Country’s apparel exporters have demanded 5 per cent tolerance in yarn count during the release of the item imported for the export-oriented readymade garment sector and easing the system of temporary bond transfer between factories in export processing zones and those of outside EPZs. Leaders of the country’s textile sector on Monday hold a meeting with National Board of Revenue chairman Mosharraf Hossain Bhuiyan on the issues and also demanded tax waiver or reduced rate for the import of racking system for establishing modern bonded warehouse. Bangladesh Garment Manufacturers and Exporters Association president Rubana Huq, Bangladesh Knitwear Manufacturers and Exporters Association’s acting president Mohammad Hatem and Bangladesh Textile Mills Association president Mohammad Ali Khokon attended, among others, the meeting held at the NBR office in the capital. Exporters said that they had faced penalty and harassment during the release of imported yarn and fabric if minor deviation was found in count and composition of the items. Exporters demanded 5 per cent tolerance for cotton yarn count and 10 per cent for viscos during the examination by customs saying that minor deviation in yarn count and composition might be occurred due to weather and suppliers’ faults. Apparel exporters demanded easing of temporary bond transfer system between the factories in EPZs and those of outside EPZs, saying that approval for inter-bond transfer was required for the exporters to do subcontract business with the EPZ factories. Getting approval for inter-bond transfer from customs bond commissionerate is a lengthy process but exporters get limited time to export the products to the buyers, they said. Exporters demanded empowering the BGMEA to issue approval for inter-bond transfer between the factories in EPZs and outside EPZs to protect the interest of readymade garment sector. RMG exporters said that establishing a modern bonded warehouse system was very much important to fulfil the compliance requirements provided by the buyers and racking system was a must to do so.The present duty structure is high for the import of racking system and it would not be viable for the exporters to import the system with paying 58.60 per cent duty, they said. Apparel makers demanded tax waiver or reduced tax rate on import of racking system, saying that the sector could gain more export orders by introducing the system as rack-supported warehouses help preserve maximum products within the shortest spaces separately and locate them easily. ‘We also discussed the delay and harassment by custom officials in ports during the release of raw materials for the sector,’ Hatem told New Age on Thursday. He said that the NBR chairman agreed in principle to their demands and assured them of taking necessary steps to facilitate exports.
