Home / Knowledge / News / Textiles / Bangladesh RMG sector welcomes budget
Bangladesh RMG sector welcomes budget
06
Jun '15
Leaders of the readymade garments and backward linkages in Bangladesh have hailed the national budget for 2015-16 as "business friendly", but demanded withdrawal of income tax at sources from the sector, the Bangladeshi media has reported.

"As a whole the new budget is business friendly, but we can't recognize it as textile friendly due to the unexpected taxation in the RMG and textile sector," Bangladesh garment manufacturers and exporters association (BGMEA) president Atiqul Islam told reporters in a post budget reaction at a press conference.

He said the finance minister in the budget has proposed tax in sources on the export of RMG and textile at 1 per cent from the 0.30 per cent, which would hinder the normal growth of the sector.

"Our knitwear and woven sectors would witness new risk factors due to the taxation, and we think we can't survive competing with our rival countries by tackling the risk factors," Islam said.

The BGMEA chief made a conditional commitment to the government. "We will generate more employment and take all kinds of initiatives towards attaining the status of middle income country if the tax in sources fixed at 0.30 per cent like previous year," he said

The BGMEA, BKMEA, BTMA and BGAPMEA jointly organized the press conference to draw attention of the prime minister and finance minister so they would eliminate the tax considering all aspects of the industry.

Islam thanked the finance minister for withdrawing the 15 per cent VAT on the export of firefighting equipment, electrical accessories and pre-fabricated building materials, which would help build safe, compliant and risk free RMG factory.

He, however, expressed concern over imposing 5 per cent import duty on firefighting, safe and power efficient, and infrastructural material.

Referring to the prescriptions of Accord, Alliance, ILO and buyers, Atiqul Islam said each factory has to spend Taka 5 crore to develop the working environment and safety at international standard. "Give us policy support, we will give the nation US$ 50 billion export along with generating additional 65 lakh employment in the 50th anniversary of independence," he vowed. (SH)

Fibre2fashion News Desk – India

Must ReadView All

Textiles | On 25th Mar 2017

GST to positively impact retail value chain: CBRE

The implementation of the Goods and Services Tax (GST) bill in India...

Textiles | On 25th Mar 2017

MEGlobal to build first ever US MEG plant

Monoethylene glycol (MEG) producer MEGlobal plans to construct a new...

Courtesy: Ulster Carpet

Textiles | On 25th Mar 2017

Ulster Carpets acquires Griffith Textile Machines

Northern Ireland based manufacturer of carpets, Ulster Carpets said...

Interviews View All

Yash Agarwal
Hitansh Online

Every market region has its own culture and trends

Milind Khandwe
Hindoostan Innovation Centre

‘Modern technical textile is an indispensable tool for science and...

Frank Gossmann
Rotorcraft AG

‘RT3 motto is: Do not check millimetres, check colours.’

Kerem Durdag
Biovation II LLC

Kerem Durdag, CEO, Biovation II LLC, provides an insight into future...

Steve Cole
Xerium Technologies

Steve Cole of Xerium Technologies discusses the industry. Xerium is the...

Suresh Patel
Sidwin Fabric

Sidwin Fabric is a manufacturer and exporter of polypropylene textiles and ...

Mike Hoffman
Gildan Activewear SRL

Gildan Activewear, a manufacturer and marketer of branded clothing and...

Silvia Venturini Fendi
Fendi s.r.l

"Yes, my confidence and positive attitude are my strengths and should be...

Igor Chapurin
Chapurin

"Now we can see the Russian trend in international fashion. And Russian...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


editorial@fibre2fashion.com

Letter To Editor






(Max. 8000 char.)

Search Companies





SEARCH
March 2017

March 2017

Subscribe today and get the latest update on Textiles, Fashion, Apparel and so on.

SUBSCRIBE


Browse Our Archives

GO


eNEWS
Insights
Subscribe today and get the latest News update in your mail box.
Advanced Search