Jute ministry to propose hike in export subsidy on yarn

Export subsidy on jute yarn is likely to be increased in the upcoming fiscal year to help boost exports to the international market, an official said.
Currently, exporters of jute yarn are getting 7.50 per cent cash subsidy and the Ministry of Textiles & Jute is expected to be propose the finance ministry to increase it to 10 per cent.
"We will request through a letter to the finance ministry for increasing cash subsidy on jute yarn to 10 per cent from 7.5 per cent," an official said.
The government has released the last or fourth installment of cash incentives amounting to Tk 6.48 billion for disbursement among the major exporters for fiscal year (FY) 2013-14.
The MoF on April 17 last advised the Bangladesh Bank to start disbursement of the money for April 2014 to June 2014 period.
The government has decided to release a total of Tk 25.92 billion as cash incentive in the fiscal year 2013-14.
The country's jute and jute goods sector will get Tk 945 million in the fourth installment of the current financial year, the official said.
The jute and jute goods sector faced a negative growth of around 20 per cent during the first nine months of the current fiscal over the corresponding period of the last fiscal.