BGMEA Seeks Urgent Govt Support As RMG Sector Faces Crisis
The Bangladesh Garment Manufacturers and Exporters Association (BGMEA) has urged the government to provide immediate financial and policy support, warning that the country’s readymade garment (RMG) sector is facing a severe crisis amid weakening global demand and rising domestic costs.
The concerns were raised during an emergency meeting between BGMEA leaders and Finance Division Secretary Md Khayeruzzaman Majumder. The delegation was led by Vice President Md Shihab Uddoza Chowdhury and included Vice Presidents Md Rejoan Selim and Mizanur Rahman, along with Director Faisal Samad.
Industry representatives said reduced export demand, rising production costs and declining product prices are placing significant pressure on manufacturers. RMG export growth during the first seven months of FY26 declined by 2.43 per cent, while exports in the October–December 2025 period fell by an average of 9.43 per cent year-on-year.
BGMEA noted that around 400 garment factories have closed over the past year, with many more at risk, raising concerns over employment and economic stability.
Additional operational challenges are expected in February and March due to national elections, public holidays and Eid-ul-Fitr, which could reduce effective working days to about 35 out of 60, even as wage obligations rise.
To address the situation, BGMEA has requested faster settlement of pending cash assistance applications and proposed soft loans equivalent to six months’ wages at low interest rates to help factories meet salary and bonus commitments.
