In a joint statement, Chairman of the FBCCI Standing Committee on Textile MA Awal and top leaders of the 12 associations put forward their 12-point demand and urged the caretaker government to accept those in the interest of the textile and apparel sector's rapid growth and development.

The statement was issued after their joint meeting held at the office of the Federation of Bangladesh Chambers of Commerce and Industry (FBCCI).

They said it would be impossible for the textile sector to flourish and survive the global competition by paying 10 percent customs duty and 15 percent VAT on capital machinery import.

The business leaders said the textile and apparel sector became the second highest foreign-exchange earner since the government declared it as the thrust sector in 1992 and withdrew import duty and VAT on capital machinery import.

They mentioned the government has set a target to increase the textile and apparel export to US$ 12 billion by 2010 and per capita income to US$ 1000 by 2015.

"We're urging the government to withdraw the proposed tax from the textile sector for the sake of achieving this target," the statement said.

It said, "Our competitors -- India and China -- produce the capital machinery of textiles. So, it would be impossible (for us) to survive the competition by paying this proposed import duty and VAT."

The leaders also demanded the withdrawal of customs duty and VAT on import of raw materials like cotton, different fibers and dyeing products used in textile industries.

The other signatories to the statement include BGMEA President Anwarul Alam Chowdhury, BKMEA President Fazlul Haque, Bangladesh Textile Mills Association (BTMA) acting President Jahangir Alam, Specialised Textile and Powerloom Industries' Association President Liakat Ali Bhuiyan, Terri-towel and Linen Manufacturers and Exporters' Association President Khandaker Badrul Ahsan, Bangladesh Textile Dyeing and Printing Industries Association President Badrul

Huda Mashuk, Bangladesh Cloth Merchants' Association President Muhammad Ayub, Bangladesh Grew and Finished, Fabrics Mills and Exporters Association President Harun-ur-Rashid, BTMOA President Afzal Hossain, Bangladesh Corrugated Carton and Accessories Manufacturers and Exporters' Association President Shafiullah Chowdhury, Bangladesh Embroidery Manufacturers and Exporters' Association President Major (retd) Ekram U Siddiqui and Bangladesh Jamdani Manufacturers and Exporters Association President Mohammad Ali.