Restrictions on the import of knit fabrics could undermine the competitiveness of Bangladesh’s export-oriented apparel industry, delay order execution and erode the confidence of international buyers, the Bangladesh Garment Buying House Association (BGBA) said on Monday.
The association urged the government to scrap the proposed restrictions in their current form and hold meaningful consultations with all relevant stakeholders before finalising the import policy.
In a statement, BGBA President Md Abdul Hamid said the development of the domestic textile industry was important, but the government must also consider the apparel sector’s competitiveness in international markets.
He said buyer-specific requirements, product diversity, quality, technical specifications and timely delivery must be taken into account when formulating the policy.
According to the BGBA, not all types of knit fabrics are consistently available in Bangladesh in the required quality, variety, technical specifications, volume or at competitive prices.
In many cases, it said, export orders cannot be fulfilled without importing specialised fabrics that meet specific requirements of international buyers.
Unreasonable restrictions on such imports could increase production costs and lengthen lead times, creating difficulties in executing orders, the association said.
This could prompt international buyers to shift sourcing to alternative destinations, it warned.
The BGBA also expressed concern over proposed requirements involving recommendations from relevant associations and multiple approvals and procedural conditions.
Delays in obtaining approval or recommendations for specialised fabrics could directly affect production and shipment schedules, it said.
The association called for a data-driven assessment of which types of knit fabrics are available domestically in sufficient quantities and at competitive prices, and which varieties need to be imported.
It also urged the government to ensure continued access to specialised, technical, high-value and buyer-specific fabrics that are not readily available in Bangladesh with the required quality or specifications.
The BGBA said strengthening the domestic textile industry and maintaining Bangladesh’s export competitiveness were not conflicting objectives.
Rather, it said, both goals could be achieved through a balanced and export-friendly policy based on the actual capacity of domestic industries and the views of relevant stakeholders.
“While developing domestic industries is important, the final import policy must also take into account the price competitiveness, lead time, buyer requirements and position of Bangladesh’s apparel sector in the international market,” Hamid said.