Editorial Desk :
The Federation of Bangladesh Chambers of Commerce and Industry (FBCCI) has demanded a reduction in corporate tax in the backward linkage industries to help their growth. Businesses have demanded a corporate tax fixed at 10-15 per cent for the backward linkage industries to increase competitiveness. They came up with this call at the first meeting of the FBCCI Standing Committee on Backward Linkage Industries held on Thursday.
Lowering the corporate tax would help development of the backward linkage industries. The entrepreneurs demand industrial plots at an affordable cost for the expansion of the industry. The role of this sector in the overall development of the country is enormously high. Industrialisation is not possible without sectoral flourishment. If there is no backward linkage, the supply chain of the industry will break down. The entrepreneurs sought cooperation to get necessary bank loans for this. The expansion of the backward linkage industries is essential to meet the challenges of post-LDC industrial expansion. Business people also ask for including backward linkage industries in the forthcoming industrial policy, provision of land at affordable rates, making BSCIC more dynamic and improved, giving priority to local products in government procurement as per PPR and discouraging imports to protect locally produced products.
In the context of the global reach and size of the industry, the backward linkage factories that support the industries are playing a vital role. The competitive pricing and delivery of finished goods to the international buyers, particularly the RMG, within lead time are being achieved to a large extent owing to the
existence of this large, various and efficient backward linkage industry.
To establish strong industries at affordable cost, the backward linkage sector should be bolstered as it works as the raw material for the formal industry. We ask the government, entrepreneurs and the banking sector to come up to establish impregnable backward industries to support major sectors like RMG, leather, furniture, pharmaceuticals, agriculture and many more.
