Bangladesh plans yarn import ban via land ports to protect local mills

The Bangladesh government is planning to ban yarn imports through land ports to curb misuse and safeguard local textile mills. The Ministry of Commerce initiated the step after textile millers raised concerns that inadequate monitoring at land ports allowed unfair competition.

The Bangladesh Textile Mills Association (BTMA) urged the ban, arguing that land ports lack the infrastructure to properly scrutinize yarn imports, leading to market distortions. BTMA President Showkat Aziz Russell emphasized that imported yarn is undercutting local production, while Indian textile exports to Bangladesh continue to rise.

However, apparel exporters warn that the move could hurt small and medium-sized factories that depend on land ports for quicker, cost-effective raw material sourcing. Bangladesh Knitwear Manufacturers and Exporters Association (BKMEA) President Mohammad Hatem noted that local yarn prices remain uncompetitive, and a sudden ban may disrupt supply chains.

Government officials acknowledged concerns but stressed that improved oversight at land ports is crucial. Commerce Secretary Mahbubur Rahman has sought evidence of dumping practices from BTMA, suggesting possible anti-dumping measures. Exporters are urging a phased approach or exemptions for smaller factories to mitigate the impact. The decision comes amid rising energy costs, financial pressures, and increasing challenges for Bangladesh’s textile sector.