The Bangladesh Garment Manufacturers and Exporters’ Association (BGMEA) has demanded a 10-year loan rescheduling for the “politically victimised” readymade garment (RMG) industry. “The banks concerned have agreed, but Bangladesh Bank is not approving the proposal. We will meet the policy makers as soon as possible to resolve the problem,” said Md Siddiqur Rahman, president of the BGMEA. Rahman was speaking at a press conference at the BGMEA Building yesterday (Saturday). The newly-elected directors and members of the BGMEA were present. The RMG sector faced challenges from January to March this year due to political unrest that interrupted improvement of the sector. According to figures of the Export Promotion Bureau (EPB), in 1983-84, RMG exports stood at 3.89 per cent of the country’s total exports. It was 79.61 per cent in 2012-13 and 81.16 per cent in 2013-14. Bangladesh earns USD 24.5 billion in foreign exchange which covers about 18 per cent of the GDP. There was political stalemate when the present Awami League-led government completed one year in office after the January 5, 2014 election. The BNP had boycotted the polls. Earlier, the BGMEA said the daily output in the garment sector is estimated to be worth Tk. 430 crore a day. So, even if work is disrupted for half a day, it falls to Tk. 215 crore. “Due to the blockade in the first quarter of this year, supply of raw materials and accessories and transportation were affected. So, garment manufacturers could not finish products on time, and as a result shipment suffered,” the BGMEA president said. About the buyers’ visit to Bangladesh being put off, Siddiqur Rahman said they did not cancel their visit, it was only postponed on security grounds. “There is no security problem now in Bangladesh and the law and order situation is quite under control,” he added. To a question, Siddiqur Rahman said there is international pressure on the RMG sector, like devaluation of the dollar in the international market and various agreements that hamper improvement of the apparel sector. About assistance from the government, he said the garment sector expects only infrastructure and policy support. About low prices offered by buyers, he said sometimes they fail to understand that prices of readymade garments of Bangladesh are much lower compared to other competitors. This is unethical, he added. The BGMEA urged the government not to increase the gas price by 100 per cent at one go, as it is used for captive power units. “We urge the government to increase the price of gas in phases,” it said. The BGMEA also urged the government to provide gas connection on a priority basis for industries that are ready to begin production. Commenting on the Trans-Pacific Partnership Agreement, Siddikur Rahman said it was a US government decision and Bangladesh should adopt a diplomatic strategy while dealing with it.
