Home / Knowledge / News / Textiles / Bangladesh govt supports domestic spinners, weavers
Bangladesh govt supports domestic spinners, weavers
15
Nov '11
The Bangladesh Government has doubled the cash incentives for garment exports to help the domestic spinners and weavers who have been hit by international cotton market volatility.

The cash subsidy has been raised to 10 percent from the earlier 5 percent to support the spinners and weavers whose competitiveness has badly suffered in past few months due to global cotton market volatility, the Bangladesh Bank said.

However, only the Bangladesh Textile Mills Association (BTMA) members will benefit from the cash incentive, either for overseas export or domestic supply in the current fiscal, according to the central bank.

The cash subsidy would also be made available on export of garments prepared from domestically procured yarn or fabrics. A drop in sales of yarn and fabrics alongside a fall in cotton prices and relaxation in its Rules of Origin (RoO) by the EU in January this year adversely affected the competitiveness of the weavers and spinners in Bangladesh.

The 30-count yarn, which is consumed extensively and which was being sold at around US$ 7 per kg a few months back, is now being sold at almost half the price at around US$ 3.5 per kg, following which the spinners are suffering losses.

RoO relaxations have also resulted in a major fall in demand for domestic fabrics, as domestic garment producers prefer to import fabrics so as to avail the 12.5 percent duty benefit that the Eurozone offers under the Generalized System of Preferences (GSP).

The Government would subsidise those importers who imported expensive cotton during August 2010 to March 2011. Though industry experts see this as a welcome move, they believe that the incentive would not prove sufficient to mitigate the losses suffered by the spinners and the weavers.

Fibre2fashion News Desk - India


Must ReadView All

Pakistan govt notifies 50% duty drawback on exports

Textiles | On 21st Oct 2017

Pakistan govt notifies 50% duty drawback on exports

The Pakistan government has notified the ‘Duty Drawback of Taxes...

Ghana sets up task force to clamp down on textile piracy

Textiles | On 21st Oct 2017

Ghana sets up task force to clamp down on textile piracy

Ghana’s ministry of trade and industry has set up a taskforce to...

Courtesy: Coach

Fashion | On 21st Oct 2017

US company Coach to change name to Tapestry from Oct 31

Coach Inc., a New York-based house of modern luxury accessories and...

Interviews View All

Viral Desai
Zenitex Mill Pvt Ltd

Full of green energy

Milind Khandwe
Hindoostan Innovation Centre

‘Modern technical textile is an indispensable tool for science and...

Headhonchos
Indian fashion industry

Cotton consumption will keep growing in the Indian fashion industry

Hardik Sanghvi

Idealin Fogging Systems has been engaged in designing and manufacturing...

C Dhandayuthapani

MAG Solvics Private Limited was established in 1991 to design and develop...

Nitesh Mittal

Kusumgar Corporates is a leading manufacturer of technical textiles and...

Larry L Kinn
Suominen Corporation

Larry L Kinn, Senior Vice President - Operations Americas of Suominen...

Mark Paterson
Technical Absorbents Ltd

Mark Paterson, R&D manager of Technical Absorbents Ltd talks about Super...

Ashok Desai
Bombay Textile Research Association

Bombay Textile Research Association (BTRA) is a leading name in textile...

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...

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


editorial@fibre2fashion.com

Letter To Editor






(Max. 8000 char.)

Search Companies





SEARCH

October 2017

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

news category


Related Categories:

Planning to Take the Leap towards
Sustainability?

Do you see sustainability as a route to business growth?

Yes No

Do you think the sustainability space has the needed tools and resources available for a business to lead change?

Yes No

Active Poll

Do you see sustainability as a route to business growth?

Yes
77.1%
No
12.9%
Skip
10.0%

Total Votes: 70

Do you think adopting a sustainable approach will be a profitable move for your business?

Yes No

Active Poll

Do you think the sustainability space has the needed tools and resources available for a business to lead change?

Yes
61.4%
No
28.6%
Skip
10.0%

Total Votes: 70

Do you want the world to know about your sustainability journey and your business’ environmental footprint?

Yes No

Active Poll

Do you think adopting a sustainable approach will be a profitable move for your business?

Yes
85.7%
No
10.0%
Skip
4.3%

Total Votes: 70

Thanks for your valuable feedback. Claim your free latest sustainability e-book.

Active Poll

Do you want the world to know about your sustainability journey and your business’ environmental footprint?

Yes
75.7%
No
11.4%
Skip
12.9%

Total Votes: 70


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