Home / Knowledge / News / Apparel/Garments / Subsidies help only fill buyers pockets – Advisor to PM
Subsidies help only fill buyers pockets – Advisor to PM
05
Nov '09
Providing continuous subsidies to the export oriented clothing manufacturing sector would not prove to be fruitful in the country's interests, as these benefits are passed on to the overseas buyers who demand competitive prices for their purchases.

This was mentioned by the economic advisor to the Prime Minister, Mr Mashiur Rahman at a seminar organised by the Bangladesh Knitwear Manufacturers and Exporters Association (BKMEA), on the sidelines of the fifth knitwear exposition.

He said that as and when the government has increased incentives and subsidies, the overseas buyers have demanded lower prices in the same proportion, which nullifies the effect of the subsidy and in no way serves the local exporter.

He also admitted that, the existing high bank interest rate is really a problem for industrial sector, but if the interest rate on loans is reduced, it will also lead to a cut in deposit rates which in turn leads to massive withdrawals, leading to less debt financing in the industrial sector.

Instead, he stressed on readjusting energy tariffs somewhere at an upward level, improving transport infrastructure and developing more ports for the growth of business.

Fibre2fashion News Desk - India

Must ReadView All

Textiles | On 24th Jan 2017

Textile industry demands relaxation of laws from Budget

The upcoming Union Budget 2017-18 should focus on relaxing certain...

President Donald Trump; Courtesy: White House

Textiles | On 24th Jan 2017

US sets ball rolling for withdrawal from TPP

President Donald Trump has set the ball rolling for withdrawal of the ...

Textiles | On 24th Jan 2017

Indian cotton consumption estimated at 290 lakh bales: CAI

The domestic consumption of cotton during the crop season 2016-17...

Interviews View All

Jurgen Gauger
Spreadshirt

‘Buying crowdsourced or creative designs are much more appealing to the...

Abhimanyu Singh Rathore & Barbara Anna Kosiorek
Kannbar

‘Blending cultures is the true beauty of fashion, where one’s imagination...

Mandeep Nagi
Shades of India

Women value something that is unique and has a flavour of India

Paolo Ocleppo
Sandvik Hyperion

Paolo Ocleppo, Rotary Cutting Segment manager, Sandvik Hyperion discusses...

Lynda Kelly
Suominen Corporation

Suominen Corporation is a manufacturer of nonwovens as roll goods for...

Eric Scholler
Groz-Beckert

The Indian market has huge potential in technical textiles, and by far,...

Wendell Rodricks
Wendell Rodricks

"We should not compare India and the West. There are things we do that...

Mike Hoffman
Gildan Activewear SRL

Gildan Activewear, a manufacturer and marketer of branded clothing and...

Yash P. Kotak
Bombay Hemp Company

One of the directors of Bombay Hemp Company, Yash P. Kotak, speaks to...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


editorial@fibre2fashion.com

Letter To Editor






(Max. 8000 char.)

Search Companies





SEARCH
January 2017

January 2017

Subscribe today and get the latest update on Textiles, Fashion, Apparel and so on.

SUBSCRIBE


Browse Our Archives

GO


eNEWS
Insights
Subscribe today and get the latest News update in your mail box.
Advanced Search