Leaders of the Bangladesh Garment Manufacturers and Exporters Association (BGMEA) made the request at a meeting with Finance and Planning Minister M Saifur Rahman held at the minister's office in Dhaka yesterday.

Commerce Minister Altaf Hossain Choudhury was also present at the meeting. BGMEA president Annisul Huq led the delegation while the association's Vice-president M Golam Faruq took part in discussion.

During the meeting, the finance minister assured the BGMEA leaders of holding further discussions on setting up a central bonded warehouse, which is a long-drawn demand of the readymade garment exporters.

Saifur Rahman also expressed his eagerness to hold discussions on simplified rules of origin with the BGMEA leaders later. He appreciated the garment exporters for their contributions to national economy.

The BGMEA leaders informed the ministers about the possible losses, which the industry may face after phasing out of quota system in 2005. The leaders also discussed other problems that the export-oriented sector is facing at present.

According to BGMEA, reduction of lead-time and competitive price will be the key issues in the post-MFA (multi-fibre arrangement) era.

The garment exporters said export to USA decreased by 15.89 percent or Tk 2,000 crore in 2002 as the largest destination of Bangladesh's readymade garment export signed free trade deals (FTAs) with different countries.

They said the joining of 10 more countries to EU will increase the export to the region but it may decrease after the quota phaseout.

The BGMEA leaders also discussed their budget proposals, which were submitted earlier to the finance minister. The finance minister assured them of considering their proposals while preparing the budget for FY 2004-2005.