BGBA seeks shipment release from closed Ctg EPZ factory

The Bangladesh Garment Buying House Association (BGBA) has urged the Bangladesh Export Processing Zones Authority (Bepza) to release an export-ready consignment stuck at the now-closed Thianis Apparels Ltd in Chattogram Export Processing Zone (CEPZ).

But Bepza has declined, citing legal limitations.

The dispute involves a shipment of 10,555 pieces of suits, vests, and trousers, with a free-on-board (FOB) value of $132,891, produced for BGBA member ABC Bangla Fashion.

The goods are reportedly fully packed and sealed in a container with an export permission number.

BGBA has warned that refusal to release the consignment will financially harm the buying house and may affect Bangladesh's reputation as a sourcing destination.

In a letter dated 31 July, the association requested Bepza to allow the shipment, noting that a follow-up order worth $500,000 is also at risk.

The letter stressed that all materials used in production, including fabric and trims, were fully owned by ABC Bangla Fashion, and that Thianis Apparels acted solely as the contracted manufacturer.

Earlier, on 3 July, ABC Bangla Fashion appealed to Bepza's executive chairman for a temporary 7–8 day extension of the factory's export permission to allow the shipment.

"The container is booked, and every hour counts. We are not asking for favours; only for the opportunity to deliver goods that are already finished and paid for," wrote Abdul Kaiyum, CEO of ABC Bangla Fashion.

The appeal included a commercial invoice, proof of export permission, and ownership details of the shipment. Copies were also sent to the Ministry of Commerce, Bangladesh Investment Development Authority, Bangladesh Economic Zones Authority, and the chief adviser.

Despite these efforts, Bepza has maintained that there is no provision for releasing goods from a factory whose lease has been terminated, especially while the matter remains pending in court.

"The lease agreement of Thianis Apparels has been terminated, and the owner has challenged the termination in court," Abdus Sobhan, executive director of CEPZ, told TBS.

"Though the High Court stayed the termination on 15 July, the Appellate Division stayed that order on 29 July. Until the case is resolved in a full-bench hearing of the Supreme Court, there is no scope to release the consignment," he said.

He added that wages of 681 workers from Thianis Apparels have already been paid as per court directive, and further action will follow based on the court's decision.

BGBA has called on Bepza and other authorities to urgently find a practical solution, warning that the issue could set a worrying precedent for future export arrangements involving third-party manufacturers.

Notably, Thianis Apparels Ltd, a suit manufacturer in CEPZ, was shut down in mid-June over unpaid rent and utility bills totalling Tk28 crore. Bepza formally cancelled its lease and export licence on 4 July.

On 15 July, the High Court stayed the termination and ordered the reinstatement of export permission.

Following Bepza's appeal, a chamber judge stayed that order on 29 July, pending a full hearing in the Appellate Division on 11 August.