The Bangladesh Garment Manufacturers and Exporters Association on Sunday said the latest power price hike would put adverse impact on the readymade garment sector and the industry would lose its competitive edge. In a news release the trade body expressed its deep concern over the power price hike and said the 6.96 per cent increase in power tariff would result in the reduction of competitiveness of the export-oriented industry.
The BGMEA urged the government to keep the power prices unchanged for the RMG sector to keep the sector competitive in the global market.
The trade body also said that the RMG sector was passing through a transitional period as production cost increased by 13 per cent, local currency was devaluated by 8 per cent and at the same time the minimum wage of the workers increased by 76.67 per cent.
After the Tazreen Fashions fire and the Rana Plaza building collapse RMG entrepreneurs are also working with the international initiatives, the EU Accord and the North American Alliance, to ensure workplace safety for workers and the sector is under a tremendous pressure, both at the
national and the international levels, to invest in the remediation and retrofitting of the factory buildings, the release said.
It said RMG entrepreneurs were facing financial crisis due to the remediation and retrofitting works but buyers had not increased the prices of products.
-With New Age input
