The spinning sector of Bangladesh is facing an unprecedented crisis that threatens the livelihoods of more than one million people and poses serious risks to the national economy and social stability.
Currently, the country’s spinning industry employs over 200,000 officers and staff and approximately 800,000 workers. If spinning mills across the country are forced to shut down from 1 February 2026, this entire workforce will become unemployed. Such a large-scale job loss would have devastating economic consequences and could significantly disrupt social peace and industrial harmony.
In light of this critical situation, there is an urgent need for coordinated and immediate action by the Bangladesh Textile Mills Association (BTMEA), Bangladesh Garment Manufacturers and Exporters Association (BGMEA), Bangladesh Knitwear Manufacturers and Exporters Association (BKMEA), and the Government of Bangladesh to ensure the continued operation of spinning factories.
As one of the most vital backward linkage industries supporting the country’s textile and garment sector, the spinning industry has been struggling for years due to policy discrimination, overdependence on bond facilities, and the absence of long-term strategic planning. To address these structural challenges and ensure sustainable growth, it is strongly recommended that the Government form a dedicated commission comprising representatives from BTMEA, BGMEA, BKMEA, relevant sector experts, and concerned government authorities.
To maintain yarn price competitiveness with neighboring countries, a 10% incentive for the spinning industry is urgently required for a minimum period of two (02) years.
Additionally, the Free of Cost (FOC) facility should be strictly limited to 15%–20%, whereas it is currently allowed up to 50%. If such excessive FOC provisions continue, Bangladesh’s backward linkage textile industries risk facing irreversible damage.
There is also an immediate need for a practical and phased policy framework to gradually withdraw bond facilities based on an assessment of the actual capacity of backward linkage industries. Such a framework would support the development of domestic capabilities over the next 4–5 years to produce essential raw materials, machinery, dyes, chemicals, and spare parts required by the spinning and weaving sectors.
In the greater national interest, stakeholders strongly urge the Government, BGMEA, BKMEA, and BTMEA to implement the recommendations of the Ministry of Commerce without delay and to reconsider and withdraw the announced decision to shut down spinning factories from 1 February 2026.
Attending Industry Officials
The issue was discussed in the presence of the following industry leaders and professionals:
- Mohammed Shahinul Haque, Director of Operations, Mosharaf Composite Textile Mills Ltd
- Engr. ABM Sirajul Islam, Director, Jamuna Group & President, Bangladesh Yarn Marketing Professionals Association (BYMPA)
- Engr. Azhar Ali, Chief Operating Officer (COO), Salma Group & Executive Member (Operations), Bangladesh Yarn Marketing Professionals Association (BYMPA)
- Engr. Md. Enamul Haque, Director (Operation), Mosharraf Group
- Engr. Md. Abul Kalam Azad, Spinning Consultant
- Md. Ruhul Amin Ashik, Executive Director, Getco Group & General Secretary, Bangladesh Yarn Marketing Professionals Association (BYMPA)
Timely, coordinated, and pragmatic intervention is essential to protect employment, preserve industrial stability, and ensure the sustainable growth of Bangladesh’s textile and apparel industry.
