Reeling under pressure to either develop safety compliant factories or shift the hazardous ones to new locations to remain export friendly, garment makers in Bangladesh have sought government help. They have demanded policy support to immediately relocate their factories to ensure workers''safety.

Over last six months, global brands sourcing from the country have been canceling orders due to poor working conditions in factories. Orders worth around $110 million from 57 factories housed in shared buildings were cancelled by foreign retailers. Bangladesh Garment Manufacturers and Exporters Association (BGMEA) is said to have stopped production at 13 risky buildings in and around Dhaka during factory inspection.

According to Atiqul Islam, President of BGMEA, the government currently imposes 61 per cent duty on the import of pre-fabricated building materials, but since the need to relocate the factories to safe locations is an urgent priority, government must offer a 100 percent waiver on such items to minimise the relocation costs. Of the 3,600 garment factories now in operation, 40 percent are housed in shared buildings employing around 15 lakh people; the rest operate in converted and purpose-made buildings.

BGMEA also appealed to the government to waive all duties and taxes on the import of modern fire-fighting equipment and energy saving lights, especially for the export oriented factories. Currently, NBR charges 31 per cent in duties on the import of LED lights. Even Bangladesh Knitwear Manufacturers and Exporters Association urged the government to exclude value added taxes from their gas and electricity bills. It has also asked for extension of the deadline to submit VAT returns from one month to six months to minimise hassle. Bangladesh Textile Mills Association, on the other hand, has urged the government to reduce duties on the import of raw materials for the primary textiles sector.

www.bgmea.com.bd