparel makers to overcome the present crisis. She said that the government will require Tk 11,724 crore if it extends a 5.0 per cent cash incentive to the apparel industry, which accounts for more than 80 per cent of the country’s export receipts.
BTMA President Mohammad Ali Khokon and BKMEA Vice-President Monsur Ahmed also spoke at the press briefing.
Echoing with the BGMEA president, they also demanded cash incentives in the upcoming fiscal year to tide over the rising costs in the industry.
Leaders of the textiles and clothing sector’s trade bodies on Monday sought 5.0 per cent cash incentive against export of apparel products for the next five years to sustain the industry production and maintain its edge in global arena.
They said the sustainability and competitiveness of the country’s textile and clothing industry have been affected due to rising production cost driven by a wage hike, energy cost hike, compliance cost and declining international market price of local apparel items.
The business leaders came up with the call at a joint press conference of Bangladesh Textile Mills Association (BTMA), Bangladesh Garment Manufacturers and Exporters Association (BGMEA) and Bangladesh Knitwear Manufacturers and Exporters Association BKMEA (BKMEA) held at a city hotel.
“The government should offer a 5.0 per cent cash incentive against exports of apparel goods both in traditional and non-traditional markets for the next five years in the next budget to enable the garment makers to sustain with the rising cost of production,” BGMEA President Rubana Huq said this while speaking at the press briefing.
She said the sustainability and competitiveness of local apparel industry is being hampered due to rising production cost amid implementation of the new wage in the industry.
“So, the industry is needed the government support in form of cash incentive for certain period to cope up with the challenges,” Rubana Huq stated.
Highlighting the present crisis in the industry, she further said that the country’s apparel sector is now passing through a transition period owing to several internal and external factors.
“About 22 factories have been closed in the last one month and 10,000 workers lost their jobs. These factories have failed to sustain their production amid rising production cost and cost of compliance. More factories would face similar fate if the government does not offer support to the industry,” she added.
Rubana Huq stated that if there were no help the sector would be in great trouble. A 5.0 per cent cash incentive for the next five years will help the apparel makers to overcome the present crisis. She said that the government will require Tk 11,724 crore if it extends a 5.0 per cent cash incentive to the apparel industry, which accounts for more than 80 per cent of the country’s export receipts.
BTMA President Mohammad Ali Khokon and BKMEA Vice-President Monsur Ahmed also spoke at the press briefing.
Echoing with the BGMEA president, they also demanded cash incentives in the upcoming fiscal year to tide over the rising costs in the industry.
