Uncertainty looms large over the achievement of US$50-billion export earning target by the country's readymade garment (RMG) sector by the year 2021, sources said.
The recent export earning trend of the sector also indicates the same, they added.
RMG sector is projected to earn about $35.62 billion and $38.73 billion in fiscal year (FY) 2019-20 and 2020-21 respectively, according to a presentation made by the Ministry of Textiles and Jute (MoTJ) in a meeting last week.
Export Promotion Bureau (EPB) projected that export of RMG, which includes knit and woven items, would earn $32.69 billion in the current FY, 2018-19.
The RMG export earning stood at $30.61 billion in last FY, 2017-18, from $25.49 billion in FY 2014-15, the base year of the projection, according to the presentation.
Besides, $11.22 billion has been projected to be earned from the accessories sub-sector, backward linkage industry of RMG, and $1.06 billion from home textile and terry towel in FY 2020-21.
Export earning from packaging and accessories items stood at $7.10 billion in FY 2017-18, and $921 million from home textile and terry towel, it showed.
Earlier, the $50-billion export earning target from RMG sector was announced in Dhaka Apparel Summit in 2014.
When asked, a top official of MoTJ told the FE that the ministry discussed the issue of revising the export earning target projection for the overall textile and clothing sector through the inclusion of accessories, home textile and terry-towel sub-sectors.
"Recent years' export trends have showed that there are some internal and external risk factors in achieving the $50-billion RMG export target."
To address the challenges, it is important to prepare an action plan, and the meeting discussed the possible challenges and their way-outs, he added.
MoTJ Secretary Mizanur Rahman presided over the meeting. Among others, officials of relevant government agencies and representatives from Bangladesh Garment Manufacturers and Exporters Association (BGMEA), Bangladesh Knitwear Manufacturers and Exporters Association (BKMEA), Bangladesh Garment Accessories and Packaging Manufacturers and Exporters Association (BGAPMEA) also attended.
Poor infrastructure, inadequate supply of energy, inefficient port facilities, lack of skilled manpower, and low diversification of export markets and products were identified as the major obstacles in achieving the target, another meeting source said.
Production of high value added diversified products and technical textiles like agro- tech, geo-tech, medi-tech, suit, women wear, sportswear, and swimming wear etc were recommended to overcome the present export challenges, he added.
Other recommendations included exploring non-traditional potential markets, like -- China, Russia and Japan, and increase in production of backward textile and accessory industries.
The meeting also emphasised coordinated efforts from all relevant ministries and government agencies to achieve the target, meeting sources added.
BGMEA President Md Siddiqur Rahman, however, said fetching $50 billion from RMG sector would be possible, but it might take some more years than the present projection of 2021.
With the increase in RMG export earning, the earning of accessories will also rise. Although home textile has immense potentials, the sector needs more investment, he added.
To achieve the target, he also focused on an investment-friendly environment.
BGAPMEA President Abdul Kader Khan said the target could be achieved with the existing capacity of the accessories sub-sector, with the government's required policy support especially in getting one-stop service and through effective coordination among the relevant agencies.
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