Pvt jute millers express mixed reaction

The country's private jute millers have expressed their mixed reaction to the proposed budget for fiscal year (FY) 2014-15, saying there is no mention of jute sector in the budget.

They also called for tax exemption at source on cash incentives.    

The government has proposed reduction of tax at source on cash incentives from existing 5.0 per cent to 3.0 per cent to encourage the country's export sector.

The leaders of Bangladesh Jute Mills Association (BJMA) said although the finance minister has mentioned about several initiatives in his budget proposal including extra incentives to the ready made garment (RMG), Information Technology (IT), shipping, leather and drug industries, nothing has been  mentioned in the budget about the interest of jute millers and exporters.     

They demanded of the government to resolve the existing crises in the jute sector. The millers said nearly 40 million people are involved directly or indirectly in the sector.

The millers also said the rates of tax at source should be equal for every export-oriented sector. But presently the tax at source is 0.60 per cent for jute goods exporters and 0.30 per cent for RMG exporters.

The BJMA leaders urged the government to implement the mandatory jute packaging law-2010 immediately and ensure the same facilities for public and private mills.

The association leaders also hailed the proposed budget.