Local apparel makers have urged the government to allow import of raw materials under bonded facilities through all the land customs stations (LCSs).
It is expected to help reduce pressure on a single port, Benapole land port, and keep production uninterrupted.
The Bangladesh Garment Manufacturers and Exporters Association (BGMEA) put forward the demand in a letter to Commerce Minister Tipu Munshi on Saturday.
Signed by BGMEA President Faruque Hassan, the letter also requested the authorities concerned to allow partial import of raw materials for the apparel industry through all land ports with India, including Benapole.
The BGMEA said the country's apparel industry is largely dependent on imported raw materials mostly from China and India.
Currently, the industry can import raw materials like cotton, yarn, fabric and others used for readymade garment manufacturing under the bonded warehouse facility through Benapole while partial imports are allowed only in Chattogram port.
A partial shipment is the fulfillment of a single order in more than one delivery.
"The local RMG industry has been passing through a challenging time throughout the last one year due to rise in yarn prices and the disrupted supply chain," the BGMEA president said in the letter.
Transportation cost in the major importing countries -- the EU and US -- has gone up by 100 per cent to 300 per cent during last two years while the local production cost increased by over 30 per cent in last eight years due to a number of reasons including wage hike, rise in utility charges and freight charges, he explained.
"The prices of locally made apparel items have declined by 3.7 per cent in a year mainly because of the Covid-19 pandemic," Mr Hassan said.
Despite all the challenges, the buyers were now placing work orders which he termed 'encouraging' with the improvements in coronavirus situation in their respective countries.
"The industry can turn around to a greater extent if we can utilise our capability and sustain competitiveness," he noted.
But the local exporters often fail to meet the lead time due to the restrictions on imports of raw materials under a bonded facility through the land ports, the BGMEA leader said.
The import of raw materials including cotton, yarn and fabric under bond facility is allowed through Benapole port though the partial shipment through the same port is restricted, he noted.
If the RMG exporters are allowed to import raw materials through other land ports, especially Bhomra and Sonamasjid land ports along with Benapole, it will reduce pressure on a single port and export-import business would be expedited, it said.
The export growth of the RMG sector was being hindered due to the limitation in using land ports as RMG exporters can only utilise one land port in importing raw materials under the bond facility.
The BGMEA also suggested strengthening capacity of the ports and increasing manpower at the land ports to cope up with the expected growth in export-import activities in future.
munni_fe@yahoo.com