New norms for diversified jute goods exporters

The government has decided to provide cash incentive on the export earnings from diversified jute products on the basis of certificates provided by the trade bodies concerned.

So, no particular list of the products will be required to receive the incentive, according to a circular issued by the finance division on Thursday.

Because of maintaining a particular list, new products may miss out on cash subsidy, it said.

Bangladesh Jute Mills Association (BJMA) and Bangladesh Jute Spinners Association (BJSA) will certify the products as diversified ones.

The circular said, "There is a possibility of keeping some products out of the record following lack of maintaining accuracy and updating the list."

For these reasons, exporters may face difficulties to avail of cash incentives. On the other hand, entrepreneurs may lose interest in innovating new jute products, it added.

Currently, the government provides 20 per cent cash incentive for 282 jute diversified products.

Abdul Barik Khan, secretary general of the BJMA, said that because of this new move, the number of diversified products would increase in coming days.

Transparency will also be ensured in this sector, he added.

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