Fiscal and National Policy
Exporters Association of Bangladesh (EAB) has termed the proposed budget for 2012 13 fiscal as growth oriented and industry friendly and has welcomed the government for prioritising key sectors like power and energy, agriculture, communication and physical infrastructure.
canada goose store Giving its post budget reaction at a press conference in Sonargaon Hotel in the capital on Sunday, the leaders of the EAB, the apex trade body of export sector, also hailed the government initiative to protect the local industry as well as support the export oriented sectors. canada goose store
higher export growth will help to attain the key budgetary goal of achieving GDP growth to 7.2 per cent and inflation within 7.5 per cent for the next fiscal, it added.
Reading out a written statement, the EAB President Abdus Salam Murshedy said steps like reducing tax on capital machinery imports for export sector and for Effluent Treatment Plant (ETP), withdrawal of VAT from the canada goose factory outlet toronto location rented factory premises and continuation of incentive package for exploring new markets will certainly boost up export earnings.
canada goose coats on sale Besides, emphasising on human resources development, block allocation canada goose outlet niagara falls for employment generation, incentive package for capital market, setting up a hi tech park in Gazipur and API park in Munshiganj and incentive for ship building industry are also some bold steps proposed in the budget for the upcoming fiscal, he said. canada goose coats on sale
Canada Goose Jackets Murshedy, however, expressed dismay canada goose outlet vancouver over the budgetary provision of hiking tax at source on export proceed and put forward 5 point recommendations to the government its kind consideration also urged the government canada goose outlet online uk to consider some proposals for the interest of the export sector. The proposals are withdrawal of 1.2 per cent tax at soucre on exports uninterrupted power and gas supply to the export oriented industries, cut in bank interest rate to single digit, unified exchange rate for exporters and a enhance rate of cash incentive (tax free). Canada Goose Jackets
Canada Goose Outlet in tax at source fro, 0.6 per cent to 1.2 per cent will adversely impact the export sector by reducing competitive edge of local goods in the international market. It will also hurt profitability of the entrepreneurs, Murshedy added. Canada Goose Outlet
He pointed out that export sector is passing through a critical time influenced largely by various external and internal threats. On the other hand, he said a significant hike in power and fuel prices hit hard the industry by rising cost of production.
such a situation, the industry cannot afford a leap of canada goose outlet hong kong tax at source because it will be an extra burden for it, he noted.
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The second bottleneck is the culture of confrontational politics, which poses a serious threat for the safety of property and resources of prospective investors. Acrimony and bitterness among political parties often lead to destruction and affect lives and properties of people which in turn deter not only foreign investment but also local private investment. Many investors are even willing to spend on infrastructure to facilitate their investment in other sectors, only if there are political stability and predictability of return on their investment.
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While acknowledging that Bangladesh still has much to do to realise the government long term vision, I believe the prospects here are quite bright. So does HSBC Commercial Banking, which handles over 8 percent of the country international trade, and which recently showed Bangladesh to be the Asia Pacific second fastest growing trade partner after Vietnam. In fact, our research indicates that Bangladesh regional commerce will increase by more than 9 percent annually through to 2016.
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Though the garment industry is likely to provide the backbone of the economy for some time to come, it encouraging to see that companies making goods as diverse as camera lenses, shoes, mobile phone components and car parts have chosen to set up plants in the EPZs. Local entrepreneurs and investors from Canada to Taiwan are starting to recognise Bangladesh potential as a location canada goose outlet usa for light engineering, shipbuilding, agro processing, pharmaceuticals and ICT. Samsung recent opening of a research and development centre in Dhaka is a good case in point.
Like many local businesspeople, HSBC is watching with great interest as the governments of India and Bangladesh negotiate greater access to each other road, rail, sea and air transport networks. For India, a deal will improve domestic links to its north eastern states. For Bangladesh, it could help the country become a regional centre for trade and manufacturing, a gateway to the sea for Nepal and Bhutan, and the hub of a trans Asia highway connecting India to China and South East Asia.
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