Nearly 400 garment factories have closed in the last 3 years: BGMEA

The Bangladesh Garment Manufacturers and Exporters Association (BGMEA) revealed on Sunday, April 26, 2026, that approximately 400 garment factories have closed down over the last three years due to unprecedented domestic and global challenges.

During a pre-budget meeting with the National Board of Revenue (NBR), BGMEA President Mahmud Hasan Khan highlighted that export earnings dropped by 3.73% as of February in the current fiscal year.

He cited skyrocketing energy prices, a 56% hike in minimum wage, and rising bank interest rates (12%-15%) as primary reasons for the industry's struggle.

To safeguard the sector, BGMEA has proposed reducing the tax at source from 1.00% to 0.65% and providing duty exemptions on green energy raw materials and ETP components in the upcoming national budget.