The New Nation - Internet Edition

UNB, Dhaka

The export of recycled and processed garment wastage appears to face a serious setback and the blame for this goes to the absence of a separate HS Code.

Sources said the present HS Code for garment wastage and that for spinning mills are now the same (HS Code 52029910), even though these are totally different wastage and used differently.

There are currently over 10-12 thousand machines with employment of 300,000 people producing some 300,000 metric tons of recycled and processed items a year that is used for making mattresses.

Of the total production, 250,000 metric tons are exported to India at a rate of US$ 150 per ton.

Meanwhile, the government has taken a move to fix the export price at US$ 1.60 per kg for cotton waste, a byproduct from spinning mills, following a proposal from Bangladesh Textile Mills Association (BTMA).

According to the sources, all formalities have already been finalised and the Statutory Regulatory Order (SRO) in this connection will be circulated soon.

But, the export of recycled and processed garment wastage is apprehended to be affected seriously, as the HS Code of the two items are the same.

Talking to UNB, Bangladesh Textile and Garments Waste Processors and Exporters Association senior vice president Md. Nazir Hossain said, "It's totally ridiculous! Why will these two items be considered under the one HS Code."

He also hinted that there might be a conspiracy against this small but potential sector.