The reopening of famed Rajshahi Silk Factory has become uncertain as the Privatisation Commission is determined not to leave it to the Ministry of Textile and Jute.
Earlier in 2002, the factory, established in 1961, was shut down on the grounds that it was facing loss instead of adding any revenue to the state’s coffer.
This went under the aegis of the Privatisation Commission in 2007.
In August of 2008, Finance Minister AMA Muhith offered the reopening of the factory under the Public-Private Partnership. Bangladesh Bank had agreed to offer loan on easy terms. But they could not go ahead with their plan as the commission was not forthcoming.
In March of last year, Silk Board, Silk Research Institute and Silk Foundation were merged into Bangladesh Silk Development Board (BSDB).
After the Awami League government came to power for the second straight term, the Ministry of Textile and Jute came up with move to reopen this factory in March of this year.
They wrote to the Privatisation Commission but the commission refused it, saying that since this silk factory was a losing concern and so as a statutory body, they themselves would take steps about this factory.
Bangladesh Silk Board’s CBA President Abu Selim told the Dhaka Tribune: “The factory had been doing quite well since it was equipped with modern equipment in 1996, but the government closed down the factory in 2002 on the grounds that there was no adequate capital to keep it functioning.”
“The present government is keen enough to reopen this factory, but the silk development board is not sincere,” he said.
BSDB Director General Swapan Kumar Pal said the BSDB’s Board of Directors had sat in a meeting with the textile minister in the chair in Dhaka city on September 4, when they decided that they would write again to the commission, asking them to return the factory.
