Entrepreneurs in Rangpur are now exporting readymade garments to
India, taking advantage of the South Asia Free Trade Area (Safta)
agreement. Tariqul Islam, proprietor of R&R Garments and Mouvasha
Garments Industry, along with two friends -- Mominur Rahman and
Barkatullah -- set up two small garment factories in Rangpur about a
year back. At first, they produced garments for the local market but
as profits started rolling in, they were encouraged to expand
equipment and machinery. They jumped at the opportunity of exporting
readymade garments to India when they visited Siliguri of West
Bengal. "Siliguri importers were interested in purchasing
three-quarter pants and trousers from us, under a preferential Safta
agreement," Islam said. Over the last three months, they have sent
two consignments with about 2 lakh pieces of pants and trousers to
Siliguri, said Islam. Barkatullah said most Siliguri buyers import
readymade garments to sell to the low- income groups in Siliguri,
Maldah, Assam and Kolkata. "In addition, some buyers import dresses
from us and then export to South Africa," he added. Rahman said they
export their goods through the Burimari Land Port, 60 kilometres
from Rangpur and Siliguri is only 100 kilometres from there.
Siliguri buyers prefer Rangpur to other Indian states as it is
cost-effective for them, he added. "Our factory is the first
export-oriented readymade garments factory in the north," Rahman
said. They began with 30 sewing machines. As work orders increased,
they contracted out the orders to seven other small factories in
Rangpur and Ulipur in Kurigram to complete work in time. About 400
workers, who previously worked in factories in Dhaka, found jobs in
these factories. Rasheda Begum, 30 , used to work at a garments
factory in Dhaka, but now that work is available in Rangpur, she did
not return. She joined R&R Garments as a supervisor. "Even though I
could have earned more in Dhaka, I prefer to work here as I can live
with my family. Despite prospects, garment factory owners said they
have to face difficulties and spend a hefty amount of money to get
BGMEA and EPB certification. Load shedding is another major problem
they face. "We have an order for 50,000 pairs of trousers and we have
to send the consignment by October 30. With continuous power
outages, it will be difficult to complete the work on time," Islam
said. Rahman said it is difficult for them to manage bank credit. "We
are now operating without the support of bank funds. It would have
been easier to expand operations with an easy access to funds."