The government is likely to finalise the Export Policy 2015-18 with provision for 2.0 per cent special incentives for the readymade garment (RMG) factories against their exports to help them become compliant, a high official at the ministry of commerce said. Only the garment factories, situated outside the export processing zones (EPZs), would enjoy the facility, according to the draft policy. The trade official said the commerce ministry in a meeting with the stakeholders finalised the draft policy on Thursday and it is expected to be sent to the cabinet for approval soon. The policy also targeted exports worth US$ 50 billion, capitalising on the markets of three Asian economic giants, the official said. The ambitious target is being set as the country’s overseas sales hit a record $ 30 billion in fiscal year (FY), 2013-14. The policy is also likely to consider especially new products and non-traditional markets to help achieve the target, the trade official also said. “Japan, India and China will emerge as vibrant export destinations in the coming years and diversification of products might help achieve the target,” Hedayetullah Al Mamoon, Senior Secretary, Ministry of Commerce, told the FE. “The draft Export Policy 2015-18 has the provision of offering incentives to help broaden markets and product base to reach the target,” he said. “Besides, 12 products that are either new or slower in earning foreign currencies have been incorporated in the draft export policy, which will enjoy government support,” he added. Mr Mamoon also said the government wants to make the export system modern and liberal in conformity with the WTO (World Trade Organisation) rules. Production of labour-intensive export products will be encouraged and supply of local and foreign raw materials made easier, the secretary informed. However, deep-sea fish, leather and leather products, frozen fish and processed fish items, handicrafts, electric and electronic items, fresh flower and foliage, loom fabrics, medicinal plants and medicine and medical items, plastic goods, furniture, printing and packaging, paper and rubber are the new items that have been included in the new policy. Besides, there will be attempts to improve quality of export products, bring diversification, increase production and capacity to be competitive through addressing the compliance issue. However, the government will take move to introduce different types of packages for the exporters to combat unforeseen challenges in the global market. To increase export of vegetables and frozen foods, the government will initiate establishment of a central warehouse and cool chain system near Hazrat Shahjalal International Airport and all types of financial and technical supports would be provided to collect deep-sea fish, according to the draft policy. “We are optimistic about attaining the target of doubling the country’s export earnings within the period,” EPB vice chairman Shubhashish Bose told the FE. He said India, China and Japan will emerge as another USA or EU for Bangladesh in the coming years with respect to achieving the target. President of Bangladesh Garment Manufacturers and Exporters Association (BGMEA) Md Atiqul Islam called upon the commerce ministry to add special incentive to the new policy to make the sector vibrant. “We were relentlessly trying to make all the garment factories compliant, the recent policy of the government will help us to materialise our dream,” he added. President of the Federation of Bangladesh Chambers of Commerce and Industry (FBCCI) Kazi Akram Uddin Ahmed hailed the government’s move to formulate the new export policy. “I do congratulate the government for its positive inputs in the new policy and for targeting new markets to achieve the export target,” he added. The new policy, however, discourages giving special preference to gas and electricity connections to the export-oriented industries as requested by the BGMEA and the BKMEA (Bangladesh Knitwear Manufacturers and Exporters Association).
