The loss of the buying houses is 5 thousand crore rupees
The buying houses have already incurred a loss of around Tk 5,000 crore due to the suspension of purchase orders due to Corona. About 70,000 people have already become unemployed due to lack of new orders. In this situation, besides giving loans on easy terms, Bangladesh Garment Buying House Association-BGBA has demanded to reduce the advance income tax to 5 percent. Economists also say that the ready-made garment sector will suffer losses if most of the buying houses close.
Eighty-five percent of the country's export earnings come from the ready-made garment sector. And by buying clothing manufacturers with foreign buyers, the buying companies. They are not getting new orders due to the decline in global trade in the Corona crisis. 70,000 people involved in 625 buying companies are in trouble.
As the Corona situation has increased since last March, the purchase order has already been suspended to the tune of Tk 5,000 crore. Due to the decrease in income, the businessmen are struggling to meet the office rent, salaries of the employees and other expenses.
More than 15 domestic and foreign companies have been shut down due to suspension of purchase orders and lack of new orders. If this situation continues for a long time, it is feared that more than half of the institutions will close down.
Economists say buyers have a role to play in the export of ready-made garments, but they are not considered an export industry. They are also deprived of various incentives in the garment sector.
Besides, the buying companies are deprived of this facility as there is no specific policy in the government's incentive package for the service sector. Therefore, even if it is under the service sector, the buying entrepreneurs demand to get loan assistance on easy terms.