Finance and Planning Minister M Saifur Rahman yesterday assured plastic goods manufacturers of considering their demands, saying the sector has a great potential for further growth.
"I will hold a meeting of the Cabinet Committee on Economic Affairs to discuss the matters and if we find your demands realistic, you will get all the facilities," he said. The minister was addressing the inaugural function of a four-day international fair of plastic goods at Bangladesh-China Friendship Conference Centre in Dhaka.
Bangladesh Plastic Goods Manufacturers and Exporters Association (BPGMEA) is organising the fair. The Daily Star and ATN Bangla are the media partners of the exhibition.
The finance minister's assurance came after BPGMEA President Jasim Uddin raised some demands including withdrawal of a condition to show 25 percent bank guarantee for importing basic raw materials, reduction in high import duty and lifting the ban on producing polypropylene products.
Expressing satisfaction over the sector's performance, Saifur said the plastic goods manufacturers will be allowed to import basic raw materials at a duty structure applicable for other sectors. "I will examine the issue and if it falls under the category of raw materials, you will also enjoy the facility," he assured.
On the issue of producing bank guarantee, the finance minister said if the bank guarantee is unnecessary for importing raw materials, the system will also be withdrawn.
Criticising the ban on producing polypropylene products, he said this is not fair that imported items can be used while local manufacturers will be not be given permission to produce the same product.
"I will discuss the matter with the environment ministry," the minister told the function.
BPGMEA President Jasim Uddin said the country earned Tk 865 crore in foreign exchanges last fiscal year through direct and indirect exports and the rate of export growth was 77 percent in 2004-05.
"The country has a potential to increase export especially to the US and EU markets as the US and EU recently imposed anti-dumping measures on Chinese plastic goods," he said.
The BPGMEA president said the import duty on basic raw materials should be re-fixed at 6 percent instead of existing 13 percent.
He also urged the government to implement the decision of offering 10 percent cash incentives to the export-oriented plastic units.
Commerce Ministry Adviser Barkatullah Bulu was also present at the function.
