Garment exporters in Bangladesh have sought interim arrangement to get rid of hassles and penalty of the customs authority until re-fixation of the minimum limit of wastages in knitwear manufacturing.
Media reports maintained this while underlining that the Commissioner of the Customs Bond Commissionerate Dhaka, Shawkat Hossain, has, reportedly, stated that routine activities of the exporters remained uninterrupted while adding that they were bound to create demand notice as per law even as the garment exporters have alleged unusual hassles, suspension of bonded warehouse licence and other problems in getting import entitlement from the end of customs authority, as they maintained that meeting the minimum wastage criteria (in production process) seemed impracticable (for them).
It may be mentioned here that at present the rate of wastage (from yarn to knitting, dying finishing to preparing fabric) is 7.0 per cent, while the limit for manufacturing garments from fabric is 9.0 per cent even as the exporters stated that considering the present context, the wastage rate is ‘too low and not logical’ whilst also maintaining that the actual rate of wastages stood at 35-40 per cent due to producing high-valued, diversified products as per the buyers’ demand adding that they were facing various difficulties and impediments to operate import-export trades for such low wastage limits.
