Apparel exporters on Monday demanded five years to repay the loans disbursed by the government under the stimulus package to help the sector offset the fallout of the pandemic.
The Bangladesh Garment Manufacturers and Exporters Association (BGMEA) also pushed for a new stimulus package to pay workers' wages as the second wave of Covid-19 has hit the sector.
The cash already disbursed requires factories to clear the debt in 18 equal installments in two years, with a grace period of six months.
The BGMEA wanted the six-month grace period to be extended to a year.
According to the BGMEA, the sector received a total of Tk 100 billion to pay four months' wages of the workers beginning from April' 20.
BGMEA president Dr Rubana Huq made the demands at a virtual press conference, saying RMG exports witnessed the negative growth again in October and continued in November after positive growth in August and September this year.
She termed the declining trend the impact of the second wave in the US and Europe.
Due to the decline in global apparel demands followed by the lockdown measures, both exports and prices of locally made RMG decreased, Ms Huq said.
Global prices of apparel items declined by 1.79 per cent annually between 2014 and 2019 while it decreased by 5.23 per cent in September alone, she said, adding the declining trend continued in October and November, which was more than 4.0 per cent.
Work orders have decreased by 30 per cent with the resurgence of Covid, the BGMEA said.
Though 90 per cent of the cancelled orders worth more than 3.0 billion were reinstated during the June-August period, factories had to accept discounts and deferred payments.
Buyers are now deferring orders instead of cancellations due to the BGMEA's strong stance, negotiations and reportage in local and international media against order cancellations.
The sector is passing through tough times, which is also reflected in the export and price trends, the BGMEA leader said. "In such a situation, we need the government's policy support," she added.
The second wave of Covid-19 might not prolong further after June next year, she said, demanding that the government should enhance the tenure of stimulus packages repayment time up to five years with one year grace period.
"We also urge the government to consider another stimulus package for workers' wage payment to help the sector overcome the crisis period," Ms Huq said.
She, however, made it clear the lobby group did not place any formal demands for the the new package.
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