BTMA for banning yarn import thru land ports

The country's primary textile millers have demanded the withdrawal of yarn imports through land ports, alleging illegal and misdeclared entry of garment raw materials in absence of proper monitoring.

Opposing any hike in gas prices, they rather demanded fixing the rate below than Tk 20.

They also urged the interim government to reduce bank interest rates.

Bangladesh Textile Mills Association (BTMA) leaders made the demands at a press conference held on Monday at Gulshan Club in the city.

Speaking at the conference, BTMA President Showkat Aziz accused Indian textile millers are exporting yarn and fabric in Bangladesh at a dumping rate.

He alleged that the sales of yarn and fabrics lower than production costs create uneven competition for local millers, who are constantly facing higher production costs due to poor gas supply despite several rise in prices and higher bank interest rate.

They who supply $12 billion worth of fabrics to local market also cannot utilise their full production capacity due to gas shortage, he claimed.

If the 'illegal' import of yarn through land ports continue, the textile sector might face the same fate as the jute mills, he added.

The BTMA president said, “We have already requested the government to stop importing yarn through land ports and impose anti-dumping duties on Indian yarn.”

“They have already taken our jute industry, and now they are planning the same towards textile and garment sectors,” he added.

Responding over anti-dumping duty imposition, he stated that while other countries can make quick decisions, the Bangladesh government is slow to act.

"We have no issue to do business with India if imported through seaports, as these are equipped enough to check and balance," Mr Russel said.

He demanded the suspension of imports through land ports until the capacity of those ports is enhanced to prevent false declarations of yarn imports.

He urged the interim government to take steps to investigate the dumping of Indian yarn.

Despite an increase in garment exports, local yarn is stockpiled worth of upto TK 80 billion to Tk 100 billion, while on the other hand imports through land ports are increasing due to false declarations, he alleged.

BTMA Vice President Saleudh Zaman Khan Jitu said that that the Indian government has been providing state assistance to its millers by offering subsidy of 11 rupees per kilogram of yarn under the name of RoDTEP.

Due to the gas crisis, local mills are operating at 50 per cent to 60 per cent of their capacity, he said demanding a reduction in gas prices to below TK 20.

BTMA Director Razeeb Haider questioned whose interest has been served by encouraging LNG imports when gas reserves are available underground.

The textile and garment industry cannot survive by relying on LNG imports, he noted.

He rather proposed to surrender mills keys instead of participating in the next hearing of BERC scheduled on February 26.

BTMA Vice President Md Abul Kalam demanded lowering bank interest rates to encourage investments in the sector.

Munni_fe@yahoo.com