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What should be the steps from the government to stop the illegal imports of yarn and fabric and raw materials?

Textile Today Question of the Month

Foreign yarn, fabrics and several dress materials, imported through mis-declaration or illegally, are being largely sold in the local markets. As a result, local manufacturers of fabrics and yarn are facing serious trouble and struggling to survive due to lower prices of imported fabrics and yarn.

BD illegally imported yarn

Primary textile sector leaders also claimed that about 50% looms located in Narsingdi, Baburhat, Rupganj, Pabna, Sirajganj, and Madhabdi were on the verge of closure due to sales of smuggled and duty-free imported fabrics and yarn.

What should be the steps from the government to stop the illegal imports of yarn and fabric and raw materials? 

Mohammad Ali Khokon, President, BTMA 

Mohammad Ali Khokon BTMA

Recently illegal import of Indian and Pakistani clothing products and misuse of bonded warehouse trade facility are the serious problems for the primary textile sector. I think, to stop the sale of duty-free imported fabrics, the government should write ‘not for sale’. Besides the government has to stop the misuse of fabrics and yarn imported under duty-free facilities.

Mohammad Hatem, Sr. Vice President, Exporters Association of Bangladesh (EAB)

Mohammad Hatem, EAB

I do not think foreign yarns and fabrics are imported illegally in our country. Some fabrics and raw materials are imported from abroad and sold in Islampur market. These fabrics, yarns and raw materials which we cannot produce locally.

Firstly, we need to research, why we could not produce this type of garments. Many products come illegally through our border from nearby countries. Bangladesh government should establish and maintain a strong monitoring system in our border.

Nur E Yasmin Fatima, Chief Executive Officer, Nice Denim Mills Limited

Nur E Yeasmin, Nice Denim

As one of the largest denim fabric manufacturer, we are already facing a lot of challenges regarding this. Our government must ensure that no one can import fabric and yarn in any illegal way. Also, VAT and TAX on raw materials should be minimized for the betterment and to sustain the textile and garment industry.

Md. Masud Rana, Managing Director, Asia Composite Mills Ltd.

Masud Rana, Asia Composite Mills

Primary textile is directly and absolutely dominating other forward industries. You see, many foreign apparels are sold in our local market, but we have no monitoring system whatsoever.

I think the government should take a proper decision through law without VAT or TAX in such a way that no one can import any materials illegally.

Ruhul Amin, Managing Director, Baishakhi Spinning Mills Ltd

Ruhul Amin, Baishakhi Spinning Mills

More than 60% of over 100000 small and medium power looms which were mainly serving the domestic market has been shut down over the last six months due to illegally imported yarns.

The government should take necessary steps in this issue to curb it. Besides, the government should increase monitoring to our port and border so that no one can import any raw materials illegally.

Mir Md. Mustafa Kamal, General Manager (Textile Division), Silver Line Group. 

     Mustafa Kamal, Silver Line Group

To avail a sustainable textile industry in Bangladesh, we must identify the routes of those illegal loopholes and shut down immediately all sorts of smuggling channels.

For the local textile market, the government should restructure the laws and legislation more strictly so that the local market safeguard the export-oriented RMG industry. Imported yarn and materials should be under higher bars of duties immediately to protect our internal infrastructure. The industry leaders should raise the voice right now before things get completely out of control.

If anyone has any feedback or input regarding the published news, please contact: info@textiletoday.com.bd

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