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Garment industries get "Free Quotas" |
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2004-7-9
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The Ministry of Commerce to the garment industries has announced ‘Free Quota’ even as an enquiry on the issue launched earlier, is pending.
Garment industries that failed to submit bond license would also be extended free quota facilities according to the Ministry.
The quota allocation and monitoring committee will soon allocate free quotas in favour of the industries which meets the requirements of the Textile Trade and Quota Administration Rules 1991, the ministry sources said.
About 9,000 garment industries were registered last year at the time of free quota allocation of which, 4,000 registered members of The Bangladesh Specialised Textile Manufacturers, Producers and Industries Association (BSTMPIA) alone claimed to have received free quotas.
Earlier, the Government has constituted a committee to examine whether any irregularities were in use of free quotas issued till December 2003.
The enquiry followed allegations against some garment industrialists, trade leaders and Export Promotion Bureau (EPB) officials who reportedly issued free quotas in favour of some fake industries. Such fake firms kept a big number of quotas in their hand. As a result, genuine garment industries and exporters were deprived of their quota advantages. Some of the fake garment owners’ also sale such quotas to other garment industries.
Sources in the EPB claimed many such members hardly exist except in papers.
Bangladesh Garment Manufacturers and Exporters Association (BGMEA) president Annisul Huq critical about the issues and said that the government would have to take necessary measures for issuing quotas to the genuine industries.
He called for suspension of the quotas issued illegally in favour of fake industries in the past. He stressed on the need to complete the enquiry before fresh issue of free quotas.
The President of Bangladesh Textile Mills Association (BTMA) M A Awal complained that a vested quarter, including corrupt EPB officials, was controlling the whole quota system.
He claimed that inspite of several written complaints against the misuse of quota system with the EPB, failed to draw response from their end.
“Who is getting the free quota, are they real industrialist? That should be investigated,” he demanded.
The quota allocation and monitoring committee will allocate free quota in favour of the industries that meets the requirements of the Textile Trade and Quota Administration Rules 1991, informed sources. |
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