Dhaka, Nov25 (bdnews24.com)—The economic stimulus package for export-focused industries will not benefit small and medium industries, apparel exporters say.

The government on Wednesday rolled out an additional Tk 1,000 crore package to help the readymade garment industries to deal with the aftermaths of global economic recession.

In April, the government unveiled a stimulus package of Tk 3,424 crore on the recommendations of the recession taskforce, but the garment industry was not included.

Wednesday's package was revealed on the recommendations of the committee on RMG sector, Muhith said.

"Small and medium garments are the worst hit sector by the current global economic slump," Bangladesh Knitwear Manufacturers and Exporters Association president M Fazlul Hoque said a news conference later in the day.

"We proposed special facilities to the sector but the announced package will do no good to the sector," he asserted.

In a separate press conference, Bangladesh Garments Manufacturer and Exporter Association (BGMEA) president Abdus Salam Murshedi said, "We expected the package would include short-term and long-term plans but there are no such things in the package."

"The package has nothing to do with small and medium industries. It failed to meet our expectation."

The small and medium range garment industries--industries which earn up to $3 million--have been given aid separately.

They will be provided assistance at five percent on the increased income compared to the last fiscal year.

Hoque said, "Export fell sharply over the first three months of the current fiscal year."

If smaller industries exported more than the previous year, they would need no package assistance, he said.

So, the stimulus package for them is meaningless, he said

Those small and medium factories that do not have their own captive generator or diesel-run generator will be given 10 percent assistance on electricity bill up to June 30, 2010.

The additional incentive will be given at five percent in the first year, four percent in the second year and two percent in the third year as additional subsidy on the income of the export of new products and expansion of new markets (except US, Canada and EU countries).

Murshedi said small and medium industries will have to meet many terms and conditions to get aid, which are almost impossible.

Hoque said workers are being paid salaries along with Eid bonus.

He said, "No salaries and bonus are outstanding in our factories. Efforts were made to create disturbance in some factories which have been handled duly."

Murshedi said, "Business is going through a bad phase. We are helping the owners whose condition is very bad."

Several hundred people were waiting for salaries and bonuses in front of BGMEA Bhaban on Wednesday.

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