Power disruption may hamper new investment

The Bangladesh Textile Mills Association (BTMA) has warned that if the government fails to ensure uninterrupted gas and electricity supply, proposed investment in the textile sector might be delayed or cancelled.

BTMA President Mohammad Ali Khokon made the comment at a press conference on Sunday in the capital, where he announced that the four-day-long 17th Dhaka International Textile and Garment Machinery Exhibition will start on February 15 at the International Convention Centre at Bashundhara in the capital.

A number of 1200 textile and garment machinery manufacturing companies will participate in the exhibition.

Khokhon said the textile mills run round the clock and uninterrupted power and electricity supply is most important here. Already the sector bagged Tk 6,060 crore investments in 2021 and Tk 4,048 crore in 2022. If the government ensured uninterrupted gas and electricity supply and infrastructure development, the sector would have gotten more investments.

“More investments have been proposed that are expected within 2024. But if the government cannot ensure uninterrupted power supply, the proposed investments are likely to be held,” he said.

He further said, “The government increased the gas prices citing increased LNG prices in the spot market, but the supply situation is yet to change. The government has already taken initiatives to import LNG, but it will take more time to add it to the national grid.”

“Until the imported LNG reaches the country, we urge the government to withhold the decision to increase gas prices,” he added.

Informing that nearly 20 textile factories recycle the waste of garment and textile sectors, Khokon said, “But production of those recycling factories declined due to the export of raw materials. We urge the government to ban the export of textile and garment wastes considering domestic factories’ production.”

Speaking about the upcoming exhibition, Khokon said, “Through this fair, textile students and people involved in the sector will be able to learn about the machinery of the 4th industrial revolution. It is a great opportunity for them.” He also said that the global textile and apparel market will be worth $1.7 trillion in 2023 where the apparel market’s share will be $700 billion. But Bangladesh occupies only $45 billion of the market.

Informing that the manmade fibre-based market is globally dominating 70 per cent of the apparel market, Khokon said, “As Bangladesh annually exports clothes, produced from the item, worth $10 billion only, there is a huge opportunity for the country to expand its export basket.”

“The government is working to set up 110 special economic zones. We urge the government to complete the setting up of at least 10 zones as soon as possible and allocate lands for the primary textile, especially for manmade fibre to boost export,” he added.