Staff Reporter :The Cabinet Committee on Economic Affairs yesterday approved the draft of the country’s new export policy that aims the faster development and promotion of export sector to help achieve the government’s ‘vision 2021’ goal.The approval was given at the regular meeting of the cabinet body, chaired by Finance Minister AMA Muhith.Earlier, Commerce Minister Tofail Ahmed placed the draft export policy for 2015-2018 before the body for its approval Commerce Ministry officials said that the new export policy has put thrust on export and market diversifications to increase the country’s export significantly by 2021.The country’s new export policy also gives special emphasis on export promotion activities with its neighbours to enlarge its export basket.It also stressed the need for capacity-building of the export-oriented industries, ensuring fair prices for the export products maintaining qualitative standards.The commerce ministry updates the export policy every three years and the tenure of the current one ended in June.The new policy will come into effect in October but until then the old one will prevail.In the draft policy, 11 sectors, including information technology, pharmaceuticals, light engineering, shipbuilding, agro and herbal products have been identified as emerging sectors.It also called for tax-benefit, loan and infrastructure facilities, like gas and electricity connection on a priority basis, for the sectors.For the first time, tourism, architecture, engineering and consultancy services will be brought under the export policy and various privileges will be extended for the providers. In the proposed policy, a provision has been made for exporters to ship goods worth up to $70,000 per shipment without opening a letter of credit account. In the existing policy, the ceiling is $60,000.In case of pharmaceuticals, 10 per cent of the LC value or a maximum of $15,000 can be exported without opening an account.In the proposed export policy, the value of samples to be sent has been increased. Except medicines, exportable items worth $10,000 can be sent as samples instead of the existing $7,000.In case of garments, samples worth $15,000 can be sent. The exporters can send gifts worth $2,000, up from the current $1,000.The proposed policy has recommended tax and loan facilities for the shrimp and fish export sectors. In case of shrimp exports, steps will be taken to give the exporters loan as working capital from banks at 9 per cent interest.Besides, initiative would be taken to rehabilitate the sick but running shrimp and fish processing firms. The farms would have their duty and VAT withdrawn such that they can increase their productions. After the Cabinet body’s approval, Commerce Minister Tofail Ahmed said the core theme of the new 3-year term policy is the implementation of the government’s ‘Vision 2021’.The ‘Vision 2021’ was prepared to make Bangladesh a middle-income country as dreamt by Father of the Nation Bangabandhu Sheikh Mujibur Rahman, he said. “To increase our export to $60 billion has been targeted by 2021 of which 50 billion will come from readymade garment (RMG) while the rest will come from ICT and other sectors,” he told reporters while briefing on the new export policy at his ministry. At present, the country’s annual export stands at $31.20 billion.Tofail said the list of export items has been restructured and some new non-conventional export exports, including IT, tea, papers, shipbuilding, handicrafts, have been put on top of it. Some new items will get incentives.He said the main strategy of the new export policy is to diversify both the products and market without depending on any particular country. The attention was specially given to export increase to the Latin American market.The minister said many nations, except the USA, offered Bangladesh the GSP facilities and tax-free market access. He said the IT and tea sectors have earned the top priority as there are potentials that Bangladesh can earn over $10 billion from the IT sector where the value addition is 100 per cent.Similarly, tea has been a new area to raise its export to 100 million from the current volume of 66 million a year.The Commerce Ministry started the job for preparing the draft of the new export policy on June 30, 2014. The Cabinet body meeting was attended by senior ministers, including Industries Minister Amir Hossain Amu and Agriculture Minister Matia Chowdhury.
