BB allows $500 export without EXP declaration

The central bank has allowed a maximum of $500 export under business-to-consumer (B2C) on e-commerce websites without declaration on EXP form to encourage small-value exporters, according to officials.

To facilitate exports, declaration on EXP form to customs authorities will not be required for small-value export up to $500 or equivalent concluded on an e-commerce website against payment received prior to shipment.

The Bangladesh Bank (BB) said this in a notification issued on Monday.

EXP form is issued by an authorised dealer bank in favour of an exporter concerned, stating that the exporter is an authentic business entity and has made arrangements with the bank for realisation of export proceeds of the goods declared on this form within four months from the date of shipment.

"We've exempted small-value exporters for declaration on EXP form as such exporters have no capacity to do so," a BB senior official told the FE.

It would also help boost e-commerce trade both locally and globally, he said.

Under the new arrangement, authorised dealer (AD) banks will report the transactions to the Bangladesh Bank reporting system under e-commerce with reference to bill of export extracting from the customs electronic system.

AD banks may allow export under B2C on home delivery basis provided that sufficient amounts payable to nominated express/courier service providers on account of relevant costs at destinations along with transport and other charges are realised from consumers abroad.

Earlier, such exports under B2C on e-commerce websites were permissible through the online EXP form procedure.

[email protected]