Physical verification certificate must for agri export incentive
The central bank issued the directive to bring back transparency in export subsidies
From now on, physical verification certificates from the customs authorities will be mandatory to get subsidies or incentives on exports of agricultural products – vegetables and fruits – and processed agricultural goods.
In a circular on Monday, the Bangladesh Bank asked commercial banks not to disburse incentives without this certificate. The central bank also sent the instruction to all the authorised dealers operating in the country.
According to the central bank, many exporters have been enjoying the subsidy without exporting any agricultural products. So, it took the measure to bring back transparency in export subsidies.
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The latest directive regarding export incentives will apply to all products shipped from the date of issuance of the directive. Other directives related to the provision of export incentives for agricultural products and processed agricultural products will remain unchanged.
Through a circular issued in 2019, the central bank made physical verification certificates mandatory for availing of the export subsidy in four other sectors.
According to that circular, a verification certificate is mandatory for enjoying exporting subsidy for pharmaceuticals products, gelatin capsules produced with cow and buffalo bones, intestine and horn of cattle, and handicrafts made with jute, particleboard, hogla (elephant grass), straw, and sugarcane husk.
