Terry towel manufacturers want 15pc cash incentive
Friday, 1 May 2009
FE Report
The country's terry towel and linen manufacturers and exporters Thursday demanded 15 per cent cash incentive instead of 5.0 per cent, so that the sector can compete internationally at a time of global financial crisis.
"The enhanced amount must be handed over from April 2009," Lt Col (retd) Anisuzzaman, chairman of Bangladesh Terry Towel and Linen Manufacturers and Exporters Association (BTTMEA) told reporters at a press conference at the National Press Club in the city.
He said the global economic recession has already started hitting the sector. Export orders have fallen and even owners of some factories have been forced to shut down their businesses, as prices of their produce have reduced by 15 to 20 per cent globally, he added.
The BTTMEA also demanded separate budget allocation of Tk 1.0 billion (100 crore) for the terry towel industry in the upcoming budget (2009-10 fiscal year) and sought clear instructions from the government, so that exporters can get cash incentives within 15 days of export proceed realisation.
Mr Anisuzzaman said the terry towel exporters are giving 15 per cent tax despite being a 100 per cent export-oriented industry, while the country's knitwear and woven garment exporters are giving only 0.25 per cent tax.
"This is nothing but injustice," he added.
The BTTMEA chief said they want same facilities enjoyed by Bangladesh Garment Manufacturers and Exporters Association and Bangladesh Knitwear Manufacturers and Exporters Association, as all the three industries are 100 per cent export-oriented.
The country's terry towel and linen manufacturers and exporters Thursday demanded 15 per cent cash incentive instead of 5.0 per cent, so that the sector can compete internationally at a time of global financial crisis.
"The enhanced amount must be handed over from April 2009," Lt Col (retd) Anisuzzaman, chairman of Bangladesh Terry Towel and Linen Manufacturers and Exporters Association (BTTMEA) told reporters at a press conference at the National Press Club in the city.
He said the global economic recession has already started hitting the sector. Export orders have fallen and even owners of some factories have been forced to shut down their businesses, as prices of their produce have reduced by 15 to 20 per cent globally, he added.
The BTTMEA also demanded separate budget allocation of Tk 1.0 billion (100 crore) for the terry towel industry in the upcoming budget (2009-10 fiscal year) and sought clear instructions from the government, so that exporters can get cash incentives within 15 days of export proceed realisation.
Mr Anisuzzaman said the terry towel exporters are giving 15 per cent tax despite being a 100 per cent export-oriented industry, while the country's knitwear and woven garment exporters are giving only 0.25 per cent tax.
"This is nothing but injustice," he added.
The BTTMEA chief said they want same facilities enjoyed by Bangladesh Garment Manufacturers and Exporters Association and Bangladesh Knitwear Manufacturers and Exporters Association, as all the three industries are 100 per cent export-oriented.