Local producers of biaxially oriented polypropylene (BOPP) films on Sunday sought reformation in import tax measures to safeguard the domestic industry.
They placed the demand at a public hearing, organised in this regard by the Bangladesh Tariff Commission (BTC) in its office in the city.
BOPP films are used in industries like food processing, packaging, adhesive tape, garment and tobacco etc.
Besides, the films are also used in rapping poly for beautification, packaging specialised products, and laminating water-proof paper.
Akiz Biax Film Ltd, a sister concern of Akiz Group, sent a letter to the BTC, requesting it to take necessary steps to protect the local BOPP film industry.
The company started BOPP production in 2018 at its factory at Akiz Economic Zone set at a cost of Tk 3.5 billion, according to the letter.
The cost of the locally made BOPP is Tk 202.01 a kg, whereas similar imported products can be bought at Tk 181.70 a kg from the mainstream market.
The local factory has to pay 5.0 to 25 per cent import duty and 3.0 per cent regulatory duty on its raw materials, the letter also said.
The hundred per cent export-oriented industries and the industries at Export Processing Zones (EPZs) enjoy zero-duty facility on BOPP import under bonded warehouse facility.
The BTC officials said their primary review showed that the level of taxation to protect locally-made BOPP is very minor, and there is a price gap between the locally made products and the imported ones.
BTC Chairman Jotirmoy Datt presided over the programme.
He said the BTC will find a way-out to protect the interest of the local industry without affecting other sectors who widely consume the product.
Managing Director of Akij Group Sk Bashir Uddin said the country has a demand for 25,000 tonnes of BOPP annually, and it is increasing notably amid rise in income of the people.
He further said his company has set up the BOPP factory with a production capacity of 42,000 tonnes annually.
BTC members Abudul Mannan, Shah Rayhan Al Beruni and Dr Mostafa Abed Khan, executive director of Akiz Group M R Jamil, additional secretary of Metropolitan Chamber of Commerce and Industries (MCCI) Asif Aiyub, were also present.
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