MoC makes fresh bid to enlarge TCB's capacity
Wednesday, 24 November 2010
Nazmul Ahsan
The Ministry of Commerce (MoC) has initiated a fresh move to strengthen the Trading Corporation of Bangladesh (TCB) in terms of its capital and manpower, official sources said.
The MoC has proposed to increase the capital of the state trading agency from the existing Tk 50 million to Tk 5.0 billion and manpower from 225 to 335, it is learnt.
The proposal will be sent to Prime Minister Sheikh Hasina soon for approval.
The MoC has proposed an increase in the number of directors to the TCB board from the existing two to five and delegation of more financial authority to the board for procuring essential goods to help it make timely intervention into the market.
It has also suggested setting up of offices of the TCB in each of the districts and regional offices in divisional headquarters to broaden the grip of the state trading agency over the essentials' markets across the country.
The TCB was established in 1972 with a six-member board of directors including its chairman. However, the number of board members was reduced to two in 2002. The manpower of TCB was downsized to 335 until 2002 from its original strength of 1406.
Presently, the TCB has only 166 officers and employees against 225 approved posts, including one director and 24 first class officers.
Officials in the MoC said the TCB cannot make timely intervention into the market due to shortage of cash liquidity. The agency has to seek fund from the finance ministry or bank guarantee from the government to open letters of credit (LCs), which often takes much time causing hindrances to its normal activities.
"The TCB needs more fund and increased operational autonomy to carry out its jobs efficiently," a top TCB official said.
"Experienced manpower may be recruited from private sector offering attractive compensation packages."
The TCB officials also underscored the need for increasing the capacity of the existing storages of corporation.
The MoC has sought government's approval allowing the state trading agency to carry out direct trading and state-to-state trading, sources said.
They said the TCB has already signed a Memorandum of Understanding with the Nepalese state trading agency for state-to-state trading.
Earlier in January this year, Prime Minister turned down a proposal of MoC to convert the TCB into a public limited company and offer its 30 per cent stake to general investors.
"We are expecting that the latest proposal to be sent to the Prime Minister's Office will be approved as most of the proposals are rational ones," a top trade official said.
The Ministry of Commerce (MoC) has initiated a fresh move to strengthen the Trading Corporation of Bangladesh (TCB) in terms of its capital and manpower, official sources said.
The MoC has proposed to increase the capital of the state trading agency from the existing Tk 50 million to Tk 5.0 billion and manpower from 225 to 335, it is learnt.
The proposal will be sent to Prime Minister Sheikh Hasina soon for approval.
The MoC has proposed an increase in the number of directors to the TCB board from the existing two to five and delegation of more financial authority to the board for procuring essential goods to help it make timely intervention into the market.
It has also suggested setting up of offices of the TCB in each of the districts and regional offices in divisional headquarters to broaden the grip of the state trading agency over the essentials' markets across the country.
The TCB was established in 1972 with a six-member board of directors including its chairman. However, the number of board members was reduced to two in 2002. The manpower of TCB was downsized to 335 until 2002 from its original strength of 1406.
Presently, the TCB has only 166 officers and employees against 225 approved posts, including one director and 24 first class officers.
Officials in the MoC said the TCB cannot make timely intervention into the market due to shortage of cash liquidity. The agency has to seek fund from the finance ministry or bank guarantee from the government to open letters of credit (LCs), which often takes much time causing hindrances to its normal activities.
"The TCB needs more fund and increased operational autonomy to carry out its jobs efficiently," a top TCB official said.
"Experienced manpower may be recruited from private sector offering attractive compensation packages."
The TCB officials also underscored the need for increasing the capacity of the existing storages of corporation.
The MoC has sought government's approval allowing the state trading agency to carry out direct trading and state-to-state trading, sources said.
They said the TCB has already signed a Memorandum of Understanding with the Nepalese state trading agency for state-to-state trading.
Earlier in January this year, Prime Minister turned down a proposal of MoC to convert the TCB into a public limited company and offer its 30 per cent stake to general investors.
"We are expecting that the latest proposal to be sent to the Prime Minister's Office will be approved as most of the proposals are rational ones," a top trade official said.