Only 37 buying houses have registered with the Bangladesh department of textiles (DoT) in the two-month timeframe that ended on July 28, according to DoT officials. In a May 28 gazette notification, the textiles and jute ministry directed all buying houses in the garment and textile sector to get registered with the DoT within 60 days to run their businesses.

If any buying house fails to obtain registration on time, the government will take legal action against the company as per law, it said. On the poor response from buying houses, DoT director general Dilip Kumar Saha said it was a new initiative and many of the buying houses were yet to be aware of the government notification.

Earlier, on April 1, the ministry issued a gazette notification detailing what would be the procedure for getting the registration of buying houses with the DoT. There are more than 1,000 garment and textile buying houses across the country. DoT officials say many buying houses, which are associate members of the Bangladesh Garment Manufacturers and Exporters Association (BGMEA), were not getting registration as they were not members of the Bangladesh Garment Buying House Association (BGBHA), according to a report.

BGBHA President Kazi Iftequer Hossain said it is difficult to say the actual number of buying houses but there were many companies across the country beyond their 470 members. Now the association is receiving 10 to 15 membership applications daily as the government has made it mandatory for buying houses to obtain membership certificate from the association concerned to get registered with the DoT, he added.