He suggested Bangladesh Plastic Goods Manufacturers and Exporters Association (BPGMEA) select a plot of 100-200 acres for the exclusive industrial city.

"The government will provide financial help to you," the minister said while inaugurating the first ever international plastic goods exposition -- Plastic Fair 2003 -- at the Bangladesh-China Friendship Conference Centre in Dhaka.

BPGMEA organised the four-day fair with a view to expanding export market for Bangladeshi plastic goods which the industry sources said earned Tk 600 crore in foreign exchange in the last fiscal year through direct and indirect exports.

The commerce minister said a meeting will be held next week between the ministry and the plastic goods manufacturers and exporters to resolve the existing problems with the promising export earning sector.

"Bangladesh has duty and quota free access to many countries. So, you can take the opportunity to export your products to these markets," he told the plastic goods exporters.

Speaking at the function Deputy Minister for Industries Abdus Salam Pintu also stressed the need for setting up an industrial park for the plastic sector saying that it would boost export of Bangladeshi plastic products.

Acting President of the Federation of Bangladesh Chambers of Commerce and Industry (FBCCI) Kamal Uddin Ahmed said the entrepreneurs should manufacture new and high quality products for export in the quota-free regime after 2004.

BPGMA President Yusuf Ashraf urged the government to slash import duty on raw materials of plastic industry from 15 per cent to 7.5 per cent to help them cut production cost and become competitive.

He also urged the government to withdraw the condition of showing 25 per cent bank guarantee to the customs department for importing raw materials which increases production cost of plastic goods.

Criticising the ban on polypropylene products measuring below 100 micron, the BPGMA president said all types of plastic materials used for wrapping or packaging export items came under the purview of the law.

"As a result, many garment accessories manufacturing industry are being shut down," he said. "But there is no restriction on wrapping materials that are imported or coming from abroad as usual with imported goods," he alleged.

Ashraf appealed to the government to withdraw the restriction especially for the plastic products manufactured for export or used for packing export items. "We also need a testing laboratory to maintain quality of our products."

The inaugural function was also attended by Commerce Ministry Advisor Barkatullah Bulu and BPGMA General Secretary KM Iqbal Hossain.

A total of 68 companies, including three foreign firms from India and Singapore, and 15 local distributors of foreign companies are taking part at the fair showcasing a wide range of plastic goods.

Plastic furniture, toys, garment accessories, crockeries and household items, sanitary fittings, spare parts of textile and jute mills, water tanks and packaging items are being displayed at 92 stalls at the show.

The fair will remain open for visitors from 10am to 9pm everyday till Saturday. Visitors will have to pay Tk 10 as entry fee.