Bangladesh cement producers look for relief in coming budget

Bangladesh cement producers look for relief in coming budget
30 May 2019

The Bangladesh Association of Construction Industry and Bangladesh Cement Manufacturers Association have submitted their demands for the incorporation in the coming July 2019-June 2020 government budget for the progress of the construction and cement industry. Bangladesh's budget is likely to be presented in Parliament on 13 June 2019.

Construction sector representatives and trade bodies have urged that the government should not impose any new tax, duty or value-added tax on the construction sector and rather explore ways to reduce these to help it further the sectors' contribution to the economy. SM Khorshed Alam, president of the Bangladesh Association of Construction Industry, said if the new VAT and Supplementary Duty Act comes into effect from the next fiscal year, the new rates should be kept at a tolerable level for the construction sector.

Meanwhile, the Bangladesh Cement Manufacturers Association (BCMA) has requested for import tariff rationalisation for the raw materials and machinery used by the sector. The association called for fixing import duty at five per cent on imported raw materials, cutting value-added tax on imported raw materials to five from 15 per cent and reducing advanced income tax from five to 2.5 per cent.

It is proposed that the existing regulatory duty of five per cent on fly ash be withdrawn. The cement manufacturers said the refundable amount in the deposited advanced income tax should be returned to cement companies within 60 days, and for any delay after that, late interest should be given to cement makers.

Published under Cement News