Rescind fuel price hike decision, say BGMEA, CCCI

Bangladesh Garment Manufacturers and Exporters Association (BGMEA) Saturday voiced deep concern over the price hike of diesel and furnace oil, reports UNB. "Production and transportation costs in readymade garment industry will become costlier and the level of competence will fall due to the price hike of fuel," BGMEA president M Shafiul Islam Mohiuddin said in a statement. He said the entrepreneurs had negotiated many export orders before the fuel price hike. "If they'll have to buy fuel at higher prices, it'll be difficult for them to continue their production." Mohiuddin said the RMG owners are addressing their electricity demand through captive generators run by diesel and furnace oil. The RMG sector is already in crisis and the increased prices of raw materials, including cotton in the international market, infrastructure problem, inadequate supply of gas and electricity, increased tax at source, higher bank interest and other factors have made doing business difficult, he said. "Under the circumstances, it'll be impossible for many to run their businesses competing with the international market and make the export growth sustainable following fresh fuel price hike." The BGMEA president urged the government to revert to the previous prices of diesel and furnace oil to maintain the export growth. Chittagong Chamber of Commerce and Industry (CCCI) also expressed concern over the price hike of fuel. CCCI president Morshed Murad Ibrahim in a statement Saturday urged the government to reconsider the decision keeping in mind the reality since the government was going to hike the price of CNG and electricity prices in December. He has demanded withdrawal of the 'unplanned decision' which he thinks will cause public sufferings.