Bangladesh-Textiles Ministry Takes Back Five More Mills

The cabinet committee on economic affairs at a meeting on Wednesday approved a proposal that would enable the textiles and jute ministry to get back five mills.

The mills are Rajshahi Silk Factory, Thakurgaon Silk Factory, Sylhet Taxtile Mills Limited, Kurigram Taxtile Mills Limited and Chittagong Valika Woolen Mills.

The loss makings state-owned factories were supposed to be divested by the now defunct Privatisation Commission as per a previous government decision.

But the Privatisation Commission, taken over by newly launched Bangladesh Investment Development Authority since early last year, failed to privatize those mills.

The CCEA meeting, presided over by finance minister AMA Muhith, agreed with the proposal submitted by the textiles ministry for suspending the divestment of those.

Additional secretary Mostafizur Rahman briefed newsman after the meeting held at the secretariat.

Since 2014, the ministry has been pressing the government to resume production in those factories, still receiving subsidy of Tk 1.25 crore annually for maintenance and salary of the factory staff.

On Monday, Rajshahi Silk Factory partially resumed production after 15 years of closure.

Parliament member Fazley Hossain Badsha who was present at the production resumption ceremony said Bangladesh Silk Development Board was allocated Tk 32 crore for boosting silk production and mulberry farming.

In July, the textiles and jute ministry took back Fouji Chotkol Jute Mills Ltd located at Ghorashal in Narsingdi due to ‘violation’ of terms and conditions of privatisation by the buyers.

The ministry has also taken over six privatised textiles and jute mills including AR Hawlader Jute Mills Limited, Eagle Textile Mills Limited, Kokil Textile Mills Limited and Jalil Textile Mills since March.

Muhith also presided over a meeting of the cabinet committee on national purchase at the same venue earlier.

Mostafizur Rahman said the committee approved imports of 25,000 tonnes of fertiliser from Saudi Arabia through direct purchase at a cost of Tk 80 crore and procurement of equipments for gas exploration at a cost of around Tk 2.50 crore.

The committee sent back a proposal for establishment of primary training institutes in different districts because of insufficient documents, he said.