The apex body in the apparel sector -- BGMEA -- has urged the government to allow non-bonded factories sourcing raw materials under back-to-back L/C (letter of credit).
Bangladesh Garment Manufacturers and Exporters Association (BGMEA) made the plea when a delegation led by its administrator Anwar Hossain called on the National Board of Revenue (NBR) Chairman Md Abdur Rahman Khan at his office in the city on Tuesday, according to a statement.
During the meeting, the BGMEA highlighted several important issues related to customs and bonded warehouse regulations, particularly the challenges faced by the garment entrepreneurs, it added.
The delegation sought NBR's cooperation in resolving these obstacles to ensure a smoother and more efficient business environment for the sector.
BGMEA Support Committee members Inamul Haq Khan Bablu, Asif Ashraf and Shehabudduza Chowdhury, among others, were present in the meeting.
The BGMEA requested NBR to revise current rules to allow non-bonded garment factories to open local back-to-back Letters of Credit (LCs) for procuring raw materials domestically.
Under existing provisions, factories without bond licenses are unable to purchase raw materials on credit through back-to-back LCs for export purposes, the statement said, adding that this has been creating significant barriers for non-bonded manufacturers.
The NBR Chairman assured the BGMEA delegation that NBR would explore ways to facilitate permissions for non-bonded factories.
BGMEA's other demands included simplifying and expediting customs-related processes, particularly for the clearance of imported raw materials, machinery and equipment.
In response, the NBR chairman reiterated its commitment to making customs services faster and more efficient to support the growth of the garment sector.
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