|Published : 30 Nov 2016, 21:33:29|
Ministry favours 20pc cash incentive for jute exporters
The Ministry of Textiles and Jute has requested the finance ministry to give 20 per cent cash incentive to jute goods exporters.
It also requested the finance ministry to withdraw the facility from raw jute exporters.
The ministry made its request on November 29 through a letter. It said if jute goods are given 20 per cent cash incentive, both export and investment will increase in the sector.
The machinery in most of the jute mills are around 50-year old. The millers are not getting desired production. So they are facing difficulties to compete in the international market, the letter pointed out.
The ministry said as Prime Minister Sheikh Hasina had announced inclusion of jute goods in the list of processed agricultural products and issued directive to give the sector due facilities, the issue of providing cash incentive has to be considered seriously.
According to the jute ministry, of the total production of jute goods, 70 to 75 per cent are exported.
Nearly 40 million people are involved in jute sector directly and indirectly.
A total of 145 small and large jute mills are running under the Bangladesh Jute Mills Association, 26 under the Bangladesh Jute Mills Corporation and 97 under the Bangladesh Jute Spinners Association.