Facilitating exports
Amin Ahmed Chowdhury | Saturday, 14 March 2009
EXPORTERS need to be motivated to increase exports. But that would depend on governmental policies. The government ought to take a series of measures to keep the exporters positively motivated. The most positive motivation would be to cut down the lending rate for exports. The lending rate for export, reduced by one percentage point sometime ago, is considered yet enough.
The exporters also asked for reducing the port handling charges and quicker and efficient handling of export cargoes. The government should respond favourably and promptly to these requests.
Duty-free import of generators, requested by exporters, should also be allowed in the backdrop of unreliable power supply. The exporters' suggestion for reducing the electricity rate during peak hours also deserves favourable consideration. An emergency plan for uninterrupted power supply, suggested by them, should be taken up for operationalisation.
Customs procedures that delay exports need to be shortened or simplified. Exporters should be also allowed duties on imports of raw materials at concessioned rates. In some cases, total duty waiver could be considered. All export-oriented industries should continue to be allowed import of capital machinery on a duty-free basis or at least on payment of nominal duty. Exporters in emerging sectors like medicines should be given cash incentives.
Such steps are likely to create the right motivational environment for export.
The exporters also asked for reducing the port handling charges and quicker and efficient handling of export cargoes. The government should respond favourably and promptly to these requests.
Duty-free import of generators, requested by exporters, should also be allowed in the backdrop of unreliable power supply. The exporters' suggestion for reducing the electricity rate during peak hours also deserves favourable consideration. An emergency plan for uninterrupted power supply, suggested by them, should be taken up for operationalisation.
Customs procedures that delay exports need to be shortened or simplified. Exporters should be also allowed duties on imports of raw materials at concessioned rates. In some cases, total duty waiver could be considered. All export-oriented industries should continue to be allowed import of capital machinery on a duty-free basis or at least on payment of nominal duty. Exporters in emerging sectors like medicines should be given cash incentives.
Such steps are likely to create the right motivational environment for export.