Garment sector leaders have urged the government to provide strong policy support to help Bangladesh’s apparel industry remain competitive amid mounting global and domestic challenges.
A delegation of the Bangladesh Garment Manufacturers and Exporters Association, led by its President Mahmud Hasan Khan, held a meeting with Commerce Minister Khandker Abdul Muqtadir at the Secretariat on Wednesday.
During the meeting, BGMEA leaders highlighted the pressing challenges facing the readymade garment (RMG) sector, including global economic uncertainty, the impact of the Middle East conflict, and acute domestic energy shortages.
They said disruptions in gas and electricity supply, rising raw material costs, and increasing production expenses are significantly affecting industrial output.
Mahmud Hasan Khan stressed that ensuring a business-friendly environment and strong policy backing is critical for the sector to sustain its position in the highly competitive global market.
The discussion also focused on the role of the RMG Sustainability Council in addressing industry challenges. BGMEA reiterated its position that the council’s mandate should remain limited to occupational safety and health issues, including building, fire, and electrical safety.
The association cautioned against expanding the RSC’s scope into non-OSH areas such as wages, leave policies, and trade union matters, arguing that such overlaps could create additional administrative and financial burdens for manufacturers.
BGMEA leaders also placed several policy proposals to support the sector’s sustainable growth.
They called for simplifying import and bonded warehouse policies, including easing procedures for importing raw materials on a free-of-charge (FOC) basis.
The association also urged amendments to relevant provisions of the Import Policy Order to facilitate smoother transactions between bonded and non-bonded exporters.
To strengthen financial capacity, BGMEA proposed withdrawing the existing 10 percent income tax deduction on cash incentives provided to exporters.
It also requested government action to normalize trade relations with India and remove barriers to yarn imports and exports through land ports.
In addition, the association recommended reforms to trade facilitation measures and proposed automating the criteria for granting Commercially Important Person (CIP) status to industry entrepreneurs.
Commerce Minister Khandker Abdul Muqtadir listened to the concerns and proposals and acknowledged the importance of the RMG sector as the country’s leading foreign exchange earner.
He assured the delegation that the government would extend necessary policy support to help the sector overcome current challenges and maintain its competitiveness in the global market.