Rubber producers seek govt support

CHITTAGONG, Dec 29: Stating that they are in dire straits, the rubber gardeners have demanded government support and protection of their industry through financial assistance and exemption of VAT (value added tax) and AIT (advance income tax) as in other regional countries.
The rubber cultivators have submitted a memorandum to the Prime Minister through the local administration in Bandarban Hill District seeking government steps to protect the sector by giving subsidies to growers like other rubber producers in the neighbouring countries.

A large quantity of rubber has been imported recently from Vietnam and other regional countries in the recent months as international price of the product has come down alarmingly.
They said dishonest businesses have imported rubber when the price of local rubber has decreased from Tk 350-400 to Tk 80-100 per kilogram only. Due to large import all local rubber producers and rubber traders throughout the country have been left with big stock of rubber unsold.
Founder-member of the Bangladesh Rubber Board Salimul Hoq Chowdhury has handed over the memorandum to the local administration in Bandarban on behalf of the rubber planters of the country.
He told this correspondent that countries like Sri Lanka, India and Thailand are giving subsidies every year to protect the local rubber industry but in Bangladesh the case is reverse.
"The government has imposed a 24 per cent VAT, AIT and other charges on the rubber producers," he said.
The amount of subsidies for cultivation of a garden on 10 hectares of land in Sri Lanka is 0.883 million Bangladesh Taka, in India BDT 0.370 million and in Thailand it is Tk 0.40 million.
He alleged that the rubber board that was formed by the government in April 2013 has remained almost inactive due to lack of manpower and financial support. So the rubber sector people have been devoid of required assistance from the government.
In 35 years the rubber planters in Bangladesh have got only Tk 162.8 million as loan from the government, said Salimul Hoq Chowdhury.
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