Another blow to TCB strengthening move
Tuesday, 19 April 2011
Syful Islam
Government's efforts to strengthen the Trading Corporation of Bangladesh (TCB) faced a blow after the cabinet committee sent back the draft amendment to the TCB Order 1972 for further examination, officials said Monday. "We suspect the undesired influence of certain quarter," a trade official said. "It will cause further delay. The change is crucial for the TCB to intervene the market during the next holy month of Ramadan," he added. But commerce minister Faruk Khan said he was unaware of the returning of the TCB's draft order by the cabinet. "I was present in the last cabinet meeting. But I didn't notice any such decision in the meet," he said. The TCB was established back in 1972 with an authorised capital of Tk 50 million. The draft has proposed to raise it to Tk 10 billion so that it can intervene the market effectively. The draft order has also proposed the empowerment of the corporation to collect essential commodities from home and abroad. Presently, it can't procure goods from local sources. Strengthening of the TCB to carry out export and import activities and creating of buffer stock of essentials are being demanded by consumer rights groups and the present government pledged it several times. The Standing Committee on Commerce Ministry in January last formed a five-member parliamentary sub-committee to recommend steps needed to overhaul the state-owned trading entity. A Commerce Ministry official said they were under "immense pressure" to take steps to strengthen the TCB. He, however, expressed frustration over returning the draft TCB Order on a flimsy reason. "There was enough scope to take the opinion of Finance Ministry and the IMED (Implementation, Monitoring and Evaluation Division) after the cabinet's approval and during the vetting from the Law Ministry." "We are under pressure by some to strengthen the TCB. Others are holding us back," he told the FE seeking anonymity. "Now it will take at least two months to table the proposal before the cabinet committee again. That means TCB's intervention during the upcoming Ramadan is highly unlikely," he said in a downbeat note. The draft has proposed increasing the number of TCB directors to six from the existing four, increase power of its chairman and reduce the intervention of Commerce Ministry on TCB's day-to-day affairs. The Ministry of Establishment has recently approved the creation of additional 285 posts in the TCB as the corporation has been failing to enforce its monitoring efficiently in local markets due to adequate shortage of manpower. Presently, the TCB has only 166 officers and employees against the 225 approved posts.
Government's efforts to strengthen the Trading Corporation of Bangladesh (TCB) faced a blow after the cabinet committee sent back the draft amendment to the TCB Order 1972 for further examination, officials said Monday. "We suspect the undesired influence of certain quarter," a trade official said. "It will cause further delay. The change is crucial for the TCB to intervene the market during the next holy month of Ramadan," he added. But commerce minister Faruk Khan said he was unaware of the returning of the TCB's draft order by the cabinet. "I was present in the last cabinet meeting. But I didn't notice any such decision in the meet," he said. The TCB was established back in 1972 with an authorised capital of Tk 50 million. The draft has proposed to raise it to Tk 10 billion so that it can intervene the market effectively. The draft order has also proposed the empowerment of the corporation to collect essential commodities from home and abroad. Presently, it can't procure goods from local sources. Strengthening of the TCB to carry out export and import activities and creating of buffer stock of essentials are being demanded by consumer rights groups and the present government pledged it several times. The Standing Committee on Commerce Ministry in January last formed a five-member parliamentary sub-committee to recommend steps needed to overhaul the state-owned trading entity. A Commerce Ministry official said they were under "immense pressure" to take steps to strengthen the TCB. He, however, expressed frustration over returning the draft TCB Order on a flimsy reason. "There was enough scope to take the opinion of Finance Ministry and the IMED (Implementation, Monitoring and Evaluation Division) after the cabinet's approval and during the vetting from the Law Ministry." "We are under pressure by some to strengthen the TCB. Others are holding us back," he told the FE seeking anonymity. "Now it will take at least two months to table the proposal before the cabinet committee again. That means TCB's intervention during the upcoming Ramadan is highly unlikely," he said in a downbeat note. The draft has proposed increasing the number of TCB directors to six from the existing four, increase power of its chairman and reduce the intervention of Commerce Ministry on TCB's day-to-day affairs. The Ministry of Establishment has recently approved the creation of additional 285 posts in the TCB as the corporation has been failing to enforce its monitoring efficiently in local markets due to adequate shortage of manpower. Presently, the TCB has only 166 officers and employees against the 225 approved posts.