Home / Knowledge / News / Textiles / Terry towels exporters demand cut in interest rates
Terry towels exporters demand cut in interest rates
Jul '11
Terry towel manufacturing and exports could prove to be the next big opportunity for the Bangladesh textile and apparel sector after the resounding success it has achieved in exports of clothing in the previous fiscal year ending June 2011.

However, the terry towel industry which is growing at an annual rate of 21 percent is bogged down by high interest rates charged by the banks, which is hampering the holistic growth of the sector. Towards that end, the sector has petitioned the government to reduce the interest rates.

At present, there are around 105 member units producing towel & allied products, who together have 5,000 looms. The annual production capacity of those units is 396,000 tons and provides direct employment to around 55,000 men & women.

These units produce a wide range of terry towels for exports which include, face towel, hand towel, kitchen towel, stripped bath towel, terry towel, assorted colour bath towel, dyed terry bath towel, golf towel, bath robe towel, etc.

Bangladesh exports terry towel products to various countries like the US, France, Germany, UK, Sweden, Spain, Italy, Greece, the Netherlands, Finland and Poland. Apart from these, it also exports to a few Asian countries.

According to analysts, the demand for those products is increasing with each passing month, due to the cost effective prices and their quality. However, the high bank interest rates are spoiling the party of the terry towel exporting sector, they add.

To give an example, experts from the terry towel sector aver that, their bank interest rate is about 15-18 percent while the bank interest rate of their main competitor; Pakistan is only 7.5 percent, which makes them uncompetitive in the global markets.

“To be more competitive in export market we have requested the concerned authorities to reduce bank interest rate to single digit. This request has been filed through Bangladesh Exporters Association, as we are the member of the same”, Mr M Anisuzzaman, Chairman - Bangladesh Terry Towel and Linen Manufacturers and Exporters Association told fibre2fashion.

Fibre2fashion News Desk - India

Must ReadView All

Textiles | On 22nd May 2017

GST to be biggest achievement of Modi govt: ASSOCHAM

Goods and Services Tax (GST) which is near a roll-out would be the...

Textiles | On 22nd May 2017

Maintaining NAFTA benefits is crucial: Cotton council

The US must remain a participant in a vibrant North American Free...

Apparel/Garments | On 22nd May 2017

Retailers ask Congress not to go for consumption tax

The National Retail Federation has asked US Congress to focus on...

Interviews View All

Smita Murarka

‘There is huge demand in the Indian lingerie market for non-wired styles.’

Marazban F Velati
Sutlej Textiles & Industries limited

No training can be effective till the candidate believes in it.

Shawn Honeycutt
Bolger & O'Hearn

‘The Indian market is interesting and rather persistent in seeking new...

Iago Castro Asensio
RCfil Distribuciones S.L.

Iago Castro Asensio, International Business Manager of RCfil...

Steve Cole
Xerium Technologies

Steve Cole of Xerium Technologies discusses the industry. Xerium is the...

Kevin Nelson

Kevin Nelson, Chief Scientific Officer, TissueGen discusses the growing...

Wendell Rodricks
Wendell Rodricks

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

Igor Chapurin

"Now we can see the Russian trend in international fashion. And Russian...

Tony Ward
Tony Ward

"You have to truly understand what your client wants, know her needs, what ...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


Letter To Editor

(Max. 8000 char.)

Search Companies


news category

Related Categories:
May 2017

May 2017

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


Browse Our Archives


E-News Insight
Subscribe Today and Get the
Latest News Update in Your Mail Box.
Advanced Search