New authority planned to police textile mills

The government has planned to create a new 'sponsoring' authority to oversee the country's textile mills, making it mandatory for them to be registered with it, a senior ministry official said.
 This provision has been incorporated into the 'Textile Industry Act 2015', already drafted by the ministry of textiles and jute.
All the existing textile units, according to the proposed law, will also require getting registered with the authorities for obtaining support from the government and other trade bodies including financial institutions.
If a textile factory fails to get enlistment from the sponsoring authority, it will not be allowed to work with the enlisted one under sub-contracting arrangement, the draft act said.
According to the draft act, a factory will be enlisted with the authority only if it has safety measures and environment-friendly production in place.
"Our textile mills have been set up in an unplanned and scattered way, now it is time to bring those under a system," minister of textiles and jute Md. Emaz Uddin Pramanik told the FE Monday. "Our plan is to implement a unique system in the industry through the law."
"We've a few mills that maintain all necessary safety measures and environmental standards in their factories. These issues which has now emerged as a major setback for the country to satisfy overseas buyers," he added.
The minister said he is hopeful about reaching a certain position for producing clothes without creating any environmental hazards.
An industry leader, meanwhile, has expressed his mixed reaction over enacting the law. He is doubtful about proper exercise of power given in the new act by the planned authority.
"The state might enact a law or frame policy to monitor any sector. But our experiences over implementation of laws by the government officials are not good," president of BTMA Tapan Chowdhury said.
"We're not against enactment of the law, but the government should keep in mind that all the textile mills don't have the ability to set up effluent treatment plant (ETP) and also not capable of ensuring all types of compliance issues in their factories for want of money," he added.
"If the government makes a plan to provide necessary technical and financial support to the smaller and medium capital-based factories, then we will welcome the attempt of enacting the law," Mr Chowdhury said.
According to the draft act, if factory owners fail to enlist their factories with the sponsoring authority, then the factory owner might be awarded up to 3 months' imprisonment or a penalty of Tk 100,000.
The draft act also empowers the sponsoring authority to help release any capital machinery and other imported goods of the textile mills on a preferential basis.
The enlistment with the authority will require being renewed every five years on payment of certain amount of fees.
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