The paper estimates relative rates of return, both in financial and economic terms, among three major textile weaving techniques of Bangladesh. For tradeable inputs and for outputs. “border prices” were inferred by using observed nominal rates of protection. For nontraded inputs, plausible conversion factors were used such that, if anything, true economic rates of returns of handlooms were understated. The central result of the paper is that handlooms are economically the most efficient of any of the alternatives for weaving of virtually all fabrics types of any consequence to consequence to consumption of textiles in Bangladesh, except polyester suiting. This is the result one gets whether one uses static or dynamic cost-benefit analysis. This relativity stood up well against a sensitivity test performed with respect to nominal protection and capacity utilisation rates, as also to “high” and “low” valuation—basis for fixed capital. There is a case, therefore, for providing protection to the handloom output relative to the competing techniques, as the latter can count on lower input prices, as also have received larger public resources, than have the handlooms. The case for raising the rate of indirect taxation of powerloom sector while handlooms are exempted is made, especially since the current level of indirect taxation of the former is next to nothing. Howsoever hard this is likely to be to raise the indirect taxation of the powerloom sector, if is of great priority, because the simultaneous achievement of efficiency and equity is something that can’t be too strongly emphasised.