Jute spinners hail stimulus package
Tuesday, 21 April 2009
FE Report
Local jute spinners have hailed the Tk 34.24-billion interim stimulus package, under which cash support has been raised to 10 per cent against export of jute goods.
Finance Minister AMA Muhith announced the incentive package for April-June period of the current fiscal year, increasing the export support by 2.5 per cent for jute goods along with frozen food and leather items in the wake of the global financial crisis.
Terming the stimulus package a 'positive and timely' step, the Bangladesh Jute Spinners Association (BJSA) said it will help the country's jute sector reduce their losses to some extent.
"We praise the government for announcing the interim cash support and other policy initiatives for helping the local export sectors face the ongoing global recession," the BJSA Chairman Ahmed Hossain said Monday in a press release.
The Association, however, wanted to see proper implementation of the policy measures under the government's stimulus package.
The BJSA leader said that the global financial meltdown had already hit the local jute spinners hard.
"The demand for jute goods has dropped by around 35 per cent in the export markets while prices of the items have also declined by nearly 25 per cent," said Mr Ahmed Hossain.
Considering the situation, the Association appealed to the government for raising the cash subsidy by 20 per cent on exports of jute goods in the budget for the fiscal year 2009-10.
Also hailing the government's steps toward the rationalisation of licence/renewal fees of captivate power generators, the association, however, demanded further extension of timeframe stipulated for obtaining operating licences.
Local jute spinners have hailed the Tk 34.24-billion interim stimulus package, under which cash support has been raised to 10 per cent against export of jute goods.
Finance Minister AMA Muhith announced the incentive package for April-June period of the current fiscal year, increasing the export support by 2.5 per cent for jute goods along with frozen food and leather items in the wake of the global financial crisis.
Terming the stimulus package a 'positive and timely' step, the Bangladesh Jute Spinners Association (BJSA) said it will help the country's jute sector reduce their losses to some extent.
"We praise the government for announcing the interim cash support and other policy initiatives for helping the local export sectors face the ongoing global recession," the BJSA Chairman Ahmed Hossain said Monday in a press release.
The Association, however, wanted to see proper implementation of the policy measures under the government's stimulus package.
The BJSA leader said that the global financial meltdown had already hit the local jute spinners hard.
"The demand for jute goods has dropped by around 35 per cent in the export markets while prices of the items have also declined by nearly 25 per cent," said Mr Ahmed Hossain.
Considering the situation, the Association appealed to the government for raising the cash subsidy by 20 per cent on exports of jute goods in the budget for the fiscal year 2009-10.
Also hailing the government's steps toward the rationalisation of licence/renewal fees of captivate power generators, the association, however, demanded further extension of timeframe stipulated for obtaining operating licences.