Ruhul Alam Al Mahbub is the managing director of Fair Electronics LTD
The demand for electronics and home appliance products has increased in the last decade following an expansion of electricity services in the country and changes in the quality of life of the people. VAT exemption facilities provided by the government has facilitated huge investment in this sector, and these products have made people’s lives easier.
Samsung’s products are being produced in Bangladesh due to the government’s policy benefits. Around 15 domestic and foreign companies have invested and millions of people have been employed. In 2020, 85% of the demand for handsets was either manufactured or assembled by domestic companies.
This has happened in just five years due to the policy support of the government.
In his budget speech, the finance minister recommended that VAT exemption facilities be extended for manufacturers of refrigerators, freezers and their compressors by one more year, and mobile handset, air conditioners and their compressors by three more years.
The government has also exempted VAT for home appliance manufacturers such as blenders, juicers, mixers, grinders, electric kettles, rice cookers, multicookers, pressure cookers, washing machines, microwave ovens and electric ovens, which is a big relief for the local industry.