A file photo shows a worker sewing clothes at a garment factory on the outskirts of Dhaka. Readymade garment exporters on Thursday proposed that the National Board of Revenue relax the provision of mandatory inclusion of harmonised system codes in bond licence in releasing imported raw materials under bonded facilities.— New Age photo

Readymade garment exporters on Thursday proposed that the National Board of Revenue relax the provision of mandatory inclusion of harmonised system codes in bond licence in releasing imported raw materials under bonded facilities.

The country’s exporters import raw materials mainly on demand of the foreign buyers, but due to the provision of mandatory inclusion of HS codes of import items with the bond licence, they are facing delay at the customs in releasing goods, which impacts export shipment, they said.

At a pre-budget discussion with the NBR, leaders of the Bangladesh Garment Manufacturers and Exporters Association sought the attention of the government to resolve the issue as soon as possible.

They also demanded removal of duty on import of thermostat dehumidifier machines and suggested updating the HS code list with the inclusion of the product.

Thermostat dehumidifier is a necessary machine for the RMG industry to control the workplace environment, which was suggested by the USGBC and has to be paid customs duty at 212 per cent on import, they said.

They demanded removal of 15 per cent customs duty on import of international-standard industrial racking systems which would be helpful for the sector to gain more global orders as the buyers put pressure to install the system.

RMG businesses also demand a duty exemption on import of mercenary on purpose of modernising the industry.

They also demanded introducing system of correction of bills of export facility.

Besides, they also urged to continue offering the existing reduced rates of source tax and corporate tax for the next five years so that the sector could remain competitive on the global market by overcoming the Covid fallout.

The BGMEA also demanded VAT exemption facilities for the subcontracting factories and withdrawal of the existing 10 per cent advance income tax on cash incentives given by the government on export earnings.

Besides, leaders of the Bangladesh Textile Mills Association demanded allowing them to import yarn through land ports.

The trade body proposed that the government should formulate a permanent monitoring committee to look into yarn import through three land ports, Benapole, Bhomra and Sonamasjidand, opposed the partial import of yarns through the land ports.

Now textile and apparel exporters can import raw materials like cotton, yarn, fabrics and others under the bonded-warehouse facility through Benapole while partial imports are allowed only in Chattogram port.

The Bangladesh Textile Mills Association demanded allowing duty-free import of all types of fibres to ensure product and market diversification as different types of fibres with cotton are being used in the primary textile sector to produce yarns as per the global buyers’ demand.

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Editor: Nurul Kabir , Published by the Chairman, Editorial Board ASM Shahidullah Khan on behalf of Media New Age Ltd. Hamid Plaza (4th floor), 300/5/A/1, Bir Uttam CR Datta Road, Hatirpool, Dhaka-1205. PABX: +8802-9632245-48. Fax: +8802-9632250, E-mail: [email protected]

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