BGMEA worried over fall in export orders

Apparel makers yesterday expressed their concern that the flow of orders from international buyers may decline in the coming months as the competing countries have taken different aggressive marketing measures.

On the other hand, the cost of doing business increased in Bangladesh for different reasons, including price hike of raw materials and higher bank interest rate, said Shafiul Islam Mohiuddin, president of Bangladesh Garment Manufacturers and Exporters Association.

Mohiuddin spoke at a meeting with Finance Minister AMA Muhith at the Planning Commission in Dhaka. The BGMEA chief added that apparel exports increased by more than 42 percent in the July-April period this fiscal year where the profit margin from it declined by 35 percent to 50 percent.

He demanded policy support from the government, introduction of rationing of basic food items all the year round and allocation of fund for building dormitories for garment workers, and providing gas and power connections to garment factories on a priority basis.

Mohiuddin also demanded withdrawal of 15 percent value-added tax on the factories established on rental houses and elevation of Dhaka-Chittagong Highway to six lanes for smooth transportation.

A BGMEA statement quoted Muhith as saying he will try to allocate funds for introduction of food rationing for the workers in the next budget for 2011-12.

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