The Bangladesh Textile Mills Association (BTMA) has expressed its approval of the Government’s recent decision to stop yarn imports through land ports. This announcement was made on 15th April and is expected to bolster the country’s textile sector, particularly benefiting backward linkage industries.
In a statement, the BTMA noted that the decision will not only enhance the textile industry but also conserve valuable foreign exchange and increase value addition within the sector. The association emphasised that by shifting yarn imports to sea ports, the National Board of Revenue (NBR) will gain full control over these transactions, thereby reducing the risk of money laundering through informal channels. This transition is projected to significantly boost Government revenue.
The order to halt yarn imports via land ports was issued by the NBR on 13th April and was made public shortly thereafter. This move follows a directive from the commerce ministry on 27th March, which was prompted by requests from textile mill owners for stronger regulations on yarn imports.
While the decision has garnered support from textile mill owners, it has faced criticism from readymade garment (RMG) exporters, who may be impacted by the change in import logistics.
