More export items to get cash incentive

The government has expanded the list of exporters eligible for cash incentive by granting the facility to some nontraditional goods in order to boost overseas shipments.

The finance ministry awarded 15 percent cash incentive to accumulator battery, shoe, and goods made of coconut fibre, and 10 percent to ICT products.

The central bank issued a notice to this effect on Thursday. The incentive will be retrospectively effective from July 2017 to June 2018, according to the notice.

The exporters of the newly included products will have to apply within 60 days of the issuance of the circular to enjoy the benefit.  Locally made accumulator batteries will qualify for the incentive, but those produced in export processing zones and economic zones will not come under the purview of the facility.

Shoes made of a mix of artificial and fabric in exporters’ very own factories will get the money subsidy. two The merchandise should have a minimum 30 percentage local price addition and will now not experience obligation drawback and duty-free benefits, in accordance to the notice. Incentives will also be given for export of products made of coconut fibre.

At present, products made from hogla, straw and sugarcane fibre revel in 15 percentage subsidy.

Besides, the garb quarter gets 5 percent money incentive for exporting goods to typical locations like the US, Canada and the European Union. The price is 8 percent for new markets. In total, 27 export-oriented sectors revel in money incentive. The government plans to provide Tk 4,500 crore in money incentive to the export-oriented area in 2017-18.