The government is going to finalise new textile policy with the aim of raising local textile production from the existing 7,000 million mitres to 14,036 million mitres of fabrics by 2019-20.
Currently, country’s textile sector meets 62 per cent of the local demand for fabrics — 11,400 million mitres — a year. Earlier, the government had taken several moves to update the textile policy in line with the changed global scenario but the attempts were not successful. The present textile policy was enacted in 1995.
Textile and jute ministry officials said that with the aim of developing the textile and garment sector the government had moved to formulate ‘Textile Policy 2014’ as the contents of the existing policy are not suitable in the present business context.
To attain self sufficiency in the textile sector for meeting local demand as well as for supplying fabrics to the export-oriented RMG industry and exporting fabrics directly, the draft policy proposed simplification of the process of expansion and upgradation of spinning and weaving mills.
The draft policy recommended giving support to the small and medium entrepreneurs for installing their units in Textile Park or industrial park.
It also recommended giving special privilege for the garment industry and backward linkage industry in the special zones.
According to the draft, country’s primary textile sector supplies 80 per cent of raw materials for the export-oriented knitwear sector and 35 per cent for the woven garments.
The draft will be finalised shortly at a meeting as the opinions of the stakeholders on the draft policy have already been received, Rezaul Quader, joint secretary of the textile and jute ministry, told New Age on Monday.
He said that after the draft was finalised, it would be placed before the cabinet.
‘I hope the Textile Policy-2014 will be finalised by this year,’
Rezaul said.
Jahangir Alamin, president of Bangladesh Textile Mills Association, said that the target of doubling production by 2019-20 set in the draft of the textile policy could be achieved if the government ensures uninterrupted power and gas supply.
High interest rate of bank loans also an impediment to achievement of the target set in the draft policy.
The draft recommended formation of the protecting authorities for the textile sector but the initiative would not be fruitful without ensuring one stop service, Jahangir said.
The BTMEA, in its opinions, demanded inclusion of the issues of decreased bank interest, incentive, and duty weaver in the draft more specifically.
-With New Age input
