The National Board of Revenue allowed partial export-oriented industrial enterprises to import raw materials duty-free against bank guarantees.
According to a press release, industrial enterprises engaged in export production but could not obtain bonded warehouse licences could import raw materials or goods without paying customs duties and taxes.
The facility would be available subject to compliance with the existing conditions of the bonded warehouse management system.
According to the press release, to take advantage of the duty-free benefit, the importers must submit a bank guarantee equivalent to the customs duties and taxes, determined by the customs authorities.
The NBR said that allowing the import of raw materials duty-free against bank guarantees, even without a bonded warehouse licence, would help partial exporters to maximise their production capacity, diversify exportable products, and ultimately contribute to expanding the country鈥檚 export trade.
There were initiatives and recommendations for a long time to extend bonded warehouse benefits to partial exporters of the country, mainly furniture and agro-processing.
Earlier, Selim H Rahman, chairman of the Bangladesh Furniture Industry Owners Association and HATIL, told reporters that they have been requesting such a facility [bank-backed bond] for the past few years.
Many sectors like furniture, agro processing, and others which sell products in the domestic market and also export abroad, would benefit from the facility.
