Apparel makers owe spinning mills more than $100 million

According to Bangladesh’s “Daily Star” report on October 30, the Bangladesh Textile Mills Association (BTMA) proposed that garment exporters owe its members more than $376 million. The BTMA has set up a team to monitor delays in payments to spinning mills. Delays in payments to textile mills have made it more difficult for them to repay Bangladesh Bank Export Development Fund loans. This has also led to greater pressure on Bangladesh’s foreign exchange reserves. Clothing manufacturers have failed to pay on time, mainly due to the sharp increase in yarn prices in the local market since July this year. </p