While meeting a delegation from the US Embassy in Dhaka, the trade body requested mechanisms to ensure transparency and traceability throughout the supply chain to qualify for the recently-announced duty waiver on use of American raw materials.
Bangladesh’s BGMEA has sought clarification from the US on calculating US raw-material usage, and is keen on importing man-made fibres from there.
It requested mechanisms to ensure supply chain transparency and traceability to qualify for the duty waiver on use of US raw materials.
The scope of setting up a warehouse near Chattogram Port to expedite cotton imports from the US was also discussed.
The scope of setting up a warehouse near Chattogram Port to expedite cotton imports from the United States was discussed at the meeting between the delegation and BGMEA president Mahmud Hasan Khan.
The meeting discussed a recent US executive order that allows garments exported from Bangladesh to be proportionately exempt from a newly imposed additional 20-per cent duty, provided that at least 20 per cent of the raw materials used in these garments are sourced from the United States, domestic media outlets reported.
Khan said that the Bangladesh apparel industry is quite interested in utilising this facility.
The meeting also discussed potential collaboration between BGMEA and the US Cotton Council.
The US delegation reiterated the importance of aligning Bangladesh’s labour laws with international standards—an expectation shared by the International Labour Organisation, the European Union and other development partners.
Fibre2Fashion News Desk (DS)
