Duty-free benefit for hi-tech park factories on spare parts import

Staff Correspondent | Published: 21:09, May 21,2020


The National Board of Revenue has offered duty free-benefit on import of spare parts by industries located at the hi-tech parks in the country.

The NBR’s customs wing on May 14 issued a statutory regulatory order waiving the customs duty, regulatory duty, supplementary duty and value-added tax on spare parts imported by hi-tech park investors.

The NBR in July, 2015 exempted the hi-tech park investors from the payment of the duties and taxes on the import of capital machinery and construction materials, except SM rods/bars, cement, pre-fabricated building, iron and steel sheets and those which were available on the local market.

Now, the investors will enjoy the benefit on the import of several hundred types of spare parts.

The word ‘spare parts’ will cover items under heading 39.23 to heading 82.09 of the customs wing’s Gazette notice no 128 issued in 2017 and items described as spare parts under heading 84.01 to heading 94.06 in the First Schedule of the Customs Act-1969.

Officials said that the NBR offered the benefit following recommendations made by the Bangladesh Hi-Tech Park Authority and the demands of the investors.

Factories located at the economic zones under the Bangladesh Economic Zones Authority and at the export processing zones under the Bangladesh Export Processing Zones Authority are also enjoying similar benefits on the import of spare parts, they said.

They said that such exemption would boost investment in the hi-tech parks and facilitate employment generation.

The hi-tech park factories, however, will have to comply with a number of conditions, including being registered with the NBR’s value-added tax wing and taking approval from the BHTPA for the import consignment containing the names of spare parts, description of items and quantity of products, for availing the benefit as per the original SRO issued in July, 2015.

Want stories like this in your inbox?

Sign up to exclusive daily email