Textiles and Jute Minister Jahangir Kabir Nanak speaks at a meeting with BGMEA leaders at his secretariat office in the city on Monday. Apparel sector leaders on Monday demanded withdrawal of a central bank's circular regarding gas connections to industries located outside the economic zones, and the continuation of cash incentives until 2026.
They also voiced grievances about non-cooperation from the customs and the National Board of Revenue, emphasising the need for a business-friendly and harassment-free environment.
The new board of Bangladesh Garment Manufacturers and Exporters Association (BGMEA), led by its president SM Mannan Kochi, placed the demands at a meeting with Textiles and Jute Minister Jahangir Kabir Nanak at his secretariat office in the city.
Mr Kochi said that out of the proposed 100 economic zones, only three have opened, stressing that there would be no fresh investment if no gas is provided outside the economic zones without making them operational.
"The economy will be affected," Kochi said, urging the withdrawal of the circular issued by Bangladesh Bank, which restricts gas and electricity connections to new factories outside the designated economic zones and industrial areas.
In the circular, the banks have also been asked to ensure mandatory clearance certificates from utility service providers before approving loans.
The BGMEA president emphasized the significant growth of Bangladesh's garment exports, from $23 billion a decade ago to $47 billion presently, crediting this with the government policy support.
The country has now 215 green garment factories and additional 300 are in the pipelines, he added.
He also said that they want to do business without facing any harassment and demanded continuation of cash incentive support until 2026.
The trade body also requested the government to reduce source tax to 0.5 per cent from the existing 1.0 per cent.
Acknowledging the challenges posed by issues with the NBR and customs, the minister said they had received such complaints from other sectors too and would raise the issues in the next cabinet meeting.
He also assured the apparel sector leaders of efforts to streamline the directives regarding gas connections and industrial setups outside the economic zones.
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