Import duty on raw materials for metal package cut

Staff Correspondent | Published: 00:05, Sep 20,2018 | Updated: 00:17, Sep 20,2018

 
 

National Board of Revenue has cut duty on import of raw materials for manufacturing of metal packages, like can and container, and tin-coated household products.
Customs wing of NBR on Tuesday issued a statutory regulatory order lowering the customs duty to 10 per cent from existing 25 per cent and withdrawing 3 per cent regulatory duty on import of flat-rolled products of iron.
Previously, total tax on import of the items was 60.73 per cent, including 25 per cent CD, 3 per cent RD, 15 per cent value-added tax, 5 per cent advance income tax and 5 per cent advance trade VAT.
Customs officials said that NBR offered the duty benefits following a proposal of Bangladesh CR Coil Manufacturers and Exporters Association, Bangladesh Iron and Steel Importers Association, Bangladesh Metal Packaging Manufacturers Association, Padma Cans and Closures Ltd and Vitacan Industries Ltd.
They said that the government in the budget for the current fiscal year 2018-2019 increased the CD to 25 per cent from 10 per cent and imposed RD on import of the products to protect local manufacturers and prevent misdeclaration in import of similar products.
The associations and companies are the main importers of the raw materials which are used to produce metal packages like can, container and tubes for food processing, beverage and milk products and pharmaceuticals companies.
In addition, the products are also used to manufacture metal almirah, file cabinet, trunk, utensils, jug, drum, stove and other home appliances.
They made a plea to NBR to withdraw the additional CD and RD to save the sectors which were facing difficulties due to price hike of raw materials, officials said.

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