Bangladesh Garment Manufacturers and Exporters Association (BGMEA) has expressed deep concern over the recent power tariff hike as it would cast shadow on competitiveness of the RMG sector in the global market.
“The BGMEA thinks 6.96% hike in power tariff will impact negatively on ready-made garment sector as it will push up the cost of production,” the trade body said in a statement yesterday.
As a result, it said, the country’s export-oriented industry will lose competitiveness in the global market.
The BGMEA urged the government to keep the power prices for the RMG sector unchanged to maintain competitiveness.
BGMEA said the production cost of apparel products increased by 13% in the recent past due to appreciation of Taka by 8% against the US dollar and 77% increase in wages intensified the cost further up.
On Thursday, BERC increased the retail power tariff by an average of 6.96% per unit.
