Demand for 100pc duty on newsprint import a conspiracy: NOAB
Wednesday, 13 May 2009
As Bangladesh Paper Mills Association demanded 100 per cent duty on newsprint imports, Newspaper Owners' Association of Bangladesh (NOAB) Monday urged the government to keep zero tariff on newsprint imports to ensure press freedom and free flow of information, says a press release.
Expressing concern, NOAB in a statement said the demand for imposing 100 per cent duty on newsprint import is part of a conspiracy to destroy the country's newspaper industry. The free flow of information will be disrupted if the demand is met.
"This industry will fall into a deep crisis and newspapers will have to face financial crises if the import cost is increased," the statement read. "It will not be possible for the newspapers to survive independently if the demand is met," it said.
NOAB said the fate of journalists and workers involved in this industry will be uncertain because 80 per cent of newspapers' spending goes to newsprint purchase.
It will be difficult for them to bear the extra expenditure and no newspaper will be able to give their staff their due wages and salaries as per rules, it added.
Following a long-standing NOAB demand, import duty on newsprint was brought down to zero from 30 per cent in 2007-2008 fiscal year's budget, the statement said, adding, "We are giving 19 percent [tax 15 per cent, income tax three per cent and PSI one percent] of the cost of imported newsprint to the government exchequer according to the rules."
The newspapers are implementing the Seventh Wage Board from June 8, 2008 with the condition of zero percent import duty. For this, the cost of the newspaper institutions has increased greatly, the statement added.
The statement further said no newspaper will be able to provide the due wages and salaries to its staff according to the Seventh Wage Board if 100 per cent duty is imposed on newsprint imports.
NOAB hoped that the government would continue with the present system of importing newsprint without duty in order to keep the newspapers independent and free flow of information undisturbed.
The price of each tonne of local newsprint is Tk 50,000 while the price of one tonne of foreign newsprint is Tk 42,500, the statement read.
Mentioning the issues of printing on substandard local newsprint, NOAB said local newsprint causes newsprint wastage, which eventually costs newspapers’ money.
It said obligatory newsprint quota system was introduced in 2001 and newspapers were forced to purchase poor quality local newsprint.
Despite this, the newspaper mills of the country could not achieve the desired quality of newspapers till 2007-08 fiscal year, it added.
"We can in no way support the move of local newsprint mills to force newspapers buy their poor quality newsprint at their usual price," it added.
The government should not make any decision that will destroy the present state of the country's newspaper industry achieved through long and arduous struggle, it said.
Expressing concern, NOAB in a statement said the demand for imposing 100 per cent duty on newsprint import is part of a conspiracy to destroy the country's newspaper industry. The free flow of information will be disrupted if the demand is met.
"This industry will fall into a deep crisis and newspapers will have to face financial crises if the import cost is increased," the statement read. "It will not be possible for the newspapers to survive independently if the demand is met," it said.
NOAB said the fate of journalists and workers involved in this industry will be uncertain because 80 per cent of newspapers' spending goes to newsprint purchase.
It will be difficult for them to bear the extra expenditure and no newspaper will be able to give their staff their due wages and salaries as per rules, it added.
Following a long-standing NOAB demand, import duty on newsprint was brought down to zero from 30 per cent in 2007-2008 fiscal year's budget, the statement said, adding, "We are giving 19 percent [tax 15 per cent, income tax three per cent and PSI one percent] of the cost of imported newsprint to the government exchequer according to the rules."
The newspapers are implementing the Seventh Wage Board from June 8, 2008 with the condition of zero percent import duty. For this, the cost of the newspaper institutions has increased greatly, the statement added.
The statement further said no newspaper will be able to provide the due wages and salaries to its staff according to the Seventh Wage Board if 100 per cent duty is imposed on newsprint imports.
NOAB hoped that the government would continue with the present system of importing newsprint without duty in order to keep the newspapers independent and free flow of information undisturbed.
The price of each tonne of local newsprint is Tk 50,000 while the price of one tonne of foreign newsprint is Tk 42,500, the statement read.
Mentioning the issues of printing on substandard local newsprint, NOAB said local newsprint causes newsprint wastage, which eventually costs newspapers’ money.
It said obligatory newsprint quota system was introduced in 2001 and newspapers were forced to purchase poor quality local newsprint.
Despite this, the newspaper mills of the country could not achieve the desired quality of newspapers till 2007-08 fiscal year, it added.
"We can in no way support the move of local newsprint mills to force newspapers buy their poor quality newsprint at their usual price," it added.
The government should not make any decision that will destroy the present state of the country's newspaper industry achieved through long and arduous struggle, it said.