BTMA seeks removal of import duties on fibres

The Bangladesh Textile Mills Association (BTMA) sought permission for duty-free import of all kinds of fibres, including recycled and man-made, in fiscal 2023-24 without any non-tariff barriers.

Association president Mohammad Ali Khokon submitted a request for the same during a meeting with the National Board of Revenue (NBR) in Dhaka.

BTMA requested NBR to remove the value-added tax (VAT) imposed on the collection of raw materials by deemed exporters to produce recycled fibre and later during their sale to domestic millers.

It also requested VAT exemption on fabrics manufactured from artificial fibre by power looms.

It called for doing away with the 3-5 per cent advance income tax levied on the import of machinery, according to Bangladeshi media reports.

The 2 per cent tax deducted on the payments of cotton purchased from domestic sources should be withdrawn as well, it demanded.

BTMA urged to reset a revised tariff value by considering the local production cost of fabrics and their global prices.