Duty-free entry of readymade garments from Bangladesh may have a “severe impact” on the Indian garment industry, Mr Vijay Kariwala, Vice-President of the West Bengal Garment Manufacturers and Dealers Association (WBGMDA), said on Wednesday.

“While the price of a readymade garment goes up by nearly 15 per cent after duties and State tax in West Bengal, a garment brought from Bangladesh is sold at a lesser price since no duty is imposed,” Mr Kariwala said on the sidelines of 39th Garment Buyers and Sellers Meet organised by WBGMDA here. As a result, garment manufacturers may convert themselves into dealers and bring in readymade products from Bangladesh soon. With the participation of 60 different brands, the Buyers and Sellers Meet is expected to get 4000 garment retailers, Mr Kariwala said.

The garment industry body said the State Government should immediately improve the infrastructure for the industry.

“We have been requesting the State Government to set up a garment cluster through the public-private partnership and an exhibition centre. But it has not materialised so far,” Mr Kariwala said.

(This article was published on July 18, 2012)
XThese are links to The Hindu Business Line suggested by Outbrain, which may or may not be relevant to the other content on this page. You can read Outbrain's privacy and cookie policy here.