FE Report
Commerce Minister Tofail Ahmed Sunday assured the apparel makers of addressing the problems, especially those which have emerged centring on the ongoing factory inspection programme.
"We will sit shortly with the concerned stakeholders, to identify the problems and they will be resolved one by one," the minister said at a view-exchange meeting held at the BGMEA headquarters in the city.
Bangladesh Garment Manufacturers and Exporters Association (BGMEA) organised the view-exchange on the present scenario of the ready-made garment (RMG) sector, at which BGMEA president Md Atiqul Islam and its office bearers, former presidents Mostafa Golam Quddus, Shafiul Islam Mohiuddin, Abdus Salam Murshedy, Bangladesh Knitwear Manufacturers and Exporters Association (BKMEA) acting president Md Hatem, among other manufacturers, were present.
The minister also assured those present of taking necessary measures to meet their demands for arranging funds for the Garment Palli (village) and duty exemption from safety equipment.
He, however, reiterated that the conditions including establishment of a database, recruitment of additional 200 inspectors and harmonisation between the existing labour law and the EPZ law to allow trade union activities in the EPZs, would be completed by the end of March.
During the meeting, the manufacturers alleged that a certain quarter was engaged in conspiracy against the country's garment sector in the name of compliance issues and the ongoing factory inspection programme.
They, however, demanded government assistance in getting the Chinese grant for land acquisition and development of the proposed Garment Palli at Bausia in Munshiganj.
BGMEA vice president SM Mannan Kochi said, "The sector is under tremendous pressure over the safety and compliance issues coming from the Accord and the Alliance."
He alleged that a group was active in "destroying the sector" in the name of different compliance and safety issues. "The government should protect and help the sector as its economy can't bear the loss of it."
Factory owners in the shared buildings are under great pressure and are now in panic amid the situation as 60 per cent of such factories are under 'threat', Nasir Uddin Ahmed Chowdhury, another vice president of BGMEA said.
"We are now helpless in the face of the new requirements and inspection programmes on the part of the Accord and the Alliance," a manufacturer said adding cost of production was going up with the enhanced wage, while buyers were not increasing the products' prices in line with the wage rise.
He, however, said that the buyers had pressed for wage hike, while they now were offering reduced prices, citing different safety issues.
Dhali, a manufacture, said if the inspection was carried out in such a manner like sudden suspension of factories, about 50 per cent of the total factories would be closed in a year.
BGMEA president Md Atiqul Islam alleged that the Accord was not providing any funds for the 'repairs' at garment factories that were asked for after the official inspections, while the platform had committed to providing such funds.
Many factories are located at industrial-purpose buildings, while the factories located at shared building are ready to shift, but it needs time, he said drawing the commerce minister's attention to taking necessary steps in arranging the required funds of Tk 8.0 billion needed for land acquisition for the 'garment village'.
Shafiul Islam Mohiuddin said, "We have made commitment to ensure compliance."
But if different requirements like allowing trade unions are imposed upon us in the name of compliance, it would be difficult to sustain in the sector, he added.
Apparel makers demanded exemption from the existing duty on the import of different safety related equipment in order to meet the buyers' requirements. They also demanded a separate body to look after the sector's issues and provide one-stop service.
