Govt likely to review BKMEA's demand for 10pc cash incentive on electricity bill
Friday, 4 December 2009
Monira Munni
The government is likely to review the knitwear leaders' demand of ten per cent cash incentive on their electricity bill of the current fiscal year, Finance Minister AMA Muhith said.
"The government will consider the demand to help boost the country's largest export earning sector," he told the FE Wednesday.
The knitwear manufacturers also demanded disbursement of the stimulus package for the small and medium exporters as recommended by the working committee.
A team led by Bangladesh Knitwear Manufacturers and Exporters Association (BKMEA) president Fazlul Hoque made the demands in a meeting with the Finance Minister.
The BKMEA delegation demanded waiver of the renewal fees for captive power plants used by textile units.
They also claimed for rescheduling their classified term loans that have been extended until June 30, 2010 from October 1, 2009 with no obligation of making down payments and with an interest rate of ten per cent.
"We requested the government to provide the incentive according to the proposed recommendations," Fazlul Hoque told the FE.
According to the ministry's circulation, the organisations which do not have own captive power plant or diesel generator will get the offered incentive. But there is no factory that does not have at least a diesel generator in the present situation, he said.
"We are greatly confused as such conditions are tagged with the clauses of the package," the president said.
We requested the minister to review the package recommended earlier to provide ten per cent incentive on electric bill of the current fiscal and reschedule the loan payment deadline up to June 30, 2010.
He also reiterated the demand of providing five per cent cash incentive on up to ten per cent of their total export of the 2008-09 fiscal.
It was impossible for the small factories to export more than the previous fiscal, as there was negative growth in the third quarter export of the current fiscal, he said.
The government is likely to review the knitwear leaders' demand of ten per cent cash incentive on their electricity bill of the current fiscal year, Finance Minister AMA Muhith said.
"The government will consider the demand to help boost the country's largest export earning sector," he told the FE Wednesday.
The knitwear manufacturers also demanded disbursement of the stimulus package for the small and medium exporters as recommended by the working committee.
A team led by Bangladesh Knitwear Manufacturers and Exporters Association (BKMEA) president Fazlul Hoque made the demands in a meeting with the Finance Minister.
The BKMEA delegation demanded waiver of the renewal fees for captive power plants used by textile units.
They also claimed for rescheduling their classified term loans that have been extended until June 30, 2010 from October 1, 2009 with no obligation of making down payments and with an interest rate of ten per cent.
"We requested the government to provide the incentive according to the proposed recommendations," Fazlul Hoque told the FE.
According to the ministry's circulation, the organisations which do not have own captive power plant or diesel generator will get the offered incentive. But there is no factory that does not have at least a diesel generator in the present situation, he said.
"We are greatly confused as such conditions are tagged with the clauses of the package," the president said.
We requested the minister to review the package recommended earlier to provide ten per cent incentive on electric bill of the current fiscal and reschedule the loan payment deadline up to June 30, 2010.
He also reiterated the demand of providing five per cent cash incentive on up to ten per cent of their total export of the 2008-09 fiscal.
It was impossible for the small factories to export more than the previous fiscal, as there was negative growth in the third quarter export of the current fiscal, he said.