Stakeholders at a seminar on Saturday demanded a separate national light engineering policy for the sector's expansion with quality and sustainability.
They urged the government to set up light engineering cluster villages in different parts of the country.
The observations were made at a seminar styled 'Importance of Expansion of Light Engineering Products to Achieve Sustainable Development Goals (SDGs)' co-hosted by Business Promotion Council (BPC) and Bangladesh Engineering Industry Owners' Association (BEIOA).
AHM Shafiquzzaman, BPC coordinator and additional secretary of commerce ministry, attended the function as the chief guest with BEIOA president Abdur Razzaque in the chair.
BEIOA adviser Md Habibur Rahman presented a keynote at the event where Federation of Bangladesh Chambers of Commerce and Industry director Md Abu Naser also spoke.
Speaking on the occasion, Mr Shafiquzzaman highlighted the need for streamlining manpower for further expansion of the sector.
Sector insiders need to emphasise standard and quality local products to make the economy vibrant and reduce import of the products, he insisted.
The government is trying to address setbacks, including tariff, currently facing the sector, he added.
Mr Razzaque said higher duty on raw materials, lack of advanced technology and initiatives of market expansion both at domestic and international levels are hitting the light engineering sector.
Small and medium enterprises are facing obstacles like lack of advanced technology, skilled workers, market promotion and product diversification, he added.
United effort can help achieve SDGs and fight the Covid-19 pandemic, Mr Razzaque suggested.
Keynoter Mr Rahman said despite its immense potential, lack of infrastructure facility, limited access to loans and absence of state policy support are also upsetting the sector's expansion.
Mr Naser said tax is being imposed on local production in this sector instead of imported products which is fully discriminatory.
BEIOA members took part in the open discussion.
Some 10,000 types of products, especially spare parts, of sectors like agriculture, garment, textile and jute mill, paper mill and poultry farm are manufactured in light engineering units.
Light engineering sector is recognised as 'the mother of all industries' as it provides backup support of spare parts and repairs to almost sectors like plastic, cement, paper, jute, textile, sugar, food processing, railway, shipping and garment.
Data available with the Export Promotion Bureau shows engineering products fetched $293 million in fiscal year 2019-2020.
The sector provides employment to 600,000 people involved in 50,000 microenterprises and 10,000 small and medium enterprises.
