Bangladesh textile PPP fails

A move by the Bangladeshi government to turn all state-owned textile mills into PPPs has failed due to poor response from entrepreneurs and lack of bidder interest.

The step to convert the factories into PPP was taken with the hope of restoring the debt-ridden units to financially viable facilities.

However, none of the 18 units under the Bangladesh Textile Mills Corporation (BTMC) could be brought under the PPP arrangement, despite the government launching the plan in 2009.

A number of private companies approached the corporation with proposals to arrange a PPP deal over the last few years but an agreement was not able to be reached as a result of dwindling interest over the past few years exacerbated by the dilapidated conditions of many of the mills.