A special incentive package for the textile industry will have retrospective effect from Jan 1 this year irrespective of the date of announcement, Finance Minister Abul Maal Abdul Muhith has said.
He said the announcement of the package for businesses affected by a spell of pre-poll political violence was taking a while but assured it would have retrospective effect.
Muhith said this while inaugurating the four-day-long 11th Dhaka International Textile and Garment Machinery Exhibition-2014 organised by the Bangladesh Textile Mills Association (BTMA) at Bangabandhu International Conference Center in Dhaka on Wednesday.
The country’s textile industry has been seeking banking and financial support from the government to overcome the losses suffered due to political unrest featuring countrywide general strikes and road blockades during the months preceding the parliamentary election.
The Finance Minister had promised the Bangladesh Garment Manufacturers and Exporters Association (BGMEA) and Bangladesh Knitwear Manufacturers and Exporters Association (BKMEA) on January 6 to unveil an incentive package within a week.
Addressing businesses at the exhibition on Wednesday, Muhith said: “Those who wanted to create anarchy in the country have given up under people’s pressure. Currently everything is under the government’s control. So, you can work without fear.”
BTMA President Jahangir Alamin presided over the inaugural session while President of Federation of Bangladesh Chambers of Commerce and Industry (FBCCI) Kazi Akram Uddin Ahmed spoke as special guest.
Jahangir Alamin and Kazi Akram Uddin demanded announcement and implementation of a special cash incentive for the spinning sector as early as possible.
Besides, they sought gas and power connection and infrastructure development.
The demands of the businesses include a three percent cash incentive for exporting to the new destinations, reduction of taxes at source on export prices in the garment sector from the present 80 percent to 25 percent, and cash assistance for exports against telephonic transfer orders.
Of the demands, the government has already taken steps to implement cash assistance to the exporters against TT orders.
SOURCE: UNBCONNECT
